Q1 2023 Venture Capital Funding Results
Global funding declines once again but charts are leveling off
Numbers have arrived for the most recent quarter and, to little surprise, overall Q1 2023 venture funding results have continued to follow a downward trend that started during the first quarter of 2022. Although two large exchanges occurred in the forms of OpenAi and Stripe, these were certainly the exception as drops were seen across the board including in the early-stage realm which has been somewhat resistant to general course inclinations.
Overall numbers across the globe arrived at approximately $75 billion. Figures for North America came in around $45 billion which represents a negative shift from the same quarter of last year of nearly 50%. Almost 25% of states garnered nothing from capital providers while California, New York, Massachusetts, Texas, and Washington were at the head of the line from a percentage standpoint.
Amounts in Europe declined about 20% with later-stage ventures taking a relatively large hit. Indeed, the median amounts provided to more mature companies across the planet dipped to $15 million which represents a drop of 45%.
Clearly the market preference has swung toward earlier-stage to mid-level startups, many of which are operating in the AI space. Nvidida recently jumped over the $400 per share mark, and a host of intriguing announcements from additional companies in the realm are providing guidance in this domain – solid and perhaps not so sagacious given a particular offering. Cleantech, Healthtech, Fintech, and ecommerce plays also saw significant interest during this most recent period.
