Neurophos Raises $110M as Capital One Acquires Brex for $5.15B
Capital One snags Brex for $5.15 billion, Neurophos secures $110 million for optical AI chips, and Google’s AI mode ramps up personalization.
EDITION #103, Jan 22
Capital One snags Brex for $5.15 billion, Neurophos secures $110 million for optical AI chips, and Google’s AI mode ramps up personalization.
Image credit: TechCrunch
Deal Highlights: Capital One Acquires Brex & Neurophos Raises $110M
Capital One has agreed to acquire Brex for $5.15 billion, a steep discount from its peak valuation of $12.3 billion. This deal, structured as 50% cash and 50% stock, positions Capital One to leverage Brex's technology in banking and spend management for startups and established firms alike.
Neurophos, a photonics startup from Duke University, raised $110 million to develop advanced optical processors aimed at AI inferencing. This funding, led by Gates Frontier, will accelerate the creation of their metasurface modulator-based tensor core, promising significant efficiency improvements over traditional silicon chips.
- Capital One's acquisition of Brex allows it to enhance its fintech capabilities.
- Brex co-founders Pedro Franceschi and Henrique Dubugras will continue to lead post-acquisition.
- Neurophos's funding will support the development of optical processing units for AI applications.
- The optical processors aim to be 10,000 times smaller than traditional transistors.
Neurophos Optical AI Chip
OPTICAL AI BREAKTHROUGH
Neurophos Secures $110M for Optical AI Chips
Neurophos, a photonics startup from Duke University, has raised $110 million in a Series A funding round led by Gates Frontier, with support from Microsoft M12. The company is innovating optical processing units that promise to outperform traditional silicon GPUs by executing matrix-vector multiplications with enhanced speed and energy efficiency.
Neurophos's approach utilizes a metasurface modulator, making its chips approximately 10,000 times smaller than conventional optical transistors, which could revolutionize AI inference workloads in data centers.
Source: Reuters
BIG DEAL ALERT
Capital One Acquires Brex for $5.15 Billion
Capital One has officially announced its acquisition of fintech company Brex for $5.15 billion in a cash-and-stock deal, expected to close by mid-2026. This strategic move aims to enhance Capital One's corporate credit offerings and expand its reach in the fintech space.
The acquisition allows Capital One to leverage Brex's technology and international presence, which spans over 120 countries. Brex, once valued at $12.3 billion, will see its founder, Pedro Franceschi, remain as CEO, driving integration with Capital One's extensive banking services.
Image Source: TechCrunch
VALUATION MILESTONE
LiveKit Hits $1 Billion Valuation
LiveKit, a startup specializing in real-time voice and video infrastructure, has reached a $1 billion valuation following a $100 million funding round led by Index Ventures. This investment is pivotal as it supports LiveKit's growth, particularly as its technology underpins OpenAI's ChatGPT voice mode.
Founded in 2021 by Russ d’Sa and David Zhao, LiveKit transitioned from an open-source project to a cloud service provider. Its clientele includes notable companies like OpenAI, Tesla, and Salesforce, showcasing its significant role in the evolving landscape of voice AI.
Image Source: TechCrunch
PERSONALIZED AI POWER
Google's AI Mode Enhances Personalization
Google is rolling out a new feature called Personal Intelligence in its AI Mode, allowing deeper personalization by tapping into users' Gmail and Google Photos. This feature is available to AI Pro and AI Ultra subscribers in the U.S. and can suggest tailored recommendations like weekend getaway ideas based on past trips or favorite restaurants inferred from photos. Users can opt in or out at any time, ensuring control over their data.
Powered by the Gemini 3 AI, this enhancement aims to connect various Google services for a more context-aware experience. However, Google cautions that while it strives for accuracy, results may not always be perfect and encourages user feedback to refine suggestions.
Illustration by: The Verge
TECH TONGUE-IN-CHEEK
Nominative Determinism in Tech
The Verge humorously explores nominative determinism with Doug Bowser's transition from Nintendo to Hasbro, suggesting he might "level up" his new role using iconic Nintendo elements like Magic and D&D. This playful commentary highlights the quirks of tech leadership and branding.
Expect a light-hearted take on how names can whimsically align with career paths, alongside anecdotes about other tech personalities. If you're looking for a chuckle amidst the serious tech landscape, this piece delivers a refreshing dose of humor.
