LAVCA sat down with Franklin Luzes of Microsoft Digital Natives to discuss the way in which Microsoft is partnering with companies as they figure out their AI strategy.

LAVCA: When you look across startups you engage with, what kinds of AI use cases are already translating into revenue growth, cost efficiency or new products?

Franklin Luzes: Across the digital-native startups we work with at Microsoft, AI is already moving the needle on revenue, efficiency and invention. On the top line, healthcare innovators like RespondHealth and Canary Speech are using analytics and speech models to personalize diagnostics and care, opening new service lines and improving outcomes.

Customer engagement platforms such as Blip, Twilio and Yobi AI are rolling out conversational agents that deepen interactions and unlock upsell moments. In knowledge-intensive fields, Harvey and Visier are embedding generative AI assistants into legal and workforce analytics, turning expertise into product features and fresh monetization paths.  

On the efficiency front, Crowdbotics and Moveworks automate app development and employee support to cut manual work and shrink ticket queues, while Amperon, Fivetran and Meltwater pair AI with robust data pipelines so decisions happen faster and with more confidence. Security leaders, including Veeam, Forescout and Syncro, are applying AI to backup, threat detection and compliance, lowering risk and the cost of remediation. 

And beyond incremental gains, AI is enabling entirely new businesses: Figure AI is advancing humanoid robots for commercial operations; Enveda is using foundation models to accelerate drug discovery from natural sources; and specialists like Curbit (restaurants), Topcon (eye care) and Paige (cancer detection) are bringing domain-specific solutions to market. In short, AI has passed the pilot stage — it’s driving growth, running leaner operations and creating products that didn’t exist a year ago. 

What Does an Ideal Microsoft — VC Partnership Look Like to Help Portfolio Companies Move Faster? 

Microsoft seeks to build partnerships with venture firms that are collaborative, scalable and designed to accelerate the success of portfolio companies. The goal is to create mutual value through a structured, multi-stage approach that aligns with the startup lifecycle — from early-stage programs like Microsoft for Startups to supporting unicorns with advanced resources.

For venture firms and their portfolios, Microsoft delivers early access to technology, dedicated Digital Native Growth account teams, and co-selling opportunities that open doors to enterprise buyers. Joint marketing initiatives, global event participation and alignment with Microsoft’s trusted brand enhance credibility and visibility. 

A real-world example is Pinecone, which leveraged Azure to deliver low-latency vector search at scale. Through co-sell support and Marketplace onboarding, Pinecone reached over 700 enterprise customers, streamlined procurement via Private Offers and boosted adoption through co-marketing and event showcases. 

What are the main levers Microsoft can pull that most meaningfully compress time-to-market for Digital Natives companies in the LatAm Region? 

To meaningfully compress time-to-market for Digital Native companies in Latin America, Microsoft combines cost efficiency, global reach, early innovation, revenue acceleration and enterprise selling discipline into one cohesive motion. Through strategic partnership agreements and orchestrated multi-year Azure deals, we lower operational cloud costs and give founders predictable economics to scale faster. 

We then extend reach by plugging Digital Natives into Microsoft’s worldwide sales ecosystem — prioritizing the most active Azure developers — opening doors to new customers, dedicated go-to-market assistance and public storytelling that amplifies these partnerships across the market.

Early access to Microsoft’s latest technologies enables teams to build on cutting-edge capabilities while working closely with product, engineering and marketing to design tailored technical integrations and choreograph strategic co-selling motions. We drive incremental revenue by activating marketplace listings and coordinated campaigns that build credibility and put solutions in front of millions, leveraging Microsoft’s expertise, network and Azure marketplace infrastructure. 

Finally, we bring decades of enterprise sales experience to help startups sharpen their value proposition, align architecture to enterprise requirements and sell confidently into large organizations — shortening sales cycles and turning momentum into measurable growth. 

What guidance is Microsoft giving Digital Natives on building customer trust around AI (responsibility, privacy, compliance) so they can win enterprise and public-sector accounts in the region? 

Microsoft is guiding Digital Natives to build customer trust around AI by emphasizing a foundation of responsibility, privacy and compliance through initiatives like the Secure Future Initiative (SFI). This program represents Microsoft’s most ambitious cybersecurity transformation, embedding “Security above all else” across products, services and operations. With 35,000 engineers dedicated to security, SFI sets a new industry benchmark for resilience against evolving threats. 

 The approach is anchored in three principles: Secure by Design, integrating security from the start; Secure by Default, enabling protections automatically and Secure Operations, ensuring continuous monitoring and rapid response. Practical actions include phishing-resistant multi-factor authentication for nearly all employees, hardware-based key storage and secured engineering systems to protect source code and the software supply chain. 

AI plays a central role in threat detection, with more than 50 new capabilities and Sentinel positioned as an AI-first SIEM. Governance reinforces this culture by linking security to performance reviews and training 95% of the workforce on AI-powered defense. 

For customers, this means stronger defaults, Zero Trust patterns and AI-driven security posture management, enabling them to innovate confidently while reducing risk. Recent innovations such as hardware-based trust in Azure, enhanced transparency in Microsoft 365 and passwordless sign-in for Windows and Surface further strengthen this commitment. 

Ultimately, Microsoft’s goal is to be the most trusted platform for secure digital transformation, helping Digital Natives win enterprise and public-sector accounts by demonstrating that innovation and security go hand in hand.

Which programs should Digital Natives and VCs plug into first, and how will you measure success for the region?

The best starting point for Digital Natives and VCs is the Microsoft for Startups Program, which provides two levels of engagement tailored to different needs. Founders Hub is open to all startups at any stage and offers flexible benefits designed to help founders build, validate and scale at their own pace.

For investor-backed startups, the Investor Network Offer accelerates growth with enhanced benefits, such as higher Azure credits, access to advanced AI infrastructure, dedicated technical experts, and go-to-market support, including co-sell opportunities with Microsoft. Success for the region will be measured by how effectively these programs help startups scale, innovate and reach new markets — ultimately driving sustainable growth and fostering a vibrant entrepreneurial ecosystem. 

Can you share one recent LatAm example (startup or partnership) that captures the kind of AI-driven progress Microsoft wants to champion in this community, and what others can replicate from it? 

One recent example that reflects the kind of AI-driven progress Microsoft wants to champion in Latin America is our five-year strategic collaboration with Blip, a leading conversational AI platform. 

Blip connects brands and consumers through social apps like WhatsApp, Instagram and Messenger, and this collaboration is designed to accelerate innovation by leveraging Microsoft’s cloud and AI capabilities. Together, we’re focusing on enhancing operational efficiency, personalizing services and elevating customer experiences while building a scalable platform for global impact.  

By integrating Azure AI services, advanced analytics and security solutions, Blip is creating a robust infrastructure that empowers its workforce and drives continuous product development. 

What makes this initiative replicable is the emphasis on collaboration — combining technology with talent exchange to unlock the full potential of AI. This approach demonstrates how alliances can go beyond incremental improvements to deliver transformative solutions that strengthen customer engagement and set new standards for the industry.