Investments in generative AI startups continue unabated despite macro downturns and geopolitical tensions. Going by Pitchbook’s latest report, 58% of the $73-billion global VC investments in the first quarter of 2025 was in AI startups.


The 2025 Stanford AI Index report says private AI investments increased 44.5% between 2023 and 2024. In addition, corporate investments in AI through mergers and acquisitions, minority stakes and public offerings have seen a 25.5% uptick in 2024 compared to in 2023. These investments stood at $19 billion in 2014. This has come on the back of rising adoption of AI as companies begin to see clear return on investments. Swathi Moorthy looks at how the AI investment landscape has changed in the past year in terms of investments and adoption.