What is different about 2025 so far in startups?
More money has been fundraised. More headlines have been written. Most of the various signals are headed upwards…so why this sense of uneasiness?
I think it's down to one thing: concentration.
Concentration in companies. There are more dollars flowing into fewer deals, bigger rounds being raised by selected winners while many companies shiver from lack of VC attention.
Concentration in sectors (cough, AI, cough). So much focus and frenzy dedicated to a single theme that startups outside the main thing are left behind.
Concentration within companies. Fewer hires than ever, even at companies that raise major rounds.
Concentration in geography. The Bay Area has a gravitational pull that sucks in money, talent, and media.
One big, tall, concentrated cocktail.
We did what we usually do - we made a data deck about it. Here's an ungated copy of the deck for you to review if you like. Let me know if you agree with our take.
Onwards!
Subscribe here if you're new to the Data Minute. Forwarding encouraged!
Cheers, Peter Walker
DISCLOSURE: This communication is on behalf of eShares, Inc. dba Carta, Inc. ("Carta"). This communication is for informational purposes only, and contains general information only. Carta is not, by means of this communication, rendering accounting, business, financial, investment, legal, tax, or other professional advice or services. This publication is not a substitute for such professional advice or services nor should it be used as a basis for any decision or action that may affect your business or interests. Before making any decision or taking any action that may affect your business or interests, you should consult a qualified professional advisor. This communication is not intended as a recommendation, offer or solicitation for the purchase or sale of any security. Carta does not assume any liability for reliance on the information provided herein. © 2026 Carta. All rights reserved. Reproduction prohibited.
