Startup and Venture Capital News – Wednesday, February 11, 2026: The Return of Mega Funds, Record AI Deals, IPO Revitalization, Major M&A Transactions, and Market Trends
The venture capital market enters the year 2026 showing signs of revitalization and new records. By mid-February, several landmark events are occurring: the largest investment funds are once again attracting massive amounts of capital, AI startups are setting records in funding rounds, the window for initial public offerings (IPOs) is beginning to open, and mergers and acquisitions are gaining momentum. Simultaneously, investors are focusing on promising areas—from AI technologies and defense to sustainable “green” projects. Let’s take a closer look at the key trends and startup news leading up to this date.
The Return of Mega Funds to the Venture Market
After a period of relative calm in 2025, venture mega funds are making a comeback in the market. The largest investors are demonstrating their capacity to attract record capital. A significant event was the announcement of a new fund round by Andreessen Horowitz (a16z)—the firm closed funds totaling over $15 billion, aimed at scaling startups, artificial intelligence, and strategic sectors. This fundraising, occurring less than two years after the previous round, shows that limited partners (LPs) are still willing to invest in top-tier venture teams. Despite the challenges faced in recent years and a decline in the number of new funds in 2025, major players such as a16z, Sequoia, and others continue to attract mega-sized capital. The resurgence of mega funds signals a restoration of confidence in the venture market and a readiness to finance new breakthrough projects.
Record Venture Rounds in AI
The artificial intelligence (AI) sector continues to attract a lion's share of investments, setting new records in startup funding. The largest deals at the beginning of 2026 have been in AI companies, demonstrating that investors are prepared to invest substantial amounts in industry leaders. Among the most notable rounds:
- Waymo (self-driving cars, USA) – raised about $16 billion in new funding at a valuation of approximately $126 billion. The round was led by Dragoneer, DST Global, and Sequoia Capital, with the startup planning to expand into new markets (announcing a launch in 20 cities worldwide, including Tokyo and London).
- Cerebras Systems (AI processors, USA) – received $1 billion in Series H funding, with a company valuation reaching about $23 billion. The funding was led by Tiger Global.
- ElevenLabs (generative audio AI, USA) – secured $500 million in Series D funding at a valuation of around $11 billion. The round was led by Sequoia Capital; the company is experiencing rapid revenue growth due to demand for AI-generated voiceovers.
These record investments underscore investors' appetite for companies leading the race in AI technology. Moreover, support isn't limited to American startups—similar trends are occurring globally. For instance, the Japanese conglomerate SoftBank has placed a bet on AI model developer OpenAI: in December, SoftBank invested more than $40 billion, acquiring approximately 11% of the company, and in early 2026, plans were revealed to invest an additional up to $30 billion in a potential mega-round that could elevate OpenAI's valuation to over $800 billion. Consequently, large investors are essentially going "all-in" on AI. Corporations are also active; compared to last year, corporate investments in AI startups have nearly doubled. Clearly, artificial intelligence remains the primary focal point for venture capital, with select companies in this sector capable of attracting unprecedented sums.
IPO Market Revitalization
After a prolonged downturn in the public offerings market, tech companies are preparing once again to go public. Experts are discussing the revitalization of IPOs: investment banks and analysts forecast a surge in major listings in 2026. For instance, Goldman Sachs estimates that the total volume of funds raised through IPOs in the US market could reach a record $150–160 billion if the most anticipated "unicorns" execute their offerings this year. The list of potential debutants is impressive. First and foremost, attention is on SpaceX led by Elon Musk: the space company, which recently merged with his own AI startup xAI, is preparing for an IPO expected by mid-2026, which may value the combined business at over $1.5 trillion. If SpaceX raises more than $25 billion in its IPO, it would become the largest IPO in global history, surpassing the record set by Saudi Aramco. Also on the horizon are giants in the AI sector. OpenAI, according to insiders, is exploring the possibility of an IPO by the end of 2026 with a target valuation of around $1 trillion, although the company’s leadership is not rushing towards the public market. Another AI developer, Anthropic, has reportedly hired consultants in preparation for a potential offering. Besides them, there are expected IPOs from several well-known fintech and software unicorns, such as Stripe and Databricks, if market conditions remain favorable. Early signs are already emerging: in early February, two biotech companies successfully went public (raising a total of about $350 million), indicating a renewed appetite among investors for new offerings. Of course, risks remain—stock market volatility or corrections in the tech sector could alter plans. However, the overall mood is positive: 2026 may become a turning point for the IPO market after several “cold” years.
Revitalization of M&A Transactions
Large mergers and acquisitions (M&A) are back in the spotlight as corporations aim to strengthen their positions through acquiring promising startups. One of the most notable events is Google’s acquisition of the cloud cybersecurity startup Wiz. The deal, valued at about $32 billion, marks Google’s largest acquisition in history and received approval from EU antitrust authorities in February, confirming no substantial threats to competition. For Google, this step enhances its cloud business and enters the elite of cybersecurity. Another unprecedented case is the announced merger of SpaceX and xAI led by Elon Musk. Formally, this is the acquisition of a junior AI startup by the flagship company SpaceX, resulting in the formation of a colossal technological tandem with an estimated valuation of around $1.25 trillion ahead of the IPO. This move not only resolves financial difficulties for xAI but also lays the groundwork for synergy between space and AI technologies, preparing the way for future public offerings. Overall, the trend is clear: tech giants actively acquire innovative companies, reinforcing their ecosystems. In addition to mega deals, spot acquisitions in the fintech and SaaS sectors continue, as well as the acquisition of startups by major industrial players seeking new technologies. The increase in the number and scale of M&A deals signals a stage of market consolidation, where large companies utilize accumulated capital for strategic purchases.
Fintech Emerges from the Downturn
The financial technology (FinTech) sector, which experienced a decline in activity last year, is showing signs of recovery. In the early weeks of February 2026, fintech startups around the world raised over $1 billion.
The Geography of Venture Investments: A Global Perspective
The venture boom at the beginning of 2026 is global in nature. Although the largest deals are traditionally concentrated in the US (Silicon Valley continues to generate the most valuable unicorns and mega rounds, as seen with Waymo and others), other regions are not far behind. Europe is showing its own success: in January alone, Europe saw at least five new “unicorns”—startups valued at over $1 billion. Notably, the geography of these companies is diverse, spanning from Belgium and France to Lithuania and Ukraine. The sectors of the new European unicorns include cybersecurity, cloud services, military technologies, ESG platforms, and educational applications. The participation of investors such as BlackRock, Temasek, and DST Global in European rounds confirms that international capital is actively entering European projects. Asia is also contributing: in Japan and China, large conglomerates and funds are investing in AI technologies and electronics (a prime example being SoftBank’s aggressive investments in OpenAI). The Middle East enhances its presence through sovereign funds—such as those from Qatar and the UAE—that are investing hundreds of millions of dollars in Western and Asian startups. India and Southeast Asia continue to cultivate their own startup ecosystems: news about new funding rounds for Indian tech companies emerges weekly, albeit at more modest scales, reflecting the broad engagement of developing markets. In summary, venture investments are spreading everywhere, and competition for the best deals is of international scale—capital is flowing to where promising teams and technologies exist, whether in Silicon Valley, London, Tel Aviv, or Bangalore.
Focus on AI and Defense Technologies
Analyzing overall trends, a clear focus of investors on artificial intelligence and defense technologies emerges. The rapid adoption of AI across all industries has led to nearly every major fund having a strategy to increase investments in AI startups. At the same time, the heightened geopolitical situation and technological competition between countries (primarily the US and China) have brought defense and "dual-use" technologies to the forefront. In the US, the launch of specific venture funds aimed at national security and “critical technologies” (for example, a16z allocated more than $1 billion to its American Dynamism fund, investing in defense, equipment, infrastructure, etc.) reflects a governmental priority to maintain technological leadership. Europe is similarly aligned: the French startup Harmattan AI, developing autonomous drones, secured $200 million with support from aerospace giant Dassault Aviation and contracts with the Ministry of Defense—an exemplary case of synergy between the defense sector and venture capital. Overall, defense startups, cybersecurity, and intelligence technologies are now actively funded not only by the government but also by private investors recognizing the growing demand for these solutions. The AI and defense sectors are increasingly intersecting—from AI-based spacecraft to analytical systems for military purposes—creating a new niche for venture growth. It can be expected that in 2026, the share of deals in these areas will continue to rise, supported by both private and governmental capital.
Sustainable Development and "Green" Investments
Despite the excitement surrounding high technologies, the agenda of sustainable development (ESG) remains in the spotlight. Climate and environmental startups continue to attract funding, though less prominently against the backdrop of AI deals. In 2025, the total global volume of investments in climate technologies even grew a few percentage points (to ~$40 billion), despite an overall decline in the number of deals—an indication that investors are looking long-term and are not withdrawing support for “green” innovations. In Europe, tightening regulations in sustainability are driving demand for correspondingly compliant solutions: a noteworthy example was the transformation of the German ESG platform Osapiens into a “unicorn” after raising $100 million at a valuation of $1.1 billion, backed by funds created by giants such as BlackRock and Temasek, aimed at decarbonization. New technologies are being developed worldwide in the fields of clean energy, emissions management, electric mobility, and waste recycling, and venture capital is actively funding these initiatives. Large manufacturing and energy corporations are also investing in “green” startups or launching corporate venture divisions to seek sustainable solutions. Thus, issues of ecology, social responsibility, and corporate governance continue to influence investment decisions. In 2026, sustainability expectations will become an integral part of many funds' strategies, and startups offering climate innovations can anticipate stable interest from both specialized impact funds and cross-sectoral investors.
The Role of Corporate Investors
A notable trend in the current period is the increased role of corporate venture capital in the startup scene. Corporations and industry giants are increasingly acting as investors or buyers of technology companies. January 2026 marked a record month for corporate investments: analysts estimate that corporate venture divisions of global companies participated in deals worth over $37 billion in just one month, the highest in the last two years. There has been a particular surge in large rounds: in January alone, a record number of rounds totaling $100+ million involved corporations. Corporations are especially interested in AI startups (the number of corporate-backed deals in AI has risen nearly 2–3 times compared to last year) and in robotics/drones. Traditional companies see in startups not just financial returns, but strategic opportunities—from integrating innovations into their own businesses to outpacing competitors. We are seeing examples across all sectors: financial organizations are opening venture funds for investments in fintech and blockchain, automotive manufacturers are acquiring startups in electric vehicles and batteries, oil and gas giants are investing in renewable energy, and IT corporations are focusing on cloud services and cybersecurity (as evidenced by Google’s acquisition of Wiz). New players are also emerging: well-known entrepreneurs and media personalities are entering the venture acquisition game through their companies. For example, in February, it was announced that the media business of famous blogger MrBeast is acquiring fintech startup Step—an unconventional example that demonstrates that the venture market attracts a variety of investor types. As a result, the merging of traditional businesses and the startup industry is strengthening. For startups, corporate investors represent not only capital but also access to resources, expertise, and large customer bases. In 2026, further growth of corporate venture capital is expected: companies hold significant cash reserves and are seeking ways to stay at the forefront of technology, thus they will continue to actively invest in promising projects or acquire them.
Conclusion and Prospects. The start of 2026 instills cautious optimism in the venture community. We are witnessing the return of significant capital to the market—through mega funds and enormous funding rounds—but investments have become more selective, concentrated on breakthrough areas. Investors of all types—from traditional venture funds to corporations and sovereign wealth funds—are now competing for the best startups, particularly in artificial intelligence, defense, fintech, and sustainable development. The growing activity on the IPO front indicates that successful startups are finding the long-awaited path to the public market, which could inject additional liquidity into the ecosystem. Mergers and acquisitions signal a continued reshaping of the industry, where stronger companies are absorbing niche players. Certainly, global risks—economic conditions, regulatory constraints, geopolitical issues—are still in play. Nevertheless, the venture market enters the new year armed with lessons from the previous downturn and is ready to finance the next wave of innovations. For venture investors and funds on Wednesday, February 11, 2026, the main news is that the market has revived, capital is once again at work, and we are looking forward to new deals, records, and achievements from startups around the world.
