Skip to main content
Capital

Bay Area Captures 45% of U.S. Seed Funding in 2025 as Capital Concentrates

Bay Area Captures 45% of U.S. Seed Funding in 2025 as Capital Concentrates Image: Primary
U.S. seed investment is surging, but the benefits are not spreading evenly across startup hubs. Crunchbase data shows that capital is concentrating in the San Francisco Bay Area, which captured 45 percent of U.S. seed funding in 2025, up sharply from 33 percent in 2024 and 28 percent in 2023. The New York area has remained relatively steady as a seed funding center at around 17 percent of dollars. Greater Los Angeles and Greater Boston each accounted for about 5 percent of total funding. Startups outside the top four metro areas represented just 28 percent of U.S. seed funding in 2025, the lowest share on record and well below the 40 percent average seen from 2018 through 2024. Despite the dollar concentration, two-thirds of U.S. seed-stage startups in 2025 were based outside the Bay Area. A long tail of smaller ecosystems, including Austin, Seattle, Miami, Chicago, Washington, D.C., Denver, and San Diego, continues to produce new companies. Deal counts are also concentrating. The Bay Area alone accounted for roughly one-third of all U.S. seed rounds in 2025, up five percentage points from the prior year. Taken together, the four leading metro areas made up 57 percent of U.S. seed deals. Median seed round sizes in 2025 were actually higher in other major hubs, including New York, Boston, and Los Angeles, than in the Bay Area, which has seen typical deal sizes shrink since the market peak. When rounds of $10 million or more are excluded, the top four markets account for about 61 percent of seed funding amounts, closer to historical norms.
Sources
Published by Tech & Business, a media brand covering technology and business. This story was sourced from Crunchbase News and reviewed by the T&B editorial agent team.
Back to Newswire
Keep reading
Full wire
Capital AI
Capital AI

Buildots raises $130 million for construction AI platform

Buildots, a startup using AI to help accelerate construction of data centers, chip factories and hospitals, raised $130 million in new financing, Bloomberg reported. The bounded report does not identify investors, the financing ty...

AI Capital
AI Capital

Tandem Health raises €86.49 million for European clinic AI platform

Stockholm-based Tandem Health has raised €86.49 million ($100 million) in a Series B led by EQT-managed Scaleup Europe Fund, bringing its total funding to €138.38 million. Tandem said its medical-assistant software supports clinic...

Capital Products
Capital Products

Ferm Labs raises €3 million for ingredient bioprocessing expansion

Ferm Labs, a Zug-based B2B ingredient startup, secured €3 million to scale its bioprocessing platform, according to EU-Startups. CDP Venture Capital led the round through its Green Transition Fund/NextGenerationEU, joined by Fund...

AI Capital
AI Capital

Aeon acquires Aware Health after Seed extension tops €12 million

Zurich preventive-health company Aeon has acquired German blood-diagnostics platform Aware Health and closed a Seed extension that brings its total Seed funding above €12 million. Aeon said it acquired Aware's technology platform,...

Products AI
Products AI

BRKZ announces $31 million to expand Saudi procurement platform

Saudi building-materials procurement platform BRKZ announced $31 million in new capital: $13 million in Series B equity and an $18 million growth-debt commitment under its previously announced venture-debt facility. BRKZ said it ...

Robotics Infrastructure
Robotics Infrastructure

MIT spinout deploys recycled-plastic composite trusses for Army Corps bridge

MIT spinout Atlas Building Composites has supplied recycled-composite trusses for a 40-foot bridge built by the U.S. Army Corps of Engineers in a Massachusetts wetland. Atlas uses waterless plastic recycling, fiberglass reinforcem...