Venture Capital Investment Market Report 2026

The venture capital investment market size has grown exponentially in recent years. It will grow from $362.74 billion in 2025 to $436.59 billion in 2026 at a compound annual growth rate (CAGR) of 20.4%. The growth in the historic period can be attributed to growth of startup ecosystems, availability of high-net-worth capital, expansion of technology-driven business models, increased acceptance of equity financing, globalization of investment networks.

The venture capital investment market size is expected to see exponential growth in the next few years. It will grow to $910.6 billion in 2030 at a compound annual growth rate (CAGR) of 20.2%. The growth in the forecast period can be attributed to rising demand for innovation-led businesses, expansion of climate and health tech funding, increased cross-border investments, growing use of data analytics in investment decisions, expansion of alternative asset classes. Major trends in the forecast period include increasing focus on ai-driven investment decision-making, rising allocation toward sustainable and esg startups, growing preference for sector-specific vc funds, expansion of late-stage funding rounds, higher emphasis on risk mitigation and portfolio diversification.

The increasing number of start-ups and small businesses is expected to drive the growth of the venture capital investment market in the future. A small business is a private entity with fewer employees and lower annual revenue than a corporation or larger enterprise. In contrast, a 'startup' is an entrepreneurial venture in its early stages, often founded to address real-world problems. Venture capital investments provide small businesses and startups with the capital needed for expansion, financial monitoring, marketing, and access to financial and business expertise, helping them thrive in a competitive market and compete effectively against other entities. For instance, in July 2024, a report from the Office of National Statistics in the UK noted an increase in new business creations in 14 out of 16 main industrial groups in the second quarter of 2024 compared to the same period in 2023, with the most significant growth seen in the business administration and support services sector. Therefore, the rising number of start-ups and small businesses is driving the growth of the venture capital investment market.

Leading companies in the venture capital investment market are focusing on product innovation, such as establishing corporate venture capital (CVC) arms and innovation labs, to strengthen their market position. A corporate venture capital arm involves a large firm investing directly in external startup companies, often providing management and marketing expertise to support growth and innovation. For example, in October 2023, Automatic Data Processing Inc. (ADP), a US-based technology company specializing in human capital management (HCM) solutions, launched ADP Ventures, a corporate venture capital arm and innovation lab, to develop offerings in new adjacent segments and geographies and create assets to capitalize on emerging markets.

In October 2025, The Goldman Sachs Group Inc., a US-based investment banking and asset management firm, acquired Industry Ventures for an undisclosed amount. Through this acquisition, Goldman Sachs aims to strengthen its alternative investment capabilities, particularly in venture capital secondaries and early-stage investing, expand its exposure to high-growth technology companies, and enhance its asset management platform. Industry Ventures LLC is a US-based provider of venture capital investment and secondary market venture fund strategies.

Major companies operating in the venture capital investment market are Intel Capital, Benchmark Capital, Andreessen Horowitz, Sequoia Capital, Viking Global Investors LP, New Enterciates Inc., Greylock Partners, IDG Capital Partners, Khosla Ventures, Bessemer Venture Partners, Kleiner Perkins, Battery Ventures LP, Union Square Ventures, Founders Fund, Tiger Global Management, Innovation Works, First Round Capital, AME Cloud Ventures, Lowercase Capital, GGVC Capital, Alumni Ventures, Index Ventures, Accel Partners, DST Global Funds, HealthCare Royalty Partners, Pace Capital, Gigafund, Cypress Growth Capital.

North America was the largest region in the venture capital investment market in 2025. The regions covered in the venture capital investment market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the venture capital investment market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The venture capital investment market includes revenues earned by entities by providing deal sourcing, target evaluation or live deal support, portfolio monitoring and support, and fund-level support services. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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