Global venture capital (VC) funding activity volume witnessed significant growth in 2021, with improvement also witnessed across all of the regions. However, North America continued to attract the highest number of VC investments while also registering robust growth during the year. This was primarily driven by the heightened deal activity in the US, according to GlobalData, a leading data and analytics company.

Aurojyoti Bose, Lead Analyst at GlobalData, comments: “Traditionally, the North America region has been dominating the global VC funding landscape with the majority of this activity coming from the US, the region’s key market. VC investors have showcased tremendous faith in the US in 2021 and the double-digit growth has helped to further strengthen the region’s dominance.”

GlobalData found that North America took a major leap of 44.1% from 9,656 deals in 2020 to 13,910 deals in 2021, the majority of which was driven by the US. The number of VC funding deals announced in the US also increased by 44.8% from 9,118 deals in 2020 to 13,204 deals in 2021. When looking at the number of VC deals globally, there was an increase of 39.1%, from 22,036 deals in 2020 to 30,653 deals in 2021. North America accounted for 45.4% of this volume in 2021, outpacing all the other regions by a significant margin.

North America is followed by Asia-Pacific, Europe, Middle East and Africa and South and Central America, which accounted for 30%, 18.6%, 3.9% and 2.2% of VC funding deal volume in 2021, respectively.

Bose adds: “Akin to North America, all other regions also witnessed growth in VC funding activity. The number of VC funding deals announced in Asia-Pacific, Europe, Middle East and Africa and South and Central America increased by 37.5%, 24.9%, 44.4%, 114.4% in 2021 compared to 2020, respectively.”