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Daily Crunch: July 9, 2021

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Greetings, and welcome to the Daily Crunch for July 9, 2021. The week is concluding, and that is an achievement worth acknowledging. However, there remains considerable news to cover before we can fully unwind.

Today's Highlights

The current news cycle includes developments concerning automotive manufacturers rebranding themselves as technology firms, alongside an examination of the ongoing surge in venture capital activity. These topics, and more, are detailed below.

• The shift of auto companies towards tech positioning is being scrutinized.
• Current trends in the venture capital landscape are under analysis.

Let's proceed with a detailed overview of the day’s key events. — Alex

TechCrunch's Top 3 Insights

The venture capital landscape in Q2 2021 presented exceptionally favorable conditions for startups. Global records were surpassed, a historically high number of unicorn companies emerged, and company valuations experienced an upward trend.

For founders contemplating a funding round, the current market timing is particularly advantageous.

Increased Scrutiny of Major Corporations

The focus on publicly traded companies, often referred to as "Big Tech," stems from their substantial size. Concerns are growing that certain firms have reached a scale necessitating potential division to foster increased competition.

Naturally, technology companies hold differing viewpoints. However, governmental discussions surrounding these large entities are now translating into concrete measures.

European Startup Outlook

Typically, this section highlights the most significant daily news. However, we are sharing an insightful essay penned by a venture capitalist based in Germany.

The investor expresses optimism regarding his nation's startup ecosystem, while also proposing two areas for improvement: the wider adoption of employee stock options and the streamlining of regulations concerning spinoffs.

This piece offers valuable perspectives on the factors that contribute to the vibrancy of startup communities across different nations.

Understanding these dynamics is crucial for fostering innovation and growth within the European startup landscape.

Key takeaways include the importance of incentivizing employees and creating a more supportive regulatory environment for new ventures.

Startups and Venture Capital Updates

Let's begin with significant news from the startup landscape.

• Kurly, a Korean grocery platform, secured $200 million in funding: This valuation places the company's worth exceeding $2 billion. Initial plans for a U.S. IPO have been abandoned, with a future listing now targeted for the local market. The reasons behind this shift are currently under scrutiny.
• Flash, a Brazilian HR tech company, completed a $22 million Series B round: This funding was spearheaded by a prominent venture capital firm. Based in São Paulo, Flash is innovating the provision of employee benefits within Brazil.
• Ola, the ride-hailing service, received an additional $500 million in investment: The capital infusion comes from Temasek and a Warburg Pincus affiliate, as reported by TechCrunch. This suggests continued investor confidence in the on-demand transportation sector, despite recent challenges.

Now, turning our attention to developments within the venture capital world.

• A profile of The Artemis Fund was published by TechCrunch’s Ron Miller: This article provides valuable insight into the fund’s operations and investment strategy. The fund, established by women, prioritizes investments in companies founded by women.
• DN Capital has successfully raised a $350 million fund: This achievement follows several successful public offerings of companies previously backed by the firm. The firm primarily focuses its investments on European markets, distinguishing itself from the U.K. where U.S. venture capital presence is more pronounced.
• Robotics startups can benefit from advice offered by three venture capitalists: These investors have collaborated to share key insights and recommendations for companies developing robotics technologies. This guidance is particularly relevant for hardware-focused ventures.

These updates highlight the dynamic nature of both the startup and venture capital ecosystems.

Expert Perspectives: Identifying Andy Jassy’s Key Objectives as Amazon CEO

With the transition from Amazon Web Services to the CEO role now complete, what significant hurdles lie ahead for Andy Jassy as he succeeds Jeff Bezos?

To gain insight, technology journalist Ron Miller consulted with three industry analysts to gather their assessments.

• Robin Ody, representing Canalys
• Sucharita Kodali, from Forrester
• Ed Anderson, of Gartner

While Amazon holds the second position on the Fortune 500 list, numerous challenges remain. Sustaining growth, addressing unionization efforts, and navigating potential antitrust scrutiny both domestically and internationally are among his core duties.

Kodali emphasized the importance of continuity, stating, “The primary task is to maintain the substantial progress the company has achieved in recent years.” She added, “Ensuring this momentum isn’t lost will be crucial to his success.”

Maintaining Amazon’s current trajectory is paramount for Jassy.

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

Big Tech Inc.

To conclude the current updates, we have two additional items to cover. Initially, an examination of the recent fines levied by the European Union against several automotive manufacturers. Reporting on this is Rebecca:

Understandably, this development may elicit frustration.

Lastly, concerning Facebook, positive news is available for those utilizing WhatsApp. Users will soon have the capability to choose a setting that enables the transmission of images and videos with improved quality. This addresses the previously noted “subpar image compression” identified by TechCrunch.

It’s worth noting that not all technological news is negative in nature!

TechCrunch Experts: Growth Marketing

Startup founders are being contacted to identify their preferred sources for current growth marketing strategies.

Participation in the survey can be completed through this link.

A submitted recommendation is presented below.

Marketer Profile

Marketer's Name: Nikita Vorobyev

Recommender's Name: Ruby Club

Recommendation Details

“Nikita, along with his firm Buildrbrand, demonstrated exceptional dedication in realizing my vision.

Every effort was made to elevate the project to its current standing.

A top-tier, conditional quiz with a compelling visual experience was developed by his team.

It is believed that sharing this innovative approach with the wider industry would be beneficial.

This nomination was made without Nikita’s prior knowledge, as a gesture of appreciation.

His agency is considered to be a leading creator of brands that achieve significant online virality.”

Key Strengths Highlighted

• Unwavering dedication to client projects.
• Creation of innovative and engaging user experiences.
• Proven ability to build brands with viral potential.