Top Startup and Tech Funding News – August 18, 2025

It’s Monday, August 18, 2025 — and we’re back with the latest wave of startup and tech funding news from the U.S. and around the world. Today’s capital flows highlight surging bets on AI software agents, billion-dollar biotech pushes, and big plays in photonic computing, rare-earth manufacturing, and next-gen space systems. From headline-grabbing half-billion-dollar rounds to early-stage seed bets, investors are pouring capital into ventures reimagining everything from healthcare and enterprise IT to generative video and mobile gaming.

Funding Highlights

Today’s lineup features Cognition’s $500 million Series C to accelerate autonomous coding, Cohere’s $500 million round at a $6.8 billion valuation to scale enterprise AI, and Kriya Therapeutics’ $313 million raise to advance its gene therapy pipeline. We also see Celestial AI pulling in $255 million to push the frontier of photonic interconnects, Decart attracting $100 million for real-time generative video, and Vulcan Elements raising $65 million to onshore rare-earth magnet production.

Investor Activity

The investor mix spans global powerhouses and specialized funds — from Founders Fund and Sequoia to Altimeter, Northzone, and Samsung Catalyst — reflecting conviction in platforms that reshape core industries and infrastructure. Participation from corporate strategics like Nvidia, AMD, and TSMC further underscores how deeply entrenched AI and hardware bets are becoming in today’s capital markets.

Today’s funding activity offers a snapshot of where capital is concentrating: autonomous software development, gene therapies, secure supply chains, IT automation, and digital-first consumer platforms.

Here’s the full breakdown.

Cognition Secures $500M in Series C Funding for AI Coding Platform

Cognition, an AI coding startup, has raised a massive $500 million in a Series C round to advance its mission of building AI-powered software engineering tools. The news comes just a month after Cognition AI acquired Windsurf, following Google’s $2.4B talent play.

The funding, led by Founders Fund, values the young company at nearly $10 billion. Cognition’s platform – anchored by an AI “software engineer” agent named Devin – aims to autonomously handle the entire software development lifecycle, from writing and testing code to deploying applications with minimal human input.

The new capital will enable Cognition to accelerate R&D on Devin and related products, as it looks to dramatically improve coding productivity for enterprises. Prior to this round, Cognition had raised over $300 million (including an earlier investment from Peter Thiel’s Founders Fund) and even acquired another AI code generation startup, all in pursuit of its vision of autonomous programming.

Funding Details:

• Startup: Cognition (AI-driven software development platform)

• Investors: Founders Fund (lead); prior backers include 8VC and Khosla Ventures

• Amount Raised: $500 million

• Total Raised: ~ $800 million

• Funding Stage: Series C

• Funding Date: August 14, 2025

Cohere Raises $500M in Funding at $6.8B Valuation to Scale Enterprise AI

Cohere, a Toronto-based AI startup, was valued at $6.8 billion after closing a $500 million funding round to expand its enterprise AI offerings. The oversubscribed raise was co-led by Canada’s Radical Ventures and Inovia Capital, with participation from existing strategic backers including AMD’s venture arm, Nvidia, PSP Investments, and Salesforce Ventures. Cohere develops large language models and other agentic AI systems tailored for businesses, focusing on secure, industry-specific solutions rather than consumer chatbots.

With this new infusion, Cohere plans to invest in global expansion, beef up its computing infrastructure, and continue hiring top AI talent – moves underscored by its recent appointment of former Meta AI research head Joelle Pineau as Chief AI Officer. The company has now raised roughly $1.5 billion to date, cementing its status as one of Canada’s most well-funded tech scaleups.

Founded in 2019 by former Google researchers, including CEO Aidan Gomez, Cohere’s ascent is marked by its focus on enterprise applications, setting it apart from competitors like OpenAI and Anthropic. OpenAI, for instance, is projecting $1 billion in revenue for 2024 and has amassed over $10 billion in investments, primarily from Microsoft. Meanwhile, other AI labs, including Anthropic and Mistral, continue to attract significant backing from industry heavyweights.

Funding Details:

• Startup: Cohere (Toronto, Canada – enterprise AI platform)

• Investors: Radical Ventures and Inovia Capital (co-leads); Nvidia; AMD Ventures; PSP Investments; Salesforce Ventures

• Amount Raised: $500 million

• Total Raised: ~ $1.5 billion

• Funding Stage: Series E

• Funding Date: August 14, 2025

Kriya Therapeutics Lands $313M in Funding to Advance Gene Therapy Pipeline

Kriya Therapeutics, a gene therapy startup based in North Carolina, has raised $313.3 million in a financing round to accelerate its pipeline of single-dose gene therapies. The hefty funding – disclosed in an SEC filing – did not name participants, noting only that two investors contributed, and bringing Kriya’s total funding to over $830 million to date. Kriya is developing treatments for a range of chronic diseases; its lead candidate for geographic atrophy (a form of vision loss) is poised to enter clinical trials after clearing preclinical studies. This new capital vaults Kriya into the top tier of biopharma financings this year, underscoring strong investor appetite for its approach amid a challenging gene therapy market. The funds will support advancing multiple programs (spanning ophthalmology, neurology, and metabolic disorders) toward human trials and eventual commercialization efforts.

Funding Details:

• Startup: Kriya Therapeutics (Morrisville, NC – gene therapy developer)

• Investors: Undisclosed (two large investors)

• Amount Raised: $313.3 million

• Total Raised: ~ $830 million

• Funding Stage: Undisclosed (late-stage round)

• Funding Date: August 18, 2025

Celestial AI Secures $255M in Series C1 Funding to Scale Photonic Computing

Celestial AI, a Silicon Valley startup building photonic interconnect technology for AI systems, closed a $255 million Series C1 round to accelerate development of its optical computing platform. The round added strategic investors VentureTech Alliance (the venture arm of TSMC) and Samsung Catalyst Fund, alongside existing backers like Fidelity, BlackRock, and AMD’s venture fund.

Celestial AI is pioneering the use of light to move data between chips, enabling faster and more energy-efficient AI model processing than traditional electronic interconnects. This big bet on optical technology brings Celestial’s total funding to approximately $520 million. The company will use the capital to ramp up product engineering and commercialization of its Photonic Fabric solution, aiming to help data centers and cloud providers meet surging AI workloads with lower latency and power draw.

Funding Details:

• Startup: Celestial AI (Santa Clara, CA – photonic interconnects for AI hardware)

• Investors: VentureTech Alliance; Samsung Catalyst Fund; (existing investors include Fidelity, BlackRock, and AMD Ventures)

• Amount Raised: $255 million

• Total Raised: ~ $520 million

• Funding Stage: Series C1

• Funding Date: August 14, 2025

Decart Grabs $100M in Series B Funding for Real-Time Generative Video AI

Decart, an Israeli AI startup specializing in real-time generative video, has raised $100 million in a Series B round that reportedly values the company at $3.1 billiontechmeme.com. The funding was led by Benchmark Capital with participation from Sequoia Capital, Zeev Ventures, and Aleph VC – all backing Decart’s vision for on-demand video content generation. Founded in 2024, Decart has developed AI models (dubbed Oasis and Mirage) capable of creating interactive videos instantly, and its platform attracted over 1 million users within days of launch.

The fresh $100 million will fuel expanded R&D and infrastructure as Decart works to reduce the cost of AI video generation and scale up partnerships with cloud providers and media companies. With this round, the company’s total funding rises to roughly $153 million in under two years, signaling strong momentum in the race to deliver AI-driven video at scale.

Funding Details:

• Startup: Decart (Tel Aviv, Israel – real-time generative video platform)

• Investors: Benchmark (lead); Sequoia Capital; Zeev Ventures; Aleph VC

• Amount Raised: $100 million

• Total Raised: ~ $153 million

• Funding Stage: Series B

• Funding Date: August 15, 2025

Titan Raises $74M in Series A Funding to Build AI-Driven IT Services Platform

Titan, a New York City-based startup aiming to modernize managed IT services with AI, emerged from stealth with a $74 million Series A round led by General Catalyst. Co-founded by alumni of Snap and Scale AI, Titan concurrently announced the acquisition of RFA (a longtime managed service provider in the financial sector) to jump-start its offerings.

The infusion of capital and technology will fuel Titan’s development of an AI-augmented IT services platform that automates routine infrastructure management for enterprise clients. By integrating RFA’s capabilities, Titan plans to deliver smarter, more proactive support to industries like finance, where downtime and cybersecurity are critical. The company’s strategy of combining venture funding with strategic M&A highlights its ambition to scale quickly and bring AI to the forefront of outsourced IT operations.

Funding Details:

• Startup: Titan (New York, NY – AI-driven IT services platform)

• Investors: General Catalyst (lead)

• Amount Raised: $74 million

• Total Raised: $74 million

• Funding Stage: Series A

• Funding Date: August 15, 2025

Vulcan Elements Gets $65M Series A to Scale Rare-Earth Magnet Production

Vulcan Elements, a Durham, NC-based startup, raised $65 million in a Series A round to expand its manufacturing of rare-earth magnets for electric vehicles, wind turbines, and defense systems. The funding was led by Altimeter Capital and One Investment Management, equipping Vulcan with resources to build domestic capacity for these critical materials.

Founded in 2023, Vulcan produces high-performance magnets used in EV motors, aerospace components, and other high-tech applications that currently rely heavily on overseas suppliers. By boosting U.S. production of rare-earth magnets, Vulcan aims to secure supply chains vital to clean energy and national security.

The new financing (which brings total funding to just over $70 million) will go toward scaling up its production facilities and R&D, helping meet the surging demand for rare-earth components as industries electrify and seek alternatives to imports.

Funding Details:

• Startup: Vulcan Elements (Durham, NC – rare-earth magnet manufacturer)

• Investors: Altimeter Capital; One Investment Management

• Amount Raised: $65 million

• Total Raised: ~ $70 million

• Funding Stage: Series A

• Funding Date: August 15, 2025

IVIX Secures $60M in Series B Funding to Tackle Financial Crime with AI

IVIX, a New York-based startup providing AI tools for government tax and fraud investigators, secured $60 million in Series B funding to expand its platform. The round was led by O.G. Venture Partners, joined by Insight Partners, Citi Ventures, Team8, and others. IVIX’s technology uses large language models and open-source intelligence to scan public data and uncover illicit financial activities – from money laundering to tax evasion – at scale.

Authorities across the U.S. and internationally use the platform to identify hidden business income and untangle complex financial networks that traditional audits might miss. With the new funding (which reportedly brings total raised to about $85 million), IVIX will accelerate product development and global go-to-market efforts, helping more governments digitize and bolster their financial crime-fighting capabilities.

Funding Details:

• Startup: IVIX (New York, NY – AI platform for government financial crime detection)

• Investors: O.G. Venture Partners (lead); Insight Partners; Citi Ventures; Team8; Disruptive AI; Cardumen Capital; Cerca

• Amount Raised: $60 million

• Total Raised: ~ $85 million

• Funding Stage: Series B

• Funding Date: August 18, 2025

Appcharge Scores $58M in Series B Funding to Power D2C Mobile Gaming

Appcharge, a Tel Aviv-based platform that helps mobile game publishers sell directly to consumers, has raised $58 million in a Series B round led by IVP. The funding, which brings Appcharge’s total to about $89 million, also saw participation from gaming giant Playrix and other existing investors.

Appcharge provides tools for game studios to build their own direct-to-player sales channels – from first-party payments to marketing – allowing developers to bypass app store fees and cultivate closer relationships with players. In just one year, the company has helped numerous mobile games increase revenue by transacting with users outside the traditional app store model.

With the new capital, Appcharge plans to expand its platform’s capabilities and international reach, riding the industry shift toward direct-to-consumer monetization in gaming.

Funding Details:

• Startup: Appcharge (Tel Aviv, Israel – direct-to-consumer platform for mobile game publishers)

• Investors: IVP (lead); Playrix; existing investors

• Amount Raised: $58 million

• Total Raised: $89 million

• Funding Stage: Series B

• Funding Date: August 13, 2025

Medallion Reels In $43M in Funding to Automate Healthcare Provider Networks

Medallion, a San Francisco-based company offering AI-powered credentialing and compliance software for healthcare providers, raised $43 million in new funding to grow its platform. The round was led by Acrew Capital with participation from Washington Harbour Partners and prominent existing backers like Sequoia Capital, GV (Google Ventures), and Spark Capital. Medallion’s cloud-based solution streamlines the back-office paperwork for health systems and insurance networks – automating tasks such as clinician credentialing, insurance enrollment, and license verification that are traditionally manual and time-consuming.

The fresh capital brings Medallion’s total funding to roughly $130 million. The company will use it to enhance its product (including a new shared credentialing clearinghouse called CredAlliance) and to scale its customer reach, as demand grows for technology to reduce administrative bottlenecks in healthcare.

Funding Details:

• Startup: Medallion (San Francisco, CA – healthcare credentialing automation)

• Investors: Acrew Capital (lead); Washington Harbour Partners; Sequoia Capital; GV; Spark Capital; others

• Amount Raised: $43 million

• Total Raised: ~ $130 million

• Funding Stage: Series C

• Funding Date: August 18, 2025

XOPS Raises $40M in Series A Funding to Automate Enterprise IT Operations

XOPS, a Pleasanton, CA-based startup building autonomous IT operations software, raised $40 million in a Series A round to expand its platform. The funding was co-led by Activant Capital and FPV Ventures, and marks the company’s first major funding since its 2022 founding. XOPS is developing an AI-driven system to monitor and manage enterprise IT infrastructure with minimal human intervention, aiming to prevent outages and optimize performance in mission-critical environments.

By ingesting data from across an organization’s tech stack, XOPS’s platform can detect anomalies, orchestrate responses, and continually fine-tune systems – essentially an “autopilot” for IT operations. With the $40 million now in hand (the company’s total funding to date), XOPS will invest in product development and customer acquisition, targeting Fortune 500 firms looking to cut IT downtime and costs through automation.

Funding Details:

• Startup: XOPS (Pleasanton, CA – AI-powered IT operations platform)

• Investors: Activant Capital; FPV Ventures

• Amount Raised: $40 million

• Total Raised: $40 million

• Funding Stage: Series A

• Funding Date: August 14, 2025

SpinLaunch Closes $30M in Funding to Accelerate LEO Satellite Constellation

SpinLaunch, a space technology startup based in Long Beach, CA, has closed a $30 million funding round to speed up development of its Meridian Space low-Earth orbit (LEO) satellite constellation. The funding was led by ATW Partners with continued backing from Kongsberg Defence & Aerospace, an existing strategic investor. SpinLaunch is known for its innovative kinetic launch system, and with Meridian Space, it aims to deploy a cost-efficient satellite broadband network to challenge incumbent satcom providers.

The new capital will help SpinLaunch transition from testing to commercialization – including advancing its recently proven reconfigurable orbital antenna technology, which promises smaller, less power-hungry satellites. With an eye on a first customer demo by 2026, SpinLaunch will use the $30 million infusion to build out the Meridian constellation and support early operations as it seeks to carve out a niche in the satellite internet market.

Funding Details:

• Startup: SpinLaunch (Long Beach, CA – space launch & satellite broadband startup)

• Investors: ATW Partners (lead); Kongsberg Defence & Aerospace

• Amount Raised: $30 million

• Total Raised: Not disclosed

• Funding Stage: Not disclosed

• Funding Date: August 18, 2025

Topline Pro Raises $27M in Series B Funding to Bring AI to Home Services

Topline Pro, a New York-based startup that provides an AI-powered platform for home service professionals, raised $27 million in a Series B round to expand its offerings. The investment was led by Northzone and brings Topline’s total funding to roughly $44 million. A graduate of Y Combinator, Topline Pro has built an all-in-one solution for the 2.5 million independent contractors in home services – using generative AI agents to automate their marketing, sales, and customer service workflows.

For example, Topline’s software can create a contractor’s website, run targeted ads, handle 24/7 customer inquiries, and schedule jobs, all with minimal input from the business owner. With thousands of plumbers, cleaners, and other “solo pro” users already on board, Topline Pro will use the new funds to introduce features like AI-driven invoicing and to scale into new geographic markets. The goal is to empower small home service businesses to grow revenue and save time by offloading back-office tasks to AI.

Funding Details:

• Startup: Topline Pro (New York, NY – AI platform for home service businesses)

• Investors: Northzone (lead); others (existing investors continued)

• Amount Raised: $27 million

• Total Raised: ~ $44 million

• Funding Stage: Series B

• Funding Date: August 12, 2025

Paradigm Nabs $5M in Seed Funding to Launch AI-Powered Spreadsheet Assistant

Paradigm, a San Francisco-based startup building an “agentic” spreadsheet platform, has raised $5 million in seed funding led by General Catalyst. The company is creating an AI-driven spreadsheet co-pilot that can automate complex workflows and data analysis tasks inside a spreadsheet. By integrating large language models, Paradigm’s tool allows users to delegate tasks – like cleaning data, running simulations, or generating insights – to an intelligent assistant directly within their familiar spreadsheet interface.

The seed funding will support the beta launch of Paradigm’s product to early users. Notably, Paradigm also secured a $2 million pre-seed round from Y Combinator and angel investors (including Dropbox co-founder Arash Ferdowsi), bringing its total funding to about $7 million. The fresh capital will help the team accelerate development and refine the user experience as they aim to transform spreadsheets from passive grids into proactive, AI-powered collaborators.

Funding Details:

• Startup: Paradigm (San Francisco, CA – AI-enhanced spreadsheet platform)

• Investors: General Catalyst (lead); Y Combinator; Arash Ferdowsi (angel)

• Amount Raised: $5 million

• Total Raised: ~ $7 million

• Funding Stage: Seed

• Funding Date: August 18, 2025

Tech Funding Summary Table