Travel tech funding falls to $2.2B as deal counts head toward multiyear low

Travel demand remains steady around the world, but venture capital funding for travel startups is heading toward a multiyear low. Data from Crunchbase shows that travel tech startups raised $2.2 billion globally across 302 rounds through the third quarter of 2026. This is a sharp drop from the $3.7 billion raised during 2025.

Annual funding and deal counts are now pacing to hit their lowest points since at least 2018. Deal activity has fallen for three consecutive years. By comparison, startups in the sector raised $9.4 billion in 2018 and topped $12 billion in 2021. Even with many founders building around artificial intelligence to automate operations and booking, investors continue to pull back.

Top deals go to international startups

Investors concentrated larger amounts of capital into fewer businesses this year, with several top rounds going to startups outside the United States. Key funding rounds through the third quarter include:

• Mews: The Amsterdam-based hotel management platform raised $300 million in a Series D round at a $2.5 billion valuation to expand its automated workflow agents.
• Aerofugia: The Chinese electric aircraft company secured $144 million to build passenger aircraft that take off and land vertically.
• Stay22: The Montreal startup took in $122 million from Summit Partners to grow its booking affiliate tools for creators and publishers.
• Kindred: The San Francisco-based home-swapping service raised $125 million across combined Series B and Series C rounds.
• Naboo: The Paris corporate event platform raised $70 million in a Series B round.

Exits and public market performance

Established industry giants have focused on acquisitions to add AI features. Amadeus bought corporate travel AI assistant SkyLink in February. Expedia acquired AI trip planner Layla in July, alongside its February purchase of attractions platform Tiqets.

Public listings offered mixed results. Travel booking company Klook withdrew its planned United States initial public offering in October after filing in November. Meanwhile, corporate travel company Navan has seen its shares jump about 58% this year to trade around $27, rising back above its $25 offer price.