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The AI gold rush is pulling private wealth into riskier, earlier bets

Private wealth from family offices is increasingly bypassing traditional venture capital firms to make direct investments in AI startups, shifting from passive to active investment roles. This trend represents a significant change in how early-stage AI funding is structured, with investors seeking more direct exposure to the AI boom. The movement carries higher risks as these investors take on earlier-stage bets without VC intermediation.

Background

The AI industry has seen massive investment growth as companies race to develop and deploy artificial intelligence technologies across various sectors. Traditional venture capital has been the primary funding source for early-stage AI startups.

Source
TechCrunch
Published
Apr 7, 2026 at 09:00 PM
Score
6.0 / 10