Private Markets Drive Innovation Economy in 2025
Many investors entered 2025 with renewed optimism fueled by improving capital formation and exit activity in late 2024. This long-awaited development became particularly apparent with late-stage venture capital and growth-stage assets. This asset class’s capital formation and exit activity had basically stalled during the previous three years. For context, from 2022 to 2024, the late-stage VC market averaged just four tech IPOs per year—comparable to the global financial crisis period of 2008–2009, which averaged five. So far in H1 2025, there have been 24 tech-focused IPOs with more anticipated on the horizon.
While this optimism ran into a buzzsaw in April due to the rollout of the Trump administration’s new tariff plan,…
