Flytrex Raises $40M Series C for Drone Delivery | Daily Crunch

Daily Crunch: November 19, 2021

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Greetings, and welcome to the Daily Crunch for November 19, 2021. Today marks a pleasant Friday, leading into a holiday week within the United States.

TechCrunch Updates

While TechCrunch operates as a worldwide organization, operations will be slightly reduced beginning next Thursday. Nevertheless, a considerable amount of news remains to be covered!

A reminder that tickets for our forthcoming event, centered around space exploration, are currently available for purchase for a limited time.

Important Note: The team will be operating with reduced capacity next week due to the holiday.

Further details regarding the space-themed event can be found on the event page.

TechCrunch's Top 3 Developments

Recent advancements across several tech sectors have caught the attention of TechCrunch. Here's a breakdown of three key stories shaping the current landscape.

Drone Delivery Expansion

Flytrex, an Israeli drone delivery company, is collaborating with major U.S. retailers – Walmart and Chili’s – to pilot delivery services within North Carolina. This initiative follows similar efforts by Amazon and other companies.

Flytrex recently secured $40 million in funding to support these endeavors. Considering the growing preference for convenience over traditional shopping trips, the success of this experiment is eagerly anticipated.

Evolution in Venture Capital Models

The restructuring of U.S. venture capital firm Sequoia has sparked considerable discussion. However, analysis reveals that this shift towards a more permanent capital model isn't entirely unprecedented.

Examples from other markets demonstrate the viability of this approach. The industry is now watching to see which venture capital firm will adopt a similar strategy next.

Proliferation of Crypto Unicorns

The increasing number of venture funds dedicated to crypto investments is fueling a surge in crypto-focused startups. This year has witnessed a significant rise in the creation of new crypto unicorns.

Data indicates a notable concentration of these unicorns in specific geographic locations. Furthermore, the focus areas of these companies, including NFTs, have been identified through recent data analysis.

Startups and Venture Capital Updates

Recent activity in the startup world includes a significant funding round for a privacy-focused crypto project. Nym, a company based in Switzerland, has secured $13 million in new investment.

Funding Rounds and Acquisitions

The capital infusion comes from the a16z crypto fund and aims to bring a long-standing concept – privacy-centric infrastructure utilizing mixnets – to market. This will be achieved by integrating it with contemporary crypto incentive structures.

In the realm of video communication, mmhmm has expanded its capabilities through an acquisition. The company has purchased Macro, a service specializing in video-chat filters.

Both mmhmm and Macro focus on enhancing video-based interactions, making their combination a logical fit.

AI-Powered Writing Tools

Sudowrite is emerging as a powerful tool for writers facing creative blocks. This platform leverages the capabilities of GPT-3 to assist in content creation.

While not the first service to utilize GPT-3 for writing assistance, Sudowrite appears to be particularly robust in its output. The company recently completed a $3 million funding round.

Innovations in Baby Food

Amara is addressing the challenges of infant nutrition with a novel approach to baby food. The company has secured $12 million in Series A funding.

This investment values Amara’s business at $100 million, reflecting the growing demand for healthy and convenient food options for young children.

Disrupting the Reinsurance Industry

The insurtech sector continues to evolve, with startups now targeting the reinsurance market. Kettle has raised $25 million to focus on insuring insurance companies.

This represents a less common insurtech model, and the success of Kettle will depend on its economic viability.

Investment in Korean Startups

Primer Sazze Partners, a venture capital firm based in San Jose, is concentrating its investments on startups founded by Korean entrepreneurs. The firm aims to support businesses in both Asia and North America.

The fund has raised $127 million and distinguishes itself through its specific investment focus.

TechCrunch Podcast Highlights

For those seeking further insights into the tech and startup landscape, the Equity podcast offers a weekly recap of the latest news, including developments at OpenSea and in the edtech sector.

Additionally, the Found podcast features an engaging interview with Nabiha Saklayen, the recent winner of the TechCrunch Disrupt Battlefield competition. This episode is highly recommended for listeners.

The Argument for Initial Viable Product (IVP)

The concept of a minimum viable product (MVP) has historically provided startup founders with considerable adaptability.

The core strategy involves continuous deployment and iteration until product-market fit is achieved; however, a potential drawback exists.

Aron Solomon, head of strategy at Esquire Digital, notes that “minimal” is a relative term prone to expansion.

Reframing the Approach to Early Product Releases

Rather than solely focusing on the MVP, Solomon suggests incorporating an initial viable product (IVP) into the development roadmap.

This shift in perspective aims to manage scope creep and maintain focus during the early stages of product development.

To illustrate the difference, he offers a compelling analogy.

An IVP, according to Solomon, is akin to presenting an unfinished pepperoni pizza, while an MVP resembles offering separate components – sauce, cheese, a Slim Jim – alongside a drawing of an oven.

(Access to exclusive insights and resources for founders and startup teams is available through TechCrunch+. Sign up for membership here.)

Big Tech Inc.

The European Union continues to refine its approach to adtech. The European Data Protection Board (EDPB) has cautioned EU legislators that a forthcoming set of digital regulations could potentially compromise fundamental rights if alterations aren't made.

A proposed solution involves the gradual elimination of ad-tracking practices. Such a shift would represent a significant alteration to the current internet ecosystem.

Flipkart's Expansion into Healthcare

Flipkart, a leading e-commerce company in India, is acquiring a controlling interest in SastaSundar. SastaSundar collaborates with over 490 pharmacies, according to TechCrunch reports.

This move mirrors similar initiatives by Amazon, the American e-commerce giant, in the healthcare sector. This suggests a potential trend that may emerge in other global markets.

Twitter's Tipping Feature on Android

Twitter has recently expanded its tipping functionality to Android users. Given the frequency of new Twitter product announcements, it may become necessary to reduce the number included in Daily Crunch updates.

Android users can now utilize the tipping feature, should they wish to do so. This feature was previously unavailable to them.

Seeking Recommendations for Top Tech Consultants

TechCrunch is currently soliciting recommendations for skilled software consultants. Expertise sought includes areas like UI/UX design, website development, and mobile application development.

Invitation to Clients

If you have partnered with a software consultancy, TechCrunch encourages you to share your positive experiences. A survey has been created to gather feedback on why clients value their collaboration with these firms.

The goal is to identify and highlight consultants who consistently deliver exceptional results and client satisfaction.

Areas of Expertise

• UI/UX: Consultants specializing in user interface and user experience design.
• Website Development: Professionals proficient in building and maintaining websites.
• Mobile Development: Experts in creating applications for mobile platforms.

Consultants are asked to distribute this survey to their client base. TechCrunch is eager to learn about the specific reasons clients appreciate their services.

Your input will help TechCrunch compile a valuable resource for businesses seeking top-tier technology consulting partners.