Recent research indicates that Y Combinator frequently supports startups that replicate products from other YC-backed companies. A study analyzing approximately 5,000 YC-backed startups found that the accelerator often accepts businesses developing similar or nearly identical offerings to those of previous graduates. This trend extends beyond just AI code editors, suggesting a broader pattern in the types of startups that receive backing. Additionally, Illumen Capital has reaffirmed its commitment to supporting underrepresented funds, while Sequoia Capital has increased the valuation of its 2020 fund by 25%. These developments highlight ongoing shifts in venture capital strategies and the competitive landscape for startup funding.