Massachusetts biotech startups see funding gap widen as seed rounds shrink and Series A deals surge

A MassBio report shows that mature biotech firms in Massachusetts captured most of the venture capital in the first half of 2026, with nearly $3.5 billion invested, a 25% rise from the same period last year.

In contrast, early‑stage companies are feeling the squeeze. The average seed round fell to about $4.65 million, while the average Series A ballooned to roughly $80 million, highlighting a growing disparity between young startups and more established players.

The report also notes the rapid growth of China’s biotech pipeline, which now exceeds Europe’s for the first time, while the U.S. pipeline remains flat and Massachusetts’ pipeline continues to climb.

These trends suggest that while capital is abundant, it is increasingly concentrated in later‑stage ventures, leaving younger firms with riskier science to compete for smaller seed funding.