The Lobster Talks Podcast by Lobster Capital YC Spring 25 : Is This the Best Batch Ever? X25 Demo Day Highlights
Jun 17, 2025
Chaos reigned at the latest Demo Day, showcasing an exclusive cohort with a jaw-dropping 0.8% acceptance rate. The spotlight was on the burgeoning influence of AI within startups and the fierce competition among investors scrambling for a slice of YC. Discussions unveiled strategies for navigating oversubscribed funding rounds and emphasized the importance of solid revenue metrics. With high valuations soaring, the potential for unicorns abounds, raising questions about what truly separates a remarkable startup from the rest.
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Demo Day's Space Challenges & FOMO
- The YC Spring 25 Demo Day was held back in the YC office with limited space causing queues and people being turned away early on.
- This unusual situation created strong FOMO and emphasized the importance of in-person networking over just watching pitches.
YC Spring 25's Record Quality
- YC Spring 25 had a record 0.8% acceptance rate with 137 companies presenting and 90 focused on AI.
- The quality is so high some believe the unicorn rate could be as much as 13-14%, double the usual estimate.
YC's AI Wins Include OpenAI
- Contrary to social media claims, YC has significant AI successes including Scale.ai's $15B exit to Meta and OpenAI’s origins at YC.
- OpenAI represents YC’s biggest AI success story, reinforcing YC’s strong position in AI innovation.