AI Startups: A Metaverse Firm Snags $3 Billion as Anthropic Rises

Remember the metaverse? The popularity of artificial intelligence (AI) has put some vigor back into virtual reality/extended reality (VR/XR) virtual worlds.

Take Florida-based Infinite Reality, which is an XR company that lets users create 3D websites in the metaverse. Users can develop these virtual worlds for eCommerce and other uses while tracking business metrics and other data.

The startup raised $3 billion in its latest funding round, according to a Wednesday (Jan. 8) news release, in which the type of round was not disclosed.

The lead investor is an unidentified private investor whose portfolio focuses on global technology and real estate investments. But prior investors included RSE Ventures, Exor, Liberty, CAA, Lux Capital, Sky Sports, MGM, Courtside VC, WWE, T-Mobile Ventures, Lerer Hippeau and Hearst.

Infinite Reality will use the funds raised to build on its 2024 initiatives, including acquisitions, partnerships and product launches. It also plans to further develop its no-code immersive SaaS (software-as-a-service) product, iR Studio, which gives companies, creators and developers the tools to build and deploy immersive 3D websites.

Meanwhile, San Francisco-based Anthropic continues to make waves. As an AI foundation model development startup founded by former OpenAI engineers, it is best known for its family of language models called Claude. What makes Anthropic stand out is its focus on constitutional AI, which seeks to align AI systems with human values.

Anthropic is in talks to raise $2 billion. Following this round, the startup would be valued at $60 billion, compared to $16 billion a year ago. The lead investor is Lightspeed Venture Partners. Amazon, Google, Salesforce, Menlo Ventures and other firms are existing investors.

Healthcare and Cybersecurity Attract Investments

In healthcare, California-based Qventus said on Monday (Jan. 13) that it had raised $105 million in a Series D round. The startup provides care automation software for health systems that reduces the administrative burden, identifies potential issues, recommends remedies and automates processes.

The lead investor is KKR, with existing investors including Bessemer Venture Partners, Northwestern Medicine, HonorHealth and Allina Health. Qventus plans to use the funds raised to support the development and expansion of first-to-market AI operational assistants into new care settings. These AI assistants work with care teams to identify potential issues, suggest interventions and take action on behalf of staff.

In cybersecurity, another hot area for AI, Tel Aviv-based Astrix Security last month raised $45 million in a Series B round. The startup provides cybersecurity services to vet both human and non-human identities (NHIs), including AI agents that will be increasingly used to automate tasks for human workers. To do their tasks, these NHIs will be accessing data, accounts and other proprietary programs.

Menlo Ventures led the funding round, alongside Workday Ventures, Bessemer Venture Partners, CRV, and F2 Venture Capital. Astrix said it would use the funds raised to continue to secure enterprises’ biggest identity blind spot with an infrastructure that ensures trusted access to critical systems

Boston-based Labviva has raised $25 million in a Series B round, according to a Monday news release. The startup provides an AI procurement platform for the life sciences industry. It uses AI to transform purchasing and inventory management to drive efficiencies across multi-location research organizations by connecting suppliers, purchasing departments and scientists.

The lead investor is 53 Stations, with other investors comprising Biospring Partners, B Capital Group and Glasswing Ventures. Labviva said it will use the funds to accelerate new product development, bolster marketing and customer support, and expand internationally.

Andreesen Horowitz, Eli Lilly Partner on Investments

Andreesen Horowitz said Tuesday (Jan. 14) that it is forming a $500 million venture fund with pharmaceutical giant Eli Lilly. The Biotech Ecosystem Venture Fund seeks to invest in therapeutic platforms and companies that can develop new medicines and treatments for disease.

The fund will invest in companies at all stages, from seed to growth. It will focus on advancing the development of new medicines, enabling novel modality platforms and scaling emerging health technologies.

Unlike traditional venture capital funding, the BioTech fund will take a long-term view to give companies room to innovate in biological science, engineering technologies and AI capabilities. Eli Lilly will fund the entire $500 million and provide access to pre-clinical and clinical drug development staff and resources.