Market volatility and tariff uncertainties have dampened optimism around venture capital returns, leading to a slowdown in broader VC activity. Despite this, AI-focused deals have remained steady, with investors continuing to pour money into the sector.

According to recent data, AI-focused deals have reached approximately $91 billion in Q1, spread across 3,990 deals. This trend suggests that investors are betting big on artificial intelligence, even as they exercise caution in other areas.

The resilience of AI-focused deals can be attributed to the growing recognition of AI's potential to transform industries and create new opportunities. From healthcare and finance to education and transportation, AI is being seen as a key driver of innovation and growth.

While broader VC activity may be slowing down, the steady flow of deals in the AI space is a positive sign for the industry. It indicates that investors are still willing to take calculated risks and invest in promising startups, especially those with strong AI capabilities.

Key statistics:

  • $91 billion invested in AI-focused deals in Q1
  • 3,990 AI-focused deals in Q1

The trend highlights the importance of AI in driving innovation and growth, and investors' continued interest in the sector is likely to fuel further development and adoption of AI technologies.