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Counter-positioning, network effects strongest AI moats

A new Crunchbase News analysis of 576 AI tech startups that raised over $50 million since early 2025 finds the real competitive advantage—or moat—now comes from business model innovation or network effects, not just having AI. Only about 5% use these strong moats, but they're valued much higher than peers. Investors are paying close attention, as AI itself no longer sets companies apart.

Why it mattersMost products now include AI, so real defensibility depends on either creating new business structures incumbents can’t copy easily, or on scaling user networks. These factors influence where investor money flows—crucial if you’re building or backing tech businesses.

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Crunchbase NewsThe Only 2 Moats That Actually Work In The AI Era11:00 AM
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