Big drop in VC inflow; MeMeraki, a tech platform for artisans

Hello,

AI is proving to be far more expensive than what enterprises thought. 

Even simple tasks run on pricey frontier models, and costs continue to mount. So much that overblown AI budget has now become the central topic among companies in the US.

AI may be expensive, but coders don’t want to work without it. While AI helps generate code faster, it’s not always producing better code. Could developers’ over-reliance on AI coding tools eventually backfire? 

Meanwhile, AI or no AI, young people don’t want to keep their nose to the grindstone—as mini retirements gain currency among them. 

A mini retirement is a planned career break for a few months to focus on things that matter and assess one’s career pathway. Millennials and Gen Z are increasingly looking at a career break as a strategic reset and not a setback. 

In other news, the first Windows OS ​computers powered by Nvidia chips are said to debut next week, Axios has ​reported, citing sources. 

Lastly, let’s zoom in on the Dabbawallahs, who have not only delivered home-cooked meals to office goers in Mumbai, but have also been intrinsic to the culture and routine of the fast-paced city. Their logistics have seldom failed as they have fed millions for over 100 years with enviable accuracy. 

But now the famed Dabbawalas, who even became part of a Harvard Business School study, are struggling to survive, says this BBC feature. 

In today’s newsletter, we will talk about 

• Big drop in VC inflow 
• MeMeraki, a tech platform for artisans

Here’s your trivia for today: Which famous city bridge is known locally as ‘The Coathanger’?

Funding roundup

Big drop in VC inflow 

Venture capital funding in Indian startups on a weekly basis touched the lowest level for the year till now, and this does not augur well for the ecosystem.

VC funding has dropped to its lowest level on a weekly basis so far this year so far, exposing challenges faced by the ecosystem in terms of weakened capital inflow as well as absence of credible AI startups.

Key takeaways: 

• The total VC funding raised by Indian startups for the last week of May came in just $66 million from 16 transactions. This is the lowest level reached on a weekly basis by the Indian startup ecosystem and this is the fifth time that total amount has dropped to below $100 million.
• This week was quite dismal in terms of fund raise as there was not a single transaction which crossed $15 million.
• These developments reveal the deep structural challenges faced by the Indian startup ecosystem. Also with much of the investors’ attention being focused on AI startups, there are no credible names from India as yet. This has led to a slowdown in the funding momentum.

ICYMI

MeMeraki, a tech platform for artisans

MeMeraki is a tech-enabled platform for traditional and folk art. The brainchild of Yosha Gupta, MeMeraki works with over 500 master artisans across 300+ traditional art forms, helping them reach global customers and build sustainable livelihoods.

Key takeaways: 

• “We started with people sending us their luxury handbags. We would show them traditional designs, send the bags to India, get them hand-painted and return them as one-of-a-kind pieces. Gradually, we began launching our own product lines too,” says Yosha Gupta. 
• Understanding the gap between desire and access, India’s extraordinary artistic heritage, and people’s awareness became the founding insight for MeMeraki. 
• Though Gupta entered this space as an outsider, her work has always orbited a trifecta of the things she loved—art and craft, impact, and technology.

News & updates

• Drone alliance: The United States, the United Kingdom, and Australia are to develop underwater drone technology to protect undersea cables and boost defence, under their military alliance known as Aukus.
• Lawsuit: A Kentucky school district has secured about $27 million in settlements from Meta Platforms and other ​social media companies over claims that they fuelled a student mental‑health crisis, according to records seen by Reuters. 
• Setback: Jeff Bezos’ Blue Origin could face months of delays after the explosion of its New Glenn rocket damaged the launch pad. This comes at a time when his companies Blue Origin and Amazon are seeking to establish themselves as viable challengers to Elon Musk’s SpaceX.

Which famous city bridge is known locally as ‘The Coathanger’?

Answer: Sydney Harbour Bridge

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