Q2 2020 saw 458 deals worth $7.2 billion

The fortunes of startups that leverage artificial intelligence have skyrocketed dramatically in the last few years. These AI-powered start-ups have actually seen quarterly financial investment totals rise from a few hundred rounds and a few billion dollars each quarter to 1,245 rounds and $17.3 billion in the second and 3rd quarters of 2019, according to information from CB Insights. The rise in dollars chasing AI startups has actually been big, showing strong equity capital interest in the friend.

However in current quarters, the pattern has slowed as VC deals for AI-powered startups fell off.


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A new report from the business-data company taking a look at the second quarter of venture capital results for international AI startups reveals traditionally strong however decreasing investing rates for the upstart firms. During a pandemic and extensive economic downturn, this is not a total surprise; other areas of VC financial investment have actually likewise fallen in current quarters. This is The Exchange’s second look at quarterly data in the startup category, something partly spurred by our interest in the economics of the startups that comprise the group.

The scale of decrease is significant, nevertheless, as is the national breakdown of VC financial investment into AI. (The United States is doing better than you probably thought, if you have only listened to political leaders recently.)

Let’s unload the latest results, figure out how investing patterns have actually changed by phase and analyze how various nations compare when it comes to deal and dollar volume for AI-powered start-ups.

Worldwide declines, US dominance

In the second quarter of 2020, global financial investment into AI start-ups was up to 458 offers worth $7.2 billion. According to the CB Insights dataset, the deal volume is the lowest for 12 quarters, or because Q2 2017 when 387 investments into AI startups were worth$ 4.7 billion. Article curated by RJ Shara from Source. RJ Shara is a Bay Area Radio Host (Radio Jockey) who talks about the startup ecosystem – entrepreneurs, investments, policies and more on her show The Silicon Dreams. The show streams on Radio Zindagi 1170AM on Mondays from 3.30 PM to 4 PM.