By Lucy Handley

Copyright cnbc

For its part, B Capital focuses on deep tech, holding companies in the healthcare and climate sectors as part of its portfolio, alongside AI.

Ganguly identified India as a market that is building AI native apps, which can work with any large language model (LLM).

“The opportunity now, and where I think the profit pools will be, [is] in that AI native app layer,” he said. “You’re going to see some of these companies that are built in India become market leaders in markets like the U.S. and Europe over the next five years.”

Asked whether the excitement over AI is causing parts of the market to become “frothy” — or overvalued — Ganguly said: “I do think we’re in a bit of a bubble … it’s frothy because people think that, in the next five years, AI is going to change the world [but] it always takes longer than what people think.”

Ganguly, who was born in India and raised in the U.S., said he was “blown away” by the innovation he saw upon returning to Asia to work for Bain Capital in 2009.

Coming from Silicon Valley, he said there was an assumption that people in Asia were copying successful U.S. business models and bringing them to India or China. Instead, what Ganguly said he saw was “fundamental innovation” happening in Asian countries.

He co-founded B Capital in 2015, alongside Facebook Co-founder Eduardo Saverin.

“Now founders in the U.S. are often saying, hey, you know, we want to learn about what’s the latest thing happening in China or India,” Ganguly said, given the success of apps such as TikTok or WeChat.