Stories of Technology, Innovation, & Entrepreneurship in the Southeast

Knoxville Business News Tennessee Mountain Scenery Background
January 23, 2023 | Tom Ballard

Crunchbase identifies four seed round funding trends

Carbon capture, AI, women's health and hybrid tools top the list.

Crunchbase’s Joanna Glasner writes that she “read through all the most recent seed funding rounds in an effort to identify trends,” and she spotted four in the past four months that she characterizes as “progress behind the scenes.” That’s a reference to “the kinds of innovations that get quietly incorporated into existing products, services and industrial processes, without the end consumer having to do much.”

What are the sectors? The top two are not surprising and probably a third one is not as well.

  • Topping the list were start-ups focused on carbon capture. “We identified at least seven companies that collectively raised over $25 million in seed funding in the past four months,” Glasner wrote.
  • Second on the list were those focused on artificial intelligence (AI). She observes that, while many fear that AI will eliminate jobs, “In the foreseeable future, AI will likely save time and effort on workplace tasks, rather than eliminate entire positions, with the hoped-for result being higher productivity.”
  • The third sector might surprise readers. It is defined as women’s health and fertility. “It doesn’t look like start-ups can do much to expand the supply of specialists,” Glasner writes. “However, they can make it easier to access women’s health and fertility-related care regardless of geography as well as connect people to specialized providers.”
  • The fourth area is hybrid work where start-ups are crafting tools to meet the needs of employers and employees who have adopted hybrid as a model.

You can find her list here.