🕶️ Who’s winning AI? Not even Elad Gil knows

🎙 Catch the punchline hidden in this week’s headlines 🎙

At TechCrunch Disrupt 2025, investor Elad Gil described the AI boom as the most unpredictable technological surge he’s witnessed, noting how rapidly foundational model capabilities have advanced since GPT-2 and GPT-3. Having invested early in AI powerhouses like OpenAI, Mistral, and application startups such as Harvey, Perplexity, and Decagon, Gil said that while some markets—like large language models, AI coding tools, customer support, and medical transcription—are now dominated by a few leaders, many sectors remain wide open, including AI security, accounting, and fintech. He cautioned that rapid enterprise adoption can create misleading early signals of success, with only a few companies, such as legal AI firm Harvey, demonstrating lasting product-market fit and growth.

Startup deals are down—but round sizes are up. We break down the weird contradictions shaping venture capital in 2025: The rise of the “Solo Employee Unicorn” 🦄 , startups hitting $1B valuations in under two years , why VCs are betting bigger and faster, and what this means if you’re raising your first round.

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Chipmaker Nvidia just struck a €1B deal with Deutsche Telekom to build an “AI factory” in Munich, set to boost Germany’s AI computing power by about 50%. Think of it as an Autobahn for tokens—faster, local, and less congested. The Industrial AI Cloud is slated to go live in Q1 2026 with around 10,000 Blackwell GPUs, keeping data inside Germany and latency low.

Why it matters: It’s a sovereignty-friendly alternative to U.S. cloud giants, letting startups rent serious AI muscle without sending data abroad. But keep an eye on energy limits, GPU shortages, and pricing—in this race, whoever reserves early wins.