Latest Startups & Entrepreneurship News

📅December 30, 2025 at 1:00 PM
2025 ends with record AI startup funding exceeding $150B, massive Q4 mega-rounds, surging global M&A over $4T, new VC funds in Europe, and Meta's acquisition of Manus amid consolidation trends.
1

Global Dealmaking Tops $4 Trillion in 2025 with AI-Driven Consolidation

Axios reports 2025 dealmaking crossed $4 trillion, fueled by AI optimism as companies acquire capabilities like talent, data, and platforms rather than building internally.Source 1 This accelerates consolidation in AI hardware via partnerships, licensing, or acqui-hires, reshaping startup outcomes toward strategic acquisition fits.Source 1 Regulators may revisit AI deals involving data or compute control.Source 1

2

AI Startups Raise Record $150B in 2025, Building Fortress Balance Sheets

U.S. AI startups amassed a record $150B funding cushion to lock in capital amid bullish sentiment and prepare for potential 2026 tightening, per Financial Times.Source 1 This defensive strategy reflects memories of market shifts, enabling aggressive scaling.Source 1 The trend highlights maturing AI investments focused on ROI-driven outcomes.Source 1

3

Reflection AI Secures $2 Billion in Q4 2025 Top Funding Round

Reflection AI topped Q4 2025 funding with a $2 billion raise, part of five mega-rounds over $1B signaling investor confidence in AI, energy, and scalable products.Source 3 These outsized investments point to emerging private-market leaders.Source 3 Late-stage capital flows heavily into high-potential sectors.Source 3

4

Anysphere Raises $1.98 Billion for AI Coding Assistant Cursor

San Francisco-based Anysphere, founded in 2022, raised $1.98 billion for its AI-powered 'vibe coding' platform Cursor that aids developers in writing and refactoring code.Source 3 The funding underscores demand for collaborative AI tools in software development.Source 3 It ranks second in Q4's top rounds.Source 3

5

Lambda Closes $1.5 Billion Series E for AI Computing Systems

Lambda, a 2012-founded San Francisco startup, secured $1.5 billion at a $5.9B post-money valuation to build gigawatt-scale AI factories.Source 3 Investors include T. Rowe Price and NVIDIA; its Forge Price implies $7.49B valuation as of Dec 17.Source 3 Products like GPU Cloud drive AI/ML efficiency.Source 3

6

Meta Acquires Chinese-Founded AI Agent Startup Manus

Meta confirmed acquisition of Manus, which launched virally in March 2025, raised $75M in April at $500M valuation, and hit $125M revenue run rate by December.Source 7 The deal, initiated in October/November, boosts Meta's AI investments after Manus relocated to Singapore.Source 7 Announcement came December 29.Source 7

7

OpenAI Raises $40 Billion at $300 Billion Valuation in 2025

OpenAI led 2025 AI funding with $40B raised at $300B valuation, though a mid-year vibe check tempered early-year frenzy.Source 5 Rival Anthropic closed $16.5B across rounds, reaching $183B valuation with investors like Iconiq and Qatar Investment Authority.Source 5 Funding shifted toward proven outcomes.Source 5

8

New VC Funds Launched in Europe Q4 2025

UK's Baobab Ventures launched a $15M deeptech fund backed by Cendana Capital and others; London's Onstage debuted £10M early-stage fund with LPs like Alex Chesterman.Source 2 These target pre-seed/seed European founders amid regional investment push.Source 2 Funds highlight growing European VC activity.Source 2

9

India's Zepto Raises $450M Pre-IPO at $7B Valuation

Quick-commerce leader Zepto drew $450M from General Catalyst, Goodwater, and Lightspeed, reaffirming bets on high-frequency models despite slower consumer funding.Source 4 It emerged as 2025's top consumer fundraising story in India.Source 4 Valuation hits $7B.Source 4

10

GIVA Jewellery Secures $61.5M Series C for D2C Expansion

India's GIVA raised INR 530 crore (~$61.5M) led by Creaegis, with Premji Invest participation, for offline stores, omnichannel, and lab-grown diamonds.Source 4 It was one of 2025's largest pure D2C rounds.Source 4 Funds strengthen supply chain and tech.Source 4

11

700+ Seed Rounds of $10M+ Mark VC FOMO Peak in 2025

Crunchbase data shows nearly 700 seed-stage rounds of $10M or more in 2025, an all-time high signaling VC FOMO.Source 6 A potential 2026 reckoning looms as markets mature.Source 6 Trend reflects aggressive early-stage investing.Source 6

12

Flyer One Ventures Launches Fund V After $160M Exit

Flyer One Ventures recaps 2025 with Fund V launch, $160M portfolio exit, and 10 new CEE startup investments.Source 10 The activity underscores regional growth in Central/Eastern Europe VC.Source 10 Fund focuses on high-potential ventures.Source 10