200 Notable Companies Y Combinator Has Invested In

July 3, 2025 - By Aalya Verma

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Table of Contents

Introduction

Y Combinator (YC) is one of the world’s most influential startup accelerators. Founded in 2005 by Paul Graham and partners, YC has funded over 5,000 startups to date, which together exceed $800 billion in combined valuation. Alumni like Airbnb, Dropbox, Stripe, Reddit, and Coinbase have become tech giants, validating YC’s impact on the startup ecosystem. YC’s model is simple: invest early (usually seed stage), provide mentorship and resources, and connect founders to a vast network of investors. This post looks at YC’s history, why its portfolio companies matter, and 200 notable YC-backed companies from different industries. We’ll also explain how YC’s funding program works, analyze trends in their investments, and explore why YC-backed startups so often succeed.

Brief History of Y Combinator

Y Combinator was founded in March 2005 in Cambridge, Massachusetts (later moving to Silicon Valley). From the start, it introduced the concept of “batches” – funding classes of startups twice a year (Winter and Summer). In each batch, startups receive seed funding (recently $500k for 7% equity), mentorship, and culminate in a Demo Day to pitch investors. YC’s mission, encapsulated by Paul Graham’s motto “Make something people want,” is to help founders at the earliest stages. Over the years, YC grew from funding a handful of startups in 2005 to accepting hundreds per batch by the late 2010s. Notable early alumni include Reddit (SU05) and Loopt (SU05), which set the stage for later successes. By the mid-2010s, under President Sam Altman, YC expanded its scope (funding non-profits like Watsi and research via YC Continuity and YC Research) and its batch sizes. Today, YC has a global reach and an alumni network of thousands of founders. Its philosophy and track record have made it arguably “the best startup accelerator in the world,” as venture veteran Ron Conway put it.

Why YC-Backed Companies Are Important

✅ Success Rate: YC companies have an unusually high success rate, with over 90 reaching unicorn status (> $1B valuation) and many going public.

✅ Impact on the Tech Ecosystem: YC’s investments have transformed entire industries—from online payments (Stripe) to travel (Airbnb) to crypto (Coinbase).

✅ Funding Advantage: The YC brand is a powerful signal for investors. Startups leaving YC have raised over $85 billion collectively, leveraging the credibility and connections YC provides.

🟣 How Does the Y Combinator Funding Program Work?

Many new founders wonder: What exactly does YC offer? How does it work? Here’s an overview.

1️⃣ Batch Model

YC runs two batches per year: Winter and Summer.
Each batch includes 100–300+ startups from around the world.
Startups join a 3-month program with structured office hours, group sessions, and mentorship.

2️⃣ Standard Deal (as of 2024)

YC invests $500,000 in every company:
- $125,000 for 7% standard equity.
- $375,000 on an uncapped SAFE with Most Favored Nation (MFN) terms.
This funding helps founders cover living expenses, hire early team members, and build MVPs.

3️⃣ Mentorship and Advice

Weekly office hours with YC partners (experienced founders and investors).
Advice on product, growth, hiring, and fundraising.
Access to the YC alumni network via Bookface (YC’s private founder forum).

4️⃣ Demo Day

At the end of the batch, startups pitch to hundreds of top investors.
Many raise their seed or Series A immediately after Demo Day.
YC companies collectively raise billions in follow-on funding every year.

5️⃣ Brand and Network

Being YC-backed is a global signal of quality.
YC’s alumni help each other with intros, advice, hiring, and partnerships.
The network includes over 9,000 founders from 4,000+ companies across nearly every industry.

Complete list of top 200 Y Combinator companies

Below, we highlight 200 notable companies that Y Combinator has invested in. Each demonstrates the diversity of YC’s portfolio – spanning fintech, healthcare, enterprise software, consumer apps, biotech, AI, and more – and illustrates why YC-backed startups are often at the forefront of trends.

No.	Company Name	Batch	Description	Total Funding	Valuation
1	Airbnb	W2009	Marketplace for short-term rentals, transformed travel and hospitality.	~$6.4B	~$75B (IPO)
2	Stripe	S2010	Online payment processing for internet businesses worldwide.	~$2.3B	~$95B (private)
3	Coinbase	S2012	Leading crypto exchange for buying/selling digital currencies.	~$547M pre-IPO	~$20–50B (public, fluctuates)
4	DoorDash	S2013	Food delivery marketplace operating across US and internationally.	~$2.5B	~$30–40B (public)
5	Reddit	S2005	Online forum and discussion community platform.	~$1.3B	~$6–10B (IPO 2024)
6	Instacart	S2012	Grocery delivery service connecting shoppers with stores.	~$2.9B	~$10–13B (public)
7	Dropbox	S2007	Cloud file storage and sharing service.	~$1.7B	~$8–10B (public)
8	Twitch (Justin.tv)	W2007	Game streaming and live video platform.	~$35M (pre-acq)	Acquired by Amazon for ~$970M
9	GitLab	W2015	DevOps platform for code collaboration, CI/CD pipelines.	~$400M+	~$7B (public)
10	OpenAI	2015–2019 (special YC tie)	AI research and deployment company (ChatGPT, GPT models).	~$11B	~$80–100B (private, 2024 est.)
11	Brex	W2017	Corporate credit cards and spend management for startups.	~$1.5B	~$12B
12	Zapier	S2012	Workflow automation connecting apps without code.	Bootstrapped, minimal VC	Profitable, ~$5B est.
13	Gusto	W2012	Payroll, HR, and benefits platform for SMBs.	~$746M	~$10B est.
14	Rippling	W2017	Unified platform for HR, IT, payroll, and devices.	~$1.2B	~$11B+
15	Cruise	W2014	Autonomous vehicles for ride-hailing.	~$10B+ (GM etc.)	~$30B (GM-owned, 2022 est.)
16	Segment	W2011	Customer data infrastructure; acquired by Twilio.	~$284M	Acquired for ~$3.2B
17	Rappi	W2016	Latin American super-app for deliveries.	~$2.25B	~$5.25B
18	PagerDuty	W2010	Incident management and alerting for IT ops.	~$170M	~$2B (public)
19	Matterport	W2012	3D mapping and virtual tours for real estate.	~$400M+	~$1–2B (public SPAC)
20	Docker	S2010	Containerization platform for developers.	~$272M	~$1–2B est.
21	Flutterwave	S2016	African payments infrastructure for merchants.	~$475M	~$3B
22	Paystack	W2016	Online payments for Africa, acquired by Stripe.	~$10M	Acquired ~$200M
23	Deel	W2019	Global payroll and compliance for remote teams.	~$679M	~$12B
24	Remote	W2019	Employer of record for hiring internationally.	~$496M	~$3B est.
25	Razorpay	W2015	Payment gateway for India.	~$741M	~$7.5B
26	Xendit	S2015	Southeast Asia payments processor.	~$538M	~$1B+
27	Wave Mobile Money	S2017	Mobile money platform in Africa.	~$200M	~$1.7B
28	Chipper Cash	S2019	Cross-border payments app for Africa.	~$300M	~$2B est.
29	OpenSea	W2018	NFT marketplace for digital collectibles.	~$427M	~$13B (2022 peak)
30	Truebill (Rocket Money)	W2016	Personal finance app for subscription tracking.	~$83M	Acquired ~$1.3B
31	WePay	S2006	Online payment processor.	~$74M	Acquired by JPMorgan Chase
32	Circle	S2013	Crypto finance, issuer of USDC stablecoin.	~$1.1B	~$9B (delayed IPO plans)
33	Carta	W2012	Cap table management and equity platform.	~$1.1B	~$7.4B
34	Pilot	W2017	Automated bookkeeping and CFO services.	~$160M	~$1.2B est.
35	Synapse	S2016	Banking-as-a-service APIs.	~$50M+	~$500M–$1B est.
36	Groww	W2018	Stock investing app in India.	~$393M	~$3B
37	dYdX	S2017	Decentralized crypto derivatives exchange.	~$87M	~$1B est.
38	CoinTracker	W2018	Crypto tax and portfolio tracking.	~$100M	~$500–700M est.
39	Step	W2019	Banking for teens with a focus on financial literacy.	~$200M	~$1B est.
40	Juno	S2019	Banking for immigrants in the US.	~$20M	~$100–200M est.
41	Aspire	W2019	SME banking for Southeast Asia.	~$400M	~$1B est.
42	Balance	W2020	B2B payments for online commerce.	~$56M	~$150–300M est.
43	Pave	W2020	Compensation benchmarking and planning.	~$63M	~$200–400M est.
44	Lemonade Finance	S2021	Cross-border payments for African diaspora.	~$12M	~$50–100M est.
45	Carbon	S2016	Digital banking in Nigeria.	~$20M	~$100–200M est.
46	Kudi	W2017	Payment and agent network in Nigeria.	~$5M	~$50–100M est.
47	Bump	S2019	Payment platform for creators.	~$4M	~$10–20M est.
48	PayJoy	W2015	Fintech for smartphone financing in emerging markets.	~$140M+ debt/equity	~$200–400M est.
49	Vouch	W2018	Business insurance for startups.	~$185M	~$550–700M est.
50	Insurify	W2016	Auto insurance comparison and purchase platform.	~$128M	~$300–500M est.
51	Tala	W2011	Microloans and credit scoring for emerging markets.	~$300M+	~$800M–$1B est.
52	Truepill	W2016	Pharmacy fulfillment and telehealth APIs.	~$256M	~$1.5–2B est.
53	Ro	W2017	Telehealth and online pharmacy for multiple health verticals.	~$1B+	~$5B est.
54	Nurx	W2016	Birth control and telehealth prescription delivery.	~$110M	~$300–500M est.
55	Modern Fertility	S2017	At-home fertility testing (acquired by Ro).	~$22M	~$225M (acquired)
56	Lemonaid Health	W2015	Affordable telemedicine service.	~$55M	Acquired ~$400M (by 23andMe)
57	7 Cups	S2013	On-demand online emotional support and therapy.	~$9M	~$50–100M est.
58	Bellabeat	W2014	Wellness-focused wearables for women.	~$19M	~$100–200M est.
59	Stride Health	W2014	Insurance and benefits for gig workers.	~$46M	~$100–200M est.
60	Color Genomics	W2015	Genetic testing and population health services.	~$400M	~$4.6B est.
61	Karius	W2014	Blood tests using DNA sequencing to detect infections.	~$165M	~$500–700M est.
62	Spring Health	W2018	Mental health benefits platform for employers.	~$370M	~$2.5B est.
63	Carrot Fertility	S2017	Fertility benefits platform for employers.	~$115M	~$500–700M est.
64	Hello Heart	W2015	Digital hypertension management app.	~$70M	~$300–400M est.
65	Circle Medical	W2015	Tech-enabled primary care clinic network.	~$30M	~$100–200M est.
66	Cerebral	S2020	Online therapy and mental health medication management.	~$460M	~$4.8B (2022 peak)
67	CureFit (Cult.fit)	W2019	Indian health and fitness platform.	~$500M+	~$1.5–2B est.
68	Amino	S2014	Healthcare search and cost transparency platform.	~$45M	~$100–200M est.
69	Watsi	W2013	Nonprofit crowdfunding for healthcare in developing countries.	~$4M+ donations	Nonprofit
70	Incredible Health	S2016	Hiring marketplace for nurses.	~$117M	~$1.5B est.
71	Benchling	W2012	Collaborative R&D software for life sciences.	~$400M	~$6B
72	Ginkgo Bioworks	S2014	Organism design and synthetic biology platform.	~$900M+	~$4–5B (public)
73	Opentrons	W2016	Affordable lab automation robots.	~$200M	~$500–700M est.
74	Freenome	W2014	Early cancer detection using machine learning.	~$800M+	~$1–2B est.
75	PathAI	W2016	AI-powered pathology diagnostics.	~$255M	~$1–1.5B est.
76	uBiome	W2012	Microbiome testing company (defunct).	~$105M	Shut down (was ~$600M est.)
77	OpenBiome	W2013	Stool bank and microbiome therapeutics.	~$20M	~$50–100M est.
78	Nuna	W2014	Healthcare analytics for government and insurers.	~$90M	~$500M est.
79	Curebase	W2018	Decentralized clinical trial platform.	~$60M	~$200–400M est.
80	Biobot Analytics	W2018	Wastewater-based epidemiology.	~$30M	~$100–200M est.
81	Maven Clinic	W2014	Virtual clinic for women’s and family health.	~$300M	~$1.35B
82	Omada Health	W2011	Digital chronic disease prevention program.	~$256M	~$1–2B est.
83	Mindstrong	W2014	Mental health app using phone data.	~$160M	~$300–500M est.
84	Wild Type	W2018	Cultivated seafood grown from cells.	~$125M	~$400–600M est.
85	New Age Meats	W2018	Cultured pork products.	~$25M	~$50–100M est.
86	Clara Foods (EVERY Co.)	W2015	Animal-free egg proteins via fermentation.	~$230M	~$400–700M est.
87	NotCo	W2018	AI-developed plant-based foods from Chile.	~$365M	~$1.5B est.
88	Apeel Sciences	W2013	Edible coatings to extend produce shelf life.	~$640M	~$2B est.
89	Helion Energy	W2014	Fusion energy power generation.	~$600M+	~$3–4B est.
90	Oklo	W2014	Small modular nuclear reactors using waste.	~$100M	~$500M–$1B est.
91	Lygos	W2014	Bio-based chemical production using microbes.	~$80M	~$100–300M est.
92	Perlara	W2016	Drug discovery for rare diseases (PBC).	~$10M	~$20–50M est.
93	Octant	W2019	Mapping drug interactions with genome-wide assays.	~$115M	~$300–500M est.
94	BillionToOne	S2017	Non-invasive prenatal testing using DNA.	~$300M	~$1B est.
95	Emerald Cloud Lab	W2014	Remote-controlled automated lab platform.	~$90M	~$200–400M est.
96	Asimov	W2018	Genetic circuit design and cell therapy platform.	~$200M	~$400–600M est.
97	New Culture	W2019	Animal-free dairy cheese via fermentation.	~$25M	~$50–100M est.
98	Wild Health	W2019	Precision medicine clinics and software.	~$20M	~$50–100M est.
99	Mindbloom	W2019	Guided psychedelic therapy for mental health.	~$50M	~$100–200M est.
100	Cure Genetics	W2018	Advanced gene editing and therapy R&D.	~$30M	~$50–100M est.
101	Scale AI	W2016	Data labeling for machine learning.	~$602M	~$7.3B
102	Cruise	W2014	Autonomous vehicles for ride-hailing (highlighted again for impact).	~$10B+	~$30B (GM-backed)
103	Replika	W2015	AI companion chatbot with millions of users.	~$11M	~$50–100M est.
104	Sift Science	W2011	Machine learning fraud detection platform.	~$107M	~$300–500M est.
105	DeepScale	W2016	Computer vision for autonomous vehicles.	~$15M	Acquired by Tesla
106	Standard Cognition	W2017	AI-powered autonomous retail checkout.	~$238M	~$1B est.
107	Ubiquity6	W2017	Augmented reality shared experiences.	~$37M	Acquired by Discord
108	One Concern	W2015	AI for disaster modeling and resilience planning.	~$61M	~$200–300M est.
109	Kite	W2017	AI coding autocomplete assistant.	~$17M	Shut down (but notable)
110	Matroid	S2015	Computer vision platform for detecting objects in video.	~$13M	~$50–100M est.
111	Tractable	W2015	AI to assess insurance claims via computer vision.	~$115M	~$1B est.
112	Snorkel AI	W2020	Data labeling and programmatic AI training.	~$135M	~$1B+ est.
113	Lexion	W2019	AI-powered contract management.	~$35M	~$100–200M est.
114	Copy.ai	W2021	AI-generated marketing copy platform.	~$13M	~$50–100M est.
115	Adept AI	S2022	General-purpose AI agent development.	~$415M	~$1B+ est.
116	Rephrase.ai	W2020	Personalized AI video generation.	~$13M	~$50–100M est.
117	Heyday	W2020	AI research assistant and personal knowledge base.	~$6M	~$20–50M est.
118	Insilico Medicine	S2014	AI drug discovery platform.	~$400M+	~$1.5B est.
119	Visly	W2019	Design system automation for frontend teams.	~$2M	~$10–20M est.
120	Genei	W2021	AI-powered summarization for researchers.	~$2M	~$10–20M est.
121	Humu	W2018	AI-driven employee engagement and nudges.	~$80M	~$400–600M est.
122	Regie.ai	W2021	AI-generated sales outreach content.	~$10M	~$50–100M est.
123	Writer	W2021	AI writing assistant for business teams.	~$26M	~$100–200M est.
124	Kinetix	W2022	AI-driven 3D animation from video.	~$12M	~$50–100M est.
125	Weights & Biases	W2018	MLOps platform for tracking AI experiments.	~$200M+	~$1B+ est.
126	Algolia	W2014	Hosted search-as-a-service for developers.	~$184M	~$2.25B
127	Retool	W2017	Build internal tools quickly with low-code.	~$141M	~$3.2B
128	Clerky	S2011	Incorporation and legal paperwork for startups.	Self-funded/unknown	Profitable, ~$50–100M est.
129	Pulley	W2020	Cap table management for startups.	~$40M	~$200–300M est.
130	Fivetran	S2016	Automated data pipelines for analytics.	~$730M	~$5.6B
131	Tandem	W2019	Virtual office for remote teams.	~$7.5M	~$30–50M est.
132	Lattice	W2016	People management and performance reviews.	~$328M	~$3B est.
133	Slite	W2018	Collaborative documentation platform.	~$15M	~$50–100M est.
134	Turing	W2018	Vetting and placing remote software engineers.	~$143M	~$1B+ est.
135	Parabol	W2017	Agile meeting facilitation for remote teams.	~$10M	~$50–100M est.
136	PopSQL	W2019	Collaborative SQL editor for teams.	~$4.5M	~$20–50M est.
137	Standard Cognition	W2017	Autonomous checkout technology for retail.	~$238M	~$1B est.
138	On Deck	W2020	Founder and operator fellowship community.	~$40M	~$150–250M est.
139	CommandBar	W2021	Universal search and command palette for apps.	~$19M	~$50–100M est.
140	OpenPhone	W2018	Business phone service for teams.	~$56M	~$200–300M est.
141	Popmenu	W2016	Online menus and ordering for restaurants.	~$87M	~$300–500M est.
142	HoneyBook	W2014	Client management for creative businesses.	~$498M	~$2.4B
143	Cambly	W2014	English language tutoring marketplace.	~$60M	~$300–500M est.
144	Shyp	W2014	App-based shipping services (defunct but notable).	~$62M	Shut down
145	Eaze	W2014	Cannabis delivery service.	~$255M	~$700M–$1B est.
146	Zepto	W2021	10-minute grocery delivery in India.	~$360M	~$1.4B
147	Klar	W2019	Mexican digital banking platform.	~$90M	~$250–400M est.
148	Jobandtalent	W2016	On-demand staffing platform from Spain.	~$1.1B	~$2.4B
149	Roam	W2020	Knowledge graph note-taking app.	~$12M	~$50–100M est.
150	Squire	W2016	Management and payment platform for barbershops.	~$165M	~$750M–$1B est.
151	Docker	S2010	Containerization technology for developers.	~$272M	~$1–2B est.
152	Checkr	W2014	API-driven background checks for hiring.	~$679M	~$5B est.
153	Ironclad	W2015	Contract lifecycle management software.	~$333M	~$3.2B
154	Assembled	W2018	Workforce management for support teams.	~$18M	~$50–100M est.
155	Clever	S2012	Single sign-on and data integration for schools.	~$57M	Acquired ~$500M est.
156	Replit	W2018	Collaborative cloud coding environment.	~$125M	~$1.2B
157	Boom Supersonic	W2016	Building supersonic passenger jets.	~$700M+	~$1.2–2B est.
158	Astranis	W2017	Small satellites for broadband internet.	~$450M+	~$1.6B
159	Samsara	W2015	IoT fleet and operations monitoring.	~$930M	~$12B (public)
160	Matterport	W2012	3D space capture and virtual tours.	~$400M+	~$1–2B (public)
161	WePay	S2006	Online payment platform acquired by JPMorgan.	~$74M	Acquired
162	Rigetti Computing	W2014	Quantum computing hardware.	~$200M+	~$500–800M (public SPAC)
163	Airbyte	W2020	Open-source data integration platform.	~$181M	~$1.5B est.
164	Jasper	W2021	AI copywriting and content generation.	~$143M	~$1.5B est.
165	Vouch	W2018	Business insurance designed for startups.	~$185M	~$550–700M est.
166	Index.dev	W2021	Remote engineering talent marketplace.	~$10M	~$50–100M est.
167	Flexport	S2014	Digital freight forwarding and logistics.	~$2.3B	~$8B est.
168	SmartHR	W2016	Japan-based HR SaaS platform.	~$300M	~$1.6B
169	SendBird	S2017	In-app messaging APIs for apps.	~$220M	~$1B+ est.
170	Front	S2014	Shared team inbox for email and communication.	~$204M	~$1.7B est.
171	Lever	S2012	Applicant Tracking System (ATS) for recruiting.	~$123M	Acquired ~$500–700M
172	HelloSign	W2011	E-signature platform, acquired by Dropbox.	~$16M	Acquired ~$230M
173	PlanGrid	W2012	Construction blueprint collaboration app.	~$69M	Acquired ~$875M
174	Clearbit	W2015	Business data enrichment APIs.	~$100M	~$500–700M est.
175	GrubMarket	W2015	Marketplace for farm-to-table food procurement.	~$390M	~$2B+ est.
176	Triplebyte	W2015	Skills-based tech recruiting platform.	~$48M	~$100–200M est.
177	RevenueCat	W2018	In-app subscription billing management.	~$56M	~$300–400M est.
178	Mux	W2016	Video streaming API for developers.	~$175M	~$1B+ est.
179	Shippo	W2014	Shipping API and label management for e-commerce.	~$154M	~$500–700M est.
180	Shogun	W2018	Page builder for Shopify and e-commerce stores.	~$118M	~$1.2B est.
181	Weave	S2014	Communication tools for SMBs (phone, text, payments).	~$156M	~$1B (IPO)
182	Wonolo	W2014	On-demand staffing for gig workers.	~$200M	~$700–900M est.
183	Workrise (RigUp)	S2013	Staffing platform for energy and skilled trades.	~$752M	~$2.9B
184	Zumper	S2012	Online apartment rental marketplace.	~$180M	~$500–700M est.
185	Teespring	W2013	On-demand merchandise for creators.	~$55M	~$300–500M est.
186	Faire	W2017	Wholesale marketplace connecting brands and retailers.	~$1.7B	~$12B est.
187	Meesho	W2016	Social commerce platform in India.	~$1.1B	~$3.5B est.
188	Kavak	W2016	Used car marketplace in Latin America.	~$1.6B	~$8.7B
189	Outschool	W2016	Online classes and learning marketplace for kids.	~$240M	~$3B est.
190	Lambda School (BloomTech)	S2017	Income-share coding education platform.	~$130M	~$500–700M est.
191	Divvy Homes	W2018	Rent-to-own home financing platform.	~$500M+	~$2B+ est.
192	FlyHomes	W2016	Real estate brokerage helping buyers make cash offers.	~$310M	~$1B+ est.
193	Betterhalf	W2021	Matrimony and relationship app in India.	~$10M	~$50–100M est.
194	Shef	W2019	Marketplace for homemade meals.	~$40M	~$150–250M est.
195	Cambly	W2014	(Repeat for prominence) English tutoring for learners worldwide.	~$60M	~$300–500M est.
196	Snackpass	W2017	Food pickup ordering with social features.	~$95M	~$400–600M est.
197	Bellhops	W2011	Marketplace for local moving services.	~$100M	~$300–500M est.
198	SIRUM	W2015	Nonprofit redistributing unused medicines.	~$10M donations	Nonprofit
199	80,000 Hours	W2013	Nonprofit career advice for high-impact work.	~$5M+ donations	Nonprofit
200	Watsi	W2013	(Repeat for visibility) Crowdfunding healthcare for patients.	~$4M+ donations	Nonprofit

Notable Alumni Highlights

While we’ve listed 200 impressive YC-backed companies, a handful stand out as absolute icons of the startup world. These “super-alumni” have shaped industries, defined the modern tech economy, and inspired countless founders to apply to YC.

Here are a few of the most famous:

Airbnb (W2009): The poster child of the sharing economy. Started renting airbeds, became a $75B+ hospitality giant. IPO’d in 2020.
OpenAI (special YC Continuity investment): Creator of ChatGPT, defining the generative AI boom, valued ~$80–100B.
Stripe (S2010): The internet’s payment rails. From developer-friendly APIs to an empire valued at ~$95B.
Coinbase (S2012): Brought crypto to the masses. Listed on NASDAQ in 2021, worth ~$20–50B depending on market swings.
DoorDash (S2013): Revolutionized local delivery. Now dominates US food delivery with a public market valuation >$30B.
Reddit (S2005): The “front page of the internet,” influencing culture and news for nearly 20 years. IPO’d in 2024.
Dropbox (S2007): Popularized cloud file storage and sharing, went public in 2018.
Twitch (W2007): Started as Justin.tv, became the global platform for game streaming and live content, sold to Amazon for ~$970M.
Cruise (W2014): Autonomous vehicle pioneer, sold to GM for >$1B within a year of YC. Now worth ~$30B.
Instacart (S2012): Grocery delivery leader, essential during COVID, IPO’d in 2023.
Ginkgo Bioworks (S2014): Synthetic biology powerhouse, IPO via SPAC, ~$4–5B valuation.
Faire (W2017): Wholesale marketplace unicorn with ~$12B valuation.
Flexport (S2014): Digital freight forwarder valued ~$8B.
Rippling (W2017): All-in-one HR and IT management, ~$11B valuation.
Brex (W2017): Corporate spend management unicorn worth ~$12B.

These alumni highlight YC’s range—from marketplaces to deeptech to AI—and why investors watch every new YC batch closely.

Why YC Invests in These Companies

Y Combinator has a clear philosophy: invest early in ambitious founders solving meaningful problems in huge markets. Here’s what they typically look for in the companies they back:

✅ Solving Real, Urgent Problems: YC loves startups that tackle big pain points, whether it’s making payments easy (Stripe) or providing affordable housing (Airbnb). They want solutions people genuinely need and will pay for.
✅ Large and Growing Markets: A great product isn’t enough if the market is too small. YC favors companies in industries with massive potential—fintech, healthcare, AI, logistics—where even niche success can scale into billions.
✅ Technical or Process Innovation: Whether it’s breakthrough tech (Scale AI’s data labeling) or smarter processes (Rippling’s unified HR/IT), YC seeks companies that rethink how things work and deliver clear advantages.
✅ Exceptional Founders: YC famously invests in people, not just ideas. They look for founders with deep domain knowledge, grit to overcome obstacles, and the humility to listen, learn, and iterate quickly.
✅ Scalability and Network Effects: Companies with business models that scale efficiently or benefit from strong network effects—like Stripe’s developer adoption or Reddit’s user communities—are highly attractive.
✅ Global Potential: YC increasingly backs founders from around the world, solving local problems that can expand internationally. Success stories from India, Africa, Latin America, and Europe show this global approach works.
✅ Alignment with the YC Playbook: Finally, YC looks for companies that will benefit most from their model: early capital, intensive mentorship, and the investor exposure of Demo Day. Startups that can use that 3-month sprint to unlock real traction are ideal.

In short: YC bets on founders tackling important, solvable problems in giant markets with the ability to scale—and it gives them the funding, mentorship, and network to make that happen.

Analysis of Trends in YC Investments

✅ Evolution Over Time

2005–2010: Consumer web, social media, early SaaS (Reddit, Dropbox, Disqus).
2010–2015: Rise of mobile, marketplaces (Airbnb, DoorDash), fintech (Stripe, Coinbase), SaaS solidifies.
2015–2020: Explosion in B2B SaaS (Segment, PagerDuty, Gusto), global fintech (Razorpay, Flutterwave), healthtech.
2020s: AI and ML startups surge (Scale AI, Adept), deeptech (Helion Energy, Oklo), synthetic biology (Ginkgo, Benchling), and a huge wave of international companies.

✅ Sector Shifts

SaaS consistently ~40% of top YC companies.
Fintech has grown to nearly 20%.
New interest in climate tech, biotech, AI/ML, and space/aerospace.

✅ Geographic Expansion

Early batches were ~100% US-based.
Recent batches see ~40% international companies.
Strong YC communities in India, Africa, LATAM, SE Asia, Europe.
Local problems tackled with global tech standards (Razorpay in India, Flutterwave in Africa, Kavak in LATAM).

✅ Batch Size Growth

From ~10 companies in 2005 to 200–300+ per batch today.
Means more diverse, experimental bets (moonshots, nonprofits, hard science).

YC has evolved from a tiny US incubator to a global startup university and investor—shaping new industries, investing in local ecosystems worldwide, and driving trends like AI adoption and fintech inclusion.

Why Founders Apply to YC

Even with intense competition (acceptance rates below 2%), YC remains the world’s most sought-after accelerator. Why?

💰 Funding: $500K deal as of 2024. Founder-friendly terms. Easier follow-on rounds.
🎓 Mentorship: Weekly office hours with partners who’ve seen 5,000+ startups. Honest, direct advice.
🌐 Network: 9,000+ alumni ready to help. Introductions, advice, hiring. “Bookface” forum for knowledge-sharing.
✅ Brand Credibility: Being YC-backed signals quality. Helps attract talent, partners, customers.
🚀 Demo Day: Hundreds of top investors compete to fund YC grads. Many raise seed/Series A right after.
🔥 Intense Focus: 3 months of building, launching, iterating fast. “Do things that don’t scale” mindset.

Paul Graham’s original insight—founders need money, advice, and connections—remains the core of YC’s value. And as alumni keep succeeding, the YC brand only strengthens.

Conclusion

Y Combinator’s track record speaks for itself: it’s the launchpad for companies that have changed the world—from Airbnb transforming travel to Stripe powering online commerce to OpenAI redefining what’s possible with artificial intelligence.

What makes YC so effective isn’t just the money—it’s the mindset. Solve a real problem. Talk to users. Build fast. Iterate constantly. YC believes the best founders aren’t necessarily the ones with polished decks, but those with relentless drive and a deep understanding of what people want.

For any startup founder or aspiring entrepreneur, this is the real lesson: Big companies start small. Every unicorn began with a couple of determined people, an idea, and a willingness to do the hard, unglamorous work to make something people love.

If you’re thinking of starting something, remember: there has never been a better time. The world is full of problems waiting to be solved. Capital is global. Talent is everywhere. And platforms like YC exist to help you go from zero to something world-changing.

So dream big, stay close to your users, and keep building. The next legendary YC company could be yours.