US Startup Funding Overview – August 2025
Key Insights – August 2025
August 2025 demonstrated solid venture capital activity with $8.19B invested across 393 companies, showing a 9.4% decrease from July 2025’s $9.04B but maintaining robust deal flow. The month was characterized by exceptional mega-rounds in clean energy and quantum computing, alongside continued strong investor interest in artificial intelligence and healthcare solutions.
Clean energy led breakthrough funding with Commonwealth Fusion Systems raising $863M, while Artificial Intelligence maintained strong momentum with $2.32B in funding across 128 companies (28% of total funding).
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Top Industries by Investment
| Industry | Total Funding | Deal Count | Avg. Deal Size |
|---|---|---|---|
| Artificial Intelligence (AI) | $2.32B | 128 | $18.1M |
| Software | $1.59B | 113 | $14.1M |
| Health Care | $1.16B | 61 | $19.0M |
| Energy | $1.02B | 7 | $145.0M |
| Information Technology | $940M | 62 | $15.2M |
Funding by Round Type
| Round Type | Total Funding | Deal Count | Avg. Deal Size | Median Deal Size |
|---|---|---|---|---|
| Early-Stage | $850M | 211 | $4.0M | $2.0M |
| Series A | $1.55B | 97 | $16.0M | $10.7M |
| Series B | $2.95B | 49 | $60.1M | $22.6M |
| Late-Stage | $2.86B | 36 | $79.3M | $42.0M |
Overall median deal size: $6.0M across all 393 transactions
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Detailed Analysis
Market Context
Total US startup funding in August 2025 reached $8.19B across 393 companies, representing a 9.4% decrease from July 2025’s $9.04B and a 12.9% decline compared to August 2024’s $9.4B. Despite the monthly decrease, the market demonstrated strong activity with several exceptional mega-rounds leading the funding landscape.
Key Metrics
- Average deal size: $20.9M (increased from July’s $18.9M)
- Median deal size: $6.0M (consistent deal flow across all stages)
- Largest deal: Commonwealth Fusion Systems at $863M
- Funded companies: 393 (robust deal activity)
- AI funding share: 28.3% of total funding ($2.32B)
- Series B + Late-stage concentration: 71.0% of total funding
Industry Insights
Clean Energy and Quantum Computing dominated the headlines with Commonwealth Fusion Systems’ record $863M Series B for fusion energy and Quantinuum’s $600M Series B for quantum computing. These mega-rounds highlight investor confidence in breakthrough technologies addressing global challenges.
Artificial Intelligence maintained its leadership position with $2.32B across 128 companies, representing 28% of total monthly funding. This sector continues to attract diverse applications from robotics and enterprise software to real estate automation and healthcare solutions.
Healthcare Technology showed strong momentum with $1.16B across 61 deals, featuring significant investments in medical devices, 3D printing for medical applications, and AI-powered healthcare solutions, demonstrating sustained investor interest in digital health innovation.
