Category: Andreessen Horowitz

June 8, 2019 Off

A16Z interview, 5G, Peloton, handling Big Tech issues, and offering better benefits

By Jill T Frey

Unraveling the “Secrets of Sand Hill Road” and the VC thought process, with Andreessen Horowitz’s Scott Kupor

Our Silicon Valley editor Connie Loizos hosted an Extra Crunch live conference call with Andreessen Horowitz GP Scott Kupor, who manages all ops for the firm and was formerly head of the National Venture Capital Association. He just published a new book entitled “Secrets of Sand Hill Road” which is a guide to the venture capital industry and how to attract the attention of VCs to your startup.

This was our most popular conference call so far, and it was great to see so many people coming out to chat with Scott. In case you missed it, we have published the full transcript for Extra Crunch members.

Connie: Talking about demystifying venture capital, you’ve been with Andreessen Horowitz for roughly 10 years, pretty much from the outset of

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June 7, 2019 Off

Fintech platform Synapse raises $33M to build ‘the AWS of banking’

By Jill T Frey

Synapse, a San Francisco-based startup that operates a platform enabling banks and fintech companies to easily develop financial services, has closed a $33 million Series B to develop new products and go after international expansion.

The investment was led by Andreessen Horowitz, with participation from existing backers Trinity Ventures and Core Innovation Capital . Synapse — which recently rebranded (slightly) from “SynapseFi” — announced a $17 million Series A back in September 2018, so this deal takes it to $50 million raised to date.

The startup was founded in 2014 by Bryan Keltner and India-born CEO Sankaet Pathak, who came to the U.S. to study but grew frustrated at the difficulty of opening a bank account without U.S. social security history. Inspired by his struggles, Synapse, which operated under the radar prior to that Series A deal, is focused on democratizing financial services.

Its approach to doing that is … Read the rest

June 6, 2019 Off

Unraveling the “Secrets of Sand Hill Road” and the VC thought process, with Andreessen Horowitz’s Scott Kupor

By Jill T Frey

Extra Crunch offers members the opportunity to tune into conference calls led and moderated by the TechCrunch writers you read every day. This week, TechCrunch’s Connie Loizos sat down with Scott Kupor, managing director at venture capital firm Andreessen Horowitz to dig into his new book Secrets of Sand Hill Road, discuss his advice for new founders dealing with VCs and to pick his brain on the opportunities that excite him most today.

Scott gained inspiration for Secrets of Sand Hill Road after realizing he was hearing the same questions from different entrepreneurs over his decade in venture. The book acts as an updated guide on what VCs actually do, how they think and how founders should engage with them.

Scott offers Connie his take on why, despite the influx of available information on the venture world, founders still view VC as a black box. Connie and Scott … Read the rest

June 5, 2019 Off

The Stanford connections behind Latin America’s multibillion-dollar startup renaissance

By Jill T Frey

The houses along the tree-lined blocks of Josina Avenue in Palo Alto, with their big back yards, swimming pools and driveways are about as far removed from the snarls of traffic, sputtering diesel engines, and smoggy air of South America’s major metropolises as one can get.

But it was in one of those houses, about a twelve-minute bicycle ride from Stanford University, that the seed was planted for what has become a renaissance in technology entrepreneurship in Latin America.

Back in 2010, when Adeyemi Ajao, Carlo Dapuzzo, and Juan de Antonio were students at Stanford’s Graduate School of Business they could not predict that they would be counted among the vanguard of investors and entrepreneurs transforming Latin America’s startup economy.

At the time, Ajao was negotiating the sale of his first business, the Spanish social networking company, Tuenti, to Telefonica (in what would be a $100 million exit). Carlo Dapuzzo … Read the rest

May 31, 2019 Off

Slack narrows losses, displays healthy revenue growth

By Jill T Frey

Workplace messaging powerhouse Slack filed an amended S-1 with the U.S. Securities and Exchange Commission on Friday weeks ahead of a direct listing expected June 20.

In the document, Slack included an updated look at its path to profitability, posting first-quarter revenues of $134.8 million on losses of $31.8 million. Slack’s Q1 revenues represent a 67% increase from the same period last year when the company lost $24.8 million on $80.9 million in revenue.

For the fiscal year ending January 31, 2019, the company reported losses of $138.9 million on revenue of $400.6 million. That’s compared to a loss of $140.1 million on revenue of $220.5 million the year prior.

Slack is in the process of completing the final steps necessary for its direct listing on The New York Stock Exchange, where it will trade under the ticker symbol “WORK.” A direct listing is an alternative approach to the stock … Read the rest

May 31, 2019 Off

An insider’s look into venture with Andreessen Horowitz’s Scott Kupor

By Jill T Frey

After a decade in the peculiar world of venture capital, Andreessen Horowitz managing director Scott Kupor has seen it all when it comes to the dos and don’ts for dealing with Valley VCs and company building. In his new book Secrets of Sand Hill Road (available on June 3), Scott offers up an updated guide on what VCs actually do, how they think and how founders should engage with them.

TechCrunch’s Silicon Valley editor Connie Loizos will be sitting down with Scott for an exclusive conversation on Tuesday, June 4 at 11:00 am PT. Scott, Connie and Extra Crunch members will be digging into the key takeaways from Scott’s book, his experience in the Valley and the opportunities that excite him most today.

Tune in to join the conversation and for the opportunity to ask Scott and Connie any and all things venture.

To listen to this and all Read the rest

May 22, 2019 Off

Famed founder Daphne Koller tells it straight: “With most drugs, we do not understand why they work”

By Jill T Frey

Daphne Koller doesn’t mind hard work. She joined Stanford University’s computer science department in 1995, spending the next 18 years there in a full-time capacity before cofounding the online education giant Coursera, where she spent the following four years and remained co-chairman until last month. Koller then spent a little less than two years at Alphabet’s longevity lab, Calico, as its first chief computing officer.

It was there that Koller was reminded of her passion for applying machine learning to improve human health. She was also reminded of what she doesn’t like, which is wasted effort, something that the drug development industry — slow to understand the power of computational methods for analyzing biological data sets — has been plagued by for years.

In fairness, those computational methods have also gotten a whole lot better more recently. Little wonder that last year, Koller spied the opportunity to start another … Read the rest

May 11, 2019 Off

These companies may smooth startups’ path to the public market — if they don’t kill each other first

By Jill T Frey

This morning, the SEC approved as the U.S.’s 14th stock exchange Long Term Stock Exchange (LTSE), an outfit that was conceived in 2012 by “Lean Startup” author Eric Ries as a place where public market shareholders who hold onto their shares through thick and thin would be rewarded for their loyalty.

Ries thinks such rewards are important because he believes in public markets. Among other things, by establishing a common currency, being publicly traded enables companies to more easily acquire other companies. It enables employees to more freely sell their shares. It also allows retail investors to participate in the growth of tech companies — growth from which they’ve largely been shut out in recent years as the average time a company remains private has stretched to roughly 12 years.

Indeed, Ries’s biggest issue with public market shareholders is their focus on short-term results, citing it as the primary reason … Read the rest

May 8, 2019 Off

Slack to live-stream pitch to shareholders on Monday ahead of direct listing

By Jill T Frey

Slack, the ubiquitous workplace messaging tool, will make its pitch to prospective shareholders on Monday at an invite-only event in New York City, the company confirmed in a blog post on Wednesday. Slack stock is expected to begin trading on the New York Stock Exchange as soon as next month.

Slack, which is pursuing a direct listing, will live stream Monday’s Investor Day on its website.

An alternative to an initial public offering, direct listings allow businesses to forgo issuing new shares and instead sell directly to the market existing shares held by insiders, employees and investors. Slack, like Spotify, has been able to bypass the traditional roadshow process expected of an IPO-ready business, as well as some of the exorbitant Wall Street fees.

Spotify, if you remember, similarly live streamed an event that is typically for investors eyes only. If Slack’s event is anything like the music streaming giant’s, … Read the rest

May 6, 2019 Off

Carta was just valued at $1.7 billion by Andreessen Horowitz, in a deal some see as rich

By Jill T Frey

Carta, a seven-year-old, San Francisco-based startup, is the newest unicorn in tech. The company, which helps private and public companies, investors and employees manage their equity and ownership, tells TechCrunch it has raised $300 million in a Series E round at a $1.7 billion valuation, led by Andreessen Horowitz. Firm co-founder Marc Andreessen is also joining the board.

The round has been a poorly kept secret. The outlet The Information reported more than a month ago the details that Carta is sharing today. In fact, that leak has given people in the industry who understand Carta’s business time to quietly ask of its valuation whether it isn’t high for a company that does what it does.

Unsurprisingly, Carta argues that it is not, that it has evolved considerably from the outset — which is true. Though it launched as a way for venture capitalists to more easily manage their … Read the rest