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Investing in Edtech: The Time Is Now

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We haven’t heard much from the edtech sector ever since the pandemic forced students out of the classrooms and in front of their computers. But, as Anna Heim writes in the intro of our most recent survey of edtech investors, “we found that with AI in the picture, edtech startups have been as quietly busy as a subterranean network of moles in fall.”Full TechCrunch+ articles are only available to members. Just tacking AI onto a product isn’t enough, and investors are hoping that the technology will lead to more innovation in the space. Check out Anna’s story on the future of edtech in emerging markets as well as the opportunities that AI can bring. “There are ways companies can better understand their customers’ pain points to develop the right products that solve the right problems at the right time.”Get the TechCrunch+ Roundup newsletter in your inbox!

“Building a Successful and Lucrative AI Startup: Strategies for Success”

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After a year of people throwing money at AI companies, investors are now looking for startups that are more solid and viable. That could prove daunting for AI founders: AI is expensive to build and maintain. SymphonyAI CEO Sanjay Dhawan offers some tips on how to build a strong foundation for a profitable AI startup. KaryneGenerative AI isn’t a home run in the enterpriseAh, we’ve found the one place that’s slowing down when it comes to generative AI: the enterprise. According to a Boston Consulting Group survey of 1,400 executives, almost 70% said they’re ambivalent or dissatisfied with the progress their orgs have been making on generative AI.

Investors predict a rise in company sell-offs in 2024

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It’s been a rough few years for startups looking to exit, but companies, especially late-stage startups, can’t stay private forever. When the exit market didn’t open back up in 2023, as many hoped after a very quiet 2022, investors and founders alike decided that 2024 was the year that the exit market would defrost. The vast majority of investors responded that they think exit volume will be higher in 2024 than in 2023 and 2022, but there wasn’t consensus on what those exits would look like. Some investors are more optimistic about M&A in 2024, while others think we will see a rebound in the IPO market. While most respondents answered this survey before the Adobe-Figma deal dissolved, many VCs acknowledged that startups looking to pursue that route this year will have to be conscious of the current regulatory environment anyway.

Earnings Report “Top Priority: Snap’s Q4 Earnings Report Must Deliver for X”

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What X needs most now is for Snap to post a solid Q4Not a day goes by without some drama involving Twitter X. According to a recent report by Bloomberg, X’s ad revenue is expected to fall to $2.5 billion in 2023, and X is disputing the news, calling it incomplete. Still, the report’s numbers line up neatly with what X’s owner said earlier this summer. We’ll also revisit our previous look at Snap, another social network that is close-ish to X in scale and worth, to compare the two companies. The question today is whether or not X’s revenues and valuation square up, so let’s dive in!