INSIGHTS

Talent Is Distributed. Capital Is Not.

The San Jose–San Francisco–Oakland CSA took 52.4% of 2025 U.S. VC deal value but only 22.3% of deal count. What that concentration gap means for where private-market research should look.

By Connetic TeamPublished June 25, 2026

Data Corner

Venture capital activity remains highly concentrated in a small number of U.S. markets. That concentration can shape what investors see, which founders receive attention, and how private-market narratives develop.

Industry Crowding	Broader Market View
52.4% of U.S. VC deal value went to the San Jose–San Francisco–Oakland CSA in 2025.	20+ cities represented across Connetic private-market research and sourcing materials.
22.3% of deal count went to the same market.	The map below illustrates a broader set of private-company markets that appear across Connetic’s sourcing, research, and private-market monitoring work.

Connetic private-company market map and sourcing examples

The contrast is the point. If capital is becoming more concentrated while company formation remains broadly distributed, private-market research benefits from a wider geographic lens and a more structured view of company formation outside traditional venture hubs.

Sources: NVCA/PitchBook Q4 2025 Venture Monitor; Connetic internal market research and private-company sourcing materials. Company references are provided for illustrative and educational purposes only. They are not recommendations, endorsements, performance examples, or an indication of future investment results.

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Talent Is Distributed. Capital Is Not.

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