Venture capital hits $42.8 billion in Asia as AI drives growth

Venture capital investment in Asia reached $42.8 billion in the second quarter of 2026, marking the highest quarterly total in nearly three years. This growth was primarily driven by significant funding for artificial intelligence startups, which secured over $26 billion—more than 60% of the total regional investment.

China led the surge, with companies raising over $30 billion, representing a 424% increase compared to the same period last year. Notable deals included the Chinese large language model developer DeepSeek, which raised $7.4 billion at a $50 billion valuation. Other major recipients included China-based StepFun and Singapore-based data center developer DayOne, both raising $2.5 billion.

In the United States, major funding rounds were also reported in the cybersecurity and AI sectors. Cybersecurity firms Island and Cyera each secured $400 million in financing. Additionally, San Francisco-based Snorkel AI raised $350 million for foundational AI tools, while biotech startup Enveda closed a $311 million round for AI-enabled drug discovery.