Tech Forgot Its Umbrella

Welcome to Startups Weekly, an in-depth edition of this week's startup news and trends from senior reporter and co-anchor Natasha Mascarenas in equity. To have it delivered to your inbox, sign up here.

Technology seems to have forgotten its umbrella. For example, he didn't forget to pack his water bottle, wear the right shoes and clothes, but when it came time to officially leave home - and face, say, next year - he realized that a waterproof hood wasn't enough. . Need an industrial umbrella.

You know what I mean?

This is what I dance or, er, write around. It appears that the macroeconomic environment has been quite volatile over the past year; And we still see entrepreneurs reacting to the market as if they just knocked on their door, dropped off a wheelbarrow, and started stealing all their possessions. I'm not saying that founders and funders should have realistically predicted what the first quarter of this year should look like; I wonder how long we will have "the economy" as a catalyst for hard decisions.

What finally makes a CEO resign? What finally convinced the company to do the third round of layoffs? Is it economics or is it a uniquely human decision that comes months after being told to grow up anyway? When we talk about returns and layoffs, I think it's important to talk about the reality of the changes to meet the new rules. Abstractions like economics are frozen now that markets have been gray for more than a few months.

I guess what I'm trying to say is that you can probably leave the house in the rain and get a little wet in the supermarket. If you forget your umbrella in the rain, now you're wet and no one feels so bad for you. Do not forget about them, and even better, display them with pride.

Can you tell it's raining on the east coast? Follow me on Twitter or Instagram for more metaphors and bad thoughts. In the rest of this newsletter, we'll talk about a new venture capital fund that isn't afraid to talk about privilege or honesty.

r to r

I spoke with Sofia Amaruzzo, founder of Nasty Gal and Girlboss, about her new venture fund, Trust Fund.

He has set a goal of $5 million, aiming for check sizes of $50,000 to $150,000. From whom he has already received the check. Notable investors include A16z partners such as Marc Andreessen, Andrew Chen and Chris Dixon, as well as entrepreneur Eve Williams, icon Paris Hilton and backing investors Ryan Hoover and Sarah Kunst of Clio Capital.

Here's why it matters: It was his high-profile, rocky experience in the Silicon Valley spotlight that eventually gave Amaruz the operational experience he needed to launch his venture capital firm. In allocating $5 million to accredited investors outside his network, he said of building the portfolio, he's not necessarily looking for "diamonds in the rough" or a certain amount of diversification.

“I'll invest in men and women and everything else. And for that matter, why not invest in the privilege and ride on a friend's lap? Dr. Amruza "As a woman, I don't want to invest in the benefits that a man has, like, feel free to post — that's true."

Photo credit: Emily Malan

gas

Discord has acquired Gas, a praise-based social media app for teens. Amanda Silberling reports:

On Gas, users register at their school, add friends and answer surveys about their classmates. But survey questions are designed to build user trust, not undermine it. Teenagers can be asked to choose which of their four friends is the best DJ or has the best laugh. The chosen person will then receive an anonymous message with their compliment, sent by a vague "age 10" or "girl in class 11".

Here's why it matters: When Clubhouse first gained traction, investors and founders were excited about the opportunity to innovate in the consumer social space. The clubhouse has had its share of struggles since then – listen to my Equity with the CEO episode here – but so has Twitter. I think the initial release of Gas and the many similar apps already available on the site may bring some unnecessary optimism to the conversation.

Image credit: Bryce Durbin/TechCrunch

extension

I've covered ClearCo, formerly known as ClearBank, for years. Like many, the Toronto-based fintech has had a particularly turbulent time over the past 12 months. But this week really marked the end of an era, when co-founder Michel Romanov stepped down as CEO of the tech unicorn.

Here's why it matters: Clearco has suffered multiple layoffs due to the pandemic, including one that affected 25% of its workforce. Also in 2022, another co-founder of the Toronto-based fintech company, Andrew D'Souza, stepped down as CEO and was replaced by Romanov. Both co-founders will now assume the position of executive chairman.

"We never lie, we're under the same pressure as any other company to become a sustainable business. And so we continue to make tough decisions… and we continue to lead," Romanov told TechCrunch, explaining the change.

etc. and so on

I saw it on TechCrunch

Musk risks losing billions in court over "guaranteed funds" post

Boston Dynamics' latest Atlas video shows a robot that can run, jump, and now catch and throw.

Microsoft announced 10,000 job cuts, about 5% of its global workforce.

What's next for a business owner after a layoff? FYI

We saw it at TechCrunch+

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That being said, I will be spending the weekend in Philly with friends old and new. Anyone else sick of my east coast tour? No? just me? I'll be back in San Francisco in your mailbox soon.

be careful

No.

Exit/Enter recovery mode via small umbrella *update*