Yeah, funding for creator-focused startups is drying up

Services that help people create, share, and profit from creative works (Maven, Bounty, Substack, Patreon, and Canva) have proliferated and grown in recent years.

The rise of creator-focused startups is no accident; instead, a centuries-old trend of more accessible software for more diverse areas of creative work has collided with a COVID-induced economic reshuffle and the saving of time the average person has spent consuming in quarters. following. Advertising spending has also increased. The confluent factors led to a boom in creator-focused startup activity that accelerated in 2020 and continued into 2021.

However, recent data indicates that startups in the creator-driven market are raising fewer venture capital rounds, which limits total investment in the tech category.

The waning pandemic may be contributing to the slowdown in funding for creator-focused startups; after all, with people back in the world, products and services that focus on things IRL may be hotter than what we might create or consume at home. But there is more at stake.