Welcome to TechCrunch Exchange, the weekly newsletter for startups and markets. It was inspired by a daily TechCrunch+ column, from which it gets its name. Want to be in your inbox every Saturday? Sign up here.
Generative AI is not Just about creative effort and parlor skills. Investors and big tech companies are betting it will also affect corporate infrastructure and cybersecurity, and they’re putting their money where their mouths are. — anna
Development tools plus generative AI
Y Combinator Demo Days are a strong indicator of trends that might be of interest to investors — and it’s one of the main reasons TechCrunch keeps tabs on them. The accelerator said that in its Winter 2023 batch, three areas stood out: “open source, development tools and artificial intelligence“
This crop of developer tools startups has seen particularly strong interest from investors, with four of them raising additional funding in the weeks following Demo Day, Insider ReportOn the other hand, AI-related startups are very popular with founders, accounting for 34% of the winter cohort.
While these fields can be looked at separately, I’m more interested in how they overlap, so I call Israel VC Rhona Segeff See what she has to say — not only because Israel is positioning itself as a hotspot for developing tools, but also because almost half of her portfolio involves artificial intelligence in some form.
Segev, co-founder and managing partner of venture capital firm TLV Partners, believes generative AI could bring innovative ways for companies to explore and manage their infrastructure.