Welcome to the weekly startup recap, where we summarize the most significant events in the startup world. To receive this summary in your inbox every Friday, sign up here.

This week, the startup ecosystem witnessed a mix of challenges and successes. While some startups faced difficulties, others achieved significant milestones and expansions.

Notable Startup Stories of the Week

Some startups achieved significant revenue growth, while others faced lawsuits and legal challenges.

Growth Milestones: Fintech startup Ramp more than doubled its annualized revenue to $700 million and nearly doubled its valuation to $13 billion in a recent secondary share sale. Revenue prediction startup Gong surpassed $300 million in annualized revenue, indicating a potential path to an IPO. Mach Industries, a defense tech startup, landed a contract with the U.S. Army and plans to build its first factory. After years of controversy, Ryan Breslow is once again the CEO of Bolt, the fintech company he founded.

Challenges Ahead: Passes, a direct-to-fan monetization platform, has been sued for allegedly distributing child sexual abuse material. Climate-friendly fintech startup Aspiration’s co-founder and board member plead guilty to wire fraud and the co-founder was arrested for allegedly conspiring to defraud investors.

Notable VC and Funding News This Week

This week, several startups announced significant funding rounds across various categories, including AI, HR, and defense tech.

Funding Announcements: Anthropic raised a $3.5 billion Series E led by Lightspeed Venture Partners at a $61.5 billion post-money valuation. Turing, a key coding provider for LLMs, raised a $111 million Series E led by Malaysia’s sovereign wealth fund Khazanah Nasional Berhad at a $2.2 billion valuation. Indian HR unicorn Darwinbox raised $140 million to expand internationally. U.S. defense tech startup Epirus raised a $250 million Series D to counter drone swarms. Tel Aviv-based startup Grain emerged from stealth with $50 million in funding to help businesses hedge against FX volatility.

Final Thoughts

Ed Zitron, host of the Better Offline podcast, argued that the pursuit of growth at all costs is destroying the internet, but sees this as an opportunity for startups to prioritize users and create a better online experience.