US VC Funding Soars Past $100 Billion in Early 2025

US venture capital (VC) funding has demonstrated exceptional strength in the first five months of 2025, reaching a staggering $101 billion. This marks a significant 90% increase in deal value year-on-year, despite a slight 5% decline in the total number of deals. This trend, highlighted by GlobalData, indicates a clear shift towards larger investments in fewer, yet more promising, ventures.

Aurojyoti Bose, Lead Analyst at GlobalData, noted that it took ten months to reach the $100 billion mark in 2024, underscoring the accelerated pace of investment this year. This robust growth reflects strong investor confidence in the innovation and scalability of US startups, signaling a maturing market where quality investments are prioritized.

In stark contrast to the US, other major global markets like China and the UK have experienced significant contractions in both VC deal volume and value. The overall global VC funding landscape has diminished, allowing the US to capture a larger share and solidify its dominance.

During January-May 2025, the US accounted for approximately 30% of all VC deals announced globally, reaffirming its position as the top market for VC funding activity. Furthermore, its share of global VC deal value expanded significantly from about 50% in the same period last year to roughly 70% in 2025.

This substantial growth in deal value, despite fluctuations in volume, underscores a resilient and evolving market. The US is well-positioned to maintain its leadership in the global venture capital arena as investors continue to favor quality over quantity.