---
title: "U.S. capital influx drives up valuations, European startups see unprecedented financing scale"
type: "News"
locale: "en"
url: "https://longbridge.com/en/news/278968845.md"
description: "Driven by American capital, the European startup financing market has experienced a surge, with significant increases in financing scale and valuations, especially in the field of artificial intelligence. From 2024 to 2025, the median financing scale of European startups is expected to grow by 32%. The participation rate of American investors in European financing rounds has risen to 20%. Paris-based AI startup AMI has completed a $1 billion seed round financing, with a valuation of $3.5 billion. Industry insiders point out that American capital has intensified the competition in the European venture capital market, and institutions need to enhance their added value to secure high-quality projects"
datetime: "2026-03-13T01:42:10.000Z"
locales:
  - [zh-CN](https://longbridge.com/zh-CN/news/278968845.md)
  - [en](https://longbridge.com/en/news/278968845.md)
  - [zh-HK](https://longbridge.com/zh-HK/news/278968845.md)
---

# U.S. capital influx drives up valuations, European startups see unprecedented financing scale

\[Global Network Finance Comprehensive Report\] According to reports from Bloomberg and other foreign media, driven by a significant influx of capital from the United States, the European startup financing market is experiencing a boom, with financing scale and valuation levels rising sharply, particularly in the field of artificial intelligence.

(Image source: Bloomberg)

Jan Oberhauser, founder of the Berlin software startup n8n, stated that his financing last summer received 14 letters of intent, most of which came from American investors. Oberhauser noted that American investors are more decisive in their decision-making, offer higher valuations, and provide terms that are more favorable to founders.

PitchBook data shows that from 2024 to 2025, the median financing scale for European startups is expected to grow by 32%, marking the largest increase since 2020. The proportion of American investors participating in European financing rounds has risen to one-fifth, doubling from a decade ago. American venture capital firms such as Lightspeed, Andreessen Horowitz, and Thrive Capital are intensively investing in Europe, with some institutions providing funding before companies officially launch their financing, quickly driving up project valuations.

Artificial intelligence startups have become the main beneficiaries of this financing boom. The Paris-based AI startup AMI, led by Yann LeCun, completed the largest seed round financing in European history, amounting to $1 billion, with a valuation of $3.5 billion; the Swedish AI company Lovable, established three years ago, has a valuation of $6.6 billion; and the legal AI company Legora, founded in 2023, has reached a valuation of $5.5 billion. Institutions like Accel are actively participating in the financing of these projects, with partner Ben Fletcher relocating from San Francisco to London to strengthen their presence in the European market.

Data shows that by 2025, the average valuation of late-stage financing companies in Europe is expected to reach €1.4 billion, setting a new historical high, an increase of 224% compared to 2024. Several recently established startups that have not yet launched products have already surpassed a valuation of $1 billion.

Industry insiders, including Julien Codorniou, partner at British venture capital firm 20VC, and former head of Sequoia Europe Matt Miller, indicate that the significant influx of American capital has intensified competition in the European venture capital market, making it difficult to secure quality projects with just funding; institutions need to enhance their competitiveness by relying on community, resources, brand, and other added values. At the same time, the exit channels in the European market remain a concern, with long-term exit capabilities becoming a key consideration for investors

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