2025 is wrapped - time to look back at how AEC-Tech closed out the year.
The final quarter brought $550M in funding, making Q4 the second quietest quarter of 2025, with AEC-Tech's market share settling at 0.3%, the lowest of the year.
The numbers show a sector that has normalized after the 2021 peak, tracking back to long-run median levels and staying comfortably above pre-2021 baselines. Not a downturn - but a stabilization.
What stood out in Q4:
\\ Europe + Israel back on top: Leading regional market share again at 0.4%, narrowly ahead of both APAC and North America (0.3% each)
\\ Series A/B stabilizing, late-stage rebounding: Early rounds remain constructive; growth-stage funding is finding its footing again after the Series C dip earlier in 2025
\\ Concentration easing: Top 4 deals captured 36% of quarterly funding, Top 10 took 63% – a much healthier spread compared to Q3's 53%/75%. More capital flowing to a broader set of companies.
\\ Top deals: CoLab Software ($72M), PermitFlow ($54M, Foundamental portfolio), Bobyard ($35M), FieldFlo ($35M)
\\ No new unicorns in Q4 – BuildOps remains the most recent entrant from Q1 2025
The 2025 full-year picture: $2.9B raised across the year. Not exciting. Not concerning. Stable, diversified, and increasingly selective – which is precisely what a maturing sector looks like.
Does this match how Q4 felt on the ground for you? Curious to hear your take! LINKEDIN LINK