Palazzolo: VCs are growing frustrated with unconventional AI acqui-hire deals
Stephanie Palazzolo · The AI Agenda: GPT5 leaks and the business of AI News — Steph Palazzolo, The Information · Aug 6, 2025 · at 46:05
Stephanie Palazzolo, AI reporter at The Information, shares feedback from venture capital investors regarding recent non-standard acquisition structures in AI.
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“Talking to investors, I think they're starting to, I think they're kind of over these types of deals. Like, they're like, hey, I mean, like, this is, like, fine, but, like, we don't invest in companies so they can get, like, a weird acquihire situation a couple years later. Like, we're investing in them because we think they can go public or, like, you know, at the very least get bought and, like, a pretty good exit. So I think a lot of VCs are, like, not super thrilled with these deals continuing to be, like, the new norm.”
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