Stripe's biggest acquisition yet, and what's a16z doing with all of those Nvidia GPUs?
Oct 25, 2024
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Stripe makes waves with its $1.1 billion acquisition of the stablecoin platform Bridge, intensifying its crypto strategy. A former SpaceX team's startup innovates in 3D metal printing, leveraging AI for real-time enhancements. Meanwhile, Andreessen Horowitz gears up to equip portfolio companies with NVIDIA GPUs, reshaping AI funding dynamics. The team also delves into the environmental impact of tech, particularly e-waste, all while gearing up for the competitive Startup Battlefield 2024.
Stripe's $1.1 billion acquisition of stablecoin platform Bridge highlights its commitment to expanding cryptocurrency offerings in the evolving financial landscape.
Andreessen Horowitz’s new Oxygen program provides portfolio companies with access to NVIDIA GPUs, facilitating the development of AI-driven technologies.
Deep dives
Stripe's Strategic Acquisition of Bridge
Stripe's acquisition of Bridge for $1.1 billion signifies a bold investment in the cryptocurrency sector, specifically in stablecoins, which are digital assets pegged to fiat currencies. Bridge’s technology facilitates the acceptance of such transactions, indicating Stripe's commitment to expanding its services in the evolving landscape of finance. This acquisition is particularly noteworthy given that Bridge had previously raised only $58 million, suggesting a significant return for its investors. CEO Patrick Collison's assertion that stablecoins could act as 'room temperature superconductors of finance' underscores Stripe's ambition to leverage this technology for future growth.
Emergence of AI Fintech Startups
The podcast discusses the formation of One Zero, an AI-focused fintech startup founded by Dr. Amnon Shashua, known for his previous success with Mobileye. One Zero aims to create an entirely automated banking experience, eliminating the need for physical branches and human representatives in banking. Although such a radical shift may raise concerns among potential customers, it reflects a broader trend toward digitalization in financial services. Additionally, the startup is currently in the process of raising $100 million, highlighting both the interest and skepticism surrounding its ambitious vision.
Innovations in Metal 3D Printing by Freeform
Freeform, a startup founded by former SpaceX engineers, has raised $40 million to develop a cutting-edge metal 3D printing technology that utilizes AI for real-time process adjustments. The founders' experience with the challenges of traditional metal 3D printing, such as high costs and slow speeds, motivated them to innovate a solution that significantly enhances efficiency. By integrating a machine learning model, Freeform can adapt to the complexities of molten metal in real time, achieving higher precision. The potential applications of their technology extend across various industries, including aerospace and automotive, positioning Freeform as a key player in the future of manufacturing.
Andreessen Horowitz's Innovative GPU Program
Andreessen Horowitz has launched a program named Oxygen, allowing its portfolio companies access to NVIDIA GPUs at competitive rates, thereby supporting the AI development space. This strategic move reflects the increasing demand for computational resources as more startups aim to develop AI-driven technologies. While this is not the first instance of VCs offering resources to startups, it represents a significant step in providing necessary infrastructure. The approach not only aids in making technology more accessible to emerging businesses but also positions Andreessen Horowitz as a facilitator in the rapidly growing AI landscape.
It’s no secret that Stripe has doubled down on its crypto offerings, enabling crypto purchases in the EU back in July and announcing a Pay with Crypto feature earlier this month. This week, the fintech giant made its dedication to crypto even clearer with its largest deal to date: its acquisition of stablecoin platform Bridge for an eye-popping $1.1 billion. Today on TechCrunch’s Equity podcast, hosts Kirsten Korosec, Anthony Ha and Devin Coldewey kicked off the show with their thoughts on the deal – mainly how surprising it is to see anyone spending over $1 billion on crypto in 2024.
But of course, there was so much more startup and venture news for the crew to get into this week. Listen to the full episode for more about:
Equity will be live at Disrupt on Tuesday, so we'll see you there!
Equity is TechCrunch’s flagship podcast, produced by Theresa Loconsolo, and posts every Wednesday and Friday.
Subscribe to us on Apple Podcasts, Overcast, Spotify and all the casts. You also can follow Equity on X and Threads, at @EquityPod. For the full episode transcript, for those who prefer reading over listening, check out our full archive of episodes over at Simplecast.
Credits: Equity is produced by Theresa Loconsolo with editing by Kell. Bryce Durbin is our Illustrator. We'd also like to thank the audience development team and Henry Pickavet, who manages TechCrunch audio products.
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