In the first quarter of 2026, startups in the Seattle area secured approximately $1.5 billion from 69 venture capital deals, marking the lowest deal count since mid-2020. This represents a significant decline from the previous year, where the region witnessed over 100 deals and a total of $2.2 billion raised in Q1 2025.
The trend of larger funding rounds continues, with a growing concentration of capital among a limited number of startups, particularly in the field of artificial intelligence. Nationally, U.S. startups raised a record $267 billion in the same quarter, with just five deals accounting for nearly three-quarters of that amount.
Seattle now ranks seventh in the nation for total capital raised and tenth for deal count, a decline from its typical positioning between sixth and eighth from 2017 to 2020. Notably, space-related startups such as Stoke Space, which raised $350 million, and others in the region, are showing promising developments amidst this funding landscape.