Chainfeeds Briefing:
AI remains the most attractive frontier in venture capital, with capital flows becoming more cautious. Chinese version compiled and published by PANews.
Article Source:
https://www.panewslab.com/zh/articles/dv58iz88
Article Author:
catalaize
Perspective:
catalaize: Generative AI and core model/infrastructure participants attracted over $45 billion in funding in the first half of the year, accounting for over 95% of the disclosed total funding. Applied AI vertical fields are relatively underfunded (approximately $700 million in medical/biotechnology; $2-3 billion in fintech/enterprise sectors). Geographically, the United States (especially Silicon Valley) dominates: over 99% of global AI funding in the first half of the year went to US-based companies. Asia and Europe are relatively behind, with China's largest deal (Zhipu AI) raising $247 million; while Europe only saw some mid-scale funding rounds (such as UK's Latent Labs raising $50 million). In the first half of 2025, venture capital for AI startups far exceeded the same period in 2024. Reliable data shows that approximately $70 billion flowed into AI companies in the first quarter alone, surpassing half of the total AI funding for 2024. This means funding in the first half of 2025 is more than double that of the first half of 2024 (in USD). In the first quarter of 2025, AI's share in global venture capital jumped to about 53-58%, compared to 25-30% a year ago. This means currently over half of global venture capital is invested in the AI field. Driving factors: a few large funding rounds; without these, global venture capital would be roughly flat year-on-year. Impact on the second half of 2025: Overall venture capital indicators may depend on transaction volume in the AI field; any cooling of AI enthusiasm could lower overall funding levels. Prediction for the second half of 2025: Funding scale will slow down but remain high. After the first-half boom, transaction pace will slow. No more $40 billion funding rounds are expected, but quarterly AI funding will still be twice the 2024 level. Prosperity continues, just more steadily. At least one exit over $10 billion is anticipated: IPO (such as Databricks) or acquisition by a traditional enterprise seeking to maintain influence. This will affect investor sentiment and reset pricing expectations. By the fourth quarter, a clear stratification of the startup ecosystem will be evident: Top 5-10 AI companies (with substantial funding and momentum) will gradually exit and may acquire talent. Mid-tier or overhyped startups without product-market fit? Many will transform, experience valuation adjustments, or gradually disappear. Investors will reward execution that creates revenue, not just research proposals or GPU investments.
Content Source
