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Eye On AI: OpenAI Goes On A Buying Spree As AI Looks To Open Up M&A, IPO Markets

Jun 27, 2024 - news.crunchbase.com
OpenAI, the creator of ChatGPT, has recently acquired two startups, Rockset and Multi, marking a potential shift towards inorganic growth. This comes as the M&A market for startups has been slow in recent years, but AI may be changing this trend. In addition, AI chip startup Cerebras Systems has reportedly filed confidentially for an IPO, indicating a potential resurgence in the IPO market for AI companies.

In other news, Stability AI, an AI-driven visual art startup, has received an $80 million investment from a group including ex-Facebook President Sean Parker. This follows a series of controversies for the company, including allegations of exaggerated claims by its founder and a 10% workforce layoff. Meanwhile, MEandMine, an AI startup that identifies psychological risks in children, has raised $4.5 million in funding led by K5 Global.

Key takeaways:

  • OpenAI has made two acquisitions recently, purchasing search and analytics startup Rockset and video collaboration startup Multi, indicating a potential trend towards inorganic growth in the AI sector.
  • Artificial intelligence chips startup Cerebras Systems has reportedly filed confidentially for an initial public offering, suggesting that the AI sector may be leading a resurgence in the IPO market.
  • Stability AI, an artificial intelligence-driven visual art startup, has received an $80 million investment from a group that includes ex-Facebook President Sean Parker, despite controversy surrounding the company's founder and its claims about its technology.
  • MEandMine, a startup that uses AI to identify psychological risks in young children, has raised $4.5 million in funding led by K5 Global.
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