Jaeden Schafer

One thing that's interesting in this deal, according to a bunch of people that are kind of insiders, is that like technically the headline valuation is that it's a $1 billion valuation.

But there's actually a bunch of different, um,

levels to this round.

So there's kind of a multi-traunched structure.

And under that, many of the investors bought in at a lower valuation than a billion dollars.

But the kind of final investors that came in bought in at a billion dollars.

There's actually a lot of rounds, a lot of like fundraising that will do that.

They're like, hey, you know, for our first hundred million dollars, we'll do this valuation for the next hundred million dollars.

It increases or, you know, a hundred thousand for smaller companies.

And it kind of the people that get in later are getting at a

higher valuation.

This is to incentivize the early investors to kind of get in and to get their term sheets written and done fast so it can build momentum for the round.

It's an interesting structure to see on a bigger company like this because I see this a lot for smaller organizations.

But in any case, then by the time the whole round's done, even if there's only a small amount of people that are signing off on the investment at the $1 billion mark, they can say we've reached a billion dollar valuation.

And then anyone that got in earlier

It's like their shares are instantly worth more as well.

So I do think this is interesting.

Investors said that this kind of structure has become really common for the most in-demand AI startups.

We're seeing more and more of these.

Resolve AI's annual recurring revenue is about $4 million right now.