Funding for Asia-based startups declined in 2025. Despite this, the fourth quarter ended the year on a positive note, with the highest quarterly investment total of the year, according to data from Crunchbase.
In total, investors poured $67.5 billion into startup and growth rounds for companies in Asia last year, according to data from Crunchbase. This represents a drop of around 6% from 2024 and the lowest annual total in five years.
These mediocre figures are mainly the result of weak investments in the first half of the year. The dynamic accelerated in the second half of the year, stimulated in particular by the increase in investments in Chinese startups.
Financing gains peaked in the fourth quarter, with $21.7 billion in investments reported. This represents an increase of 19% quarter over quarter and 22% year over year. The increase was more pronounced for late-stage deals.
For a broader perspective, below we look at deal-making across stages and country-by-country, as well as AI-focused investments.
Table of contents
Advanced stage
Late-stage startups received the largest share of funding, so that’s where we’ll start.
According to Crunchbase data, an estimated $10.4 billion flowed to Asia-based Series C and beyond companies in the fourth quarter, the highest quarterly total of the year. Meanwhile, for the full year, investments in later stages and technology growth totaled $30.8 billion.
In the fourth quarter, a few giant rounds for China-based startups played a significant role in boosting totals. These included an $874 million Series C for the EV brand. Deepal$600 million Series D for autonomous delivery vehicle provider Néolixand a $500 million Series C round for an agentic AI company Moonshot AI.
Early stage
Early-stage investors also ended the year on a positive note, with $8.9 billion in deals reported in the fourth quarter, the highest quarterly total of the year. For the full year, Series A and B funding totaled $28.2 billion, down about 10% year-over-year.
Some great individual rounds pushed the score up. This included NeueHCTa startup focused on smart driving technology, and AA-I Technologiesan Israeli startup focused on artificial general intelligence, which each raised $200 million in funding.
Seed stage
Seed-stage investments increased in the fourth quarter, with $2.1 billion in deals reported, the highest total in the last four quarters. We also expect this figure to increase a little more over time as more transactions are subsequently added to the dataset.
For the full year, reported seed funding for startups in Asia was estimated at $8.2 billion. This is a drop of around 6% compared to 2024.
Investment in AI
Investments in artificial intelligence also reached record levels in 2025, peaking in the fourth quarter.
For the full year, investments in startups in Crunchbase AI-related categories totaled $16.7 billion. Of that total, just over 38% occurred in the fourth quarter.
Breakdown of funding country by country
Even though startup funding in China remains well below historic highs, the country remains the leading destination for venture capital investments in Asia. Next comes India, followed by Israel, Japan and Singapore.
In the fourth quarter, we saw China expand its lead, bolstered by major deals around electric vehicles, autonomous driving and AI infrastructure.
Overview: restrained, but looking up
Overall, the funding figures paint a picture of a constrained investment environment, but with some bullish undertones. A particularly positive indicator is the resumption of investment in the fourth quarter, indicating that momentum is up, not down.
Yet funding remains well below peak levels. So there is a lot of catching up to do.
Methodology
The data in this report comes directly from Crunchbase and is based on reported data. Data is as of January 4, 2026.
It is worth noting that data lags are more pronounced in the early stages of VC activity, with seed funding amounts increasing significantly after the end of a quarter/year.
Please note that all financing values are quoted in US dollars unless otherwise noted.
Crunchbase converts foreign currencies to U.S. dollars at the spot rate in effect from the date financing rounds, acquisitions, IPOs, and other financial events are reported. Even though these events were added to Crunchbase long after the event was announced, currency transactions are converted at the historical spot price.
Glossary of financing terms
Seeds and Angels consist of rounds of seeds, pre-seeds and angels. Crunchbase also includes seed rounds, equity crowdfunding, and convertible notes in amounts of $3 million (USD or converted USD equivalent) or less.
The early stage includes Series A and B rounds, as well as other types of rounds. Crunchbase includes seed rounds, venture projects and other rounds over $3 million, as well as those under $15 million.
Advanced phases include Series C, D, E and subsequent venture capital series of letters following the naming convention “Series (Letter)”. Also included are unknown series rounds, corporate projects and other rounds above $15 million. Corporate financing rounds are only included if a company has raised early-stage equity financing through a serial venture financing round.
Tech Growth is a private equity round raised by a company that has already raised a venture round. (So basically any round of the previously defined steps.)
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Illustration: Dom Guzman
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