Startup funding dropped off dramatically in the fourth quarter, but a number of companies that landed rounds scored big valuation jumps.
There were 14 Bay Area startups valued at $100 million or more after their valuations grew by at least triple when they raised funds in the last three months of 2022. Here they are:
Hottest Bay Area startups from Q4
Valuation change: Up 208%
New valuation: $235 million
Deal amount: $35 million
Round: Series B
Business:Electric vehicle software
Headquarters: San Francisco
Shown here: Weave Grid CEO Apoorv Bhargava
Valuation change: Up 208%
New valuation: $257 million
Deal amount: $12 million
Round: Series B
Business:Biopharmaceutical treatments of brain disorders
Headquarters: San Francisco
Shown here: Maplight Therapeutics CEO Christopher Kroeger
Valuation change: Up 214%
New valuation: $856 million
Deal amount: $94 million
Round: Series C
Business:Rebate management software
Headquarters: San Francisco
Shown here: Enable Global CEO Andrew Butt
Valuation change: Up 216%
New valuation: $3.15 billion
Deal amount: $150 million
Round: Series D
Business:Data center chips, boards
Headquarters: Santa Clara
Shown here: Astera Labs CEO Jitendra Mohan
Valuation change: Up 221%
New valuation: $1.49 billion
Deal amount: $150 million
Round: Series B
Business:Compliance and security automation software
Headquarters: San Francisco
Shown here: Founder and CEO Christina Cacioppo
Valuation change: Up 240%
New valuation: $110 million
Deal amount: $23.5 million
Round: Series A
Business:Project note sharing software
Headquarters: Los Altos Hills
Shown here: Mem Labs founders Kevin Moody (left) and Dennis Xu
Valuation change: Up 264%
New valuation: $300 million
Deal amount: $45 million
Round: Series B
Business:Cybersecurity software
Headquarters: Palo Alto
Shown here: Stairwell CEO Mike Wiacek
Valuation change: Up 284%
New valuation: $150 million
Deal amount: $30 million
Round: Series B
Business:Wireless power technology
Headquarters: Redwood City
Shown here: Reach Inc. web page
Valuation change: Up 336%
New valuation: $503 million
Deal amount: $100 million
Round: Series B
Business:Chips that cool computing systems.
Headquarters: San Jose
Shown here: Frore Systems illustration
Valuation change: Up 368%
New valuation: $243 million
Deal amount: $23 million
Round: Series A
Business:Startup research database.
Headquarters: San Francisco
Shown here: Harmonics AI website illustration
Valuation change: Up 370%
New valuation: $126 million
Deal amount: $26 million
Round: Series A
Business:Artificial intelligence-powered software for doctors.
Headquarters: Menlo Park
Shown here: Ambience Healthcare home page
Valuation change: Up 428%
New valuation: $320 million
Deal amount: $28 million
Round: Series A
Business:Repurposing used EV batteries for power grid storage
Headquarters: Menlo Park
Shown here: A lithium ion battery
Valuation change: Up 447%
New valuation: $134.5 million
Deal amount: $25 million
Round: Series A
Business:Online fashion marketplace
Headquarters: Menlo Park
Shown here: Trendsi web page
Investors were clearly more cautious about valuations in the fourth quarter, though, compared to the earlier quarters of last year.
In the first quarter, the valuations of five startups from the region grew by 1,000% or more. In the second quarter, only five saw that kind of jump. That dropped to two in the third quarter. The biggest jump in the fourth quarter was just 635%.
All but three of the big jumps in Q4 came in early stage rounds where the startups raised less than $100 million. Four were Series A fundings of less than $30 million. Seven came in Series B rounds of less than $70 million.
Another sign of investor caution is that the number of companies worth at least $100 million, whose valuations doubled in the last quarter, dropped dramatically. There were 26 in the fourth quarter, compared to 43 in the third quarter.
