Global Startup and Venture Capital News for August 26, 2025: Record Rounds in AI, IPO Wave, M&A Deals, and Increased Venture Activity Across Regions
Tuesday, August 26, 2025, was marked by several significant events in the world of startups and venture investments. Central to the focus are unprecedented mega-rounds of funding in artificial intelligence, a continuing wave of technology IPOs, and the resurgence of major mergers and acquisitions (M&A) deals. Additionally, activity is intensifying in the cryptocurrency, defense technology, and other innovative sectors, signaling a remarkable revival in the venture market.
Venture activity is rising across all regions. The United States firmly leads the way (especially in AI), investment volumes have doubled in the Middle East, and Germany has surpassed the UK for the first time in venture deals within Europe. India, Southeast Asia, and Gulf countries are attracting record amounts of capital amidst a relative decline in activity in China. Startup ecosystems in the CIS countries are also striving to keep pace, despite external restrictions. A global venture boom at its early stage is forming, although investors are still behaving selectively and cautiously. Let’s delve deeper into the key trends and news shaping the agenda on August 26, 2025.
New Mega-Rounds and AI Unicorns
In 2025, venture investments in the artificial intelligence segment have reached unprecedented heights. It is estimated that since the beginning of the year, AI companies have raised over $118 billion—about 48% of total global venture funding, surpassing the total for all of 2024. Investors worldwide are eager to tap into the most promising AI startups, resulting in multi-billion dollar rounds and a sharp increase in company valuations.
- OpenAI (USA) garnered a record $40 billion investment from a consortium led by SoftBank and Microsoft; this deal has become one of the largest in the history of the tech sector.
- Anthropic (USA) is close to closing a round of approximately $5 billion with a valuation of around $170 billion; this safe AI developer is already among the world's most valuable startups.
- Scale AI (USA) received $14.3 billion in funding from Meta and partners to scale its data processing and AI model training platform.
- xAI (USA), Elon Musk’s new artificial intelligence project, raised about $5 billion (led by SpaceX), demonstrating corporate investors' interest in promising players in the industry.
These impressive rounds reflect the enormous appetite among investors for the AI direction. Capital is massively flowing into the development of large language models, generative AI, robotics, and related technologies capable of radically transforming entire industries. The valuations of sector leaders have skyrocketed in a short time, and competition between funds for promising AI projects has reached peak intensity.
Venture Funds on the Rise
The volume of available capital in the venture market is rapidly increasing alongside the industry's revival. In the first half of 2025, global investments in startups reached around $190 billion—25% more than the previous year. During this time, the industry is consolidating: several major venture firms have secured over half of all new funds, closing record-sized funds. Prominent players from Silicon Valley are ramping up their bets in breakthrough areas like AI, fintech, and biotech.
Simultaneously, corporate investors and sovereign funds are more actively engaging with venture capital. For example, SoftBank is launching a new mega-fund, Vision Fund; wealth funds from Gulf countries are pouring billions into tech projects; major corporations globally are establishing their own venture divisions. Leading funds have accumulated unprecedented reserves of uninvested capital ("dry powder")—hundreds of billions of dollars ready for investment as market confidence grows. The influx of "big money" saturates the startup ecosystem with liquidity, intensifying the competition for top deals while simultaneously reinforcing confidence in further capital inflows.
The IPO Market is Revitalizing
After a prolonged pause, technology companies are successfully returning to public markets. The year 2025 has been marked by a series of successful IPOs, restoring optimism among venture investors regarding potential "exits" from their investments. Since the beginning of the year, over 220 IPOs have occurred on American platforms—approximately 86% more than during the same period in 2024, indicating noticeable market revitalization. Among the largest recent offerings:
- Figma (USA)—the design software developer debuted on the NYSE with a valuation of approximately $18 billion; high demand allowed the shares to be offered above the projected range, resulting in stock price growth on the first trading day.
- Circle (USA)—the issuer of the USDC stablecoin conducted its long-awaited listing in June; the company's capitalization now exceeds $40 billion, with shares rising more than fivefold from the IPO price.
- CoreWeave (USA)—the cloud infrastructure provider for AI saw its valuation reach about $52 billion by the end of summer after IPOing in spring (~$30 billion), more than doubling its share value amid rising demand for AI resources.
The success of these debuts is restoring confidence in the public market as an exit mechanism for venture projects. Observing the rising stock prices of new issuers, many late-stage startups are once again considering IPOs as a viable development option, preferring it over additional private rounds. A queue of companies aiming to capitalize on the opened "window" is forming—various sector startups, including those in the crypto industry, are expected to make offerings in the coming months as they seek to cement their success in the stock market.
Crypto Startups Experience a Renaissance
The rise of the cryptocurrency market in 2025 has led to a revival of interest in blockchain startups and fintech projects related to digital assets. Bitcoin has come close to its historical peak (~$120,000), instilling optimism within the industry and signaling the beginning of a new "crypto spring" following a prolonged downturn. Against this backdrop, several major players in the market are emerging from the shadows once again:
- Gemini—the cryptocurrency exchange founded by the Winklevoss twins has submitted a confidential IPO application, hoping to raise capital for international expansion.
- BitGo—the American provider of digital asset custody services is also targeting the public market amidst increasing institutional investors' demand for crypto infrastructure.
In the private sector, venture funding for blockchain projects is also resuming compared to the "crypto winter" of previous years. Investors are once again willing to take risks in DeFi, crypto exchanges, and Web3 infrastructure, anticipating greater regulatory clarity and mass adoption of crypto technologies. While transaction volumes in this segment are still trailing behind the records set in 2021, a clear trend toward recovery has emerged. New funds focused on digital assets are coming into play, and successful IPOs of relevant companies could attract even more capital into the sector.
Defense Technologies and Robotics Attract Capital
The geopolitical situation and technological breakthroughs are driving increased investment in defense, aerospace, and robotics sectors. Startups developing solutions for security and military applications are receiving funding not only from private venture funds but also with the support of governmental programs. Some notable deals in this direction include:
- Anduril (USA)—the AI-based defense systems developer raised about $2.5 billion to expand the production of drone platforms and surveillance tools. This round became one of the largest of the year, showcasing investor confidence in next-generation military technologies.
- Stark (Germany)—a startup developing autonomous strike drones secured $62 million (the round was led by Sequoia Capital with participation from the NATO Innovation Fund, among others), with the company's valuation approximately at $500 million. Involvement from NATO and strategic investors underscores the significance of drone systems in the modern market.
Beyond military projects, venture capital is also being directed toward related fields: humanoid robotics, cybersecurity, and space technologies. For instance, the American startup Figure AI recently raised about $1.5 billion for developing humanoid robotic platforms. There remains a consistently high interest in satellite constellations and commercial space launches. Long-term security needs make defense technologies one of the fastest-growing areas of venture investment.
Asian Boom and New Regional Players
The geography of venture financing is expanding due to a surge of activity in Asia and capital inflows from developing markets. In the first half of 2025, Japan saw a 33% increase in venture deals compared to the previous year, while India reported a 23% increase. This growth is driven by the launch of new corporate funds and governmental innovation support programs. China, which has experienced a period of uncertainty, is also showing signs of revival thanks to investments in priority technologies, despite ongoing regulatory risks. At the same time, investors in the Gulf region are becoming more active: sovereign funds are increasingly participating in large international rounds, intensifying competition for promising startups on the global stage.
Market Consolidation and M&A Deals
High startup valuations and fierce competition for new markets are prompting the industry toward consolidation. Major mergers and acquisitions are once again coming to the forefront, reshaping the power dynamics within the tech sector. For instance, Google has agreed to acquire the Israeli cybersecurity startup Wiz for approximately $32 billion—a record amount for the Israeli industry. Following this, SoftBank plans to take over the American processor developer Ampere for about $6.2 billion, which will become one of the largest deals of the year in the semiconductor sector.
Such mega-deals demonstrate the desire of tech giants to acquire key technologies and teams. The increased activity in M&A and strategic investments indicates a maturing market: mature startups are either merging with each other or becoming targets for corporations, while venture investors are receiving the sought-after opportunities for lucrative exits. This wave of consolidation promises accelerated growth for the most successful companies and returns substantial capital to the venture ecosystem.
Russian Market: Adaptation and Growth After Decline
The Russian venture industry, having faced several challenging years, is gradually emerging from the "venture winter" and adapting to new conditions. Although international restrictions and capital outflows have restrained the sector, stabilization was already noted in 2024, and by the end of 2025, market participants expect further revival. Domestic investors are launching new funds and initiatives aimed at supporting local projects, while many Russian founders are searching for success abroad.
- Kama Flow—an investment company that announced in the spring the launch of a new fund of 10 billion rubles aimed at financing high-tech late-stage startups; this is one of the largest venture funds in the country in recent years.
- Qummy—a Krasnodar-based food-tech startup raised about 440 million rubles with a valuation of around 2.4 billion rubles, indicating a resurgence of local investors' interest in promising projects within the domestic market.
- Plata—a fintech startup founded by former top managers of “Tinkoff,” reached a valuation of ~$3.3 billion in international markets. The company, which is developing a digital banking business in Latin America, is preparing for a new round with a valuation more than double that of last year and has already secured banking licenses in Mexico and Colombia. This example showcases that teams from Russia can build globally competitive "unicorns" even under restrictions in the domestic market.
Overall, in the CIS countries, the venture ecosystem is undergoing a phase of restructuring: the focus is shifting toward projects in IT, artificial intelligence, import substitution, and B2B services for large businesses. Experts note that the local market is gradually adapting to new realities: the most resilient teams are continuing to secure funding, and new deals are being made even at the seed stage. As the economy stabilizes and domestic innovation support institutions develop, venture investments in the region have a chance to move toward gradual growth and tighter integration with global trends.
