Travel startups are raising the least money in years, even with AI

Travel startups are raising less money than they have in years. Through the third quarter of 2026, they brought in $2.2 billion, according to Crunchbase data. That is already below the $3.7 billion raised in all of 2025. People still appear to be traveling, and plenty of startups promise to improve trips with AI. Investors are not rushing in.

The numbers

The $2.2 billion came across just 302 funding rounds worldwide. Deal count is on track to fall for a third year in a row. Crunchbase describes a market where investors put more money into fewer companies. This year could be the lowest since at least 2018 for both dollars and number of deals.

Past years look very different. The sector raised over $12 billion in 2021. In 2019 it raised $10.4 billion across 1,190 deals, and in 2018 it raised $9.4 billion across 1,277 deals.

Where the money went

AI shows up often among the biggest winners. Crunchbase counts a wide mix as travel tech, from hotel software to flying taxis. Several of the largest deals went to companies based outside the United States.

• Mews, Amsterdam: $300 million in January for hotel software. It was valued at $2.5 billion.
• Aerofugia, China: about $144 million in February for electric aircraft that take off and land vertically.
• Stay22, Montreal: $122 million from Summit Partners in February.
• Kindred, San Francisco: $85 million for a home-swapping network, announced in February.
• Naboo, Paris: $70 million in February for AI that helps plan corporate events.

Big companies are buying

Some AI travel startups found buyers instead of new investors. Amadeus bought SkyLink, a corporate travel AI assistant, in February. Expedia bought the AI trip planner Layla in July. Expedia also completed its purchase of Tiqets, a booking site for museums and attractions, in February. Crunchbase sees established travel companies buying startups to add AI skills.

The route to public markets looks narrower. Klook, a travel experiences platform, withdrew its planned U.S. stock offering in October. It had filed last November. Navan, a corporate travel and expense company, is doing well. Its stock closed at $27 on Oct. 28, up about 58% this year.

What it means for you

Expect the AI trip planning and booking tools you use to come more from big names like Expedia than from small new startups. That could mean fewer fresh options. It could also mean new features appear inside apps you already use.

One question is still open. Crunchbase says it is unclear whether uncertainty over how AI will reshape travel planning and booking is causing investors to pull back.