Facing intense competition, AI‑focused startups are adopting a dual‑valuation funding structure that lets lead investors buy shares at a lower price while other investors pay a higher, headline‑making price. The approach lets companies brand themselves as unicorns even though a sizable portion of equity was purchased at a lower valuation. Recent rounds at Aaru and Serval illustrate the tactic, which analysts say can attract talent and customers but also raises the risk of future down rounds and investor disappointment. Read more →

Harper, an AI-native commercial insurance brokerage founded by Dakotah Rice and Tushar Nair, announced a $46.8 million combined Series A and seed round. Launched in 2024 as part of Y Combinator's W'25 batch, the company uses artificial intelligence to automate underwriting, document collection, and pipeline management, allowing it to serve more than 5,000 small- and mid-sized businesses across 160 carriers. Investors include Y Combinator, Peak XV Partners, and Emergence Capital. The new capital will expand Harper’s engineering team and brand, positioning the firm to become a central risk and compliance partner for entrepreneurs in middle America. Read more →