The Rundown: Edition 35 – BeyondMath funding, OpenAI in London, entrepreneurial exodus
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Nearly 6000 entrepreneurs exit UK in past two years
UK entrepreneurs have blamed weak economic prospects and changes to the tax regime as reasons for leaving the country, according to research by Rathbones. The leading destination for those leaving was the United Arab Emirates, followed by Spain and the US. FT
OpenAI backs London for global research hub
The ChatGPT developer has unveiled plans to make London its largest research hub outside the US, citing the city’s “unique concentration of world-class talent across machine learning and the sciences”. The move comes as OpenAI and Google DeepMind battle to secure the best (human) talent. Times
Treasury consults Blair’s think tank and Big Tech on AI
James Murray, Chief Secretary to the Treasury, has chaired a meeting which was attended by the Director of AI at the Tony Blair Institute for Global Change (TBI) and senior executives from tech companies such as IBM and Faculty AI. Guardian
UK media groups combine to curb AI ‘scraping’ of journalism
Leading UK news organisations, including the BBC, the FT and Sky News, have thought up plans to prevent AI tools from exploiting their journalism without permission. The coalition’s open letter questioned the “fairness, consent, attribution, transparency and trust” regarding the training and use of AI tools. FT
Allica Bank raises $155m Series D
Allica Bank, the London-based digital bank with more than 30,000 small and medium-sized businesses as customers, has achieved unicorn status with a $155 million Series D round. Investment came from Ventura Capital, GLG, Sona AM, TCV and Blue Owl. Sifted
BeyondMath secures $18.5m Seed round with CIC backing
BeyondMath, a deeptech company which has developed a first-of-its-kind generative physics model, has raised a $10 million Seed extension led by Cambridge Innovation Capital, with participation from UP.Partners, Insight Partners, and InMotion Ventures. It takes total Seed funding to $18.5 million. Tech.EU
Seraphim Space closes $100m fund
Seraphim Space, the world’s largest space technology investor, has raised a $100 million fund with backing from the British Business Bank. The National Security Strategic Investment Fund and Eutelsat, the Paris-based satellite communications provider. Times
Vibe coder SolveAI raises $45m Series A
SolveAI, which is building a no-code automated software development platform, has announced a $45 million Series A round led by Google Ventures, with additional backing from Northzone, Mantis VC and NeverLift. UKTN
Yachting industry charts course for strong growth
The yacht industry is “fuelled by fundamental growth driven by consumer interest”, according to John Nery, Managing Partner at Squircle Capital. A recent increase in deal flow comes as private capital firms face pressure from backers to sell assets and return cash. FT
Britain’s defence industry is “sleepwalking into vulnerability”
Without “urgent defence investment”, we risk learning Ukraine’s lessons “the hard way”, according to Andriy Dovbenko, Founder of UK-Ukraine TechExchange. The UK should focus on building long-term strategic partnerships and joint ventures with Ukrainian manufacturers to rearm efficiently and effectively. LBC
Au revoir, American tech
With the French Government planning to stop using Microsoft Teams and Zoom in favour of its own alternative, Visio, Stephen Kelly, CEO of Cirata, points out that the UK ought to consider a similar move. According to Kelly, “we are materially locked into US technology across critical layers of our digital infrastructure”. Independent
My first job – in a sports shop with Rachel Reeves
In ‘The Square Mile and Me’, Daniel Callaghan, CEO and Founder of Veremark, shares that his first job was working in a sports shop with Rachel Reeves, the now Chancellor of the Exchequer. Callaghan also notes that building the team you want is the biggest perk of the job. City AM
The end of the AI ‘Swiss Army knife’ approach
The era of general-purpose AI “Swiss Army knife” tools is ending, argues Gregory Mostyn, Co-Founder of Wexler. Instead, the future lies in industry-specific AI “scalpel” tools that will become core infrastructure for professional services firms. Interface
US President Donald Trump’s latest wave of tariffs came into effect at 10%, rather than the 15% he initially pledged. This comes after the US Supreme Court blocked Trump’s plans to implement a range of global import taxes. The ruling has had a huge impact on the climate tech industry, which has already seen production costs soar since Trump took office for the second time. Companies like Tesla and countries like China stand to benefit; however, there is still much uncertainty. In the meantime, the UK and US have restarted work on the multibillion-pound Tech Prosperity Deal that was halted late last year. High on the agenda is nuclear power. These plans will not go without opposition, and Greenpeace has some thoughts.
You know who else has some thoughts? Possibly not young Brits, the majority of whom cannot name a ‘single’ entrepreneur. Perhaps this is because young people are more concerned about the flailing graduate job market, or because Reform has pledged to scrap the Renters Rights Act, 2025, if elected. Or maybe it’s because nearly 6,000 entrepreneurs have left the UK over the past two years, or maybe because work visas have fallen drastically. Who needs to know who Steven Bartlett is, anyway?