Startup and Venture Capital News August 2, 2025 — IPOs, Mega Rounds, and Global Growth

By early August 2025, the global startup ecosystem continues to show a confident rebound after several years of decline. Venture investors worldwide are once again actively funding technology companies: record capital-raising deals are being made, and startup plans for going public are back in the spotlight. Major funds and corporations have resumed large-scale venture investments, launching new funds and programs, while governments across different countries are enhancing support for innovations, aiming to keep pace in the global technology race. Preliminary data indicates that the first half of 2025 has produced the strongest venture capital funding since 2021. In North America alone, investment volume for the half-year has surged approximately 87% (to ~$116 billion) compared to last year, largely driven by mega-deals in the artificial intelligence sector. Overall, this positive trend signifies the return of private equity to the startup market and the formation of a new wave of venture growth.

Venture deals are now encompassing all regions — from Silicon Valley and Europe to Asia, the Middle East, Africa, and Latin America. There is particularly notable activity growth in the US (which accounts for the lion's share of global investments, with a significant portion in the AI sector) and the Middle East (where the volume of startup investments reached $2.1 billion in the first half of 2025, representing a 134% increase from the previous year). In Europe, the landscape is undergoing a shift: Germany has overtaken the UK in venture investment for the first time in a decade, signaling a strengthening of continental ecosystems. In Asia, the dynamics are mixed: funding for startups in China remains at lower levels, while India, Southeast Asia, and the Gulf countries are attracting increasing capital. Even local markets (such as the CIS countries) are attempting to catch the new wave of growth despite external limitations. The overall picture points to a global revival of venture capital, although investors are still approaching deals selectively and cautiously.

Below are key events and trends shaping the current agenda of the venture market as of August 2, 2025:

• The ongoing revival of the IPO market. Successful public placements and new applications from technology "unicorns" confirm that the long-awaited "window" for exits remains open.
• Record funding rounds and the emergence of new "unicorns." Unprecedented investments are driving startup valuations to multi-billion levels, especially in the AI sector.
• The return of major investors and mega-funds. Leading players are forming new venture capital funds and increasing investments, once again filling the market with capital and strengthening the appetite for risk.
• Sectoral diversification of investments. Venture capital is flowing not only into AI but also into fintech, climate projects, biotechnology, defense developments, and even crypto-startups, broadening the horizons of the market.
• Consolidation and M&A deals. A wave of major mergers, acquisitions, and strategic investments is reshaping the industry landscape, opening up new opportunities for exits and scaling companies.
• Global expansion of venture capital. The investment boom is spreading to new markets — from the Gulf countries and South Asia to Africa and Latin America — forming their own tech ecosystems there.
• Local focus (Russia and the CIS). Despite restrictions, new funds and initiatives are emerging in the region to develop startup ecosystems, attracting investor attention to the local market.

The IPO Wave Continues: The Window to Go Public Remains Open

The global primary public offerings (IPO) market has confidently revived and is gaining momentum after a prolonged lull. In Asia, Hong Kong has initiated a new wave of IPOs: in recent weeks, several major tech companies there successfully went public, collectively raising multi-billion sums. For instance, the Chinese battery manufacturer CATL raised about $5.2 billion during its listing, while pharmaceutical giant Hengrui and food holding Haitian each placed shares for approximately $1.3 billion. These high-profile debuts have shown that investors in the region are once again ready to actively invest in public offerings. Notable players — such as chip developer Montage Technology — are waiting in line for a listing in Hong Kong, planning to raise up to $1 billion, reinforcing the revival of IPO activity at least in Asian markets.

In the US and Europe, the IPO situation has also noticeably improved. American fintech "unicorn" Chime recently debuted on the stock market, soaring more than 30% on its first trading day and becoming one of the largest fintech IPOs of the year. This success is inspiring other market participants. The design platform Figma held its long-awaited offering: its IPO raised about $1.5 billion at a company valuation of around $17 billion, as Figma's shares opened with strong growth, confirming high investor demand for tech IPOs. Several well-known startups (including payment service Stripe and social platform Reddit) are scouting the public market for the second half of 2025, waiting for the right moment. The ongoing IPO wave is vital for the entire venture ecosystem, as successful public exits finally allow funds to realize profits and channel capital into new projects. Despite cautious valuations, the open "window" for IPOs is encouraging more startups to prepare for listing.

Mega Rounds and New Unicorns: Investments Hit Records

The artificial intelligence sector remains the primary driver of the venture boom in 2025, setting new records for funding volume. Investors worldwide are eager to invest in AI leaders, directing colossal sums into the most promising projects. Nearly every week, new mega-rounds are announced, confirming AI's status as the main "magnet" for venture capital. For example, the startup Thinking Machines Lab (founded by former OpenAI director Mira Murati) raised about $2 billion at an early stage, with a valuation of ~$12 billion — an unprecedented appetite from investors for this young project. Elon Musk's project xAI closed a record funding round: approximately $5 billion in equity capital and another $5 billion in debt instruments were raised, providing the company with colossal resources for developing its AI platform and data center infrastructure. Industry insiders estimate that xAI's value now exceeds $100 billion, placing it among the most valuable private firms globally. Another ambitious player, the startup Safe Superintelligence (co-founded by Ilya Sutskever), reportedly raised around $2 billion at a valuation over $30 billion to develop safe AI systems. Furthermore, reports indicate that another AI industry star, Anthropic, is in the final stage of negotiations for a new round of $3–5 billion, which will raise its valuation to astronomical $170 billion.

Such mega deals are giving rise to a new wave of "unicorns" and even "decacorns" (private companies valued at >$10 billion), particularly in the AI field. Analysts estimate that in Q2 2025, up to 45% of total venture funding globally was directed towards AI projects. Investors are attracted not only to providers of foundational AI models and platforms but also to niche solutions — from medical analytics to business process management. The all-encompassing "AI frenzy" continues to set the agenda for the venture market, ensuring an unprecedented influx of capital, although some experts warn of overheating risks in the sector.

At the same time, investors are actively supporting other rapidly growing segments, leading to the emergence of new "unicorns" beyond AI. Recent examples of significant deals in recent days include:

• Israeli startup Cato Networks (cloud cybersecurity) raised $359 million (valuation ~ $4.8 billion).
• US fintech startup Ramp (corporate expense management service) secured $500 million in funding (valuation rose to about $22.5 billion).
• Investment management software platform Juniper Square (USA) attracted $130 million (valuation ~ $1.1 billion).
• Content creator service Substack (USA) secured $100 million (valuation ~ $1.1 billion).

Collectively, these and other recent deals have sharply elevated valuations for many companies. In the first half of 2025 alone, several dozen new "unicorns" (valued at >$1 billion) emerged, with some quickly reaching "ultra-unicorn" status with valuations over $5 billion. Record capital infusions into AI, fintech, biotech, and other innovative niches confirm the return of investor confidence in promising technologies.

The Return of Mega-Funds: Big Investors Are Filling the Market with Capital Again

Major investment players are triumphantly returning to the venture scene, indicating a renewed appetite for risk. The Japanese conglomerate SoftBank is once again banking on large investments: Masayoshi Son announced the formation of Vision Fund III with a target size of about $40–50 billion, focusing on advanced technologies (with an emphasis on AI and robotics). Sovereign funds from Gulf countries have also ramped up: they are pouring billions of dollars into technology projects and launching state mega-programs to develop the startup sector, creating their own tech hubs in the Middle East. Concurrently, new venture funds are being established worldwide — both independent and corporate — attracting substantial institutional capital for investments in high technologies.

Notably, prominent Silicon Valley firms are also increasing their presence. For instance, venture giant Andreessen Horowitz (a16z) is raising a record new fund of about $20 billion, mainly focused on investments in late-stage American AI startups. According to industry research, US funds currently hold unprecedented reserves of uninvested capital — over $300 billion in "dry powder," ready to be deployed as confidence in the market returns. Such powerful flows of "big money" are infusing the ecosystem with liquidity, providing fuel for new rounds and supporting the growth of promising companies' valuations. The return of mega-funds and large institutional investors not only heightens competition for the best deals but also instills confidence in the industry for continued capital inflows.

Investment Diversification: Fintech, Climate, Biotech (and Even Crypto) on the Rise

In 2025, venture investments are being distributed across a broader range of industries, moving beyond just artificial intelligence. After a downturn last year, fintech has seen a noticeable revival: large rounds are occurring not just in the US but also in Europe, Asia, and emerging markets. A notable comeback of big deals in financial technology has occurred — for instance, the New York-based platform iCapital recently raised $820 million from a consortium of investors at a valuation above $7.5 billion, signaling renewed interest in the sector. Simultaneously, there is a boom in "green" technologies: funds are eagerly financing climate projects — from renewable energy and electric transport to innovative nuclear energy. Swiss startup Climeworks raised $162 million to expand direct CO₂ capture systems from the atmosphere (bringing its total funding to over $1 billion). In the realm of nuclear fusion, European companies set a new funding record (around €290 million for the first half of 2025), while American projects are leading in mega rounds (with Commonwealth Fusion Systems raising about $1 billion).

In biotechnology and medtech, deals are also increasing in size: AI-assisted drug discovery platforms, new genetic solutions, and other medical startups are attracting significant capital from investment funds. For instance, the American startup Centivax secured $45 million for developing a universal flu vaccine. The cybersecurity segment remains one of the market's drivers (noteworthy is the recent deal involving Cato Networks, mentioned above). Crypto- and Web3-startups are beginning to revive after a deep slump — in Q2 2025, venture investments in blockchain projects exceeded $10 billion (the highest since 2022), indicating a gradual return of interest in this segment as well. Thus, the venture market demonstrates growing maturity: capital is now being allocated across a wide array of sectors — from finance and energy to agtech and defense. Investors are deliberately diversifying portfolios, making the innovation ecosystem more resilient to overheating in individual industries.

Consolidation and M&A: Scaling Up Players

High company valuations and fierce competition for markets are driving the startup ecosystem toward consolidation. Major mergers and acquisitions are once again coming to the forefront, reshaping the power dynamics in the industry. In Southeast Asia, a potential mega-deal is being discussed: market leader Grab has resumed talks about merging with Indonesian tech holding company GoTo. The merger of the two companies, with a combined valuation of around $25 billion, would create a dominant platform in the region. The mere fact of the return to dialogue between Grab and GoTo reflects the players' desire to optimize costs and strengthen positions through collaboration.

In the US and Europe, tech giants are also intensifying their acquisition of promising projects. Google recently completed a record acquisition of cloud cybersecurity startup Wiz for $32 billion — the largest tech deal of the year, significantly strengthening Google’s position in the cloud services market. Concurrently, Meta invested about $14 billion in startup Scale AI (a data labeling platform), acquiring approximately 49% of shares at a company valuation of around $28 billion. This strategic deal demonstrates the large IT players' ambition to acquire key AI competencies. Additionally, driven by the demand for AI infrastructure, American cloud provider CoreWeave announced the acquisition of mining company Core Scientific for $9 billion, aiming to repurpose its data centers (originally built for crypto mining) for AI needs.

Interest in defense and aerospace technologies is also leading to record deals. Europe is witnessing unprecedented growth in this segment: German startup Helsing raised around €600 million in an investment round led by the Prima Materia fund (an investment company co-founded by Spotify’s Daniel Ek), raising Helsing's valuation to about €12 billion. Thus, Helsing entered the ranks of the most highly valued young companies in the defense sector. The wave of consolidation through mergers, acquisitions, and strategic alliances shows that both startups and corporations are seeking ways to scale and strengthen competitive positions in a rapidly changing market.

Global Expansion of Venture Capital: New Markets and Regions

The 2025 venture boom is acquiring a truly global scale, reaching markets that were recently on the periphery of the tech scene. Middle Eastern countries are demonstrating record activity: supported by government initiatives, large funds and hubs for startup development are being established, and more regional projects are receiving funding. Mega-projects are being launched in the Gulf states aimed at diversifying economies through technology, and local venture funds are becoming leading investors both in the domestic market and abroad.

New "unicorns" are emerging in Southeast Asia: tech companies in e-commerce, fintech, and logistics are reaching valuations over $1 billion amid the booming digital economy and expanding user base. India and Indonesia are also experiencing a surge in venture activity: in recent weeks, several Indian and Indonesian startups have closed funding rounds worth tens and hundreds of millions of dollars, and several successful growing companies have announced plans to go public. This geographical expansion of venture capital intensifies competition for the best projects: today, funds and business angels are tracking promising teams from Singapore and Dubai to Nairobi and São Paulo.

Africa is also witnessing an unprecedented influx of investments, leading to the rapid development of local startup ecosystems. From Nigerian fintech projects to Kenyan agtech startups — an increasing number of African teams are attracting international capital for scaling. Latin America is keeping pace: in 2025, Mexico surpassed Brazil in venture investment volume for the first time, and startups in the region are actively raising funds in sectors such as fintech, e-commerce, and delivery. The emergence of new innovation hubs in Mexico City, São Paulo, Dubai, Jakarta, and other cities is intensifying the global competition for capital and talent.

Russia and the CIS: A Local Focus Amid Global Trends

Despite external restrictions, active steps are being taken in Russia and neighboring countries to develop their own startup ecosystems in line with global trends. A new venture fund from PSB Bank was announced during the St. Petersburg International Economic Forum (SPIEF 2025), with a target size of around 12 billion rubles, aimed at supporting dual-use projects (drones, AI, robotics, and other high-tech areas). Alongside state institutions, private players have started becoming active: for example, the venture firm Kama Flow launched a new fund worth 10 billion rubles for investments in mature startups. Even amidst sanctions, the market is seeking ways to finance priority technologies and aims to nurture its own successful "unicorns."

Meanwhile, certain regional startups are reaching a new level. For example, the Krasnodar-based food tech project Qummy raised 440 million rubles at a valuation of ~2.4 billion rubles, preparing for an IPO — this case demonstrates the seriousness of even local initiatives. Additionally, a state fund, Qazaqstan Venture Group, has been established in Kazakhstan with a volume of $1 billion to support AI startups. In July 2025, regulations for foreign investors in Russia were also relaxed: they were allowed to purchase shares of domestic companies and withdraw funds with ease. These steps aim to stimulate international investments and foster a more integrated local venture capital market within global processes.

While the scale of the venture market in the region is still relatively modest, the groundwork for future growth is gradually being laid. Investors are shifting their focus toward more mature projects with proven business models, while the government is expanding support through the development of IT education, accelerators, and special tax regimes. Local startups aspire to integrate into global value chains, leveraging their strengths in modern technology directions (AI, Big Data, and others).

Conclusions: Cautious Optimism and Quality Growth

As of early August 2025, sentiment in the venture industry remains cautiously optimistic. Successful IPOs and large funding rounds provide grounds for believing that the bottom of the downturn has been passed; however, investors continue to approach investments selectively — favoring companies with sustainable business models and paths to profitability. A significant influx of capital into the sectors of AI, fintech, and cybersecurity inspires confidence in the continued development of the industry, but funds are paying increased attention to diversification and risk management. If the current momentum persists, the second half of 2025 could see further growth in the number of deals and investment volumes, though the key priority will remain the quality of this growth and the long-term sustainability of startups.