Venture capital (VC funding) to AI (artificial intelligence) startups in Asia Pacific has plunged 46.5 percent to $12.3 billion in 2022, reveals GlobalData.
The number of VC funding deals announced in the artificial intelligence (AI) space within the Asia-Pacific (APAC) region declined by 5.3 percent in 2022 compared to the previous year.
1,022 APAC- based AI startups participated in 1,087 VC funding deals during 2022.
Aurojyoti Bose, Lead Analyst at GlobalData, said: “VC funding activity in the AI space globally suffered setback in 2022 compared to the previous year with the impact significantly prominent in terms of deal value. The VC funding activity in the APAC AI is in line with the global trend.”
China, which is the top APAC market, witnessed decline in both VC funding deal volume as well as value in 2022. Most of the key markets across the region registered decline in VC funding value. Meanwhile, South Korea, Japan, Singapore and Australia were among the key markets that managed to see growth in VC funding deals volume.
China continued to account for the highest share of the number of VC deals announced in the APAC region in 2022 followed by South Korea, India, Japan, Singapore and Australia.