Bloomberg Law
May 25, 2023, 11:55 PM

VC Giants Accel, Sequoia Scour Portfolio Startups for AI Risk

Saritha Rai
Saritha Rai
Bloomberg News

Global investors at the world’s largest venture capital firms including Accel and Sequoia Capital India are asking their portfolio companies the same question: How vulnerable are you to artificial intelligence?

The chaotic power of AI was on display earlier this month when online tutoring startup Chegg Inc. saw its stock price slump 48% because of competition from OpenAI chatbot ChatGPT. Now, venture capitalists around the world are evaluating their investments to find out whether AI tools could upend their industries. Chegg’s stock plunge further accelerated such reviews.

“An internal team at Accel is very deeply focused on this,” said Barath ...

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