Is VC Funding Drying Up?

Private funding by VC firms is down 50% YOY. We take a look at what that means.

Venture capital funding has seen a significant downturn in the past year, with some sectors experiencing cuts of over 50%. Economic uncertainty, higher interest rates, and an oversaturated startup market have led investors to become more cautious. Startups are now under pressure to demonstrate profitability earlier, focusing more on sustainable growth than rapid expansion. While this signals a more measured investment climate, experts believe the market will stabilize and mature rather than collapse entirely.