In BriefPosted:1:25 PM PDT April 3, 2025Image Credits:IntelIntel and TSMC are reportedly launching a joint chipmaking ventureSemiconductor giants Intel and TSMC are reportedly teaming up.The two firms are said to have reached a tentative agreement to create a joint venture that will operate Intels chipmaking facilities, according to The Information. TSMC will have a 20% stake in the new venture.Instead of funding its stake with capital, TSMC will share some of its chipmaking practices with Intel employees and train them, added The Information.The Trump administration reportedly kindled the discussions in an effort to boost Intels turnaround efforts. Intel executives are worried about mass layoffs.The development comes less than a month after investor and entrepreneur Lip-Bu Tan was appointed CEO of Intel. At the time, it was reported that Tan was looking to make sweeping changes at the company.TSMC declined to comment. TechCrunch reached out to Intel for comment. Topics

Generative AI has vastly expanded the toolkit available to hackers and other bad actors. Its now possible to do everything from deepfaking a CEO to creating fake receipts.OpenAI, the biggest generative AI startup of them all, knows this better than anyone. And it has just invested in another AI startup that helps companies defend against these kinds of attacks.New York-based Adaptive Security has raised a $43 million Series A co-led by OpenAIs startup fund and Andreessen Horowitz, it announced Wednesday. This marks OpenAIs first investment in a cybersecurity startup, OpenAI confirmed to TechCrunch.Adaptive Security simulates AI-generated hacks to train employees to spot these threats. You might pick up the phone to listen to the voice of your CTO asking for a verification code. That wouldnt be your actual CTO, but a spoof generated by Adaptive Security.Adaptive Securitys platform doesnt just spoof phone calls: It also covers texts and emails, while scoring which parts of a company might be most vulnerable and training staff to spot the risks.The startup focuses on hacks that require a human employee to do something theyre not supposed to, like click on a bad link. These kinds of social engineering hacks, while basic, have led to huge losses think of Axie Infinity, which lost over $600 million due to a fake job offer for one of its developers in 2022.AI tools have made social engineering hacks easier than ever, co-founder and CEO Brian Long told TechCrunch. Launched in 2023, Adaptive now has over 100 customers, with Long saying positive feedback from them helped attract OpenAI to the cap table.It doesnt hurt that Long is a veteran entrepreneur with two previous successes: mobile ad startup TapCommerce, which he sold to Twitter in 2014 (reportedly for over $100 million) and ad-tech firm Attentive, which was last valued at over $10 billion in 2021 according to one of its investors.Long told TechCrunch that Adaptive Security will use its latest funding mostly on hiring engineers to build out its product and keep up in the AI arms race against bad actors.Adaptive Security joins a long list of other cyber startups working on the boom in AI threats. Cyberhaven just raised $100 million at a $1 billion valuation to help stop staff from putting sensitive info in tools like ChatGPT, Forbes reported. Theres also Snyk, which partly credits the rise of insecure AI-generated code for helping push its ARR north of $300 million. And deepfake detection startup GetReal just raised $17.5 million last month.As AI threats become more sophisticated, Long has one simple tip for company employees worried about getting their voice cloned by hackers.Delete your voicemail, he recommends.

In BriefPosted:3:05 PM PDT April 3, 2025Image Credits:Michael Nigro/Pacific Press/LightRocket / Getty ImagesFederal judge allows the EFFs lawsuit against DOGE and Elon Musk to proceedA federal judge ruled on Thursday that a lawsuit attempting to stop the Department of Government Efficiency from obtaining records on millions of Americans may proceed.In conjunction with privacy watchdog the Electronic Frontier Foundation and two labor unions, more than 100 current and former federal employees sued DOGE, the U.S. Office of Personnel Management (OPM), and Elon Musk in February.The government filed a motion to dismiss, but on Thursday the judge denied that motion.The suit seeks to block OPM from disclosing records to DOGE as well as agents of DOGE. It also wants any information already shared to be returned. This ruling doesnt mean the lawsuit itself will result in victory for the plaintiffs, but it does allow them to carry on.Topics

Grace, an insurance company for luxury goods, announced a $6.4 million (5.9 million) seed round led by FinTechCollective and Speedinvest.Grace, an insurance company for luxury goods, works with luxury brands to protect purchased consumer goods. If an item is stolen or damaged, a consumer can create a claim through the Grace app. For the brand, the Grace app also provides fraud detection, claim processing, and logistic coordination. On Wednesday the company announced a $6.4 million (5.9 million) seed round led by FinTechCollective and Speedinvest.It confirmed that it is working with at least one major luxury brand in Europe, though it declined to share the name.Co-founder and President Lou Dana said that she and her co-founders Quentin Roy, CEO, and Martin Lenweiter, Graces CTO decided to launch this company after seeing how unprotected many luxury goods still are, especially when people are traveling abroad.There was clearly a massive gap between the service levels luxury brands promise and what happens post-purchase when something goes wrong, Dana said.The number of stolen luxury goods has just about tripled in the past few years, and its becoming costly for fashion houses to keep up with. Grace says it is already working with Chubb, a world leader in insurance, to underwrite and secure its services.But convincing luxury houses to adopt new technology hasnt always been the easiest of tasks to complete. Roy said that brands have struggled to control what happens to their products after a sale, especially when it goes wrong. We werent just offering protection, Roy said about the companys pitch. We were helping elevate their brand.There are other types of insurance companies for consumer goods, such as Zing Cover, which also provides specialist insurance for luxury goods. Roy said that Grace doesnt compete with just one company as it stands at the intersection of embedded insurance, luxury services, and post-purchase protection. Kima, BPI France, and FirstMinuteCapital all participated in the round.Dana said the fresh capital would be used to help the company scale across Europe and hire more people in product engineering. It hopes to cover more than 200,000 luxury items by the end of this year.

Amazon is introducing a new Recaps feature for Kindle users to help them recall plot points and character arcs before picking up the latest book in a series. While the companys press release for the new feature doesnt mention AI, Amazon confirmed to TechCrunch that recaps are AI-generated. We use technology, including GenAI and Amazon moderators, to create short recaps of books that accurately reflect book content, Amazon spokesperson Ale Iraheta said in an emailed statement.Users have taken to Reddit to share their concerns about the use of AI for the feature, with some questioning how accurate recaps will be. Although the company has said that it ensures recaps accurately reflect content, TechCrunch has asked for more information about the process. Kindle device users in the United States can now view short recaps for books theyve either purchased or borrowed for thousands of best-selling English-language eBooks in series. Amazon plans to bring the recaps feature to the Kindle app for iOS soon.Image Credits:AmazonTo access recaps, users need to be on the latest Kindle software. Users can check if a series has a recap by looking for the View Recaps button on the series page in their Kindle Library or through the View Recaps option within the series grouping three-dot menu.Before you can read the recap, you will be warned that it includes spoilers about major plot points and characters. Once you acknowledge this, you will be taken to the recap.By adding a new level of convenience to series reading, the Recaps feature enables readers to dive deeper into complex worlds and characters without losing the joy of discovery, all while ensuring an uninterrupted reading experience across every genre, Amazon wrote in a blog post. The company says recaps are available for all sorts of series, from epic fantasy series to mystery thrillers, including trending titles and longtime favorites.

When OpenAI debuted its image-generation feature in ChatGPT last week, social media exploded when users realized that they could make AI-generated images that looked like something out of an animated film from Studio Ghibli. Fans hoped that Studio Ghibli mastermind Hayao Miyazaki would take a stand, but the 84-year-old animator has remained silent. In the Ghibli fan subreddit, however, fans are enforcing a long-standing ban against AI art.I just noticed about a dozen different BAN AI NOW posts here seemingly spurred on by an influx of AI Ghibli art on other sites, a moderator posted to the Ghibli subreddit last week. We dont allow AI art. We havent allowed it basically since it became a thing.These fans dont see the AI-generated copies as an homage to the iconic artist. Rather, these generative AI models are trained on copyrighted images from artists like Miyazaki, who never gave OpenAI or any of its competitors permission to use their work as such.This issue is one thats impacted other creators and writers, too. The New York Times and other publishers have sued OpenAI, alleging that the company used its copyrighted materials to train its models without payment or consent. Similar complaints have been filed against Meta and Midjourney.The Ghibli situation struck a particularly strong nerve among fans since the studios mastermind, Hayao Miyazaki, has been vocal about his hatred for AI-generated artwork.I cant watch this stuff and find it interesting, Miyazaki said in documentary footage from 2016 in which he was shown AI-generated 3D animation. Whoever creates this stuff has no idea what pain is whatsoever. I am utterly disgusted.People have also generated portraits in the style of Pixar movies or Dr. Seuss illustrations. Even the White Houses X account posted a Ghibli-style image, crudely mocking a woman for crying while being handcuffed by ICE.As more Ghiblified images spread across the internet, fans of the legendary 84-year-old animator resurfaced his commentary to discourage others from imitating his work, but the damage had already been done. Of course, not all of these are Ghibli-style images, but the popularity of these images has stretched the AI companys capacity.OpenAIs Brad Lightcap, who oversees day-to-day operations at the company, said that over 130 million users have generated more than 700 million images with this new ChatGPT feature. The range of visual creativity has been extremely inspiring, Lightcap wrote.

Xs plan to boost revenue by selling off dormant usernames on its service is starting to shape up. According to recent changes found in Xs web application, the company is setting up a handle inquiry process that will allow Verified Organizations companies and other organizations that already have a $1,000 per month X subscription to bid on abandoned X handles. Those bids will start at $10,000 and may range to over $500,000, according to an FAQ discovered in the web app.The updates were first spotted by reverse engineer Nima Owji, who told TechCrunch that he saw the changes to the web app go live on Wednesday. The website where organizations could acquire a handle is not yet live to the public, however.Image Credits:Nima Owji on X (opens in a new window)The idea of making money by selling handles is something X floated before under Elon Musks ownership. The New York Times reported in January 2023 that the company, then still called Twitter, was considering setting up an online auction process for bidding on handles.Musk has also long supported the idea of freeing up Xs namespace for active users, having already purged a number of inactive accounts on the service back in May 2023.In November 2023, Forbes also reported that X was actively soliciting buyers who may be interested in acquiring unused handles, but a formal announcement was not made. Xs documentation on inactive accounts states that the company cannot release inactive usernames at this time, though there have been some reports of people buying usernames on X outside of an official process.By allowing companies to officially buy their desired usernames, X could generate another revenue stream outside of subscriptions, ads, and developer access. The move could also encourage other X users to keep posting if they dont want their handle to become dormant and then go up for sale.Image Credits:Nima Owji on X (opens in a new window)So far, the FAQ details the answers to a handful of common questions X users may have about the process, including how to start a handle inquiry, what the sales process is like, and how the transfer will work. As the still-nonpublic website explains, interested users will work with an automated support bot to start an inquiry about a username they want to purchase, and X will respond if the handle is available within three business days. After the handle is purchased, it will be transferred to the new owner within one or two days, or it can be moved to another account the business already owns, the FAQ states.Discounts may also be available for those purchasing multiple handles at once, depending on the number and size of the quote, the website notes. X was asked for comment on its plans around handles but did not respond.

Elon Musk has long been credited with turning Tesla into a beacon of innovation, the visionary who pushed the world into an era of electrification. But his slide into politics specifically his alignment with President Trump and activities within the federal government has dragged Tesla into uncertainty.For many would-be Tesla buyers, the brand has lost its progressive luster. And while Musk has long been the face of Tesla, that link has taken a negative turn as the billionaire oversees mass layoffs and the elimination of federal programs via the Department of Government Efficiency.Teslas disappointing first-quarter deliveries demonstrate just how much the brand has fallen out of favor. The company reported 336,681 deliveries in the first three months of 2025, down from 495,570 in Q4 2024 and 386,810 in the first quarter of last year. Thats off the back of an unimpressive 2024, which saw fewer deliveries than the year prior amid production delays and increased EV competition.For many, Musks political activities have turned Tesla into a symbolic pariah. Tesla trade-ins have hit record highs, while sales in Europe have dropped. Foreign leaders are calling for boycotts and the automakers stock price has lost about half its value since December. All the while, protesters continue to assemble outside Tesla showrooms, dealerships, and even charging stations in an effort to accelerate the automakers brand devaluation and with it, they hope, Musks wealth.They have a certain significant public image problem thats really something we havent seen before in this industry, Sean Tucker, lead editor at Kelley Blue Book, told TechCrunch.Even one of Teslas most unwavering bulls, Dan Ives, has begged Musk to focus less on politics and more on his business or else unfortunately darker times are ahead for Tesla.To combat the effect this might have on Tesla, Musk has and likely will continue to lean on his sales pitch that Tesla isnt an automaker, its an AI company, one that will someday commercialize autonomous vehicles and humanoid robots.The question now is whether or not the Tesla brand can recover.Below are the moments, which TechCrunch will continue to update, that are shaping perception of the Tesla brand and may have a lasting effect on its future.A MAGA hat on wheelsA sticker reading I bought this before Elon went crazy is pictured on a Tesla in Berlin on February 10, 2025. image credits:Tobias Schwarz / AFP via gettyWhile recent studies found that Musks political leanings have lost him customers in what has historically been Teslas base Democrats the shift has garnered him street cred with Republicans. One study from researchers at Northeastern University, Columbia University, and the University of Iowa found that Republicanss likelihood to purchase a Tesla moved up from 7% before Musks Trump endorsement to 10.2% after.That sentiment might only increase amidst Trumps reciprocal endorsement of Musk and Tesla, including his free commercial at the White House on March 11.Hang onto your stockA Tesla Cybercab prototype. image credits: David Paul Morris/Bloomberg via gettyImage Credits:Getty ImagesAt an impromptu, glitchy, live-streamed Tesla all-hands presentation on the evening of March 20, Musk told his employees and investors to hang onto [their] stock despite it feeling like Armageddon.Its very difficult for people in the stock market, especially those that look in the rearview mirror, which is most people, to imagine a future where suddenly a 10 million vehicle fleet has five to 10 times the usefulness, Musk said, referring to the now-defunct claim that all existing Teslas have the hardware necessary to turn into fully self-driving cars with a mere software update.He advised employees to tune out the noise and focus on building the Cybercab, which would be the new priority. The Cybercab is a two-seater robotaxi with no steering wheel or pedals. Current federal regulations dont allow for the mass production of such vehicles because they dont have human controls, but Musk has signaled an intent to amend those rules.He noted that the Cybercab manufacturing process would be a feat of engineering, a high-speed consumer electronics line that will move so fast thatitll be able to produce a car, ultimately, in less than five seconds.During the call, Musk also promised to produce about 5,000 Optimus robots this year, which he believes will be Teslas most valuable asset.Moment of truthOn the same day as the sudden all-hands, Tesla bull Dan Ives wrote in a note that Musks involvement in DOGE has led to a brand tornado crisis moment for Musk and Tesla.If you agree or disagree with DOGE it misses the point that by Musk spending 110% of his time with DOGE (and not as Tesla CEO) since President Trump got back into the White House this has essentially turned Tesla into a political symbol. and this is a bad thing, Ives wrote.Molotov cocktails and vandalismA Tesla Supercharger is vandalized on January 31, 2025 in San Diego, California. image credits: Kevin Carter/GettyImage Credits:Getty ImagesTesla showrooms, charging stations, facilities, and even privately owned vehicles have been hit with attacks. In some cases, the damage is minimal some spray paint and a keyed car. In others, violence has ensued. Dealerships have been hit with bullets and Molotov cocktails, and charging stations have been set on fire.Musk has responded by questioning why anyone would want to hurt Tesla.Trumps response has been more pointed. He has declared that any acts of violence which could include spray-painting would be treated by the federal government as domestic terrorism.I look forward to watching the sick terrorist thugs get 20-year jail sentences for what they are doing to Elon Musk and Tesla. Perhaps they could serve them in the prisons of El Salvador, which have become so recently famous for such lovely conditions! Trump said on his social media platform, Truth Social.As of the time of this writing, the Department of Justice has brought charges against three individuals who are allegedly responsible for violent destruction of Tesla properties.Tesla TakedownsNYPD officers stand guard as protesters demonstrate during Tesla Takedown rally on March 29, 2025. Image credits: Adam Gray/Bloomberg via GettyImage Credits:Getty ImagesPeaceful protests have also erupted across the country as part of the so-called Tesla Takedown movement.The movements goal is to hit Musk where it hurts his wallet, and the source of his wealth and power. Protesters have been showing up at Tesla dealerships and showrooms to try to discourage people from buying Tesla cars. They also aim to encourage Tesla owners to trade in their vehicles and Tesla stockholders to sell their shares.Despite these protests being peaceful, were beginning to see the start of violent counter-protests like the Florida man who drove his SUV into a crowd of protestors outside a Palm Beach Tesla dealership in March.Associating with the Proud BoysThousands of people joined in Tesla Takedown protests the last weekend in March at showrooms across the country. The crowds drew small numbers of counter-protests in some regions that Wired reports were peopled mainly by MAGA supporters. Among them were far-right extremists, including members of the Proud Boys and armed militias.The Roman saluteElon Musk gestures as he speaks during the inaugural parade, in Washington, DC, on January 20, 2025. Image credits: ANGELA WEISS / AFP via gettyImage Credits:ANGELA WEISS / AFP / Getty ImagesWhile speaking at a rally celebrating Trumps inauguration in January, Musk did what many have perceived to be not one, but two, Nazi salutes.The damage has only been amplified amidst Musks vocal support for the far-right German political party AfD, as well as his history of sharing anti-semitic posts.Shortly after the salute incident, activists projected an image of Musk doing the salute, along with the word Heil, onto Teslas Berlin gigafactory.Drop in European salesA recent survey of 100,000 Germans found 94% would never purchase a Tesla, and sales data backs that up.Germany is the home of one of Teslas gigafactories and traditionally one of the automakers largest markets. But in February 2025, Tesla sales in the country were down 76% to just 1,429 sales for the month, compared with 6,038 in February 2024.Teslas sales have slumped at a similarly aggressive pace across Europe. In February, Teslas registrations across the continent fell 44% year-over-year, following a decline of 45% in January.BYD breakthroughsOne of Teslas biggest competitors, Chinas BYD, has been touting significant breakthroughs in charging. The automaker said this week that its new cars can be charged in five minutes, which would give it a huge competitive edge over Tesla and indeed any other EV maker.China is one of Teslas largest markets, but BYD is continuing to bully the automaker on its home turf. BYD recently unveiled its Gods Eye advanced driver assistance system akin to Teslas Autopilot and FSD that will be installed at no additional cost on its entire EV lineup, including its ultra-cheap $9,600 Seagull hatchback.BYD continues to impress consumers with its high-tech range of EVs and hybrids and has once again surpassed Tesla on revenue. In 2024, BYD reported $107 billion in revenue compared to Teslas $97.7 billion.An aging lineup and Cybertruck recallsA Tesla Cybertruck on display in a Tesla showroom.image credits: Michael M. Santiago/Getty ImagesImage Credits:Michael M. Santiago / Getty ImagesTesla has languished with an aging lineup for years. The Cybertruck was meant to be the automakers next big bet that would prove its still capable of delivering innovative new models. And indeed, the truck has been popular among American buyers.Still, Tesla has issued eight recalls on the Cybertruck since launching the vehicle in November 2023. Most recently, Tesla had to recall 46,000 Cybertrucks because of an exterior steel trim panel on the side of the windshield that looks like it was stuck on with super glue and can just peel off.

As YouTube Shorts continues to compete with TikTok, the platform is announcing new upcoming features to help creators publish engaging short-form videos.Creators will get access to an improved video editor, the ability to generate AI stickers, a feature that syncs content to the beat of a song, enhanced templates, and more.The launch of the new tools comes just days before the April 5 TikTok ban deadline. Given the timing of the announcement, YouTube is likely looking to court creators to its platform and capitalize on the potential void left by TikTok if it faces a ban in the United States.Image Credits:YouTubeYouTube says the new and improved video editor will allow users to easily adjust the timing of each clip, move or remove clips to create a rough version, add music or timed text, and preview their Short to make sure it tells the story the way they want it to. YouTube plans to roll out additional editing updates in the future. The company notes that an improved video editor has been a top request from Shorts creators.TikTok is known for having robust editing tools, so it makes sense for YouTube to give its creators access to more of the same tools. Plus, the launch of the improved video editor is significant, as Meta is said to be weeks away from releasing an Edits app that is said to rival ByteDances CapCut.Image Credits:YouTubeAs for the new AI Stickers, creators will be able to generate custom stickers using a simple text prompt. In an example shared by YouTube, a user can generate an AI sticker of a strong plant with muscles.YouTube Shorts will also roll out the ability for creators to add image stickers to their videos. For example, creators will be able to share different options for outfit inspiration by uploading photos from their camera roll and turning them into image stickers. Image Credits:YouTubeIn addition, creators will soon be able to pick a song and have their clips automatically aligned with the musics rhythm. Before this, creators would have had to manually sync clips to songs. The feature appears to be similar to CapCuts Beats tool, which automatically syncs music to clips.YouTube is also going to improve templates, as users will be able to pull photos from their gallery and use them in templates. The company also plans to add effects within templates. Given the popularity of effects on TikTok, it makes sense for YouTube Shorts to explore them as well, especially since they can sometimes create trends.The new features are expected to roll out in the coming months.

TechCrunch All Stage the ultimate founder summit is shaping up to be a powerhouse event where 1,200 founders and VCs across all stages will come together to forge meaningful connections and gain practical insights they can immediately apply to scale their startups. Join us on July 15 at SoWa Power Station in Boston and be part of the conversation with scaling experts. Register now and save up to $210!Image Credits:TechCrunchAdding even more value to this already-packed agenda, were excited to announce that Jahanvi Sardana, partner at Index Ventures, has joined the breakout session lineup. Sardana will dive into the critical elements of assessing total addressable market (TAM), revealing how the best startups dont just size markets they create them.Using case studies from high-growth companies such as Datadog, Adyen, Wiz, Shopify, and Airbnb, she will explore how these businesses identified emerging trends, eliminated friction, and expanded their TAM beyond initial projections. This session is essential for founders aiming to build companies that will shape the future of their industries.This is your opportunity to get direct answers from Jahanvi on scaling challenges and learn what it truly takes to propel your business forward.Meet Jahanvi SardanaAs a B2B investor, Jahanvi Sardana specializes in cybersecurity, enterprise software, and fintech, investing across seed to pre-IPO stages. She thrives on partnering with founders who embody grit the secret ingredient that sets high performers apart. Its the perfect mix of passion, persistence, and stamina that turns visionary ideas into reality.Prior to Index Ventures, Jahanvi was at Stripes, a growth equity firm in New York, where she focused on cybersecurity, fintech, and SaaS investments. Her career began in private equity at Aquiline Capital Partners.Unlock must-know strategies for startup successDont miss this session at TC All Stage plus more led by industry leaders like Charles Hudson, founder and managing partner at Precursor Ventures; Brandon Krieg, co-CEO and co-founder at Stash; and many others. This is your opportunity to ask scaling questions, build game-changing connections, and, for VCs, discover the next big investment. Register now and save over $200 on a Founder or Investor Pass!

Spotify announced Gen AI ads, among other changes to its advertising business, at an event in New York City on Thursday. Notably, the company introduced a new programmatic offering, the Spotify Ad Exchange (SAX), which allows advertisers to reach Spotifys logged-in users via real-time auctions. Expanding on the SAX news, Spotify said it inked new partnerships with Googles demand-side platform, Dispay & Video 360, and Magnite, with Yahoo DSP, Adform, and others to come soon. The Trade Desk is also supported. SAX will offer full addressability and measurement capabilities, the company said.Partners will initially be able to advertise within Spotifys audio, video, and display formats across music, with podcast support on the way. SAX will be available in the U.S., Canada, Europe, Australia, New Zealand, India, Singapore, Brazil, and Mexico.In another major announcement, the company said its integrating AI into its advertising offerings by allowing marketers to use Gen AI to create scripts and voiceovers for their audio ads using Spotify Ads Manager in the U.S. and Canada. Spotify says the use of its AI tools will come at no additional cost to advertisers. Image Credits:SpotifyThe changes were pitched to marketers as a way to reach the coveted Gen Z demographic, who access the streaming service throughout the day, not just when theyre engaged directly with the app and looking at the screen. The company touted that it now has over 251 million Gen Z users on its service.

The caller identity app Truecaller said that it crossed the 450 million user mark earlier this week. The company said that it added 50 million users in the past 10 months and 15.5 million users since the beginning of 2025. India is the companys biggest user base. So it wasnt surprising when Truecaller promoted Chief Product Officer and MD of India operations, Rishit Jhunjhunwala, to the CEO position after the companys co-founders decided to step back from day-to-day operations last year.Image Credits: TruecallerJhunjhunwala said that while India remains a critical market for Truecaller, it also saw growth in other regions.We are proud that we now serve more than 450 million users globally. As before, we continue to see steady growth in our largest market, India, but the fastest relative growth is in markets outside of India. So far in 2025, we see strong growth trends in Latin America, South Africa, Kenya, Nigeria, Malaysia, and the US, to mention a few markets, he mentioned in a blog post.Truecallers growth and position in India might be challenged as the countrys telecom department is pushing mobile carriers to implement its own caller ID system, which could rival the Sweden-based companys product.The company said that throughout Q4 2024, it maintained an active user base of nearly 430 million users. The company had positive results for the quarter ending December, with net sales up 23% and profit after tax up 29% year-over-year. The companys stock is up more than 33% year-to-date at the time of writing.Earlier this year, the company also integrated its caller ID product to work better with iOS. Until then because of operating system level restrictions from Apple, the live caller ID feature wasnt on par with its Android equivalent. Truecaller has also focused on creating value beyond just caller ID by introducing products like call recording and transcription and an AI-powered assistant for call screening. It has been trying to improve its experience as an SMS and chat client.

Expanding into the Middle East and North Africa (MENA) remains a costly and complex challenge for global businesses, thanks to fragmented regulations and banking systems. Dubai-based fintech Fuse aims to simplify that with a cross-border payments API and has raised $6.6 million in seed funding to make it happen.Founded in 2023 by George Davis, former co-founder of BVNK, and CTO James Smith, Fuse says its the first infrastructure-grade payments platform offering virtual International Bank Account Numbers (IBANs) in the region. This is a product Davis says is commonplace in Europe but nearly absent across MENA.Were currently the only provider of virtual IBANs in the Middle East, Davis told TechCrunch. Its a hyper-commoditized product in Europe, but here, it simply didnt exist.Fuses core product includes USD virtual accounts for cross-border money movement and dirham-denominated IBANs for local UAE payments. That allows the startup to offer first-mile collections and last-mile payouts for international businesses without requiring them to set up a local entity, handle their own FX, or navigate licensing.Davis outlines two legacy options for global companies trying to move money in MENA: local payment firms that lack scale, or larger cross-border players like Thunes, which often operate without local licenses and rely on patchy partnerships.Fuse sits in the middle with a fully licensed, infrastructure-grade platform that simplifies money movement across the Middle East using virtual IBANs and local payout rails. With these options, global businesses can operate in the region without setting up local infrastructure or navigating regulatory red tape.Most of Fuses clients are businesses in the U.S., Europe, and Asia that want to operate in MENA but lack the banking setup or licenses to do so quickly.Virtual IBANs to do the jobOne use case is employers of record (EORs). For instance, a U.S.-based company with employees in the UAE typically needs a local bank accountsomething hard to obtain without residency or licensingto pay salaries in dirhams under the correct business name. Fuse solves this by issuing USD-denominated virtual IBANs, allowing businesses to top them up and pay salaries locally in AED (dirhams) directly to named beneficiaries.Customers can create unlimited IBANs in their end customers names and make local payments, said CEO George Davis. Those customers dont need to be residents or have local entities; they can be anywhere in the world.Fuse now serves over 20 clients, including EORs, remittance firms, crypto platforms, marketplaces, and PSPs. Clients include DLocal, RemotePass, and platforms like Deel, Airbnb, and Etsy as they expand into MENA.The UAE remains Fuses anchor market, but the platform has begun enabling direct payouts in Saudi Arabia, Egypt, and Jordan and supports wholesale foreign exchange for Indian and Chinese businesses operating in the UAE that need to repatriate funds through controlled corridors, some of the regions busiest trade and remittance routes.There are many startups in various regions with identical offerings but Davis sees more similarities with Visa-backed Currencycloud. Both offer virtual accounts, FX, and cross-border payments, but while Currencycloud is global, Fuse is built for the Middle East, he said.And its striking at the right time. Businesses across MENA arent just underserved; theyre transacting more than ever, driven by a surge in e-commerce and digital payments. That demand, Davis believes, creates a rare window for regional infrastructure players to win.Global cross-border payments tend to be winner-takes-all markets, he said. But to win, you now need local specialists. Thats what were building.Experience from TrueLayer and BVNK So far, its working. Fuse is processing hundreds of millions of dollars per quarter and growing revenue more than 50% month-over-month. In fact, Davis says Fuse made more this quarter than it did all of last year. The company makes money by charging fees on each transaction.Daviss interest in solving cross-border payments for the Middle East came from firsthand experience. At TrueLayer, he helped scale the fintech from a data aggregator to a payments and open banking platform serving over 100,000 businesses. At crypto infrastructure startup BVNK, which he co-founded and served as chief product officer, he saw how hard it was for global businesses to expand into the Middle East.We were supporting global businesses using stablecoins to move money out of emerging markets, he said. We felt the pain of entering MENAand so did others I was advising. Thats what sparked Fuse.He launched Fuse in 2023 with CTO James Smith, a longtime collaborator who led engineering at both TrueLayer and BVNK. The two now lead a 12-person team across engineering, product, and compliance.Northzone, the European multi-stage VC that has backed the likes of Klarna and Spotify, led the $6.6 million round, with participation from Flourish Ventures, Alter Global, and notable angels, including Flutterwave CEO Olugbenga GB Agboola and former Morgan Stanley MENA president George Makhoul.The Fuse team is transforming payment infrastructure in one of the worlds fastest-growing markets, said Sanjot Malhi, partner at Northzone. Their ability to simplify MENAs complex cross-border flows is exactly what the region needs.Fuse plans to use the fresh capital to grow its team, secure additional regional licenses, and expand its product suite beyond the UAE.BVNK grabs $40 million for its crypto banking services

Djamo is one of several digital banking startups targeting Africas underbanked. But unlike many that focus on large markets like Nigeria, Egypt, or South Africa, Djamo has carved out a niche in Francophone West Africa, specifically the Ivory Coast and, more recently, Senegal. It now serves over one million customers across both countries.The Y Combinator-backed fintech just raised $17 million to expand its product suite for these retail customers and the thousands of small businesses it has onboarded in the last two years.The equity round, the largest ever for an Ivorian startup, surpasses Djamos $14 million Series A in 2022 and reflects continued investor confidence in its mission to make banking accessible and affordable.Co-founder and CEO Hassan Bourgi declined to share the new valuation but said it has doubled since the last raise.Bourgi founded Djamo with chief product and technical officer Rgis Bamba in 2020 to close the financial access gap in French-speaking African countries, where few adults have bank accounts. Traditional banks in the region often cater to the affluent, leaving most of the population reliant on mobile money, a cheaper method that includes using phone numbers to make financial transactions.Mobile money has been instrumental in expanding financial access across Africa. As of 2022, 28% of adults in Sub-Saharan Africa had a mobile money account, per the World Bank, and the region holds more than half of the worlds total. But that progress has also created a ceiling.Most mobile money platforms offer basic services: cash-in, cash-out, P2P transfers, and bill payments. While useful, they dont unlock more advanced financial tools like credit, investments, or long-term savings.Djamo is positioning itself between mobile money and traditional banking. The startup offers the accessibility of mobile money with the financial depth of a bank account, a similar playbook that Softbank-backed OPay and Transsion-owned PalmPay have used to scale to tens of millions of customers in Nigeria.Its target is a growing segment of users, mostly younger customers, whove outgrown mobile money wallets but still find traditional banks expensive, outdated, or inaccessible, the founders say.These users are evolving, said Bourgi. But they dont want to go where their parents went, into institutions with predatory pricing and arent adapted to the new generation of customers. And this is what we are building, trying to become the go-to bank for this huge cohort of customers that is evolving now to more complex, wealth-building financing opportunities.Consumer finance app Djamo eyes Francophone Africa expansion, backed by new $14M roundExpanding product suite to suit demandSince our last coverage, Djamo has expanded beyond cards and peer-to-peer transfers. The Ivorian fintech now offers savings vaults, investment products thanks to the regions first fintech-issued brokerage license and salary-linked bank accounts, which Bourgi sees as important to boosting customer engagement.Like many neobanks, Djamo attracts banked users who treat it as a secondary account for smoother bill payments and mobile money integration. But its the unbanked, more difficult to activate, who show greater long-term potential. These users, who make up over 55% of Djamos base, often treat the app as their primary financial service.Bourgi says nine in ten users who rely on Djamo as their main account come from this segment. To reach more of them, Djamo has adopted a hybrid approach, combining its app with offline agents who meet customers in person to facilitate transactions, similar to the mobile money model now more broadly adopted by fintechs across the continent.Currently, only 510% of Djamo users receive salaries through the app. The next phase for us, Bourgi said, is figuring out how to move from 10% to 50% of our users getting their salaries paid directly into Djamo.Meanwhile, Djamo is also ramping up services for small businessesabout 10,000 of them, many of whom started as retail users. According to CTO Bamba, the startup now provides bulk payments, payment links, and QR code tools to help merchants accept and manage payments directly within the app.The fintech generates revenue from merchant fees on online card purchases and a premium tier plan, which 25% of users pay for. Bamba adds that the company is exploring additional revenue streams, including lending and earning interest on customer deposits. It is in the process of securing licenses that will allow it to offer interest-bearing savings accounts and credit products.Djamos founders say the company has grown revenue 5x since 2022 and processed more than $4.5 billion in transactions since launch.Africas newest fintech unicorns are winning by keeping their feet on the groundWith its recent expansion into Senegal, Djamo has entered a market dominated by Wave, one of Africas largest fintechs known for low-cost mobile money transfers. But rather than compete directly, Djamo positions itself as a complementary service, offering a digital banking experience where users can store funds and access more advanced tools like savings, investments, and credit.Now a 250-person team, Djamo is betting that its new round of funding, led by pan-African, gender-focused VC Janngo Capital, will help it scale those services across French-speaking Africa.We are thrilled to lead the largest VC round in Ivory Coast and double down on Djamo, a mission-driven fintech transforming access to financial services across Francophone West Africa, said Fatoumata B, founder and executive chair of Janngo Capital. In a region where fewer than 25% of adults have access to formal financial services, and where women are twice as likely to be excluded, this is a vital mission. With women making up a third of its users, Djamo is not only closing the gender gap but unlocking economic opportunity at scale.Other investors participating in the round include SANAD Fund for MSMEs (managed by Finance in Motion), Partech, Oikocredit, Enza Capital, and Y Combinator.

Starting Wednesday, Meta says it will begin combining the Instagram accounts of the Second Lady of the United States, Usha Vance, and the former Second Gentleman of the United States, Doug Emhoff.As a result, the 1.2 million people who were previously following the Instagram account of Kamala Harriss husband, @secondgentleman46archive (recently archived by the government), will now be following J. D. Vances wife on her newly created account, @SLOTUS. As of the time of writing, her account has less than 66,000 followers.Following the White House creating an account for the Second Lady, we are transitioning the Second Gentleman account to @SLOTUS, said a Meta spokesperson in a statement to TechCrunch. This is consistent with our process for presidential transitions and with the process we followed for the President, VP, FLOTUS, and The White House accounts earlier this year.When Trump took office in January, a lot of users were confused as to why they were suddenly following President Trump on Facebook and Instagram when they hadnt explicitly requested to do so. At the time, Meta explained this was part of a regular process in which White House social media accounts, including their followers, are handed over to the new administration when a new president takes office.Usha Vance is obtaining the former Second Gentlemans Instagram followers now because the White House only recently created her @SLOTUS account, according to Meta. The first post on the Second Ladys Instagram account is dated March 10, and Meta says she does not have an official Facebook account at this time.Be aware that if you try to unfollow @SLOTUS on Instagram, your request may not immediately go through. Meta says it may take some time to process follow and unfollow requests around the @SLOTUS account during this transition. It seems likely that users flood Meta with a barrage of follow and unfollow requests in these account transitions, which slows things down.Meta insists it never forces users to auto-follow accounts without a users consent. In this case, Meta says the White House itself controls these official accounts, and its simply assisting them in the presidential transition.While these White House social media accounts change hands every four years, they tend to create widespread confusion every time. Many users forget they ever followed an official White House account in the first place, especially if they had done so four years ago when the previous administration took office.However, it becomes much more evident which White House accounts youre following when the new administration, which may not be the party you voted for, takes over.

Circle, the issuer of USDC, a stablecoin pegged to the U.S. dollar, filed to go public on Tuesday.The company, which makes money from interest earned on its reserve assets, reported that its 2024 revenue and reserve income was $1.68 billion, up from $1.45 billion the year prior. Circles 2024 net income was $156 million, down from $268 million in 2023.This is Circles second attempt at listing on the stock exchange. The company previously tried to go public by combining with a SPAC in 2022 but scrapped its plans when the SEC didnt approve the merger within an expected timeframe. Before failing, the SPAC deal valued Circle at $9 billion.While it is not clear what value the company will fetch in its IPO, Renaissance Capital estimates that the company will attempt to raise $750 million in its offering.According to the regulatory filing, investors with more than 5% ownership in the company include Accel, General Catalyst, Breyer, IDG Capital, and Oak Investment Partners.Circle USDC in circulation are valued at $60 billion, according to the filing.The company is planning its IPO amid the Trump administrations supportive stance on crypto assets.

Aetherflux, the space solar startup founded by Baiju Bhatt, the billionaire co-founder of Robinhood, has raised $50 million in a Series A round as it works to launch its first low Earth orbit demonstration in 2026.The San Carlos, California-based startup, which came out of stealth last October, aims to eventually launch a constellation of low Earth orbit satellites that can collect and transmit solar energy directly to ground stations on Earth. Its an idea that was initially triggered by Isaac Asimovs 1941 short story Reason. Bhatt is focused on turning this science fiction-inspired concept into reality.But first, Aetherflux needs to get a satellite to orbit to prove out the tech, to demonstrate that we have made this transformative progress of going from humans not having power from space to, for the very first time, there being power from space for humans, Bhatt, the startups founder and CEO, told TechCrunch.At least, thats the goal with next years launch, which will be supported by the fresh capital Aetherflux has raised. The round brings Aetherfluxs total funding to $60 million after Bhatt invested $10 million of his own funds into the company. The Series A round was led by Index Ventures and Interlagos, with participation from Bill Gatess Breakthrough Energy Ventures, Andreessen Horowitz, and NEA, as well as some other interesting names like Jared Leto rounding it out.Bhatt, who joined us on the TechCrunch Equity podcast earlier this year, told TechCrunch that Aetherflux will use the funds to hire more engineers and invest in the technology and infrastructure needed for its first several missions.Our team is primarily focused right now on building the payload that sits on top of the bus that takes all the power that the satellite bus generates and turns it into laser power, Bhatt said.Aetherflux is using Apex Spaces Aries satellite bus. A satellite bus is the core structure and system of a satellite that provides essential functions for its operation, like power, propulsion, and communications. Most buses generate power through solar panels, and Bhatt says that power as much as a kilowatt of energy will be sent back to Earth via lasers.On the receiving end will be Aetherfluxs ground stations, made up of photovoltaic arrays that convert sunlight to energy that is stored in batteries for later use. Bhatt said his team, which is made up of engineers and researchers from NASA, SpaceX, Lockheed Martin, Anduril, and the U.S. Navy, is also working on building out Aetherfluxs first ground station. The startup doesnt have a location for the station yet, but its evaluating military sites where theres more controlled air space.In the future, Bhatt says the goal is to build small, portable ground stations anywhere from 5 to 10 meters in diameter to bring electricity to even the most remote locations.The thing we want to demonstrate [with the first mission] is the end-to-end power linking, Bhatt said. We want to be able to demonstrate that we actually have electricity on the ground and use that to light up a light installation or do some electronic stuff on the ground.Few have accomplished the feat of sending solar power from space to Earth. One of the only successful missions was in 2023 when researchers at Caltechs Space Solar Power Project demonstrated wireless power transfer from low Earth orbit using microwave beaming. That proved the concept but falls short of Aetherfluxs pitch for a scalable, commercial system.Aetherfluxs raise comes off the back of an award from the Department of Defenses Operational Energy Capability Improvement Fund to develop space solar power for the U.S. military.

Epic Games CEO Tim Sweeney, whose company makes Fortnite and tools for other developers, including Unreal Engine, called out Apple and Google as gangster-style businesses engaged in illegal practices while speaking at a Y Combinator event on Wednesday. The executive also emphasized how the big tech companies practices directly affected his own business by scaring away users from installing Epics Games Store software and preventing Epic from attracting developers to its offerings.Notably, Epic Games has played a big role in the fight against big tech monopolies over the past several years. The company sued both Apple and Google for monopolistic practices over their respective app stores. Epic won its case with Google but not with Apple. However, the court did require Apple to open up to more competition by forcing a change to its App Store rules. The court said app developers should now be able to link to other purchasing mechanisms besides Apples own. (Unfortunately for app developers, Epic is still battling with Apple in the courts over this change, as it alleges that Apple violated the court order by allowing developers to process their own payments, but only with a small, 3% reduction in commission, which doesnt make it worth their while.)On stage, Sweeney again called out the big tech companies for their practices and their malicious compliance with the courts decisions. The sad truth is that Apple and Google are no longer good faith, law-abiding companies, Sweeney said. Theyre run, in many ways, as gangster-style businesses that will do anything they think they can get away with. If they think that the fine is going to be cheaper than the lost revenue from an illegal practice, they always continue the illegal practice and pay the fine. The gaming executive pointed to how the tech companies practices hurt his business. For instance, when users on Android try to install the Epic Games Store on their smartphone, Google warns them that the software is from an unknown source and might harm their device. This scare screen, as Sweeney calls it, is meant to warn users about the dangers of installing non-Play Store apps. But he says the screen results in 50-60% of users abandoning their attempt to install the software. A similar drop-off rate is found on iOS. In Europe, the Epic Games Store is allowed thanks to new regulations, but Apple displays a warning to users who try to install it. Again, this leads to drop-off rates of 50-60%, Sweeney said.He calls the use of these screens textbook self-preferencing, noting that the companies are getting away with it. Crime pays for big tech companies, he said. Obviously, we shouldnt expect that to change until enforcement becomes much, much more vigorous, he told the audience. In addition, the Fortnite exec said that because of the friction and the associated fees with third-party app stores on iOS, no major game developers has been willing to distribute games through the Epic Game Store. Instead of its usual 30% fee, Apple reduces the fee but collects a core technology fee of 50 cents per install per year for any app with more than 1 million downloads.Unless your app is enormously high grossing per user, any free-to-play game is largely dissuaded from that, Sweeney explained. Its too expensive for them. Apple would bankrupt them if they did that. He did note that the Epic Games Store on iOS has managed to attract some back-catalog games. Meanwhile, the Android version will open up to developer submissions later this year, which Sweeney hopes will boost the catalog further.

When OpenAI unveiled its o3 reasoning AI model in December, the company partnered with the creators of ARC-AGI, a benchmark designed to test highly capable AI, to showcase o3s capabilities. Months later, the results have been revised, and they now look slightly less impressive than they did initially.Last week, the Arc Prize Foundation, which maintains and administers ARC-AGI, updated its approximate computing costs for o3. The organization originally estimated that the best-performing configuration of o3 it tested, o3 high, cost around $3,000 to solve a single ARC-AGI problem. Now, the Arc Prize Foundation thinks that the cost is much higher possibly around $30,000 per task.The revision is notable because it illustrates just how expensive todays most sophisticated AI models may end up being for certain tasks, at least early on. OpenAI has yet to price o3 or release it, even. But the Arc Prize Foundation believes OpenAIs o1-pro model pricing is a reasonable proxy. For context, o1-pro is OpenAIs most expensive model to date.We believe o1-pro is a closer comparison of true o3 cost [] due to amount of test-time compute used, Mike Knoop, one of the co-founders of The Arc Prize Foundation, told TechCrunch. But this is still a proxy, and weve kept o3 labeled as preview on our leaderboard to reflect the uncertainty until official pricing is announced.A high price for o3 high wouldnt be out of the question, given the amount of computing resources the model reportedly uses. According to the Arc Prize Foundation, o3 high used 172x more computing than o3 low, the lowest-computing configuration of o3, to tackle ARC-AGI.Moreover, rumors have been flying for quite some time about pricey plans OpenAI is considering introducing for enterprise customers. In early March, The Information reported that the company may be planning to charge up to $20,000 per month for specialized AI agents, like a software developer agent. Some might argue that even OpenAIs priciest models will cost well under what a typical human contractor or staffer would command. But as AI researcher Toby Ord pointed out in a post on X, the models may not be as efficient. For example, o3 high needed 1,024 attempts at each task in ARC-AGI to achieve its best score.

TikTok, owned by the Chinese company ByteDance, has been at the center of controversy in the U.S. for four years now due to concerns about user data potentially being accessed by the Chinese government. Earlier this year, the app experienced a temporary outage in the U.S. that left millions of users in suspense before it was quickly restored.TikTok returned to the App Store and Google Play Store in February.Nonetheless, TikToks future remains uncertain, and a potential second ban on April 5 is looming. A number of investors are competing for the opportunity to purchase the app, and if a deal were to go through, the platforms U.S. business could have its valuation soar to upward of $60 billion, as estimated by CFRA Researchs senior vice president, Angelo Zino.TikTok ban: Whats happened so farTo fully understand this high-stakes drama, well first revisit the timeline of TikToks tumultuous relationship with the U.S. government, which resulted in various legal battles and negotiations.The drama first began in August 2020, when Trump signed an executive order to ban transactions with parent company ByteDance.A month later, Trumps administration sought to force a sale of TikToks U.S. operations to a U.S.-based company. The leading contenders included Microsoft, Oracle, and Walmart. However, a U.S. judge temporarily blocked Trumps executive order, allowing TikTok to continue operating while the legal battle unfolded.Things began to progress even more last year following the transition to the Biden administration. The U.S. House of Representatives, in an overwhelming 360-58 vote, passed the legislation against TikTok. On April 23, 2024, the Senate passed the bill.Shortly after, President Joe Biden signed the bill requiring TikTok to be sold or banned. In response, TikTok sued the U.S. government, challenging the constitutionality of the ban and arguing the app and its American users were having their First Amendment rights violated. The company has consistently denied that it poses a security threat, asserting that its data stored in the U.S. complies with all local laws.Trump has a change of heartImage Credits:Mandel Ngan (opens in a new window) / Getty ImagesOn December 27, 2024, Trump opposed the potential ban of TikTok in a court filing, stating he could find a way to keep the app in the U.S. This stance was a stark contrast to his approach during his first presidency and presented a surprising turn of events for TikTok.In January, the U.S. Supreme Court upheld the Protecting Americans from Foreign Adversary Controlled Applications Act (PAFACA), commonly referred to as the TikTok ban. TikTok made a formal announcement that it would likely have to go dark on January 19.TikTok shuts down then comes back onlineAlthough TikTok indeed shut itself down in the U.S. when the act came into effect, it didnt last long. The app came back online less than 12 hours later. The platform noted, As a result of President Trumps efforts, TikTok is back in the U.S.Where we are todayOn January 20, Trump signed an executive order that postponed the TikTok ban for 75 days. This extension provides the app with additional time to either sell a stake in the platform or reach an agreement with Trump. His goal is to achieve a 50-50 ownership arrangement between ByteDance and a U.S. company.More recently, in early March, Trump told reporters that his administration was in talks with four different groups that are interested in buying the platform, per Reuters.No definitive deal has been reached yet for the sale of the platform, but we could find out very soon. Below is a list of the investor groups and companies rumored to be potential buyers of TikToks U.S. operations. (Surprisingly, Elon Musk is not among them.)U.S. real estate billionaire Frank McCourtImage Credits:COLE BURSTON / Contributor (opens in a new window) / Getty ImagesThe Peoples Bid for TikTokThe Peoples Bid for TikTok is a consortium organized by Project Liberty founder Frank McCourt, who is also the former owner of the Los Angeles Dodgers. Investment firm Guggenheim Securities and the law firm Kirkland & Ellis are helping to assemble the bid. The main mission of The Peoples Bid to acquire TikTok is to prioritize privacy and data control, taking an open source approach.Supporters involved include: Alexis Ohanian: The Reddit co-founder is the most recent tech entrepreneur to join The Peoples Bid, taking on the role of strategic advisor. He joined on March 3. Kevin OLeary: A well-known investor and television personality who previously told Fox he was willing to buy TikTok for $20 billion. OLeary joined The Peoples Bid on January 6.Tim Berners-Lee: The inventor of the World Wide Web supports the proposal because users should have an ability to control their own data, Berners-Lee said in a statement.David Clark: A senior research scientist at the MIT Computer Science and Artificial Intelligence Laboratory, Clark has also been named a participant.Image Credits:Dave Kotinsky / Getty ImagesAmerican Investor ConsortiumJesse Tinsley, the CEO and founder of Employer.com, is leading a consortium of American investors. Last month, Tinsley announced a $30 billion all-cash offer to acquire TikToks U.S. operations.David Baszucki: Tinsley told Bloomberg that the Roblox co-founder and CEO is a participant.Nathan McCauley: The co-founder and CEO of crypto platform Anchorage Digital has been confirmed to be participating in the consortium, Bloomberg reported.Jimmy Donaldson (MrBeast): The popular YouTube creator is also a reported member of the investor group.The Oracle headquartersImage Credits:Paul Sakuma / APOther interested partiesAmazon: The e-commerce giant is the most recent company reported to throw its hat into the ring. Bobby Kotick: The former CEO of Activision is reportedly interested in buying TikTok. With his experience managing a major gaming company, his interest in the app could be driven by the potential to integrate gaming and social media.Steven Mnuchin: The former U.S. Treasury Secretary, who served during President Trumps first term, has reentered discussions about the potential purchase of TikTok.Oracle: The company previously made a bid for TikTok back in 2020. In front of the White House in January, Oracle co-founder Larry Ellison said to Trump that 50% ownership seemed like a good deal.The Information reported in March that Oracle is the top choice to serve as the cloud technology partner for helping TikTok run in the U.S.Walmart: The retail giant could also be eyeing TikTok to enhance its reach in e-commerce, especially considering the platforms influence on consumer shopping behavior. Walmart first expressed interest back in 2020.Microsoft: The tech giant has previously shown interest in acquiring TikTok, and Trump mentioned that the company has recently reentered the bidding to buy the app.Rumble: The YouTube alternative announced on X that it wants to acquire TikTok and serve as its cloud technology partner.Perplexity AI: The AI search engine startup submitted a bid last month, according to CNBC.The story has been updated after publication to include new interested parties.

Automattic, the company behind WordPress.com, Tumblr, WooCommerce, and a range of other online services, is reducing its workforce. The layoffs will impact 16% of staff across divisions, an Automattic blog post published Wednesday reveals. Ahead of the layoffs, Automattics website listed 1,744 employees, which means north of 270 people may have lost their jobs. (Automattic was asked to confirm this number but has not responded as of the time of publication.)The post, which was also shared with company employees via Slack earlier on Wednesday, explains that this restructuring was necessary due to the competitive nature of the market and the speed with which technology is evolving. However, the move comes after a tumultuous year for Automattic, which has engaged in a controversial legal battle with hosting company WP Engine. The ongoing drama already led to the departure of some Automattic employees last fall. In Automattic CEO Matt Mullenwegs opinion, the hosting provider WP Engine did not sufficiently contribute to the open source project WordPress.org, and its use of the WP brand was confusing consumers about its affiliation with WordPress itself. Today, Mullenweg explained that the newly annoucned layoffs will allow Automattic to become more agile and responsive, break down silos that have created inefficiencies, focus on product quality, and ensure a viable financial model for long-term success.To support our customers and products, we must improve our productivity, profitability, and capacity to invest, read the post, authored by Mullenweg.The layoffs will impact employees across 90 countries, who will receive a severance package and job placement assistance, among other things. Automattic has multiple products with world-touching potential in WordPress and beyond. Im confident we will come out of this situation in a better position, poised to create a vibrant, profitable, well-designed company that will continue our mission to democratize the internet, Mullenweg wrote. This story is developing.The WordPress vs. WP Engine drama, explained

Google DeepMind on Wednesday published an exhaustive paper on its safety approach to AGI, roughly defined as AI that can accomplish any task a human can.AGI is a bit of a controversial subject in the AI field, with naysayers suggesting that its little more than a pipe dream. Others, including major AI labs like Anthropic, warn that its around the corner, and could result in catastrophic harms if steps arent taken to implement appropriate safeguards. DeepMinds 145-page document, which was co-authored by DeepMind co-founder Shane Legg, predicts that AGI could arrive by 2030, and that it may result in what the authors call severe harm. The paper doesnt concretely define this, but gives the alarmist example of existential risks that permanently destroy humanity.[We anticipate] the development of an Exceptional AGI before the end of the current decade, the authors wrote. An Exceptional AGI is a system that has a capability matching at least 99th percentile of skilled adults on a wide range of non-physical tasks, including metacognitive tasks like learning new skills.Off the bat, the paper contrasts DeepMinds treatment of AGI risk mitigation with Anthropics and OpenAIs. Anthropic, it says, places less emphasis on robust training, monitoring, and security, while OpenAI is overly bullish on automating a form of AI safety research known as alignment research. The paper also casts doubt on the viability of superintelligent AI AI that can perform jobs better than any human. (OpenAI recently claimed that its turning its aim from AGI to superintelligence.) Absent significant architectural innovation, the DeepMind authors arent convinced that superintelligent systems will emerge soon if ever. The paper does find it plausible, though, that current paradigms will enable recursive AI improvement: a positive feedback loop where AI conducts its own AI research to create more sophisticated AI systems. And this could be incredibly dangerous, assert the authors.At a high level, the paper proposes and advocates for the development of techniques to block bad actors access to hypothetical AGI, improve the understanding of AI systems actions, and harden the environments in which AI can act. It acknowledges that many of the techniques are nascent and have open research problems, but cautions against ignoring the safety challenges possibly on the horizon. The transformative nature of AGI has the potential for both incredible benefits as well as severe harms, the authors write. As a result, to build AGI responsibly, it is critical for frontier AI developers to proactively plan to mitigate severe harms.Some experts disagree with the papers premises, however. HeidyKhlaaf, chief AI scientist at the nonprofit AI Now Institute, told TechCrunch that she thinks the concept of AGI is too ill-defined to be rigorously evaluated scientifically. Another AI researcher, Matthew Guzdial, an assistant professor at the University of Alberta, said that he doesnt believe recursive AI improvement is realistic at present. [Recursive improvement] is the basis for the intelligence singularity arguments, Guzdial told TechCrunch, but weve never seen any evidence for it working.Sandra Wachter, a researcher studying tech and regulation at Oxford, argues that a more realistic concern is AI reinforcing itself with inaccurate outputs. With the proliferation of generative AI outputs on the internet and the gradual replacement of authentic data, models are now learning from their own outputs that are riddled with mistruths, or hallucinations, she told TechCrunch. At this point, chatbots are predominantly used for search and truth-finding purposes. That means we are constantly at risk of being fed mistruths and believing them because they are presented in very convincing ways.Comprehensive as it may be, DeepMinds paper seems unlikely to settle the debates over just how realistic AGI is and the areas of AI safety in most urgent need of attention.

Redwood Materials has been on an expansion tear in recent years growth that has extended the lithium-ion battery recycling and materials startups footprint well beyond its Carson City, Nevada headquarters as it locked up deals with Toyota, Panasonic, and, GM, started construction on a South Carolina factory, and made an acquisition in Europe. And yet, Redwood Materials CTO Colin Campbell saw a gap in the companys 1,100-person workforce. San Francisco was the answer, Campbell told TechCrunch, a longtime Tesla veteran who took the top tech spot in August 2023.The company, which was founded by former Tesla CTO JB Straubel, is filling that gap with a new research and development center in San Francisco. The 15,000-square-foot facility located in the citys Design District is equipped with lab space to support engineers who will eventually work on every point of the battery ecosystem from chemical engineering and cathode science to software and electrical engineering. That work could help improve cathode production, an important component of Redwoods business, which generated $200 million in revenue in 2024. The center, which Redwood moved into about a week ago, only has a handful of engineers on site. But Campbell expects it will eventually employ about 50 or more people.We had a really good year, and we had great revenue, Campbell said, adding that the company has been limited by its ability to expand. And whats limiting our ability to expand the engineering team is hiring. We just need to expand the aperture of where we can hire from. And San Francisco was sort of to a logical place for a bunch of different reasons. High on the list is deep talent pool of hardware and software engineers who are in the Bay Area, he added. Lithium-ion batteries contain three critical building blocks. There are two electrodes, an anode (negative) on one side and a cathode (positive) on the other. Typically, an electrolyte sits in the middle and acts as the courier to move ions between the electrodes when charging and discharging. Cathode foils, which account for more than half the cost of a battery cell, contain lithium, nickel, and cobalt. Redwood is able to capture all of those materials through its battery recycling and processing.But Redwood aims to do more than recycle. The startup, which has raised more than $2 billion in private funds, is building an end-to-end battery ecosystem that touches the full life cycle of lithium-ion batteries at every stage, including recycling, refining, remanufacturing as well as assessing the health and extending the life of the battery. Campbell is particularly keen for engineers to work on equipment development for Redwoods factories. A major part of why theyre (factories) are hard to build in the U.S, is that the U.S. doesnt have the industrial base to make a bunch of this machinery, and in particular, to make novel and cost effective machinery, he said. So novel process equipment engineering is a piece big piece of it.Engineers at the lab will also work on battery diagnostic methods that to help understand the health of a battery pack, which Campbell believes could benefit another piece of the business.I think its important to start with the foundation of the business, which is battery materials, and we rest all of these other projects on top of them, Campbell said adding the diagnostic tools could boost the bottom line. So if were receiving packs, and we diagnose it, and it actually is bad, thats a great advantage to us to just recycle it directly I think it could be significant.Campbell added that he didnt think diagnosis would be majority business for Redwood, but that it fits into the companys overall ethos.We have this constitutional distaste for retiring things before they need to be retired, he said So even if its not a major part of the business, its the right thing to do for this ecosystem. And we would, we would do it anyway.

Cloud infrastructure is dominated by several large industry players: AWS, Microsofts Azure, and Google Cloud. While to some it may look like AI is headed in a similar direction, the founders of Parasail think AI infrastructure will look very different and are betting their companys fate on it.Parasail works with dozens of providers to deliver on-demand GPUs for companies and enterprises looking to build AI models and applications. Parasail gives customers access to hardware, including Nvidias H100, H200, A100, and 4090 GPUs, at a fraction of the cost that incumbents charge, according to the company.Theres basically three cloud vendors who run the internet, and that isnt exactly how the internet is being rebuilt when you look at AI, Tim Harris, one of Parasails co-founders and the CEO of Swift Navigation, told TechCrunch. Its much more fragmented. The compute is much more fungible and fluid, so you can actually inherently run it in a more horizontal nature, and thats really what we were trying to do.Harris added, We didnt want a world where AI was controlled from soup to nuts by the hyperscalers.Harris and Parasail CEO Mike Henry had the idea for the startup a few years back. Henry, the former CPO of Groq, told TechCrunch that he had spent a long time thinking about what it would take to build AI infrastructure that could compete with Nvidia. He said that when he realized AI infrastructure was being rapidly built up by numerous players, he saw an opportunity for a horizontal move.According to Henry, the rapid clip of innovation happening in AI hardware was making it difficult for companies to keep up.We had to really focus on, how do we make [this] as simple as possible for the customer? Henry said. Theyre barely keeping up with the open-source model releases alone.Harris and Henry got started on the company back in 2023, hired an engineering team, and began building in early 2024. Today, theres no shortage of vendors looking to help enterprises and other companies build and scale their AI products. From hyperscalers like Nvidia and Microsoft to startups such as Together AI and Lepton AI, customers have plenty of options.The Parasail founders dont think theyre all one and the same. Sure, all these vendors provide GPUs and AI infrastructure, Henry said, but he thinks the proprietary technology Parasail has running under the hood helps it stand out. This tech is what connects Parasails GPUs from various sources together.Wednesday marks the official launch of its platform, but Parasail is already working with dozens of customers including Elicit, Weights & Biases, and Rasa. The company has also raised $10 million from a seed round in 2024 that had participation from Basis Set Ventures, Threshold Ventures, Buckley Ventures, and Black Opal Ventures.To gain meaningful market share, Parasail will have to go head-to-head with hyperscalers and bet on the demand for GPUs continuing to grow. There is reason to believe that it will, but there are also signs like Microsoft canceling some of its data center contracts that the predictions around needed AI infrastructure may be a bit overblown.We see literally no end [to] the demand, Harris said. Its really that customers have a hard time doing it have a hard time scaling AI. The models now are getting to a place where [companies] can just grab open-source models and pretty much run them, but then being able to get access to GPUs, access to data centers, all the optimizations we can do that with a click of a button.

AI sales rep startups are a very crowded market these days. If youre driving into San Francisco from the airport, youll probably spot billboards promising that you can Stop Hiring Humans (Artisan) or urging you to Hire Piper, the AI SDR (Qualified). While some of these startups are certainly growing fast, the field has its challenges and some VCs are wary.Anshul Gupta, co-founder of Actively AI, admits the early versions of these AI sales tools dont live up to their own hype. Gupta claims classic AI sales reps arent the right approach, telling TechCrunch theyve failed by focusing too much pure volume that means contacting as many potential customers as possible.Founded in 2022, Actively AI argues it has a different approach. The startup builds custom reasoning models for companies to sift through their data and find the highest-value prospects to sell to, mirroring the work that top human sales reps do.Its a new way of leveraging reasoning tech, a technique thats taken the AI world by storm by forcing AI models to flesh out their logic and double-check their work.Actively claims this method is working, touting that it has helped clients like fintech Ramp get tens of millions of dollars in extra revenue.The New York-based startup has now raised $17.5 million in Series A funding from Bain Capital Ventures, it exclusively told TechCrunch. That follows a previously unannounced $5 million seed round from First Round Capital, bringing total funding to $22.5 million.We call it GTM Superintelligencea reasoning-driven approach that doesnt just automate or assist, but actively makes the best possible decisions to drive growth, Activelys CEO (and other co-founder) Mihir Garimella said in a statement.The startup says it uses a combination of in-house models and popular reasoning models from OpenAI and Anthropic to power its tech. Both founders previously studied AI at Stanford, with Garimella focusing on a field closely related to reasoning called active learning, giving Actively its name.Activelys fundraise is the latest evidence that the boom in reasoning models could be spreading beyond foundational AI companies like OpenAI or DeepSeek to startups.Just last week, for example, a YC-backed startup raised $5 million claiming it had built a reasoning engine for slashing paperwork in healthcare. That startup, Taxo, said it had passed $1 million ARR in six months. (Actively declined to share its exact ARR, but said it has grown tenfold in 9 months.)Its still a bit early to tell whether Activelys reasoning-powered approach will work as advertised, or if this will become just a new spin on AI sales tools. After all, reasoning only really took off late last year with the rise of DeepSeek. For now, though, some investors are certainly buying the pitch.

Despite being the most abundant element in the universe, making cheap, clean hydrogen here on Earth has been a surprisingly tough nut to crack.Hydrogen has always been plagued with a couple problems, One is, how do you make it efficiently? Another one is, how do you distribute it efficiently? Siva Yellamraju, co-founder and CEO of Fourier, told TechCrunch.Most recent hydrogen startups have been focused on making modular electrolyzers, allowing them to be mass produced and squeezed into shipping containers. Yellamrajus company has taken that trendy tactic to the extreme. Fourier is targeting something no bigger than two standard server racks standing side-by-side.Investors have taken note, with General Catalyst and Paramark Ventures leading an $18.5 million Series A round, the company exclusively told TechCrunch. Other participating investors include Airbus Ventures, Borusan Ventures, GSBackers, MCJ Collective, and Positive Ventures.Fouriers server analogy extends inside the module, too. There, the company installs multiple small electrolyzers about20 in the current design that it calls blades. Each blade is fed water from a pump shared among them, and electricity comes from lightly modified power supplies borrowed from the data center world.We reprogram them, retrofit them to run electrolysis, Yellamraju said. It also allows us to use these components that are already sold in the billions.Within each hydrogen production module, software manages the blades to optimize their operation. Here, Yellamraju said the company was inspired by another bit of commoditized technology, the lithium-ion battery.If you look at companies like Tesla, they started with small cells, an array of them, so that allowed them to do off the shelf components, but push the complexity into a compute layer, he said.Teslas battery packs string together thousands of smaller batteries, all of which are overseen by a combination of hardware and software that is known as a battery management system. The BMS handles charging and discharging of each individual cell, and it will also watch for anything that suggests a battery is degrading, reducing its use or flagging it for repair.Fouriers system similarly monitors the performance of each electrolyzer blade, tweaking output and watching for signs of degradation. The goal, Yellamraju said, is to push the overall efficiency problem and production problem into a data optimization problem.The startup has operated two lab-scale pilots, which make about a kilogram of hydrogen per hour, with a pharmaceutical manufacturer and a solar energy company. Up next are two commercial-scale pilot plants, one at a petrochemical plant in Ohio and another at a company in Fremont, California, that makes airline parts. Both should be operating by June. Ultimately, Fourier is targeting customers that need six to 20 kilograms per hour, which would require around 300 kilowatts to 1 megawatt of electrolyzer capacity.Fouriers potential commercial customers, which include pharmaceutical, petrochemical, and ceramics manufacturers, pay around $13 to $14 per kilogram today. Yellamraju said that his company can deliver hydrogen for $6 to $7 per kilogram, not including any government incentives. With our margin, theyre still saving half the price of hydrogen, he said.

TikTok is shutting down its Instagram competitor, TikTok Notes, on May 8. The photo-sharing app launched in testing in Canada, Australia, and Vietnam last year. The company is notifying TikTok Notes users of its decision to retire the app and is directing them to ByteDance-owned Lemon8, which isnt surprising given that the apps are quite similar and offer the same sort of functionality.Were excited to bring the feedback from TikTok Notes to Lemon8 as we continue building a dedicated space for our community to share and experience photo content, designed to complement and enhance the TikTok experience, a TikTok spokesperson said in a statement to TechCrunch.While TikTok didnt provide a specific reason for shutting down the app, its likely that the company didnt see much adoption for TikTok Notes and is deciding to instead push Lemon8, which had around 12.5 million global monthly active users as of December 2024. In a notice to TikTok Notes users, TikTok says the decision to shut down the app was not made lightly. The notice encourages users to download and save their TikTok Notes data and continue sharing your creativity on Lemon8. TikTok says that Lemon8 is a lifestyle app that offers a similar experience to TikTok Notes but with even more features.Lemon8 launched in Japan in 2020 and later expanded to markets across the U.S. and Southeast Asia. The app is similar to Instagram and Pinterest, as it lets users share slideshows and photo collections and browse content through Following and For You feeds. Lemon8 offers users access to creative tools, filters, effects, stickers, text templates, and more.While TikTok is pushing Lemon8 as an alternative to TikTok Notes, ByteDance has also tried to position the app as an alternative to TikTok itself in the face of a potential U.S. ban. Last November, the company made it possible for users to directly access Lemon8 with their TikTok accounts and rolled out the ability for users to cross-share photo content between the apps. The move was seen as a way for ByteDance to move creators onto the new platform without having to get them to sign up for it separately in case TikTok were to go away.Fast-forward to today, and TikTok continues to promote Lemon8 in its app as it faces a new ban deadline of April 5.

In BriefPosted:10:23 AM PDT April 1, 2025Image Credits:Paul Morigi/Haddad Media / Getty ImagesMetas head of AI research plans to leave the companyMetas VP of AI research, Joelle Pineau, is planning to leave the company, she announced in a post on Facebook Tuesday. Pineau said shes leaving in May after more than two years overseeing FAIR, Metas internal AI research lab led by Yann LeCun.Pineaus exit comes as Meta ramps up its AI efforts, with the company planning to spend $65 billion on AI infrastructure in 2025.In a statement to Bloomberg News, a Meta spokesperson said the company does not have an immediate replacement for Pineau but is conducting a search for her successor. Last year, Meta reportedly reorganized the company to have its AI research unit report to the companys chief product officer, Chris Cox.As for Pineau, the executive said shell take some time off before jumping into an unnamed new adventure.Topics

Sometimes, surprises are lurking in everyday data.Take a category of consumers that Doug Rubins startup, Northwind Climate, calls climate doers. Theyre concerned about climate change and tend to prioritize climate-friendly purchases, the sort of identifiers who might be stereotypically associated with things like buying organic foods or prioritizing local businesses.Turns out that the climate doers category actually are the consumers who most frequent fast-food restaurants, Rubin told TechCrunch. Whats more, some 30% of climate doers are Republicans, he added.Northwind Climate evolved from Rubins work in the political world, where surveys are vital to understanding shifts in public sentiment and identifying likely voters. The startup has raised a $1.05 million pre-seed round, it exclusively told TechCrunch, with participation from angel investors, including Tom Steyer, former Massachusetts governor Deval Patrick, and Alexander Hoffmann of Susty Ventures.Rather than divide people into demographic buckets that might segment along political, generational, or regional lines, Northwind Climate analyzes survey responses for behavioral clues that can be used to classify consumers.In addition to climate doers, who comprise about 15% of all U.S. consumers, Northwind Climate has identified four other behavioral groups, ranging from climate distressed, or people who are slightly less concerned about climate change and arent as financially secure as the climate doers, to the climate deniers, who tend to be retirees who think the media is exaggerating the problem.But, Rubin adds, even in that [climate deniers] bucket, there are messages and ways that work with them.Northwind Climate has found five discrete segments that describe consumers views on climate change.Image Credits:Northwind ClimateTake some analysis Northwind did on electric vehicles. For climate doers and climate distressed, two categories of consumers who are most likely to buy an EV, the startup suggests that automakers frame the cars as matter of choice. Were providing choices for those who care about reducing pollution, saving money on gas, and helping address climate change, reads one of Northwinds suggested pitches.But for climate doubters and deniers, who are less likely to buy one, the focus of the pitch shifts from choice to freedom: Americans should have the freedom to drive what they want. We want to make electric vehicles clean, affordable, and practical for the millions of Americans who want one.The startup has built a database that consists of 20,000 survey respondents across eight surveys, and Rubin says its growing by 2,500 respondents per month. Every three months, Northwind also runs an industry-specific survey to capture deeper insights for different customers.Companies that subscribe to the service, which costs $10,000 per quarter or $40,000 per year for a typical customer, can add up to four of their own questions every quarter, which Rubin said is less than what theyd shell out for one annual survey.Within the platform, customers get access to the data Northwind has collected, questions it has asked, and some basic analyses like cross tabulations. The startup is building a chatbot to allow users to ask for more specific analyses using plain language queries.Concerned consumers might cast a wary eye on such a platform, worried that it might help companies greenwash their businesses. But Rubin isnt concerned, saying surveys have shown that consumers are pretty savvy. Our data shows there is a clear risk to brands and their reputations from making claims that are exaggerated or otherwise untrue, Rubin said.Rubin said that Northwind is also developing what he calls a virtual focus group. Its essentially an AI model, trained on survey responses, that can analyze a companys marketing materials like TV spots or social media ads and provide feedback, just like a human focus group would. The startup hopes to have it available in the next four to five months, Rubin said, though it will use new data to continually refine the model.Rubin is convinced that companies have been missing opportunities to connect with climate-conscious consumers. If you look at the data and where consumers are and its across the board, its not just Democrats or Independents they really want this, and they will reward companies who are willing to be smart about it, he said.

In BriefPosted:1:00 PM PDT April 1, 2025Image Credits:Getty ImagesAndreessen Horowitz is trying to nab a piece of TikTok with Oracle, report saysThe venture capital firm is reportedly in talks to invest in TikTok as part of a bid led by Oracle and other American investors looking to buy out TikTok from ByteDance, according to the Financial Times.TikTok is once again slated to be banned in the U.S. on April 5 unless its Chinese-based owner sells its U.S. branch to a non-Chinese owner. The Oracle deal is said to be one of the frontrunners, according to the FT.Andreessen Horowitz has a long history of investing in social media: It was an early investor in Facebook and Instagram and invested $400 million to help Elon Musk acquire Twitter. The firm did not immediately respond to a request for comment.Topics