US AI startups see funding surge while more VC funds struggle to raise, data shows

By Reuters Last Updated

US AI startups see funding surge while more VC funds struggle to raise, data shows

US startup funding soared 75.6% in H1 2025 to $162.8 billion, driven by surging AI investments, despite venture capital fundraising struggles. AI dominated deal value and activity, with major rounds for OpenAI and Scale AI. IPO and M&A rebounds signal cautious optimism amid prolonged fundraising challenges and investor hesitation.

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