Current Startup and Venture Investment News for Tuesday, 27 January 2026: Record AI Funding Rounds, New Unicorns, IPO Resurgence, and Global Venture Fund Deals.
The global venture capital market is nearing the end of January 2026 with a confident upswing. Following a protracted downturn from 2022 to 2024 and a cautious recovery in 2025, investors are once again actively investing in promising tech startups across the globe. Record financing deals are being closed, and companies’ IPO plans are back in the spotlight. Major industry players are returning with substantial investments, governments and corporations are increasing their support for innovation, and significant private capital is flowing into the startup ecosystem. These trends indicate the emergence of a new investment boom, although market participants remain selective and cautious in their dealings.
Venture activity is growing across all regions. The United States is solidifying its leadership (particularly through investments in artificial intelligence), while the Middle East has seen a dramatic increase in startup investment driven by a surge in sovereign fund capital. In Europe, a shift is occurring, with Germany surpassing the UK for the first time in terms of venture deal volume. India, Southeast Asia, and the Gulf states are setting capital attraction records, while activity in China has slightly decreased. The startup ecosystems in Russia and neighboring countries are striving to keep pace with global trends.
Below are the key events and trends shaping the venture investment landscape for 27 January 2026:
- The Return of Mega Funds and Large Investors. Leading venture firms are raising record capital for new funds, injecting liquidity into the market and stoking risk appetite.
- Record Rounds in AI and a New Wave of Unicorns. Unprecedented deal sizes are pushing startup valuations to record heights, particularly in the artificial intelligence segment, resulting in the emergence of dozens of new unicorns.
- IPO Market Resurgence. Successful public market debuts by tech companies and new listing applications confirm that the long-awaited "window" for public market entries has reopened.
- A Wave of Consolidation through M&A Deals. Major mergers, acquisitions, and strategic partnerships are reshaping the industry landscape, providing investors with opportunities for quick exits.
- Diversification of Sector Focus. Venture capital is being directed not only to AI but also to fintech, climate projects, biotechnology, defence developments, crypto startups, and other promising areas.
The Return of Mega Funds: Big Money Back in the Market
The largest investment players are making a triumphant return to the venture arena, with the risk appetite in the industry noticeably increasing. In recent weeks, several top funds have announced the closing of new mega funds. American firm Lightspeed Venture Partners raised approximately $9 billion (a record fundraising figure for 2025), while several other firms have also formed billion-dollar funds. Sovereign investors have become more active as well; Gulf states are pouring billions into technology and launching their own startup programmes. Japanese firm SoftBank, having recovered from previous setbacks, is once again making large bets. At the end of 2025, SoftBank invested around $40 billion in OpenAI. The return of such powerful financial players signifies the emergence of hundreds of billions of dollars in "dry powder" (uninvested capital) ready for deployment. These resources are already entering the market, intensifying competition for the best projects and supporting high valuations for promising companies.
Record AI Investments and a Surge of New Unicorns
The artificial intelligence sector remains the main driver of the venture boom, demonstrating unprecedented levels of funding. Investors are keen to secure positions among the leaders of the AI revolution, directing colossal amounts into the most promising projects. In 2025, several companies secured multi-billion dollar funding rounds: OpenAI raised around $40 billion at a valuation of approximately $300 billion, while competitor Anthropic secured $13 billion. Investments are not only flowing into leaders but also into new teams. For instance, American AI infrastructure developer Baseten raised about $300 million at a valuation of approximately $5 billion. Such capital influxes are rapidly expanding the "unicorn" club. Just in recent months, dozens of startups – from generative AI and specialised chips to cloud AI services – have exceeded the $1 billion valuation threshold. While experts warn of overheating, the venture capital appetite for AI remains unabated.
IPO Wave: The Window for Exits is Open Again
The global IPO market is reviving after a two-year hiatus, once again providing startups with opportunities for public placements. In Asia, Hong Kong has initiated a new wave of listings: several major tech companies have gone public there recently, collectively raising billions in investments. For example, Chinese electronics manufacturer Xiaomi sold an additional tranche of shares for around $4 billion, demonstrating investors' willingness to support large offerings.
In the US and Europe, the situation is also improving: following successful debuts in 2024-2025, more unicorns are preparing to enter the stock market. American fintech giant Stripe, which has long delayed its IPO, is planning a listing in 2026 amid favourable market conditions. Additionally, design platform Figma chose to pursue a standalone IPO rather than being acquired, successfully raising over $1 billion and subsequently seeing its capitalisation rise solidly. Even the crypto industry is seeking to benefit from the revival: fintech company Circle successfully went public. The renewed activity in the IPO market is crucial for the venture ecosystem, as successful exits return capital to investors and allow it to be directed into new projects.
Consolidation and M&A: Major Deals Transforming the Industry
High valuations for startups and competition for leaders are leading to increased consolidation in the tech sector. Major corporations and expensive late-stage unicorns are increasingly acquiring promising teams or merging to accelerate growth. The year 2025 became one of the record years for M&A deal volumes: the total value of venture M&A worldwide approached historic highs, while in the US, it exceeded the levels seen during the 2021 boom. The culmination of this wave was Google's acquisition of cybersecurity startup Wiz for approximately $32 billion — the largest acquisition of a venture-backed company in the industry's history.
In addition to this record deal, several multi-billion dollar acquisitions took place across various segments. For example:
- Coinbase acquired cryptocurrency exchange Deribit;
- IonQ acquired quantum company Oxford Ionics.
The activation of the M&A market provides venture funds with new opportunities to profitably exit investments, while startups gain the resources needed for scaling under the wings of larger partners. The consolidation of players through mergers accelerates the maturation of specific niches and opens up new opportunities for the next wave of teams.
Diversification of Investments: Not Just AI Alone
The upswing of 2025-2026 is characterised by a surge in investments across various sectors. Following the downturn of previous years, funding in financial technologies is reviving: large rounds are occurring not only in the US but also in Europe and emerging markets, stimulating growth for new fintech services. Simultaneously, driven by a global push for sustainability, interest in climate and environmental projects is rising — startups in renewable energy, energy storage, and carbon reduction are attracting record investments. There is a renewed appetite for biotechnology as well: new breakthroughs in medicine are inspiring funds to finance large medical projects once again.
Attention is also increasing toward defence technologies, space developments, and robotics. In light of geopolitical challenges, investors are readily supporting national security projects, aerospace startups, and innovations for Industry 4.0. Below are the main areas, aside from AI, where investments are currently directed:
- Financial Technologies (Fintech): digital banks, payment platforms, online services;
- Climate and "Green" Projects: renewable energy, carbon reduction, and eco-friendly infrastructure;
- Biotechnology and Medicine: development of new medicines, biomedical devices, and digital health;
- Defence and Aerospace Technologies: defence-tech startups, drones, satellites, and robotic systems;
Thus, the venture landscape is becoming more balanced. Capital is being distributed across various sectors, reducing the risk of overheating in any one area. Funds are forming diversified portfolios and are keen to avoid past mistakes, where excessive funding in a single direction led to the creation of "bubbles."
A Look Ahead: Optimism with Elements of Caution
The venture community is entering 2026 with a sense of cautious optimism. Successful IPOs, mega rounds, and exits from late last year have indicated that the downturn is behind us; however, the lessons of the recent past are not forgotten. Investors are evaluating startup business models and pathways to profitability far more carefully, avoiding the race for growth at any cost. This disciplined approach helps to prevent market overheating.
At the same time, key trends instill confidence in continued growth. The window for IPOs, which was closed in 2022-2023, has now reopened, allowing mature companies to realize their public market exit plans. An active M&A market provides projects with exit opportunities, and the emergence of new mega funds guarantees the capital needed to finance the next generation of startups. While risks of macroeconomic instability remain, venture investors are approaching this new upswing more prepared than before. The early weeks of 2026 affirm that the global startup ecosystem is gaining momentum. Should positive trends persist, this year could bring further growth in venture investments and the emergence of new technological leaders.
