Current Startup and Venture Capital News as of January 26, 2026: The Return of Mega Funds, Record Investments in AI, a New Wave of IPOs, Increased M&A Activity, Diversification of Investments, and Local Initiatives.
By early 2026, the global venture market is experiencing a new upswing following a robust recovery last year. Investors worldwide are once again actively funding technology startups—record deals are being made, and the prospects of companies going public are capturing attention once more. Major industry players are returning with substantial investments, while governments and corporations are ramping up support for innovation. As a result, significant private capital is flowing back into the startup ecosystem, setting a positive tone for the start of the year.
Venture activity is rising across all regions. The U.S. has solidified its leading position (especially due to investments in artificial intelligence), while the Middle East has doubled its venture funding thanks to an influx of capital from sovereign funds. In Europe, a shift is occurring—Germany is outpacing the U.K. for the first time in deal volume. India, Southeast Asia, and the Gulf countries are attracting record amounts of capital amid a relative slowdown of activity in China. Startup ecosystems in Russia and other CIS countries are striving to keep pace with global trends, despite external constraints. A global venture boom is forming at an early stage, although investors are still acting selectively and cautiously.
Below are the key events and trends shaping the venture market agenda as of January 26, 2026:
- The Return of Mega Funds and Large Investors. Leading venture firms are raising record capital for new funds, once again saturating the market with liquidity and reigniting risk appetite.
- Record Rounds in AI and New "Unicorns". Unusually large deals are pushing startup valuations to unprecedented heights, especially in the AI sector.
- The Resurgence of IPO Activity. Successful public listings of several tech companies and new filings confirm that the long-awaited "window" for exits remains open.
- A Wave of Consolidation and M&A Activity. Numerous large mergers, acquisitions, and strategic investments are reshaping the industry landscape, creating opportunities for profitable exits and accelerated growth.
- Diversification of Sector Focus. Venture capital is flowing not only into AI but also into fintech, climate technology and "green" energy, biotechnology, defense developments, and blockchain startups.
- Local Focus: Russia and CIS Countries. Despite external constraints, new funds and initiatives aimed at developing local startup ecosystems are emerging in the region, gradually capturing the interest of investors.
The Return of Mega Funds: Big Money Back in the Market
The largest investment players are making a triumphant return to the venture arena, indicating an increased risk appetite in the industry. In recent weeks, several top funds announced record amounts raised for new investment strategies. For instance, American firm Lightspeed Venture Partners raised approximately $9 billion across several funds, making it the largest venture fundraising round in 2025. Other mega funds have joined in: Dragoneer raised ~$4.3 billion, Founders Fund attracted $4.5 billion for a new growth fund, while giants like Andreessen Horowitz and General Catalyst closed funds of $7–8 billion in 2024. These large capital raises highlighted the gap between elite venture "heavyweights" and the rest of the market, where the overall number of new funds has dropped to its lowest level in a decade.
Sovereign funds from Gulf countries are also increasing their activity: by investing billions of dollars in technology projects, they are launching government mega-programs to support startups and developing their own tech hubs in the Middle East. Japan's SoftBank, having recovered from previous losses, returned to making large bets—at the end of 2025, it invested $40 billion in OpenAI (the largest private deal in history) and is now rumored to be planning financing for a new wave of "super startups" in AI. Around the world, tens of new venture funds are being established (though fewer than before) that are managing to attract significant institutional capital for investments in high-tech areas.
In Silicon Valley, funds have accumulated unprecedented reserves of uninvested capital—"dry powder" amounting to hundreds of billions of dollars, ready to be deployed as market confidence recovers. The influx of "big money" is filling the startup market with liquidity, providing resources for new funding rounds and supporting the growth of valuations for promising companies. The return of mega funds and large institutional investors not only intensifies the competition for the best deals but also strengthens the industry's confidence in the continued influx of capital.
Record Investments in AI and a New Wave of "Unicorns"
The artificial intelligence sector is the primary driver of the current venture boom, showcasing record levels of funding. Investors are eager to position themselves among the leaders in the AI race, directing colossal amounts of capital toward the most promising projects. In 2025, several companies secured multibillion-dollar rounds: OpenAI received $40 billion at a valuation of ~$300 billion (the largest venture round in history), Anthropic attracted $13 billion (valuation ~$183 billion), and Elon Musk's startup xAI garnered approximately $10 billion. All these deals were significantly oversubscribed, highlighting the enthusiasm surrounding AI companies.
Notably, venture investments are flowing not only into end AI applications but also into the necessary infrastructure for them. For instance, the new AI laboratory startup Humans& secured about $480 million in seed funding—an unprecedented amount for a seed round, demonstrating the market's readiness to support even newcomers established by top industry experts. Another example is American AI infrastructure developer Baseten, which raised $300 million at a valuation of ~$5 billion with participation from investors like Nvidia, confirming strong interest in the "shovels and pickaxes" for the new AI ecosystem. This current investment boom has spawned a wave of new "unicorns"—startups valued at over $1 billion. While experts warn of the risk of overheating in the market, investor appetite for AI startups remains robust.
The IPO Market is Reviving: Opportunity Window for Exits
The global initial public offering (IPO) market is emerging from its quiet period and gaining traction once again. In Asia, Hong Kong has ignited a new wave of IPOs: in recent months, several major tech companies have gone public, collectively raising billions of dollars. For example, Chinese electronics manufacturer Xiaomi successfully completed a secondary stock offering, raising around $4 billion, demonstrating regional investors' willingness to return to IPO transactions. Another example is a significant electric vehicle company that listed in Shanghai, raising ~$3 billion.
In the U.S. and Europe, the situation is also improving: 2024–2025 saw high-profile debuts on the stock exchange from some "unicorns." American fintech giant Stripe, which has long postponed its listing, is preparing for an IPO in 2026 against the backdrop of successful offerings by peers. In the cybersecurity sector, companies Rubrik and Netskope debuted on NASDAQ with valuations of $8–9 billion, and their stock prices surged in the initial trading days, confirming investor demand. Even design platform Figma opted for an independent IPO instead of being acquired and raised over $1 billion, after which its capitalization rose steadily.
Even the crypto industry is trying to take advantage of the uptick: fintech firm Circle successfully conducted an IPO last summer (its stock later soared), while crypto exchange Bullish has submitted an application for a listing in the U.S. with a target valuation of around $4 billion. The resurgence of activity in the IPO market is crucial for the venture ecosystem: successful public exits allow funds to realize profits and redirect freed-up capital into new projects, facilitating a new cycle of investments.
Consolidation and M&A Deals: Consolidation of Players
Overinflated startup valuations and fierce competition in the market are driving the industry toward consolidation. Large mergers and acquisitions are back in focus, significantly reshaping the technology landscape. The year 2025 has been one of the record years for merger activity: the total value of venture M&A deals worldwide reached historical highs, and in the U.S., this figure even surpassed the 2021 levels. The highlight was Google acquiring Wiz (cybersecurity) for about $32 billion—the largest acquisition of a venture startup in history.
In addition, several multibillion-dollar exits have occurred across various sectors, where major corporations are acquiring promising projects. Such deals include:
- The crypto exchange Deribit (Netherlands) was acquired by Coinbase.
- London fintech Hidden Road was folded into Ripple.
- Oxford quantum startup Oxford Ionics was purchased by American firm IonQ.
- Barcelona-based legal AI platform vLex joined Canadian company Clio.
The activation of M&A provides venture funds with opportunities to exit investments profitably and gives startups the resources to scale under the wings of large partners. The consolidation of players through mergers and acquisitions accelerates the maturation of specific market segments and opens new niches for the next wave of startups.
Diversification of Investments: Beyond AI
In 2025, venture investments have been broadening to encompass a more extensive range of industries, moving beyond solely artificial intelligence. Following the downturn of previous years, fintech is experiencing a resurgence—major funding rounds are taking place not only in the U.S. but also in Europe and emerging markets, fueling the growth of new financial services. Simultaneously, the global trend toward sustainability is driving increased interest in climate technologies, "green" energy, and agritech—these areas are attracting record investments.
- Financial Technologies (Fintech): A return of large investments in payment services, neobanks, and other fintech startups worldwide.
- Climate and "Green" Technologies: A record influx of capital into renewable energy, waste management, and eco-friendly production projects.
- Biotechnology and MedTech: The emergence of new drugs and digital health services is attracting capital again as the industry moves out of a period of declining valuations.
- Defense and Aerospace Developments: Amid growing security concerns, investors are backing startups in defense-tech, as well as space projects and robotics.
- Blockchain and Cryptocurrencies: A partial restoration of trust in the crypto market has allowed some blockchain startups to once again secure funding.
Ultimately, the broadening sector focus makes the startup ecosystem more resilient and reduces the risk of overheating in specific segments. Funds are spreading capital across various directions, aiming to create a balanced portfolio in the context of a new market upswing.
Russia and the CIS: Local Initiatives Amid Global Trends
Despite external constraints, startup activity is witnessing a rejuvenation in Russia and neighboring countries. Announcements have been made regarding the launch of several new venture funds with a total volume of approximately 10–12 billion rubles, aimed at supporting early-stage technology projects. Local startups are beginning to attract significant capital: for example, the Krasnodar-based foodtech project Qummy recently received around 440 million rubles in investments at a valuation of approximately 2.4 billion rubles. Additionally, regulatory bodies have simplified rules for foreign investors from friendly countries, gradually reigniting foreign capital interest in local projects.
For now, the volumes of venture investments in the region remain modest compared to global figures, but they are steadily increasing. Some large companies are considering taking their tech divisions public when market conditions improve—VK Tech recently publicly stated the possibility of an IPO in the foreseeable future. New government support measures and corporate initiatives aim to provide additional momentum to the local startup ecosystem and integrate it into global trends.
Cautious Optimism and Quality Growth
At the start of 2026, the venture market is displaying moderately optimistic sentiments: successful IPOs and large deals suggest that the downturn period is behind us, although investors are still acting selectively and favor projects with sustainable business models. Significant capital inflows into AI and other sectors instill confidence, but funds are keen to diversify investments and carefully manage risks to prevent the new upswing from becoming another overheating episode. Thus, the industry is entering another phase of development, focusing on quality, balanced growth.
