Unicorn startup launches decelerate sharply in 2022

The launch of startup unicorns worldwide has faded this year as investors focus more on sustainable valuations and profitability amid volatile market conditions, according to data and analytics firm GlobalData.

The firm said 85 unicorns were created in the second quarter of this year, compared with 127 during the previous quarter.

A total of 521 startups from 2021 have maintained their unicorn status, up fivefold compared to the 100 unicorns from 2020.

“The startup ecosystem, which was on a unicorn creation spree last year, is currently facing a funding crunch as investors are looking for sustainable business models, valuations and a path to profitability amid volatile market conditions,” said Kiran Raj, practice head of disruptive technology at GlobalData.

In 2022, key markets witnessed a drop in the birth of unicorns, GlobalData indicated.

The US saw unicorn…