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• Meta’s new “AI glasses”: During the company’s “Meta Connect” event in Menlo Park, CEO Mark Zuckerberg debuted the “Meta Ray-Ban Display” smart glasses, with a built-in screen in the right lens that can handle text messages, video calls, and AI outputs, plus a viewfinder that connects to a local phone’s camera and shoots video in 3K. (Is this feature likely to compound the pre-existing privacy concerns around camera-enabled smart glasses? Probably!) The glasses also introduce a gesture-based control system, powered by a neural wristband a user wears on their dominant hand. Movements like pinching your fingers or sliding your thumb down your palm correspond to basic commands, like swiping through items or double-clicking. Meta execs claim the overall goal is to free people from being so tied to their phones. We’ll find out if they’re on to something once the $799 wearables hit stores on September 30.

• Numeral wants to simplify sales tax: Until 2018, life was relatively simple for SaaS and e-commerce companies. They had to pay sales tax in states where they were physically headquartered, but not everywhere they did business. That all changed when the Supreme Court ruled (in South Dakota v. Wayfair) that sales tax can be collected from sellers in every state where they do business. Enter Numeral, which designs tools that automate sales tax compliance and management, keeping track of local and state-wide regulations so companies can focus on their product and not endless accounting details. The company raised a $35 million Series B this week, valuing them at $350 million.

• Octopus spins off Kraken: That sounds like we’re describing the next “Pirates of the Caribbean” adventure but it’s about energy companies, for real. British startup Octopus Energy announced plans to spin off its AI division, known as Kraken. Octopus’ central mission has been supplying renewable power to customers in the UK and Europe. But that work has been somewhat overshadowed by the mega-growth of Kraken, an AI platform designed for energy and utility companies that now boasts over 75 million customers (including France’s EDF and Japan’s Tokyo Gas), with an ARR of over $500 million. In 2024, Octopus in its entirety was valued at $9 billion, but as a spinoff entity, Wall Street Journal suggests Kraken could be valued as high as $15 billion.

YC Startups: Summer 2025

All week, we’re checking out interesting startups from the latest graduating Y Combinator class, vetting them for potential inclusion in our TWiST 500 gallery. Here are three more contenders.

• Riff: Self-described “Cursor for Music Production,” Riff offers a suite of AI tools allowing even those who lack the rhythm and hand-eye coordination for, say, saxophone an opportunity to generate original music of their own. AI music generation is certainly a crowded space, but Riff’s interface appears — at first glance — very intuitive, engaging, and clearly aimed at beginners to the world of composing bangers. That could be a winning combination.

• Knowlify: One good AI tool deserves another, so here’s a “text-to-explainer video engine.” In other words, Knowlify uses AI to generate original “explainer” videos running down just about any topic or piece of data. So far, they’re aiming the product at enterprise clients (allowing them to make self-hosted explainer videos based on their corporate data, without sensitive information leaving their servers) and educational institutions seeking to integrate AI into their lesson plans.

• Louiza Labs: This cohort was teeming with consumer-facing AI application but of course the technology also powers innovations behind-the-scenes. Louiza creates accurate anatomical and biological models that can be used to produce synthetic data for training AI models. What’s particularly interesting here is that, in addition to being cheaper and easier to source than real-world data, synthetic medical data can integrate extremely rare or unlikely scenarios that wouldn’t necessarily show up in IRL datasets. These medical AI models have a bevy of potential uses, from training automated medical devices to simulating medical trials (without testing every new treatment out on people!)

We’ve got one more day to go of our YC Summer celebration. Stay tuned. – Lon

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This Week in Startups

E2180: It’s a TWiST double-header as Jason and Alex welcome TWO guests currently blowing up on social media. First, Kaan Doğrusöz of Weave Robotics shows off his company’s Isaac robot, designed for laundry folding, which will actually be released to early adopters later on this year. Then, investor Eric Jackson swings by the show to talk about his investment in Opendoor, and why he thinks the beleaguered company could not only turn things around but become the next “100 bagger.” Plus the “End of Apprenticeship,” Jason’s “Bring Your Own Algorithm” pitch, and much more.

E2179: Alex is back with another trio of TWiST 500 interviews. First up, Medium CEO Tony Stubblebine walks us through the basics of “Really Simple Licensing” (RSL), and how they’re helping writers actually get PAID for their content. Then, Human Native CEO Dr. James Smith takes us on a deep dive of the convoluted world of AI licensing, and explains why his company is pivoting from their former IP marketplace model. Finally, Jason Marks of TELO Trucks introduces us to his EV mini-truck, designed both for tough jobs and big city driving.

E2178: It’s a busy week at LAUNCH, with our new accelerator (Cohort 35!) and a fresh Founder University class both kicking off. But we STILL MADE TIME FOR TWiST. Join Jason and Alex for a rundown of the week’s biggest stories, including Alphabet joining the $3T market cap club, Eric Schmidt getting his flowers for being totally right about remote work, Polymarket adding earnings reports, and why Jason is so excited about the explosion of prediction markets more generally.

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Angel University is Back!

Jason and Mike Savino are hosting our next virtual Angel University workshop on Tuesday, October 7. Jason will share proven strategies he’s used to invest $200M+ in over 500 startups. Whether you’re new to angel investing or looking to sharpen your skills, this is your chance to learn directly from one of the most active angel investors in the world. Register now at angel.university!

Founder U is Coming to the MENA Region!

Our 12-week pre-accelerator—designed to help early-stage founders build and grow—kicks off this fall in Saudi Arabia. The first cohort launches in Riyadh on November 3rd, followed by in-person and virtual sessions throughout the program. Founders in MENA: this is your chance to turn your idea into a business and get world-class insights on building a successful startup. Apply today: https://mena.founder.university/

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.

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