Global Startup and Venture Investment News for November 1, 2025: Record Rounds in AI, the Return of Mega Funds, a Wave of IPOs and M&A. Key Trends and Outlooks for Investors in the Venture Market.
As of early November 2025, the global venture market continues to grow confidently after several years of decline. Investors worldwide are once again actively funding technology startups—record deals are being made, and companies are once again focusing on IPO plans. Major players are returning to the market with large investments, leading to a strong return of private capital into the startup ecosystem.
The increase in venture activity is evident across all regions. The United States remains the leader (especially in the field of artificial intelligence), while the Middle East has nearly doubled its investment volume year-on-year. Europe is experiencing shifts, with Germany surpassing the United Kingdom for the first time in terms of the number of venture deals. India, Southeast Asia, and Gulf countries are attracting record amounts of capital amidst declining activity in China. The startup ecosystems of Russia and other CIS countries are also striving to keep pace despite external restrictions. A new venture boom is forming, although investors are still approaching deals selectively and cautiously.
- The return of mega funds and large investors. Leading venture funds are forming unprecedentedly large funds and increasing their investments, saturating the market with capital and increasing risk appetite.
- Record funding rounds in the AI sector and new "unicorns." Enormous investments are driving startup valuations to unprecedented heights, particularly in the artificial intelligence segment.
- Revival of the IPO market. Successful technology company market debuts and new applications confirm that the long-awaited “window” for exits has reopened.
- Diversification of investment sectors. Venture capital is flowing not only into AI but also into fintech, climate technologies, biotech, defence technologies, and even crypto startups.
- A wave of consolidation: mergers and acquisitions (M&A). Major consolidations and strategic acquisitions are reshaping the industry landscape, creating opportunities for profitable exits and accelerated growth for companies.
- Local focus: Russia and the CIS. New funds and initiatives to support local startups are emerging in the region, attracting investor attention despite restrictions.
- Cautious optimism among investors. The market is experiencing an upswing; however, participants maintain a measured approach to startup valuations and avoid excessive risk.
The Return of Mega Funds: Big Money Back in the Market
The largest investment players are triumphantly returning to the venture arena, signalling a new wave of risk appetite. The Japanese conglomerate SoftBank, for example, has officially completed an investment of approximately $30 billion in OpenAI, marking one of the largest private deals in tech history. Sovereign funds from Gulf countries have also ramped up their activity by injecting billions of dollars into tech projects and developing state mega-programmes to support the startup sector, forming their own tech hubs in the Middle East. Concurrently, dozens of new venture funds are being established globally, attracting significant institutional capital for investments in high-tech areas.
Renowned Silicon Valley venture firms are also increasing their presence. These funds have accumulated record reserves of uninvested capital ("dry powder")—hundreds of billions of dollars—ready to be deployed as market confidence recovers. The influx of such "big money" fills the startup market with liquidity, providing resources for new funding rounds and supporting the growth of promising companies' valuations. The return of mega funds and large institutional investors not only intensifies competition for the best deals but also instils confidence in the industry regarding the ongoing flow of capital.
Record Investments in AI and a New Wave of "Unicorns"
The field of artificial intelligence remains the main driver of the current venture upswing, showcasing record funding volumes. Investors are eager to position themselves among market leaders in AI, directing colossal funds into the most promising projects. In just the last few weeks, several mega-rounds have been announced: the American startup Crusoe (infrastructure for AI data centres) raised ~$1.4 billion at a valuation of around $10 billion; major rounds were also closed by foundational AI model developers Anthropic (about $13 billion) and xAI (≈$5.3 billion). Such deals soar to unprecedented heights and highlight the frenzy surrounding AI startups. According to Crunchbase, nearly half of all venture capital investments worldwide in the third quarter of 2025 were directed towards companies related to artificial intelligence.
It is important to note that capital is being directed not only into final AI applications but also into infrastructure for these applications—the market is ready to finance even the "shovels and picks" for the new gold rush in AI. As a result, the current investment boom is giving rise to a host of new "unicorns" (startups valued over $1 billion). Although experts warn about the risks of overheating in certain projects, the venture capital appetite for AI startups shows no signs of abating.
The IPO Market Revives: A Window of Opportunity for Exits
The global initial public offering market is emerging from a prolonged lull and gaining momentum. In Asia, Hong Kong has sparked a new wave of IPOs: in recent months, several large technology companies have successfully gone public, collectively raising billions of dollars. The situation is also improving in the United States and Europe: several highly valued startups (such as fintech giant Chime and design platform Figma) have made successful stock market debuts, demonstrating high demand from investors and robust share price growth in the early trading days. In the second half of 2025, other "unicorns" are preparing for their market debut—among the most anticipated IPOs are the payment service Stripe and several major technology companies.
Even the crypto industry is attempting to capitalise on this revival: fintech company Circle successfully conducted an IPO over the summer (its shares saw significant gains afterwards), while cryptocurrency exchange Bullish has filed for a listing in the US with a targeted valuation of around $4 billion. The renewed activity in the IPO market is crucial for the venture ecosystem: successful public exits allow funds to realise profitable exits and redirect freed-up capital into new projects, thereby supporting further industry growth.
Diversification of Investments: Not Just AI
In 2025, venture investments are encompassing an increasingly broad range of sectors, no longer limited to the AI frenzy. Following a downturn last year, fintech is regaining traction: significant funding rounds are occurring not just in the US but also in Europe and emerging markets, stimulating the growth of new digital financial services. Simultaneously, interest in climate and "green" technologies is increasing, driven by the global trend towards sustainability.
- Fintech: The fintech sector is receiving substantial funding across various regions, fuelling the creation of new payment systems and banking services.
- Climate and Agri-tech: Projects in renewable energy, eco-technologies, and agri-tech are attracting record investments due to the prioritisation of the environmental agenda.
- Bio- and Med-tech: Breakthrough developments in pharmaceuticals and digital healthcare are attracting capital once again, with the sector gradually emerging from a period of declining valuations.
- Defence Technologies: Investors' interest in startups within the defence, aerospace, and dual-use sectors is on the rise.
- Crypto Startups: A partial restoration of trust in the crypto market has allowed several blockchain companies to attract financing once again.
Thus, in 2025, venture capital is notably diversifying across sectors, making the entire startup ecosystem more resilient and reducing the risk of overheating in specific segments. This broader focus from investors means that beyond AI, they are also willing to support fintech innovators, green startups, biotech projects, defence technologies, and other promising directions.
Consolidation and M&A: Scaling Up Players
High startup valuations and intense market competition are prompting a wave of consolidation. Major mergers and acquisitions are once again coming to the forefront, redistributing roles in the industry. Tech giants are actively eyeing leaders among startups, eager to acquire key technologies and talent.
In recent months, several high-profile acquisitions have drawn industry attention. For instance, Google announced the acquisition of Israeli cybersecurity startup Wiz for around $32 billion—a record amount for the Israeli tech market. Such mega-deals demonstrate large companies' eagerness to acquire leading-edge developments and talent. Overall, the activation of M&A signals market maturation: mature startups are either merging with one another or becoming acquisition targets for corporations, while venture investors finally gain opportunities for long-awaited profitable exits.
Russia and the CIS: Local Initiatives Amidst Global Trends
Despite external restrictions, active efforts are underway in Russia and neighbouring countries to develop a local startup ecosystem. In 2025, several new venture funds have been announced. For instance, the Nova VC fund has been established with a volume of approximately 10 billion rubles to invest in IT startups, while the investment firm Kama Flow launched a fund of a similar size, targeting late-stage projects. Large corporations and state banks are also forming corporate venture funds aimed at supporting domestic technology projects.
In addition to financing, accelerators, startup schools, and other initiatives are being launched to support entrepreneurs. Local startups are gradually attracting attention not only from Russian investors but also from foreign partners in friendly countries. Although the volumes of the venture market in Russia and the CIS are still lagging behind global leaders, the region is striving to keep up with global trends. Investors here continue to act selectively, focusing on niches where local teams have competitive advantages and growth potential.
Cautious Optimism and Growth Prospects
As 2026 approaches, the startup and venture investment industry is entering a phase of revival. The global influx of capital, a series of new "unicorns," successful IPOs, and strategic deals indicate a restoration of confidence in the market. At the same time, investors remain cautious, preferring startups with sustainable business models. Large capital inflows into AI and other sectors instill confidence, but funds are striving to diversify investments and tight control risks, ensuring the new upturn does not lead to overheating. Thus, the industry is transitioning to a new development cycle focused on quality and balanced growth.
