Monday, May 22, 2023

Anthemis targets $200M for new fund after layoffs and canceled SPAC

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Anthemis Group is trying to raise $200 million for a third fund, according to an SEC filing, as first reported by Axios. It has been in the market since last year and has so far secured commitments of just $36.4 million. The firm separately had to scrap plans to raise a SPAC late last month. 

Founded in 2010, London-based Anthemis is focused on financial technology (better known as fintech) — a sector which has been hard hit by the economic downturn and venture capital slowdown. The firm in late 2021 announced that it had raised $700 million in new funds in what a spokesperson described as “a collection of capital” it closed “across strategies” from its venture studio through to its venture growth fund. That collection of capital was dubbed Anthemis Venture Fund II.

The firm previously raised $106 million in its first venture fund in March of 2018; Anthemis had said it has $1.5 billion in assets under management altogether. 

TechCrunch has reached out to Anthemis about its attempts to raise capital for its third fund, and its dissolved SPAC, but had not yet heard back at the time of writing.

The new fundraising filing comes just months after Anthemis laid off 16 people, or 28% of its staff, as reported by TechCrunch in April. At that time, a spokesperson for London-based Anthemis told TechCrunch that the move was an effort “to better reflect current market conditions and to set up the business for future growth” against its “strategic priorities.”

While we have seen some big funds raised in recent months, the market has tightened dramatically for other firms. Either way, Anthemis is not the only outfit to have had to retreat from SPAC plans. Many others, including Acorns, for example, opted to raise capital instead in 2022. For a while during the bull run, SPACs, also known as special purpose acquisition vehicles, were viewed as a good way for operators, as well as certain VC firms, to extend the amount of capital they could put to work. But they have plunged in popularity since 2022, after the SEC introduced proposed guidelines for SPACs, specifically around disclosures, marketing practices and third-party oversight.

As TechCrunch’s Connie Loizos has previously reported, Senator Elizabeth Warren announced last year that she was planning a bill that targeted the SPAC industry. Called the “SPAC Accountability Act of 2022,” the bill would expand the legal liability of parties involved in SPAC transactions, close loopholes that SPACs have “long exploited to make overblown projections” and lock in longer the investors sponsoring a deal.

So far this year, Anthemis has publicly announced a few new investments. including: Flyby, Elevate (lead investor), Greenspark and Agreena. It also announced a follow-on investment in Flock. The firm has also seen a couple of exits, including Power being acquired by Marqeta and Goji getting picked up by Euroclear. Other companies in its portfolio include social investment app eToro, investing and savings app Betterment and insurtech Vouch.

Like a growing number of firms, Anthemis has also seen a couple of portfolio companies stumble over the last year. In November, controversy surrounding the sudden stepping down of three of Pipe’s co-founders, including its CEO, raised eyebrows. And more recently, LGBTQ+-focused digital bank Daylight was slammed with a lawsuit by three former employees “alleging age and wage discrimination, whistleblower retaliation, and fraud.”

Anthemis targets $200M for new fund after layoffs and canceled SPAC by Mary Ann Azevedo originally published on TechCrunch



source https://techcrunch.com/?p=2547392

Sunday, May 21, 2023

A Tesla co-founder returns, TuSimple restructures again and Uber’s stickiness strategy

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Welcome back to The Station, your central hub for all past, present and future means of moving people and packages from Point A to Point B.

It was another busy week in the transportation world and no surprise, Tesla was one of the headliners. The company held its annual shareholder meeting and as per ushe, CEO Elon Musk shared tidbits and musings about the company. While some of this was rehashing old information, there were a number of notable and newsmaker moments.

Top of the list? JB Straubel, a Tesla co-founder and former CTO, has returned as a board member.

Other items that got my attention included another delay for the next-gen Roadster, hints of two upcoming EV products and Musk’s decision to “try a little advertising.” Here’s a roundup of our coverage.

Speaking of Musk, he lost another bid to end a 2018 settlement with the U.S. Securities and Exchange Commission that requires oversight of some of his Tesla-related tweets. The upshot: The Twitter sitter (as some have described the role) must remain.

Alrighty, then. Onward!

Want to reach out with a tip, comment or complaint? Email me at kirsten.korosec@techcrunch.com. You also can send a direct message to @kirstenkorosec

Reminder that you can drop us a note at tips@techcrunch.comIf you prefer to remain anonymousclick here to contact us, which includes SecureDrop (instructions here) and various encrypted messaging apps.

Micromobbin’

the station scooter1a

May is Bike Month and Friday was National Bike to Work Day, two reminders that bikes are not just for sports and recreation — they’re a viable form of transit. That’s especially true for e-bikes, so don’t let someone tell you you’re cheating if you don’t ride a push bike to work.

But remember, e-bikes and e-scooters should be treated with care and responsibility.

A shocking video of an e-scooter catching fire in a London home has been going around. The owner of the scooter bought it off Gumtree (a Craigslist-type site) and was charging it inside when the battery caught fire, which spread rapidly. This is a PSA for safe e-scooter practices!

Here are tips and best practices on owning and storing a scooter. A few that are especially important:

  1. Buy a scooter from a reputable company that equips its vehicles with batteries that are compliant with global standards.
  2. Don’t charge batteries overnight while you’re asleep or while you’re away from home.
  3. Don’t dispose of batteries in household waste or normal recycling. Find a battery recycling service.
  4. Avoid storing and charging e-scooters and e-bikes on escape routes or communal areas of multi-occupied buildings.

And with that, onto the news nuggets …

BackPedal is a new British startup that offers e-bike theft protection via a monthly subscription. Included in that subscription are things like an integrated GPS system with LTE and a retrieval team that tracks your stolen bike and calls the cops for you. My question for the company: Do the cops — who are busy these days with increased crime in major cities — actually do anything to help people retrieve bikes?

A study commissioned by Bolt found that about half of residents in the Netherlands, Germany and Portugal want to see more micromobility parking spots and fewer car parking spots. Same.

Christchurch, New Zealand, might be the first city in the country to back a campaign for e-bike subsidies.

Citi Bike has been around for 10 years. The iconic bike-sharing program has been a staple in NYC and other cities since before it belonged to Lyft.

General Motors, in partnership with SAIC-Wuling in China, is building a super cute tiny electric pickup for the Chinese market that’s expected to cost around $14,000. It’s about the size of a Fiat 500, and potentially a great solution for urban tradespeople.

India is considering slashing its electric two-wheeler subsidies from 40% of the sale price to 15%, ostensibly to spread the incentive to a larger number of vehicles (link to paywall site).

New York City announced a $30 million RFP to create and sustain high-quality public spaces, like plazas and Open Streets, in under-resourced neighborhoods.

As I mentioned last week, there have been rumors floating around about Tier pondering an acquisition. This week, Sifted reported that European transportation super app Bolt is in late-stage acquisition talks with Tier. Tier had reportedly also been in M&A talks with Lime, but those talks ended, according to Sifted, which cited a source close to the company. I reached out to Tier, but no comment. The company only confirmed that it recently raised a convertible note from the majority of its existing investors.

“We are well financed for 2023 and we are aiming to achieve EBITDA profitability this year,” Lawrence Leuschner, Tier’s CEO, told TechCrunch.

Yamaha announced a limited-edition e-bike to celebrate its 30th year of e-bike building. The YDX-MORO 07, priced at $6,499, has a dual twin frame design that holds Yamaha’s new, lighter and smaller PW-X3 drive unit with powerful torque. It’s an all-mountain bike that has compact control switches, a minimalist display and one-finger braking power.

Deal of the week

money the station

Instead of highlighting one deal this week, how about dozens of deals worth hundreds of millions of dollars?

According to data from PitchBook, automotive-related startups raised $402 million from investors in April, up about 2% from the previous month. That flatish result is actually worth cheering because investor activity has been falling since the beginning of the year.

In January, automotive-related startups raised $1.16 billion. That figure dropped to $690.5 million in February and $394.1 million in March.

This doesn’t mean everything is unicorns and rainbows now. The chaos surrounding the Silicon Valley Bank may have ebbed, but mobility startups are competing for investor attention and capital as other buzzy areas like generative AI takeover.

Other deals that got my attention this week …

Bird has decided to issue a reverse stock split, in an attempt to get back into compliance with the New York Stock Exchange after it received a delisting notice for trading too low. Bird’s stock closed Thursday at $0.11. When the market opened Friday, Bird began trading on a 1/25 split-adjusted basis. As of May 1, there were about 286.8 million shares of Class A common stock and 34.5 million shares of Class X common stock. After the reverse stock split, Bird will have about 11.5 million Class A shares and about 1.4 million Class X shares.

Brompton, a U.K.-based company that makes folding bikes, raised £19 million equity capital with investor BGF taking a minority stake.

Ethernovia, an automotive ethernet chip startup based in Silicon Valley, raised $64 million in a Series A funding round from a group of investors that includes Porsche Automobil Holding, Qualcomm Ventures and VentureTech Alliance.

Phantom Auto raised $25 million from private equity firm InfraBridge. The remote driving startup’s pre-raise valuation was $500 million, according to one source. And the CEO of ConGlobal, the rail terminal operator that is owned by InfraBridge and a customer of the startup, has joined the board.

Robert Bosch Venture Capital, the corporate venture capital entity of the Bosch Group, completed an investment in AutoCore.ai, a startup that develops automotive middleware. The company didn’t disclose the investment amount.

Stellantis acquired a 33.3% stake in Symbio, a zero-emission hydrogen mobility company. Faurecia and Michelin will remain shareholders with 33.3% holding each.

Toyota Research Institute said its collaborative research program with U.S. academic institutions has funded $100 million of research and generated more than 1,250 paper submissions since its inception in 2016.

Volvo Cars’ venture fund invested an undisclosed amount into smart home energy company dcbel.

Notable reads and other tidbits

Autonomous vehicles

Alibaba said its autonomous vehicle lab, which is under its Damo Academy, will merge into Cainiao, the company’s global logistics network. The lab will no longer operate under the basic research institute.

Cruise and Waymo are on the cusp of securing final approval to charge fares for fully autonomous robotaxi rides throughout the city of San Francisco at all hours of the day or night. The California Public Utilities Commission published two draft resolutions late last week that would grant the companies the ability to extend the hours of operation and service areas of their now-limited robotaxi services.

Ouster will supply May Mobility with lidar to power May’s autonomous vehicles.

TuSimple, the once high-flying autonomous trucks company that went public in 2021, is restructuring and laying off about 30% of its global workforce as it works to preserve cash and stay in business. One of the more interesting pieces of this restructuring (the second in six months) was the decision to keep its China subsidiary. The company was also at risk of being delisted from Nasdaq, but received a temporary reprieve from the exchange.

Electric vehicles, batteries and charging

BMW is working with Pacific Gas and Electric to test vehicle-to-grid technology to offset growing grid demand.

Mercedes-Benz Vans revealed more details on a new fully scalable electric vehicle architecture, called Van.EA. The new platform will be able to support a range of sizes, including midsize luxury vans and full-size cargo and camper vans. The first vans built on this platform will come to market in 2026.

QuantumScape, the solid-state battery company, is pivoting. The company is planning to focus on the consumer-electronics sector to bring in the capital it needs to commercialize automotive-grade cells.

Volvo said its upcoming all-electric EX30 small SUV will have a slew of safety features, including a driver monitoring system that detects eye and face movements around 13 times per second and an alert to help prevent drivers or passengers from opening their car door in front of bicyclists.

In-car tech

BMW also worked with Meta’s Reality Labs to explore how AR and VR can work inside a fast-moving vehicle.

Hyundai and Kia settled a class action lawsuit brought by owners of vehicles prone to theft for around $200 million. The trend of stealing Kias came from a viral TikTok “Kia Challenge” that provided demos for how to easily steal affected models in less than 90 seconds using a USB charging cord.

The U.S. International Trade Commission voted to institute an investigation into the unfair trade practices of Hesai Group based in Shanghai, China, following a patent infringement complaint from Ouster.

People

Austin Russell, the billionaire founder of lidar company Luminar, is getting into the media business. Yup, you read that correctly. Russell, through a consortium of foreign investors, is buying Forbes.

Autonomy, an EV subscription company, hired Leopold Visser as senior vice president of strategy and operations.

Flexport hired Bill Driegert, a former Amazon executive who previously headed Uber Freight, to develop the company’s trucking product.

Lyft has hired Erin Brewer, formerly of Charles Schwab & Co., as its next CFO. Elaine Paul is left the top financial position May 19. Lisa Blackwood-Kapral, the Lyft’s Chief Accounting Officer, will serve as interim CFO and principal financial officer until Brewer takes over July 10.

Mercedes-Benz USA appointed Melody Lee as chief marketing officer, Heike Scheuble as managing director of Mercedes-Benz Vans and Jee-Seop Kim as head of customer services.

Ride-hailing and other gig economy stuff

Lyft shareholders sent out a letter rallying other shareholders to vote against co-founder Logan Green’s position on the board. They argue he failed to address and rectify dangerous rideshare driver conditions.

Uber and Lyft drivers in Washington State officially have a right to paid family and medical leave, now that Governor Jay Inslee has signed HB 1570.

Uber held its annual Go-Get product event in New York City this week and the bevy of announcements showed a company hoping to grow through products and expanded consumer groups that reach every member of a family. In short: Uber wants its app to be sticky. Its plan includes opening the app up to teens, adding a group grocery feature and providing a 1(800) number for customers who don’t want to use the app at all to hail a ride.

Calling all early-stage startups! Apply to join the Startup Battlefield 200 cohort at TechCrunch Disrupt 2023. All finalists get expert training, VC networking, a booth at Disrupt, and the chance to compete for $100,000 in equity-free funds. Applications close May 31. Apply today!

A Tesla co-founder returns, TuSimple restructures again and Uber’s stickiness strategy by Kirsten Korosec originally published on TechCrunch



source https://techcrunch.com/?p=2546582

Saturday, May 13, 2023

Google bets the farm on AI, Twitter gets a new CEO, and Meta contractors protest

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Hey, friends — you’ve made it to the end of the week. Congrats! That’s an achievement worth celebrating, I’d say. And what better way to ring in the weekend than by recapping the week in tech? This is Week in Review (WiR), TechCrunch’s weekly news roundup, where we highlight the most important, impactful and otherwise eye-popping stories over the past days. We get it — you’re busy. Hence, a digest that highlights all the key happenings.

Before we get on to the good stuff, a reminder that on May 17, TechCrunch Live, TC’s virtual speaker series, will feature Intel Capital’s Mark Rostick and Garima Kapoor — the founder of MinIO, a startup building an enterprise-grade, but open source, object storage solution. On the further horizon, there’s TC City Spotlight: Atlanta on June 7, which will host a pitch competition, a panel discussion on investing in the Atlanta ecosystem and more. Last but not least is Disrupt in San Francisco (from September 19–21), a conference jam-packed with expert-led sessions and interviews with movers and shakers in the tech space. Mark the dates!

Now, with that out of the way, here’s the top headlines.

most read

Google I/O, recapped: On Google I/O keynote day, the search and internet advertising giant put forth a rapid-fire stream of announcements during its developer conference — including many unveilings of recent AI-related things it’s been working on. If you didn’t have time to watch a two-hour presentation, the TechCrunch team took that on and delivered story after story on new products and features — plus quick hits of the biggest news in an easy-to-digest, easy-to-skim list.

The purge continues: Twitter is purging inactive accounts on its platform, which may free up a number of long-coveted usernames, according to recent tweets by owner Elon Musk. Though Twitter for years has promised to put more usernames back into rotation, it hadn’t yet made any large-scale effort to do so, despite having an inactive account policy in place that suggests Twitter’s users should log in at least every 30 days to keep accounts from being permanently removed.

New Twitter CEO: In other Twitter news, Elon Musk says that he’s found a new CEO for Twitter. Musk didn’t initially specify who’s going to take on the role, though The Wall Street Journal is now reporting that NBCUniversal head of advertising Linda Yaccarino is actively “in talks” for the position. In a tweet, Musk announced that he’ll transition from his role as CEO of the company to serving as its executive chair and chief technology officer. The new CEO is expected to start in six weeks, according to Musk.

Health records leaked: NextGen Healthcare, a U.S.-based provider of electronic health record software, admitted that hackers breached its systems and stole the personal data of more than 1 million patients. In a data breach notification filed with the Maine attorney general’s office, NextGen Healthcare confirmed that hackers accessed the personal data of 1.05 million patients, including approximately 4,000 Maine residents.

Rapid lays off workers: Rapid, previously known as RapidAPI, a startup that built out an API marketplace valued at $1 billion last year, has laid off another 70 employees less than two weeks after letting go of 50% of its staff, TechCrunch has learned. An affected employee who wished to remain anonymous told TC that just 42 people remain at the company — down from 230 in April — reflecting an 82% drop in headcount.

Meta contractors protest: Content moderators under Sama, Meta’s content review subcontractor in Africa, earlier this week picketed at the company’s headquarters in Kenya demanding their April salary. The 184 moderators have sued Sama for allegedly laying them off unlawfully, after Meta wound down its content review arm in March, and Majorel, the social media giant’s new partner based in Africa, for blacklisting on instruction by Meta.

From Pokémon to Peridot: From the makers of Pokémon Go comes another mobile game that brings cute little creatures to our fingertips: Peridot. Like a ’90s Tamagotchi toy, Peridot is a pet simulator, but it takes place completely within augmented reality. You can feed, play with, walk, breed and socialize with your Peridots, but don’t worry — if you take a break from the game, your creatures won’t poop all over your screen and/or die.

Texting, but different: “The medium is the message” is the common phrase, but entrepreneur Alexis Traina believes that messages themselves — text messages, to be exact — deserve attention, too. Traina is the CEO and co-founder of HiNOTE, an app that helps people create messages, set over personalized backdrops of anything from a tipped-over wineglass to a branded letterhead notebook page. The idea, she said in an interview with TechCrunch, is that she wouldn’t get up every day and dress in green, blue and gray — so why do our text messages stick to those colors?

audio

Need listening material for your weekday commute — or shower, for that matter? TechCrunch has you covered. On Equity, the crew dove into a brace of new Mayfield funds, as well as how Wellthy is helping caregivers feel less overwhelmed and the slowing growth of tech companies. Over at Found, the team talked with the co-founders of Juliet, who are reimagining boxed wine. The Chain Reaction team released a bonus episode from a fireside chat with Nadya Tolokonnikova, the creator of the protest art collective Pussy Riot, at NFT NYC in April 2023. The TechCrunch Podcast covered Google I/O, including the tech, attend talks and demos. To round things out, TechCrunch Live talked about developing therapeutics for anti-aging with James Peyer, the co-founder of Cambrian BioPharma, and Maryanna Saenko, co-founder and partner at Future Ventures.

TechCrunch+

TC+ subscribers get access to in-depth commentary, analysis and surveys — which you know if you’re already a subscriber. If you’re not, consider signing up. Here are a few highlights from this week:

Visions of a colorful future: How far has the psychedelics medicine industry come over the past 12 months? Well, it depends on where you look. A recent survey indicates that instead of simply looking for attractive opportunities, investors and founders are increasingly putting their minds to building the foundations for an industry that can employ the power of psychedelics to change lives.

AI’s eating search: News from Google’s AI-soaked developer event this week makes it plain that we’re on the cusp of a new era of search. Following Microsoft’s molding of OpenAI’s tech into Bing, Google is experimenting with its own AI tech and opening up new ways to use search. It’s clear we’re about to see the first major overhauls in the market for finding information on the internet in a really long time.

Salesforce embraces generative AI: Salesforce is increasingly investing in generative AI as it becomes apparent that the technology has the potential to transform how we interact with software — allowing us to describe what we want instead of clicking or tapping.

Get your TechCrunch fix IRL. Join us at Disrupt 2023 in San Francisco this September to immerse yourself in all things startup. From headline interviews to intimate roundtables to a jam-packed startup expo floor, there’s something for everyone at Disrupt. Save up to $800 when you buy your pass now through May 15, and save 15% on top of that with promo code WIR. Learn more.

Disrupt 2023

Google bets the farm on AI, Twitter gets a new CEO, and Meta contractors protest by Kyle Wiggers originally published on TechCrunch



source https://techcrunch.com/?p=2542612

Tuesday, May 09, 2023

We’re disrupting TechCrunch Disrupt: 8 stages, 3 days, 1 city

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For founders and investors, there’s no platform like TechCrunch Disrupt. Just as the industry is always evolving and innovating — especially in recent months — we’re doing the same to keep Disrupt on the cutting edge for first-time founders, seasoned investors, visionaries and everybody in between.

It’s time to disrupt TechCrunch Disrupt

This year, we’re reimagining and refreshing Disrupt to deliver the essential tools, knowledge, and connections that help ignite ideas and accelerate the next generation of startups. For three days in September, founders, investors and industry experts will gather in San Francisco to discuss the most groundbreaking developments across six industry tracks, dig deep into expert learnings on the Builders Stage, and watch the world’s next great companies face off in Startup Battlefield 200 — plus enjoy all those networking and connection opportunities at workshops, after-hours events, and the TechCrunch+ Lounge.

Startups start here, which is why we’ve tailored Disrupt 2023 to showcase the game-changing ideas, technologies and industries that are shaping the future of the tech community.

Six new stages for six breakthrough sectors

We heard loud and clear that you wanted more Disrupt, so this year, we’re packing the entire Disrupt ecosystem into the main event! Our popular, stand-alone TC Sessions are coming to the mothership for the very first time: In addition to the Disrupt Stage, we’re filling six stages with salon-like programs that focus on the industries that matter most to the tech world today.

Guided by industry leaders with deep subject matter expertise, these tracks are selected and curated by TechCrunch’s own staff as the most important topics for founders right now. Each industry stage will also feature partner sessions, where TechCrunch partners get the spotlight to share their POV on their sector directly to an audience of their peers.

🤖 AI Stage: Covers the latest artificial intelligence tech related to NLG, speech recognition, virtual agents, biometrics, RPA, deep learning platforms, reactive machines, and P2P networks. Sessions will include DeepMind and Benchmark.

🌿 Sustainability Stage: Tackles social and environmental solutions such as urban mobility, sustainable tech, green infrastructure, and new mobilities. Sessions will include Breakthrough Energy Ventures, S2G, and the City of Atlanta.

🧑‍💻 SaaS Stage: Considers how software-as-a-service unlocks creativity and efficiency with mobile apps, cloud-based resources, collaboration tools, creator communities, developer tools, e-commerce, low code, recurring revenue and marketing tools. Sessions will include GitHub, Cloudflare, and Atlassian.

🏦 Fintech Stage: Digs into the evolution of monetary exchanges across DeFi, challenger banks, blockchain, NFTs and web3. Sessions will include Plaid, Andreessen Horowitz, and Starling Bank.

🔐 Security Stage: Puts on its white hat to share best practices for data protection, privacy regulations, information sharing, risk management. Sessions will include Google and Citizen Lab.

🖥 Hardware Stage: Uncovers the mechanics and code powering our smart world, featuring topics like articulated robots, autonomous mobile robots (AMRs), commercial hardware, humanoids, IoT hardware, and interstellar technologies. Sessions will include Alphabet and Magic Leap.

Disrupt 2023 isn’t just a conference, though. It’s also a platform for making connections. For founders and investors curious about an emerging category, these sessions are a chance to cross-pollinate. Catching a session will offer a deep view that might inspire you to update your thesis…or even spot that huge, undiscovered opportunity.

Hands-on learning on the Builders Stage

As the original startup conference, we’re extremely proud of how Disrupt has helped generations of founders build their businesses. That’s why we’re bringing back the TechCrunch+ Stage under a new name: The Builders Stage.

Across dozens of panels and interviews with experts, the Builders Stage will cover the nuts and bolts of running a startup, from operations and hiring to fundraising, scaling, and beyond. It’s designed with a founder-first mindset, whether they’re seeking their next round of funding, acquiring insights for new tech enterprises, or making relationships that will help them level up faster as entrepreneurs. It’s like an MBA in a day — or three, to be exact.

While there’s a lot more to come from the Builders Stage, we’ve already announced the must-see agenda for Disrupt 2023:

  • How to Build a New Venture Firm in Public (Supply Change Capital, RareBreed Ventures, and Banana Capital)
  • When to Follow the Hype and When to Ignore It? (Trust Fund and Cleo Capital)
  • How Founders Can Leverage a Soft Labor Market into a Competitive Edge (Hunt Club and speakers to be announced)
  • How to Construct an Equitable Cap Table (Coalition Operators, Cowboy Ventures, and Finix)
  • How to Stretch Your Venture Dollars (Afore Capital, Google Ventures, and NEA)
  • How Founders with Nontraditional Backgrounds Can Use Their Experience to Excel (Promise, Career Karma, and Zūm)
  • When Should Founders Provide Early Liquidity to Retain Staff? (Switchboard, Notice, and Beacon Capital)
  • How to Build a Capital-Intensive Startup in a Tough Venture Market (Hadrian and Homebound)
  • How Founders Should Approach the TAM Question When Venture Capital Is Scarce (Reach Capital, Phenomenal Ventures, and Cake Ventures)
  • How to Build Intelligent Startup Ops that Will Scale with Your Business (Airbnb and Instacart)
  • Why Bootstrapping Is No Longer a Dirty Word in 2023 (Unorthodox Ventures and Arta Finance)

Discover the next unicorn at Startup Battlefield 200

Each year, thousands of early-stage startups vie to make the cut for Startup Battlefield 200. Only the top 200 win a coveted spot on the show floor in San Francisco, plus the attention of media and investors on the lookout for the next big disruptor.

The TechCrunch editorial team meticulously analyzes each Startup Battlefield applicant — looking at the team, the positioning, the problem solution set and the total addressable market, among other factors — to determine who makes it to the final 200, but it doesn’t end there. From those 200, the 20 best of the best compete for TechCrunch’s $100,000 equity-free prize, as judged by TechCrunch editors and top VCs and entrepreneurs.

Startup Battlefield 200 is an unparalleled opportunity not just for founders ready for their big break, but also for investors eager to fund early-stage startups with the TechCrunch stamp of approval. Startup Battlefield alumni include more than 900 companies — such as Vurb, Dropbox, Mint, Yammer, and many more — with over 121 successful exits (IPOs or acquisitions) and a whopping $9.7 billion raised in funding.

And here’s the best part: It’s not too late to join the Startup Battlefield! We’re accepting applications from early-stage startups until May 15 at 11:59 p.m. PDT. Founders, do you have what it takes? Apply today!

Support the startup community as a Disrupt partner

If you want to reach the world’s most ambitious founders, investors, and technologists, there’s no better place than TechCrunch Disrupt.

This is no ordinary tech conference: The core Disrupt audience spans the most influential corners of the startup community, from visionaries and prominent funders to cutting-edge innovators in the Fortune Global 500. More than 10,000 people from across the tech ecosystem attend Disrupt, and 75% of those attendees work at the director level or above.

Year after year, Disrupt’s devoted audience returns not just to network and stay ahead of the curve on the next generation of startups, but also to learn from the brightest tech minds when they step onstage to share their knowledge.

The same goes for Disrupt partnerships: Whether our partners are running sponsored industry sessions, breakouts, roundtables, show floor activations, exhibit booths, or receptions (just to name a few opportunities!), they’re leveraging TechCrunch’s editorially driven programming to get their vision in front of audiences where they’ll pay attention.

CTA: Want to reach the biggest funders, founders and Disruptors? Contact TechCrunch about Disrupt partnership opportunities today.

We’re disrupting TechCrunch Disrupt: 8 stages, 3 days, 1 city by Joey Hinson originally published on TechCrunch



source https://techcrunch.com/?p=2540403

Tuesday, May 02, 2023

For Bluesky to thrive, it needs sex workers and Black Twitter

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In the months since Elon Musk took over, and subsequently tanked, Twitter, people have been desperate to find an alternative platform. Bluesky, a decentralized social network backed by Twitter co-founder Jack Dorsey, is the latest frontrunner. 

Bluesky has already gained attention with its irreverent posting culture, but to keep users, it needs to maintain a safe environment for sex workers and other marginalized communities. 

In recent weeks, Bluesky has been hailed as a shitposting wonderland and a welcome respite from the increasingly rancid vibes that Twitter has been festering in since Musk took over as CEO. The user interface is nearly identical to Twitter’s. Instead of tweets, users widely refer to posts as “skeets” — despite protest from Bluesky CEO Jay Graber and others who don’t find slang for semen absolutely hilarious. 

Reception to Bluesky has been overwhelmingly positive, with users comparing their feeds (unofficially known as the “skyline”) to “the first day of high school” and “early Twitter vibes.” One user described Bluesky as a much-needed smoke break, skeeting, “this app is like the cousins you ‘go for a walk’ with at your conservative family’s thanksgiving dinner.” 

A skeet from Bluesky user @emilyonhere.gay

Bluesky’s posting culture is noticeably less hostile than Twitter’s — for now.

Though discourse on Bluesky flares up every now and then — like whether users should be allowed to threaten generally disliked public figures with hammers — so far, conflict doesn’t usually reach the fervor of a Twitter spat. Since Bluesky is still invite-only, and users lose remaining invite codes if their invitees are banned, there’s a unique incentive to maintain a less toxic environment than on Twitter. Granted, Bluesky is still in its extremely early days, and with such a small user base, it hasn’t been around long enough for hostility to brew like it has on Twitter. 

Bluesky, like Mastodon, aims to be a decentralized, federated social network. But instead of running on ActivityPub, the protocol powering Mastodon and other open source social platforms, Bluesky uses its own AT Protocol, and aims to establish a community labeling system that would allow users to “opt in” to certain content filters. The company also plans to allow users to choose what they want to see by offering a “marketplace of algorithms” instead of using a conventional “master algorithm” employed by most social media sites. Users will be able to switch between seeing specific feeds and viewing multi-algorithm feeds. 

“Moderation is a necessary feature of social spaces. It’s how bad behavior gets constrained, norms get set, and disputes get resolved,” Graber wrote in a recent blog post. “We’ve kept the Bluesky app invite-only and are finishing moderation before the last pieces of open federation because we wanted to prioritize user safety from the start.”

Even in its bare-bones state — users can’t even send DMs yet — Bluesky’s culture already stands out among Twitter alternatives. Mastodon, for example, is populated by tech enthusiasts, academics and journalists, but tends to be so dry that there’s little motivation to scroll it for fun. Skeets, on the other hand, lean into the unhinged. Nudity and sexuality aren’t censored, and scrolling past tiddies on the skyline is to be expected. The cheeky posting culture that exists on Bluesky has only encouraged non-Silicon Valley insiders to join, bringing a fresh energy that other Twitter would-be alternatives are sorely lacking. 

Bluesky is a fetus among social media giants like Twitter and Facebook. But in its earliest stage, it has a unique opportunity to cultivate a diverse, vibrant community of the users who made Twitter fun. In its heyday, Twitter’s memes, mutual aid networks and other redeemable traits existed because of Black Twitter and sex workers. Much of internet culture originated in Black communities. “Not safe for work” (NSFW) Twitter receives consistent, and growing, engagement. Adult content makes up 13% of Twitter, according to internal documents obtained by Reuters last year.

Aveta, a Black software engineer who has invited over 500 Black users to Bluesky, wasn’t a fan of Mastodon because “a lot of Black people weren’t on there,” and “there was a lot of racism that was going unchecked.” She asked to only be referred to by her first name out of fear of harassment. She made it her mission to invite as many Black users as possible, she said, because Black communities drive the culture of social platforms like Twitter, Instagram and TikTok. 

“It’s so crazy that despite how much time has passed, exposing how Black people have so much power and influence, especially in tech communities, especially in social media, that people want to disregard that,” Aveta said. “Yeah, there were people who were in before all that, but the ones who really got it jump started, who really came in at the middle, were Black people.”

Before Aveta started inviting other Black users to Bluesky, the site was “very white, very quiet and very small.” She said there was a noticeable vibe shift as more of Black Twitter joined. 

A web showing Bluesky user aliafonzy, also known as Aveta, and her connections. The screenshot was taken from a social graph site developed by Bluesky user jaz.bsky.social.

“If they want to know where it started, the hype of recent days? Black people. I think my invite tree can be testimony to that.” – Aveta, a software engineer who invited over 500 Black users to Bluesky. A social graph developed by Bluesky user Jaz shows Aveta’s connections. Image Credits: Jaz

“You know when you step out into a meadow and get that fresh breeze, that little breath of crisp air?” Aveta said “It’s exactly how it felt … I just want people to set the record straight, if they want to know where it started, the hype of recent days? Black people. I think my invite tree can be testimony to that.” 

Black Twitter’s influence extends beyond Twitter itself, shaping humor and pop culture both online and in real life. Black creators typically create and spread trends across the internet, from choreographing viral TikTok dances to organizing digital activism. Guides to internet language often describe phrases like “ate this up” and “out of pocket” as “Gen Z slang,” which is misidentified and uncredited African American Vernacular English (AAVE.) “Gagged” and “slay,” for example, originated in the ballroom scene, the Black and Latino drag culture that emerged in 90s New York City. 

In a 2016 essay for Model View Culture, Northwestern University professor Lauren Michelle Jackson noted that meme origins are often found in the “circulatory movement of Black vernacular itself.” 

“Black folks are hardly the sole proprietors of internet memes, yet it’s undeniable that memes are at their liveliest — that is, which allows them to keep living — is in fact indebted to Black processes of cultural survival,” Jackson wrote. 

Twitter is also unique because it allows nudity and sexually explicit content, unlike most major social platforms. The site has become a safe haven for sex work, and provides a centralized space for creators to advertise their services, interact with other sex workers and share vital resources with their community. 

Sex work Twitter has existed since Twitter launched in the late 2000s, and grew as other online spaces became more hostile toward sexually explicit content. In 2018, U.S. law enforcement agencies shut down the classified ads site Backpage, and later that year, Tumblr banned porn. Sex workers flocked to Twitter, making that community one of the fastest growing subcultures on the platform. 

Twitter is struggling to keep its active users. Last year, market research agency Insider Intelligence predicted that the site will lose more than 30 million users in the next two years. In April, data intelligence firm SimilarWeb reported that users are visiting Twitter less, with a 7.3% drop in worldwide visits in March. 

Though interest in Twitter is waning, NSFW content is one of the only topics on the platform gaining interest among English-speaking users. (The other is cryptocurrency.) 

But sex workers themselves are questioning whether Twitter will stay safe. After Musk’s takeover in October, many adult content creators expressed concern over losing the sex work community they built on Twitter. For now, Bluesky offers a promising alternative platform with decent moderation. 

Olivia Snow, a dominatrix and research fellow at the UCLA Center for Critical Internet Inquiry, said Musk’s takeover disrupted marginalized communities and made it “more difficult to do literally any job” on the site because “the vibe sucks ass.” She’s hopeful that Bluesky’s moderation and content policies will pave the way for a less hostile social platform than Twitter has become. 

“The main thing that I’m heartened by is the fact that they seem to have infrastructure in place for porn. It tells me that they are actually taking moderation seriously,” Snow said. “… Not in the way Twitter has started to, which is allowing whatever, and not the way that Instagram is super anti-sex. The way it’s set up will allow users to really customize their experience.” 

Bluesky allows users to toggle between various content moderation settings, categorizing content as

Bluesky allows users to set their own content moderation, providing an “infrastructure for porn.” Image Credits: Bluesky

Bluesky not only allows explicit content, but also lets users choose the content they want to see. Users can toggle between seeing explicit content on their feeds, having a warning for sensitive content or avoiding it all together. The platform also categorizes content as “explicit sexual images” like pornography, “other nudity” including non-sexual and artistic images, and “sexually suggestive” content that does not include nudity. 

Natrix, a sex worker and NFT artist, was originally skeptical of censorship on Bluesky. 

“I do think the lines between these categories can still be blurry, but that will always be the case with art and porn, as sexualization is so subjective,” Natrix said. “It will be interesting how things progress once the platform grows and how their detection system is fine-tuned, which they acknowledge is not yet perfect.” 

The delineation is still clearer than Tumblr’s approach to easing content policies after its 2018 porn ban. Late last year, Tumblr started allowing nudity again, but not “depictions of sexually explicit acts,” causing confusion among users. Some adult content creators said their NSFW content was flagged even if it didn’t contain nudity. 

“Giving users the option to choose which of these potentially sensitive categories they see, rather than outright banning or shadowbanning entire accounts, is still miles ahead of what we are used to on Twitter or Instagram, where sex workers are too often selectively punished for being sex workers more than for the content itself,” Natrix said. 

Snow also questioned how Bluesky would handle doxxing. OnlyFans immediately bans users for sharing creators’ legal names, but no other social platform considers that to be doxxing. Meta Verified came under fire in sex work circles for requiring users to change their Instagram display name to the name on their government ID in order to receive verification. 

Marginalized communities are usually responsible for building social media subcultures, but are also disproportionately moderated and harassed online. Black TikTok creators have repeatedly spoken out about how content discussing race and cultural appropriation appears to be censored on the app. Last year, a coalition of Black Twitch streamers penned an open letter to the company demanding better protection from harassment. And under Musk’s tutelage, hate speech on Twitter has skyrocketed.  

If Bluesky aspires to be a viable alternative to Twitter, it needs to be better than Twitter was at its peak — and safer for marginalized users. In its nascent, invite-only phase, it’s already demonstrated that it will take action against hate speech. Over the weekend, Bluesky swiftly banned a user who harassed others with transphobic remarks. 

Bluesky does appear open to fostering a sex worker community. Natrix noted that she received coveted invite codes (users usually only receive one code every two weeks, unless they’re gifted more by Bluesky staff) after she posted about wanting to bring more sex workers to the platform. 

Though Bluesky doesn’t shun adult content, the platform does appear to be adding some restrictions on nudity. As of Monday, though, the platform has a “no boobs (or dicks, or asses)” on the discovery page policy, per a post from Bluesky technical advisor Jeremy Johnson. The goal, Johnson said, is for users to avoid nudity unless they deliberately opt in. 

The platform may be safe for sex workers now, but like Tumblr, could take on more puritanical policies as it faces external pressure over time.

“We also know that sex workers often help to shape platforms and the way people use them, only to be pushed off later — but maybe the decentralized nature of it all will help when the going gets rough,” Natrix said. 

Bluesky’s current draw is that it’s a more fun, less toxic version of Twitter. Plenty of would-be alternatives have emerged in the last year, each promising a newer, shinier user experience. Most have fizzled out as users either lost interest or grew horrified with the kind of rampant hate speech that also already exists on Twitter. By refusing to harbor hate speech, Bluesky is already distancing itself from Musk’s Twitter, but that commitment will truly be tested when it starts onboarding more users.

Of course, keeping tabs on 50,000 users is nothing compared to moderating the hundreds of millions of users on a mature social network. It’s unrealistic to expect a platform to be free of conflict entirely, and even in its insular, invite-only mode, the site has already seen its fair share of discourse. Bluesky doesn’t need to be a utopian paradise for it to make a lasting impact, but it does need to establish guardrails to protect the vulnerable communities that are already shaping its culture — especially its Black users and sex workers. Booting transphobes from the site is a good start. 

For Bluesky to thrive, it needs sex workers and Black Twitter by Morgan Sung originally published on TechCrunch



source https://techcrunch.com/?p=2536855

Monday, May 01, 2023

Your site needs more than just one user onboarding experience

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Many data-driven startups have uncovered that having one single user onboarding experience can ultimately make or break them. This is what I call the single onboarding misconception.

Take Twitter as a prime example of a company that has spent countless resources to perfect their onboarding flow so that it’s unique for every user.

Upon signing up, the site asks the new user to select people they are interested in following. Immediately, they can have a rich feed that’s custom tailored to their liking. This is no different for any other B2C or B2B startup.

If you’re just starting up, it shouldn’t be a top priority to customize onboarding experiences, but there are multiple low-lift items that can be initially implemented. I’ll describe how to think about the type of data needed to make onboarding unique and share some examples of how I’ve implemented this myself.

It all starts during acquisition

Experience has convinced me that without a multipath onboarding experience, startups cannot reach their full potential. Recently, I encountered various fintech cryptocurrency exchanges that ask for a customer’s “Experience Level” with cryptocurrency. What I haven’t seen as prominently is a personalized experience based on the answer to this question.

Initial data collected during acquisition through a lead form or during sign-up for a product will help fuel a multi-onboarding experience. During my time with the growth team at Coinbase, many of our lifecycle email and push campaigns were designed to be triggered based on the user’s behavior. While this wasn’t a fully personalized experience, we made sure to tailor our communications based on the in-app behaviors of the users.

If a user was a power trader (if they had a high volume of trades, for example), we would send emails on ETH staking, liquidity pools and more advanced cryptocurrency investment actions.

When thinking about the type of data necessary to bucket users into a specific journey, ask yourself this essential question:

What are my consumer personas?

Based on the response you receive to this question, you’ll be able to determine which questions are needed to help you segment users during their onboardings. Some of the foundational variables to include early on are:

  • Personal attributes
  • Past experiences
  • Use cases
  • Goals

Each startup should have its own unique flavor of questions to ask, but if you’re stuck, select from the list of examples provided above as a start. These will ultimately shed light on the question of which customer persona you’re acquiring.

Your site needs more than just one user onboarding experience by Walter Thompson originally published on TechCrunch



source https://techcrunch.com/?p=2535543