Q3 2023 Venture Capital Funding
Overall venture funding during the 3rd quarter increased from the prior period
The global numbers are in and the total amount raised by companies amounted to a bit over $73 billion. This is down from the $85 billion that organizations put together during Q3 of the previous year, but the amount is up a bit from quarter two of 2023 – Q2 2023 Venture Capital Funding Numbers. Although the slight uptick may be welcome by many, it’s still important to note that the trend remains level if not still on a slight decline given the cash outlays viewed during the past year and a half.
The early and seed stages are of primary interest as they continue to ramp down and portend a continued aversion by those operating in such spheres to keep a tight string on the flow of cash. Late-stage operators, however, have been a bit more generous with their cash infusions opting to free up some of their dry powder and increase allotments by about 30% over the previous quarter.
AI is still the leading sector
Artificial intelligence plays continue to head the funding drive accumulating over $10 billion in cash. Anthropic and OpenAI amassed strong contributions while Databricks put together another sum of $500 million to increase their monetary accumulation. Semiconductor outlays were also strong as were organizations operating in the cleantech and sustainable energy fields.
Seed and early-stage investments both saw a decline of over 25%, while the amount provided by larger entities also came in at levels that were less than seen in the same prior annum. A couple of companies did brave the IPO market – Instacart trod the trail and came away with a valuation far below that anticipated not so long ago, and Klaviyo braved the waters resulting in an offering fairly close to given thoughts.
