InfographicMusk Reigns as Fundraising King xAI Takes the Lead by Attracting 6 Billion Which Industries Attract the Most Hot Money A Review of Q2 Fundraising Powerhouses

Which industries have the most hot money? Inventory of Q2 fundraising powerhouses
Research firm CB Insights recently released the global venture capital situation for Q2 2024. The data shows that AI startups had particularly outstanding fundraising performance this quarter, attracting $18.3 billion (approximately NT$593.5 billion) in investment, accounting for one-third of all funds raised, driven by billion-dollar fundraising deals from startups such as CoreWeave, Scale AI, and xAI.
In particular, xAI, founded by billionaire Elon Musk (see image above), is in a leading position, raising $6 billion in funding and currently being valued at $24 billion.
“Investors believe that xAI will gain a competitive advantage by integrating Musk’s network and data from his companies. For example, Tesla can utilize xAI’s latest multimodal artificial intelligence model, which includes visual capabilities, to further enhance the advanced perception capabilities of the Optimus humanoid robot.”
Looking at the second quarter of 2024, several heavyweight AI startups have emerged, leading to an upward trend in the overall fundraising transaction scale. However, the overall number of transactions has been declining for nine consecutive quarters, indicating that funds are still concentrated in specific industry sectors and specific startups.
With Stripe leading the way, fundraising performance in the fintech sector has slightly rebounded
Apart from the AI sector, fundraising performance in other industry sectors has been mediocre.
According to CB Insights data, fundraising performance of fintech companies has been slightly better, with a total fundraising amount of $8.9 billion, a quarterly increase of 19%. This includes the announcement by US payment giant Stripe that it has raised $694 million. At the time of the announcement, there was speculation about the possibility and timing of Stripe’s initial public offering (IPO).
Another company is the market intelligence platform AlphaSense, which raised $650 million in the latest fundraising round, with a valuation of $4 billion, and agreed to acquire competitor Tegus for $930 million.
Compared to the fintech sector, fundraising for retail tech companies has stagnated, and the performance of digital health companies has been less than ideal, with a total fundraising amount declining by 26% to below $3 billion.
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Source:
CB Insights
Responsibility Editor: Li Xiantai
This article is co-published with:
Digitimes