A proposed AI 'kill switch' and why it's rough out there for VCs | Equity Podcast

25 May 2024 (7 months ago)

Techstars CEO Departure and Succession

Farcaster, a crypto-based social network with 80,000 daily active users, has raised $150 million in a funding round led by Paradigm, a16z crypto, and Han Ventures.
This significant investment comes amid a decline in crypto venture funding, raising speculation about a potential recovery in the crypto market.
Farcaster's hybrid approach stores user identities on the blockchain while keeping data like posts and reactions off-chain.

Maven, a social media platform, aims to eliminate engagement-chasing metrics like likes and followers, promoting serendipitous exploration based on user interests.
Majority, an immigrant banking platform, has secured $20 million in funding despite competition in the immigrant banking space. It offers banking services to migrants in the US without requiring a social security number or US documentation.

Copper, a team-focused digital bank, has discontinued its banking and debit products due to the implosion of Synapse, a banking-as-a-service startup.
Copper will remain operational, focusing on its earned product and white-labeling its banking products to larger established banks.

Tech giants, including Microsoft, Amazon, OpenAI, and others, have pledged to ensure the safe development of AI models, considering the implementation of a kill switch.
Companies worldwide are committed to creating an "AI kill switch" to mitigate risks like automated cyberattacks and bioweapons.
Skepticism exists about the effectiveness of a kill switch, especially if the AI becomes self-aware and powerful enough to defend itself.
The Meta AI advisory council, consisting solely of white men, has drawn criticism for its lack of diversity.
Scarlett Johansson expressed anger over OpenAI's Sky voice sounding like her, despite her previously declining permission for its use.
OpenAI's history of using scraped data without consent raises ethical concerns.

There has been a surge in emerging venture capital funds, with 45% managed by first-time fund managers.
Many emerging fund managers face challenges in fundraising due to administrative and financial responsibilities.
Some emerging fund managers specialize in specific industries to differentiate themselves and attract investors.
Andreessen Horowitz's American Dynamism Fund has launched a fellowship program to bring more engineers and technologists into venture funding, aiming to improve investment decisions.
VCs should possess expertise in the subject matter they invest in, similar to founders and founding teams.
The difference between knowledgeable VCs and those with a general funding perspective becomes evident when reporters seek advice or information.

The current Venture Capital fundraising environment is challenging, even for established investors like Peter Thiel's Valar Ventures, which raised a smaller fund this year compared to previous ones.

Equity, the podcast, will be back on Tuesday next week due to a holiday weekend in the US.
Listeners can find Equity on X and threads under the handle Equity pod.
The sister show Found dives deep into the stories behind startups with the founders who built them.