In January 2024, the global startup funding landscape saw a notable increase in deal volume – $42.03 billion raised in 561 deals – although the total funding value remained lower compared to the previous year. Here’s a summary of key trends and notable deals from various regions:
Global overview
- Deal volume surge: There was a 105% increase in the number of deals compared to December 2023, but a 77% decline from January 2023, indicating a volatile market environment.
- Funding value: The total funding amount rose by 14% month-over-month but was 38% lower than January 2023, suggesting that while more startups are securing funding, the average deal size is shrinking.
Notable funding deals
- Vivifi (India): Secured ₹623.62 crore (~$75 million) in a Series B round led by BP IN VPF LLC, marking a significant investment in the Indian startup ecosystem.
- Rebellions (South Korea): Raised $124 million in Series B funding, led by KT Corp, highlighting strong interest in AI hardware.
- Quantinuum (USA): Attracted $300 million in venture funding, emphasizing the growing importance of quantum technologies.
- Silicon Box (Singapore): Secured $200 million in Series B funding, reflecting robust investor confidence in packaging innovations.
- Lykos Therapeutics (USA): Raised $100 million to develop psychedelic-assisted mental health therapies, demonstrating a trend towards mental health solutions.
- QphoX (Netherlands): Received approximately $8.7 million for developing quantum communication technologies, indicating a focus on advanced tech sectors.
Regional highlights
- India: Inflection Point Ventures emerged as the top investor, reflecting active engagement in the Indian startup scene.
- Healthcare sector: Several healthcare startups, including Medi Assist and MedaSystems, attracted significant investments, underscoring the ongoing demand for healthcare solutions.
- Technology and AI: The AI and quantum sectors saw substantial funding, with companies like Mobilint and QSIMPLUS also securing investments to advance their technologies.
Conclusion
January 2024 marked a dynamic start to the year for global startup funding, with a mix of increased deal volume but reduced funding amounts. The trends suggest a shifting focus towards specific sectors, particularly AI, healthcare, and quantum technology, as investors adapt to the evolving landscape. As the year progresses, these trends will likely influence funding strategies and startup growth trajectories.