Venture capitalists are reckoning with their worst quarter in almost a decade as economic uncertainty. And lackluster returns have prompted investors to hold back following the startup funding boom in 2021.
Global funding to startups fell 23% in the second quarter from the first quarter, 2022, to $108.5 billion; according to a recent report from CB Insights.
According to Bloomberg News, this occurred while the US drove almost half of all funding to $52.9 billion which was still down 25% from the previous quarter and marked its lowest funding amount since 2020. The report indicates that in recent weeks it is affecting private companies as well.