Are we in the startup revolution? Since 2016, U.S. startup financing deals of nine figures or more increased by over 800% (Wall Street Journal).
The first half of 2021 saw $150 billion invested in U.S. startups alone (Forbes). This shattered the previous record set in 2020, despite the global economic turmoil caused by the COVID-19 pandemic.
Globally, tech startup investments have increased by over 150% in 2021. Across the world, there are over 700 privately-held companies valued at $1 billion or more. Any hardships or shortages caused by COVID-19 quarantines and lockdowns were certainly not felt by the startup world.
Furthermore, Silicon Valley is beginning to spread the wealth. Miami, U.S.A., Shenzhen, China, London, U.K., and Bengaluru, India, are all competing to become the world’s next tech hub. In some locations, governments are getting involved to attract tech talent by offering certain immigration incentives (Brookings).
These policy trends indicate a global confidence in the value of tech startups. Recently, CB Insights CEO Anand Sanwal stated that “If you raise now and are not a unicorn, it’s amost odd.” A unicorn startup is any privately-held company valued at over a billion USD.
According to CB Insights, fintech companies received $1 out of every $5 invested in the second quarter of 2021. This could be spurred by the structural differences which the COVID-19 pandemic brought to our daily lives.
Think about it: How often do you hear people gripe that everything’s online now? Innovators are streamlining software ideas to maximize on this cultural trend.
In fact, fintech startup investments are such a large pot of gold that some African countries are starting to get a share. In 2021, African tech startups roughly doubled their funds raised in 2020.
Startups to watch include SurveyAuto, which is an artificial intelligence platform that connects surveys to geolocational data automatically. The Bill and Melinda Gates Foundation recently provided an undisclosed amount of funding to the startup.
Additionally, Capacity is a tech startup that aims to resolve a modern problem: having too many documents on too many different apps. Capacity’s artificial intelligence streamlines all of your app data onto one platform for easy searchability. Recently, Equity invested in Capacity.
During the past decade we’ve had our eyes trained on Silicon Valley. However, with this modern artificial intelligence revolution, we’ll have to expand our view to the cybernet itself.