STARTUP X
The F42 brief #014
👋 Hi, I’m Derek, and welcome to the Fusion42 newsletter! This is your go-to source for navigating the startup ecosystem and making things easier for everyone involved. Here, beyond Consensus views for Maverick Founders and Investors to overcome common challenges, so you can build and scale with confidence. No BS , no Fluff, just the TREWS to help you get **it done. Join 8,000+ founders and discover what truly matters for your venture—and how to set yourself up for lasting success.
Here’s your Monday dose of The F42 Brief, where we give you essential updates and innovations that are moving and shaping our startup space.
What’s inside »
📈 Trending Now
The one thing that’s making all the noise …. with a bit of fact checking.
💸 New Funds looking to give you cash
Who has launched a new fund to invest in startups last week.
💡Innovator Spotlight
Founders that are doing stuff differently.
🛠️ Tool of the Week
Something useful to up your startups velocity.
📌 Note to Self
Stuff I constantly remind myself about, don’t want make the same mistakes again.
📈 Trending Now
Avoiding Tricks That Annoy Your Customers
A recent Gartner report sheds light on consumer attitudes towards dynamic pricing and other trends shaping their behaviour—and it’s a wake-up call for businesses of all sizes. Here are the key takeaways:
Dynamic Pricing Is Losing Fans: A whopping 68% of consumers feel taken advantage of by dynamic pricing strategies. The message is clear—people value consistency and trust brands that don’t play pricing games.
Consistency Builds Trust: 80% of consumers link consistent pricing with greater brand reliability. Interestingly, 42% are even willing to pay more for the peace of mind that comes with price stability.
Frugality Is In: There’s a growing cultural shift towards “conspicuous underconsumption,” with 68% of people actively cutting back on purchases to focus on personal improvement.
Community Drives Choices: 82% of consumers seek validation or comparison when making decisions, a trend referred to as “norming.” It’s all about looking to the broader context before committing.
Automation’s Growing Acceptance: 74% of consumers are fine with human-free technologies like cashier-less stores and drone deliveries—provided they feel convenient and trustworthy.
What Does This Mean for You? For Startups these trends offer clear guidance:
Ditch Dynamic Pricing: Consistent pricing builds trust. If you want loyal customers, don’t play games with your prices.
Focus on Value and Stability: People are willing to pay a little more for products they trust.
Embrace Frugality in Your Messaging: Highlight resourcefulness and simplicity. These themes are resonating with today’s customers.
Leverage Community-Oriented Features: Let customers compare or validate their choices with others—think reviews, ratings, or user-generated content.
Use Automation Wisely: Technologies like automation and AI are welcome as long as they add convenience without feeling cold or impersonal.
By leaning into these trends, you’ll position your business to align with what customers actually want—reliability, transparency, and meaningful value.
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For the ❤️ of Startups
💸 New Funds Looking to Give You Cash
This week, 16 new and ongoing venture capital funds have been announced, bringing over $1.3 billion in funding to startups across various sectors. These funds target opportunities in AI, blockchain, agritech, life sciences, and climate tech, supporting innovation at pre-seed, seed, and growth stages. From the Americas to Europe, Africa, and emerging markets, these funds aim to drive transformative growth and tackle global challenges.
Key Highlights
🌍 Global Focus:
Investors are targeting startups across regions such as Latin America, Africa, Europe, the US, and innovation hubs like Medellín, highlighting opportunities in both established and emerging markets.
💡 Sector Innovation:
Funds emphasize key areas of growth, including blockchain technology (Verda Ventures, MiniPay Fund), life sciences (XGEN Venture), climate tech (Seedstars Africa Ventures), and agrifoodtech (SP Ventures AGVIII), with a strong focus on sustainability and real-world impact.
🚀 Diverse Stages:
These funds cater to startups at different stages of their journeys, from pre-seed and seed investments (Category Ventures, Medellín VC) to growth-stage rounds (Btomorrow Ventures, Yamaha Music Innovations Fund).
🌱 Niche and Regional Impact:
Early-Stage Technology: Funds like Penny Jar Capital Fund II and Category Ventures focus on innovation in software, AI, and developer tools.
Agritech & Food Tech: SP Ventures AGVIII targets bio-based crop protections and agrifintech solutions.
Blockchain & Fintech: Verda Ventures’ MiniPay Fund supports blockchain-powered financial products for underserved markets.
Underrepresented Founders: The DC Venture Capital Fund prioritizes startups led by diverse and underrepresented entrepreneurs.
This week’s fund announcements highlight the ongoing momentum in venture capital to address critical challenges, foster groundbreaking technologies, and promote equitable opportunities in innovation. With a diverse mix of sectors and regions, the ecosystem continues to drive local and global impact through strategic investments.
Penny Jar Capital
Penny Jar Capital Fund II co-founded by Bryant Barr and Richard Scudellari, with Stephen Curry as a special advisor, has filed to raise its second fund, Penny Jar Capital Fund II. The fund focuses on early-stage investments in technology and innovation-driven startups. Previous investments include Upwind, Ducky, and Praxis Labs.
SP Ventures
SP Ventures, a Brazilian agrifoodtech investment firm, has announced the first close of its third fund, AGVIII, at $22 million, targeting $80 million by the end of 2025. The fund focuses on early-stage agrifood technology startups in Latin America, aiming to improve the environmental footprint of food production and distribution through investments in bio-based crop protections, agrifintech, supply chain sectors, and education.
Medellín Venture Capital
Medellín Venture Capital is a new investment program co-led by Medellín's municipality and the innovation center Ruta N. Starting in 2025, it plans to deploy $1.2 million in pre-seed and seed rounds as part of a broader $11 million strategy, targeting sectors like mobility, health, air quality, energy, circular economy, and deeptech.
K Street Capital
The DC Venture Capital Fund is a $26 million investment fund launched by Washington DC to support early-stage startups. Managed by K Street Capital, it targets pre-seed and seed-stage companies, prioritizing underrepresented founders. Investments range from $250,000 to $5 million, with a total fund size of $52 million including private matching funds.
Category Ventures
Category Ventures is a $160 million venture capital fund launched by Villi Iltchev. The fund focuses on pre-seed and seed-stage startups in enterprise software applications, infrastructure, developer tools, and artificial intelligence, with investment checks ranging from $1.5 million to $5 million.
Seedstars
Seedstars Africa Ventures I is a venture capital fund that makes early-stage investments in scalable startups across Africa. The fund has achieved a first close at $42 million, with a target of $80 million. It focuses on climate tech, financial inclusion, and digital innovation.
Verda Venture
Verda Ventures, in partnership with Opera, has launched a $40 million fund targeting blockchain startups developing financial products around Opera's MiniPay wallet. The fund focuses on identity management, remittances, and stablecoin banking, leveraging Opera's distribution network and Celo resources.
Slow Ventures
Slow Ventures is a US-based venture capital firm raising $275 million across two new funds, as per filings. They focus on investing in early-stage technology startups across sectors like Mobile, SaaS, Software, Internet, and Health Care.
XGEN Ventures
XGEN Venture is an Italian life sciences firm that has closed its debut fund, anchored by investors like Micheli Associati, the European Investment Fund, and CDP Venture Capital. The €180 million fund focuses on biotechnology, medical devices, and diagnostics in the life sciences sector.
Btomorrow Ventures
Btomorrow Ventures Fund II has launched a £200m ($254m) investment fund aimed at helping British American Tobacco transition away from nicotine. The fund focuses on later-stage startups, targeting series B and C rounds in functional foods, beverages, and health-benefit technologies.
eQ VC
eQ VC II is a new venture capital investment fund with a final close on December 19, 2024. The fund focuses on US early and late-stage venture capital funds. With a size of $54 million, it targets investments in US-based venture capital opportunities across multiple stages.
Benchstrength VC
Benchstrength is a new venture capital investment fund based in NYC. It focuses on investing in high-potential early-stage technology companies, particularly at the pre-seed and seed stages. The fund, which has closed at $62 million, invests in enterprise, consumer, fintech, and healthcare sectors, supporting historically overlooked founders.
MS&AD Ventures
MS&AD Ventures, the corporate venture capital arm of MS&AD Insurance Group, has expanded its existing fund by $100 million, increasing the total assets under management to $400 million. This expansion focuses on early-stage investments in insurtech, fintech, life & health, sustainability, mobility, and AI. The expansion demonstrates MS&AD Ventures' commitment to investing in innovative startups that align with their business transformation goals.
Hashgraph Ventures
Hashgraph Venture Fund-I. Swiss software company Hashgraph has established a $100 million Web3 venture fund managed by its venture subsidiary, Hashgraph Ventures Manager Ltd, based in the Abu Dhabi Global Market (UAE). The fund focuses on early-stage investments in deep tech, including AI, blockchain/DLT, robotics, IoT, and quantum computing.
Yamaha Music Innovations Fund
The Yamaha Music Innovations Fund is a $50 million venture capital fund launched by Yamaha. It aims to invest in startups developing technologies in the music business, focusing on innovations in musical instruments, audio equipment, AI for video and music production, and streaming/monetization support for creators. Individual investments range around $800,000.
Skyseed
Skyseed is a venture capital fund and incubator with an initial commitment of $1 million, targeting investments in projects built on the Bluesky/AT Protocol ecosystem. The fund expects to grow up to $5 to $10 million. Skyseed looks to invest in projects with real business models, teams, and products, offering initial checks of around $100,000 for early-stage investments. Additionally, they issue developer grants ranging from $5,000 to $25,000.
💡Innovator Spotlight
Why Andrew Ng’s Thoughts on AI Matter
When it comes to artificial intelligence, Andrew Ng is someone you simply can’t ignore. He’s been at the forefront of AI’s biggest breakthroughs for years and has shaped the way we understand and use this technology today. Let me explain why he’s worth paying attention to.
He Kickstarted Google Brain
Back in 2011, Andrew co-founded Google Brain, a project that set out to mimic how the human brain learns by training massive neural networks. It was a revolutionary idea at the time, and it laid the foundation for so much of what AI can do today.
He Transformed Baidu’s AI Strategy
After Google, he headed to Baidu, one of China’s largest tech companies, and took their AI game to the next level. He made Baidu a serious player in the global AI space, proving his ability to deliver results on a massive scale.
He’s Taught Millions About AI
Andrew’s not just about big companies—he’s all about education too. Through Coursera and DeepLearning.AI, he’s taught over 8 million people how to work with AI. That’s more than one in every thousand people on the planet! He’s taken a complex subject and made it understandable, and that’s no small feat.
He’s Backing the Next Big Ideas
In 2018, Andrew launched the AI Fund with $175 million to support startups using AI to solve real-world problems. It’s already backed 43 companies, and they’re raising even more money now to keep going. Clearly, he knows how to spot potential.
He’s on Amazon’s Board
Earlier this year, Amazon brought him onto their board of directors—a big deal. It shows just how valuable his expertise is to one of the world’s biggest tech giants.
His Predictions Shape the Industry
Most importantly, Andrew doesn’t just follow trends—he sets them. This year, he predicted that agentic AI—autonomous AI that solves tasks on its own—will be the next big thing. And with companies like Google and Microsoft already diving into this space, it seems he’s spot on once again.
Andrew Ng has been behind some of AI’s biggest leaps forward, from running groundbreaking projects to teaching millions and investing in tomorrow’s innovators. When he talks about where AI is headed, it’s worth listening.
🛠️ Tools of the Week
If you’re looking to integrate AI into your work or daily life, two excellent resources have emerged: AI Agents Directory and AI Agents List. These platforms make discovering and exploring AI agents easier than ever, offering tools for automation, productivity, and innovation. Here’s what they bring to the table and how they can benefit you.
AI Agents Directory
Website: aiagentsdirectory.com
AI Agents Directory is a comprehensive platform showcasing a wide variety of AI tools designed for developers, businesses, and everyday users. Its goal is to make the search for the right AI solution simple and efficient.
What It Offers:
Extensive Listings: A vast collection of AI agents, categorized for easy navigation. Categories include task automation, digital workers, developer tools, and general assistants.
Detailed Information: Each listing provides insights into the AI agent’s capabilities, features, pricing, and intended use cases.
User-Friendly Interface: With a clean and intuitive design, the platform makes it easy to search and filter for specific AI tools based on your needs.
Regular Updates: The directory stays current with the rapidly changing AI landscape, ensuring you have access to the latest and most innovative solutions.
Benefits:
Find tools that can automate repetitive tasks, enhance creativity, or streamline workflows.
Discover AI solutions tailored to specific industries or applications.
Save time by browsing a curated list of tools instead of researching AI agents individually.
AI Agents List
Website: aiagentslist.com
AI Agents List is another excellent resource for discovering AI-driven tools. The platform focuses on helping users find AI agents that can simplify work processes, boost productivity, and solve complex problems.
What It Offers:
Curated AI Agents: A handpicked selection of AI tools, including well-known names like AutoGPT, BabyAGI, and AgentGPT.
Clear Categorization: AI agents are grouped into categories such as coding, productivity, research, HR, and data analysis.
Community Involvement: Users can contribute by submitting new AI tools, ensuring the directory grows with user needs and feedback.
Accessible Format: Each tool is described in an easy-to-understand manner, highlighting its key features and potential benefits.
Benefits:
Explore AI agents specifically designed for your area of interest, whether it’s coding, research, or creative tasks.
Stay ahead of the curve with regularly updated entries that reflect the newest trends in AI technology.
Easily compare features and pricing to find the right fit for your needs.
Why Use These Platforms?
Both AI Agents Directory and AI Agents List offer tremendous value for anyone interested in leveraging AI. Whether you’re a developer looking for automation tools, a business professional seeking to boost efficiency, or a tech enthusiast exploring new possibilities, these platforms provide the resources you need to find the perfect AI solution.
By browsing these directories, you can:
Save time and effort in identifying tools that suit your specific needs.
Gain insights into how AI can transform your workflows or projects.
Access a centralized hub of resources without the hassle of searching multiple sources.
Take a look at both platforms and explore how AI can make your life easier. Whether you’re looking to automate tasks, enhance creativity, or simply learn more about the possibilities of AI, these directories are a great starting point.
📌 Note to Self
Thank you for reading. If you liked it, share it with your friends, colleagues and everyone interested in the startup Investor ecosystem.
If you've got suggestions, an article, research, your tech stack, or a job listing you want featured, just let me know! I'm keen to include it in the upcoming edition.
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For the ❤️ of startups
✌🏼 & 💙
Derek
The agents directory listings were very useful !