The Top Trends in Tech and Startups We're Watching in 2025

Technology as we’ve seen in 2024 is ever growing. It has proven to have no limits, cutting across various industries. There is also an increase in the number of startups as seen in 2024. The question now is, what are the trends to be on the lookout for in 2025.

From AI to biotech, the next wave of tech breakthrough promises to be life changing. Bill Gates said once, "We always overestimate the change that will occur in the next two years and underestimate the change that will occur in the next ten."

Check out this page by our expert guest post writer, Evyline Balyton on some of the top trends in tech and startups from 2024 that will continue this year.

Top Trends in Tech and Startups in 2025

A Resurgence of Mergers and Acquisitions?

The change of administration is the federal government is predicted to jumpstart a slow M&A environment that many believe to be over-regulated. The M&A deal making which involves VC-backed startups has reduced through the past few years, according to Crunchbase data. Therefore, it has greatly affected the ability of VC to give returns to their LOs and proceed to raise new funds.

It is the hope of many VCs in the Federal Trade Commission and the U.S. Department of justice that this new government will jumpstart M&A activity after years of an overzealous regulatory environment quashed deals such as Amazon’s proposed $1.4 billion fundraising acquisition of iRobot.

While big investments that got tied up in 2024 reviews make the headlines, other smaller startup deals were unable to materialize because they have become more expensive and considered not worth the money. However, there is still hope as chance is inevitable at the regulatory agencies. There are also still concerns about how friendly the economy and new administration will be to both M&A and tech.

2.AI and Blockchain Could Bring in Big Money

Funding for Artificial Intelligence is still moving at a frantic speed. Businesses in the AI space received more than half of the $28 billion in worldwide venture capital that was awarded last month.

These startups range from robotics and marketing, to online betting. The igaming niche is now actively integrating AI into its processes as well. Betting review experts at MightyTips have confirmed that many online betting companies, such as betvisa ph, are incorporating AI into their processes, which is improving online gambling as a whole.

While many applications and agentic AI also appear to have little trouble raising still-big rounds, generative AI businesses that generate models, like xAI and Anthropic, raise massive rounds seemingly at will.

Nonetheless, some are focusing on the nexus between Web3, the final great thing, and AI, the new big thing in tech. More precisely, given the large number of businesses developing AI agents, what part may blockchain play in the growth of the Artificial Intelligence economy?

Given the surge in cryptocurrency values, some investors believe there is a lot of potential between the two, particularly if Web3 and blockchain re-emerge in the public mind. Satya Nadella, the CEO of Microsoft and other startups, a company that utilizes AI and blockchain said "Our industry does not respect tradition—it only respects innovation."

3. Space and Defense Tech Will Boom

Gone are the days when Silicon Valley was squeamish about developing military tech. As of mid-November, defense tech startups, which are those in national security, military, and law enforcement sectors have already raised $3 billion in 85 rounds, according to Crunchbase data prediction. That is a new record for venture investment in the sector, beating out the $2.6 billion raised by such startups in all of 2022.

The IT industry's newfound comfort with defensive tech is influenced by several variables. As hostilities spread from Ukraine to the Middle East, governments are rushing to integrate the most cutting-edge AI into their defense and weaponry systems. Under the next Trump administration, tensions between the United States and China are likely to remain high, particularly in relation to China's aspirations with Taiwan.

Additionally, there is a lot of crossover between the industrial, aerospace, and defense technology startup world. Sectoral areas that are probably going to get strong backing from the White House and allies like Elon Musk, the CEO of SpaceX and other cyber startups.

4. Biotech and Medical Startups Are Gaining Momentum

Thanks to developments in genetics achieved in 2023 and 2024, customized medicine, and healthcare technology, interest in biotech and medical businesses is on the rise. Health tech startups that concentrate on increasing the effectiveness of medical systems and providing novel treatments and therapies are becoming more and more in demand as the COVID-19 epidemic pushes healthcare eco-friendly innovations to the forefront.

We anticipate further advancements in drug development, genetic medicines, and the healthcare startup ecosystem in 2025. The success of these firms could revolutionize healthcare as we know it. Biotech companies are striving to provide and facilitate treatments for complex medical issues like cancer, neurological diseases, and genetic disorders.

5. Decentralization Is Taking Root

How much decentralization do we currently have in an economic system? As we can see from 2024, decentralization is increasingly becoming a fundamental idea in a variety of fields, including technology, governance, and finance. Although blockchain is one of the biggest forces behind decentralization, other technologies—such as distributed computing—are also playing a role in the movement away from centralized authority. Decentralized finance (DeFi), which enables startup entrepreneurs to manage their money and transactions independently of conventional banks or financial organizations, has already seen considerable growth.

Decentralized platforms and applications (dApps) startups will continue to upend sectors in 2025 by providing fresh approaches to resource management, customer interaction, and corporate operations. Another new governance paradigm that is gaining traction is decentralized organizations (DAOs), which allow for greater community-driven decision-making in both government and startup business.

6. Climate Technology Is Gaining Momentum

The development of technology that might lessen environmental harm and advance sustainability is becoming more and more important as the globe deals with the ongoing difficulties posed by climate change. From carbon capture to waste management to renewable energy, climate startup trends businesses are essential to the development of green solutions.

We can anticipate more innovation in sustainable agriculture, automate electric vehicles (EVs), and renewable energy in 2025. Many startup jobs involved in technological developments in solar, wind, and battery storage will hasten the world's switch to renewable energy. Startups that concentrate on carbon capture and sustainable materials will also play a significant role in lessening the environmental impact of sectors like manufacturing and construction.

7. Financial Technology and Cybersecurity

One of the industries with the fastest growth in recent years is fintech, which will keep changing the financial scene in 2025. The way we save, spend, and invest money has undergone complete digital transformation by fintech startups, from digital wallets to blockchain-based financial solutions. This innovative solution also provides cybersecurity and allows one to personalize their businesses.

Access to financial services will continue to be made more accessible by the emergence of open banking, AI-powered financial advising, and alternative financing platforms. Startup companies in 2025 are probably going to concentrate on increasing financial inclusion, providing quicker and more effective payment options, and assisting people in better managing their personal finances.