Latest Startup and Venture Capital News as of January 18, 2026: Record Rounds in AI, the Return of Mega Funds, IPO Revitalization, and Key Trends in the Global Venture Market.
At the beginning of 2026, the global venture capital market is demonstrating steady growth, having finally overcome the consequences of the downturn of recent years. According to the latest data, in the fourth quarter of 2025, the volume of venture investments reached peak values not seen in recent years, approaching the record levels of the boom year 2021. This upward trend only intensified in the fall: in November alone, startups worldwide attracted approximately $40 billion in funding (28% more than a year earlier). The prolonged "venture winter" of 2022-2023 is behind us, and private capital is rapidly returning to the technology sector. Large funds are resuming substantial investments, governments are launching initiatives to support innovation, and investors are once again willing to take risks. Despite a persisting selectivity in approaches, the industry confidently enters a new phase of venture investment upswing.
Venture activity is increasing across all regions of the world. The U.S. continues to lead (primarily due to colossal investments in AI), while the volume of deals in the Middle East has surged thanks to generous financing from state funds; in Europe, Germany has for the first time in a decade surpassed the UK in total capital raised. Asia is witnessing a shift in growth from China to India and Southeast Asian countries, compensating for the relative cooling of the Chinese market. The startup ecosystems in the CIS countries are also striving to keep pace, despite external restrictions. A global venture boom is emerging in its early stages, although investors are still acting selectively and cautiously.
Below are the key events and trends shaping the venture market agenda as of January 18, 2026:
- Return of Mega Funds and Large Investors. Leading venture funds are raising record-sized funds and once again flooding the market with capital, reigniting appetite for risk.
- Record Rounds in AI and New "Unicorns." Unprecedented investments in artificial intelligence are elevating startup valuations to unseen heights and generating a wave of new unicorn companies.
- Revitalization of the IPO Market. Successful public offerings of technology companies and an increase in listing applications confirm that the long-awaited "window of opportunity" for exits has reopened.
- Diversification of Sectoral Focus. Venture capital is flowing not only into AI but also into fintech, climate projects, biotech, defense developments, and other areas, expanding market horizons.
- Wave of Consolidation and M&A Deals. Major mergers, acquisitions, and strategic partnerships are reshaping the industry landscape, creating new exit opportunities and accelerated growth for companies.
- Renewed Interest in Crypto Startups. After an extended "crypto winter," blockchain projects are once again receiving significant funding amidst the recovery in the digital asset market and easing of regulations.
- Global Expansion of Venture Capital. The investment boom is reaching new regions—from the Persian Gulf and South Asia to Africa and Latin America—forming local tech hubs worldwide.
- Local Focus: Russia and the CIS. New funds and initiatives to develop local startup ecosystems are emerging in the region, gradually increasing investor interest in local projects.
Return of Mega Funds: Big Money Back in the Market
The largest investment players are triumphantly returning to the venture arena, signaling a new surge in appetite for risk. After several years of quiet, leading funds have resumed raising record capital and are launching mega funds, demonstrating confidence in the market's potential. For example, Japanese conglomerate SoftBank is forming its third Vision Fund with an estimated volume of ~$40 billion, focused on cutting-edge technologies (primarily in AI and robotics). Even investment firms that had previously taken a pause are making a comeback: Tiger Global announced a new fund valued at ~$2.2 billion—less than its previous giant funds but with a more selective strategy. One of Silicon Valley’s oldest venture players made headlines as well: in December, the Lightspeed fund raised a record $9 billion for new funds, aiming to invest in large-scale projects (mainly in AI).
Sovereign funds from the Middle East are also becoming active: governments of oil-producing countries are injecting billions into innovative programs, creating powerful regional tech hubs. Additionally, numerous new venture funds are emerging worldwide, attracting significant institutional capital for investments in high-tech companies. The largest funds from Silicon Valley and Wall Street have amassed unprecedented reserves of uninvested capital ("dry powder")—hundreds of billions of dollars are ready to be deployed as the market revives. The influx of "big money" is already being felt: the market is becoming liquid, competition for the best deals is intensifying, and the industry is gaining the much-needed confidence in further capital inflows. Notably, government initiatives are also in play: for example, the German government has launched the Deutschlandfonds with a volume of €30 billion to attract private capital for technology and economic modernization, underscoring the authorities' efforts to support the venture market.
Record Investments in AI: A New Wave of "Unicorns"
The artificial intelligence sector remains the main driver of the current venture upturn, showcasing record levels of funding. Investors worldwide are eager to position themselves among the leaders of the AI market, directing colossal amounts of money into the most promising projects. In recent months, several AI startups have attracted unprecedentedly large funding rounds. For instance, AI model developer Anthropic raised about $13 billion, Elon Musk's xAI project attracted around $20 billion, and a lesser-known AI infrastructure startup secured over $2 billion, raising its valuation to approximately $30 billion. Special attention has been given to OpenAI: a series of mega deals has elevated its valuation to an astronomical ~$500 billion, making OpenAI the most valuable private startup in history. Previously, SoftBank led a funding round of ~$40 billion (valuing the company at around $300 billion), and reports now indicate that Amazon Corporation is finalizing a deal to invest up to $10 billion, further solidifying OpenAI's position at the top of the market.
Such colossal rounds (often with multiple oversubscription) confirm the frenzy surrounding AI technologies and raise company valuations to unprecedented heights, spawning dozens of new unicorns. Moreover, venture investments are flowing not only into practical AI services but also into critical infrastructure for them. "Smart money" is even going into the "shovels and pickaxes" of the digital gold rush—from the production of specialized chips and cloud platforms to tools for optimizing data center energy consumption. The market is ready to actively finance even such infrastructure projects that support the AI ecosystem. Despite some concerns about overheating, investors' appetite for AI startups remains extraordinarily high—everyone aims to grab their share in the AI revolution.
IPO Market Revitalized: Opportunities for Exits
The global primary public offering (IPO) market is emerging from its lull and gaining momentum. In Asia, Hong Kong has kicked off a new wave of IPOs: in recent weeks, several major technology companies have gone public there, collectively raising billions of dollars. For example, Chinese battery giant CATL successfully raised ~$5 billion, signaling that regional investors are once again ready to actively participate in IPOs. In January 2026, one of the leading Chinese startups in generative AI, MiniMax, debuted on the Hong Kong Stock Exchange—its shares rose by 78% on the first day of trading, and its market capitalization exceeded 90 billion HKD (about $11.7 billion). The strong demand for MiniMax shares demonstrated investors' willingness to pay for "home champions" in the AI sector, especially with support from Beijing.
In the U.S. and Europe, the situation is also improving: the American fintech unicorn Chime recently debuted on the market—its shares surged about 30% on the first day of trading. Shortly after, design platform Figma conducted an IPO, raising around $1.2 billion at a valuation of approximately $15-20 billion, with its quotes also rising steadily in the first days of trading. In the second half of 2025, other well-known startups are preparing to go public—including payment service Stripe and several other highly valued companies.
Even the crypto industry is trying to leverage the revival: for instance, fintech company Circle successfully went public last summer (its shares then soared), and cryptocurrency exchange Bullish has applied for a listing in the U.S. with a target valuation of about $4 billion. The return of activity in the IPO market is crucial for the venture ecosystem: successful public exits allow funds to lock in profits and direct freed-up capital into new projects.
Diversification of Investments: Not Just AI
In 2025, venture investments are covering an increasingly broad range of industries and are no longer limited to just AI. After last year's downturn, fintech is reviving: large funding rounds are taking place not only in the U.S. but also in Europe, as well as in emerging markets, which bolsters the growth of promising financial services. Simultaneously, interest in climate technologies, "green" energy, and agrotechnology is growing—these sectors are attracting record investments amid a global trend toward sustainable development.
Appetite for biotechnology is also making a comeback: the emergence of new medical developments and online platforms is once again attracting capital as the industry emerges from a period of declining valuations. Furthermore, with increased attention to security, investors have begun supporting defense technology projects, while a partial restoration of trust in the cryptocurrency market has allowed some blockchain startups to secure funding again. Ultimately, the expansion of sectoral focus makes the entire startup ecosystem more resilient and reduces the risk of overheating in individual segments.
Consolidation and M&A Deals: Enlarging Players
Elevated valuations of startups and fierce competition for markets are driving the industry toward consolidation. Major mergers and acquisitions are once again coming to the forefront, reshaping the balance of power. For instance, Google has agreed to acquire the Israeli cybersecurity startup Wiz for approximately $32 billion—a record sum for the Israeli tech sector.
Such megadeals demonstrate the desire of tech giants to acquire key technologies and talent. Overall, the current activity in acquisitions and major venture deals indicates market maturation. Mature startups are merging with one another or becoming targets for acquisition by corporations, and venture investors are finally getting the long-awaited profitable exits.
Russia and the CIS: Local Initiatives Amid Global Trends
Despite external sanctions pressure, there is a gradual revival of startup activity in Russia and neighboring countries. In 2025, several new venture funds totaling around 10-12 billion rubles were announced, aimed at supporting early-stage technology projects. Local startups are beginning to attract substantial capital: for example, the Krasnodar-based food tech project Qummy attracted about 440 million rubles at a valuation of approximately 2.4 billion rubles. Additionally, Russia has again allowed foreign investors to invest in local projects, gradually rekindling interest from foreign capital.
Although the volumes of venture investments in the region are still modest compared to global figures, they are gradually increasing. Some major companies are seriously considering taking their technology divisions public when market conditions improve—for instance, the management of VK Tech (a subsidiary of VK) recently publicly entertained the possibility of an IPO in the foreseeable future. New government support measures and corporate initiatives are designed to give an additional boost to the local startup ecosystem and align its development with global trends.
Conclusion: Cautious Optimism at the Start of 2026
By the beginning of 2026, moderately optimistic sentiments have taken root in the venture industry. Record funding rounds and successful IPOs have convincingly shown that the downturn period is behind us. Nonetheless, market participants are still maintaining a degree of caution. Investors are now paying increased attention to project quality and the sustainability of business models, aiming to avoid unjustified hype. The focus of the new venture upswing is not on racing for inflated valuations but on identifying genuinely promising ideas capable of generating profits and transforming industries.
Even the largest funds are calling for a measured approach. Some investors note that the valuations of a number of startups remain very high and are not always backed by strong business metrics. Aware of the risk of overheating (especially in the AI sector), the venture community intends to act prudently, combining bold investments with careful "homework" in analyzing markets and products.
