Venture investing is seeing a massive transformation as AI becomes the primary driver of capital flow, Gené Teare, research lead at Crunchbase, shows in this highly informative DLD26 presentation, which is peppered with charts and stats.
After an unprecedented peak in 2021, the venture market saw a sharp market correction, Teare notes. “When you talk to people in the Valley, if it wasn’t for the AI moment at the end of 2022, the venture markets would have been very, very depressed”, she says. “There was a sense that they had overinvested, too much money had gone in, the valuations were too high, and there was no way this was going to be sustainable.”
ChatGPT and the following AI boom have dramatically changed the picture. “Now 50% of all global dollars are going into the AI market”, Teare says. “This is unprecedented for any one sector.”
Watch the video to explore this session in detail.
