Asia's Startups Pull In $38.5B as Seed Money Hits a Multiyear High

Your daily brief on leadership and business

Asia's startup investors had a busy summer. Seed through growth-stage funding in the region reached $38.5 billion in the third quarter of 2026, the second-highest level in years, according to venture data released in mid-October. The total dipped slightly from the second quarter, which had been boosted by a $7.4 billion financing for China's DeepSeek, while deal counts stayed roughly flat.

China sets the pace

China dominated with about $27 billion, or roughly 70% of all Asian startup funding. India came second with $2.9 billion and Singapore third with $2.5 billion, although both fell significantly from the previous quarter. Israel slipped slightly. About 55% of the money, an estimated $21 billion, went to AI-focused companies.

The largest rounds show where the appetite lies:

• Beijing's Moonshot AI raised a $3.5 billion Series F in July at a reported $35 billion valuation, the biggest round of the quarter.
• Kling AI, the generative video spinout of Kuaishou Technology, raised about $3 billion, with Baidu and Tencent among the backers.
• Shenzhen robotics company D-Robotics closed a $400 million Series C in September.
• Hong Kong e-commerce fintech Qupital raised a $300 million Series C and is reportedly eyeing an IPO.

Good news at the bottom of the ladder

The most interesting shift happened at the earliest stage. Seed and angel funding reached $4.9 billion, up about 22% from the second quarter and more than double the year-ago figure, the highest level in years. Series A and B rounds totaled $13.6 billion, down 28% quarter over quarter but up 65% year over year. Late and growth-stage funding came to about $20 billion, nearly double last year's level. Capital is still concentrated in favored startups, but that concentration is not intensifying. For first-time founders in the region, that is about as encouraging as a spreadsheet gets.