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It’s holiday season for tech unicorns – ProWellTech
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Have you followed all the unicorn news from the last couple of weeks? No? Here’s a list of stocks to reach out to you, because this holiday season is already featuring mega acquisitions, even more IPO statements, and a constant drumming of fundraisers.
Somehow, after one of the toughest years in recent memory, the tech industry is heading into December with more enthusiasm than ever. (Do you still remember last year’s WeWork IPO fiasco? No?)
Salesforce buys Slack in a $ 27.7 billion megadeal
Everyone has an opinion on the $ 27.7 billion acquisition of Slack
What to do with Stripe’s possible $ 100 billion valuation
How the pandemic drove the wave of IPOs we see today
A roundup of recent unicorn news
C3.ai’s first IPO pricing guidelines highlight public market (EC) technology appetite
Working to understand the growth story of C3.ai (EC)
Insurtech’s Big Year Gets Bigger As Metromile Seems To Go Public (EC)
Wall Street Needs To Relax, As Startups Prove Remote Work Is Here To Stay (EC)
In the first IPO price range, Airbnb’s valuation returns to pre-pandemic (CE) levels
3 new members of the $ 100 million ARR club and an invitation for the next generation of startups in the growth phase (EC)
Virtual fundraising is here to stay
Connie Loizos caught up with Jason Green of the leading business-focused company Emergence Capital to get her take on SPACs and how they are likely to be used next year and beyond. But early stage startups, don’t miss his statement of Zoom meetings as part of the fundraising process going forward.
I would say that in the last five years we have made an almost total transition. We are now more of a data-driven, thesis-based outbound company with whom we target entrepreneurs immediately after they start their businesses or get initial funding. The last three investments we made were all reports that [date back] from a year to 18 months before we began engaging in the actual funding process with them. I think that’s what it takes to build a relationship and belief, because funding is happening so fast.
I think we’re going to actually make more investments this year than perhaps we’ve ever made in the company’s history, which is surprising to me [considering] COVID. I think we’ve really honed our ability to build this pipeline and have conviction, and so in this market environment, Zoom is actually helping to expand the landscape we’re willing to invest in. We are probably seeing 50% to 100% more companies and trying to shrink them over time and really focus on the 20-25 that we want to investigate as a team.
Thousands of startup founders will resume their journey around Silicon Valley’s VC offices once the vaccines arrive. But we will remember 2020 as the year that the enterprise truly joined the cloud.
Edtech looks to the future
Every level of education has been forced online by the pandemic this year, at least temporarily. Even though the children may already be back in the classroom, higher education and business education are still exploding from a distance. Natasha Mascaren analyzed the latest market changes for Extra Crunch and assembled a panel of industry leaders for a special Thanksgiving Equity Edition. Here’s more on what you’ll find on the show:
For this Equity Dive, we focus on one part of that conversation: Edtech’s impact on higher education. We brought together the co-founder of Udacity and the CEO of Kitty Hawk Sebastian Thrun, Eschaton founder and college dropout Ian Dilick and investor at Cowboy Ventures Jomayra Herrera to answer our biggest questions.
Here’s what we did:
- How remote school status is leading to gap years among students.
- A picture of how to think about the three main products of higher education (including the one that is most defensible over time).
- What lessons can we draw from this COVID-19 distance learning experiment to apply to the future.
- Because edtech is adhering to the concept of lifelong learning.
- The reality of those who need learning based on their own pace and those who leave out.
How to evaluate your SaaS product for a bottom-up growth strategy
SaaS is continuing to be reshaped by consumer internet techniques, with the best companies of our era competing through the growth of word of mouth against the incumbent sales force. However, the revenue model must be accurate for it to scale. In a guest post for Extra Crunch, Coatue’s Caryn Marooney and David Cahn outline a strategic framework for how to value your bottom-up SaaS product the right way for the market. Called “MAP”, for metrics, activities, and people, it helps you rank your product based on the actual ways people try to use and pay for it. Here’s how they describe the A:
Activities: How do your customers actually use your product and how do they describe themselves? Are they creators? Are they publishers? Do different customers use your product differently? Instead of metrics, a key element to pricing can be the different roles users have within an organization and what they want and need in your product. If you choose to anchor to the business, you’ll need to align feature sets and capabilities with usage patterns (e.g. creators have access to more in-depth tools than viewers, or admins get elevated privileges over line-level users ). For example:
- Figma – Editors and viewers: viewing is free, starts changing after two changes.
- Monday – Creator vs Viewers: Viewing is free, creators pay $ 10- $ 20 / month.
- Smartsheet – Creators versus Viewers – Viewing is free, creators pay $ 10 + / month.
The Extra Crunch subscription is now available for readers in Israel
Find out how we are working to live and work in space in TC Sessions: Space 2020
Aerospace’s Steve Isakowitz will speak at TC Sessions: Space 2020
Investors Lockheed Martin Ventures and SpaceFund are coming to TC Sessions: Space 2020
For the whole week
Calling VCs in Israel: Participate in The Great ProWellTech Survey of European VC
SEC matters proposed regulation to compensate for worker equity
The fall of adtech means the economy of trust is here
How Ryan Reynolds and Mint Mobile worked without becoming a joke
What will the technology of tomorrow be like? Ask someone who cannot see
Mental health startups are raising spirits and venture capital
Who is building the grocery store of the future?
Strike first, strike hard, without mercy: how emerging managers can win
This is a good time to start a proptech company
7 things we just learned about Sequoia’s European expansion plans
From Alex Wilhelm:
Hello and welcome back to Equity, ProWellTech’s venture capital podcast (now on Twitter!), where we unpack the numbers behind the titles.
We didn’t come back with an Equity Shot or a Monday dip, this is just the normal show! So, we went back to our roots by observing a huge number of rounds in the early stages. And a few other things we were too excited not to mention.
It was a lot, but how could we leave it out? We went back on Monday with others!