Key Takeaways
- Venture capital funding in Ireland soared to $668 million in the first three months of 2025, a huge increase from $34 million during the same time last year.
- This jump was mainly fueled by three large investments over $100 million each, including $125 million for AI company Tines.
- Globally, VC investment also climbed, largely thanks to major deals in artificial intelligence.
- Despite the strong start, investors are cautious about the future due to global uncertainties and trade tensions.
- AI, medtech, and fintech continue to be popular investment areas in Ireland.
Ireland saw a dramatic surge in venture capital investment early this year.
Funding reached $668 million across 28 deals in the first quarter of 2025, according to the latest KPMG Venture Pulse report highlighted by RTÉ News. This dwarfs the $34 million invested across 17 deals in the same period last year.
The impressive total was largely driven by a few significant “megadeals.” Three companies raised over $100 million each, including AI software firm Tines ($125 million), medical device company Fire1 ($120 million), and ocean data company XOcean ($120 million).
This mirrors a global trend where overall VC investment increased to $126.3 billion, boosted by large deals primarily in the artificial intelligence sector, even amidst geopolitical tensions.
In Europe, while the total investment value held steady at $18 billion, the number of deals actually decreased, suggesting investors are focusing on larger, more established companies.
Ireland’s strong performance highlights continued investor interest in specific sectors like artificial intelligence, medical technology (medtech), and financial technology (fintech), thanks to strong innovation and talent pools here.
However, experts note a sense of caution among investors looking ahead. Concerns about global politics and potential trade issues, particularly with the US, might lead to slower investment activity in the coming months.
Despite these potential headwinds, areas like AI, health tech, and fintech are expected to remain attractive, especially for startups that have already shown significant progress.
