StartupSuperb

Tag: In Brief

  • OpenAI in Discussions to Secure Billion Funding at a 0 Billion Valuation

    OpenAI in Discussions to Secure $40 Billion Funding at a $340 Billion Valuation

    OpenAI may already have substantial financial resources at its disposal. However, it is preparing to acquire additional funds, as reported by The Wall Street Journal.

    According to The WSJ, OpenAI is currently negotiating to raise as much as $40 billion in a funding round, which would place the startup’s valuation at an impressive $340 billion. SoftBank is expected to spearhead this round, investing between $15 billion and $25 billion into the developer of ChatGPT, as stated by The WSJ.

    If OpenAI successfully concludes this funding round, it would be a significant achievement for the startup, which was valued at $157 billion in October. The WSJ reports that OpenAI plans to utilise the new funds to support its ongoing operational deficits and advance its Stargate initiative, an ambitious project focused on establishing AI data centres across the United States.

    In 2024, OpenAI reportedly incurred a loss of approximately $5 billion against revenues amounting to $3.7 billion. These losses could continue to escalate. Together with partners like SoftBank, OpenAI aims to allocate billions of dollars to kickstart the Stargate project.

  • “Retro Biosciences: Sam Altman’s Ambitious Journey to Unlocking Human Longevity with Billion Funding”

    “Retro Biosciences: Sam Altman’s Ambitious Journey to Unlocking Human Longevity with $1 Billion Funding”

    Sam Altman, the CEO of OpenAI, is increasing his investment in Retro Biosciences, a San Francisco-based biotech startup aiming to extend the human lifespan by an additional 10 years beyond what is considered a healthy duration.

    Previously, Altman contributed the full seed funding of $180 million for Retro Biosciences. The startup is now seeking to raise a Series A round of $1 billion, with Altman set to participate, as reported by the Financial Times.

    Retro Biosciences aims to initiate trials for medications targeting diseases such as Alzheimer’s. Recently, the company has collaborated with OpenAI to develop a model that transforms ordinary cells into stem cells.

    Joe Betts-LaCroix, the CEO, expressed an ambition to accelerate the process of discovering and developing a drug “in the 2020s.”

    This venture adds to the growing list of billionaire-funded longevity projects, which include Altos Labs, established with $3 billion in 2022 under the backing of Jeff Bezos, and Unity Biotechnology, which has the support of both Bezos and Peter Thiel.

  • Rollfi’s Journey: From Cryptocurrency to Payroll Solutions and Successful Acquisition

    Rollfi’s Journey: From Cryptocurrency to Payroll Solutions and Successful Acquisition

    Kirubha Perumalsamy established Rollfi during the peak of the cryptocurrency market in 2021, aiming to assist companies with crypto payroll processing.

    Following the downturn in the crypto market, Rollfi redefined its strategy to become an embedded payroll service provider. The company formed partnerships with financial services firms to deliver payroll and benefits solutions to their clients.

    This strategic shift led to Rollfi’s acquisition by Priority Tech Ventures for an undisclosed sum. Priority Tech Ventures is part of the publicly listed payments and banking technology provider, Priority Technology Holdings. Prior to the acquisition, Rollfi had secured a total of $3.25 million in funding. Perumalsamy mentioned that the company was actively seeking funds when the acquisition opportunity arose.

    The team recognised that their chances of success in the market would significantly increase by blending the agility and enthusiasm of a startup with the robust foundation provided by Priority.

    The entire team is set to remain with Priority Tech Ventures post-transaction, continuing to operate as an independent entity under the Priority umbrella.

  • Mistral AI Sets Its Sights on an Exciting IPO Adventure

    Mistral AI Sets Its Sights on an Exciting IPO Adventure

    The French artificial intelligence laboratory, Mistral, is pursuing an initial public offering, as co-founder and CEO Arthur Mensch communicated during an interview with Bloomberg at the World Economic Forum in Davos.

    Mistral is described as “not for sale,” with Mensch stating that the organisation intends to establish an office in Singapore to target the Asia-Pacific market while expanding in Europe and the United States. “Of course, an IPO is the plan,” he stated.

    Founded in 2023 by Mensch along with former researchers from Google’s DeepMind and Meta, Mistral is often viewed as Europe’s counterpart to American leaders such as OpenAI. The laboratory develops AI models and services that rival those of OpenAI and other competitors, including a platform resembling ChatGPT, named Le Chat.

    To date, Mistral has successfully secured approximately $1.14 billion in funding from prominent investors such as Andreessen Horowitz, General Catalyst, and Lightspeed Venture Partners. The organisation was reportedly last evaluated at roughly $6 billion.

  • Stoke Soars with 0 Million Funding for Reusable Rocket Development

    Stoke Soars with $260 Million Funding for Reusable Rocket Development

    Stoke Space, an alumnus of Y Combinator, has successfully secured $260 million in Series C funding, increasing its total funds raised to $480 million. This follows its fundraising of $100 million in October 2023 and $75 million in December 2021.

    Established in 2019 by Andy Lapsa and Tom Feldman, both of whom previously worked at Blue Origin, the company aims to revolutionise space travel. Tom Feldman began his career as an intern at SpaceX. Stoke participated in the Winter 2021 Y Combinator cohort.

    With a mission to create the first fully reusable rocket—encompassing both the booster and the second stage—the startup has shared video evidence of a successful test involving its first-stage rocket engine last month. The newly acquired funds will be instrumental in constructing their new facilities at the historic Cape Canaveral Space Force Station in Florida.

    This fundraising round attracted notable investors such as Breakthrough Energy Ventures, Glade Brook Capital Partners, Industrious Ventures, Point72 Ventures, Seven Seven Six, and Y Combinator, among others.

  • Hippocratic AI Secures 1 Million to Develop Patient-Centric AI Solutions

    Hippocratic AI Secures $141 Million to Develop Patient-Centric AI Solutions

    Hippocratic AI, a pioneering startup dedicated to developing AI solutions that manage non-diagnostic patient-facing tasks, has successfully secured an impressive $141 million in Series B funding. This investment, which brings the company’s valuation to $1.64 billion, was led by Kleiner Perkins, as the company announced on Thursday. This round of funding follows the $53 million raised nine months ago from General Catalyst and Andreessen Horowitz, alongside a $17 million investment from Nvidia five months prior. Notably, the startup is still in its infancy, having been established less than two years ago.

    While many healthcare-generative AI companies concentrate on alleviating administrative tasks, Hippocratic AI is tackling the pressing issue of healthcare professional shortages. The company is developing AI agents capable of performing straightforward tasks, including:

    • Pre-operating procedures
    • Remote patient monitoring
    • Appointment preparation

    In 2024, Hippocratic AI has also successfully signed contracts with 23 health systems and insurers. The new funding will be utilised to broaden the product’s reach into additional markets as well as expand internationally.

  • Chinese Venture Capitalists Target Struggling Founders to Recover Investments

    Chinese Venture Capitalists Target Struggling Founders to Recover Investments

    In the United States, it is widely acknowledged that a significant number of startups do not succeed, and typically, venture capitalists (VCs) accept their losses and move forward. However, the situation is different in China, where VCs are actively seeking to recover their investments in failing startups by legally pursuing the personal assets of the entrepreneurs involved. This is reported by The Financial Times.

    With the slowing of China’s economy, VCs are now enforcing redemption clauses included in their funding agreements that were seldom activated in the past, according to The Financial Times. This shift has led to some Chinese founders accumulating debts amounting to millions of dollars towards their investors, resulting in their names being placed on debtor blacklists. This status hampers their ability to book hotels, board flights, or exit the country.

    Such developments have raised alarms over the potential long-term damage to China’s startup ecosystem, as they significantly deter entrepreneurs from seeking investment in the initial phases. Current challenges for Chinese startups are further compounded by a governmental crackdown on technology sectors and strained relations between the U.S. and China, as reported by StartupSuperb.

  • Nvidia Finalizes Purchase of AI Infrastructure Innovator Run:ai

    Nvidia Finalizes Purchase of AI Infrastructure Innovator Run:ai

    Nvidia has successfully finalised its acquisition of Run:ai, an Israeli startup specialising in the management and optimisation of AI hardware infrastructure.

    Following the merger, Run:ai has announced that its software, which is currently compatible exclusively with Nvidia products, will be made open source. This change means that competitors such as AMD and Intel can adapt the technology for their own hardware.

    “We are excited to build upon the successes we’ve achieved thus far, expand our skilled team, and enhance our product offerings and market presence,” Run:ai informed Bloomberg in a statement. “Open sourcing the software will allow it to reach a broader audience across the entire AI ecosystem.”

    Nvidia first announced its intention to acquire Run:ai in April, with sources revealing to StartupSuperb that the acquisition price was set at $700 million. However, the deal encountered regulatory challenges, as the European Commission and the U.S. Department of Justice initiated separate investigations to assess potential impacts on market competition.

    In December, the European Commission granted approval for the acquisition to proceed.