Artificial Intelligence (AI) is witnessing one of its biggest funding surges yet. AI startups raised $47.3 billion in Q2 2025, the second-highest quarterly total on record, buoyed by mega-deals such as Meta’s $14.8 billion minority stake in Scale, according to recently released CB Insights. Deal volume edged up 2.5% from the previous quarter, with median deal size rising to $4.6 million, a four-year high. Overall, 2,772 AI deals have been sealed this year, pulling in $116 billion in global investments. Advertisement

But behind the enthusiasm lies an increasingly pressing question: Is this momentum grounded, or are we in the early stages of an AI bubble? The rapid surge in capital contrasts sharply with the still-uncertain ability of many AI companies to scale revenues and prove sustainab

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