VC IN 2026: 75% OF ALL THE MONEY IS GOING TO JUST 5 VC FUNDS. AND TO JUST 5 “STARTUPS.”

Summary from the TLDR Founders newsletter

PitchBook data for Q1 2026 shows 73% of limited partner commitments went to exactly five top-tier funds and 75% of deployed capital funded just five frontier AI companies like OpenAI and Anthropic. Total deal volume simultaneously collapsed to 2016 levels as these mega-rounds absorbed record amounts of cash. Consequently, non-AI founders must navigate a depleted middle market with far less follow-on capital.