India’s Share of Global AI Funding Stands at 0.6% in 2025

Private equity and venture capital investment in artificial intelligence reached $225.8 billion in 2025, according to CB Insights. The United States accounted for $188.8 billion across 3,656 deals, making up the largest share of global funding. 

Europe attracted $21.1 billion through 1,494 transactions. Asia recorded $12.2 billion across 1,417 deals. Funding activity remained concentrated in a small group of markets. 

India’s Position 

Indian AI startups raised $1.34 billion in 2025 through 198 deals. This amounts to roughly 0.6% of the total global funding pool of $225.8 billion. 

In 2024, Indian firms had secured $1 billion across 228 deals. While the value of funding increased year-on-year, deal volumes declined. India’s share of global investment has remained limited despite the rise in absolute numbers. 

Within Asia, India accounted for around 11% of the $12.2 billion invested in the region. 

Comparison Within Asia and Europe 

China raised $6.7 billion across 468 deals in 2025, representing more than half of Asia’s total AI funding. 

In Europe, the United Kingdom secured $6.9 billion across 399 deals. France raised $3.1 billion from 144 transactions, while Israel attracted $2.8 billion during the year. 

Europe’s overall share stood at just over 9% of global AI investment. 

Investment Trends 

Large language model developers accounted for 41% of total AI funding in 2025. Companies including OpenAI, Anthropic and xAI together raised more than $86.3 billion. 

Funding was largely driven by sizeable transactions. Deals above $100 million made up 79% of the total capital deployed globally, indicating a concentration of capital in fewer companies. 

In India, 82% of AI funding went to early-stage startups, compared with an Asian average of 72%. Mid-stage companies received 8%, with the remainder going to late-stage firms. 

Read More: Google DeepMind Partners India to Bring AI Tools to 10,000 Schools, Boost Connectivity! 

Conclusion 

The figures show that India’s AI sector continues to draw capital, but its share of global private investment remains small relative to major markets. 

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