Startups are facing a critical decision on partnering versus going solo. Key developments include partnerships in autonomous trucking and space, acquisitions in maintenance software, and significant funding rounds across sectors. The cautionary tale of Bench’s bankruptcy reminds of the risks involved, while numerous companies prepare for IPOs and fresh funds emerge in the startup ecosystem.
Startups are grappling with a persistent dilemma: to partner or not. This week, the narrative unfolded with contrasting approaches. Volvo’s partnership with Waabi aims at launching autonomous trucks in Texas, while OurSky has merged with PlaneWave to pioneer next-gen telescopes. However, some, like Figure AI, opted for independence, exiting their deals to focus on in-house AI developments rather than collaboration. Google’s X has also launched Heritable Agriculture, enhancing crop yields using AI.
In a significant acquisition move, XOi has taken over competitor Specifx, backed by a hefty $230 million funding round. Meanwhile, the cautionary tale of Bench, a failed Canadian startup that squandered $135 million before bankruptcy, serves as a stark reminder of the risks in the startup world. TechCrunch has compiled a list of tech companies poised for IPOs this year, including space defense firms Karman and Voyager Technologies, while Deel is showing promising signs of a near future IPO.
Funding news this week has also been vibrant, with Canadian adtech startup StackAdapt securing $235 million from Teachers’ Venture Growth. India’s federal budget for 2025-26 introduced a $1.15 billion fund of funds aimed at enhancing startup opportunities. In other news, Bhavish Aggarwal announced his $230 million investment into Indian AI startup Krutrim to foster local LLM developments.
The deep tech scene saw Munich’s Hitachi Ventures raise $400 million for Series A investments, whereas Berry Street and Fay, both startups connecting dietitians with patients, capitalized on the surge of GLP-1 drugs, each raising $50 million. French startup Riot has amplified its mission against cybersecurity threats with a $30 million Series B round, giving it a post-money valuation beyond $170 million. Germany’s Cherry Ventures has also announced a new $500 million fund for early-stage investments, while Paris-based Emblem secured $85 million for its inaugural fund.
Lastly, European AI startups collectively amassed a staggering $8 billion in 2024, reflecting a thriving ecosystem and suggesting a trend towards increased funding as they grow.
The startup landscape remains dynamic, characterized by strategic partnerships and bold moves towards independence. Major funding rounds and acquisitions are shaping the industry, with sharp lessons from failures guiding future endeavors. Anticipation mounts for several IPOs and emerging funds hinting at an optimistic growth trajectory in various sectors, particularly AI and deep tech. The rich tapestry of innovation continues to unfold amid a bustling venture capital market.
Original Source: techcrunch.com
