Fallen Unicorns

The venture capital landscape has shifted dramatically since the ChatGPT era. Previously inflated startup valuations are collapsing as generative AI reduces the need for large engineering teams and disrupts established business models. Many once “unicorn” companies are now “fallen unicorns,” struggling to secure funding or attract public investors due to outdated technology and unsustainable valuations. AI-native startups are now attracting disproportionate investment, creating a challenging environment for older companies.