Glenn's Weekly Digest - 12/15/23
Your Weekly Guide to the Startup Universe: Navigating the World of VC & Startups for Students
Story of the Week
Antitrust Regulators Decide to Step In
Google loses antitrust case over its Play store brought by Epic Games [MarketWatch]
Epic Games, the creator of Fortnite, filed a lawsuit against Google, claiming that the tech behemoth protected its app store from competition to rake in billions of dollars in annual revenue.
Apple had been sued in a previous lawsuit but had prevailed, although that case is still under appeal at the US Supreme Court.
The extent to which the judge enforces the jury's verdict may result in Google facing a potential loss of billions in annual profits derived from Play Store commissions.
Adobe boss says CMA should ‘move more quickly’ on Figma takeover decision [CityAM]
A senior executive at Adobe has criticized the UK's competition watchdog for the extended duration it has taken to make a decision regarding Adobe's planned acquisition of the cloud-based designer platform Figma.
This comes after the Competition and Markets Authority (CMA) said that deal would harm the country’s digital design center and lead to fewer choices.
Adobe is now appealing and arguing the CMA’s decision was too broad. They are now proposing new remedies in hopes they can get a green light on the merger.
To cut or not to cut? That is the Fed question
Inflation slowed to a 3.1% annual rate in November [CNBC]
Early reports show the CPI (consumer price index) increased 3.1% from a year ago, mostly in line with expectations. The numbers are still higher then the Fed’s 2% target but trending in the right direction.
This data point comes as the Fed meets again and held rates steady. However, futures markets are already pricing in aggressive cuts in 2024, with current estimates showing a 1.25% decrease. A recent expert survey by CNBC, estimate a more measured 0.75% decrease over the next year. This aligns with the latest Fed meeting minutes which indicated three rate cuts of a quarter point.
Top Reads This Week
Regretful Accelerationism [Stratechery]
Ben Thompson discusses the new trend of effective accelerationism, a movement that espouses a pro-tech stance and believes AI will be the great equalizer. He writes a thoughtful perspective on the impact of AI generated content, the changing nature of social media, and the challenges faced by the traditional models of the internet. An interesting contrast to the current day theory espoused by major tech players like Marc Andreessen and Garry Tan.
How can founders get value from their VCs? [The Generalist]
The most common phrase from almost all VC’s is “how can I be helpful?” In this article, Mario Gabriele talks to eight unicorn founders and unpacks their best investor relationships. Advice ranges from being specific with asks, avoiding “value add” investors, and many other tactical pieces of feedback. A helpful read for new entrepreneurs or investors.
Top 5 Deals of the Week:
Essential AI, an SF based company which specializes in building partnerships between humans and computers, raised $56.5M in Series A funding led by March Capital, which participation from Google, NVIDIA, and Thrive Capital.
Noetica AI, a provider of an AI platform that benchmarks corporate debt transactions, raised $6M in seed funding led by Lightspeed.
Opal Security, an identity security and access management company, raised $22M in Series B funding led by Battery Ventures, with participation from Greylock and Box Group.
Armada, a provider of mobile edge computing platform that delivers internet and AI connectivity globally, raised $55M in funding led by Founders Fund, Lux Capital, and Shield Capital, with participation from Felicis, Contrary, 8VC, and many others.
Pontera, a provider of wealth management services that enables retirement savers to get help managing their 401(k), raised $60M from ICONIQ Growth, with participation from Lightspeed, Collaborative Fund, and others.
Venture Jobs of the Week
Senior Associate, Supply Change Capital (Chicago)
Investor, NFX (San Fransisco)
Global Investor, MIT Investment Management Company (Boston)
Associate, Kickstart Fund (Denver)
Associate, Entrepreneur First (New York)
Analyst, Hitachi Ventures (Silicon Valley)
Investment Analyst, TDK Ventures (Boston)
Spring Deal Fellow, TMV (NYC)
Ventures Business Development Manager, Capital One Ventures (New York)
B.Next Investment Summer Associate, In-Q-Tel (Boston)
International Summer Associate, In-Q-Tel (Washington DC)
Thank you for joining us for another edition of Glenn’s Weekly Digest! We hope you found valuable insights into the dynamic world of venture capital and startups. If you have any feedback or suggestions, feel free to reach out. Stay tuned for more exciting updates next week!
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