Global venture capital investment experienced a remarkable surge in January 2026, with a total of $55 billion allocated to startups worldwide. This figure represents a significant increase from the $25.5 billion invested during the same month last year, more than doubling the previous year’s total and marking an over 50% rise compared to December 2025. The data, sourced from Crunchbase, highlights a robust recovery in the venture capital landscape, driven primarily by heightened interest in artificial intelligence (AI) and other technology sectors.
The United States once again emerged as the dominant player in global venture funding, accounting for approximately $38.7 billion, or around 70% of the total capital invested in January. This concentration of funding underscores the ongoing trend of capital flowing into AI-centric startups, which have captured the attention of investors eager to capitalize on the transformative potential of this technology.
In stark contrast to the U.S. funding landscape, China made headlines on the initial public offering (IPO) front, leading with two notable entries: Z.ai, also known as Zhipu AI, and MiniMax. Both companies debuted on the Hong Kong Stock Exchange, each achieving valuations exceeding $6 billion. Notably, MiniMax saw its value double on its first day of trading, illustrating the strong market appetite for AI-related ventures in the region.
The pronounced concentration of capital in January was particularly evident in the AI sector, which attracted a staggering $31.7 billion—representing 57% of all funding during the month. This influx of capital reflects a growing recognition among investors of the potential for AI technologies to reshape industries and drive innovation across various sectors. Furthermore, mega-rounds—defined as funding rounds of $100 million or more—accounted for a remarkable $40.9 billion, or 74% of total venture capital investment in January. This trend indicates a willingness among investors to commit substantial resources to high-potential startups, particularly those operating within the AI domain.
A standout example of this trend is Elon Musk’s xAI, which raised an unprecedented $20 billion in its Series E funding round. This single investment represented a staggering 36% of all global venture capital funding in January, underscoring the immense scale of investor interest in Musk’s AI-focused venture. The funding for xAI came from a diverse mix of private equity, sovereign funds, and strategic investors, reflecting the broad appeal of AI technologies across different investment categories. In early February, Musk’s space exploration company, SpaceX, announced its merger with xAI, further solidifying the interconnectedness of these high-profile ventures.
The largest funding deals in January were concentrated in sectors that demonstrated increased investor appetite fueled by advancements in AI. Among the top investments ranging from $500 million to $2 billion were:
1. **DayOne** (Singapore) – A data center provider that plays a crucial role in supporting the infrastructure needed for AI and cloud computing.
2. **Skild AI** (Pittsburgh) – A robotics intelligence company focused on developing advanced AI solutions for automation and robotics applications.
3. **Waabi** (Toronto) – An autonomous driving startup that is at the forefront of developing self-driving technologies.
4. **StepFun** (Shanghai) – An AI model company that is contributing to the rapid evolution of AI capabilities in various applications.
5. **Zipline** (San Francisco) – A drone delivery service that leverages AI for logistics and supply chain optimization.
6. **Etched.ai** (Bay Area) – An AI chip startup that is innovating in the hardware space to support AI processing needs.
Beyond AI, other sectors such as deep tech hardware, healthcare, and biotechnology also witnessed strong investor interest in January. The emphasis on deep tech hardware aligns with the increasing demand for advanced computing capabilities necessary to support AI applications, while the healthcare and biotech sectors continue to attract funding due to their potential for innovation and impact on public health.
While the U.S. led the charge in funding totals, China showcased its strength in the exit market. The successful IPOs of Z.ai and MiniMax highlight the growing maturity of the Chinese AI ecosystem and its ability to attract significant investment. Both companies’ listings on the Hong Kong Stock Exchange reflect a broader trend of Chinese tech firms seeking to capitalize on favorable market conditions and investor enthusiasm for AI technologies. The fact that MiniMax doubled its valuation on debut is indicative of the strong demand for AI-related stocks in the current market environment.
On the mergers and acquisitions (M&A) front, the largest deal in January was Capital One’s acquisition of fintech startup Brex for $5.15 billion. This acquisition is noteworthy not only for its size but also because it represents a significant reduction from Brex’s peak valuation of $12.3 billion in 2021. The deal underscores the evolving landscape of fintech and the challenges faced by startups in maintaining high valuations amid changing market conditions.
The data presented in this report reflects a clear trend: capital is flowing heavily into AI and deep tech, with the U.S. leading in funding while China makes waves in exits. Investors are increasingly recognizing the transformative potential of AI technologies, leading to a pronounced concentration of capital in this sector. As the venture capital landscape continues to evolve, it will be essential to monitor how these trends develop and the implications they hold for the future of innovation and entrepreneurship.
The methodology behind the data reported here comes directly from Crunchbase and is based on reported figures as of January 4, 2026. It is important to note that data lags can be most pronounced at the earliest stages of venture activity, with seed funding amounts often increasing significantly after the end of a quarter or year. All funding values are reported in U.S. dollars unless otherwise noted, with foreign currencies converted at the prevailing spot rate from the date of the financial events reported.
In conclusion, January 2026 marked a pivotal moment for global venture capital, characterized by a resurgence in investment activity and a clear focus on AI and technology-driven startups. The U.S. remains a powerhouse in funding, while China’s IPO successes signal a vibrant and competitive landscape for AI innovation. As we move forward, the interplay between funding, innovation, and market dynamics will shape the trajectory of the global startup ecosystem, making it an exciting time for entrepreneurs, investors, and stakeholders alike.