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Remember when it was news that venture capitalists were open for business? Or when the zoom investment was made only by That one man in Ann Arbor (Ha, I kid!). These last few months have felt busier than ever, when it comes to startup growth, hot IPOs and new ventures, there seems to be no holiday.
Even with the distracting bull market, I wanted to reflect and see how the youngest startups move forward. Alex wilhelm And I dove into the data, provided by Pitchbook, to see what’s next Doordashes And Airbnbs Getting their first finance.
The answer is that Seed investment flourished but intricately. COVID-19 was shaken by private investors, which the startup found attractive. And this change came at risk for some regions and people.
There are two investors Mobility explained:
Jenny Lefcourt of Freestyle:
I think seed prices are going up massively [venture] First playing firms are feeling more They can’t remember the person next door. I think big companies have so much capital to work with and they think they are better off burning something [cash] To be in reverse for the seed [startups] Where can they Double, triple, 10x down on their winners.
Nihal Mehta of Eniac Ventures:
Because you cannot meet in person, investors felt more comfortable investing in ‘proven’ entrepreneurs Connections already exist in their social circle.
The long-term reforms of this tunnel vision meant that the female founders were lost during this time, as the social circle in venture capital is largely white and male. From a sector perspective, e-commerce and edtech have had an easier time, but at the expense of travel and hospitality.
Data brings a kind of dissonance to startup-land: even though seed investment has never been more hectic and fruitful, it is good news for some, and bad news for others. It is a healthy reminder that a boom and bust can be true at the same time.
How’s that for the 2020 sign-off? We leave next week, but in the meantime, two bits of homework: take advantage of it Extra Crunchy Holiday Sale And send me suggestions and ideas firstname.lastname@example.org Or tweet me @nmasc_ Treats in between your vacation.
I will interact with all of you in the new year.
EdTech’s biggest challenge in 2021
No sector has been a year like edtech. The region attracted $ 10 billion globally, and distance education moved from a tool to a necessity.
This year I have written my favorite edtech stories:
Eventually, Ed at my end of the year for TechCrunch, I propose that the ubiquity of distance education has certainly brought a boom for new users, but it has really limited the ability to innovate the sector in exchange for a faster, easier scale.
Here’s my biggest tip for the year ahead:
For EdTech in 2020, flexible and intimidating was a survival strategy, driven by profits, growth and, above all, aha moments that required technology in our way of learning. Now, as we enter the rest of the decade, the sector will have to shake its short-term-fix mentality to grow from tunnel vision to broad-pan ambition.
$ 16B checkbook for space startup
Space is defying funding constraints for startups – which is poetic flow once all we need at a time. As a part of our TC Sessions: Space 2020 event, a number of TechCrunch journalists gave an in-depth look at what kind of money is going into space.
Chris boshuizen Venture firm’s DCVC And co-founder of Planet labs Specifically said:
We don’t live in a sci-fi future yet, where you can just fly away, grab a piece of debris and bring it back. This is really, really hard – I think maybe five years away – but it’s something we want to support and see.
Recalling the startups we lost in 2020
It is always difficult to build a startup, but the epidemic was a plot twist that did not have happy results for many companies this year. So, as part of an annual TechCrunch tradition, we A tribute to the startups we lost in 2020.
Here are my takeaways:
- This is not a fun list. Failure is hard, but you can learn one or two as you sort through the ashes. for example? Big names, big plans, and a boat of money are not really a replacement for making money.
- List includes Short-form video app Quibi, Advocate for tech startup AtriumAs, a piece of the trip startup dragged down the virus.
- Although some businesses gave COVID-19 a failure, cracks and fundamental commercial flaws often peaked far before the epidemic began.
Throughout the week
Seen on techcrunch
Seen on extra crunch
Finally, Equity is ending the year with two holiday episodes. This week, we’ve got Reflections on this dumpster fire year. I supported Danny, Chris And Alex Just to sit back and think about this eventful year. We also got five venture capitalists who had to leave our notes as well.
The goal of this episode was to sit and think A year no one could ever predict, But with a specific angle, as always, on venture capital and startups.
The biggest surprise, we asked, was to look at non-portfolio companies, and they got the trends wrong and right. There were also restrictions on Zoom Investment (Alex came with Jing, not me) and startup pricing.