U.S. startups secured $91.5 billion in venture capital funding during the first quarter, marking an 18.5% increase from the previous quarter and the second-highest quarterly total in a decade, according to PitchBook. However, Kyle Stanford, PitchBook's lead U.S. venture capital analyst, warns of a bleak future for 2025, citing disappointing IPO expectations and economic uncertainties linked to stock market volatility and trade policies. Notably, 44% of the funding was concentrated in OpenAI's $40 billion round, raising concerns about the overall health of the startup ecosystem. Many startups may face down rounds or acquisitions at reduced valuations as economic pressures mount.