Disney Aladdinthe spirit (voiced by Robin Williams) quite memorably articulates the contradictions that define his life: “Astonishing cosmic forces! Tiny living spaces.”
It’s a paradox that can be applied to VC and AI: Artificial intelligence is often described as a generation-changing technology with seemingly endless applications, yet there’s a certain repetition in the pitch decks that startups submit to VC investors every day.
Of course, the best ideas are often founder-driven. luck My team and I are asking ourselves questions like: What kind of AI startup would VCs like to see founders launch? What would VCs expect founders to bring to the table? What is on VCs’ AI wish lists?
VCs aren’t necessarily in the business of predicting the future, but they are certainly in the business of helping to support it. I ended up reaching out to nine VCs for this article, and in nearly every conversation I shared with them the same thought: “This project is not prescriptive.” (I thought a lot about the ethos of Y Combinator’s Request For Startups while writing this.)
We hope that these ideas will serve as a starting point for someone as we enter into the AI boom.
“If we had this conversation six months ago, I don’t think we would have fully understood what these systems could do and would have been more enthusiastic about applying them to a broader range of sectors,” said Tomasz Tungus, general partner at Theory Ventures.
The early days of AI are behind us, but that doesn’t mean we’re there yet.
“I think it’s late Q1, or early third inning,” says NFX co-founder James Currier. “We’re still waiting for that, right? Uber came on the scene two-and-a-half, three years after mobile phones came on the scene. It took that long for people to really start thinking, ‘Wait a second, this could all change.'”
I’m not a spirit, so I can’t grant wishes, but I can collect wishes, and maybe some entrepreneurial founder out there can grant them.
Read the full story here.
see you tomorrow,
Allie Garfinkle
twitter: Agarfinx
Email: Alexandra.garfinkle@fortune.com
Submit your Term Sheet newsletter deals here.
Joe Abrams curated the Deals section of today’s newsletter.
Venture Transactions
– K Healtha New York City-based AI-powered primary care platform, has raised $50 million in funding. Claure Group led the round, with participation from existing investors Mangrove Capital Partners, Valor Equity partner, Atreides Managementothers.
– Prodiaan Atlanta, Georgia-based developer of AI-powered image generation software for app integration, has raised $15 million in seed funding. Dragonfly capital Leading the round, Hash Key, Web3.com, Index Ventures, An iconic capitalothers.
– Canvas BioscienceMonmouth Junction, N.J.-based drug screening, discovery and manufacturing platform has raised $12.5 million in funding. Existing investors DCVC and Lions Capital Leading the round, FemHealth Ventures, Jarmin 8, Ki Tua Foundation, Pangaea Venturesand existing investors.
– Veil ComputingThe London, UK and Seattle, Washington-based company, which makes near-zero energy silicon chips, has raised $4 million in seed funding. 7 Percent Ventures and Jude Gomira I led the round and others joined in too.
Unlisted stocks
– BlackRock (NYSE: BLK) agreed to the acquisition PrekinIt acquired London, UK-based private markets data platform for approximately $3.2 billion in cash.
– American Industrial Partners Acquired majority stake Austin PowderThe Cleveland, Ohio-based provider of industrial explosives and other blasting solutions. Financial terms were not disclosed.
– Clearlake Capital Group Acquired a minority stake AptianThe Alpharetta, Ga.-based provider of resource planning and supply chain software. Financial terms were not disclosed.
– Park Square Capital Acquired a minority stake Working togetherThe Atlanta, Georgia-based provider of payments, custody and other software. Financial terms were not disclosed.
other
– Tax Fix Group agreed to the acquisition Tax Scoutsa tax preparation company based in London, U.K. Financial terms were not disclosed.
Funds + Fund of Funds
– ArdianThe Paris, France-based private equity firm has raised $3.2 billion for its sixth co-investment fund, which will focus on minority investments.
– Lee Equity PartnersThe New York City-based private equity firm has raised about $1.3 billion for its fourth fund, which is focused on healthcare and financial services companies.
people
– Deep Work CapitalThe Orlando, Florida-based venture capital firm Ken Hall Become a partner.
– Seventysix CapitalThe King of Prussia, Pennsylvania-based venture capital firm Carlos Silva As a partner. Previously, C360.
