Stableton Navigator | OpenAI's Major Partnership & Databricks Revenue Surge
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Welcome to this week's edition of the Stableton Navigator. OpenAI achieves a significant milestone by partnering with Apple, marking a major step in making AI accessible to millions. Databricks announces a remarkable revenue surge, reaching $2.4 billion by mid-year, driven by strong customer growth and innovation. Meanwhile, France's Mistral AI raises €600 million in a Series-B round. Stay tuned for more key updates and insights.
Highlight of the Week
OpenAI has achieved a major milestone by partnering with Apple to integrate ChatGPT into iOS, iPadOS, and macOS. Announced at the WWDC, this brings ChatGPT to millions of Apple users. Siri will use ChatGPT for more complex tasks, with strong privacy protections. This partnership marks a major step for OpenAI in making AI accessible to everyone.
Market Update
France's Mistral AI raised €600 million ($643.7 million) in a Series-B round led by General Catalyst, valuing the startup at €5.8 billion. Other investors included Lightspeed, Andreessen Horowitz, Cisco Systems, and Nvidia. The funds will expand computing power, hire talent, and boost its U.S. presence.(1)
StepStone raised $3.3 billion for its VC Secondaries Fund VI, the largest of its kind. This reflects strong LP interest in venture secondaries. LPs seek faster, lower-risk returns from successful startups. Brian Borton of StepStone noted that $3.3 billion is small relative to the market's potential, which grows as startups stay private longer.(2)
Lightspeed Venture Partners is focusing on secondary markets, applying to the SEC to become a "registered investment adviser." This allows them to exceed the 20% cap on secondary trades. Investing $580 million in secondary deals over three years, Lightspeed’s move reflects growing recognition of secondary markets' potential for providing liquidity and investment opportunities.(3)
Portfolio and Co-Investment Update
Interested in gaining early access to the next generation of industry-leading private companies? Stableton's co-investment program and our portfolio products offer unique opportunities to invest in the most promising businesses before they go public.
To learn more and stay informed about our latest offerings, contact us here to express your interest.
Portfolio News
 | OpenAI and Apple are partnering to integrate ChatGPT into iOS, iPadOS, and macOS. Users can access ChatGPT’s features directly on Apple devices. Siri will use ChatGPT’s intelligence with strong privacy protections. The GPT-4 powered integration will be free later this year, with extra features for subscribers. This move supports OpenAI’s mission to make AI accessible to everyone.(4) |
 | Databricks announced its annualized revenue will hit $2.4 billion by mid-year, up 60%. This growth, driven by new and existing customers, was revealed at their Data and AI Summit. CEO Ali Ghodsi highlighted the rapid expansion, supported by the recent acquisition of Tabular. Despite economic challenges, Databricks continues to thrive, emphasizing innovation and strong client spending.(6) |
 | Anthropic calls for standardized red teaming of AI models, outlining four approaches to improve security and transparency. The company emphasizes the need for consistent practices to identify vulnerabilities and align with new regulatory trends in the U.S. and EU. Anthropic suggests funding third-party red teaming and linking model development to red teaming results to enhance safety.(7) |
 | Revolut has signed a 10-year lease for a new global headquarters in Canary Wharf, reinforcing its commitment to London amid global expansion plans. The fintech giant plans to increase its workforce by 40% this year, reaching 11,500 employees. CEO Nik Storonsky highlighted the move as a major step for the company, which continues to grow rapidly, boasting over 40 million users worldwide.(8) |
Stableton News
We are thrilled to announce that two of our esteemed partners, fundcraft and GenTwo, have recently received prestigious awards. Fundcraft secured the Fund Administrator: Technology & Innovation Award at The Drawdown Awards, while GenTwo won the Growth Stage Start-up of the Year at the Swiss FinTech Awards.
These achievements highlight our commitment to partnering with industry leaders who are at the forefront of innovation and excellence. As we continue to expand our footprint, these recognitions reinforce Stableton's position at the cutting edge of private market investments.
Chart of the Week
In Q1 2024, the in-the-money exercise rate for employee stock options rose for the first time since 2021, ending a nine-quarter decline. This indicates growing employee optimism, improved market sentiment, and potential liquidity opportunities for pre-IPO investors.
The Untold Unicorn Story
Rippling is a trailblazer in workforce management. They offer an all-in-one platform that simplifies HR, IT, and finance tasks. With Rippling, companies can manage employee data, payroll, benefits, and devices from a single place. Their goal is straightforward: eliminate the chaos of administrative work and help businesses run smoothly.
Fun Fact: Before founding Rippling in 2016, Parker Conrad made a significant impact with Zenefits, a SaaS company he founded in 2013 that helped businesses manage HR needs like payroll and health insurance. Zenefits grew rapidly, reaching over $100 million in ARR within two years. Building on this success, Conrad launched Rippling, continuing his journey of innovation in the business software space.
Q&A and Learning
Why will private markets develop like public markets?
Private markets are evolving similarly to public markets, driven by democratization, longer private ownership, and the need for liquidity.
Key advancements include better data infrastructure, digital share registries, secure custody solutions, and new trading platforms. These innovations are set to enhance liquidity, transparency, and accessibility in private markets, mirroring the transformation seen in public markets.
Where to Meet Us
Reach out if you would like to meet
FundForum - Monaco (June 24-26)
Prestel & Partner London Family Office Forum - London (July 2-3)
Apero and get together - Milan, Italy (July 10)
Israel Private Markets Summit - Tel Aviv (July 16)
IPEM - Paris (September 9-10)
Prestel & Partner Family Office Forum Germany - Wiesbaden (September 11-12)
AIM Summit - Dubai (October 21-22)
Europe Family Office Summit - Rome (October 24-25)
AltsUK - London (October 26)
And, of course, we are always happy to meet you at our main offices in Zurich, Switzerland!
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