Who, What, Where, When, and Waabi

Top News

• Waabi enters robotaxi market: The Canadian startup has, thus far, focused on self-driving tech for trucks, but they’ve just raised a new $1 billion funding round to help them expand into the fast-growing robotaxi space. What was initially planned as a $750 million round led by Khosla and G2 Venture Partners was, according to Waabi, massively oversubscribed, allowing them to gather up all their Series C needs at once. (They declined to share a fresh valuation with Bloomberg.) That includes a $250 million investment from Uber, with whom Waabi plans to launch 25,000 new robotaxis along with exclusive software designed specifically for ridesharing. But that’s not all: Waabi suggests they have more robotaxi partnerships to announce in the near future.

• DeepMind follows AlphaFold with AlphaGenome: AlphaFold, which predicts how molecules will fold into 3D protein structures with unprecedented accuracy, secured a Nobel Prize in Chemistry for two Google scientists back in 2024. The DeepMind crew has followed up this release with a new product, AlphaGenome, which uses AI to predict how mutations will impact genes. This obviously could have tremendous impact on medicine, allowing researchers and doctors to better understand how interactions between molecules and DNA strands will effect gene expressions. That, in turn, could give us more insight into root causes, and even potential treatments, for scores of diseases, including cancer.

• The push to “humanize” AI writing: Even among passionate, daily AI users, there remains healthy skepticism about the ability of LLMs to write clean, normal-sounding prose. (Most teachers and editors still believe they can spot ChatGPT-penned writing in the wild.) NBC News reports that many students, eager to use AI to help them quickly complete assignments, are relying on AI tools called “humanizers,” which suggest ways to alter AI-composed text that make it sound more organic. This, naturally, has led to another AI arms race, with “AI Detection” companies like Turnitin and GPTZero upgrading their products to track down text that has been adjusted and humanized by AI. Will this ever end? Or will we just come to a point when universities give up on AI detection and let chatbots do their students’ homework?

TWiST 500

With many large enterprises still embracing AI tools at a gradual, even glacial pace, one niche that has already seen widespread adoption is customer support. With a few notable examples aside — like Klarna embracing AI customer support agents, then switching course back in May — major US corporations are coming around to the idea that 24/7 AI-powered customer support is more effective and lower-cost than a room full of humans with headsets. (Research from Gartner suggests that 80% of US companies are now using, or plan to use, AI chatbots for customer service. That’s a lot!)

TWiST 500 member Decagon is one of the leading companies helping enterprises get in on this trend. Just in the last year, they added more than 100 major corporate clients, including car rental giant Avis and T-Mobile owners Deutsche Telekom. Backed by that strong momentum, the company has raised $250 million in a new funding round, bringing their total valuation to $4.5 billion.

They’re in a crowded space, but hope to set themselves apart with a more engaged and proactive product than some of their competitors. While many automated customer support agents simply field calls and redirect them to human staffers when necessary, Decagon’s AI independently goes the extra mile to delight customers and increase sales. For example, if an airline customer books a flight, Decagon’s AI might reach out right away, to verify whether or not they want to reschedule. The startup also makes it easy for non-technical customers to tweak and adjust their digital customer service agents on the fly, based on observed customer preferences. An AI agent that saves time is great, but one that can actually move the ball forward and get work done on its own could become a valuable, even indispensable, part of the team. – Lon

A message from Quo

Founders move fast. Their phone systems should too. Quo (formerly OpenPhone) gives you a clean, modern way to handle every customer call, text, and thread all in one place. Try it free at quo.com/TWiST.

This Week in Startups

E2240: It’s an all-Clawdbot deep dive TWiST. Jason’s back in Austin, and all anyone in American tech can talk about this week is the viral AI assistant, which thousands of developers are already running on newly-purchased dedicated Mac Minis. What is Clawdbot, and how can you put this 24/7 digital employee to work for you? Find out as Jason and Alex talk to the developers and influencers pushing the boundaries of what Clawdbot can accomplish, and writing the skills that are expanding its capabilities in real time.

E2239: It’s another TWiST Tokyo special edition, with our guests Max Weiss of Pacific Bays Capital, and American Medical Intelligence CEO Fred Almeida. We’re talking the future of medical tech, and why Fred thinks you’ll one day soon have an AI general practitioner that knows your history, and sends you out to specialists when you need human intervention and expertise. PLUS how Japan stays at the forefront of tech without being a manufacturing hub, and why so many Americans are willing to take pay cuts to enjoy the Tokyo lifestyle.

E2238: We’ve got two awesome TWiST 500 interviews coming your way in this brand-new TWiST. First, Alex sits down with Keller Cliffton of drone delivery startup Zipline to discuss their new $600 million raise (at a tasty $7.6B valuation), and how they’ve managed to scale up to over 2 million deliveries so quickly. THEN, Anastasis Germanidis of Runway gives us insight into World Models, and why they will likely power the next generation of Physical AI applications. Finally, we’ve got Jason’s thoughts on when it’s time to pivot vs. when founders should give up on their project entirely and move on.

TWiST Partner Offers

• Gusto: Check out the online payroll and benefits experts with software built specifically for small business and startups. Try Gusto today and get three months FREE at Gusto.com/twist.

• Zite: Zite is the fastest way to build business software with AI. Build apps, forms, websites and portals that connect to the tools you already use. Go to zite.com/twist to get started.

• Circle: The easiest way to build a home for your community, events, and courses — all under your own brand. TWiST listeners get $1,000 off Circle’s Professional Plan by going to http://circle.so/twist.

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.

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