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Startups are not isolated from the world. However, this week, fundraising news feels not actively correlated from the entire news cycle, providing some reprieve. Or perhaps it’s time to prepare to invest in “planetary and social health.”
The most interesting startup story of the week
This week included exits, litigation, disappointing sales and scientific controversy.
Openai Alumni: Former Openai CTO Mira Murati has secured two celebrity advisors, Openai and past well-known celebrities, for their new venture, AI Startup Thinking Machine Lab. For Openai co-founder and former chief scientist Ilya Sutskever, we chose Google Cloud’s TPU chip to enhance the research conducted by new AI startup Safe Superintelligence.
Friends and Enemies: Openai is reportedly considering spending $500 million to acquire IO products. This is the AI hardware startup Jony Ive is building with Sam Altman, but the two companies were able to partner instead. Meanwhile, Openai’s argument with Elon Musk continues. This time I have a counter suit for a former supporter.
Leave Deel: Deel’s communications director has left HR Tech Company. This has been accused of planting spies with rival startup rip rings.
Colossal or not: Colossal Biosciences claims to have revived the tragic wolves, but scientists with no ties to the company are challenging the claim.
Yo-Yo: Lyst, a British fashion marketplace once valued at around $700 million, was acquired by Japan-based Zozo for just $154 million in cash.
Not so solid: Startup Solid as a Bank as a Bank cited “Major and Costly Litigation” for Chapter 11 Bankruptcy Protection. It raised nearly $81 million, but faced legal challenges in 2023 when Series B backer FTV Capital sued to recover its $61 million investment.
Most Interesting VC and Funding News This Week
This week there were many trades and fund announcements, much smoother than the stock market than the startupland.
Road Turn: Autonomous driving startup Nuro has secured a $106 million Series E at a valuation of $6 billion from $8.6 billion in 2021. As valuation dip pivots not only from market trends, but also from delivery robots to licensing technology, it may have little capital.
Power for People: Base Power, a burgeoning home battery backup provider based in Texas, has raised a $200 million Series B led by an additional.
Stripe-like: Sipay is an Istanbul-based fintech startup that charges “embedded market stripes,” raising a $78 million Series B at a $875 million valuation to expand outside of Turkey.
Make It Rain: Acquired wage access startup Rain has raised a Series B of all fairness, led by Prosus.
View from above: Brinc Drones, a Seattle-based police drone startup founded by 25-year-old college dropout Blacrest Nick, has raised $75 million in new funding, led by Index Ventures.
Smooth Generation: San Francisco-based startup Krea has revealed that it has helped designers and visual creatives use tools from several generative AI models, raising $83 million in several tranches, including the $47 million Series B.
Still Hire Humans: Artisan, an AI sales agent startup known for its “Stop Hire Humans” marketing campaign, has raised a $25 million Series A to help add 22 members to its 35-person team.
Billions under control: Signalfire locked over $1 billion in fresh capital, bringing its total assets to about $3 billion under control. Lerer Hippeau has closed its ninth fund for $200 million from the $140 million eighth fund, raising its assets to $1.4 billion.
Two-time attractions: Berlin-based VC company Revent has secured a $109 million Fund II to invest in “Planet and Social Health” startups. Family office-turned VC DIG Ventures raised $100 million for its second fund. It will mostly be deployed in Europe to support early stage startups in B2B Saas, AI, and Cloud Infrastructure.
Last but not least, it’s important
San Francisco Mayor Daniel Lully recently said he was calling Tech CEO personally at TechCrunch’s StrictlyVC event to ask how the city can support it. “I’m calling entrepreneurs and saying, ‘How can I keep you here?’ Or, “How can I get you back?”,” Lurie said.