Woodinville-based Group14 Technologies recorded the largest funding deal in the greater Seattle area in the third quarter, a $463 million Series D funding round in August.
The number and value of venture-capital deals in the Seattle-Tacoma-Bellevue metropolitan area in the third quarter declined from the second quarter and last year’s third quarter, according to data released last week by PitchBook and National Venture Capital Association.
The metro area had an estimated 68 deals last quarter valued at $989 million. That was down from 102 deals valued at $2.3 billion in the second quarter and 91 deals valued almost $1.3 billion a year ago.
Eastside companies comprised four of the 10 largest deals last quarter, with clean-tech manufacturer Group14 Technologies of Woodinville recording the largest deal by far, a $463 million Series D funding round in August. The deal took the company, which makes silicon-battery material to support the global battery manufacturing industry, past $1 billion of equity raised.
In Washington state, deal count and value also were down from the second and year-ago quarters. The state had an estimated 79 deals valued at $1 billion in the third quarter.
Nationally last quarter, dealmaking activity warmed slightly with a 4.9% quarter-over-quarter increase in deal value, according to the Q3 2025 PitchBook-NVCA Venture Monitor. In Q3 2025, VC firms deployed $80.9 billion across an estimated 4,208 deals. Fifty-seven percent of capital invested in the U.S. went to San Francisco Bay Area startups, the report said.
“This quarter was defined by AI exuberance and capital concentration in outsized deals, which have been prominent themes throughout this year,” according to Venture Monitor. “Investor conviction has been increasingly concentrated in AI & machine learning (ML). This sector accounted for 64.3% of venture deal value in the year to date, despite representing only 37.5% of deal count.”
Bobby Franklin, president and CEO at NVCA, said in a statement, “While fundraising and exits haven’t yet returned to pre-pandemic highs, deal values are climbing across key sectors, including AI, manufacturing, robotics, and space tech, many of which have already surpassed their full-year 2024 investment levels. This momentum isn’t just encouraging: it’s essential. Startups are the engine of U.S. job creation and the cornerstone of long-term economic growth. To build on this progress, policymakers must embrace smart, forward-looking policies that strengthen our innovation pipeline, including creating a Startup Visa to ensure visionary founders and world-class talent can build the future right here in the United States.”
