Tech News Roundup: April 1, 2021

Tiger Global has finalized a substantial fund closure, Facebook is bolstering its efforts to promote COVID-19 vaccination, and spending on applications for iPhones continues its upward trajectory. These are the key highlights in today’s Daily Crunch.

Investment Landscape

Tiger Global Secures Major Venture Fund

Investment firm Tiger Global initially aimed to raise $3.75 billion for its thirteenth venture fund. However, a recent SEC filing revealed a significantly larger total – $6.65 billion was ultimately secured.

This outcome aligns with the firm’s recent activity. This week alone, Tiger Global led or co-led funding rounds totaling $300 million for HighRadius, $192 million for Cityblock Health, and $125 million for 6sense. Furthermore, portfolio company Stripe now boasts a valuation of $95 billion, and Roblox recently completed its initial public offering.

Tech Industry Updates

Facebook's Vaccination Initiative

Facebook has introduced profile frames designed to encourage users to get vaccinated against COVID-19. This initiative mirrors a similar campaign launched in the United Kingdom, which reportedly led to a quarter of Facebook users in the UK seeing a friend utilizing the profile frame.

iPhone App Spending Growth

Data from Sensor Tower indicates that US iPhone users spent an average of $138 on apps in 2020. Projections estimate this figure will increase to $180 in 2021, representing a year-over-year growth of 38%.

Facebook-Giphy Acquisition Under Scrutiny

The UK’s Competition and Markets Authority (CMA) is conducting an in-depth investigation into Facebook’s $400 million acquisition of Giphy. The regulator has expressed concerns regarding potential competition issues related to digital advertising.

Startups and Funding

Thrasio's Expansion

Thrasio has secured $100 million to further its Amazon roll-up strategy and has appointed a retail CFO to guide its next phase. The company has already acquired and consolidated over 100 brands, encompassing more than 15,000 products sold on Amazon.

Next Insurance Valuation Doubles

Next Insurance has raised $250 million, resulting in a doubling of its valuation to $4 billion in less than a year. The company provides small-business insurance coverage across various categories, including workers’ compensation, commercial auto, and general liability.

Holler Secures Funding for Conversational Media

Holler has raised $36 million to advance its work in ‘conversational media’ within popular applications. While the term may be unfamiliar, many users have likely already interacted with Holler’s technology.

Analysis and Insights

IPO Market Considerations

Kaltura has postponed its initial public offering, prompting questions about the potential closing of the tech IPO window. Reports suggest Kaltura was surprised by the lack of momentum towards a higher IPO price.

Business Development Strategy

There's a common misconception that business development can resolve any growth challenges a startup faces. However, a strategic approach is crucial, and it’s not a universal solution.

Cybersecurity Leadership

Integrating Chief Information Security Officers (CISOs) into the C-suite is becoming increasingly important for embedding cybersecurity into a company’s core culture. The evolving information age necessitates this shift in organizational structure.

Additional News

VC Advocacy Against Asian Hate

Hans Tung, a venture capitalist, has publicly addressed the issue of ‘stop Asian hate’ in a growing campaign. Tung and his partners at GGV Capital initiated this action two weeks ago.

ILM's Stagecraft Technology

Industrial Light & Magic (ILM) has showcased the updated Stagecraft LED wall used for the second season of ‘The Mandalorian’. The system has been expanded and improved for enhanced performance and usability.

European Cities Survey

TechCrunch is conducting a survey of European founders and investors in cities beyond the major European capitals. This project aims to map the tech landscape across Europe.

The Daily Crunch is a TechCrunch compilation of the most significant stories. Subscribe here to receive it daily in your inbox around 3pm Pacific.