Thursday, May 22, 2025

Welcome to TechCrunch AM! This morning, we're looking at Klarna's AI push, Signal's Microsoft shield, and Serve Robotics's plan to scale. We've also got fresh funds for climate tech, OpenAI's upcoming companions, Luminar's suss savior, LMArena's raise, government surveillance, Bitcoin's rise, the death of digital nomads, and more. Let's dive in.

TechCrunch Top 3

Image Credits: Klarna

1. Uncanny Klarna: Klarna's founder Sebastian Siemiatkowski let an AI avatar do the talking in the company's latest earnings update as he leans into the idea that Klarna is more AI company than fintech. The startup credits AI for its growth and profitability as it preps for its IPO. Read More

2. Shield wall: Signal's new Windows update blocks screenshots by default to protect private chats. The feature throws shade at Microsoft's Recall, which captures screenshots to remember all your activities. Read More

3. Robotics, scaled: On this week's episode of Equity, I chatted to Serve Robotics CEO Ali Kashani about why food delivery is the perfect way to test robotics in complex human environments, why it was the right time to IPO, his predictions for humanoids, and more. Listen Now

A Message from Upwork

As Hiring Slows, Tech Companies Turn to Freelancers on Upwork

Tech teams are under pressure to deliver, even as budgets tighten and hiring slows. Many are turning to Upwork's global network of independent freelance experts in engineering, AI, and design, to scale smarter without long-term costs. This gives companies the agility to meet shifting demands without compromising speed, quality, or control.

Get Started

Morning must-reads

Image Credits: Alt Carbon

🍵 No, not Altered Carbon: What started as a last-ditch trip to save their family's struggling tea estate by generating supplementary income has blossomed into Alt Carbon, a climate startup using enhanced rock weathering to lock away carbon dioxide. The sibling-founded venture raised $12 million to scale its work across India's farmlands. Read More

👯 Meet your new bestie: OpenAI's Sam Atlman told employees the company's next major product won't be a wearable. It will be a compact-device-meets-AI-companion that's fully aware of its user's surroundings. Like a smart, screenless Tamagotchi. Read More

🪦 The death knell: Luminar has struck a deal with Yorkville Advisors that could bring in $200 million through convertible preferred stock sales, following the replacement of its founder/CEO and layoffs. Both the move and the appearance of Yorkville are often last-resorts for struggling auto tech companies like Lordstown Motors, Faraday Future, and Canoo. Read More

🤑 Benchmarks to billions: LMArena, the crowdsourced benchmarking project that major AI labs use to test and market their models, has raised a jawdropping $100 million seed round, led by none other than a16z and UC Investments, that values the organization at $600 million. Read More

☎️ Heads up: Sen. Ron Wyden says AT&T, T-Mobile, and Verizon failed to notify lawmakers about government surveillance requests, despite contracts requiring it. The revelation follows past secret surveillance of congressional staff by the Trump admin and raises alarms about threats to Senate independence. Read More

A Message from HSBC Innovation Banking

HSBC Helps Evolectric Transition Vehicles to 100% Electric

Evolectric makes it easy for owners to give their fleets a new lease on life. Discover how HSBC helps connect them to the right investors, resulting in an extended runway and growth plans for both domestic and international markets.

Watch Now

Around the web

🥊 In an antitrust case that accuses Meta of unfair competitive practices in the purchases of Instagram and WhatsApp, the company argued that it faces plenty of competition, that it helped build the two platforms it purchased, and more. The New York Times has a write up. Read More

🧑‍💻 Work from home country: Business Insider questions says the digital nomad trend is over now with the rise of return-to-office mandates and increased employer oversight. Read More

🚀 To the moon: Bitcoin rose to a new all-time high on Wednesday, reaching almost $110,000, reports CNBC. The high comes amid softer U.S. inflation, a de-escalation in the U.S.-China trade war, and Moody's downgrade of sovereign debt. Read More

Before you go

📈 Payback time: Spotify says letting iOS users bypass Apple's in-app payments is already paying off. In a new court filing backing Epic Games, the company says it's seen a "significant increase" in Premium upgrades since its recent update supporting web payments. Read More