TL;DR

OpenAI acquires io for $6.5B, expands Texas data center; Legora, LMArena, Worldcoin raise major rounds.

Highlights

• OpenAI acquires Jony Ive’s AI device startup io for $6.5B in stock, with first hardware launch planned for 2026; LoveFrom to lead design across OpenAI projects 1.
• OpenAI secures $11.6B to expand its Texas data center to 400,000 Nvidia (NVDA ) GPUs, as part of the $500B Stargate Project JV with SoftBank, Oracle, and MGX 2.
• Worldcoin raises $135M via WLD token sale led by a16z and Bain Capital Crypto; WLD token up 14% as proof-of-human network expands in the U.S. 3.
• Legora, Stockholm-based legal AI platform, raises $80M Series B at $675M valuation, reporting $70M+ ARR and expanding in the U.S. 4.
• LMArena, UC Berkeley AI benchmarking spin-out, raises $100M seed at $600M valuation, backed by a16z and UC Investments 5.
• Medtronic (MDT ) to spin off $2.5B diabetes business into a standalone company within 18 months, led by current EVP Que Dallara 6.
• Wolfspeed to file for $6.5B Chapter 11 bankruptcy despite $1B in CHIPS Act funding, highlighting risk in AI hardware supply chain 7.
• CoreWeave stock surges 125% since IPO to $103.31, with Nvidia’s (NVDA ) support and $40B market cap; free float remains limited at 8% 8.
• Solana Mobile to ship Seeker phone August 4, launches $SKR token to drive decentralized mobile ecosystem; 150,000 units sold 9.
• SEC sues Unicoin and execs for alleged $100M crypto fraud; Coinbase (COIN ) faces up to $400M in costs after major data breach exposes customer data 1112.
• KKR and Kuwait’s $1T fund warn U.S. bonds are no longer a hedge, urge PE funds to return capital; industry leaders flag risks in PE retail access 13.
• Early-stage rounds: Affiniti ($17M Series A, SMB fintech), Catena Labs ($18M, AI-native bank), Datacurve AI ($14M Series A, coding data), Cookie3 launches “Snaps” InfoFi platform ($COOKIE token up 29%) 1415.

Commentary

OpenAI’s dual moves—acquiring io for $6.5B and locking in $11.6B for hyperscale GPU infrastructure—underscore a shift toward vertical integration in AI, with capital flowing into both device and compute layers 12. The io deal also brings in Jony Ive’s design firm, signaling a serious push into consumer AI hardware and raising the competitive bar for hardware-focused startups 1. The Stargate Project’s scale and consortium backing suggest that independent infrastructure plays will face higher capital requirements and greater scrutiny on defensibility 2.

Venture activity in AI remains robust, with Legora’s $80M Series B at a $675M valuation and LMArena’s $100M seed round reflecting strong investor appetite for vertical AI applications and infrastructure 45. Legora’s traction in legal AI, with $70M+ ARR and major law firm clients, stands out for growth-stage investors seeking real adoption 4. LMArena’s benchmarking platform, now a standalone company, is well positioned as model evaluation and reliability become increasingly critical for both labs and downstream applications 5.

Crypto and fintech continue to attract capital but face operational and regulatory headwinds. Worldcoin’s $135M raise and Cookie3’s InfoFi launch highlight ongoing momentum in web3 identity and creator economy 315, but the SEC’s Unicoin lawsuit and Coinbase’s (COIN ) data breach are reminders of persistent compliance and security risks 1112. These events may accelerate institutional demand for robust governance and due diligence in crypto deals.

The macro environment is becoming less forgiving for private markets. KKR and the Kuwait Investment Authority’s warnings on the failure of U.S. bonds as a hedge and the call for PE capital returns reflect mounting pressure on fund managers to prioritize liquidity and transparency 13. Retail access to private assets is drawing scrutiny, with risks of lower-quality deal flow and valuation mismatches 13.

VCs should monitor further consolidation in AI hardware/infrastructure, regulatory actions in crypto, and LP sentiment on private markets. The funding bar is rising, and operational discipline is increasingly valued.