Investment recap for September 2023

notable funding rounds

Some of the most significant startup funding deals in September 2023 included:

  • Verkor, a French battery company, raised $912.1 million in series C funding.
  • Conigital, a UK-based ADAS & autonomy startup, secured $626 million in series A+ funding.
  • Ascend Elements, a US battery company, raised $542 million in series D funding.
  • Enfabrica, a US-based processor and logic startup, raised $125 million in series B funding.
  • Delft Circuits, a Dutch quantum computing company, raised €6.3 million.

funding trends

The funding landscape in September 2023 showed some interesting shifts compared to August:

  • Total funding increased significantly from $20.4 billion in August to $25.6 billion in September.
  • Pre-seed funding deals increased from 23 in August to 29 in September, with total funding rising from $34 million to $43 million.
  • Series A deals remained consistent at 104, but total funding increased from $1.69 billion to $1.92 billion.
  • Series B deals saw the most significant change, rising from 47 in August to 68 in September. Total funding more than doubled from $2.03 billion to $3.94 billion.
  • Series C funding also expanded, with 27 deals in September compared to 24 in August. Total funding surged from $2.31 billion to $4.16 billion.

industry focus

Some industries that saw the most substantial funding rounds in September 2023 include:

  • artificial intelligence, machine learning, and information technology
  • biotechnology, health care, medical, and therapeutics
  • advanced materials, battery, and energy storage
  • manufacturing and sustainability

challenges faced by startups in 2023

While September saw a significant increase in funding, the broader startup ecosystem faced challenges throughout 2023:

  • 2023 saw an unprecedented number of startup failures, with total shutdowns reaching 770, up from 467 the prior year.
  • Over 19% of venture deals were down rounds every quarter in 2023, the highest rates since 2018.
  • The median time between funding rounds hit historic highs, with the median period between series A and B reaching 784 days in Q4.

Despite these challenges, the most tenacious startups demonstrated resilience and perseverance, positioning themselves for potential success as economic conditions improve.