NEWSLETTER

The AI companies worth backing are not the ones with the best models. They are the ones with the best delivery. That distinction is becoming clearer across enterprise markets. AI adoption is broad, but durable value creation is still narrow. McKinsey’s 2025 global survey found that 88% of organizations report using AI in at least one business function, yet only a minority have scaled it in ways that materially change enterprise economics. High performers separate themselves n

The market is rewarding AI exposure. It is not yet rewarding AI durability. That distinction matters. In the last two years, enterprise AI adoption has expanded quickly, but the economic picture remains uneven. McKinsey’s 2025 global survey found that 88% of organizations report regular AI use in at least one business function, yet only about one-third say they have begun to scale AI across the enterprise, and just 39% report EBIT impact at the enterprise level. In other word

After enough deals, you stop confusing activity with signal.  Founders learn this in operating. Investors learn it in pattern recognition. The market likes to talk about conviction as though it begins with instinct. In reality, conviction is usually built on repetition. You see enough companies, enough management teams, enough stalled scale-ups, enough avoidable failures, and certain patterns become impossible to ignore.  That is the part of investing people reference less of

Two AI startups. Same starting point. Opposite outcomes. The difference wasn't technology — it was sequencing. This piece breaks down why the most successful portfolio companies build operational foundations before swinging for breakthroughs, and how Azafran uses this pattern to identify investments positioned for premium exits.

Why the $300B managed services market is primed for disruption—and how agent orchestration platforms are creating the next generation of enterprise infrastructure winners Published: February 2026 | Azafran Partners Investment Thesis The managed service provider market has been trapped in a low-margin, labor-intensive business model for two decades. Virtual CIO services—built around strategy decks, vendor management, and quarterly business reviews—generate predictable revenue

by Megan Burns, Director - Catalyst I was on the fence about attending CES this year and a few days before made a very last minute...

by Megan Burns, Director - Catalyst As we approach the end of the year, the tradition of receiving friends and families holiday cards,...

Examples of companies Azafran has under term sheet or in advanced due diligence: Following are a selection of companies across Azafran's...

by Megan Burns, Director - Catalyst One of my favorite Commencement speeches is Steve Jobs' in 2005 to Stanford Grads. It's about...

by Kristina Ivancic Azafran Investment Analyst The current global slowdown in venture capital funding is a significant shift after the...

Examples of companies Azafran has under term sheet or in advanced due diligence: BC-CE (British Columbia) Problem: Perioperative Nursing...

by James Kenefick Co-Founder & Managing Partner High achievers in the business world have superior stamina. No matter how much they...

[VentureBeat] The heat of July is upon us, which also means we’re exactly halfway to 2023. So, it seems like a good time to pause and...

by Megan Burns, Director - Catalyst Growing up, my summers were filled with summer reading lists, travel adventures and meetups with...

[PitchBook] After being largely unaffected by the pressure that market turmoil has put on larger tech companies, early-stage startups are...

SuperReturn International / SuperVenture 2022 Team Azafran was on hand in Berlin for SuperVenture, which was co-located for the first...

by Magdalena Vuckovic and Jakov Novakovic - Junior Analysts, Azafran Data Team The Push to Set the Standards in Regulating AI As large...

by Daniel Nikic, Principal & Data Team Lead Compiled each week by the Azafran Data Team, transactions specific to the Azafran Fund II...

by James F Kenefick, Co-Founder and Managing Partner Executive Summary The Bad News: As the dearth of economic information continues to...

Artificial Intelligence is going to scale at breathtaking speed. Heretofore seemingly impossible problems could be solved by software and...

by Megan Burns, Director - Catalyst Project Voice is on a mission to drive global business for voice tech and conversational AI...

Following are excerpts from Azafran Data Team's Monthly Headlines Presentation: by Magdalena Vuckovic and Jakov Novakovic - Junior...

[Pitchbook] Global M&A activity bifurcated for much of Q1 2022, with previously negotiated deals closing on time while announced activity...

[Pitchbook] After a bumper 2021, Europe's VC ecosystem kept up momentum in Q1 with €27.5 billion invested. Investment levels may have...