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App Store bill passes AZ House, ‘deep nostalgia’ goes viral, Twitter Spaces arrives on Android – TechCrunch

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Welcome back to This Week in Apps, the weekly TechCrunch series that recaps the latest in mobile OS news, mobile applications and the overall app economy.

The app industry is as hot as ever, with a record 218 billion downloads and $143 billion in global consumer spend in 2020.

Consumers last year also spent 3.5 trillion minutes using apps on Android devices alone. And in the U.S., app usage surged ahead of the time spent watching live TV. Currently, the average American watches 3.7 hours of live TV per day, but now spends four hours per day on their mobile devices.

Apps aren’t just a way to pass idle hours — they’re also a big business. In 2019, mobile-first companies had a combined $544 billion valuation, 6.5x higher than those without a mobile focus. In 2020, investors poured $73 billion in capital into mobile companies — a figure that’s up 27% year-over-year.

This week we’re looking into the app store bill in Arizona, the trend of animating family photos and what’s next for Twitter’s Clubhouse rival, among other things.

This Week in Apps will soon be a newsletter! Sign up here: techcrunch.com/newsletters.

Arizona House passes a bill that would allow developers to avoid the “Apple tax”

Image Credits: Apple

The Arizona House of Representatives this week passed a bill (HB 2005) that could significantly impact Apple and Google’s grip on the App Store market. Unlike a similar measure recently shot down by the North Dakota Senate, this new bill doesn’t force app stores to offer alternative ways for developers to distribute their apps. Instead, it focuses on giving developers the right to use third-party systems that would allow them to circumvent the 15%-20% cut that Apple and Google take from app sales, in-app purchases and subscriptions.

Apple and Google lobbyists were already fighting against this bill before it was even formally introduced by Arizona State Rep. Regina Cobb. Cobb says she was approached by a lobbyist representing Match Group and the Coalition for App Fairness (CAF) — the latter, which has organized some of Apple’s largest competitors — like Epic Games, Match Group, Spotify and Tile — to fight back against Apple’s control of the app ecosystem.

CAF had also backed the North Dakota bill,, and is helping push legislation in other states, including Minnesota, Georgia and Hawaii.

Some legislators may oppose the bill on the grounds that these decisions are more of a federal matter and concerns over how the state would be able to enforce such a policy. The Arizona bill still has to make it through the Senate (and could be vetoed by Governor Doug Ducey) in order to become a law. If it did pass, it would make Arizona an attractive place to set up an app business and could set the groundwork for other states to pass similar legislation.

Animated family photos top the App Store

MyHeritage’s recently launched update that lets users animate their old photos helped to send the app to the top of the App Store this week. The company had last week introduced “Deep Nostalgia” — a facial animation feature powered by technology from Israeli tech company (and TechCrunch Battlefield alum) D-ID. To animate the photos, the tech maps the facial features from the photo to a driver video to create what it calls a “live portrait.”

The app went viral on social media, including TikTok, as people used the photo to animate long-ago relatives and other historical figures.

@thomasflanigan_The app is called MyHeritage ##greenscreenvideo ##myheritage ##McDonaldsCCSing ##ancestors♬ record before u listen – penny lane

But in a number of more touching videos, people film themselves reacting to seeing their mom or dad “come to life” again through the tech, blinking, smiling and nodding, often set to “Remember When” by Alan Jackson or “Sign of the Times” by Harry Styles as the background track.

Though MyHeritage shot up to become the No. 1 Overall app on the App Store as of Tuesday, a smaller startup, Rosebud, quietly pivoted to address the same use case with its TokkingHeads app. The app, founded by Berkeley PhD Lisha Li, was originally intended for making funny videos and memes with friends, video game avatars or celebs by animating portrait photos with text, speech and puppetry via video — but not so well that it would cross into “deepfake” territory.

But after the release of MyHeritage’s update, TokkingHeads quickly updated to alert users to its own feature set, while also elevating the MyHeritage-like animations it offers in the app. As a result, the app started to gain a following of its own. On February 28, 2021, TokkingHeads saw 1,000 downloads. The next day, it had 8,000 downloads. The following two days, March 2 and 3, it saw 24,000 downloads and 28,000 downloads, respectively.

The app has since reached as high as No. 12 in the App Store’s Entertainment category, as of the time of writing, and No. 94 Overall. (And was climbing daily.)

@mirandasevier#tokkingheads #fyp♬ Go Rest High On That Mountain – Vince Gill

The YC-backed startup’s ambitions extend beyond animated photos, however. It’s been developing internal tools which it used to generate backgrounds and visuals for use in personalized media. It’s been testing these tools with personalized meditation videos on TikTok, but isn’t yet ready to fully announce a new product. Rosebud is backed by $2.2 million in seed funding led by Khosla Ventures, with participation from Twitch COO Kevin Lin, OpenAI co-founder Ilya Sutskever, former Coinbase CTO Balaji Srinivasan and others.

Platforms: Apple

Apple Music icon on iPhone

Image Credits: TechCrunch

Apple clarifies you can’t actually set a “default” music service in iOS 14.5. It explains that the Siri feature that asks you how you want to play the music or other audio (like podcasts or audiobooks) that you’ve requested is only an example of Siri Intelligence, and is not technically making that service a “default.”

Apple’s courtroom battle with Epic Games over the App Store’s alleged anti-competitive behavior is set to start May 3. The judge believes the case is significant enough to hold an in-person trial with witnesses.

The U.K.’s anti-competition authority, CMA (Competition and Markets Authority) is opening its own investigation into Apple’s App Store, following a number of complaints from developers alleging unfair terms.

Apple releases iOS 14.5 beta 3. The new release adds a notification banner to iPhone if you have your Apple Watch set to unlock your paired phone; brings back the Siri feature to choose your preferred audio app for certain requests; updates the Find My screen with plans to support accessories; and makes reference to Apple Card Family features, among other things.

In a bit of App Store history revealed this week, Apple’s Scott Forstall once told Pandora to use jailbroken iPhones to develop their music app ahead of the App Store’s launch.

Apple shuts down Buddybuild, the app development service it acquired in 2018. The team had joined the Xcode group at Apple, but Buddybuild remained online for existing customers. An email has now informed those customers it will cease operations on March 31, 2021.

Apple’s upcoming AirTags gains an anti-stalking feature. In the latest iOS 14.5 beta, a new “Item Safety Features” option was found to be on by default. It would warn you if someone secretly hid an AirTag in your possessions.

Platforms: Google

Google Play announced it’s reducing the minimum price limit for products in over 20 markets across Latin America, EMEA and APAC. In these markets, developers can now set prices in the range of 10-30 cents U.S. equivalent — or “sub dollar” prices. Google says this will allow developers to reach new potential buyers.

Image Credits: Google

Google debuted Flutter 2, an upgrade that broadens Flutter from a mobile framework to a portable framework. Flutter 2 will allow developers to ship native apps across iOS, Android, Windows, macOS and Linux, as well as web experiences for Chrome, Safari, Firefox and Edge, and cars, TVs and smart TVs. Google says there are now more than 150,000 Flutter apps on the Play Store today, including WeChat, Grab, Yandex Go, Sonos, Betterment and others.

The Google Play Console added a new suite of metrics and comparison benchmarks that will allow developers to evaluate the app’s engagement and monetization against up to 250 different peer sets.

E-commerce

Twitter tests new e-commerce features for tweets. The company was spotted testing a different style of organic tweet which includes product info, pricing and a big “Shop” button. The company confirmed it’s one of many commerce tests in the works.

Amazon’s mobile app got a new icon…again. Customers complained the first iteration, which featured Amazon’s smiling arrow across a brown box with a piece of blue tape at the top, reminded them of Hitler. The updated look gives the tape a smooth edge.

Augmented Reality

The Google Play Service for AR app, which delivers ARCore updates to Android phones, was updated to include support for dual cameras instead of just one, as before. The change was spotted by Android Police, which noted that the support would arrive on Pixel 4 devices first.

Fintech

More evidence of Apple Card Family support spotted in iOS 14.5 beta 3. The new feature will allow family members to share the same Apple Card through iCloud Family Sharing, so each member can access the card in the Wallet app.

Social

Twitter logo at CES 2020

Image Credits: TechCrunch

Twitter Spaces beat Clubhouse to Android. Twitter’s social audio service and Clubhouse rival, Twitter Spaces, has been iterating at a rapid pace. The company has been sharing features in public as they’re designed and prototyped, including titles and descriptionsscheduling options, support for co-hosts and moderatorsguest lists and more. Twitter also updated the preview card that appears in the timeline and relabeled its “captions” feature to be more accurate, from an accessibility standpoint. This fast pace of development allowed the new product to reach Android users this week, ahead of Clubhouse. However, Android users can only join Spaces for the time being, they can’t host them. Still, the move will help to serve the pent-up demand for social audio among a huge chunk of the mobile market.

LinkedIn says it will stop using IDFA ahead of the iOS App Tracking Transparency launch. The business social network is getting ahead of the change and says it will instead leverage “first-party data” to help advertisers.

Instagram accidentally hid “likes” for a number of users in the U.S., who were unintentionally added to the ongoing test where likes are no longer displayed. The company attributed this to a bug and said it was fixing the issue ASAP.

Right-wing social app Parler had dropped its lawsuit against AWS to get its cloud hosting services reinstated, but its fight isn’t over yet. In a new case, Parler is now going after Amazon with more charges, including defamation, negligence and breach of contract. The suit claims Parler lost “tens of millions” of users and future users” as well as “hundreds of millions” in revenue.

TikTok adds a Business Profile section for marketers and brands. The section offers marketing tips, insights on app usage and advertising events — and likely, in the future, e-commerce tools.

TikTok forms a Safety Advisory Council in Europe, following the death of a girl who fatally attempted the blackout challenge she saw on the app, leading to emergency intervention by Italy’s data protection authority.

Instagram launches “Live Rooms” for live broadcasts with up to four creators. Previously only two people could go live. The launch has a bit of Clubhouse envy to it, as Instagram notes it could be used for things like talk shows, Q&As and interviews, for example. A similar feature has been spotted in TikTok in recent weeks, as well.

Facebook launched BARS, a TikTok-like app for creating and sharing raps. In the app, users react with “fire” emoji while flipping through a full-screen, vertical video feed of people’s raps.

TikTok launches TikTok Q&A. The new feature will allow creators to respond to viewer questions with either text or video replies, including during livestreams. The questions and answers will also be organized in a new Q&A page, linked from the bio. The feature is a direct response to how many creators were already using the app to interact with fans.

Image Credits: TikTok

Photos

Apple introduced a service that will allow iCloud users to transfer their photos and videos to Google Photos. Anti-competitive scrutiny cracks the walled garden, it seems.

MyHeritage tops the App Store after launching a new feature called Deep Nostalgia that animates users’ old family photos.

Messaging & Communications

WhatsApp brought voice and video calls to the desktop companion app. The calls are end-to-end encrypted, and will later expand to include group calls.

WeChat updates its emojis to dial down the violence. It removed the cigar from the smoking soldier emoji and removed the blood from the meat cleaver emoji. It also no longer shows a hammer hitting a head — it’s now a frying pan.

Streaming & Entertainment

Image Credits: Netflix

Netflix launches “Fast Laughs,” a TikTok-like feed of funny videos. The mobile feature is currently iOS-only and lets users flip through a full-screen vertical video feed with short clips from Netflix programming, react, share and add items to a watchlist or immediately start streaming.

Apple pulls Music Memos, a music creation tool, from the App Store. The app was used to analyze rhythm and chords from acoustic guitar and piano recordings. The company advised users to export their content to Voice Memos library instead.

Hulu brings back picture-in-picture mode with the latest iOS update. The feature had been available previously, but was pulled so Hulu could make refinements.

Spotify’s podcast listeners in the U.S. expected to top Apple Podcasts for the first time in 2021, at 28.2 million listeners on Spotify versus 28 million on Apple Podcasts.

Gaming

Image Credits: Genshin Impact (via Sensor Tower)

Genshin Impact from miHoYo has reached $874 million in consumer spend since its September 2020 launch, reports Sensor Tower, making it already the world’s third-highest-earning mobile game.

Hypercasual games are now the largest genre for game downloads, a separate Sensor Tower report says. The genre has expanded from a 17% share of downloads in 2017 to now 31% in 2020. Other genres seeing growth include Arcade and Puzzle, increasing by 33% and 78% respectively.

Books and Reading

Flipboard expands its local coverage to over 1,000 cities and towns. The company last year launched a broader initiative around local news, allowing users to follow their local publications, TV stations, blogs and more.

Google Play Books was updated with new tools for younger readers, including “Read & Listen,” which will let kids listen to a book read out loud, “Tap to Read” to hear words spoken out loud and a kid-friendly dictionary.

Health & Fitness

COVID-19 exposure notification apps have still not seen widespread adoption, USA Today reports. Fewer than half of U.S. states offer the contact-tracing apps, and most people in participating states don’t use them.

Amazon Halo users, the app-paired health and fitness tracker from the retail giant, is being integrated with Alexa. The new feature will let you ask Echo and other Alexa devices for health stats.

Best Buy Health partnered with the Lively app to offer a range of health and safety services aimed at older adults on Apple Watch. Apple Watch users can use the app to get emergency and non-emergency assistance from the Lively agents and receive additional protection from things like Fall Detection.

Period tracking app Clue gets FDA clearance to launch a digital contraceptive. The app’s algorithmic prediction is based on Bayesian modeling and can display the days where there’s a higher risk of pregnancy.

Jamaica’s JamCOVID mobile app and website were taken offline following their third security lapse. The platform was exposing quarantine orders on over than half a million travelers.

Productivity

Image Credits: App Annie

Business and productivity apps reached 7.1 billion downloads in 2020, up 35% YoY, reports App Annie. The jump was attributed to the pandemic, with the biggest surge coming in mid-March when shelter-in-place orders kicked in.

Microsoft pulled the Delve mobile apps from the App Store and Google Play, which will be followed by a full shutdown of the service in June. Delve was designed to surface relevant info and insights using the Office Graph. Users were redirected to Outlook Mobile, which has some similar features.

Microsoft launched Group Transcribe, a new kind of mobile transcription app for in-person meetings. The app requires all meeting participants to record from their own phones, which improves accuracy and speaker identification. It also offers real-time translations to help non-native speakers follow along.

Security & Privacy

Thousands of Android and iOS app are leaking data from the cloud, Wired reports. In analysis run on more than 1.3 million Android and iOS apps, researchers found almost 84,000 Android apps and nearly 47,000 iOS apps used public cloud services. Of those, misconfigurations were found in 14% — 11,877 Android apps and 6,608 iOS apps — which were exposing personal information, passwords and medical information.

Hackers released a new jailbreak tool for almost every iPhone by using the same vulnerability Apple said last month was under active attack by hackers. The jailbreak, released by the Unc0ver team, works on iOS 11 to iOS 14.3, and iPhone 5s and later.

Google’s apps with privacy labels have begun receiving updates after lengthy pause. Apps that have started to get updates include Gmail, Slides, Docs, Sheets, Calendar, YouTube, YouTube TV, YouTube Music, Google Tasks and Google Podcasts. Google’s key apps still missing labels include Search, Photos, Assistant, Maps, Pay and Chrome.

💰 Stream raised $38 million for its service that lets developers build chat and activity feeds into apps with a few lines of code. The company now powers communications for 1 billion users, including in apps like TaskRabbit, NBC Sports, Delivery Hero, Gojek and others.

💰 Whatnot raised $20 million in Series A funding for its livestreaming platform for selling collectible toys and cards. The round was led by a16z, and follows a $4 million seed raised at the end of 2020.

💰 Snapcommerce raised $85 million for its platform that uses messaging to personalize the mobile shopping experience. Inovia Capital and Lion Capital co-led the new growth round, bringing the startup’s total raise to date to $100 million.

💰 Food delivery app Instacart raised $265 million at a $39 billion valuation. The round was raised from existing investors, including Andreessen Horowitz, Sequoia Capital, D1 Capital Partners and others and pushes the valuation up from $17.7 billion in October 2020.

🤝 Okta acquired cloud identity startup Auth0 for $6.5 billion. Auth0 offers authentication and security for apps across native mobile, desktop, and web apps. Following the deal, Auth0 will continue to operate as an independent unit inside Okta.

🤝 Fintech Square acquired Jay-Z’s streaming service TIDAL for $297 million. Perhaps those yachting trips paid off? Square plans to offer financial tools to artists to help them collect revenue. Despite the deal’s seeming oddness, a good bet is that Square plans to expand into music-based NFTs.

📈 App marketing company AppLovin filed its S-1 ahead of its IPO. The company was valued at $2 billion in 2018, but posted a net loss of $125.9 million in 2020 on revenue of $1.45 billion, up 46% YoY. The company warned investors that it may be impacted by Apple’s IDFA changes.

💰 Maestro raised $15 million for its interactive commerce, community and engagement tools for livestreams across web and mobile. Maestro can also be embedded into native mobile apps using a web view.

🤝 Indie weather app Weather Line acquired. The company didn’t provide any details on its acquisition, including the buyer, but said the app will be removed from the App Store. Existing users will continue to have access until April 1, 2022.

💰 Indian jobs app Apna raised $12.5 million in a round led by Sequoia Capital India and Greenoaks Capital. The app is now used by 80,000 employers and 6 million+ workers such as drivers, delivery personnel, electricians and beauticians.

💰 Istanbul’s Dream Games raised $50 million and launched its first mobile gaming title, Royal Match. The round, led by Index Ventures, is the largest Series A raised by a startup in Turkey.

West Tenth 

Image Credits: West Tenth

West Tenth’s new app aims to give local home-based business owners a platform to reach potential clients and make sales. The app focuses on women who have opted out of the traditional workforce to stay home, often to raise kids and work more flexible hours. Often targeted by predatory MLMs, West Tenth aims to convince women that many of their everyday skills are, in fact, marketable businesses — like cooking and meal prep, party planning, interior design, photography, home organization, baby sleep training, fitness instructions, homemade crafts and more. The startup also offers online education classes to teach women the basics of marketing and running a home business. (iOS and Android)

Cappuccino

Social audio is growing in popularity thanks to apps like Clubhouse and Twitter’s Spaces. A startup called Cappuccino, reviewed here by TechCrunch, now wants to bring social audio to a more intimate setting: groups of friends. The anti-Clubhouse app lets friends record “podcasts,” which are designed for private consumption. (iOS and Android)





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No-code Bubble raises $100M to make technical co-founders obsolete – TechCrunch

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Among Silicon Valley circles, a fun parlor game is to ask to what extent world GDP levels are held back by a lack of computer science and technical training. How many startups could be built if hundreds of thousands or even millions of more people could code and bring their entrepreneurial ideas to fruition? How many bureaucratic processes could be eliminated if developers were more latent in every business?

The answer of course is on the order of “a lot,” but the barriers to reaching this world remain formidable. Computer science is a challenging field, and despite proactive attempts by legislatures to add more coding skills into school curriculums, the reality is that the demand for software engineering vastly outstrips supply available in the market.

Coding is not a bubble, and Bubble wants to empower the democratization of software development and the creation of new startups. Through its platform, Bubble enables anyone — coder or not — to begin building modern web applications using a click-and-drag interface that can connect data sources and other software together in one fluid interface.

It’s a bold bet — and it’s just received a bold bet as well. Bubble announced today that Ryan Hinkle of Insight Partners has led a $100 million Series A round into the company. Hinkle, a long-time managing director at the firm, specializes in growth buyout deals as well as growth SaaS companies.

If that round size seems huge, it’s because Bubble has had a long history as a bootstrapped company before reaching its current scale. Co-founders Emmanuel Straschnov and Josh Haas spent seven years bootstrapping and tinkering with the product, before securing a $6.5 million seed round in June 2019 led by SignalFire. Interestingly according to Straschnov, Insight was the first venture firm to reach out to Bubble all the way back in 2014. Seven years on, the two have now signed and closed a deal.

Since the seed round, Bubble has been expanding its functionality. As a no-code tool, any missing feature could potentially block an application from being built. “In our business, it’s a features game,” Straschnov said. “[Our users] are not technical, but they have high standards.” He noted that the company introduced a plugins system that allows the Bubble community to build their own additions to the platform.

Bubble’s editor offers a clickable interface for designing dynamic web applications. Image Credits: Bubble.

As the platform matured, it happened to nail the timing of the COVID-19 pandemic last year, which saw people scrambling for new skills and improving their prospects for what was then a gloomy job market. Straschnov says that Bubble saw an immediate bump in usage in March and April 2020, and the company has tripled revenue over the past 12 months.

Bubble’s focus for the past eight years has been on helping people turn their ideas into startups. The company’s proposition is that a large number of even venture-backed companies could be built using Bubble without the expense of a large engineering team writing code from scratch.

Unlike other no-code tools which focus on building internal corporate apps, Straschnov says that the company remains as focused today on these new companies as it has always been. “[We’re] not trying to move upmarket just yet — we are trying to do the same thing that AWS and Stripe did five years ago,” he said. Instead of trying to dominate the enterprise, Bubble wants to grow with its nascent customers as they expand in scale.

The company today charges a range of prices depending on the performance and scale requirements of an application. There’s a free tier, and then professional pricing starts at $25/mo all the way to $475/mo for its top-listed offering. Enterprise pricing is also available, as is special pricing for students.

On the latter point, Bubble is looking to invest heavily in education using its newly-raised capital. While the platform is easy to use, the reality is that any design of a web application can be intimidating for a new user, particularly one who isn’t technical. So the company wants to create more videos and documentation while also heavily investing in partnerships with universities to get more students using the platform.

While the no-code space has seen prodigious investment, Straschnov said that “I don’t look at all the no-code players as competition … the true competition we have is code.” He noted that while the no-code label has been assumed by more and more startups, very few companies are focused on his company’s specific niche, and he believes he offers a compelling value proposition in that category.

The company has doubled head count since the beginning of the pandemic, growing from around 21 employees to about 45 today. They are lightly concentrated in New York City, but the company operates remotely, and has folks in 15 states as well as in France. Straschnov says that the company is looking to aggressively hire technical talent to build out the product using its new funds.



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Nium crosses $1B valuation with $200M Riverwood Capital-led round – TechCrunch

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Business-to-business payments platform Nium announced Monday that it raised more than $200 million in Series D funding and saw its valuation rise above $1 billion.

The company, now Singapore-based but shifting to the Bay Area, touted the investment as making it “the first B2B payments unicorn from Southeast Asia.”

Riverwood Capital led the round, in which Temasek, Visa, Vertex Ventures, Atinum Capital, Beacon Venture Capital and Rocket Capital Investment participated, along with a group of angel investors like DoorDash’s Gokul Rajaram, FIS’ Vicky Bindra and Tribe Capital’s Arjun Sethi. Including the new funding, Nium has raised $300 million to date, Prajit Nanu, co-founder and CEO, told TechCrunch.

The B2B payments sector is already hot, yet underpenetrated, according to some experts. To give an idea just how hot, Nium was seeking $150 million for its Series D round, received commitments of $300 million from eager investors and settled on $200 million, Nanu said.

“This is our fourth or fifth fundraise, but we have never had this kind of interest before — we even had our term sheets in five days,” he added. “I believe this interest is because we’ve successfully managed to create a global platform that is heavily regulated, which gives us access to a lot of networks. This is an environment where payment is visible, and our core is powering frictionless commerce and enabling anyone to use our platform.”

Nium’s new round adds fuel to a fire shared by a number of companies all going after a global B2B payments market valued at $120 trillion annually: last week, Paystand raised $50 million in Series C funding to make B2B payments cashless, while Dwolla raised $21 million for its API that allows companies to build and facilitate fast payments. In March, Higo brought in $3.3 million to do the same in Latin America, while Balance, developing a B2B payments platform that allows merchants to offer a variety of payment methods. raised $5.5 million in February.

Nium’s approach is to provide access to a global payment infrastructure, including card issuance, accounts receivable and payable, and banking-as-a-service through a single API. The company’s network enables customers to then send funds to more than 100 countries, pay out in more than 60 currencies, accept funds in seven currencies and issue cards in more than 40 countries, Nanu said. The company also boasts money transfer, card issuances and banking licenses in 11 jurisdictions.

Francisco Alvarez-Demalde, co-founding partner and managing partner at Riverwood, said in an email that the combination of software — plus regulatory licenses — and operating a fintech infrastructure platform on behalf of neobanks and corporates is a global trend experiencing hyper-growth.

Riverwood followed Nium for many years, and its future vision was what got the firm interested in being a part of this round. Alvarez-Demalde said that “Nium has the incredible combination of a great market opportunity, a talented founder and team, and we believe the company is poised for global growth based on underlying secular technology trends like increasing real-time payment capabilities and the proliferation of cross border commerce.

“As a central payment infrastructure in one API, Nium is a catalyst that unlocks cross-border payments, local accounts and card issuance with a network of local market licenses, partners and banking relationships to facilitate moving money across the world,” he added. “Enterprises of all types are embedding financial services as part of their consumer experience, and Nium is a key global enabler of this trend.”

Nanu said the new funding enables the company to move to the United States, which represents 3% of Nium’s revenue. He wants to increase that to 20% over the next 18 months, as well as expand in Latin America. The investment also gives the company a 12- to 18-month runway for further M&A activity.  In June, Nium acquired virtual card issuance company Ixaris, and in July acquired Wirecard Forex India to expose it to India’s market. He also plans to expand the company’s payments network infrastructure, invest in product development and add to Nium’s 700-person headcount.

Nium already counts hundreds of enterprise companies as clients and plans to onboard thousands more in the next year. The company processes $8 billion in payments annually and has issued more than 30 million virtual cards since 2015. Meanwhile, revenue grew by over 280% year over year.

All of this growth puts the company on a trajectory for an initial public offering, Nanu said. He has already spoken to people who will help the company formally kick off that journey in the first quarter of 2022.

“Unlike other companies that raise money for new products, we aim to expand in the existing sets of what we do,” Nanu said. “The U.S. is a new market, but we have a good brand and will use the new round to provide a better experience to the customer.”



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I get it, Elizabeth Holmes – TechCrunch

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Elizabeth Holmes’ raspy, deep voice helped her raise more than $700 million for her now-defunct company, Theranos. When I step into any boardroom for a pitch, I can hear her croaking her favorite line: “I hope that less people will have to say goodbye too soon to people that they love.”

Sitting across from a venture partner, I wonder if they might feel more compelled by my words if I cut my hair short (really short), or grew a beard, or removed my pregnant belly. Would they take out their checkbook if I were more aggressive in what I promised? Would they be more interested in getting to know my business and me better if I passionately slammed the table?

Actually, very likely.

Holmes adopted a ridiculously low voice to get her startup off the ground in a world full of men. She promised impossible pinprick tests to detect hundreds of diseases and collected influential investors like Henry Kissinger, George Shultz, James Mattis and Betsy DeVos. She wore a Steve Jobs uniform — including the Issey Miyake turtleneck — and built a team of 800 brilliant people. Did she go overboard with her lies? Yes. But she’s not the only one. The Silicon Valley and venture landscape only exacerbated whatever beliefs she already had in her company and inclinations to promise the moon.

Last week at a virtual hearing, she pushed to keep a huge database of information protected from the government. Before that, she claimed to have made $100 million in revenue in 2014, when it was really $100,000. These things, among others, are hands-down inexcusable. But I still believe that she thought she was doing the right thing taking the universal advice of Silicon Valley: “Fake it till you make it.”

She once said, borrowing from previous thought leaders: “This is what happens when you work to change things, and first they think you’re crazy, then they fight you and then all of a sudden you change the world.” I wonder if she just thinks she’s now on part two.

Raising money to start a company is about two things: having connections and making an appearance. Connections are difficult to make when you’re a woman: “Only about 12% of decision-makers at VC firms are women, and most firms still don’t have a single female partner.”

And even if you have connections, building relationships can be a bit weird: My cofounders end up being text buddies with our investors, while I hear news of things in passing. We hit a peak of 2.8% of funding going to women-led startups in 2019, but in 2020, that dropped again to 2.3%, possibly because investors reverted to their standard habits of keeping their cards close during uncertain times. Furthermore, investors generally have expectations that are aligned with male tendencies. For example, identical slides and scripts that are read by men and women are judged very differently, with men overwhelmingly rated higher. Holmes’ deep voice, although off-putting, probably made her more convincing.

It’s not easy to replicate the fundraising success that Holmes had, though. If other women tried to emulate this, they’d likely be penalized: In general, forward men are viewed positively as assertive, while forward women are viewed as emotionally unstable. This is confusing because, inversely, if women retreat to stereotypically feminine behaviors, they are viewed as weak. Hillary Clinton got stuck in this during her presidential race — criticized for being aggressive and cold when stereotypically masculine traits and pegged as weak when showing stereotypically feminine traits.

To make matters worse, it turns out that in pitches, women are asked more preventative questions about potential loss and risk, while men are asked more promotional questions about upside and gains. Women can work around this by answering any preventative question in the positive. Holmes knew this deep down and played into it. That was the only way for her to win.

I am absolutely no “holmie,” but I do understand firsthand her need to role-play. I’ve been overlooked; hell, I’ve even been told to change my product line (bras) because venture capitalists won’t get it. And they didn’t. I gave in.

I don’t want to defend her, and I can’t. It’s so easy to drop a line at a party or a board meeting about how obnoxious she was in her venture, but what irks me is that we focus on her specifically as the problem, completely bypassing the environment that created her. I remember soaking up John Carreyrou’s tantalizing book thinking, “Wow, I’ll never do that,” as I started my company. But as I have seen the pressures and the biases, I can see how the system shaped Holmes.

Why don’t we judge the biased system we created as much as we judge the person it destroyed? She sticks out like a sore thumb because, well, how many Elizabeth Holmeses are there out there? These problems are so ingrained in the system itself, though, that as David Foster Wallace alluded to in the water speech, we can’t see them and we probably aren’t ready to repair them.

The next time someone jokes at a cocktail party about Holmes’ baritone voice, just remind them how dumb is it that we give more money to people with deep voices.

Former TechCrunch COO Ned Desmond is now Senior Operating Partner at SOSV, which has invested in unspun.



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Sproutl is an online marketplace for gardeners founded by former Farfetch executives – TechCrunch

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Meet Sproutl, a marketplace for gardeners living in the U.K. The startup founded by former Farfetch executives has raised a $9 million seed round. It wants to make gardening more accessible by providing a curated list of items, relevant advice as well as inspiration.

Index Ventures is leading the round in the startup with Ada Ventures and several business angels also participating. The funding round originally closed in April of this year.

“A few years ago, we bought a flat in London with a tiny little garden. We were both working full time in quite intense jobs with young kids. I went online assuming that I would be able to sort out this garden space. And I didn’t know a lot about gardening. And I just didn’t find anything that spoke to me as a new gardener. It felt like what was available was more for more knowledgeable people,” co-founder and CEO Anni Noel-Johnson told me.

If you’ve ever tried to search for gardening videos on YouTube, you may have end up on long-winded videos with instructions that don’t make any sense to you. Similarly, there are not a lot of e-commerce websites focused on gardening specifically.

And yet, the market opportunity is quite big. There are millions of gardeners in the U.K. There are also quite a few independent garden centers, nurseries and shops with a turnover of several millions of pounds per year. More importantly, they generate the vast majority of their sales in store. Some of them have never sold anything online.

Sproutl is teaming up with those businesses so that they can find new customers across the U.K. Those third-party sellers list their items on Sproutl while the startup takes care of logistics, packaging sourcing and delivery.

On the marketplace, customers can buy indoor and outdoor plants, pots, gardening essentials and outdoor living products. Partners currently include Rosebourne, Polhill, Millbrook, Middleton, Bellr, Fertile Fibre and Horticus.

Anni Noel-Johnson, the CEO of the company, was the VP of Trading and Strategy at Farfetch. Sproutl CTO Andy Done also worked at Farfetch at some point as Director of Data Engineering.

Hollie Newton is also going to be a key team member at Sproutl. She previously wrote a best-selling gardening book called ‘How to Grow’. She’s now the Chief Creative Officer at Sproutl.

This is key to understanding Sproutl’s growth strategy. The company plans to provide a ton of content on all things related to your garden — the startup has already released a jargon buster. You might end up on Sproutl the next time you’re looking for gardening advice on Google.

And it’s also going to differentiate the platform from all-encompassing e-commerce platforms, such as Amazon. Other e-commerce companies focused on one vertical in particular, such as ManoMano, have been quite successful. With the right focus, Sproutl could quickly build a loyal customer base as well.



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Data-driven iteration helped China’s Genki Forest become a $6B beverage giant in 5 years – TechCrunch

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China’s e-commerce and industrial ecosystem is as different from the Western world as its culture. The country took decades to earn its reputation as the Factory of the World, but it now boasts a supply chain and manufacturing ability that few countries can match.

Creative use of the country’s networked manufacturing and logistics hubs make mass production both cheap and easy. Clothing, electronics, toys, automobiles, musical instruments, furniture — you name it and you’ll find a manufacturer in China who can turn your intangible concept into mass-manufacturable reality in mere days. And they’ll do it for cheaper than anywhere else in the world.

It was just a matter of time until an intrepid Chinese entrepreneur with a tech background decided to take on Coca-Cola and PepsiCo.

China is also home to one of the world’s largest e-commerce and tech ecosystems. Hundreds of startups dot the landscape, and the amount of money being raised and spent on innovating around the country’s industrial heft is mind-boggling.

So it was just a matter of time until an intrepid Chinese entrepreneur with a tech background decided to take on Coca-Cola and PepsiCo. The tech revolution hasn’t yet affected the bottled beverage industry quite as much as it has others. Incumbent giants therefore could lose a sizable chunk of market share if a company could just manage to weave together China’s manufacturing proficiency and agility with the modern tech startup philosophy of “moving fast and breaking stuff.”

Genki Forest, a Chinese direct-to-consumer (D2C) bottled beverage startup, is one such contender. A philosophy centered around iteration informed by data, quick turnarounds and a laser focus on taking advantage of China’s huge e-commerce ecosystem has helped this company’s revenues rise rapidly since it started five years ago. Its sugar-free sodas, milk teas and energy drinks sell in 40 countries and generated revenue of about $450 million in 2020. The company aims to reach $1.2 billion this year.

If anything, Genki Forest’s valuation has shot up even faster. It recently completed its fourth VC round that values it at a whopping $6 billion, triple the price it fetched a year earlier, and it has so far raised at least half a billion dollars.

It’s striking how closely Genki Forest’s operations resemble that of a tech startup. So we thought we should take a closer look and see what this company’s graph can tell us about the new wave of Chinese D2C entrepreneurship looking to take over the globe.

Finding a bigger wave to ride

The bottled beverage industry wasn’t what Genki Forest’s founder, Binsen Tang, initially set out to tackle. His first startup was a successful casual, mostly mobile gaming outfit known as ELEX Technology. It was nowhere near record-breaking, though — some 50 million users logged on to a few popular games in over 40 countries worldwide, including one of the first versions of Happy Farm, a predecessor to Zynga’s Farmville. But Tang wasn’t satisfied and eventually sold ELEX Technology to a publicly listed company for about $400 million in 2014.

Tang would walk away with a few important lessons. He’d learned by now that Chinese products were already competitive globally, whether people realized it or not, and that and geographic arbitrage was real, Happy Farm being the perfect example of this. Lastly, he now knew that it was far more important to choose the right “racetrack” (as Chinese investors and entrepreneurs like to put it) than to have a great product.

Picking the right race to win was perhaps the most important takeaway. It’s also an idea that sets Chinese entrepreneurs apart from their Western counterparts — the most worthwhile endeavors are in identifying the largest and most rewarding market at hand, regardless of one’s previous expertise. It was what led Zhang Yiming to create ByteDance, and Lei Jun to found Xiaomi.

That very philosophy led Tang to build Genki Forest. After selling ELEX Technology, Tang didn’t go back to the business that netted him his first pot of gold. As much as he had benefited from the rise of the mobile internet, he thought there was a far bigger opportunity building a consumer brand and applying the lessons he learned from programming to the manufacture of tangible products.

He soon set up his own investment fund, Challenjers Capital, convinced that the next big tech opportunity in China was in tech’s application to everyday consumer products. He soon began to invest in everything from ramen and hotpots to bottled beverages.

China’s quickly expanding e-commerce ecosystem and the plethora of D2C businesses flourishing on Alibaba and JD.com would also influence his decision to sell directly to his target audience rather than take the traditional route. But to truly understand his motivations, we need to take a look at the extremely unique D2C environment in China and how it has changed over the years.

What’s different about Chinese D2C?

“China doesn’t need any more good platforms,” Tang told his team in an internal email in 2015, “but it does need good products.” Tang was talking about how the age of building infrastructure for e-commerce in China was largely over; it was now time to create brands that could take advantage of the advanced distribution network that had been laid out.

Other investors noticed as well. Albus Yu, principal at China Growth Capital, told me that his fund had stopped making investments in independent consumer-facing platforms or marketplaces for a while. “2014 might have been the last year it was economically feasible to start such a business due to the soaring cost of acquiring customers and the strength of incumbents,” he said.

Indeed, 2015 was the year when CACs began to exceed or at least rival ARPUs for Alibaba and JD.com.

In China, that distribution network was present across the digital and physical worlds. Online, there was immense market power concentrated in the hands of just two players: Alibaba and JD.com, which used to have, and still maintain, 80% or above in market share.

In fact, the dominance of Alibaba, in particular, was so overwhelming that for years, VCs invested not in D2C, but in “Taobao brands,” since that was the only channel one needed to conquer in order to make it.

Customer acquisition was therefore straightforward — throw everything into advertising on Alibaba’s Tmall platform, especially during its annual flagship shopping festival, Singles’ Day. Even today, garnering a top spot in one of the category leaderboards remains a surefire way to build brand awareness, investor interest, as well as sales records.

Physically, the Chinese market also differs greatly from much of the developed West. Years of heavy investment in logistics by the private sector, accelerated by government support and infrastructure buildout, means that delivery costs have come down significantly over the years, even dipping below $0.40 per package wholesale as of this year. Innovations such as return insurance have also sped up customer adoption.

By 2016, China was shipping 30 billion packages a year, already accounting for 44% of global shipments. That number has been doubling every three years and is expected to exceed 100 billion this year. And the low cost of delivery is one of the biggest reasons for China’s outsized e-commerce market — the largest globally and estimated to reach $2.8 trillion in 2021, more than triple that of the No. 2, the U.S.

Express parcels sit stacked at a logistic base of e-commerce giant Suning before the 618 Shopping Festival. Image Credits: VCG

Present-day China also presents another edge: Proximity to an advanced, flexible manufacturing network and supply chain for the vast majority of consumer products, and the ability to outsource almost everything to them.

The original equipment manufacturers of years past have long since evolved into original design manufacturers. An expected consequence of being “the Factory of the World” for so many years, making goods for some of the best brands in the world, is that some of the knowledge was bound to transfer.

It may be difficult for outsiders to understand just how strong China’s networked manufacturing hubs are these days. What used to take weeks now takes mere days, the lead times shortened drastically by software, robots and other advancements. For example, Chinese cross-border ultra-fast-fashion company Shein has compressed design-to-ship timelines to as little as seven days.

And it’s definitely not just for making crop tops. The turnaround can be astonishingly fast even when manufacturing completely unfamiliar goods, such as when electric vehicle maker BYD turned its factory into the world’s largest face mask plant in just two weeks when the COVID-19 pandemic struck last year.

Companies leverage this manufacturing flexibility and agility for more than just speed. Chinese cosmetics upstart Perfect Diary uses it to launch twice as many SKUs as foreign competitors. In addition, the quick turnaround allows agile brands to take advantage of that most ephemeral of IP, memes.

It’s not to say that the Chinese supply chain is inaccessible to foreign entrepreneurs. Best-selling mattress maker Zinus, for example, is founded by a South Korean, but its products are manufactured in China and sold mostly on Amazon to U.S. customers.

It’s just that very few non-Chinese companies have figured out how to tap as deeply into the supply chain as this new crop of Chinese D2C brands, which can require years of working not just alongside but physically inside the factories, building trust and know-how. Shein, for example, watches carefully what other brands are making by staying close to the factories.

The China opportunity

Before global sensations such as TikTok weakened the mantra, “copy to China” used to be a dominant characterization of Chinese startups. In December 2015, when Tang registered the Genki Forest trademark, that was still very much a relevant strategy.



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Should we be worried about insurtech valuations? – TechCrunch

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Welcome back to The TechCrunch Exchange, a weekly startups-and-markets newsletter. It’s inspired by what the weekday Exchange column digs into, but free, and made for your weekend reading. Want it in your inbox every Saturday? Sign up here.

Hello everyone, I hope you had a lovely week. I turned 32 after experiencing sleep-destroying heartburn. So, a little good and a little bad. But that didn’t stop the markets. Nope. Not a bit. Which means we have a lot to talk about, including falling insurtech stocks and what the situation might mean for startups, and a raft of IPOs. This will be fun!

Before we get into the nitty-gritty of our chats with newly public companies Kaltura, Couchbase and Enovix, let’s talk insurtech.

In the last year or so we’ve seen a number of insurtech startups go public, including Root (auto insurance), Metromile (car insurance), and Lemonade (rental insurance). Here’s a quick digest of how their performance looks today:

  • Root: $7.72 per share, 71.4% down from its $27 per share IPO price.
  • Metromile: $7.26 per share, down 64.4% from its post-combination highs.
  • Lemonade: $86.97 per share, up 199.9% from its IPO price of $29 per share.

Recall that Root and Metromile began to trade after Lemonade, so their declines are not over a longer time horizon, but a shorter interval. Which makes the situation all the more interesting.

What’s going on? Well, two of the three insurtech public offerings (SPACs, IPOs, etc.) are sharply underwater. That doesn’t bode incredibly well for Hippo, which is pursuing its own SPAC-led combination that should be wrapping up in short order. The huge declines don’t seem bullish for insurtech startups, who will have to answer private-market investor doubts concerning their value.

Does Lemonade’s strong post-IPO performance allay concerns? It’s tricky. The company has been busy expanding into new markets, including auto insurance. The company did take a somewhat material hit from the Texas freeze earlier this year — per its most recent earnings report — but past those two data points it’s not entirely clear what the company is doing that the other two are not. But investors are stoked about Lemonade, and not Root and Metromile. Figuring out why that’s the case, and why their startup is more Lemonade than the other two, is going to be key for the many insurtech startups still scaling toward their own IPOs.

It’s IPO season

The Exchange has been busy on the phones these last two weeks, talking to CEOs of companies going public to try and learn from their recent experiences. So, what follows are notes from calls with folks at Kaltura, Couchbase and Enovix. Enjoy!

Kaltura

  • Reminder: Online-video-focused Kaltura filed to go public earlier this year before delaying its IPO and taking another run at the funding event.
  • The Exchange spoke with Kaltura CEO Ron Yekutiel, who said that the company’s IPO’s timing was impacted by the early-2021 public market turmoil. That was not a surprise, but it was good to get confirmation regardless.
  • That freeze was partially caused by the Archegos implosion, per Yekutiel. That makes sense, but was news to us.
  • Yekutiel said that his company wasn’t thrilled about the delay — going public is the only fundraise that you pre-announce, he noted — but added that investors his company had already spoken to the first-time around were still enthused about Kaltura on its second run at an IPO.
  • Per the CEO, Kaltura’s preliminary Q2 results showed investors that what it was talking about earlier in the year was coming true. He also stressed uptake in new products as key to the company’s continued growth.
  • The CEO was happy with how his company priced and traded during its first day, snagging a flat 20% uptick in value upon trading. He noted that more would have been excessive, and less would have been un-good.
  • Regarding the lower valuation that Kaltura priced at compared to its March-era IPO price range, Yekutiel said that you don’t get a third chance to make a first impression and that his company wanted to get the offering done. So they did. Points for not getting lost in their own head.
  • Kaltura is up 17.5% from its $10 per-share IPO price as of the time of writing.

One anecdote, if I may. Kaltura won an early TechCrunch40 — the precursor to the TechCrunch50 event, itself a predecessor to today’s TechCrunch Disrupt conference series — thanks to a single vote cast via physical token. Yekutiel still has that token, and showed it to us during our chat. Neat!

Couchbase

  • The Exchange spoke with noSQL database company Couchbase’s CEO Matt Cain. Couchbase priced at $24 per share, above its $20 to $23 per-share IPO price range.
  • Today it’s worth $33.20, rising 9.2% in today’s trading as of the time of writing.
  • Cain was talking from a pretty strict script — a pretty standard situation amongst newly public CEOs worried about fucking up and going to jail — so we didn’t get the precise answers we were looking for. But we still managed to learn a few things, including that Couchbase was yet another company that found the meeting density made possible by remote roadshows to be accretive.
  • The CEO was focused on discussing the scale of the opportunity ahead of Couchbase, namely the world of operational databases. It’s hard to find a bigger market, he argued, which made investors excited about what his company might be able to accomplish. Our read here is that there’s probably plenty of surface area for startups in the database world, if the market is as big as Cain reckons it is.
  • We wanted to learn a bit more about how public-market investors view open-source powered companies, but didn’t get too much from him on the matter. Still, the company’s IPO is a pretty damn strong one, implying that being OSS-built isn’t exactly a detriment to a company hoping to exit.

Enovix

  • The Exchange wanted to chat with newly public company Enovix because it debuted via a SPAC. Why does that matter? Because there are other battery-focused companies looking to go public via SPACs. So, the chat was good background for later work.
  • And we love talking to public companies. Who doesn’t?
  • Asked if combination-and-trade-under-new-ticker-symbol day was like an IPO to his firm, Rust said that it was. Fair enough.
  • The company’s combination date for its SPAC slipped from Q2 to Q3, we noticed. Why was that? Some SEC changes regarding accounting, in short. Not a big deal was our impression from the chat, but one that did cause a slight delay to Enovix’s trading date.
  • Why go public via a SPAC? Cash, but also the particular sponsor of their combination, which Rust said was a key resource in terms of operational knowledge. The company has also hired from its SPAC sponsor’s network, which felt notable. (Hey look, actual investor value-add!)
  • Asked why his company is worth less than the impending SES SPAC, another battery company that has yet to generate revenue, Rust said that the value of his company in its SPAC deal was a negotiation, and that if the company is successful, whether it was valued at $1.1 billion or $1.4 billion wouldn’t really matter.
  • What’s fun about Enovix is that it is not starting with its impending battery tech aimed at EVs. Instead, it’s targeting high-end electronics. Why? Quick cycles to get batteries into hardware and possible pricing power. It does intend to get into EVs in time, however.
  • The company is worth $17.33 per share, giving it what Yahoo Finance describes as a $2.5 billion valuation. That’s a good markup from what it expected and could bode well for SES’s own, future debut.

Yo, that was a lot. Thanks for sticking with me. And thanks for reading The Exchange’s little newsletter. You can catch up on all our work here if you want some long-form reads on the global venture capital market, edtech and other topics. Stay cool!

Your friend,

Alex



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The DL on CockroachDB – TechCrunch

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As college students at Berkeley, Spencer Kimball and Peter Mattis created a successful open-source graphics program, GIMP, which got the attention of Google. The duo ultimately joined Google, and even personally got kudos from Sergey Brin and Larry Page. Kimball and Mattis quickly rose to prominence within the company, and then chose to leave it all behind to start what would eventually become CockroachDB. Years later, Cockroach Labs has over 250 employees and has received investments from the likes of Benchmark, GV, Index Ventures and Redpoint totaling more than $350 million, according to Crunchbase. The company is now on route to what some think is an “inevitable IPO.”

The story of CockroachDB, from its origin to its future, was told in a four-part series in our latest EC-1: 

I’m biased, but it’s a must-read that gets into tensions that any startup founder can relate to: from navigating heavyweight competitors, to growing past free tiers, to maintaining your users’ attention. It’s the eighth EC-1 we’ve published to date, which my colleague and TC Managing Editor Danny Crichton estimates puts us at 90,000 words all about startup beginnings, product development, marketing and more.

In the rest of this newsletter, we’ll get into that WeWork book, bite-sized entrepreneurship and some SPACs. Follow me on Twitter @nmasc_. Or don’t, it’s your choice!

The Cult of We

Adam Neumann (WeWork) at TechCrunch Disrupt NY 2017. Image Credits: TechCrunch

This week on Equity, Alex and I interviewed Eliot Brown, who wrote “The Cult of We” along with Maureen Farrell. Our conversation riffed on some of the book’s eyebrow-raising details and anecdotes, but mainly focused on what WeWork’s rise and fall did to the state of startups and tech journalism more broadly.

Here’s what to know: Not much has changed. Jokes aside, Brown shared his notes on how the current boom in startup financings has a worrisome air of frenzy and fluff. He also chatted about how sometimes the most illuminating question can be a simple one: What makes you a tech company?

More money, more problems?

TikTok what again?

tiktok glitch

Image Credits: TechCrunch

TikTok kept popping up throughout the week. Index Ventures, for example, noted how the firm’s TikTok account has amassed an impressive following and is a channel to talk to the younger generations. Nothing like some short-form videos to stay hip and relatable while raising $3 billion in one go. 

Here’s what to know: While TikTok has certainly changed the world, I worry when I see the allure of bite-sized content get edtech’d. Bite-sized content can be a nifty way to spread content, but it isn’t one-size-fits-all. Duolingo, which priced its IPO this week, still struggles to show meaningful learning outcomes and optimizes more for motivation than comprehension. This tension is a key note for companies like Numerade and Sololearn, which both raised this week, to not overly TikTok learning materials.

Other edtech content for your eyes:

So, SPACs

hands signing check 1

Image Credits: Bryce Durbin / TechCrunch

It’s been awhile since I’ve used that acronym in Startups Weekly. That said, special purpose acquisition vehicles are still very much a thing and are still very much worth paying attention to.

Here’s what to know: Lucid Motors’ SPAC merger was just approved. Reporter Aria Alamalhodaei  writes that the move came after executives extended the deadline to vote to merge by one day after not enough investors showed up. “The issue is unusual but could become more common as more companies eschew the traditional IPO path to public markets and instead merge with SPACs,” she writes.

Also special:

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If you haven’t already, please fill out TC’s ongoing growth marketing survey. We’re using these recommendations of top-tier growth marketers around the world to shape our editorial coverage and to build out TechCrunch Experts.

Across the week

Seen on TechCrunch

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Same time, same place next week? Bring a friend!

N



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