Young AI startup Instinct secures $350 million in funding at $2.5 billion valuation

Instinct, a relatively new startup founded by a 23-year-old, has achieved a significant valuation of $2.5 billion following a recent funding round. The company, which provides an AI assistant, has raised $250 million in a Series B round, bringing its total funding to $350 million. The funding was co-led by Index Ventures and Benchmark, according to the Wall Street Journal. The AI assistant, developed by Spear Street Technology and led by founder Noah Shinn, is designed to efficiently manage users' lives by integrating with their apps and devices, allowing communication via text and calls. Shinn expressed satisfaction with the early users' experiences, noting that they have used the app to plan cross-country road trips, purchase groceries and concert tickets, cancel subscriptions, and even plan weddings. Instinct, which has a simple website, is currently in private beta. Despite its popularity, the app has sparked controversy due to privacy concerns, with users expressing worries about the extensive permissions required and the potentially invasive terms of use. The startup community is expected to address key questions about sustainable growth in the AI era.