New mid-year venture report unveils top deals, sector trends, ecosystem highlights and much more
By Nancy Dahlberg
For South Florida venture capital activity in the first half of 2024, it could have been much worse. While the national picture brightened mostly due to outsized AI deals, the Miami-Fort Lauderdale metro area still ranked in in the top 10 US metro areas for venture capital results.
Most notably, the South Florida region ranked 6th in the nation by deal count, the same ranking as last year and a trend we started seeing in 2021, fueled by the Miami migration of founders and funders.
Miami metro area companies attracted $1.37 billion across 199 deals in the first half, well on track to best last year’s $2.4 billion raised. Seed stage deals dominated, accounting for 38% of the rounds. Indeed, early-stage companies, from angel and pre-seed through Series A stage, attracted 80% of the rounds.
Those are just some of the top findings you will read in the 22-page Midyear 2024 eMerge Insights Florida Venture Capital Report that was released today by eMerge Americas.
More highlights:
- Financial technology was again the most-active sector, with companies securing $408 million across 47 deals, significantly surpassing the pace last year.
- But Medtech was a close second. Startups in this space secured $378 million in the first half of this year, surpassing the full-year 2023 total of $362 million.
- Don’t count crypto out. Blockchain, crypto and Web3 startups attracted 18% of the VC dollars going into South Florida companies. This amounts to $272 million across 25 deals during the first half of the year.
- Insightec, on a mission to revolutionize patient care with focused ultrasound, brought in the top deal: a $150M raise led by Fidelity.
- In our region, 43 AI-powered companies raised a total of $209 million in 1H 2024. That’s closing in on the $319M that was raised in all of 2023.
- Climatetech is one to watch, though fundings in the sector are tracking lower than last year. Nearly half of the fundings were under $1 million.
- Don’t bet against the gaming sector. With $72 million in fundings so far in 2024, gaming activity is already surpassing 2023’s total.
- Statewide, Florida-based companies attracted over $2.1 billion across 332 deals in 1H 2024, ahead of last year’s pace. Among US metros, Florida ranked 7th for deal value and 5th for deal count.
“This report underscores the collective power of Florida’s position as a growing hub for innovation and entrepreneurship, with the state maintaining its competitive edge on a national scale,” said Melissa Medina, co-founder and CEO of eMerge Americas.
What were the first half’s top fundings? Which startups powered our top sectors? You’ll have to read the report, which also includes statewide trends and top deals, exit data, and an ecosystem highlights column.
For this report, I analyzed data from Pitchbook, Crunchbase, Dealroom and Refresh Miami’s reporting to come up with the totals. It’s important to note that venture data often lags so totals will change, but it’s a snapshot into how we are faring during this VC winter.
“Despite this slowdown, the current deal landscape remains much healthier and more vibrant than it was before the pandemic, reflecting a sustained level of activity and interest in the market,” says Florida Funders Partner Saxon Baum in the report. “Venture capital is still navigating challenging conditions, but experienced hands are finding a way forward.”
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