Infinity Constellation, a startup aiming to build AI tools and software businesses for the professional services market, has raised $24 million in Series A funding, CEO Brennan Pothetes tells Axios exclusively.
Why it matters: It illustrates how rapidly companies can be spun up in the age of AI.
What they're saying: "Most venture firms are looking to underwrite $20 to $30 billion outcomes," Pothetes says. "Our end goal is to create five to ten $1 billion to $5 billion companies."
Follow the money: Series A investors include Rafferty Ventures, Oxford Funds, Freestyle VC, Backed VC, BY Ventures, and Millennial Ventures.
- Infinity previously raised $17 million, led by Freestyle.
Zoom in: Infinity intends to create up to eight AI businesses annually. Current operations include a branding platform, a permitting automation startup for the construction industry, and an AI-driven executive assistant.
Between the lines: Infinity prefers to work with repeat founders, who get 25% of the newco and up to $1 billion in enterprise value.
- They also get a stake in Infinity, incentivizing collaboration with other parts of the holding company.
- Liquidity could come via stock buybacks or perhaps secondary offers.
The bottom line: Investors are betting billions on companies infusing AI into historically tech-light industries, like accounting and law, but Infinity is taking a different approach.
