September 30, 2025

finance  
Nvidia, Alibaba $53B AI Investment, Paid Raises $21.6M

The AI economy is seeing significant investment and development across various sectors. Paid, an AI agent startup founded by Manny Medina, has secured $21.6 million in seed funding, bringing its total raised to $33.3 million. This funding will support Paid's 'results-based billing' system, designed to address the unique financial needs of AI agents, which differ from traditional software pricing models. Meanwhile, Alibaba is making a substantial commitment to AI infrastructure, planning to invest approximately $53 billion over three years, a move that has boosted its stock and garnered positive analyst attention, especially concerning its cloud services and partnership with Nvidia. Blackstone's President and COO, Jon Gray, identifies AI as the primary driver for future investments. In the hardware sector, AI demand is boosting hard drive makers Seagate and Western Digital, with analysts now viewing them as AI stocks due to the critical need for data storage. Broadcom is also recognized as an AI infrastructure bargain, providing essential components like networking chips and custom AI accelerators. However, the broader AI investment boom faces concerns regarding declining free cash flow among major cloud providers and the accumulation of debt during a potential economic downturn. Other AI-focused companies like Datavault AI saw a stock increase following an analyst upgrade, while SES AI and SoundHound AI experienced stock declines.

Key Takeaways

  • Paid, an AI agent startup, has raised $21.6 million in seed funding, bringing its total funding to $33.3 million, to build financial infrastructure for the AI agent economy.
  • Paid's 'results-based billing' system allows AI agent makers to charge customers based on value delivered, addressing limitations of traditional per-user software fees.
  • Alibaba plans to invest approximately $53 billion over three years in AI infrastructure, boosting its stock and cloud services.
  • Blackstone's President and COO Jon Gray views AI as the main driver for future investments.
  • Hard drive makers Seagate and Western Digital are experiencing stock surges due to AI-driven demand for data storage, with analysts now considering them AI stocks.
  • Broadcom is considered an AI infrastructure bargain, providing key components like networking chips and custom AI accelerators.
  • The global AI investment boom faces concerns about declining free cash flow from cloud providers and increasing debt.
  • Datavault AI stock rose following an analyst upgrade from 'sell' to 'hold'.
  • SES AI, focused on advanced lithium-metal batteries, saw its stock price fall.
  • SoundHound AI, specializing in voice AI technology, experienced a slight stock price decrease.

Latino Founder Raises $21M for AI Agent Payment Platform

Manny Medina, founder of the AI agent startup Paid, has raised $21.6 million in a seed funding round led by Lightspeed. This brings the company's total funding to $33.3 million. Paid offers a 'results-based billing' system, allowing AI agent makers to charge customers based on the value their agents provide. This approach is needed because traditional per-user software fees don't work for AI agents, which have usage costs from cloud and model providers. The company aims to build the financial infrastructure for the growing AI agent economy.

AI Startup Paid Secures $21.6M Seed Funding

Manny Medina's AI agent startup, Paid, has raised $21.6 million in a seed round led by Lightspeed, bringing its total funding to $33.3 million. Paid provides a 'results-based billing' system for AI agent makers, allowing them to charge clients based on the value delivered by their agents. This new model addresses the limitations of traditional per-user software fees, which are not suitable for AI agents that incur usage costs from cloud and model providers. The company's goal is to create the essential financial infrastructure for the expanding AI agent market.

AI Startup Paid Raises $21.6M Seed Round

Manny Medina's AI agent startup, Paid, has successfully closed an oversubscribed $21.6 million seed funding round led by Lightspeed. This funding brings the company's total raised to $33.3 million, including a prior pre-seed round. Paid offers a unique 'results-based billing' system, enabling AI agent creators to charge customers based on the value their agents deliver. This innovative approach is designed to overcome the challenges of traditional software pricing models, which are not suited for the usage-based costs associated with AI agents. Paid aims to build the foundational economic infrastructure for the growing AI agent economy.

Paid Raises $21.6M Seed for AI Agent Economy Infrastructure

Paid, a company building infrastructure for the AI agent economy, announced an oversubscribed $21.6 million seed round led by Lightspeed Venture Partners. This funding brings the total raised to $33.3 million and will help AI agent builders monetize their creations. Paid addresses the limitations of traditional 'per-seat' software pricing, which is unsuitable for AI agents that have usage costs. The platform offers features like customer value proofs, custom pricing, outcome-based models, cost tracking, and AI business intelligence. Early customers like IFS and Artisan report significant revenue growth and improved customer retention.

Paid Raises $21M to Help SaaS Firms Sell AI Agents

Paid has raised $21 million in seed funding to help software-as-a-service (SaaS) companies transition to selling AI agents. The company's platform provides infrastructure for customer value proofs, custom pricing, cost tracking, and AI business intelligence. Paid co-founder Shimoni stated that SaaS companies are seeing 20-40% revenue increases by adopting AI agent business models. The funding round was led by Lightspeed Venture Partners. Experts note that traditional SaaS pricing models are inadequate for AI agents, which have usage-based costs.

Alibaba Stock Surges on AI Investment News

Alibaba Group's stock rose significantly after the company announced plans to invest approximately $53 billion over three years in AI infrastructure. CEO Eddie Wu stated that demand for AI infrastructure has exceeded expectations. This news, combined with a new partnership with Nvidia for physical AI, boosted Alibaba's stock to its highest level since October 2021. Analysts from Morningstar and Jefferies raised their price targets for Alibaba, citing strong cloud momentum and increased capital expenditures for AI. The stock has gained over 100% year-to-date.

Analysts Bullish on Alibaba Amid AI Growth

Despite concerns about an AI bubble, analysts are expressing optimism about Alibaba's growth potential, particularly in its global cloud services. Morningstar raised its fair value estimate for Alibaba by 49%, citing the company's increased investment in AI infrastructure. Morgan Stanley also noted Alibaba's strong performance in AI cloud services. The Chinese tech giant's stock has rallied nearly 50% in the past month, fueled by significant AI investments and a partnership with Nvidia. This positive outlook contrasts with some other AI-related stocks that have seen declines.

Blackstone's Jon Gray Discusses Economy, AI, and Investments

Blackstone President and COO Jon Gray spoke at the company's 2025 CIO Symposium about the firm's performance, the investment environment, and key trends. Gray highlighted Blackstone's 40-year history, its focus on delivering returns, and its entrepreneurial spirit. He emphasized that AI is 'the main thing' driving future investments. Gray also discussed the importance of alternatives and shared insights on where to invest, noting Blackstone's scale and global presence as key advantages. The firm manages $1.2 trillion in assets and is the world's largest alternative asset manager.

Datavault AI Stock Rises After Analyst Upgrade

Datavault AI (NASDAQ:DVLT) shares saw a 5.5% increase in trading on Friday. This rise followed an upgrade from Zacks Investment Research, which moved the stock from a 'sell' rating to a 'hold' rating. Datavault AI operates as a cloud data warehousing company, providing solutions for storing, managing, and analyzing data. The company is headquartered in New York, New York.

Broadcom: An AI Infrastructure Bargain

Broadcom (NASDAQ:AVGO) is presented as a strong investment opportunity in the AI sector, despite not developing AI algorithms directly. The semiconductor and infrastructure software company provides essential components like high-performance networking chips and custom AI accelerators crucial for data centers. Analysts consider Broadcom a bargain due to its attractive valuation compared to more hyped AI stocks, its consistent profitability and growth, and its diversified business model. Broadcom's strategic acquisitions and innovation position it well for continued success in the evolving AI landscape.

Swish Secures Seed Funding for AI Product Sampling Platform

Swish, an AI-powered platform for CPG product sampling, has closed a seed funding round led by BD Ventures. The platform uses AI and transactional data to personalize product sampling by adding free products to customers' online grocery orders. Swish aims to provide a measurable and effective way for brands to get their products tried by consumers, addressing the limitations of traditional sampling methods like demos and mailers. The company plans to use the funding to scale its operations with major retailers.

AI Boosts Hard Drive Makers Seagate and Western Digital

Hard disk drive makers Seagate Technology and Western Digital are experiencing stock surges due to increased demand driven by AI. Analysts at Morgan Stanley have significantly raised their price targets for both companies, citing strengthening cloud infrastructure spending, data-enabling technologies, and AI inferencing as key growth drivers. Morgan Stanley believes hard disk drive stocks are no longer just cyclical commodities but are becoming AI stocks, as HDDs are essential for storing the vast amounts of data needed to power AI. Both companies have seen substantial stock gains year-to-date.

Two Worries Could Impact AI Investment Boom

The massive spending on AI infrastructure, projected to reach $700 billion worldwide next year, faces two main concerns. First, the free cash flow of major cloud providers has recently declined, raising questions about profitability. Second, the accumulation of debt for AI development occurs as the economy potentially enters a major debt cycle. Experts like Ted Mortonson and hedge fund manager David Einhorn suggest that while AI will grow, the return on investment for firms spending trillions may be uncertain. Companies with negative free cash flow are particularly at risk.

SES AI Stock Drops Amid Battery Technology Developments

SES AI (NYSE:SES), a company focused on advanced lithium-metal batteries for electric vehicles, saw its stock price fall by 5.6%. SES AI is developing technology to improve battery energy density, charging speed, and safety. The company is collaborating with major automakers like General Motors and Hyundai. Despite its potential, the stock has experienced volatility since its public debut in March 2022, reflecting the risks and rewards in the rapidly evolving electric vehicle battery market.

SoundHound AI Stock Declines Slightly

SoundHound AI (NASDAQ:SOUN), a company specializing in voice artificial intelligence technology, experienced a slight stock price decrease of 1.6%. Founded in 2005 and headquartered in Santa Clara, California, SoundHound AI develops technologies used in smart speakers, cars, and mobile devices. Its offerings include the Houndify platform for custom voice assistants and the SoundHound app for music identification. While the company has shown growth, it faces significant competition in the voice AI market.

Sources

AI Agent Economy Seed Funding Results-Based Billing Financial Infrastructure AI Startups Lightspeed Venture Partners SaaS AI Infrastructure Cloud Services Nvidia Alibaba Blackstone Alternative Investments Datavault AI Cloud Data Warehousing Broadcom Semiconductors AI Accelerators CPG Product Sampling Hard Disk Drives Seagate Western Digital AI Investment Free Cash Flow Debt Cycle SES AI Lithium-Metal Batteries Electric Vehicles SoundHound AI Voice AI Houndify Platform