Mid-Dec NYC Startups Surge: AI Infrastructure & Biotech Fundings Lead the Pack

Gist
  • The specific AlleyWatch Startup Daily Funding Report for 12/16/2025 could not be located and may not yet be publicly indexed.
  • Recent U.S. startup funding is concentrated in AI, generative media, and biotech, with large late-stage rounds such as Harness ($200M + $40M secondary) and Fal ($140M).
  • Early- to mid-December deals also include Medra’s $52M Series A for AI-driven drug discovery and Phia’s $30M Series A for an AI shopping assistant.
  • NYC funding activity remains steady, highlighted by Parallel Learning’s $20M Series B and SuperCircle’s $24M Series A in education tech and circular-economy solutions.
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In attempting to produce a report based on the AlleyWatch Startup Daily Funding Report for December 16, 2025, no version of that specific article or summary was located via sources including AlleyWatch’s website, TechCrunch, Built In NYC, or comparable startup‐funding tracking outlets. This suggests either a publication delay, access restrictions, or possibly that the daily report for that date has yet to be indexed publicly. Until that report is published or obtained, any summary must rely on indirect, proximate data.

Examining funding rounds from early to mid‐December 2025 provides insights that likely align with what might feature in the December 16 report. Notably:

  • US enterprise startup Harness closed a substantial funding round—$200M in primary capital (Series E) plus a $40M secondary share purchase—led by Goldman Sachs, reaching a valuation of ~$5.5B. Hiring expansion in India is a stated objective. [2]
  • Fal raised $140M in a Series D round led by Sequoia Capital on or around Dec 11, 2025, focusing on real‐time generative media and global scale. [2]
  • Medra, integrating AI and robotics for automated drug discovery, closed a $52M Series A round. Major deep tech and biotech investors participated; the round brings Medra’s total equity funding to ~$63M. [2]
  • In NYC specifically, Parallel Learning (Series B, $20M), SuperCircle ($24M), and Phia ($30M in a Series A) represent active rounds, showing investor interest in education tech, circular economy / sustainability, and consumer‐AI respectively. [4]

Strategically, these patterns highlight high investor confidence in:

  • Generative AI infrastructure and platforms that enable content creation and media delivery in real time.
  • Biotech and life‐sciences startups, especially those combining automation or AI with drug discovery.
  • Consumer‐facing AI tools, particularly in e‐commerce/shopping assistants.
  • Education/edtech and sustainability (e.g., environmental impact, circular economy) seeing meaningful investment.

Open questions include:

  • Which NYC / New York‐area startups made significant raises specifically on December 16, 2025, and whether any late deals shifted the vertical or size‐distribution trends.
  • How many early‐stage vs. late‐stage rounds during mid‐December deviate from earlier in the month.
  • The extent to which international investors are participating in NYC/US rounds during this period, or whether capital is being reserved pending macroeconomic conditions (interest rates, AI regulation, supply chain constraints).
  • Impacts of valuation inflation in generative media / AI infrastructure: signs of overvaluation risk or impending corrections.
Supporting Notes
  • Harness raised $200 million in Series E financing, led by Goldman Sachs; plus $40 million in secondary share purchases; valuation reached ~$5.5 billion. Plans include aggressive hiring in India. [2]
  • Fal closed $140 million in Series D financing led by Sequoia Capital, tripled valuation since its previous round; focus on global expansion and meeting demand for low‐latency generative media tools. [2]
  • Medra secured $52 million in Series A funding to build automated “AI wet labs” for drug discovery; brings total funding to ~$63 million. [2]
  • Parallel Learning (NYC) raised $20 million in Series B funding led by Valspring Capital; total raised now ~$48.9 million; expanding teletherapy / special education services. [4]
  • SuperCircle (NYC) raised $24 million in Series A funding; Foundry Ventures led, with BBG Ventures, Renewal Fund, Elemental Impact among backers; focuses on textile waste management and circular economy. [4]
  • Phia raised $30 million in Series A funding; leads include Notable Capital, Kleiner Perkins, Khosla Ventures; focused on AI‐powered shopping assistant; ~$180 million valuation reported. [2]

Sources

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