CALCULATE YOUR SIP RETURNS

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

Written by: Team Angel OneUpdated on: 20 Feb 2026, 8:12 pm IST
India secured $1.34 billion in AI funding in 2025, accounting for just 0.6% of the $225.8 billion invested globally.
India’s Share of Global AI Funding Stands at 0.6% in 2025
ShareShare on 1Share on 2Share on 3Share on 4Share on 5

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 MoreGoogle 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. 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.   
 
Investments in the securities market are subject to market risks, read all the related documents carefully before investing. 

Published on: Feb 20, 2026, 2:42 PM IST

Team Angel One

Team Angel One is a group of experienced financial writers that deliver insightful articles on the stock market, IPO, economy, personal finance, commodities and related categories.

Know More

We're Live on WhatsApp! Join our channel for market insights & updates

Open Free Demat Account!

Join our 3.5 Cr+ happy customers

+91
Enjoy Zero Brokerage on Equity Delivery
4.4 Cr+DOWNLOADS
Enjoy ₹0 Account Opening Charges

Get the link to download the App

Get it on Google PlayDownload on the App Store
Open Free Demat Account!
Join our 3.5 Cr+ happy customers