Experts at Cyberport Venture Capital Forum 2025 share key insights to drive market recovery

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Asia’s venture capital market showed signs of cautious recovery from January to September 2025, with artificial intelligence (AI) and data infrastructure emerging as dominant investment themes. While China retained its lead in deal value, overall performance remained subdued. Total VC investment reached US$16.8 billion in Q3—slightly higher than Q2, yet still significantly below pre-2023 levels.

Deal volume reflected this restraint, particularly in early-stage rounds. However, late-stage D+ rounds saw modest growth, signalling the maturation of startups in sectors such as AI and DeepTech. At the same time, median deal sizes declined year-over-year, indicating more conservative funding behaviour and a recalibration of capital needs among founders.

AI and data infrastructure led the charge throughout the first three quarters. Investors also showed strong interest in AI enablement technologies, text-to-video platforms, and smartphone-based AI agents. FinTech and enterprise software remained resilient across emerging markets, collectively accounting for nearly half of total funding.

China contributed approximately half of Asia’s deal value, recording US$8.4 billion in Q3. Despite a modest rebound, this marked one of the country’s weakest quarters in recent years, weighed down by macroeconomic uncertainty and investor caution. In contrast, India experienced a 22 percent decline in Q3 funding, totaling US$2.7 billion—its lowest in two years. Singapore stood out as a bright spot, attracting US$2.4 billion in Q3—nearly triple its year-ago level.

For the full year 2024, the Asia-Pacific venture capital market was valued at US$78.8 billion, down from US$100.9 billion in 2023.

Amid market turbulence and shifting investor sentiment, expert insights and strategic dialogue are more critical than ever. To foster these connections, Hong Kong Cyberport Management Co Ltd will host its annual venture capital forum—CVCF 2025—on November 6 and 7. Themed “Innovation-Venture Nexus: Igniting Transformative Success,” this year’s forum will spotlight the rise of AI, digital assets, and the evolving venture landscape. It will serve as a vital platform for visionary startups and strategic investors from Hong Kong, mainland China, and around the world to engage, collaborate, and forge transformative deals.