Anthropic's Claude got another upgrade

Top News

• Anthropic introduces Claude 4: Anthropic’s a TWiST 500 favorite but we’ve got NEW companies to talk about today, so they’re moving up the stack. The OpenAI rival launched not one but TWO fresh models to both their website and API today: Claude 4 Sonnet and Claude 4 Opus. Sonnet 4 gives the 3.7 release an upgrade in terms of coding, reasoning and instruction. Opus 4 is designed for complex, long-running tasks that can take hours to complete. Anthropic suggests it outperforms OpenAI’s o3, GPT-4.1, and Gemini 2.5 Pro in key benchmarks like multilingual Q&A and interacting with agents.

• More on OpenAI’s Jony Ive collab: According to WSJ, CEO Sam Altman gave his staff an early look at the hardware devices the company is developing along with iPhone legend Jony Ive. The company reportedly plans to ship 100 million+ AI “companions” over the next few years that will — they hope — swiftly become an integral part of all of our daily lives. No CLEAR hints on exactly what this device is yet, but Ive and Altman suggest it will be light, unobtrusive, and easy to carry around, while also being completely aware of a user’s surroundings and activities.

• Signal blocking Windows Recall: The open-source non-profit Signal Messenger app warned users about a privacy threat posed by Windows new Recall AI tool. The feature, coming soon with Windows 11, screenshots, indexes, and stores a record of user activity every three seconds. Signal for Windows will block Recall by default, requiring users to change their settings to enable the screenshots.

TWiST500

Alex here: We have new TWiST500 companies!

Yes, new names on the list. Today, we’re going from 334 names to 356. We don’t have space to go over every new name – but I want to take a moment to go over five members of the new cohort about which I am extra-especially excited. As always, the full list is your friend.

From the new inductees:

• All Hands: I am a big open-source bull, so when I got the chance to dig into All Hands’s quick traction numbers, I sat up and took notice. Doubly so when All Hands teamed up with Mistral – another TWiST500 company – to build the Devstral model. The concept of open-source agentic technology makes sense in a world where we’re watching open-source AI models compete with their closed-source rivals. Why wouldn’t the same bear out in the agentic world? Mix in top-notch investors and a clear ability to work with large AI model companies, All Hands is a company I would love to throw a few Benjamins at myself, frankly.

• Mem0: It’s cool that companies like OpenAI are adding memory to their AI tools. But what if you are building an AI project and want similar memory-like capabilities? That’s where Mem0 comes into play. It’s another open-source project with a startup wrapped around it like All Hands, albeit one that is tackling a different side of the AI question. My presumption is that every AI product will need to have a memory element in time, which means that if Mem0 can capture this piece of the AI puzzle, it could be worth roughly as much as an aircraft carrier in time.

• TensorWave: This is a fun one. Lots of folks want to build neoclouds predicated on Nvidia GPUs. But what if there was another option? TensorWave thinks that there is, namely, by building a neocloud using AMD silicon. And it recently raised $100 million – partially from AMD itself – to do just that. CoreWeave’s IPO showed that there is huge demand for AI compute. And we know that there is a a crunch in the market for Nvidia gear. Mix the two together with an AMD twist, and I can see TensorWave become very big, and very valuable in just a few years.

• Comet: Building a modern AI service is no small task. There’s model selection, sorting out compute and API access, not to mention UI and UX work to handle. And then there’s model evaluation, testing, and other work to ensure that what you’ve built works, works well, and works efficiently. It’s those tasks that Comet is taking on – and if our views regarding how large the agentic economy is going to become in time bear out, Comet will have more work than it can handle. That’s good for business.

• Filed: Finally, for something a little bit different, Filed. This is not an AI infra company. Instead, it’s a software startup that wants to use AI to help make tax prep work simpler, and faster. When we consider the repetitive, rules-oriented nature of tax work, applying AI to the problem space just makes good sense. Investors agree, with Filed announcing a total of $17.2 million worth of capital raised in its early-stage rounds. Going vertical with AI tech can bear material fruit. Harvey is a good example of the concept. We could call Filed an AI startup. Or a fintech startup. Or both, perhaps. At this point are there any startups not using AI in some capacity?

Now it’s up to me to get the new companies fully uploaded and filled-in. Let’s burn some late-night oil!

Alex

A message from Northwest Registered Agent

Starting your business should be simple. With Northwest Registered Agent, you can form your entire business identity in just 10 clicks and 10 minutes. From LLCs to trademarks, domains to custom websites, they’ve got you covered. Get more privacy, more options, and more done—visit https://www.northwestregisteredagent.com/twist today!

This Week in Startups

E2129: On a new TWiST, Jason and Alex are talking OpenAI’s collaboration with Jony Ive and predicting what this will mean for the future of AI hardware. PLUS Tesla and Waymo are battling it out for robotaxi market share, Microsoft partners with xAI, and Congress debates the stablecoin GENIUS Act. All that and Jason’s shoutout to influential online broadcaster (and “Dilbert” creator) Scott Adams.

E2128: On a rare Alex-free episode of TWiST, Lon and Jason update viewers on the latest in the Rippling vs. Deel corporate espionage saga, which now has more chapters than the Jason Bourne franchise. Plus are Firecrawl’s AI agent job postings just a marketing stunt(?), Jason’s thoughts on spotting “world class design,” and a chat with Prandtl Dynamics CEO Parth Mahendru about his innovative sonic anti-drone systems.

E2127: Jason, Lon and Alex reflect on Microsoft’s cutthroat move of laying off 6,000 staffers even as it rakes in record profits, in a demonstration of just how series tech companies are about austerity and leaning on advancements in AI. Plus, they wonder aloud if AI startup Windsurf is selling itself too early and greet Jeremy Redman of Airfive to talk about his bold new prepaid SaaS model.

TWiST Partner Offers

• Vanta: Compliance and security shouldn't be a deal-breaker for startups to win new business. Vanta makes it easy for companies to get a SOC 2 report fast. TWiST listeners can get $1,000 off for a limited time at https://www.vanta.com/twist

• Squarespace: Turn your idea into a new website! Go to https://www.Squarespace.com/TWIST for a free trial. When you’re ready to launch, use offer code TWIST to save 10% off your first purchase of a website or domain.

• Brex: Runway is everything for startups. That’s why 1 in 3 startups choose Brex for modern checking, treasury, and FDIC in one account. Learn more at https://www.brex.com/banking-solutions

Want to Work for This Week in Startups?

We’re looking to fill two in-person sales positions at our Austin, Texas HQ! First, a high-performing Sales Executive to help us seek out and promote clients, sponsorships, branded content, and more. Plus an experienced Sales Manager to lead, coach, and scale our sales executive team, while setting performance goals. Love the podcast and have B2B sales experience? We want to hear from you!

SF Live-Work Space Now Available

Need a flexible living and working environment in San Francisco? This thoughtfully designed loft-style residence at 787 Bryant St., the heart of the vibrant SOMA district and the city’s creative hub, is now available for rent or purchase. Check the listing for more details.

Founder University

Applications are open for Founder University Cohort 11, a 12-week remote pre-accelerator program tailored towards navigating early-startup practices, building an MVP, and growing traction. Submit your application at Founder University— Cohort 10 will kick off Summer 2025!

LAUNCH Accelerator

Are you a pre-Series A founder with a product in the market? Applications are now open for LAUNCH Accelerator's 35th cohort—starting Summer 2025—where you'll perfect your pitch, grow your business, and connect with top Silicon Valley investors. Apply here and take your startup to the next level!

The TWiST500 newsletter is the new, updated, and improved TWiST Ticker.