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Learn what VCs want to see from founders at TechCrunch Sessions: AI
At TechCrunch Sessions: AI on June 5, 2025, VCs Zeya Yang, Jill Chase, and Kanu Gulati will discuss what they seek in AI startups. AI funding surged 62% to $110 billion in 2024, but investors now prioritize startups providing real-world applications and profitability over simply adopting the 'AI' label.
Key points
- AI investments increased by 62% to $110 billion in 2024, while overall startup funding declined by 12%.
- Investors increasingly focus on real-world applications and profitability rather than just the AI label.
- The event will feature VCs Zeya Yang, Jill Chase, and Kanu Gulati, who will share insights on investment criteria across different funding stages.
- Yang has a successful track record with companies like Grammarly and Figma, emphasizing product-market fit.
- Chase focuses on emerging AI and machine learning cases, while Gulati has experience with AI leaders and significant research background.
Why it matters
- AI funding trends indicate a shift in investor preferences towards sustainability and practical applications, reflecting broader economic pressures.
- The event occurs amidst a backdrop of increasing scrutiny on tech investments, particularly in identifying viable use cases for AI technologies.
- The growth of AI-related funding parallels historical tech booms, such as the internet and mobile revolutions, where market corrections followed initial exuberance.
The TechCrunch Sessions: AI provides valuable insights into current VC expectations, emphasizing sustainable innovation in a rapidly evolving investment landscape.