SVB'S STATE OF THE MARKETS

Summary from the TLDR Founders newsletter

AI ate half of all venture capital in 2024. While total VC investment hit $204 billion - the third-highest year ever - AI companies grabbed 50% of all deals and 61% of megadeal dollars. They're getting 100% valuation premiums over non-AI peers at late stage. Meanwhile, everyone else is playing defense. The typical Series A company now needs $2.5 million in revenue (up 75% from 2021), but growth has cooled to 70% annually. With only 7 tech IPOs last year and 640 unicorns trapped in private markets, the liquidity crisis continues - just 25% of unicorns even meet basic IPO requirements.