Introduction
Investment banks are betting big on deep tech and AI, and for good reason. These technologies have the potential to revolutionize many industries and create new markets, and investment banks are eager to get in on the ground floor. In the last 6 months, there has been a surge in deep tech and AI investments, with some of the largest deals involving companies like SoftBank, BlackRock, Google Ventures, and Sequoia Capital.
What is Deep Tech?
Deep tech is a broad term that encompasses a wide range of technologies that are based on scientific breakthroughs. These technologies are often complex and difficult to develop, but they have the potential to revolutionize many industries.
Some examples of deep tech include:
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Artificial intelligence (AI)
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Machine learning (ML)
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Natural language processing (NLP)
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Robotics
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Quantum computing
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Biotechnology
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Nanotechnology
What is AI?
Artificial intelligence (AI) is the field of computer science that deals with the creation of intelligent agents, which are systems that can reason, learn, and act autonomously. AI is used in a wide range of applications, including:
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Self-driving cars
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Facial recognition
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Medical diagnosis
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Fraud detection
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Customer service chatbots
Why Are Deep Tech and AI Investments Increasing in Investment Banking?
There are a number of reasons why deep tech and AI investments are increasing in investment banking. First, these technologies have the potential to disrupt many industries and create new markets. This means that there is a significant amount of investor interest in deep tech and AI companies.
Second, deep tech and AI companies are often very innovative and have the potential to generate high returns on investment. This makes them attractive to investment banks, which are always looking for new opportunities to generate profits for their clients.
Finally, investment banks are increasingly recognizing the importance of deep tech and AI in the future of the economy. By investing in these technologies, investment banks can position themselves to be leaders in the emerging digital economy.
Interesting Deep Tech and AI Deals from the Last 6 Months
Here are a few interesting deep tech and AI deals from the last 6 months:
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SoftBank Invests $1.5 Billion in Graphcore: SoftBank, a Japanese investment conglomerate, invested $1.5 billion in Graphcore, a British company that develops AI chips. This investment is one of the largest ever in a European AI company.
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BlackRock Launches $1 Billion AI Fund: BlackRock, the world's largest asset manager, launched a $1 billion AI fund to invest in AI startups and companies. This fund is one of the largest ever dedicated to AI investing.
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Google Ventures Invests $75 Million in Vicarious Systems: Google Ventures, the venture capital arm of Google, invested $75 million in Vicarious Systems, a company that develops AI software that can learn like humans.
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Sequoia Capital Invests $225 Million in OpenAI: Sequoia Capital, a leading venture capital firm, invested $225 million in OpenAI, a non-profit research lab that develops AI technologies.
These deals highlight the growing investor interest in deep tech and AI companies. Investment banks are playing a leading role in this trend, and they are investing heavily in these technologies.
Conclusion
Deep tech and AI are two of the most exciting and transformative technologies of our time. Investment banks are increasingly recognizing the importance of these technologies, and they are investing heavily in them. This trend is likely to continue in the coming years, as deep tech and AI become even more integrated into the global economy.
