Overall VC Fundraising Drops 33% But AI Investment Surges

5 months ago


Why AI? Companies Are Chasing Fast Growth

Speaking to Reuters, Davis Treybig, partner at VC firm Innovation Endeavors, gave some context for the immense draw that AI has over VC investments right now.

“I think it’s downstream of the fact that OpenAI and Anthropic continue to grow at unbelievable rates. […] If there’s even a chance you could see that sort of progress in other domains, whether it’s robotics, protein folding models, world models or video models, then there’s a lot of people who are going to want to invest a lot of money.”

In contrast, US venture capital firms’ own fundraising attempts haven’t been going as well.

Not only did VC funds just raise $26.6 billion overall so far in 2025, but the typical time to close new vehicles has also been increasing, hitting a median of 15.3 months in the second quarter of the year.



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