IPO Market Revival in H2 2025: AI Startups Lead the Charge with Figma and Circle Success

The IPO market in the second half of 2025 is experiencing a notable resurgence, with AI-driven startups taking center stage after a prolonged period of dormancy.

Recent reports highlight the successful public debuts of Figma and Circle, both of which have seen their valuations double post-listing, signaling renewed investor confidence in tech-heavy offerings.

AI and Tech Fueling the IPO Comeback

This revival comes after a challenging few years for IPOs, with 2023 and 2024 marked by hesitancy due to economic uncertainty and fluctuating interest rates.

Historically, the IPO market saw a significant slowdown post-pandemic, as venture-backed companies delayed public listings amid volatile market conditions.

Investor Insights on the Current Market

Interviews with a trio of seasoned investors, as reported by Crunchbase News, suggest that while the window for IPOs has reopened, the pace resembles a convoy rather than a stampede.

They emphasize that AI infrastructure and applications are drawing significant attention, positioning tech as a key driver for future listings.

Impact on Startups and Investors

The success of companies like Figma and Circle could inspire dozens of high-growth tech unicorns to finally enter the public markets, unlocking significant capital.

For investors, this trend offers a chance to capitalize on first-day gains, with 2025 IPOs already showing record-breaking performances in some sectors.

Looking Ahead: Challenges and Opportunities

Despite the optimism, experts caution that global economic conditions and geopolitical tensions could still impact the long-term stability of this recovery.

Smaller average deal sizes compared to historical norms also indicate that companies are approaching listings with caution rather than overconfidence.

Looking to the future, the trajectory of the IPO market in 2026 and beyond will likely depend on sustained interest in AI innovations and broader economic stabilization.

As the tech sector continues to evolve, the H2 2025 IPO landscape offers a glimpse of hope for startups and investors alike, potentially setting the stage for a more robust market in the years ahead.