About SaaS sector in United States
The SaaS sector in United States comprises 118K companies, including 27.2K funded companies having collectively raised $1.26T in venture capital money and private equity. Out of these, 16.3K are Series A+ funded, and 551 have achieved unicorn status.
SaaS sector in United States has seen 9.23K acquisitions and 890 IPOs. This represents almost 8.6% of all such companies - which is higher than the 4.3% exit rate of tech companies in general.
This sector includes companies providing cloud-based, multi-tenant and subscription or on-demand B2B software applications.
SaaS sector is also known as SaaS Solutions, Advanced SaaS or Digital SaaS.
All B2B software that offers cloud-based, multi-tenant solutions for business functions like Marketing, HR, Sales, Business Intelligence, etc are included in this sector. 1. All On-premise B2B software are excluded. 2. All companies that do not offer their own proprietary software are excluded. 3. Services and Consulting firms are also excluded. 4. Resellers are also excluded.
Top SaaS Companies in United States
There are 118,024 SaaS startups in United States which include Slack, OpenAI, DocuSign, Workday, Salesforce. Out of these, 27,166 startups are funded, with 16,279 having secured Series A+ funding, and 551 achieving unicorn status.
2026 has seen the creation of 4,925 SaaS startups in United States. Over the past 10 years, an average of 5,473 new companies have been launched annually. Notably, several of these startups have been founded by alumni of Stanford University, Harvard University and Massachusetts Institute of Technology.
Here is the list of top SaaS startups in United States
1. Slack
Developer of communication software for team collaboration and project management. This platform facilitates messaging, file sharing, and audio or video meetings. It integrates with various third-party applications to automate workflows and manage tasks. Users organize conversations into channels to coordinate projects and share information. The software includes tools for searching archives, managing user profiles, and implementing security protocols for data protection. Artificial intelligence features assist with summarizing content, drafting responses, and managing automated agents to streamline routine work processes.
Key facts about Slack
- Founded Year: 2009
- Location: San Francisco (United States)
- Stage: Acquired
- Total Funding till date: $1.22B
- Investors: Notable Capital, Dragoneer Investment Group and 69 Others
- Latest Funding Round: Post IPO, Apr 16, 2020, $*****
- Tracxn Score: 89/100 What is this?
- Competitors Rank: 1 of 763 Competitors
2. OpenAI
Artificial intelligence research and development platform offering advanced language models. It enables businesses and individuals to build and integrate AI capabilities into their applications and services. It is a technology company specializing in the development of artificial intelligence models, including the popular ChatGPT, which enables users to interact with AI-powered conversational interfaces. The company's research focuses on achieving artificial general intelligence, a system that can solve complex human-level problems, while prioritizing safety and benefits. It provides its AI models through an API platform, enabling developers to integrate AI capabilities into their applications.
Key facts about OpenAI
- Founded Year: 2015
- Location: San Francisco (United States)
- Stage: Series F
- Total Funding till date: $180B
- Investors: Microsoft, SoftBank Group and 89 Others
- Latest Funding Round: Series F, Apr 22, 2026, $*****
- Tracxn Score: 89/100 What is this?
- Competitors Rank: 1 of 172 Competitors
3. DocuSign
Provider of electronic signature and intelligent agreement management platform solutions. The platform offers tools for contract lifecycle management, agreement preparation, and agreement workflow automation. It provides features such as electronic notarization, web forms, and multi-channel delivery options. The platform extends its capabilities through integrations, APIs, and a mobile application.
Key facts about DocuSign
- Founded Year: 2003
- Location: San Francisco (United States)
- Stage: Public
- Total Funding till date: $520M
- Investors: Second Century Ventures, Frazier Technology Ventures and 90 Others
- Latest Funding Round: Post IPO, Jul 20, 2020, $*****
- Tracxn Score: 88/100 What is this?
- Competitors Rank: 1 of 954 Competitors
4. Workday
Developer of cloud software for human resources finance and operations. The software provides tools for managing workforce planning, payroll, financial accounting, and contract lifecycle management. The platform integrates data across business functions to assist with organizational management and administrative tasks. It includes artificial intelligence capabilities designed to automate workflows and support decision-making processes for enterprise management.
Key facts about Workday
- Founded Year: 2005
- Location: Pleasanton (United States)
- Stage: Public
- Total Funding till date: $352M
- Investors: Greylock Partners, Morgan Stanley and 11 Others
- Latest Funding Round: Post IPO, May 15, 2013, $*****
- Tracxn Score: 88/100 What is this?
- Competitors Rank: 1 of 7,631 Competitors
5. Salesforce
Provider of a platform delivering customer relationship management and cloud solutions. The platform offers applications and tools for sales, service, marketing, commerce, and information technology. It enables businesses to automate tasks, analyze data, and personalize customer interactions. The platform’s features include artificial intelligence, data integration, and application development capabilities.
Key facts about Salesforce
- Founded Year: 1999
- Location: San Francisco (United States)
- Stage: Public
- Total Funding till date: $52M
- Investors: Emergence Capital, Hambrecht Capital and 37 Others
- Latest Funding Round: Post IPO, May 23, 2023, $*****
- Tracxn Score: 87/100 What is this?
- Competitors Rank: 1 of 5,614 Competitors
Companies founded year-on-year in the SaaS sector in United States
4,925 new startups have been founded so far in 2026 in the SaaS sector in United States. 8,411 SaaS startups in United States were founded in 2020 - this is the most number of startups founded in any year in the last 10 years.
- Total Number of Companies
Year | No. of companies |
|---|---|
2026 | 4,925 |
2025 | 3,922 |
2024 | 4,591 |
2023 | 5,658 |
2022 | 4,321 |
2021 | 5,652 |
2020 | 8,411 |
2019 | 6,443 |
2018 | 5,621 |
2017 | 5,194 |
Stage-wise distribution of SaaS sector companies in United States
Out of the total 118,024 SaaS companies in United States, 27,166 have secured funding. Among them, 16,279 have reached Series A or higher, and 12,989 to Series B or beyond.
Founded - 118,024
Funded - 27,166
Series A+ - 16,279
Series B+ - 12,989
Series C+ - 11,560
Company Stage | No. of companies |
|---|---|
Founded | 118,024 |
Funded | 27,166 |
Series A+ | 16,279 |
Series B+ | 12,989 |
Series C+ | 11,560 |
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Funding Trends in the SaaS sector in United States
Total funding year-on-year in the SaaS sector in United States
The SaaS sector in United States saw a total funding of more than $1.08T in the last 10 years. The most amount of funding has been in 2026 at more than $303B till date.
- Total Funding
Year | Total Funding |
|---|---|
2026 | $303B |
2025 | $157B |
2024 | $88.3B |
2023 | $65.8B |
2022 | $79.1B |
2021 | $148B |
2020 | $65.3B |
2019 | $65.3B |
2018 | $69.9B |
2017 | $38B |
Recent Funding Rounds in SaaS in United States
In the year 2026, till August 2026, SaaS companies in United States have raised $283B in equity funding across 1.74K rounds.
In the same period last year (i.e. till August 2025), SaaS companies in United States had raised $83.7B across 1.79K rounds.
So, 2026 has seen a 238.65% rise in funding in SaaS companies in United States as compared to 2025.
Here are some recent, important funding rounds in SaaS companies in United States:
Company | Round Raised | Amount Raised | Funding Date | Investors |
|---|---|---|---|---|
Series A | 1988 | Aug 28, 2026 | and 4 more | |
Series D | 3046 | Aug 28, 2026 | and 4 more | |
Series A | 4860 | Aug 27, 2026 | ||
Series B | 4651 | Aug 27, 2026 | ||
Series B | 8191 | Aug 27, 2026 |
Top Investors in SaaS in United States
Y Combinator is the top investor in SaaS companies in United States based on number of companies invested.
Here are some top investors in SaaS companies in United States:
Investor | Location | Top Portfolio Companies |
|---|---|---|
Mountain View (United States) | ||
New York City (United States) | ||
Palo Alto (United States) | ||
Washington, DC (United States) | ||
Menlo Park (United States) |
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M&A activity in SaaS sector in United States
In the year 2026, till August 2026, 403 acquisitions happened in SaaS sector in United States. Last year, in 2025, a total of 642 acquisitions happened in SaaS sector in United States.
Here are some recent, important acquisitions in SaaS sector in United States:
Company | Acquisition Type | Acquisition Date | Acquirers |
|---|---|---|---|
Business Acquisition | Aug 27, 2026 | ||
Business Acquisition | Aug 27, 2026 | ||
Business Acquisition | Aug 25, 2026 | ||
Business Acquisition | Aug 25, 2026 | - | |
Business Acquisition | Aug 25, 2026 |
Acquisition trends in SaaS sector in United States
Here are the acquisition trends in SaaS sector in United States:
- Total Number of Acquisitions
Year | No. of companies |
|---|---|
2026 | 403 |
2025 | 642 |
2024 | 626 |
2023 | 560 |
2022 | 736 |
2021 | 1,106 |
2020 | 671 |
2019 | 701 |
2018 | 765 |
2017 | 641 |
IPOs in SaaS in United States
In the year 2026, till July 2026, 14 IPOs happened in SaaS sector in United States.
Here are some recent, important IPOs in SaaS sector in United States:
Company | IPO Date | Exchange Symbol |
|---|---|---|
Jul 09, 2026 | Australian Securities Exchange (ASX) | |
Jun 10, 2026 | New York Stock Exchange (NYSE) | |
Jun 04, 2026 | National Association of Securities Dealers Automated Quotations (NASDAQ) | |
Jun 04, 2026 | National Association of Securities Dealers Automated Quotations (NASDAQ) | |
May 15, 2026 | New York Stock Exchange (NYSEMKT) |
Colleges which produce the most SaaS companies in United States
Companies founded by alumni from top colleges in the SaaS in United States
Most number of SaaS startups in United States have been founded by alumni from Stanford University, Harvard University and Massachusetts Institute of Technology.
College | No. of companies |
|---|---|
Stanford University | 1150 |
Harvard University | 797 |
Massachusetts Institute of Technology | 718 |
University of California (Berkeley) | 680 |
University of Pennsylvania | 507 |
University of California (Los Angeles) | 417 |
Harvard Business School | 404 |
Cornell University | 398 |
Carnegie Mellon University | 370 |
Columbia University | 346 |
Total funding in SaaS companies founded by alumni from top colleges in United States
In the last 10 years, Stanford University graduates' SaaS companies in United States have raised the most funding among top colleges. Harvard University alumni are second, and Massachusetts Institute of Technology alumni are third.
College | Total Funding |
|---|---|
Stanford University | $395B |
Harvard University | $359B |
Massachusetts Institute of Technology | $244B |
Carnegie Mellon University | $230B |
University of Toronto | $221B |
New York University | $188B |
Columbia University | $159B |
Stanford Business School | $148B |
Princeton University | $137B |
University of California (Berkeley) | $68.9B |
Top News in SaaS in United States
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vAuto Launches 'Test Drive' Program for Dealers to Evaluate New Tools and Provide FeedbackAuto Remarketing•Aug 29, 2026•vAuto
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Centric Software Enhances Centric PLM for Product Data Transparency and ComplianceMiningstockeducation•Aug 28, 2026•Centric Software
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LinkedIn Launches New Tool to Combat AI Content, Used by Over 1 Million in Two WeeksEntrepreneur•Aug 28, 2026•LinkedIn
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vAuto Launches Test Drive, New Initiative to Scale and Speed Product InnovationsPR Newswire•Aug 28, 2026•Cox Automotive
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Hyperion Bank Earns Inc. 5000 Recognition for Third Consecutive YearMetro Atlanta CEO•Aug 27, 2026•Hyperion
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Paysafe and FastSpring Partner for Merchant of Record SolutionPYMNTS.com•Aug 27, 2026•FastSpring, Paysafe
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