For two years, many unprofitable tech start-ups have cut costs, sold themselves or gone out of business. But the ones focused on artificial intelligence have been thriving. <\/p>\n
Now the A.I. boom that started in late 2022 has become the strongest counterpoint to the broader start-up downturn. <\/p>\n
Investors poured $27.1 billion into A.I. start-ups in the United States from April to June, accounting for nearly half of all U.S. start-up funding in that period, according to PitchBook, which tracks start-ups. In total, U.S. start-ups raised $56 billion, up 57 percent from a year earlier and the highest three-month haul in two years. <\/p>\n
A.I. companies are attracting huge rounds of funding reminiscent of 2021, when low interest rates and pandemic growth pushed investors to take risks on tech investments. <\/p>\n
In May, CoreWeave, a provider of cloud computing services for A.I. companies, raised $1.1 billion, followed by $7.5 billion in debt, valuing it at $19 billion. Scale AI, a provider of data for A.I. companies, raised $1 billion, valuing it at $13.8 billion. And xAI, founded by Elon Musk, raised $6 billion, valuing it at $24 billion. <\/p>\n
Such financing rounds have boosted the industrys overall deal-making by dollar amount and number of deals, said Kyle Stanford, a research analyst at PitchBook. <\/p>\n
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Investors Pour $27.1 Billion Into A.I. Start-Ups, Defying a Downturn - The New York Times<\/a><\/p>\n","protected":false},"excerpt":{"rendered":" For two years, many unprofitable tech start-ups have cut costs, sold themselves or gone out of business. But the ones focused on artificial intelligence have been thriving. Continue reading