But I’m not entirely done with market data. An article in Newcomer discusses the state of venture investing and the impact of the AI industry on the startup downturn. While AI deals have increased, the overall venture capital funding remains below previous peaks. The software-as-a-service sector is particularly affected as enterprise customers cut costs. The article highlights the longer recovery period and the rise of down rounds. It also mentions the influence of interest rates, the challenges faced by emerging managers, and the limited number of IPOs.
Providers themselves aren’t looking for VC money, yet the ecosystem around them is. Expect a lot less that isn’t AI driven.
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