AI investments continue, data centers grow despite overall VC funding decline

The news: Venture capitalists are still hedging the bulk of their investment bets on AI companies, but even more financing is coming in from Big Tech companies.

  • 41.3% of US VC deal value went to AI companies in the first half of the year, per PitchBook, up from 26% for all of 2022.
  • This is in contrast to the overall decline in VC activity: Funding rounds decreased by over a thousand between Q4 2021 and Q4 2023.