AI Funding Soars to $17.9 Billion While Rest of Tech Slumps

Rising interest rates and a post-pandemic slump have hammered VC funding, making AI one of the venture capital world’s lone bright spots. 

Photographer: Josep Lago/AFP/Getty Images
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Multibillion-dollar investments in artificial intelligence startups have become almost commonplace in Silicon Valley — with dollars raised for AI companies outpacing funding totals in every other category of tech, and reaching $17.9 billion in the third quarter.

According to PitchBook data compiled for Bloomberg, the value of funding for AI companies climbed 27% globally in the third quarter compared to the year before. That’s even as overall deals for startups fell 31% from a year earlier to hit $73 billion worldwide.