For the longest time, Software as a Service offerings were the darling of the investment community. But the changing dynamics of the industry show that may be starting to change. At the time of this writing, SaaS funding for 2024 is only $4.7 billion for the first five months. (Totals for 2023 were $17.4 billion.)
For 2024, year-over-year investment totals are also quite a bit lower due to a single large 2023 round: the $6.5 billion Series I for fintech unicorn Stripe. That’s the largest financing in the space ever, per Crunchbase data, and thus obviously a tough comp to match.
Going forward, we’ll be looking to public markets to see if earnings outlooks improve for SaaS heavyweights and if investors regain their enthusiasm for the space. In private markets, meanwhile, investment remains subdued, albeit with a steady flow of deals still getting done.
For more, visit Crunchbase.
More news
