Venture Capital Reaches $412 Billion, But Most Founders See No Share
US startups raised $412.7 billion in venture capital in the first half of 2026, but the majority of funding is concentrated in a few large rounds.
The US venture capital market saw a record $412.7 billion raised in the first half of 2026. This figure represents a nearly 30 percent increase compared to the previous year, according to data released by PitchBook and the National Venture Capital Association.
Of the total capital raised, 87.5 percent was distributed through mega-rounds exceeding $100 million. Companies operating in the artificial intelligence (AI) sector captured a significant portion of these large investments. In contrast, the market for seed and angel funding, crucial for early-stage businesses, has contracted, declining by 27 percent in the second quarter year-over-year, as reported by Crunchbase.
While venture capital can facilitate rapid scaling, expanded networking, and market penetration, access remains a significant barrier. Founders from underrepresented groups, particularly women, receive less than two percent of this capital. Nevertheless, many have successfully built substantial businesses without it.
Inc. Magazine highlights that successful founders often double down on existing success. For instance, the sleepwear and lingerie brand Eberjey, launched in 1996 with modest personal investment, now partners with over 1,200 retail locations.