# Menlo Ventures’ Matt Murphy explains what AI startups founders must do differently > Source: > Published: 2026-07-22 14:00:00+00:00 Anthropic leaped to [a $47 billion revenue run rate by May,](https://techcrunch.com/2026/07/08/these-ai-startups-are-growing-revenue-at-faster-and-faster-rates/) compared to $9 billion in 2025. It’s the kind of growth that Menlo Ventures’ [Matt Murphy](https://menlovc.com/team/matt-murphy/) says he’s never seen in 25 years of investing, not in the internet wave, not in mobile, not in the first cloud boom. Menlo led Anthropic’s $500M Series D, and Murphy has had a front-row seat as the company went from a pre-revenue, pre-launch bet to one of the most valuable startups out there. On this episode of TechCrunch’s [Equity](https://techcrunch.com/podcasts/equity/) podcast, Julie Bort talks with Murphy about backing Anthropic before anyone else would, why a great model was never the point, and what’s driving the fastest-growing startups he’s ever seen. Listen to the full episode to hear more about: - Why Menlo bet on Anthropic at a $4 billion pre-revenue valuation when the deal didn’t fit cleanly into any of the firm’s funds, and why Google and Amazon signing on as investors was an early “green shoot.” - Why Murphy says the model was never the real moat, and how Claude Code, MCP, and Claude Skills turned Anthropic from a strong model into a full platform. - Murphy’s take on the backlash to Anthropic’s Mythos rollout, and why he pushes back on the idea that it was more marketing than safety. - Why companies like [Lovable](https://lovable.dev/)and[Legora](https://legora.com/)are growing faster than any startups Murphy has seen in 25 years, and what that speed means for founders trying to compete. Subscribe to Equity on [YouTube](https://www.youtube.com/@TechCrunch),[ Apple Podcasts](https://itunes.apple.com/us/podcast/id1215439780),[ Overcast](https://overcast.fm/itunes1215439780/equity),[ Spotify](https://open.spotify.com/show/5IEYLip3eDppcOmy5DmphC?si=rZDFHv2sQUul_g94iCRgpQ) and all the casts. You also can follow Equity on[ X](https://twitter.com/EquityPod) and[ Threads](https://www.threads.net/@equitypod), at @EquityPod.