November 2025

“I can’t tell you what it really is, I can only tell you what it feels like.”
― Eminem

The scale and velocity of AI value creation has been unlike anything else before: Anthropic is on track to go from Zero to $9B ARR by Dec 2025; it is forecasting $70B ARR by 2028, its seventh birthday. For context, Salesforce, founded 26 years ago, reported $38B revenue for FY25!

In the US, so large has been the data center expansion that the national energy grid is now the bottleneck for more compute! The data center capacity is expected to more than double by 2030 (see figure below). I’d take this with a pinch of salt - we expect this to be even faster as the utility and strategic importance of AI grows.

While frontier companies like Anthropic capture headlines, enterprise adoption is still early - and that’s where the next wave of value will emerge. Only a third of high-performing enterprises spend meaningfully (>20% of digital budget) on AI (see figure below). We expect both variables — % digital spend and number of high-performing enterprises — to grow. As many known issues - for example, agents’ performance, lack of agentic-fin infra - get solved, we expect the category to expand multi-fold.

In our focus markets, we saw continued tailwinds and large deals get announced. A few tailwinds and respective shots-on-goal we have in the fund:

We had a friendship with the co-founder, Tom (while he was still in England), for many years. In fact Tom had introduced us to portfolio founders even before we committed to invest in his company! This evidence of a spinning reputation flywheel is heartening for us.

What does Blok do? Imagine you were launching a new product – could be a mobile app, a new credit card plan, or a new insurance bundle. What if you could ask a genie before building: Will my customers like this? Which personas will like it the most, and what revenue lift can we expect?

Blok builds AI persons -- synthetic user personas based on cognitive science and event log data -- and runs them through thousands of simulations. The result: faster product decisions, less waste, and better use of engineering resources. Within weeks of launch, they hit $1M ARR and signed a Fortune 500 client.

Outside our portfolio, Listen Labs (raised $27M led by Sequoia) and Artificial Societies (Point72, YC) are building alternative products for behavior-modelling. This investment fits into the broader ‘infrastructure’ under development for the successful deployment of myriad AI robots, vision and applications. This is an area we are excited about.

Follow-on financing is like oxygen for companies, and we work hard to put our founders in a winning position: mock pitches, sketching investment decks and sharing insider scoop on the evaluation criteria of a growth investor are all fair game!

Our portfolio, across three companies, received commitments of over $50M in follow-on financing last month.

Shout out to friend & investor in the firm Jay Madheswaran (founder, Eve – legal AI) for the monster $100M+ financing and getting valued over $1B in the private market.

Together with Kleiner Perkins, we co-hosted 30 top global engineers building startups. The energy was high; our portfolio companies were sniffing for new hires😊 and we were picking up intel on companies. Of course, we were also having fun.

We also got an invitation to lead a panel at Money 20/20 in Riyadh. On the sidelines, we met with business and government leaders across Riyadh and the UAE. The excitement is translating into action: we firsthand saw how governments are moving fast to build AI-centric economies with clear priority areas.

For example, the vast majority of our portfolio companies fall in high-priority areas for the Kingdom’s Vision 2030, and therefore, we believe interesting partnership opportunities in the region will emerge. We were at FII too, more on that later.

The next decade of AI will reward clarity, conviction, and speed -- and we’re building for that. Thank you for your continued partnership and trust.