A new report released by Ernst & Young LLP and Innovation Works, reveals that Pittsburgh’s technology ecosystem saw a record number of venture capital (VC) deals in 2024, with AI and life sciences companies leading the way. According to the report, 182 companies secured investments last year, up 33.8% over 2023.

Institutional venture capital investment in the region reached a record high of $999 million, surpassing the previous annual total. The life sciences sector accounted for 49.3% of total investment in Pittsburgh’s tech economy last year, followed by software and hardware, which collectively represented 22.9% and 26.84%, respectively.

“The record deal volume underscores Pittsburgh’s position as a burgeoning hub for AI and life sciences innovation,” said Ven Raju, President and CEO of Innovation Works. “Our research institutions and startup ecosystem continue to produce world-class companies that attract global investment.”

The region’s standing as a tech hub has been bolstered by $13 billion in research funding over the past decade, driven by institutions such as Carnegie Mellon University and the University of Pittsburgh. Their continued leadership in AI, robotics and life sciences innovation has helped establish Pittsburgh as a prime destination for investors looking to capitalize on emerging technologies.

“Venture capital investment in Pittsburgh reached an all-time high, demonstrating the region’s resilience and ability to compete on a national scale,” said Darrell Smalley, Pittsburgh Office Managing Partner, Ernst & Young LLP. “The combination of deep technical talent, cutting-edge research, and a strong pipeline of innovative startups continues to make Pittsburgh a destination for investors looking to capitalize on the next wave of technology-driven growth.”