The analysis of seed investments in 2024 reveals additional insights that enhance the understanding of the winners and losers in this landscape.

Losers

Virtual Reality and Augmented Reality: The virtual reality (VR) and augmented reality (AR) sectors have faced significant declines in seed funding, with reported investments dropping by more than two-thirds compared to the previous year. This downturn is attributed to the lack of successful product launches and a general skepticism about the market’s potential, especially following underwhelming performances from major players like Apple and Meta.

Cannabis: The cannabis sector’s decline in seed funding is particularly stark, with only $11 million reported in North America, marking a significant drop from previous years. This reflects ongoing challenges in the industry, including regulatory hurdles and a lack of successful exits that have dampened investor enthusiasm.

Overall, while sectors like AI, fintech, and sustainability are thriving, traditional markets such as e-commerce, food, and cannabis are struggling to attract seed investments in 2024.