This weekly update highlights the explosive growth of AI agent startups that can work like digital employees. The big news is that Meta bought Manus, a startup from Singapore that creates AI agents, for over $2 billion. Manus became famous because its AI agents can do complicated tasks by themselves, like research and coding, much better than many other AI systems.

Two other startups had huge wins this week. LMArena raised $150 million and is now worth $1.7 billion, while Lovable raised $330 million and jumped to a $6.6 billion value. Both companies help people create software in new ways using AI.

AI agents are computer programs that can make decisions and complete tasks without a human telling them what to do each step. Experts predict these agents will grow from a $5.2 billion market in 2024 to nearly $200 billion by 2034. Major tech companies and venture capitalists are racing to build and invest in these systems.

The week also showed how AI agents are spreading to shopping and advertising. Google announced a new standard for AI shopping agents, and Yahoo launched AI tools to help run advertising campaigns automatically.

Overall, 2026 is becoming "the year of the agent employee" because AI agents are moving from just helping humans (like an assistant) to doing actual work and making real business decisions. Investors put over $202 billion into AI startups in 2025, which was 75% more than the year before.