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Fortune
Fortune
Beatrice Nolan

Trump's tariffs dash hopes of VC comeback in 2025: 'It's going to be an ugly problem'

Donald Trump holds a board showing tariffs on every country. (Credit: Photo by Chip Somodevilla/Getty Images)
  • Tariff uncertainty is putting more pressure on the VC market, leaving investors hesitant as tech companies postpone IPOs. Global tariffs are also causing supply chain concerns which may eventually “dent VC appetite” for AI investments, according to PitchBook.

Trump's global tariffs have dampened Silicon Valley's hopes of a venture capital comeback in 2025, according to a new report from PitchBook that replaced the company's previous optimistic outlook with a stark forecast for the coming year.

The turbulence in global equity markets has hit VC as several major tech startups have postponed their IPO plans in response to the sharp decline in tech stock valuations. The disruption is putting even more pressure on an industry already dealing with a slowdown in both tech IPOs and M&A activity.

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