Sign up to save tools and stay up to date with the latest in AI
bg
bg
1

Eye On AI: After Q4 Slowdown, AI-Related M&A Picked Back Up In Q1

May 02, 2024 - news.crunchbase.com
Nvidia has acquired two AI startups, Run:ai for a reported $700 million and Deci AI, as part of its ongoing investment in the AI industry. The first quarter of 2024 saw an increase in M&A involving VC-backed AI-related startups, with 55 such startups seeing M&A exits, compared to 38 deals in Q4 2023, according to Crunchbase data. However, the overall M&A market is still recovering, with high valuations of VC-backed AI startups potentially deterring buyers.

In other news, AI computing firm Blaize raised $106 million in a funding round and AI coding startups Augment and Cognition raised $227 million and $175 million respectively. Despite the challenges, the upward trend in deals is expected to continue, with companies like Microsoft and Nvidia having significant cash reserves.

Key takeaways:

  • Nvidia acquired two AI startups, Run:ai for a reported $700 million and Deci AI, contributing to the trend of M&A in the AI industry.
  • In Q1 2024, 55 VC-backed AI-related startups saw M&A exits, a rise from 38 deals in Q4 2023, according to Crunchbase data.
  • AI computing firm Blaize raised a $106 million round from investors including Franklin Templeton, Mercedes Benz, and Temasek, and is planning to go public in a SPAC deal with BurTech Acquisition.
  • AI coding startups are attracting investor interest, with Augment and Cognition raising $227 million and $175 million respectively.
View Full Article

Comments (0)

Be the first to comment!