Despite a challenging political climate, North America continues to lead in artificial intelligence (AI) venture capital (VC) investments. Between February and May 2025, North American AI and machine learning startups secured $69.7 billion across 1,528 deals, significantly outpacing other regions. In contrast, European AI ventures attracted $6.4 billion through 742 deals, while Asian startups garnered $3 billion across 515 deals during the same period.
This substantial investment in North American AI startups comes amid policies under President Donald Trump’s administration that have been perceived as unfavorable to scientific research and development. These policies include significant cuts to AI research funding, stricter immigration rules affecting foreign AI students, and potential reductions in university AI lab funding. Additionally, trade policies and tariffs have created a volatile market environment, posing challenges for emerging AI ventures.
Despite these hurdles, North America’s AI sector continues to thrive, attracting the majority of global AI VC investments. This trend underscores the region’s resilience and the strong confidence investors have in its AI innovation ecosystem.
