Apple & other tech giants are in talks to invest in OpenAI 😳💸; Stripe aims to revolutionize cross-border commerce in Asia with AI 💳🤖; Vertical neobanks are still alive as Comun secures $21.5M 🏦📈

FinTech is Eating the World, 29 August

Hey Everyone,

Good morning! Today’s issue is a special one as we’re looking into Apple and other tech giants who are in talks to invest in OpenAI (why it matters & what it has to do with FinTech + a bonus dive into Apple Intelligence & the future of payments), Stripe that aims to revolutionize cross-border commerce in Asia with AI (what the USP here & what’s next + a bonus dive into Stripe et al.), and vertical neobanks being alive as Comun secures $21.5M (why it matters & what can we expect next in the space). So let’s just jump straight into the amazing stuff 🌶️

Apple and other tech giants are in talks to invest in OpenAI 😳💸

The news 🗞️ Tech behemoths Apple AAPL 0.00%↑ and Nvidia NVDA 0.00%↑ are reportedly in talks to invest in OpenAI, the company behind the wildly popular AI chatbot ChatGPT.

This potential investment is part of a new fundraising round that could value OpenAI at over $100 billion making it one of the most valuable startups globally, according to multiple sources familiar with the matter.

Let’s take a quick look at this and see why it matters.

More on this 👉 The funding round, led by venture capital firm Thrive Capital, is expected to raise several billion dollars. Microsoft MSFT 0.00%↑, already a major investor in OpenAI, is also anticipated to participate.

While the exact investment amounts are undisclosed, this move signals a deepening of relationships between OpenAI and key players in the tech industry.

Zoom out 🔎 Apple's interest in OpenAI is particularly noteworthy, as the company typically shies away from startup investments. This potential move aligns well with Apple's recent announcement of integrating ChatGPT into its upcoming iOS 18, iPadOS 18, and macOS Sequoia operating systems.

The integration aims to enhance Siri's capabilities and introduce new AI-powered features across Apple's ecosystem.

ICYMI: Apple Intelligence and the future of P2P payments 🤖💸 [a holistic view of the most important AI improvements, why they matter & what’s next + a bonus dive into AI-driven Finance & how Apple can dominate here]

Nvidia, a dominant force in AI chip manufacturing, has been a long-standing partner of OpenAI, supplying the hardware that powers ChatGPT and other AI models. Their potential investment is the least surprising one and would only further solidify this crucial relationship.

OpenAI's growth has been remarkable, with ChatGPT reportedly doubling its weekly active users to over 200 million in the past year. However, the company's revenue, estimated at $3.4 billion annually as of May 2024, still lags behind some expectations given its high valuation.

✈️ THE TAKEAWAY

What’s next? 🤔 This is a brilliant deal for everyone: (1)Apple gains access to industry-leading AI technology and can quickly access advanced AI features thus enhancing the capabilities of Siri and other Apple Intelligence offerings; (2) OpenAI benefits from massive exposure to Apple's user base and can quickly distribute its LLMs across billions of devices; (3) Microsoft would please regulators regarding the ongoing fight against anti-competitive practices in the field of AI. Zooming out, the collaboration between tech giants and AI leaders like OpenAI could lead to more sophisticated financial tools and services being launched soon. We might sooner see AI-powered personal financial assistants, advanced fraud detection systems, and more accurate predictive models for investment and risk assessment. However, this move also raises questions about market concentration and data privacy. As tech giants increasingly invest in and partner with AI companies, there may be concerns about the consolidation of AI capabilities among a few powerful entities. So watch this space!

ICYMI: AI Agents in FinTech: from customer service to autonomous spending 🤖💳 [why it matters & what’s next]