Venture capital funding for generative AI startups accounts for 40 of all cloud funding, according to Accel’s annual Euroscape report. Cloud startups in the U.S., Europe, and Israel are projected to raise nearly $80 billion this year, with AI driving much of this growth. Venture funding into the cloud sector grew 27 year-over-year, reaching over $60 billion. OpenAI led funding, followed by Anthropic and Elon Musk's xAI. U.S.-based generative AI firms received 80 of the total $56 billion raised globally in the past year.