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Chronicles

The story behind the story

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An analysis of Crunchbase and PitchBook data: 80+ tech startups passed $1B valuations in 2025 so far, many of them AI-related, save for exceptions like Kalshi

With AI igniting an investor frenzy, every month, more startups obtain unicorn status.  —  Using data from Crunchbase and PitchBook

TechCrunch Dominic-Madori Davis

Context & Ripple Effects

The pace has accelerated from the 36-plus tech companies that had reached unicorn status by early July, indicating that the year’s new-valuation cohort grew substantially in the following months.

The concentration is consistent with AI taking 53% of global VC dollars in the first half of 2025. Kalshi’s inclusion shows that the unicorn pipeline is not exclusively tied to AI, even as AI dominates it.

First-order effects

  • The newly valued companies join the pool of private firms priced at $1 billion or more, while AI-related startups account for much of the expansion identified by Crunchbase and PitchBook.
  • Kalshi stands out as a non-AI exception in a cohort otherwise shaped largely by AI investor demand.

Second-order effects

  • A larger AI-heavy unicorn cohort increases pressure on investors to secure exposure to the category, reinforcing the funding imbalance between AI and startups in other technology segments.
  • The result gives market-data providers and investors a clearer signal that headline private-market valuations are becoming increasingly dependent on AI-related deal activity.

Third-order effects

  • If this concentration persists, private technology markets may become more bifurcated: AI companies attract outsized capital and valuation support while non-AI companies face a higher bar to reach comparable scale.
  • The pattern extends a longer shift from broad startup funding toward an expanding AI unicorn base, making the durability of AI valuations increasingly important to the overall venture market.

The trend: AI is becoming the main engine of private-market value creation, concentrating venture funding and unicorn formation in a narrower set of technology categories.