Startups Weekly AI News

October 13 - October 21, 2025

This weekly update brings exciting news about startups building and using AI agents around the world.

In India, startups are making big changes in customer service. Companies like LimeChat are creating AI chatbots that can handle up to 80% of customer questions. This means fewer human workers are needed in call centers. The change is affecting India's massive $283 billion technology sector, but companies say the AI agents work better and faster than before.

Meanwhile, a big insurance company called Zurich held a special competition for startups working on AI agents. Ten winning startups showed off their smart technology on October 16, 2025. One winner called AgentricAI built an AI agent named Clara that handles travel insurance claims automatically. Another winner, Interloom, helps AI agents and human workers share knowledge better. These startups are already working with Zurich and will expand to new countries.

However, not everyone thinks AI agents are ready yet. Andrej Karpathy, who helped start OpenAI, said AI agents don't work well enough right now. He thinks it will take about ten years to fix all the problems. The biggest issue is that agents make mistakes about 20% of the time, and these mistakes add up when agents try to do multiple tasks.

Despite concerns, many companies are moving forward. About 44% of healthcare companies that use AI have added AI agents to their work. A company called IKS Health uses multiple agents working together - one takes notes during doctor visits, another assigns medical codes, and a third handles insurance requests. Healthcare leaders are spending more money on AI agents because they see good results.

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