NEW: 3 Leaders Highlight the AI Disruptors Fund
Previous sellouts in Perplexity, Databricks, and Anthropic highlight the latest fund offered exclusively on StartEngine: A.I. Disruptors Fund. Now you can own exposure to some of the leading companies spearheading AI with a single investment. Also features innovators in gaming (Epic Games), crypto (Ripple), and industrial data (Avathon). Only 100 spots available.
$50.39 Per Share
Minimum Investment $25,195
Fund Breakdown*
Anticipated breakdown assuming a fully subscribed offering:
* The allocation percentages may slightly change based on how much capital will be raised for the fund. Some of the allocations might not have direct share ownership based on the transfer restrictions out of our control, however, the fund will be a direct beneficiary. ** Indirectly owned; specifically, entitled to an economic interest in the underlying company through ownership of Special Purpose Vehicle (“SPV”) interests. See Footnote 8 for additional details.
CEO & Co-Founder of StartEngine
“All of these offerings sold out on our platform. With our A.I. Disruptors Fund, we’re offering another opportunity to invest in Series for some of the biggest names in AI — this time with one investment and a combined lower minimum per offering.”
Reasons to Invest
$13B+ Raised From Major Investors Like Amazon and Google
With its Claude models, Anthropic is aiming to prove that “safe” AI can compete in the search wars. How’s it going? Anthropic reported $1B in annualized revenue in 2024 and projects $34.5B in revenue by 2027.³ The company is also fueling its mission with over $13B in cumulative funding from top investors like Amazon and Google.⁴ With Claude 3.7, some experts claim that Anthropic is “back in the lead” of the AI model race.⁵
Google’s “Most Serious Rival”?
Considered by some experts as Google’s “most serious rival,” Perplexity’s AI search solution offers “clean, comprehensive answers” without the cluttered, ad-heavy experience.⁶ In December 2024, The company tripled its valuation to $9B compared to 6 months prior with a $500M round led by Institutional Venture Partners.⁷
One of the Largest VC Rounds of 2024 Adds Meta as an Investor
Databricks closed 2024 with the largest VC round of the year — a $10B Series J that made it the one of the most highly valued U.S. based startup as of December 2024.⁸ A month later, the AI and data giant announced that Meta joined as a “strategic investor,” and the company expanded the round with $5B in debt financing from JPMorgan Chase, Goldman Sachs, Morgan Stanley, and others.⁹
There is no guarantee the valuation, revenue and growth for these companies will continue.
About the Portfolio Companies
As the AI search wars heat up, Anthropic is aiming to prove that “efficiency” and “security” aren’t mutually exclusive. The company’s responsible AI solutions have achieved $1 billion in annualized revenue and attracted $13B+ from Amazon, Google, and established VCs.
* Indirectly owned; specifically, entitled to an economic interest in the underlying company through ownership of SPV interests. See footnote 11 for additional details.
Raised as of Jan. 2025: $12.19B (through Series E-2)
Notable Investors: Amazon, Google, SalesForce Ventures, Lightspeed Venture Partners
Leadership Team: Dario Amodei, CEO, and Daniela Amodei, President, co-founded Anthropic after holding senior positions at OpenAI.
Press Section:
1. Sacra Equity Report: Anthropic
2. Tech Crunch: Anthropic Reportedly in Talks to Raise $2B at $60B Valuation, Led by Lightspeed
3. Tech Monitor: UK To Assess AI Integration in Public Services Through Anthropic Partnership
4. Venture Beat: Snowflake Expands AI Tools With Anthropic Partnership
5. Tech Crunch: Anthropic’s Next Major AI Model Could Arrive Within Weeks
The information above may not be accurate or complete and has not been independently verified. See footnote 16.
You can read more about Anthropic here.
Perplexity AI, the ChatGPT competitor backed by NVIDIA and Jeff Bezos. The company has just secured another $500M in funding at a $9B valuation just five months after SoftBank’s investment at a $3B valuation. The company reported 230 million monthly search queries in the U.S. — an eightfold increase from 2023. The company is on track to multiply annualized revenues by 5X since the beginning of 2024.
* Indirectly owned; specifically, entitled to an economic interest in the underlying company through ownership of SPV interests. See footnote 11 for additional details.
Raised as of Nov. 2024: $916.4M (through Series D)
Notable Investors: NVIDIA, Jeffrey Bezos/Bezos Expeditions, The SoftBank Group, Bessemer Venture Partners
Leadership Team: Aravind Srinivas, CEO & Co-Founder was previously a Research Specialist at OpenAI.
Press Section:
1. Sacra Equity Report: Perplexity
2. Bloomberg: AI Startup Perplexity Closes Funding Round at $9 Billion Value
3. TechCrunch: Perplexity brings ads to its platform
4. AdWeek: EXCLUSIVE: Perplexity Is Quietly Building an AI-Powered Shopping Experience, Taking On Amazon
The information above may not be accurate or complete and has not been independently verified. See footnote 16.
You can read more about Perplexity here.
Databricks, a heavyweight in AI and data analytics, just partnered with an impressive investor syndicate (Thrive Capital, Andreessen Horowitz, DST Global) to raise a $10 billion Series J — eclipsing the record $6.6 billion competitor OpenAI just raised in October 2024. The round's $62 billion valuation was one of the highest for a U.S.-based startup as of December 2024, alongside OpenAI, SpaceX, and Stripe. According to Co-Founder and CEO Ali Ghodsi, the capital will be used to build “transformative data and AI infrastructure” and help “companies across every industry build data intelligence.”
* Indirectly owned; specifically, entitled to an economic interest in the underlying company through ownership of SPV interests. See footnote 11 for additional details.
Raised as of Dec. 2024: $14.25B (through Series J)
Notable Investors: Nvidia, Andreessen Horowitz, BlackRock, T. Rowe Price
Leadership Team: Ali Ghodsi, CEO & Co-Founder, founded Databricks in 2013 and led the company to a $62 billion valuation.
There is no guarantee valuation will continue to increase.
Press Section:
1. Sacra Equity Report: Databricks
2. CNBC: Databricks announces $10 billion financing at $62 billion valuation
3. The Information: Kleiner Perkins, Founders Fund, SoftBank to Invest in Databricks’ $7 Billion Fundraising
4. The Information: Databricks’ ‘Truth-Seeking’ CEO Wants to be Bigger Than Salesforce
5. Wall Street Journal: Amazon, Databricks Strike Five-Year Deal Around AI Chips
The information above may not be accurate or complete and has not been independently verified. See footnote 16.
You can read more about Databricks here.
Epic Games is a leader in interactive entertainment, known for Fortnite, which has over 650 million accounts, and the widely used Unreal Engine. In 2024, Epic secured a $1.5 billion investment from Disney to bring Disney, Marvel, Pixar, and Star Wars characters into Fortnite. The company was ranked among the top 10 largest video game companies by revenue, with an estimated $5.8 billion in 2024.
* Indirectly owned; specifically, entitled to an economic interest in the underlying company through ownership of SPV interests. See footnote 11 for additional details.
Raised as of Sep. 2024: $8.01B
Notable Investors: Disney, Lego, Avitas Capital partners, Sony, Franklin Templeton
Leadership Team: Tim Sweeney founded Epic Games (originally named Potomac Computer Systems) as a college student at the University of Michigan in 1991.
Press Section:
1. The Verge: Epic and Disney Want To Make ‘What Every Disney Fan Has Ever Wanted’
2. VentureBeat: Epic Games Store Hits Nearly 300 Million PC Users in 2024
3. Forbes: The Fortnite Effect: How User-Generated Content Is Reshaping Gaming
The information above may not be accurate or complete and has not been independently verified. See footnote 16.
You can read more about Epic Games here.
Avathon (formerly known as SparkCognition) develops A.I. solutions that help global enterprises predict future outcomes, optimize processes, and prevent cyber-attacks — potentially saving companies millions over time. The company’s solutions were recognized with Fast Company's “World Changing Ideas Award.” Avathon recently collaborated with Shell and, through the company’s joint venture with Boeing called SkyGrid, with NASA. Avathon has garnered $341M in backing (as of June 2023), including investments from March Capital and grants from the U.S. Department of Defense, NAVY, and Air Force.
Raised as of Jan. 2022: $341.04M (through Series D)
Notable Investors: March Capital, Hearst Ventures, Global Space Ventures
Leadership Team: Pervinder Johar, CEO with over 30 years of experience in technology and supply chain solutions including Hewlett Packard and EdgeVerve.
Press Section:
1. Solar Power World: SparkCognition changes name to Avathon
2. SkyGrid: SkyGrid and NASA Work Together to Advance Emerging Aviation Operations with Autonomous Systems
3. TASB (local news): Districts Turn to AI to Address School Security Needs
4. Built In: 9 Austin Cybersecurity Firms Keeping Us Safe
The information above may not be accurate or complete and has not been independently verified. See footnote 16.
You can read more about Avathon here.
With strong partnerships with over 300 financial institutions, Ripple is well-positioned to transform global payments through its enterprise blockchain solutions. The company has partnered with major financial players like American Express and Santander and was last valued at $15 billion.
Raised as of Dec. 2019: $586.8M (through Series C)
Notable Investors: Andreessen Horowitz, Google Ventures, Standard Chartered
Leadership Team: Brad Garlinghouse, CEO & Board member, former CEO of Hightail, with leadership roles at AOL, Yahoo!, and other tech companies.
Press Section:
1. Sacra Equity Research: Ripple
2. Bitcoin.com News: SEC's Ripple Appeal Is Next to Fall, Former SEC Official Declares
3. AP News: Trump’s Inauguration Will Usher In a Crypto-Friendly Administration, and With It, New State Policies
The information above may not be accurate or complete and has not been independently verified. See footnote 16.
You can read more about Ripple here.
TOTAL VENTURE CAPITAL INVESTMENTS IN UNDERLYING COMPANIES: $36.29B
When I do invest, what am I purchasing?
Any investment you do make will be for membership interests in the A.I. Disruptors Fund (Series 4-1 of StartEngine Private Funds LLC) which will own shares of the underlying companies either directly or indirectly. You will not be investing in the underlying companies themselves.
How much of my investment will be allocated to each underlying company?
39.65% will be allocated to Anthropic**
37.66% will be allocated to Perplexity**
11.96% will be allocated to Databricks**
3.48% Will be allocated to Epic Games**
2.28% Will be allocated to Avathon
4.96% Will be allocated to Ripple
The allocation percentages may slightly change based on how much capital will be raised for the fund. Some of the allocations might not have direct share ownership based on the transfer restrictions out of our control, however, the fund will be a direct beneficiary.
** Indirectly owned; specifically, entitled to an economic interest in the underlying company through ownership of SPV interests. See Footnote 11 for additional details.
This list represents the fund's composition assuming it reaches its maximum investment amount. If the fund does not reach its maximum investment amount, the actual amounts will vary in proportion to their percentage makeup as depicted in the Terms section.
What’s a series limited liability company or series LLC, you ask?
StartEngine Private Funds is the primary or “parent” LLC that comprises one or more distinct series of interest for each underlying asset. The series either directly or indirectly invests in and holds shares of the underlying companies. Each series will be a separate series and not a separate legal entity. Under Delaware law, if certain conditions are met, the liability of investors holding one series of interests is segregated from the liability of investors holding another series of interests and the assets of one series of interests are not available to satisfy the liabilities of other series of interests. In the case of StartEngine Private each series will be created for the purpose of holding an equity interest in stated underlying companies.
How do you determine the share price?
The series of StartEngine Private Funds purchases the underlying securities from an affiliate. The affiliate previously sourced and negotiated the terms to purchase these underlying securities from third parties. The amount paid by the series of the StartEngine Private Funds is higher than the price the affiliate purchased the securities previously in the secondary market. We also note that while StartEngine Advisers LLC does not impose any continuing management fee expenses, there is a carried interest of 20 percent associated with the investment in our series, and therefore to the extent the securities appreciate in value there will not be a one-to-one economic parity between the share value of the StartEngine Private shares and the underlying companies’ shares. Please read the “Risk Factors,'' which is included as Exhibit B to the subscription agreement for further details.
What happens to my investment when an underlying company has a liquidity event?
In the event that an underlying company experiences a liquidity event, after the relevant holding period is over, the proceeds from the sale of the shares will be distributed to investors, minus any applicable fund operating expenses or carried interest. Holding period length varies from company to company.
TERMS
| Company | Type of Share | Up to Total $ | Affiliate Acquisition PPS | Fund PPS* | Up to Shares | Allocation of Funds |
|---|---|---|---|---|---|---|
| Anthropic** | Membership interests in SPV entitled to economic interests in Series E Preferred Shares | $999,000.00 | $64.81 | $90.00 | 11,100 | 39.65% |
| Perplexity** | Membership interests in SPV entitled to economic interests in Series A-3 Preferred Shares | $948,750.00 | $350.77 | $575.00 | 1,650 | 37.66% |
| Databricks** | Membership interests in SPV entitled to economic interests in Series J Preferred Stock | $301,455.00 | $98.98 | $145.00 | 2,079 | 11.96% |
| Epic Games** | Membership interests in SPV entitled to economic interests in Common Stock | $87,750.00 | $478.00 | $675.00 | 130 | 3.48% |
| Avathon | Common | $57,566.25 | $6.18 | $11.25 | 5,980 | 2.28% |
| Ripple | Series A Preferred Shares | $125,000.00 | $79.41 | $125.00 | 1,000 | 4.96% |
This chart represents the fund's composition assuming it reaches its maximum investment amount. If the fund does not reach its maximum investment amount, the actual amounts will vary in proportion to their percentage makeup as depicted in the chart.
The value of the offered interests may not be directly equivalent to those of the existing shares of the underlying companies and may have differing material rights, including a carried interest fee of 20%. For securities where the underlying economic interests are through an SPV, there may be additional economic costs related to the ownership through this structure. This offering is not eligible for any bonus shares. Any reference to bonus shares or similar terms should not be interpreted as an offer or entitled to bonus shares.
The allocation percentages may slightly change based on how much capital will be raised for the fund. Some of the allocations might not have direct share ownership based on the transfer restrictions out of our control, however, the fund will be a direct beneficiary.
*The amount paid by the A.I. Disruptors Fund for the portfolio company securities is higher than the price StartEngine Crowdfunding Inc. previously paid for the securities in the secondary market.
** See Footnote 11 for additional details.
DISCLAIMERS
1. The underlying companies are not participating or involved in this offering. The availability of company information does not indicate that the company has endorsed, supports or otherwise participates with StartEngine Private Funds LLC or any of its affiliates. StartEngine Private Funds LLC purchases shares from current and former employees, early investors, and advisors of the companies. When you make an investment in a company on StartEngine Private, you are purchasing an interest in Series 4-1 (“A.I. Disruptors Fund”), a series of StartEngine Private Funds LLC, a Delaware limited liability company (the “Series LLC”), which was created to hold shares of privately held companies. An investor will not directly own or hold shares of the private company but instead will own member interests in a series of the Series LLC, which either directly or indirectly, will hold shares in the company. There may not be a one-to-one economic parity on the value of the Series LLC interests and the underlying shares.
StartEngine Advisers LLC manages the Series LLC and qualifies as an exempt reporting advisor (“ERA”) with the Securities and Exchange Commission pursuant to Rule 203(m)-1 under the Advisers Act.
The underlying securities of A.I. Disruptors Fund offered herein may be subject to restrictions on transferability and resale including a Right of First Refusal ("ROFR"). As such, the underlying companies have the first right to purchase the securities should A.I. Disruptors Fund wish to sell or transfer them. This may affect the ability of A.I. Disruptors Fund to dispose of the securities. Before investing, potential investors should carefully read the offering documents and consult with their advisor to understand the implications of these restrictions.
Expenses, including those for disposing of Portfolio Company Securities, extraordinary expenses, transaction fees (including brokerage fees), administration fees, and insurance fees, will be the responsibility of the Series. These expenses may reduce the amount you receive from a liquidation or distribution event. Additionally, StartEngine Primary LLC representatives may earn commissions for providing recommendations to investors in connection with this offering.
2. Unless otherwise indicated, the information on this webpage and our marketing materials for A.I. Disruptors Fund is sourced as of December 14, 2024, from PitchBook, a website that maintains a record of the company’s funding rounds, along with their corresponding pre- and post-money valuations. As information on the company, including the valuations, are sourced from publicly available information, we do not guarantee their accuracy or completeness. The data and information may be subject to errors, omissions, or changes over time, and we are not responsible for any inaccuracies in the data and information provided. All the information contained on this page is derived from publicly available data and information, and has not been independently verified by us or any of our affiliates. This information should not be considered as financial or investment advice. Before making any investment decision you should consult your own financial, investment and tax advisors.
3. Source: Source: Reuters, “Anthropic Sees Revenue Potentially Soaring to $34.5 Billion in 2027, the Information Reports,” February 12, 2025
4. Source: Chris Metinko, “The Week’s Biggest Funding Rounds: Anthropic Leads Slow, Slow Week,” Crunchbase News, January 24, 2025
5. Source: Alex Heath, “Anthropic’s New ‘Hybrid Reasoning’ AI Model Is Its Smartest Yet,” The Verge, February 24, 2025
6. Source: Parmy Olson, “Google’s Most Serious Rival Isn’t Microsoft. It’s a Startup.,” Bloomberg, January 7, 2025
7. Source: Lloyd Lee, “Perplexity AI Triples Its Valuation in About 6 Months With Latest $500 Million Funding Round,” Business Insider, December 18, 2024
8. Source: Marlize van Romburgh, “Databricks Raises $10B In 2024’s Largest Venture Funding Deal,” Crunchbase News, December 17, 2024
9. Source: Paul Sawers, “Databricks Closes $15.3B Financing at $62B Valuation, Meta Joins As ‘Strategic Investor’”, TechCrunch, January 22, 2025
10. Sources: Shirin Ghaffary, “AI Startup Perplexity Closes Funding Round at $9 Billion Value,” Bloomberg, December 18, 2024; Madhumita Murgia & Cristina Criddle, “Perplexity’s Popularity Surges As AI Search Start-Up Takes On Google,” Financial Times, August 9 2024; LinkedIn, “Aravind Srinivas,” Accessed February 11, 2025
11. StartEngine Private Funds LLC (the “Series LLC”) holds economic interests of Anthropic, Perplexity, Databricks, and Epic Games through indirect ownership via Special Purpose Vehicle (SPV) interests. There may not be a one-to-one economic parity on the value of the Series LLC interests and the underlying shares.
12. Sources: Marlize van Romburgh, “Databricks Raises $10B In 2024’s Largest Venture Funding Deal,” Crunchbase News, December 17, 2024; Databricks, “Leadership Team,” Accessed February 11, 2025
13. Sources: Epic Games, “About Epic Games,” Accessed March 11, 2025; Mansoor Iqbal, “Fortnite Usage and Revenue Statistics (2025),” Business of Apps, January 22, 2025; Dawn Chmielewski, “Disney’s Investment in Epic Games Signals the Company Has to ‘Be There’,” Reuters, February 8, 2024; Statista, “Gross Revenue Generated by Epic Games Worldwide From 2018 to 2026,” December 2023; All Top Everything, “Top 10 Biggest Video Game Companies in the World,” January 8, 2025
14. Sources: SkyGrid, “SkyGrid and NASA Work Together to Advance Emerging Aviation Operations with Autonomous Systems,” May 31, 2024; Avathon, “SparkCognition and Shell Announce a Technology Collaboration Aimed at Accelerating the Pace of Exploration Through the Use of Generative AI,” PR Newswire, May 17, 2023; LinkedIn, “Pervinder Johar,” Accessed February 11, 2025; Avathon, “SparkCognition Recognized Across Categories in Fast Company's 2022 World Changing Ideas Awards,” PR Newswire, May 3, 2022
15. Sources: Kobmeister, “What Are the Current Partnerships Associated With XRP?,” Binance Square, January 16, 2025; Ryan Browne, “American Express, Santander Team Up With Ripple for Cross-Border Payments via Blockchain,” CNBC, November 16, 2017; Edlyn Cardoza, “Ripple Buys Back Series C at $15B Valuation,” IBS Intelligence, January 28, 2022
16. The links provided are for informational purposes only. The presence of the links on this page does not imply endorsement by the respective websites and the accuracy or completeness of the information presented cannot be guaranteed.
THIS WEBPAGE MAY CONTAIN FORWARD-LOOKING STATEMENTS AND INFORMATION RELATING TO, AMONG OTHER THINGS, THE UNDERLYING COMPANIES WHOSE SECURITIES MAKE UP THIS FUND, THEIR BUSINESS PLAN AND STRATEGY, AND THEIR INDUSTRY. THESE FORWARD-LOOKING STATEMENTS ARE BASED ON THE BELIEFS OF, ASSUMPTIONS MADE BY, AND INFORMATION CURRENTLY AVAILABLE TO THE FUND’S MANAGEMENT. WHEN USED IN THE OFFERING MATERIALS, THE WORDS “ESTIMATE,” “PROJECT,” “BELIEVE,” “ANTICIPATE,” “INTEND,” “EXPECT” AND SIMILAR EXPRESSIONS ARE INTENDED TO IDENTIFY FORWARD-LOOKING STATEMENTS, WHICH CONSTITUTE FORWARD LOOKING STATEMENTS. THESE STATEMENTS REFLECT THIRD PARTY VIEWS WITH RESPECT TO FUTURE EVENTS AND ARE SUBJECT TO RISKS AND UNCERTAINTIES THAT COULD CAUSE THE ACTUAL RESULTS TO DIFFER MATERIALLY FROM THOSE CONTAINED IN THE FORWARD-LOOKING STATEMENTS. INVESTORS ARE CAUTIONED NOT TO PLACE UNDUE RELIANCE ON THESE FORWARD-LOOKING STATEMENTS, WHICH SPEAK ONLY AS OF THE DATE ON WHICH THEY ARE MADE. THE COMPANY DOES NOT UNDERTAKE ANY OBLIGATION TO REVISE OR UPDATE THESE FORWARD-LOOKING STATEMENTS TO REFLECT EVENTS OR CIRCUMSTANCES AFTER SUCH DATE OR TO REFLECT THE OCCURRENCE OF UNANTICIPATED EVENTS.
This Reg D offering is made available through StartEngine Primary, LLC, and sold only to accredited investors through general solicitation. An accredited investor is an individual or entity that meets specific home or net worth requirements as defined by the Securities and Exchange Commission.
The securities being offered have not been registered under the Securities Act of 1933 or any state securities laws and are being offered and sold in reliance on exemptions provided by Regulation D.
This offering is speculative and illiquid, and investors should be prepared to hold the securities for an indefinite period. Investing in securities involves risk, and there is the possibility of losing your entire investment. Neither StartEngine nor its affiliates provide investment advice or recommendations, nor do they offer legal or tax advice regarding any securities.
Investors should carefully review all offering documents, including the private placement memorandum, subscription agreement, and any other relevant materials before making an investment decision.