Here’s the latest: If your startup pitch doesn’t have the letters “A” and “I” in it… good luck getting a call back from a VC right now.
Seriously — it’s wild out there.
And the crazy part? Even with the risk of it all popping, investors are still diving in headfirst.
According to fresh data from PitchBook, 2025 might officially be the first year where AI soaks up more than half of all venture capital money.
Yep, more than half! 💸
That’s $192.7 billion out of $366.8 billion total so far — and the year’s not even over.
In the last quarter alone, 62.7% of U.S. VC money went to AI. And globally? 53.2%.
It’s basically raining AI checks out there. And guess what? most of that cash is heading straight to the same mega-names — like Anthropic, which just pulled off a $13 billion raise in September.
Meanwhile, for everyone not building AI, things are… rough.
The number of new funds and startups getting money is at its lowest point in years — we’re talking just 823 funds raised globally so far in 2025, compared to 4,400 in 2022.
PitchBook’s director of research, Kyle Sanford, put it best:
“You’re either in AI, or you’re not.”
And that’s exactly what this feels like — a massive game of musical chairs, where every investor wants a seat at the AI table before the music stops.
So yeah, unless your product can summarize an email or generate a meme, VCs might not even look your way. 😅
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