Late-stage funding in August 2023 totaled $13.3 billion, a 25% increase from August 2022. The largest fundings were raised by companies in transportation, sustainability, and biotechnology. Health care and biotech companies raised around $5 billion, or 23% of all venture funding, while the transportation sector raised $4 billion. Financial services companies raised $2.8 billion. Some companies, such as Hugging Face, AI21 Labs, and Apollo.io, raised funding at an increased valuation of more than 75%. However, Ramp experienced a down round, raising $300 million at a $5.8 billion valuation, down from $8.1 billion in 2022.
Key takeaways:
- Global venture funding was around $22 billion in August 2023, up 19% month over month but down 16% from July 2022.
- Late-stage funding increased year over year for the first time in 18 months, totaling $13.3 billion, up around 25% compared to August 2022.
- Early-stage and seed funding saw significant decreases, with early-stage funding almost halving and seed funding down by around one-third from a year ago.
- Two unicorn companies, Instacart and Klaviyo, filed plans to go public in September, which could potentially boost the startup funding landscape.