The disparity in capital allocation is stark. AI is dominating the deal count, but the financial stakes reveal a squeeze: AI founders are fighting for a fraction of the capital flowing into Health.
While AI companies are securing more frequent deals, they are being out-raised on a per-company basis. Health is leveraging massive, concentrated bets to move the needle, leaving AI founders to compete in a high-volume, low-yield environment.
The Capital Divide
The data shows a clear divergence in how investors are valuing sectors. Health captured $540M across only 6 rounds, averaging $90M per deal. In contrast, AI secured $311M across 24 rounds, averaging roughly $12.9M per deal. Even the niche AI agent sub-sector is under pressure, securing only $10M across 3 rounds.
Heavy Hitters
Funding is currently concentrating in late-stage Health and general enterprise plays:
- Oxford spin-out OMass Therapeutics — €275 million
- Pigment — $250 million
- Funding and M&A Roundup: Voltus — $225 million
- Cell-Specific RNA Delivery Firm Soufflé — $135 million
- Nouscom — €120 million
What founders can do
- AI Founders: Shift focus from deal volume to high-conviction milestones to break out of the low-average round size trend.
- Sector Pivots: Explore cross-sector applications, particularly in Health, where the average check size is currently significantly higher.