Report: AI startup funding hits record high of $17.9B in Q3

Even as economies struggle with the chaos of the pandemic, the AI startup space continues to grow stronger with increased investments and M&A deals. According to the latest State of AI report from CB Insights, the global funding in the segment has seen a significant surge, growing from $16.6 billion across 588 deals in Q2 2021 (figures show $20B due to the inclusion of two public subsidiary fundings) to $17.9 billion across 841 deals in the third quarter. Throughout the year (which is yet to end), AI startups around the world raised $50 billion across 2000 deals with 138 mega-rounds of 100 million. As much as $8.5 billion of the total investment went into healthcare AI, $3.1 billion went into fintech AI, while $2.6 billion went into retail AI. The findings show how AI has become a driving force across nearly every industry and is drawing significant attention from VCs, CVCs, and other investors.