Flow Partners x Dealroom — The Magnificent Seven

As the biggest-ever platform shift in modern technology unfolds, together with Dealroom we look at the broader AI space and the role of public tech behemoths who lead the global AI craze. This report provides an opportunity to see the world through the eyes of the Magnificent 7 - Google, Apple, Tesla (and X), Meta, Microsoft, Amazon and Nvidia.

• Started from humble beginnings, they’re now on top of the world. A powerful vision, relentlessly executed, combined with early venture capital investments evolved into massive wealth and economic growth. Today, they invest nearly $400 billion annually into frontier tech (comparable to the GDP of Norway), of which $20–30 billion in VC rounds (comparable to UK’s total VC investment).
• With a combined value at an all-time high of $14 trillion and a record share of corporate net earnings, they account for 32% of the S&P 500. Even this number understates their true underlying earnings power.
• Now, as the biggest-ever platform shift in tech unfolds, occurring only every ~20 years, everything is up for grabs again. This time, acquisitions are off the table due to regulatory scrutiny. They dominate era-defining VC deals instead, for now.
• Mega opportunities are arising in applied AI. The Magnificent 7 are on the hunt for these opportunities, and AI is bringing them closer within reach. At the same time their home markets feel less defensible than before.