H1 Mid-Year 2026 VC Market Insights

VC deal value reached new highs in H1 2026, but much of that growth was driven by a small number of outsized AI deals. In our H1 2026 VC Market Insights Report, we look at what’s driving the headline numbers, where capital is actually flowing, and what the increasingly concentrated market means for founders raising this year.

Here's what founders need to know:

• 47% of VC-backed tech startups now have under 12 months of runway, up from 41% in June 2024
• AI drove ~86% of total VC deal value and ~43% of deal count
• Total deal value reached a record ~$412.7B, up ~135% year over year, while deal count fell ~6%, meaning fewer companies are raising much larger rounds
• Median Series A round sizes reached $19.4M, nearly triple 2020’s $7.5M, while valuations surpassed their 2021 peaks across every stage
• Established managers captured 89% of all capital raised, the highest share in a decade, with Andreessen Horowitz, Thrive Capital, and Founders Fund alone accounting for 48%

Capital is available, but it is increasingly concentrated among a smaller group of companies and investors. A record year for deal value on paper can still be a hard one to raise into if you’re outside the group of top AI and category-leading companies attracting the most capital. Follow-on funding is tougher to land, runway is tightening for cash-burning companies, and the gap between median and average round sizes highlights just how concentrated the market has become.

If you’re planning a raise in 2026, understanding where capital is actually going, how round sizes and valuations are shifting, and what investors are prioritizing can help you plan your raise and runway accordingly.

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