April 15, 2025

news   Read News
AI Industry Booms with Record Sales and Funding

The artificial intelligence (AI) industry is experiencing rapid growth, with AI startups seeing significant increases in sales and funding. Companies like Cursor, Perplexity, and Synthesia are driving the uptake of AI technology, generating tens of millions of dollars in revenue. Investors are betting on AI app companies to deliver productivity gains to customers without requiring them to invest in building large language models (LLMs). Meanwhile, former Democratic Party leader Lee Jae-myung has pledged to invest up to 100 trillion won in AI if elected president, aiming to make South Korea one of the top three AI powerhouses in the world. Additionally, Microsoft is enhancing its security controls with AI, and advanced AI is revolutionizing sales enablement in the pharmaceutical industry. Researchers have also developed an AI model that can predict the early recurrence of hepatocellular carcinoma, and George Mason University has launched Virginia's first public master's program in AI. However, challenges persist, including the potential for AI code-generating models to produce fictitious package names and concerns over the export of AI chips to certain countries.

AI Startups See Rapid Growth in Sales and Funding

AI startups that build applications on top of large language models are growing fast and attracting investor interest. Companies like Cursor, Perplexity, Synthesia, and ElevenLabs are driving the uptake of AI technology. These startups are generating tens of millions of dollars in revenue and have benefited from competition in the LLM market. Investors are betting that AI app companies will deliver productivity gains to customers without having to invest in building LLMs. However, some investors are concerned that these companies face challenges, including their first annual renewal cycle with customers and the possibility that larger companies could offer similar applications.

AI App Startups Make Rapid Gains in Sales and Funding

AI app startups are making rapid gains in sales and funding, with some reaching $200 million in annual recurring revenue in less than two years. These startups are benefiting from soaring user numbers and competition among LLMs that is driving down the cost of using AI. Investors are hoping that AI app companies will deliver productivity gains to customers without having to invest in building LLMs. The category of AI startups includes companies like Perplexity, Synthesia, and coding app startups like Reflection AI and Codeium. However, some investors believe these companies face challenges, including their first annual renewal cycle with customers and the possibility that larger companies could offer similar applications.

Ex-DP Leader Lee Pledges 100 Trillion Won Investment in AI

Former Democratic Party leader Lee Jae-myung has pledged to invest up to 100 trillion won in artificial intelligence if he is elected president. Lee believes that AI will reshape the global economy and has vowed to make South Korea one of the top three AI powerhouses in the world. He plans to increase the AI budget to levels that exceed those of developed countries and ensure that companies are free from unnecessary regulations. Lee also wants to expand the number of 'AI special zones' and provide every citizen with free access to AI services.

Microsoft Enhances Security Controls with AI

Microsoft is adding AI functionality to its Purview, Entra, and cloud services to enhance security controls. The company is using AI to analyze data at scale and launch investigations quickly. Microsoft's Purview Data Security Investigations is now in public preview and provides the ability to visualize correlations between impacted users and their activities. The company is also delivering new capabilities in access management and Purview to prevent high-risk access scenarios and data leaks. Microsoft's Entra provides a web filter for admins to create AI apps access policies based on a user's identity type and role.

AI Code Tools Often Hallucinate Packages

A new study has found that AI code-generating large language models often produce completely fictitious package names in response to certain prompts. The study analyzed 16 widely used code-generating LLMs and found that 21.7% of the package names recommended by open-source AI models were hallucinations. The problem is more limited in scope for commercial AI models, with 5.2% of the package names being hallucinations. The study's findings suggest that package hallucinations can be a persistent threat to developers who use AI-assisted code generation.

Advanced AI Revolutionizes Sales Enablement in Pharma

Advanced AI is revolutionizing sales enablement in the pharmaceutical industry by addressing training gaps and performance challenges. AI can help bridge the sales-marketing divide, accelerate ramp-up times, and provide managers with data-driven insights. Used correctly, AI can improve sales enablement and help pharmaceutical companies to better inform their sales strategies.

GMU Launches Virginia's First Public Master's Program in AI

George Mason University is launching Virginia's first public master's program in artificial intelligence. The program will equip students with a rigorous, interdisciplinary curriculum blending foundational theory with real-world applications. The degree will include courses in machine learning foundations and practice, planning and decision-making for intelligent agents, and deep learning fundamentals. The program is led by Amarda Shehu, the university's inaugural vice president and chief AI officer.

AI Model Predicts Early Recurrence of Hepatocellular Carcinoma

Researchers have developed an artificial intelligence model that can predict the early recurrence of hepatocellular carcinoma. The model uses deep learning to analyze longitudinal magnetic resonance imaging data and has demonstrated a high level of performance in predicting early recurrence. The study found that the model's performance was higher than that of a clinical model in an external testing cohort. The researchers believe that the model could help healthcare professionals identify patients who are most at risk of early recurrence and improve surveillance and treatment strategies.

GOP Senators Urge Withdrawal of Rule Limiting Global Access to AI Chips

Seven Republican U.S. senators have sent a letter to U.S. Commerce Secretary Howard Lutnick, urging him to withdraw a rule that would limit global access to AI chips. The rule, which is set to take effect on May 15, would restrict the export of AI chips to certain countries. The senators argue that the rule would damage U.S. leadership in artificial intelligence and harm American companies. They are calling for an alternative that would prevent Communist China from capturing the world market in leading technology without compromising American advantages.

AI Sales Platform Actively AI Takes 11K SF at 30 West 21st Street

Actively AI, an artificial intelligence-based sales platform, has signed a five-year lease for 10,722 square feet at 30 West 21st Street in the Flatiron District. The company will move from its current office at 184 Fifth Avenue and will join other tenants in the building, including advertising agency Vivaldi and software company Reaktor. Actively AI has raised $22.5 million in funding since its founding in 2022 and is backed by Bain Capital Ventures.

Key Takeaways

  • AI startups are experiencing rapid growth in sales and funding, with some reaching $200 million in annual recurring revenue in less than two years.
  • Investors are betting on AI app companies to deliver productivity gains to customers without requiring them to invest in building large language models (LLMs).
  • Former Democratic Party leader Lee Jae-myung has pledged to invest up to 100 trillion won in AI if elected president, aiming to make South Korea one of the top three AI powerhouses in the world.
  • Microsoft is enhancing its security controls with AI, including the use of AI to analyze data at scale and launch investigations quickly.
  • Advanced AI is revolutionizing sales enablement in the pharmaceutical industry by addressing training gaps and performance challenges.
  • Researchers have developed an AI model that can predict the early recurrence of hepatocellular carcinoma with a high level of performance.
  • George Mason University has launched Virginia's first public master's program in AI, equipping students with a rigorous, interdisciplinary curriculum.
  • AI code-generating models can produce fictitious package names, posing a threat to developers who use AI-assisted code generation.
  • Seven Republican U.S. senators have urged the withdrawal of a rule that would limit global access to AI chips, arguing it would damage U.S. leadership in AI and harm American companies.
  • Actively AI, an artificial intelligence-based sales platform, has signed a five-year lease for 10,722 square feet at 30 West 21st Street in the Flatiron District, joining other tenants in the building.

Sources

Artificial Intelligence AI Startups Large Language Models AI App Companies Productivity Gains Machine Learning