Startup Led by 21-Year-Old Thiel Fellow Lands $2 Billion Value

Artificial intelligence-powered hiring startup Mercor has notched a valuation of $2 billion in a new funding round — a massive markup for the small San Francisco-based team and the latest sign of continuing AI exuberance.

The startup, which investors valued at $250 million in September, raised $100 million in the deal, which was led by Felicis, with participation from General Catalyst, DST Global, Benchmark and Menlo Ventures. Previous investors include Peter Thiel, Jack Dorsey and Larry Summers.

Unlike many AI startups, Mercor is currently profitable, the company said. The startup expects to generate $1 million in profit ...