Daily Crunch: May 17th – A Quick Overview

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Today's Highlights

This is the Daily Crunch for Monday, May 17th. We'll proceed directly to the news, as there's a substantial amount to cover.

TechCrunch Battlefield Applications

Early-stage startup founders still have approximately one week to submit their applications for the upcoming TechCrunch Battlefield competition. This event provides a valuable platform for emerging companies.

Further details regarding the application process and eligibility criteria can be found in the article compiled by Neesha.

— Alex

Leading Tech News Highlights

Current key developments in the technology sector center around substantial investment in insurtech companies, the sustained revenue expansion demonstrated by software businesses, and the significant influence wielded by prominent tech platforms.

Jerry Secures $28M Funding: Joining the growing number of companies focused on developing insurance marketplaces, Jerry distinguishes itself with a unique approach and a considerable new capital injection. The company aims to provide consumers with comprehensive services beyond simply locating insurance options, adopting a “superapp” strategy with a novel focus. Further insights into the growth of insurtech marketplaces can be found here. (The overall insurtech landscape remains exceptionally active.)

Monday.com Files for IPO: It has been widely known for some time that Monday.com, a provider of corporate communication and planning solutions, has surpassed $100 million in annual recurring revenue. The company has now officially filed for an initial public offering. A detailed analysis of their financial figures reveals accelerating revenue gains. Crucially, this news signals that the IPO market remains accessible, extending beyond special purpose acquisition companies (SPACs). This is a positive indicator for late-stage startups.

Apple Introduces Lossless Audio at No Extra Charge: Spotify intends to implement a fee for higher-fidelity streaming services. Apple, however, has opted not to. This decision presents a challenge for Spotify, as it requires increasing revenue per user. Apple, with its extensive financial resources, does not face this constraint. The competition between Spotify and Apple is particularly noteworthy, as it involves an established challenger facing a challenger that has become an established player in the music streaming industry. It will be interesting to observe Spotify’s response.

Startups and Venture Capital Funding

Recent activity indicates widespread funding across the startup landscape. Here's a summary of the latest investment rounds, presented in descending order by funding amount.

Fave Secures $2.2M

Fave has successfully raised $2.2 million to facilitate connections between fans and their favorite content creators. Founder Jacquelle Amankonah Horton aims to bridge the gap between audiences and the individuals producing content they enjoy.

Merge Obtains $4.5M

Merge has secured $4.5 million in funding for its HR and finance API. The platform functions as a unified API, streamlining connections to various finance and HR systems. This approach, coupled with a developer-focused sales strategy and flexible pricing, aligns with current startup trends.

Telda Raises $5M for Egyptian Fintech

Telda’s $5 million funding round is noteworthy for its focus on the Egyptian technology sector, an area often underrepresented in coverage. The inclusion of Sequoia Capital as an investor highlights the increasing interest of American VCs in emerging markets.

Houm Attracts $8M Investment

Houm has raised $8 million to support its platform for Latin American home sales. Described as a comprehensive solution for property owners, the company assists with both renting and selling properties throughout the region. Houm is a recent graduate of the Y Combinator accelerator program, completing the winter 2021 batch.

Code Ocean Gains $21M

Code Ocean has secured $21 million to advance its collaborative data science platform. The platform offers data scientists a containerized environment for easily sharing data and analytical components, as reported by Devin Coldewey. This new capital will fuel the company’s expansion and vision.

Ankorstore Receives $102M

Ankorstore, a French company, has received $102 million to supply wholesale goods to independent retailers. The substantial investment from Tiger Global Management positions the startup with significant financial backing.

Another Hardware Company Pursues SPAC Route

Bright Machines is preparing to go public through a Special Purpose Acquisition Company (SPAC). A detailed analysis of the company and its financial statements was conducted by Ron Miller.

The competition for voice control in automobiles is intensifying

The incorporation of cost-effective voice recognition technology into vehicles was, until recently, considered a futuristic concept.

However, in the past year, 45% of all vehicles shipped included integrated in-car connected services. Forecasts suggest that vehicles equipped with voice recognition capabilities will account for 60% of the market by 2024.

Given the significant amount of time individuals dedicate to driving, the potential applications for this technology are vast and numerous.

For our most recent Extra Crunch market analysis, we first assessed the overall market potential before compiling a list of key companies and consulting with investors to understand their investment strategies.

(Extra Crunch is a subscription service designed to empower founders and startup teams. Registration is available here.)

Big Tech Inc. – Recent Developments

Similar to the dynamism observed within the startup ecosystem, major technology companies have experienced a period of significant activity recently. The following provides a summary of key events.

JD.com Logistics IPO

Positive developments originating from the Chinese startup landscape have been infrequent of late. However, the impending public offering of JD.com’s logistics arm represents a notable exception.

This move not only offers a shift in perception regarding the nation’s technological sector but also highlights the substantial scale of the worldwide e-commerce industry.

SpaceX Starlink Expansion

SpaceX has successfully launched an additional 52 Starlink satellites into orbit.

This ongoing deployment aims to provide high-speed internet access to underserved rural areas, potentially enabling greater connectivity across geographically isolated regions.

GoTo Group Formation

The merger of GoJek and Tokopedia, two prominent Indonesian startups, has been finalized, resulting in the creation of the GoTo Group, as reported by TechCrunch.

GoJek specializes in ride-hailing services, while Tokopedia operates as an online marketplace. Their consolidation establishes a significantly large and comprehensive entity.

Microsoft Teams Enhancements

Following setbacks in potential Discord acquisitions, Microsoft is focusing on improving its existing Teams platform to appeal to a broader user base.

Beyond its established role in gaming, Teams represents a key opportunity for Microsoft to establish a successful and enduring consumer-facing service.

Telecoms Divestment of Media Assets

Major telecommunications companies, such as AT&T, are continuing to divest media assets in an effort to reduce debt and free up capital for investments in infrastructure.

Alternatively, companies could consider temporary adjustments to shareholder return programs as a means of generating funds for infrastructure development.