Sourcery ✨ Crypto & AI to the Moon, Anthropic's Claude 3, LA VC Summit Week
Sourcery ✨ Crypto & AI to the Moon, Anthropic's Claude 3, LA VC Summit Week
(2/26-3/1) Mistral AI, Eigenlayer, ether.fi, Glean, Abridge, Figure, Oishii, Passes, Helcim, Coverdash, Campfire, Siftwell Analytics, Inkitt, FlowGPT, Gradial, Particle, Codified, Myko, Darwin AI
LA VC Summit Week ☀️
Last week was a big week for LA VC as the Upfront Summit went out with a bang.. and a drone show. To keep up with the VIP attendees (aka LPs) flying in for the event, additional LA-based venture firms like Chapter One and others capitalized on the moment to host their firms’ Summits as well. Personally, I’d argue we make a LA Summit every quarter, because why not? LA is the new epicenter of US tech & VC funding.
Of notable mention, this one below was particularly cool, but also not even in LA?! (PS I’d like an invite next year!)
LA-based House Of Ventures teamed up with another LA-based VC fund, MANTIS VC, hosting their first-ever House On the Slopes, in Aspen, CO. They gathered a group of 100 LPs, predominantly from large family offices, for panels, fireside chats, socializing, and skiing. Hosted at the home of the Aspen Institute, the panels included: an outlook on VC from fund of funds and GPs, investment strategies from sports team owners, a discussion on deep tech, and more. One family office’s feedback “We already flagged the House On The Slopes event as a must for next year.”
House Of Ventures is an Early Stage Venture Fund and a Member Network spanning industry-leading family offices, providing help across diligence and support of portfolio companies.
As for the Upfront recap.. we’re still compiling our notes and photos, but American Dynamism, hardtech + defense tech, Melinda French Gates, & celebrities shined bright. In the meantime, check out this excellent summary of the Summit from Dot.LA.
Musings
Macro
Alex Kolicich, Founding Partner of 8VC: Exodus of Venture Capital, AI Predictions & More [Sourcery]
Alex provides great insight into how Palantir DNA led to building a $6B venture firm, the exodus & shrinking of VC, the state of AI, declining software development cost opportunities, advice for founders, & a bullish statement on SF for 2024.
The February deals recap was one of the most popular posts this year, covering the top AI deals, American Dynamism, & those high-end viral strawberries [Sourcery]
Crypto
Approaching An All-Time High In Price, Bitcoin’s Volatility Is Increasing, & Figure AI [Ark Invest]
Crypto Liquidations Cross $550M as Bitcoin Remains Volatile Ahead of Historic Highs, Memecoin futures took on nearly $90 million in liquidations as prices corrected after a massive rally in the past week. [CoinDesk]
Glad I sold all of my crypto before I had to pay capital gains..😅
AI
Things I Don't Know About AI: The more I learn about AI markets, the less I think I know. I list questions and some thoughts. @Elad Gil [Elad Blog]
What Happens When AI Performance Asymptotes? [Tomasz Tunguz]
Anthropic says its latest AI bot can beat Gemini & ChatGPT [The Verge]
The Claude 3 AI models are more capable than their predecessors and open to answering ‘harmless’ questions Claude 2.1 would’ve refused.
Data
Databases Are Commodities. Now What? How will vendors differentiate when databases are commoditized? I've got three ideas. [Materialized View]
VC
Sequoia & Union Square Returns, the Post-AI Labor Market, and the Return of SF? [TWIS]
Great explanation for those newer to venture or who haven’t gone through a fundraise before on how funds are evaluated by LPs by vintages, why performance is negative in the early years, (hopefully) rises after 3-4 years, and what metrics they’re being measured by.
. . .
Last Week (2/26-3/1):
Relevant deals include the 60+ deals across stages below.
I've categorized the deals below into five categories, FinTech, Care, Enterprise & Consumer, HardTech, and Sustainability, and ordered from later-stage rounds to early-stage rounds.
Highlighted VC deals include
Mistral AI, Glean, Abridge, Figure, Oishii, Passes, Eigenlayer, ether.fi, Helcim, Coverdash, Campfire, Siftwell Analytics, Photoroom, Inkitt, FlowGPT, Rivalz, Gradial, Particle, Codified, Myko, Darwin AI, Exodigo, Intenseye, Range Energy, Anthro Energy, Looq AI, Connected
Acquisitions & PE
OpenGov/Cox, Rover/Blackstone, ScienceIO/Veradigm, TouchMath
Funds
Qatar Investment Authority, Inspired Capital, Nomad Ventures
Final numbers on Stripe’s Valuation & IPO Window at the bottom.
Deals
Fintech:
- Eigenlayer, Seattle, ethereum reestaking protocol stRTUP, raised $100M in Series B funding from a16z crypto.
- ether.fi, Cayman Islands provider of ethereum liquid restaking services, raised $23M in Series A funding led by Bullish Capital and CoinFund with participation from OKX Ventures, Foresight Ventures, Consensys, Amber, Selini, Draper Dragon, Bankless Ventures, and others.
- Helcim, Calgary, Canada omni-channel payment processing platform for SMBs, raised $20M in Series B funding led by Headline with participation from Clocktower Ventures, Vesey Ventures, SilverCircle, and existing investors Information Venture Partners and Aquiline Technology Growth.
- Backpack, a crypto exchange founded by former FTX and Alameda Research employees, raised $17M in Series A funding at a $120M valuation led by Placeholder VC with participation from Hashed, Robot Ventures, Amber Group, Wintermute, and Selini.
- Embat, Madrid, Spain provider of automated digital treasury software, raised $16M in funding led by Creandum with participation from Samaipata, 4Founders, Venture Friends, and others.
- Coverdash, New York, NY SMB-focused insuretech, raised $13.5M in Series A funding led by Nyca Partners with participation from insiders Bling Capital, AXIS Digital Ventures, Tokio Marine Future Fund, Expansion VC, and Cameron Ventures. https://axios.link/4bWQR4o
- Relish, Newbury, Ohio procurement process AI assistant, raised $10M in Series A funding from Volition Capital.
- Initia, a startup focused on simplifying blockchain development, raised $7.5M in seed funding led by Delphi Ventures and HackVC with participation from Nascent, Figment Capital, Big Brain, and A.Capital.
- Slice, employee equity management platform, raised $7M in seed funding led by TLV Partners with participation from R-Squared Ventures, Jibe Ventures, Wilson Sonsini, and Fenwick & West.
- Superfluid, Ethereum-based token streaming protocol, raised $5.1M led by Fabric Ventures with participation from Multicoin Capital, Circle Ventures, Safe Foundation, The LAO, and Taavet+Sten. [The Block]
- Campfire, San Francisco, CA accounting software for startups and midsize companies, raised $3.5M in seed funding. Foundation Capital with participation from YC and Twenty Two Ventures.
- Karma3 Labs, developer of a decentralized reputation protocol, raised $4.5M co-led by Galaxy and IDEO CoLab Ventures.
- Reset, an earned wage access platform, raised $2.3M in seed funding led by Precursor Ventures.
- BlueBean, a Boston-based procure-to-pay solution, raised $1.3M led by Tola Capital.
. . .
Care:
- Abridge, Pittsburgh, PA clinical documentation startup, raised $150M in Series C funding led by Lightspeed and Redpoint Ventures with participation from CVS Health Ventures, Spark Capital, USV, Bessemer Venture Partners, and Wittington Ventures.
- B.well, Baltimore, MD patient engagement and health data platform, raised a $40M in Series C funding led by Leavitt Equity Partners.
- Pelage Pharmaceuticals, Los Angeles, CA regenerative medicine company developing hair loss treatments, raised $16.8M in Series A funding led by Google Ventures with participation from Main Street Advisors, Visionary Ventures, and YK BioVentures.
- Redi Health, Columbus, OH medication adherence and patient engagement platform, raised $14M in Series B funding led by Blue Heron Capital with participation from North Coast Ventures, Refinery Ventures, MCP, Rev1 Ventures, and M25. [Axios]
- Siftwell Analytics, Charlotte, NC AI-powered ctechnology designed to identify patients at risk of certain conditions, raised $5.8M in funding from AlleyCorp, Arkin Digital Health, Tau Ventures, and The Charlotte Fund.
- Salvo Health, New York, NY GI provider enablement startup, raised $5M in seed extension funding led by City Light Capital and Human Ventures with participation from Threshold Ventures, Torch Capital, and Felicis.
- FamilyWell, Boston, MA postpartum mental health provider, raised $4.3M in seed funding led by 406 Ventures with participation from GreyMatter Capital and Mother Ventures. [Axios]
- Upheal, a New York-based notetaking platform for mental health professionals, raised $3.25M in seed funding led by Credo Ventures with participation from Kaya Ventures and Inovia Capital.
- Sonus Microsystems, a Canadian maker of ultrasound tech for remote monitoring, raised a US$2.1M pre-seed funding led by LDV Capital.
. . .
Enterprise & Consumer:
- Glean, Palo Alto, CA AI-powered work assistant, raised $200M in Series D funding at a $2.2B valuation led by Kleiner Perkins and Lightspeed Venture Partners with participation from Sequoia Capital, Coatue, ICONIQ Growth, IVP, Capital One Ventures, and others.
- Photoroom, French photo-editing app, raised $43M at a $500M valuation led by Balderton Capital with participation from Aglaé and YC. [TechCrunch]
- Passes, Los Angeles, CA creator platform for "super fans," raised $40M in Series A funding led by Bond with participation from Abstract Ventures, Michael Ovitz's Crossbeam Ventures and SKIMS co-founders Emma and Jens Grede.
- Inkitt, New York, NY AI-driven self-publishing platform, raised $37M in Series C funding led by Khosla Ventures with participation from NEA, Kleiner Perkins, and Redalpine. [TechCrunch]
- Lapse, London, UK photo-sharing app, raised $30M in Series A funding led by Greylock and DST Global Partners with participation from GV, Octopus Ventures, and angel investors.
- Mistral AI, French generative AI startup, raised $16M from Microsoft as part of a broader strategic partnership. [TechCrunch]
- Tracksuit, Auckland, New Zealand-based brand tracking platform for marketing teams, raised $13.5M in Series A funding led by Altos Ventures and Footwork with participation from Blackbird, Icehouse Ventures, Ascential, Shasta Ventures, and others.
- NLX, New York, NY customer experience AI-voice startup, raised $12M in Series A funding led by Cercano. [Axios]
- FlowGPT, Berkely, CA community platform for AI application creators, raised $10M in pre-Series A funding led by Goodwater with participation from DCM.
- Interview Kickstart, Wilmington, DE education platform and provider of AI, machine learning, data science, and other training programs, raised $10M in funding from Blume Ventures.
- Rivalz, Sonoma, CA maker of AI-designed functional snacks, raised $6.1M in seed funding led March Group.
- Prowler, Portland, ME open-source cloud security platform, raised $6M in seed funding from Decibel VC.
- Validation Cloud, Switzerland Web3 data streaming and infrastructure company, raised $5.8M in funding led by Cadenza Ventures with participation from Blockchain Founders Fund, Bloccelerate, Blockwall, Side Door Ventures, Metamatic, GS Futures, and AP Capital.
- Gradial, Seattle, WA AI platform for marketing operations and content management, raised $5.4M in seed funding led by Madrona Ventures with participation from General Advance, Outsiders Fund, and Space Capital.
- Raspberry AI, New York, NY provider of design software for fashion design and merchandising teams, raised $4.5M in seed funding co-led by Greycroft and Khosla Ventures. https://axios.link/49PBlWf
- Particle, a newsreader startup, raised $4.4M in seed funding from Kindred Ventures, Adverb Ventures, Ev Williams, and Scott Belsky. https://axios.link/3IjuDvZ
- Codified, Seattle, WA AI-powered data access governance platform, raised $4M in seed funding led by Madrona Ventures and Vine Ventures with participation from Soma Capital and angel investors.
- Myko, Miami, FL conversational AI for sales and revenue team data, raised $2.7M in seed funding from Khosla Ventures, Zero Knowledge Ventures, and DayDream Ventures.
- Choice, Prague, Czech Republic subscription platform where restaurants can create websites, menus with QR codes, table reservations, and other tools, raised $2.5M in funding led by J&T Ventures with participation from Reflex Capital and Presto Ventures.
- Enkrypt AI, Boston, MA security and compliance services provider for generative AI integration, raised $2.4 million in seed funding led by Boldcap with participation from Berkeley SkyDeck, Kubera VC, Arka VC, Veredas Partners, Builders Fund, and angel investors.
- Darwin AI, Brazil provider of an AI-powered sales assistant, raised $2.1M in seed funding led by Canary with participation from H20 Capital Innovation, Dalus Capital, FJ Labs, and Latitude Capital. https://axios.link/4a6WknN
- BuildBear Labs, Singapore testing and validation platform for developers creating secure decentralized applications, raised $1.9 million in fundin led by. Superscrypt, Tribe Capital, and 1kx with participation from Iterative and Plug-N-Play.
- KLIQ, Miami, FL no-code business infrastructure platform designed for creators to build their own branded apps, raised $1.5M in pre-seed funding led by Serena Ventures.
- Clasp, New York, NY SaaS platform for employee benefits infrastructure, raised $1.5M led by Base10 Partners.
. . .
HardTech:
- Figure, a Sunnyvale, CA maker of humanoid robots, raised a $675M in Series B at a $2.6B post-money valuation from investors such as Nvidia, Bezos Expeditions, OpenAI, Parkway VC, Align Ventures, Intel Capital, & ARK Invest.
- Exodigo, Tel Aviv, Israel and Palo Alto, CA developer of AI-powered underground mapping technology, raised $105M in Series A funding led by Greenfield Partners and Zeev Ventures with participation from SquarePeg, 10D VC, JIBE, and National Grid Partners.
- Unseenlabs, Rennes, France developer of radio frequency data designed for maritime surveillance, raised €85M ($92.2M) in Series C funding led by Supernova Invest, ISALT, and UNEXO with participation from 360 Capital, OMNES, and Bpifrance.
- Intenseye, New York, NY provider of workplace safety software, raised $65M in Series B finding at a $300M valuation led by Lightspeed with participation from Insight Partners, Point Nine, and Air Street Capital. [Forbes]
- Range Energy, Mountain View, CA maker of battery-propelled trucking trailers, raised $23.5M led by Trousdale Ventures with participation from UP.Partners, R7, and Yamaha Motor Ventures.
- Anthro Energy, San Jose, CA developer of batteries designed to be safer than lithium ion batteries, raised $20M in Series A funding led by Collaborative Fund with participation from Union Square Ventures, Ultratech Capital Partners, Energy Revolution Ventures, Emerson Collective, and others.
- HALO, Dublin, Ireland provider of subscription-based bodycam and digital asset management services, raised $20M in Series A funding from Volition Capital.
- Parspec, San Mateo, CA AI-powered software platform designed to streamline the selection and sale of construction products, raised $11.5M in seed funding led by Innovation Endeavors with participation from Building Ventures, Heartland Ventures, and Hometeam Ventures.
- Elevated Signals, Vancouver, CA developer of manufacturing software, raised CAD$7.9M ($5.9M) in Series A funding led by Yaletown Partners with participation from Third Kind Venture Capital, WGD Capital, Colin Harris, Raiven Capital, and Pareto Holdings.
- Axiom Cloud, San Jose, CA developer of refrigeration management software designed to reduce energy usage and costs, raised $5M in funding from Toshiba Tec and Windsail Capital Group.
- Looq AI, San Diego, CA survey service for digitizing critical infrastructure, raised $2.6M in seed funding led by BootstrapLabs with participation from Longley Capital and Spatial Capital.
- Connected, Coimbra, Portugal startup building satellite payloads designed to provide better access to cellular connectivity, raised $2.2M in funding led by FundBox, Shilling VC, and Iberis Capital with participation from Amena Ventures, Octopus Ventures, and Keith Willey.
. . .
Sustainability:
- Oishii, Jersey City, NJ vertical strawberry and tomato farm, raised $134M in Series B funding led by NTT with participation from Bloom8, McWin Capital Partners and Mizuho Bank.
- Sway, San Francisco, CA biodegradable alternative to plastic, raised $5M in seed funding led by Third Nature Investments with participation from The Helm, Alante Capital, BAM Ventures, and Superorganism. https://axios.link/3wotX5L
Acquisitions & PE:
- Cox Enterprises acquired OpenGov for $1.8B, a San Francisco, CA cloud software for public sector agencies and government.
- Blackstone acquired Rover Group, a Seattle, Wash.-based online marketplace for pet care, for approximately $2.3 billion.
- Veradigm (NASDAQ: MDRX) agreed to acquire ScienceIO for $140 million in cash. ScienceIO is a New York, NY AI tool for health care data insights.
- Intapp (NASDAQ: INTA) agreed to acquire delphai, a Berlin, German-based developer of data automation, structuring, and intelligence AI software. Financial terms were not disclosed.
- KKR agreed to acquire the End-User Computing Division of Broadcom (NASDAQ: AVGO), a San Jose, Calif.-based developer and manufacturer of semiconductor and infrastructure software products, for approximately $4 billion.
- Bridgepoint completed its purchase of RoC Skincare, an anti-aging skincare brand, from Gryphon Investors for around $500m.
- Leeds Equity Partners acquired TouchMath, a Colorado Springs, Colo.-based provider of supplemental math curriculum, from Millpond Equity Partners. www.touchmath.com
- Essence Magazine's parent company is in talks to buy Refinery29 from Vice Media, per the WSJ. https://axios.link/3P05zOr
Funds:
- Qatar Investment Authority is launching a $1b venture capital fund-of-funds.
- Ocean Avenue Capital Partners, a Santa Monica, Calif.-based PE firm focused on lower midmarkets, raised $600m for its fifth fund.
- Inspired Capital, a New York-based VC firm, raised $330m for its third fund.
- Zacuna Ventures, an SF-based firm focused on construction tech, raised $56m for its debut fund. https://axios.link/3OXPAA9
- Black Tech Nation Ventures, a Pittsburgh, Pa.-based venture capital fund, raised $50 million for their first fund focused on software startups with founders from diverse backgrounds.
- Chipotle (NYSE: CMG), a Newport Beach, Calif.-based chain of Mexican food restaurants, is committing another $50 million to its Cultivate Next venture fund focused on early-stage companies in farming, supply chain, advanced robotics, and plant-based foods.
- Nomad Ventures, Los Angeles, CA VC fund focused on marketplaces and "high network effect" startups, raised $30M.
Final Numbers
Stripe’s Valuations & Fundraises
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