Flai, an AI startup founded by Ari Polakof and his brother Alen, along with Juan Alzugary, has secured $4.5 million in seed funding. The funding round was led by Liz Wessel at First Round Capital, with participation from YC, RedBlue Capital, Joe Montana’s Liquid 2 Ventures, and Innovation Endeavors.

Flai is developing AI-powered software tailored for car dealerships, capable of handling phone calls, emails, and texts. The company's approach involves direct engagement with dealerships, with the founders initially embedding themselves with dealers to train their AI and secure customers. Polakof emphasizes that Flai's technology is built from scratch, setting it apart from off-the-shelf solutions.

The funding will be used to scale Flai's operations while maintaining a focused, efficient team. The company aims to improve the car dealership experience by addressing issues like missed customer calls and streamlining communication.

Jamie Gull, formerly of SpaceX and Scaled Composites, has launched Wave Function Ventures, a $15.1 million early-stage deep tech fund.

The fund has already invested in nine startups across nuclear energy, robotics, and aerospace, with plans to make around 25 seed or pre-seed investments.

Wave Function Ventures aims to support founders through the challenging early stages of company building, leveraging Gull's experience in prototyping, startups, and angel investing.

Gull believes deep tech offers significant returns due to its potential for non-venture funding and strong competitive advantages.

Replit, a coding platform founded in 2016, has reached a $3 billion valuation after years of struggling to find product-market fit. CEO Amjad Masad's vision of democratizing programming since 2009 faced numerous challenges, including stagnant revenue and a near-death moment that led to a 50% staff reduction.

The company experienced a breakthrough with the launch of Replit Agent, an AI-powered coding assistant, and a shift in focus from professional developers to non-technical users. This strategy resulted in significant revenue growth, reaching $150 million in annualized revenue.

Replit's success has attracted attention and competition, including from major AI labs like Anthropic and OpenAI. However, the company's focus on non-technical users, its sophisticated infrastructure, and a substantial war chest provide a competitive edge.

Masad remains mindful of the challenges ahead but is focused on scaling operations, accelerating product development, and pursuing strategic acquisitions. Despite the success, he maintains a stoic perspective, emphasizing the importance of doing the right thing and moving forward.

YouTubers are increasingly diversifying their income streams beyond ad revenue and brand deals due to the unpredictability of platform policies and ad earnings.

Many are evolving into vertically integrated media companies with product lines, brick-and-mortar ventures, and consumer brands.

Examples include:

• MrBeast: His snack brand, Feastables, generates more profit than his YouTube content.
• Emma Chamberlain: Her coffee brand, Chamberlain Coffee, reached approximately $20 million in revenue in 2023 and is expanding with a physical location.
• Logan Paul: Co-founded Prime, an energy drink brand that initially achieved viral success but has faced declining sales and regulatory scrutiny. Also has Maverick Apparel.
• Ryan’s World: Expanded into toys and apparel, generating over $250 million in revenue in 2020.
• Rosanna Pansino: Sells cookbooks and baking tools, expanding her Nerdy Nummies brand.
• Michelle Phan: Co-founded the beauty subscription service Ipsy and has her own makeup line, EM Cosmetics.
• Huda Kattan: Founded Huda Beauty, a globally recognized beauty brand, and later bought back a minority stake.

These creators are building sustainable businesses that can outlast algorithm changes and policy shifts.

Perplexity is making its AI-powered Comet browser freely available to all users globally, aiming to compete with major browsers and search engines. Alongside this, a new "background assistant" has been launched for paid subscribers, enabling the handling of multiple tasks within Comet.

Comet's key feature is a sidecar assistant that aids users while browsing, offering assistance with answering questions about webpages, summarizing content, managing web content, and navigating web pages. This move comes as Perplexity faces competition from established players like Google Chrome and emerging AI browsers such as Dia.

Free Comet users can access tools like Discover, Spaces, Shopping, Travel, Finance, and Sports. Max users gain access to enhanced AI models, an email assistant, and the new background assistant, which can perform multiple tasks simultaneously, such as sending emails, finding the best flight, and adding tickets to a cart.

A standalone subscription to Comet Plus, an AI-enhanced alternative to Apple News, will be available for free Comet users for $5 per month. Pro and Max users will receive access to Comet Plus automatically.