For our latest Hello Future Investor session, we explored one of the most overlooked — and fastest-evolving — spaces in early-stage investing: Culture Tech.
Joined by Ulrike Adler Stevens, an investor working at the intersection of creativity, technology, and entrepreneurship, we unpacked what this category actually is, why it’s gaining relevance, and what investors should be paying attention to.
Here’s what we took away.
Culture Tech Is Bigger Than You Think
One of the biggest misconceptions around culture tech is the name itself. Many investors still associate it with “art” — a niche, non-scalable category. But the reality is much broader. Culture tech spans:
- design
- gaming
- film and media
- fashion
- collectibles
- creative tools and platforms
In Europe alone, the cultural and creative industries are larger than sectors like telecom or pharma.
And globally, the market is already reaching multi-billion scale.
Some of the most iconic European companies, like Figma or Spotify, sit within this broader category, even if they’re not labeled as “culture tech. Interestingly, major funds like Sequoia and a16z are already allocating capital to these types of companies, just without explicitly calling it that.
AI Is Reshaping Creative Work
The biggest shift in this space is happening through AI. Recent breakthroughs — including models that show signs of “judgment” and “taste” — are changing what creative work looks like. AI is no longer just a tool for execution. It’s becoming part of the creative process itself.
The implications are significant:
- professional-quality output is increasingly indistinguishable from human work
- content creation is accelerating at scale
- AI systems are starting to improve themselves
This is already visible in the market. Companies like Synthesia (AI video), Inkitt (data-driven publishing), and ElevenLabs (AI audio) are redefining how creative products are built and distributed. New entrants are scaling faster than ever, often with small teams and highly leveraged technology.
From Skill Economy to Taste Economy
As AI lowers the barrier to execution, the competitive advantage is shifting. The question is no longer: Can you create? It’s: Can you decide what’s worth creating?
We’re moving from a skill-based economy to a taste-based economy.
That shift is driving several emerging trends:
- creators want automation, but with control and precision
- tools are evolving into full creative systems, not just single-use products
- interface design is becoming critical, especially in orchestrating multiple AI models
- brand consistency and repeatability are gaining importance
In this environment, curation, vision, and aesthetic judgment become key differentiators.
What This Means for Investors
From an investment perspective, culture tech sits at an interesting intersection. On one hand, barriers to building are lower than ever. On the other, differentiation is becoming more nuanced and harder to evaluate. A few key takeaways stood out:
1. IP matters more than ever. As content becomes easier to generate, ownership and protection of intellectual property become critical.
2. Teams need to be resilient. This is still an evolving space. Founders who can navigate ambiguity and adapt quickly are key.
3. Scalability is essential. Even when content is culturally specific, the underlying platforms and systems need to scale.
4. Entry points are more accessible. Lower valuations and smaller ticket sizes make it easier for angels to participate — but also reinforce the need for diversification.
A Category Still Defining Itself
Culture tech is not a neatly defined vertical, and that’s part of what makes it interesting. It sits somewhere between media, software, and consumer platforms. It overlaps with areas like proptech and creator tools, but has its own dynamics shaped by culture, creativity, and shifting consumer behavior. For investors, it offers a way to expand beyond traditional tech narratives — into a space where capital, creativity, and technology are increasingly intertwined.
Why It Matters Now
The timing here is important. AI is accelerating production. Distribution is global. Barriers to entry are falling. But attention, taste, and cultural relevance remain scarce. And that’s where value is being created.
The Hello Future Investor series runs monthly, brining expert voices to the LUMUS community of women angel investors.
This is not investment advice. This article is for educational purposes only.
