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   Also: Bluesky is more than just a social networking app
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                     Friday, June 12, 2025
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                    Welcome to
                    <strong>
                     TechCrunch AM!
                    </strong>
                    It’s Ram taking over for Rebecca again. This morning, we’re looking at why the backlash against Bluesky misses the point; Scale AI landing big money from Meta; Chime’s early believers; why big parts of the internet went down yesterday; the Meta AI app’s transparency failings, and much more. Let’s get reading!
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                    <strong>
                     Image Credits:
                    </strong>
                    Jaque Silva/NurPhoto / Getty Images
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                   <p aria-level="1" style="margin: 0; margin-bottom: 16px;">
                    <strong>
                     1. There's more to the story:
                    </strong>
                    Bluesky is getting hammered for declining post engagement and gaining a swift reputation of being a woke echo chamber. But TC’s Sarah Perez says Bluesky’s social app is only one example of what’s possible within the wider AT Proto ecosystem.
                    <a data-hs-link-id="1" data-hs-link-id-v2="2T/692Dk" style="text-decoration: underline; color: #0aa43e;" target="_blank">
                     <strong>
                      Read More
                     </strong>
                    </a>
                   </p>
                   <p aria-level="1" style="margin: 0; margin-bottom: 16px;">
                    <strong>
                     2. Investment, confirmed:
                    </strong>
                    Scale AI said it’s received a “significant” investment — reportedly around $14.3 billion for a 49% stake — from Meta at a $29 billion valuation. The startup’s co-founder and CEO Alexandr Wang is stepping down from his role to join Meta on its new AI team.
                    <a data-hs-link-id="0" data-hs-link-id-v2="l749kFpy" style="text-decoration: underline; color: #0aa43e;" target="_blank">
                     <strong>
                      Read More
                     </strong>
                    </a>
                   </p>
                   <p style="margin-bottom: 1em; margin: 0;">
                    <strong>
                     3. Good startups are worth it:
                    </strong>
                    TC’s Julie Bort chronicles how VC firm Iconiq identified the worth of Chime,
                    <a data-hs-link-id="0" data-hs-link-id-v2="B9SUwl/l" style="text-decoration: underline; color: #0aa43e;" target="_blank">
                     which IPO’d this week
                    </a>
                    , early on, and didn’t sell its stake for the longest time, opting to wait it out with the company’s founders. “We have our shares, and we’re selling in the IPO,” Iconiq’s Yoonkee Sul told TechCrunch.
                    <a data-hs-link-id="0" data-hs-link-id-v2="SzXZXoQG" style="text-decoration: underline; color: #0aa43e;" target="_blank">
                     <strong>
                      Read More
                     </strong>
                    </a>
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                   <span class="tinyMce-placeholder" style="word-break: break-word;">
                    Morning Must-Reads
                   </span>
                  </h1>
                 </td>
                </tr>
               </tbody>
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             </td>
            </tr>
           </tbody>
          </table>
         </td>
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              <table border="0" cellpadding="0" cellspacing="0" class="image_block block-1" role="presentation" style="mso-table-lspace: 0pt; mso-table-rspace: 0pt;" width="100%">
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                   <div style="max-width: 598px;">
                    <a data-hs-link-id="0" data-hs-link-id-v2="4fss0qot" style="outline:none" tabindex="-1" target="_blank">
                     <img alt="" src="https://inboxflows.com/_/image/https%253A%252F%252Ftechcrunch.com%252Fwp-content%252Fuploads%252F2025%252F04%252FGettyImages-2005014894.jpg%253Fresize%253D1097%252C617/?inbox_flows_img_sig=eyJwYXRoIjoiaHR0cHMlM0ElMkYlMkZ0ZWNoY3J1bmNoLiIsInRpbWUiOjE3NTAwMjIyOTMuNDYwNzI5NH0:1uQuk1:42z25qj6SU8-rBFxP3EPGOu212KXcIt3sI5-cEGVBao" style="display: block; height: auto; border: 0; width: 100%;" title="" width="598"/>
                    </a>
                   </div>
                  </div>
                 </td>
                </tr>
               </tbody>
              </table>
              <table border="0" cellpadding="0" cellspacing="0" class="paragraph_block block-2" role="presentation" style="mso-table-lspace: 0pt; mso-table-rspace: 0pt; word-break: break-word;" width="100%">
               <tbody>
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                  <div style="color:#000000;direction:ltr;font-family:'Helvetica Neue', Helvetica, Arial, sans-serif;font-size:10px;font-weight:400;letter-spacing:0px;line-height:1.2;text-align:center;mso-line-height-alt:12px;">
                   <p style="margin-bottom: 1em; margin: 0;">
                    <strong>
                     Image Credits:
                    </strong>
                    JuSun / Getty Images
                   </p>
                  </div>
                 </td>
                </tr>
               </tbody>
              </table>
              <table border="0" cellpadding="0" cellspacing="0" class="paragraph_block block-3" role="presentation" style="mso-table-lspace: 0pt; mso-table-rspace: 0pt; word-break: break-word;" width="100%">
               <tbody>
                <tr>
                 <td class="pad" style="padding-bottom:10px;padding-left:30px;padding-right:20px;padding-top:10px;">
                  <div style="color:#000000;direction:ltr;font-family:'Helvetica Neue', Helvetica, Arial, sans-serif;font-size:16px;font-weight:400;letter-spacing:0px;line-height:1.5;text-align:left;mso-line-height-alt:24px;">
                   <p style="margin: 0; margin-bottom: 16px;">
                    <strong>
                     🚫 Page 404:
                    </strong>
                    Significant portions of the internet went offline on Thursday, with infrastructure like Cloudflare and Google Cloud rendered inoperable. Cloudflare said the outage on its side lasted about 2.5 hours.
                    <a data-hs-link-id="1" data-hs-link-id-v2="W1u7Gari" style="text-decoration: underline; color: #0aa43e;" target="_blank">
                     <strong>
                      Read More
                     </strong>
                    </a>
                   </p>
                   <p style="margin: 0; margin-bottom: 16px;">
                    <strong>
                     ⚡ From tech to energy:
                    </strong>
                    Seems like all the big tech companies have become energy asset companies. Meta is the latest to do so, striking a deal with startup XGS Energy to develop a 150 megawatt geothermal power plant in New Mexico.
                    <a data-hs-link-id="0" data-hs-link-id-v2="XqYnjDmR" style="text-decoration: underline; color: #0aa43e;" target="_blank">
                     <strong>
                      Read More
                     </strong>
                    </a>
                   </p>
                   <p style="margin: 0; margin-bottom: 16px;">
                    <strong>
                     ‼️ Yikes:
                    </strong>
                    The new Meta AI app has people unwittingly publishing their private, sensitive, and in many cases, embarrassing text conversations, audio clips, and images with the world at large. A transparency failing on Meta’s part, and a privacy nightmare for users.
                    <a data-hs-link-id="0" data-hs-link-id-v2="LcHBI/qY" style="text-decoration: underline; color: #0aa43e;" target="_blank">
                     <strong>
                      Read More
                     </strong>
                    </a>
                    <strong>
                    </strong>
                   </p>
                   <p style="margin-bottom: 1em; margin: 0;">
                    <strong>
                     🦅 Early bird gets the worm:
                    </strong>
                    Felicis is on fire. After a series of successes, the early-stage venture capital firm has raised $900 million for Fund X, its largest fund so far. Felicis has backed winners like Bonobos, Ring, Shopify, and Twitch.
                    <a data-hs-link-id="0" data-hs-link-id-v2="rngpdTfF" style="text-decoration: underline; color: #0aa43e;" target="_blank">
                     <strong>
                      Read More
                     </strong>
                    </a>
                   </p>
                  </div>
                 </td>
                </tr>
               </tbody>
              </table>
             </td>
            </tr>
           </tbody>
          </table>
         </td>
        </tr>
       </tbody>
      </table>
      <table align="center" border="0" cellpadding="0" cellspacing="0" class="row row-10" role="presentation" style="mso-table-lspace: 0pt; mso-table-rspace: 0pt;" width="100%">
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                 <td class="pad" style="padding-bottom:15px;padding-left:30px;padding-right:10px;padding-top:15px;text-align:center;width:100%;">
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                   <span class="tinyMce-placeholder" style="word-break: break-word;">
                    Around the Web
                    <br/>
                   </span>
                  </h1>
                 </td>
                </tr>
               </tbody>
              </table>
             </td>
            </tr>
           </tbody>
          </table>
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      </table>
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       <tbody>
        <tr>
         <td>
          <table align="center" border="0" cellpadding="0" cellspacing="0" class="row-content stack" role="presentation" style="mso-table-lspace: 0pt; mso-table-rspace: 0pt; background-color: #fafafa; border-bottom: 1px solid #0aa43e; border-left: 1px solid #0aa43e; border-radius: 0; border-right: 1px solid #0aa43e; color: #000000; width: 600px; margin: 0 auto;" width="600">
           <tbody>
            <tr>
             <td class="column column-1" style="mso-table-lspace: 0pt; mso-table-rspace: 0pt; font-weight: 400; text-align: left; padding-bottom: 5px; vertical-align: top;" width="100%">
              <table border="0" cellpadding="0" cellspacing="0" class="paragraph_block block-1" role="presentation" style="mso-table-lspace: 0pt; mso-table-rspace: 0pt; word-break: break-word;" width="100%">
               <tbody>
                <tr>
                 <td class="pad" style="padding-bottom:10px;padding-left:30px;padding-right:20px;padding-top:10px;">
                  <div style="color:#000000;direction:ltr;font-family:'Helvetica Neue', Helvetica, Arial, sans-serif;font-size:16px;font-weight:400;letter-spacing:0px;line-height:1.5;text-align:left;mso-line-height-alt:24px;">
                   <p style="margin: 0; margin-bottom: 16px;">
                    <strong>
                     ☠ It's not all sunshine and rainbows:
                    </strong>
                    What did you think of OpenAI CEO Sam Altman’s glowing post about what AI will bring us in the future? MIT Tech Review has an interesting interview with Adam Becker, a science writer and astrophysicist, who warns that the headlong rush to develop AI encouraged by billionaire tech CEOs is likely not the best thing for humanity.
                    <a data-hs-link-id="0" data-hs-link-id-v2="FhfvxEhE" style="text-decoration: underline; color: #0aa43e;" target="_blank">
                     <strong>
                      Read More
                     </strong>
                    </a>
                   </p>
                   <p style="margin-bottom: 1em; margin: 0;">
                    <strong>
                     💲 Stablecoins are in now:
                    </strong>
                    Retail giants including Walmart and Amazon are said to be considering issuing their own USD-pegged stablecoins, complete with their own branding, the Wall Street Journal reports. The speculation is that this move would take billions away from banks as these companies could move to stablecoin-based payment systems.
                    <a data-hs-link-id="0" data-hs-link-id-v2="ysX8Lthx" style="text-decoration: underline; color: #0aa43e;" target="_blank">
                     <strong>
                      Read More
                     </strong>
                    </a>
                    <strong>
                    </strong>
                   </p>
                  </div>
                 </td>
                </tr>
               </tbody>
              </table>
             </td>
            </tr>
           </tbody>
          </table>
         </td>
        </tr>
       </tbody>
      </table>
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       <tbody>
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         <td>
          <table align="center" border="0" cellpadding="0" cellspacing="0" class="row-content stack" role="presentation" style="mso-table-lspace: 0pt; mso-table-rspace: 0pt; border-radius: 0; color: #000000; width: 600px; margin: 0 auto;" width="600">
           <tbody>
            <tr>
             <td class="column column-1" style="mso-table-lspace: 0pt; mso-table-rspace: 0pt; font-weight: 400; text-align: left; vertical-align: top;" width="100%">
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              <table border="0" cellpadding="0" cellspacing="0" class="heading_block block-1" role="presentation" style="mso-table-lspace: 0pt; mso-table-rspace: 0pt;" width="100%">
               <tbody>
                <tr>
                 <td class="pad" style="padding-bottom:15px;padding-left:30px;padding-right:10px;padding-top:15px;text-align:center;width:100%;">
                  <h1 style="margin: 0; color: #101112; direction: ltr; font-family: 'Helvetica Neue', Helvetica, Arial, sans-serif; font-size: 28px; font-weight: 700; letter-spacing: normal; line-height: 1.2; text-align: left; margin-top: 0; margin-bottom: 0; mso-line-height-alt: 34px;">
                   <span class="tinyMce-placeholder" style="word-break: break-word;">
                    Before You Go
                   </span>
                  </h1>
                 </td>
                </tr>
               </tbody>
              </table>
              <table border="0" cellpadding="0" cellspacing="0" class="image_block block-2" role="presentation" style="mso-table-lspace: 0pt; mso-table-rspace: 0pt;" width="100%">
               <tbody>
                <tr>
                 <td class="pad" style="width:100%;">
                  <div align="center" class="alignment">
                   <div style="max-width: 598px;">
                    <a data-hs-link-id="0" data-hs-link-id-v2="lsl15NQO" style="outline:none" tabindex="-1" target="_blank">
                     <img alt="" src="https://inboxflows.com/_/image/https%253A%252F%252Ftechcrunch.com%252Fwp-content%252Fuploads%252F2023%252F04%252Fyc-ocean.jpg/?inbox_flows_img_sig=eyJwYXRoIjoiaHR0cHMlM0ElMkYlMkZ0ZWNoY3J1bmNoLiIsInRpbWUiOjE3NTAwMjIyOTMuNDYwODE4M30:1uQuk1:oaAAn35N9HrzeBGGlPw06n82E_rVJ8ZJ0rDrJMzNoS8" style="display: block; height: auto; border: 0; width: 100%;" title="" width="598"/>
                    </a>
                   </div>
                  </div>
                 </td>
                </tr>
               </tbody>
              </table>
              <table border="0" cellpadding="0" cellspacing="0" class="paragraph_block block-3" role="presentation" style="mso-table-lspace: 0pt; mso-table-rspace: 0pt; word-break: break-word;" width="100%">
               <tbody>
                <tr>
                 <td class="pad" style="padding-bottom:10px;padding-left:10px;padding-right:10px;padding-top:7px;">
                  <div style="color:#393d47;direction:ltr;font-family:'Helvetica Neue', Helvetica, Arial, sans-serif;font-size:10px;font-weight:400;letter-spacing:0px;line-height:1.2;text-align:center;mso-line-height-alt:12px;">
                   <p style="margin-bottom: 1em; margin: 0;">
                    <strong>
                     Image Credits:
                    </strong>
                    Bryce Durbin / TechCrunch
                   </p>
                  </div>
                 </td>
                </tr>
               </tbody>
              </table>
             </td>
            </tr>
           </tbody>
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         </td>
        </tr>
       </tbody>
      </table>
      <table align="center" border="0" cellpadding="0" cellspacing="0" class="row row-15" role="presentation" style="mso-table-lspace: 0pt; mso-table-rspace: 0pt;" width="100%">
       <tbody>
        <tr>
         <td>
          <table align="center" border="0" cellpadding="0" cellspacing="0" class="row-content stack" role="presentation" style="mso-table-lspace: 0pt; mso-table-rspace: 0pt; background-color: #fafafa; border-bottom: 1px solid #02BD6F; border-left: 1px solid #02BD6F; border-radius: 0; border-right: 1px solid #02BD6F; color: #000000; width: 600px; margin: 0 auto;" width="600">
           <tbody>
            <tr>
             <td class="column column-1" style="mso-table-lspace: 0pt; mso-table-rspace: 0pt; font-weight: 400; text-align: left; padding-bottom: 5px; vertical-align: top;" width="100%">
              <table border="0" cellpadding="0" cellspacing="0" class="paragraph_block block-1" role="presentation" style="mso-table-lspace: 0pt; mso-table-rspace: 0pt; word-break: break-word;" width="100%">
               <tbody>
                <tr>
                 <td class="pad" style="padding-bottom:10px;padding-left:30px;padding-right:20px;padding-top:10px;">
                  <div style="color:#101112;direction:ltr;font-family:'Helvetica Neue', Helvetica, Arial, sans-serif;font-size:16px;font-weight:400;letter-spacing:0px;line-height:1.5;text-align:left;mso-line-height-alt:24px;">
                   <p style="margin-bottom: 1em; margin: 0;">
                    <strong>
                     🔺 Cream of the crop:
                    </strong>
                    Y Combinator held the Demo Day for its Spring 2025 cohort, and TC’s Marina Temkin has pulled up some of the most interesting startups that had investors talking.
                    <a data-hs-link-id="1" data-hs-link-id-v2="DRgikUUi" style="text-decoration: underline; color: #0aa43e;" target="_blank">
                     <strong>
                      Read More
                     </strong>
                    </a>
                   </p>
                  </div>
                 </td>
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             </td>
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                   <strong>
                    Featured jobs from CrunchBoard
                   </strong>
                  </h1>
                 </td>
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