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The AI startup market is straggle , from companies seem to build up unexampled chips , to those using AI to progress robots , to others look to use AI to create niche solutions for industry - specific workflows . There are a wad of potential region for venture capitalists to gift in , but there are clear a few subsectors they are more frantic about than others .
TechCrunch recentlysurveyed20 VCs who invest in startups appear to sell to enterprises about their foretelling for 2025 .
Mark Rostick , a frailty president and fourth-year managing manager at Intel Capital , tell apart TechCrunch that now that the large foundational role model have been make — at least in his legal opinion — the next interesting area to invest in is AI solution for specific tasks .
“ I find modelling that excel at specific affair particularly challenging , especially when combined with agents build up on top of them , ” Rostick said . “ As AI adoption accelerates , app - focused ship’s company will take center stage , as CEOs progressively search ways to leverage AI in specific sphere that deliver touchable , transformative impingement . ”
This was echoed by Mike Hayes , a managing director at Insight Partners . He added that he ’ll be seem to back companies building product that use AI to reduce business friction .
“ I look for solutions that solve unequalled , orthogonal challenges for enterprises — area where traditional solutions have fallen myopic , ” Hayes said . “ This include vertical and persona - specific workflows reimagined with GenAI or agentic automation and security innovations that do not only identify and awake , but also remediate . ”
VCs concerned in going after company that place specific go-ahead usance cases will have to ensure these startup solutions are in fact companies , as opposed to just features . Otherwise , we could see a repetition of the SaaS gravy in 2021 , when a caboodle of companies that were really just one - banknote lineament raised gobs of speculation capital letter beforebeing left behindin favor of companies that pop the question platform solution when initiative budgets contracted in 2023 .
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There are of course task that are important enough to warrant a exclusive - feature article solution . For SaaS , we overwhelmingly heard that enterprises would still pay for company offering specific cybersecurity solvent . For AI , what point solution enterprises will be willing to pay for is n’t light yet . Ed Sim , the founder and general partner at Boldstart Ventures , acknowledge this challenge .
“ The trick is skate to where the puck will be and also intend through is this a feature , or a Cartesian product , or a business , ” Sim said .
Another area VCs are excited about is reliability and resilience . Jason Mendel , an investor at Battery Ventures , say that he ’s search to invest in companies in the observability and dependableness space . Liran Grinberg , the co - founder and managing partner at Team8 , also has his sights set on what he calls “ go-ahead resilience . ”
“ The Crowdstrike software update incident certify how fragile our digital world is , not only due to cyber attackers but also just mistakes , ” Grinberg said . “ We need more lively , anti - fragile digital infrastructure by excogitation . ”
AI infrastructure will also remain a raging area of investment in 2025 . VCs cited that with the advancements regarding AI agents , they are looking into the infrastructure needed for enterprisingness to dramatize the tech in addition to companies that can help oneself figure out pricing for AI agents too .
“ It ’s still very other innings here , and I consider that momentum for AI infrastructure will keep on into 2025 , particularly as agentic frameworks proliferate , novel model paradigm ( let in logical thinking ) prepare , bound AI advances , and UI / UX of AI app evolve ( including computer utilisation ) , ” Janelle Teng , a vice Chief Executive at Bessemer Venture Partners , said .
