The global venture capital landscape is being overtaken by artificial intelligence, with new data showing that 2025 is set to be the first year AI startups capture more than half of all VC investment.

According to PitchBook data, investors have poured $192.7 billion into AI-related companies so far this year, out of a total $366.8 billion in venture capital funding worldwide, Bloomberg reports. In the most recent quarter, AI accounted for 62.7% of U.S. venture investments and 53.2% of global investments.

Most of these massive funds are flowing to established players like Anthropic, which closed a staggering $13 billion Series F round in September. Meanwhile, smaller startups and emerging venture funds are finding it increasingly difficult to attract investors.

PitchBook data reveals that only 823 venture funds have been raised globally in 2025 — a sharp decline from 4,430 in 2022.

PitchBook’s director of research, Kyle Sanford, described the current investment climate as “bifurcated,” saying that today’s market is divided between firms that are in AI and those that are not — and between large established players and everyone else.

The message is clear: in the world of venture funding, if you’re not building AI, you’re being left behind.

Source: Techcrunch