Posted on

Addressing the cybersecurity skills gap through neurodiversity

Cat Contillo
Contributor

Cat Contillo is a proud queer autistic and a Threat Analyst II at Huntress. She’s passionate about LGBTQ+ rights, autism, neurodiversity, DEI and cybersecurity.

Addressing the skills gap and strengthening your own security team means bringing in different minds and perspectives — and that starts with embracing neurodiversity. To even have a chance at closing the cybersecurity skills gap, we need people with a variety of different abilities and thought processes. But did you know that there’s an untapped potential in individuals who are neurodivergent?

Neurodiversity can mean different things to different people. It’s a concept that views the spectrum of neurological differences — like ADHD, autism, dyslexia, Tourette’s and other cognitive and developmental disorders — as natural variations of the human brain. In a nutshell, neurodiversity recognizes that brain differences are just that: differences.

I was always aware of the fact that I had a different operating system. It was like growing up on a Mac OS, but made specifically for Windows OS. It wasn’t until I was diagnosed as autistic that I understood why I am the way that I am. My diagnosis gave me a purpose. It’s a purpose I’ve taken with me into the working world, and it’s helped me realize how vital neurodiverse individuals can and will be to the cybersecurity industry.

To even have a chance at closing the cybersecurity skills gap, we need people with a variety of different abilities and thought processes.

There are many inherent traits in people with autism that are well suited for working in cybersecurity. For example, many people with autism are pattern thinkers and are highly detail-oriented. This allows someone in a threat-hunting position to find those subtle differences between malicious and nonmalicious code and catch the threats that automated tools might miss. We also have the ability to hyperfocus, which allows us to concentrate on problem-solving and stick with complex issues that other people may abandon.

Of course, we all have a different set of skills, interests, strengths and weaknesses. But there are some characteristics that — when given the right support and environment — can translate to cybersecurity positively.

This is especially true when autistic adults are interested in technology and cybersecurity. Their interest can complement their attention to detail, which can make for a successful blue team cyber professional. The number and types of cyber threats are constantly changing. Some are obvious to hunt down, and some are much more subtle. Some malware even has the ability to “live off the land” by using already created applications or executables that live natively on a computer. Knowing this information, and knowing what to look for and where to hone in, allows a neurodivergent person to consistently inspect, investigate and hunt down even the most persistent threats.

Embrace the benefits

Instead of focusing on what makes a neurodivergent person “different,” we should embrace the benefits that different minds and viewpoints bring to the field of cybersecurity. Let’s face it: The world is going to need more cybersecurity professionals. Ensuring diversity in these teams includes embracing neurodiversity. Having a blend of unique talents provided by these detail-oriented, rule-bound, logical and independent-thinking individuals is — and will be — a competitive edge in cybersecurity.

Having a career in cybersecurity typically requires logic, discipline, curiosity and the ability to solve problems and find patterns. This is an industry that offers a wide spectrum of positions and career paths for people who are neurodivergent, particularly for roles in threat analysis, threat intelligence and threat hunting.

Neurodiverse minds are usually great at finding the needle in the haystack, the small red flags and minute details that are critical for hunting down and analyzing potential threats. Other strengths include pattern recognition, thinking outside the box, attention to detail, a keen sense of focus, methodical thinking and integrity.

The more diverse your teams are, the more productive, creative and successful they will be. And not only can neurodiverse talent help strengthen cybersecurity, employing different minds and perspectives can also solve communication problems and create a positive impact for both your team and your company.

According to the Bureau of Labor Statistics, the demand for Information Security Analysts — one of the common career paths for cybersecurity professionals — is expected to grow 31% by 2029, much higher than the average growth rate of 4% for other occupations. While vital jobs in cybersecurity are going unfilled, millions of smart people who’d be ideally suited for the work remain unemployed.

Taking the first step

It’s time to challenge the assumption that qualified talent equals neurotypicality. There are many steps companies can take to ensure inclusivity and promote belonging in the workplace. Let’s start all the way at the beginning and focus on job postings.

Job postings should be black and white in terms of the information they are asking for and the job requirements. Start by making job postings more inclusive and less constrictive in what is being required. Include a contact email address where an applicant can ask for accommodations, and provide a less traditional approach by providing these accommodations.

Traditional interviews can be a challenge for neurodivergent individuals, and this is often the first hurdle to employment. For example, to ease some candidates’ nerves, you could provide a list of questions that will be asked as a guideline. More importantly, don’t judge someone based on their lack of eye contact.

To promote an inclusive and belonging culture of neurodiversity in the workplace, the workplace should be more supportive of different needs. It is vital to ensure employees at all levels have the knowledge and understanding on how to empower a diverse team and create an open and inclusive workplace. This starts with diversity, equity, inclusion and belonging training for all employees. Companies should also consider changing their communication style. Neurodiverse individuals communicate differently and not altering the way you communicate could lead to a disconnect in the workplace.

My advice to other neurodivergent and/or autistic adults looking to break into the cybersecurity field is to continue your learning, connect with cybersecurity professionals for networking purposes and never give up. The more we push for awareness and inclusion in all aspects of all companies — small and large — the more opportunities there will be for success.

There is no cybersecurity skills gap, but CISOs must think creatively


Source: Tech Crunch

Posted on

Apple is opening a store in downtown LA’s nearly 100-year-old Tower Theatre

This Thursday, Apple will mark the opening of a new store in downtown Los Angeles. The space occupies the newly renovated Tower Theatre, which opened in DTLA’s Broadway Theater District in 1927. Among other milestones, the 900-seat theater was the first in LA to be wired for the talkies, hosting a premier of “The Jazz Singer” that same year. Not for nothing, it was also the first theater in the city with air conditioning.

Apple Tower Theatre is actually the company’s 26th store in greater LA. Obviously, though, moving into a 94-year-old theater takes a fair bit more work than, say, a shopping mall. The store has been in the works for a number of years, owing in part to having to work with the city to restore a space that had been declared a landmark.

Image Credits: Apple

Interestingly, an LA Times article back in 2018 noted that the space, “may also serve as a declaration that Apple intends to compete as a major Hollywood content creator.” In hindsight, fair enough. Apple TV+ launched late the following year.

The theater has actually been largely unoccupied since 1988, which clearly meant even more work had to go into shining up the walls and making the grand old theater presentable for that modern retail vibe — not to mention a seismic upgrade to help make it more earthquake proof.

The company also notes that it took care to maintain some of the space’s more iconic elements.

Image Credits: Apple

“Apple Tower Theatre anchors the corner of Eighth Street and Broadway, where visitors will immediately recognize the fully restored clock tower, recreated Broadway marquee, clean terra cotta exterior, and renovated historic blade sign,” Apple writes. “After walking through the Broadway doors, guests enter the monumental lobby inspired by Charles Garnier’s Paris Opera House, featuring a grand arched stairway with bronze handrails flanked by marble Corinthian columns.”

The store’s opening also marks the launch of Apple’s new Creative Studios initiative. The LA store and a location in Beijing will be the first to get the program. In its initial form, it will run between eight and 12 weeks, providing a group of mentors from the creative arts.

Image Credits: Apple

“Creativity and access to education are core values for Apple, so we are absolutely thrilled to kick off today at Apple Creative Studios in Los Angeles and Beijing and to bring this meaningful program to several more cities this year,” SVP Deirdre O’Brien said in a press release. “Building on our long history of using stores as a venue to host local artists to educate and inspire, Creative Studios is one more way we’re providing free arts education to those who need it most.”

Last week, Google launched its first retail store in Manhattan’s Chelsea district. The Apple Tower Theatre location opens at 10 a.m. local time on Thursday, June 24. The company says it’s employing nearly 100 to keep the store running.

A look inside Google’s first store, opening in NYC’s Chelsea neighborhood tomorrow

 


Source: Tech Crunch

Posted on

A newly tech-skeptical FTC will reportedly review Amazon’s acquisition of MGM

Amazon’s purchase of MGM must pass the scrutiny of the FTC, newly chaired by prominent Amazon critic Lina Khan, the Wall Street Journal has reported. While the $8.45M merger is not likely to be stopped, it may provide early indicators of how the agency is revising its approach to mega-corporations consolidating multiple industries with acquisitions like this one.

The proposed acquisition was announced last month, and the addition of MGM’s 4,000 films and 17,000 shows to the Amazon library would be a potent shot in the arm for Prime Video, which like the Amazon storefront itself is meant to be its customers’ default go-to for on-demand media.

Amazon is buying MGM Studios for $8.45B

As rights change hands and companies shift tactics, the landscape of streaming is ever-changing; while Netflix has focused on original content (and Amazon is not far behind) and Disney has its own stable of standbys, others have begun snapping up the disparate collections of shows and movies that make up the streaming industry’s lucrative long tail.

Yet there is a valid question among regulators of whether content companies like MGM should be owned by platforms like Amazon. As an independent producer of films and TV a company can secure its own licensing deals and operate in direct competition with similar businesses. As a subsidiary of Amazon, it would likely be in large part reduced to an in-house production company for the retail and web giant, not competing on the merits of its products but as part of a multi-industry empire.

FTC Chair Lina Khan — appointed just last week — has been among the foremost critics of the latter business model. Her now famous “Amazon’s Antitrust Paradox” paper asserted that Amazon uses dominance in one industry, like AWS in web hosting, to shore up other less successful arms, like its nascent delivery service. If the latter would fail without the support of the former, the argument (roughly) goes, the company is potentially engaging in anti-competitive behavior enabled by market power.

That the market power and the behavior are in different verticals excused it under the antitrust doctrine of the recent era (so long as consumers didn’t see price increases), but Khan aimed to challenge that doctrine with her paper — and now, as one of the most powerful regulators in the country, she has been given the chance to shape it firsthand.

Biden elevates tech antitrust crusader Lina Khan to FTC chair

Such large deals are always reviewed by federal authorities, and in this case the FTC is reportedly in charge, probably because it has already taken on the role of antitrust investigation into Amazon in other circumstances. It’s also handling Facebook (which it has tangled with repeatedly over the years), while the agency’s enforcement partners at the Justice Department took charge of looking into Google and Apple. (The FTC declined to comment, saying it does not confirm the existence of investigations.)

In this case it seems unlikely that the Amazon purchase of MGM will be blocked, seeing as there is certainly real competition in the space and MGM has not been able to make its own way — a sale is almost inevitable. But the review will take place nonetheless, and it will likely elucidate how the FTC has changed its approach to this type of merger.

It’s entirely possible that even in a light-touch approval of this deal there will be opportunity to see new doctrine in play; for example, Amazon’s arguably monopolistic position in ostensibly unrelated markets is likely to take a greater role than under previous FTC leadership. It may even set the stage for more comprehensive and aggressive reviews to come, or perhaps even rewinding previously approved mergers, something Chair Khan has said is a distinct possibility.

Lina Khan’s timely tech skepticism makes for a refreshingly friendly FTC confirmation hearing


Source: Tech Crunch

Posted on

What does Red Hat’s sale to IBM tell us about Couchbase’s valuation?

The IPO rush of 2021 continued this week with a fresh filing from NoSQL provider Couchbase. The company raised hundreds of millions while private, making its impending debut an important moment for a number of private investors, including venture capitalists.

According to PitchBook data, Couchbase was last valued at a post-money valuation of $580 million when it raised $105 million in May 2020. The company — despite its expansive fundraising history — is not a unicorn heading into its debut to the best of our knowledge.

We’d like to uncover whether it will be one when it prices and starts to trade, so we dug into Couchbase’s business model and its financial performance, hoping to better understand the company and its market comps.

The Couchbase S-1

The Couchbase S-1 filing details a company that sells database tech. More specifically, Couchbase offers customers database technology that includes what NoSQL can offer (“schema flexibility,” in the company’s phrasing), as well as the ability to ask questions of their data with SQL queries.

Couchbase’s software can be deployed on clouds, including public clouds, in hybrid environments, and even on-prem setups. The company sells to large companies, attracting 541 customers by the end of its fiscal 2021 that generated $107.8 million in annual recurring revenue, or ARR, by the close of last year.

Couchbase breaks its revenue into two main buckets. The first, subscription, includes software license income and what the company calls “support and other” revenues, which it defines as “post-contract support,” or PCS, which is a package of offerings, including “support, bug fixes and the right to receive unspecified software updates and upgrades” for the length of the contract.

The company’s second revenue bucket is services, which is self-explanatory and lower-margin than its subscription products.


Source: Tech Crunch

Posted on

Twitch suspends two popular female creators over sexy ASMR streams

Popular Twitch streamers Amouranth and Indiefoxx are the two latest casualties of Twitch’s ongoing battle to enforce its own confusing rules around sexually suggestive content.

Both creators were suspended following ASMR streams that pushed the bounds of Twitch’s community guidelines forbidding content that isn’t quite sexual in nature but is still too risqué for a platform deeply self-conscious about its advertising business. The Amazon-owned company declined to comment on the length of the bans or what provoked them, but pointed TechCrunch toward its rules on sexual content.

It’s possible that both Amouranth (Kaitlyn Siragusa) and Indiefoxx (Jenelle Dagres) will be reinstated Monday, 72 hours after their Friday ban, but both channels remained unavailable at the time of writing. Siragusa confirmed to Polygon that she was suspended after a stream in which she did yoga poses while making ear-licking sounds into a microphone.

The so-called “ASMR-meta” on Twitch, where streamers boost their views by whispering into their microphones or producing licking sounds, sometimes while holding yoga poses, follows the controversy around hot tubs on Twitch that exploded last month. In both instances, some Twitch creators believe that the platform’s rules are selectively enforced.

“With ASMR meta and crazy yoga poses, believe it or not I watched two other girls doing it to the tune of 2-5k views without any bans for months before I folded the activity into ASMR creating the infamous ‘ASMR’ meta,” Siragusa wrote on Twitter. “Those other streamers are still unbanned and continue to do it. My sin was taking inaction as a sign of tacit acceptance, and then blowing the top off the secret and hitting 30k viewers.”

Because both the ASMR meta and the hot tub meta were dominated by female streamers, the whole situation has attracted even more misogyny within the Twitch community, where female streamers are still regularly harassed off the platform.

Twitch expands its rules against hate and abuse to include behavior off the platform

In a blog addressing the proliferation of women streaming from pools and hot tubs at the time, Twitch wrote that “being found to be sexy by others is not against our rules, and Twitch will not take enforcement action against women, or anyone on our service, for their perceived attractiveness.” The company clarified that while a bathing suit in a bedroom might break the rules, “contextually appropriate” swimwear is allowed.

Twitch also acknowledged the complexity of its own difficult to parse rules:

“Our intention with the Sexually Suggestive policy was to draw a line on content that is overtly or explicitly sexually suggestive, not to ban all content that could be viewed as sexually suggestive – but we acknowledge that our rules are not as clear as they could be.

Prohibiting every form of content that could be interpreted as suggestive would also result in far more restrictions on the video games and premium content that we currently allow, especially considering the ways that female characters are sometimes objectified or presented in a sexualized manner.”

Its solution at the time was to create a “Pools, Hot Tubs, and Beaches” category where that content could live. Most of Twitch’s categories are dedicated to specific games, with most of the platform’s non-gaming streams listed in the popular catch-all category “Just Chatting.”

ASMR has its own category with 2.4 million followers, encompassing ear-tingling ASMR streams that don’t push the boundaries of Twitch’s rules with the more recent crop of those that do. So far, instead of building out a more thoughtful way to corral sexually suggestive content, the company is opting to punish anybody who it decides crosses the line. But it’s possible that could all change: Last month, Twitch said it was working on new policies to further clarify the rules on sexually suggestive content.

Unfortunately for Twitch — and for the female creators disproportionately affected by its uneven policies — the abundance of ear-licking streams suggests that until then, the company will be making these same determinations over and over as it tries to draw a line within a gray area of its own making.

Twitch expands its rules against hate and abuse to include behavior off the platform


Source: Tech Crunch

Posted on

Electric utility bike startup Ubco raises $10 million to fund its global expansion

Ubco, the New Zealand-based electric utility bike startup, has raised $10 million to fund a global expansion focused on the U.S. market and scale up its commercial subscription service business. 

Ubco’s hero product, the Ubco 2X2, is an all-wheel drive electric motorbike that looks like a dirt bike but rides like a moped. What began as a solution for farmers to get around pastures and farms easily, safely and quickly has expanded to include an urban version of the bike that caters to fleet enterprise customers, gig economy workers and city riders. 

Since its founding in 2015, the company has produced two versions of its 145-pound utility bike: The Work Bike, the original off-road vehicle, and the Adventure Bike, the newer version that’s made for city riding but can handle itself off-road. 

Now that Ubco’s got a fresh cash infusion from the round led by Seven Peak Ventures, Nuance Capital and TPK Holdings, it hopes to continue expanding into existing verticals, like food delivery, postal service and last-mile logistics. The company already works with Domino’s in New Zealand and the United Kingdom, as well as a range of other national clients, like the New Zealand Post, the Defense Force, the Department of Conservation and Pāmu, or Landcorp Farming Limited and other local restaurants and stores.

“We have a strong enterprise market in New Zealand and have developed a strong pipeline of sales internationally,” Timothy Allan, CEO and co-founder, told TechCrunch. 

While direct consumer sales make up for most of Ubco’s revenue at present, the company is pushing aggressively into enterprise, and more specifically, subscription services. The 2X2 is built on an intelligent platform that includes vehicle and power systems, cloud connectivity and data analysis, which enables the subscription model to work alongside fleet management systems. 

Ubco expects revenue to climb from $2.1 million in 2020 to $8.4 million by the end of 2021 as it pushes to increase its annual recurring revenue through subscriptions. Ubco’s subscription model, which costs about $50 to $60 per week ($75 to $85 NZD) for fleet enterprise customers, is being rolled out in New Zealand, Australia, the U.K., Europe and the U.S. this year and into 202. Consumers will get access to the subscriptions as well within the next couple of months, according to a spokesperson for the company. 

Allan sees subscriptions as the future of the EV industry, not just because it allows for a high chance of profitability, but also because it’s far more environmentally sustainable. As the company expands this part of its business model, it hopes to lead the circular economy space.

The company predicts that vehicles run through the subscription model will have four times the life expectancy as those sold outright and produce 80% less carbon overall compared to a combustion vehicle. 

“Subscription means we own the vehicle, so we manage the lifecycle,” said Allan. “So the first life starts at high intensity, and that might be 60,000 kilometers delivering pizza, or it might be 30,000 kilometers on a farm, which are equally hard for different reasons. Then after, that vehicle will go down to a lower intensity application. After that the battery can then be pulled out, and that might go into passive solar storage or something like that.”

Allan sees solving the end-of-life issue as a personal and professional challenge, one with room for creativity since no one has fully figured out the correct way of doing it. He says he takes a bottom up approach when it comes to the engineering of the vehicle in a way that allows for easier recycling.

“Like when you design a battery, fuck putting fire retardant foam into it because you can’t get it back at the end of life,” he said. “So it starts with correctly labeling, engineering with intent so that you’re designing for this type of assembly, and then your business or commercial system needs to support the concept. Now, we’ve got the advantage because the economics and incentives are aligned, and that all aligns with New Zealand’s product stewardship legislation.”

Trying to perfect the circular economy through utility vehicles isn’t just about doing what’s right for the environment. Allan thinks it’ll be a smart business decision in the end, one that will draw in customers and give the company a competitive edge with enterprise clients. 

“This is a part of your journey with us as a customer,” said Allan. “If we can design subscriptions and the life of the vehicle in such a way that you feel good about it, that’s where we’re driving from. Most people want to do the right thing, and we can provide something that logically fits the economics, can be done at scale and can be managed holistically.”

Mobility startups can be equitable, accessible and profitable


Source: Tech Crunch

Posted on

Spielberg’s Amblin inks multiyear feature film deal with Netflix

In something of an about-face, Amblin Partners, Steven Spielberg’s long-running film production company, will produce several films per year for Netflix. The deal reflects Netflix’s rising star and arguably acceptance by the legendary director of a new order to the cinematic world where home viewing is a first-class citizen.

The deal was announced in a press release with few details except glowing quotes from Amblin and Netflix executives. All that is certain is that Amblin will produce “multiple new feature films per year” for Netflix.

“From the minute Ted [Sarandos, Netflix co-CEO and chief content officer] and I started discussing a partnership, it was abundantly clear that we had an amazing opportunity to tell new stories together and reach audiences in new ways,” said Spielberg in the release.

Those new ways didn’t sound so amazing to Spielberg a couple years ago when he was reportedly pushing to exclude Netflix films from the Academy Awards.

“Once you commit to a television format, you’re a TV movie,” Spielberg told ITV in March of 2019. “I don’t believe films that are just given token qualifications in a couple of theaters for less than a week should qualify for the Academy Award nomination.”

Ultimately no real push was made, though. Whether Spielberg was misrepresented, changed his mind or just read the room, he has since tempered his position. He has said rather that he simply wants to cherish and protect “the theatrical experience” — understandable from one of the pioneers of the modern blockbuster.

Naturally it’s a huge get for Netflix, which will get a steady stream of Amblin features, though there’s no guarantee of a Spielberg picture. Meanwhile Amblin will continue its longtime partnership with Universal, which fills the more traditional moviemaking and distribution side of things. The company has already broken bread with streaming companies, with shows and films made for and distributed by Netflix and others, but this is most significant partnership so far.

Perhaps it was COVID that suggested to Spielberg and Amblin that streaming platforms are, far from going away, simply the future of the industry in many ways. In a world where the “theatrical experience” is a potential superspreader event and people are perfectly happy to watch (and pay for) a “premiere” at home, it may be better to roll with the punches and hope that things bounce back.

What Vimeo’s growth, profits and value tell us about the online video market


Source: Tech Crunch

Posted on

Sneaker community startup SoleSavy raises $12.5 million Series A to build an end-to-end sneakersphere

Collectibles boomed during the pandemic and while NFT outfits like NBA Top Shot exploded as consumers flirted with newer efforts, the sneaker world grew even more mature with enthusiasts digging deeper into communities dedicated to the hobby/passion/obsession/alternative asset class.

Vancouver’s SoleSavy, a sneaker community dedicated to giving fans a curated place to navigate the world of shoes, with all of its drops, news and rumors, has raised a $12.5 million Series A just months after wrapping a $2 million seed round, showcasing investor enthusiasm behind vertical-specific premium social experiences. The round was led by Bedrock Capital with participation from Dapper Labs’ CEO Roham Gharegozlou, Diplo, Bessemer Ventures and Turner Novak’s Banana Capital, among others.

CEO Dejan Pralica says the company has tripled its user base since its seed raise late last year, while growing its team from 10 to 37 employees in the same period.

Today, SoleSavy’s community is based largely around a network of Slack groups where users can discuss just about everything. Though the platform’s chat communities are organized in Slack now, Pralica sees a future where the company could build its own chat hub for members, something to further tie-in the startup’s app, website and online conversations. The more near-term goal is to grow this community into a hub of trusted buyers and sellers where a peer-to-peer member marketplace can thrive. SoleSavy is at the forefront of a new generation of more social internet marketplaces where vertical-specific communities can gather and grow inside an all-encompassing platform.

“I do envision on end-to-end platform that’s very integrated,” Pralica tells TechCrunch.”I want to make sneakers fun again and enjoyable for the people that are passionate about them.”

Part of that fun has been diminished by free-for-all chat groups that can quickly grow toxic or grow exploitative as moderators look to cash in on their networks, something SoleSavy hopes a more curated approach can bring back.

Sneaker enthusiast group SoleSavy raises $2M, setting the stage for a community-driven commerce boom

As my boss (and TC’s resident sneaker head) Matthew said in his write-up of SoleSavy’s seed raise earlier this year:

That positive community vibe is what Pralica says is SoleSavy’s long-term focus and differentiating factor that keeps the 4,000 members across the U.S. and Canada interacting with the group on a nearly daily basis … I’ve been in a dozen or so different groups focused on buying large quantities of each release to resell over the years and many of them are, at best, rowdy and at worst toxic. That’s an environment that SoleSavy wanted to stay away from, says Pralica. Instead, SoleSavy tries to court those who want to buy and wear the shoes, trade them and yes, maybe even resell personal pairs eventually to obtain and wear another grail.

The company’s sizable Series A raise just months after a seed showcases that plenty of investors are intrigued by the idea of verticalized marketplaces built up around social communities, Pralica sees the funding as a chance to ignore fundraising for a while and focus on “building for the future” while identifying new opportunities in the sneakersphere.

SoleSavy has been pretty focused on North American sneaker heads so far, but Pralica see that hefty Series A check taking the platform into new markets, including Australia and New Zealand, United Kingdom, Singapore, Japan and broader Europe. The company also plans to use the new funding to build out its editorial network with podcasts, editorial features, original video and member events.

The StockX EC-1


Source: Tech Crunch

Posted on

Dollars, deals and the importance of nondilutive capital

Today, on Juneteenth, we recognize the efforts this nation still needs to put toward addressing structural racism and disparities, including in the world of tech.

This week, HBCUvc, a nonprofit that aims to diversify the world of venture capital, launched a million-dollar fund. Founder Hadiyah Mujhid told me that the capital would provide nondilutive financing to overlooked founders, which they define as Black, Indigenous and LatinX entrepreneurs, replacing the traditional angel round. But she also admitted that supporting founders wasn’t the only primary goal. Instead, she explained to me the importance of what she defines as “teaching capital.”

Similar to how teaching hospitals give aspiring doctors a way to practice and learn their craft before formally entering the field, the fund wants to do that for their some 230 aspiring investors that they already work with, many stemming from historically Black colleges and universities. Notably, nondilutive capital provides entrepreneurs with funding sans equity and a learning experience with lower stakes.

There are a lot of organizations right now that are starting funds [with] the primary goal of supporting founders. And that’s a goal of ours, but we’re hoping to have a ripple effect of training and really providing on-ramps for the next best-in-class investors … and in order to do that, they have to have a training vehicle.

While I’m not always a fan of rebranded names for capital, “teaching capital” is certainly a compelling framing. Track record is everything in this industry, and underrepresented folks often don’t have the benefit or privilege of access on their side — from a dollar or deals perspective. Scout programs have long existed to fill this gap, but I think that there is still a lacking of intentionality around who feels empowered to write an investment memo, ask questions and be new. This week, BLCK VC launched its scout program and Google for Startups launched a nondilutive financing instrument for Black founders, underscoring a growing focus in seeding diverse entrepreneurs.

HBCUvc’s fund was announced nearly one year after it almost shut down due to a lack of capital. Mujhid explained how the unjust killing of George Floyd led to the biggest one-day donation in her nonprofit’s lifetime, which “changed the trajectory of programming.” She also said that a lot of interest was a knee-jerk reaction, urging people to view this work as a long-term commitment.

Down the creative capital rabbit hole we go:

In the rest of this newsletter, we’ll get into Waymo’s latest raise, the Nubank EC-1 and a Pittsburgh event that I can’t wait to nerd out about.

Waymo gets way more

Image Credits: Bryce Durbin

Waymo, Alphabet’s self-driving arm, raised $2.5 billion in its second-ever institutional round. Investors include Alphabet, Andreessen Horowitz, AutoNation, Canada Pension Plan Investment Board, Fidelity Management & Research Company, Temasek and, of course, Tiger Global.

Here’s what to know: Waymo is going external after some internal shuffling. The funding comes only months after CEO John Krafcik stepped down from his title after spending five years in that position. Last month, Waymo lost its CFO and head of partnerships.

For more, here are my favorite recaps of TC Sessions: Mobility:

The Nubank EC-1

Image Credits: Nigel Sussman

Another week, another EC-1! Marcella McCarthy wrote about Nubank, a Brazillian credit card and banking fintech company that just last week raised at a $30 billion valuation. It’s one of the most valuable startups in the world, with over 40 million users.

Here’s what to know: As McCarthy puts it in the piece, Nubank started by trying to solve a massive challenge: “How to rebuild the concept of a bank in a country where banking is widely hated, all while the incumbents heavily entrenched with the state worked to block every move.” Maybe, the story goes on to tell, it would start with California Street.

Check out each installment of the series below:

Around TC

In May, thousands of you read my Duolingo EC-1, a deep dive into Pittsburgh’s favorite edtech unicorn. Now, we’re taking you to Pittsburgh to hear from Karin Tsai, the head of engineering there, as well as Carnegie Mellon University President Farnam Jahanian, Mayor Bill Peduto and a smattering of local startups.

Our TC City Spotlight: Pittsburgh event will be held on June 29, so make sure to register here (for free) to listen to these conversations, enjoy the pitch-off and network with local talent.

Also, a friendly reminder that we’re making a list of the best growth marketers for startups. You can help us by nominating your favorites into this survey.

Across the week

Seen on TechCrunch

Seen on Extra Crunch

Thanks for reading, as always. Take care everyone!

N


Source: Tech Crunch

Posted on

Investors say Eindhoven poised to become Netherlands’ No. 2 tech hub

Eindhoven might not immediately spring to mind as a high-tech hub, but the Netherlands city is keen to position itself as a center for deep tech in Europe.

The Technical University of Eindhoven, High Tech Campus Eindhoven, and locally based corporates like ASML and Philips have been eyeing initiatives across Europe and applying what they’ve learned to the region’s strategy. Philips launched in Eindhoven in 1891 and played no small part in the municipality’s ambitions to become a tech hub.

Eindhoven produces a high number of patents per year considering its small population and has been home to an inordinate number of hardware startups. The local High Tech Campus has a high hardware focus, for instance.

Our survey respondents consider the city strong in areas like photonics, robotics, medical devices, materials science, deep tech, automotive tech, sustainability tech, medtech, Big Data, hardware and precision engineering. They are looking for more mature startups and scaleups focused on AI and hard tech.

Eindhoven is considered weaker in fintech and consumer products, and it exists in a small region with limited global visibility.

Over the next five years, one respondent said, “Eindhoven will have evolved to the Netherlands’ second-largest tech ecosystem, behind Amsterdam. On a European scale, Eindhoven will have entered the top 10.”

To learn more about Eindhoven, we queried the following investors:

Robert AL, Systema Circularis

What industry sectors is your tech ecosystem strong in? What are you most excited by? What is it weak in?

High-tech systems, photonics, robotics, medical devices.

Which are the most interesting startups in your city?

Lightyear, Bio-TRIP, EFFECT photonics, Nemo Healthcare, Sorama.

What are the tech investors like? What is the investment scene like in your city? What’s their focus?

Fully dedicated.

Who are the key startup people in your city (e.g., investors, founders, lawyers, designers, etc.)?

Steef Blok, Harm de Vries, Piet van der Wielen, Andy Lurling, Mark Cox.

Where do you see your city’s tech scene in five years’ time?

More mature, more focused on inclusive development, less quality coming from university spinoffs.

Nathan van den Dool, CEO, Space4Good

What industry sectors is your tech ecosystem strong in? What are you most excited by? What is it weak in?

High-tech systems and materials, the real high-tech and deep tech stuff that either leads to scientific breakthroughs or turns scientific breakthroughs into companies. Lithography makes a major contribution to that, as well as medical devices and production technologies.

Which are the most interesting startups in your city?

Nearfield Instruments, Optiflux, Dynaxion, AlphaBeats, Incooling.

What are the tech investors like? What is the investment scene like in your city? What’s their focus?

They focus mainly on high-tech machine building and software development, AI.

With the shift to remote working during the COVID-19 pandemic, will people stay in your city, move out or will others move in?

Largely unaffected.

Where do you see your city’s tech scene in five years’ time?

More integrated between AI and hard tech and production.

Pepijn Herman, venture builder, Brabantse Ontwikkelings Maat schappij

What industry sectors is your tech ecosystem strong in? What are you most excited by? What is it weak in?

The pros are high-tech systems, collaboration culture and excellent startup ecosystem; The cons are that it’s a small region with limited visibility globally.

Which are the most interesting startups in your city?

LionVolt, DENS, Lightyear, Morphotonics.

What are the tech investors like? What is the investment scene like in your city? What’s their focus?

They focus mainly on high-tech machine building and software development, AI.

With the shift to remote working during the COVID-19 pandemic, will people stay in your city, move out or will others move in?

Others will move in! Housing is extremely expensive but the demand for a skilled workforce is extremely high. If people move to surrounding areas, within 30 km, housing prices skyrocket all over.

Who are the key startup people in your city (e.g., investors, founders, lawyers, designers, etc.)?

BOM (that’s us!), Braventure, Brainport Development, TNO.

Where do you see your city’s tech scene in five years’ time?

Leading worldwide in several technology areas, mainly, high-precision, roll-to-roll processing atomic layer deposition, material handling, industry 4.0, silicon processing equipment.

Betsy Lindsey, CFO, Aircision

What industry sectors is your tech ecosystem strong in? What are you most excited by? What is it weak in?

The region is strong in deep tech, automotive tech, sustainability tech, medtech, Big Data, hardware and precision engineering. Most excited by sustainability tech and deep tech. The region is weak in fintech.

Which are the most interesting startups in your city?

Lightyear, Incooling.

What are the tech investors like? What is the investment scene like in your city? What’s their focus?

Conservative, non-risk-taking — there are so many subsidies they don’t need to take risks, so once the tech risk is gone, they are good, but they are not global enough; hardware.

With the shift to remote working during the COVID-19 pandemic, will people stay in your city, move out or will others move in?

Hardware is hands-on — people are still moving in! We have a housing “crisis!”

Who are the key startup people in your city (e.g., investors, founders, lawyers, designers, etc.)?

Innovation Industries.

Where do you see your city’s tech scene in five years’ time?

More mature startups and scaleups on the scene!

Andy Lurling, founding partner, LUMO Labs

What industry sectors is your tech ecosystem strong in? What are you most excited by? What is it weak in?

The region is strong in sustainable cities, health and well-being, and education.

Which are the most interesting startups in your city?

FruitPunch AI, AlphaBeats, Vaulut, Lightyear, Serendipity.

What are the tech investors like? What is the investment scene like in your city? What’s their focus?

Mainly hardware; LUMO Labs has an early-stage software focus.

With the shift to remote working during the COVID-19 pandemic, will people stay in your city, move out or will others move in?

Stay.

Who are the key startup people in your city (e.g., investors, founders, lawyers, designers, etc.)?

Nard Sintenie, Frank Claassen, Hans Bloemen.

Where do you see your city’s tech scene in five years’ time?

Competing on a global scale.

Han Dirkx, CEO and co-founder, AlphaBeats

What industry sectors is your tech ecosystem strong in? What are you most excited by? What is it weak in?

The region is strong in deep tech and health. I’m excited about opportunities for cooperation between different companies. It’s weak in seed investment.

Which are the most interesting startups in your city?

Lightyear, AlphaBeats, Carbyon, FruitPunch, Serendipity.

What are the tech investors like? What is the investment scene like in your city? What’s their focus?

Tech investors are mainly government-regulated constitutions or angels. Focus on scaleup.

With the shift to remote working during the COVID-19 pandemic, will people stay in your city, move out or will others move in?

They will stay; working from home has some benefits but meeting people in an inspiring environment gives the best synergy.

Who are the key startup people in your city (e.g., investors, founders, lawyers, designers, etc.)?

LUMO Labs, HighTechXL, Andy Lurling, Sven Bakkes, John Bell, Guus Frericks, Bert-Jan Woertman.

Where do you see your city’s tech scene in five years’ time?

Leading in the world.

Jonas Onland, managing partner, Serendipity

What industry sectors is your tech ecosystem strong in? What are you most excited by? What is it weak in?

The region is strong in building sustainable and resilient cities and a platform between cities/society and tech market.

Which are the most interesting startups in your city?

Digital Toolbox (a Serendipity spinoff), Amber (mobility), Active Esports Arena and other portfolio companies of LUMO Labs.

What are the tech investors like? What is the investment scene like in your city? What’s their focus?

Through LUMO Labs, there is a focus on societal investments; the rest is investment in high tech due to the big industries (VDLK, ASML, NXP, Phillips).

With the shift to remote working during the COVID-19 pandemic, will people stay in your city, move out or will others move in?

Work at home or mix in the office and at home.

Who are the key startup people in your city (e.g., investors, founders, lawyers, designers, etc.)?

A combination of accelerators (LUMO Labs, HighTechXL, Braventure) and Brainport (ecosystem management) supported by the Eindhoven University of Technology and big corporates.

Where do you see your city’s tech scene in five years’ time?

Leading in the world on societal/systemic change — moving from high-tech toward impact (more software and digitization).

Daan A.J. Kersten, CEO, PhotonFirst

What industry sectors is your tech ecosystem strong in? What are you most excited by? What is it weak in?

It’s strong in high-tech equipment, hardware, photonics, additive manufacturing, lighting, electronics, semiconductor technology and health tech, and weak in consumer products and apps.

Which are the most interesting startups in your city?

Lightyear, ELEO Technologies, EFFECT Photonics, SMART Photonics, PhotonFirst, Amber.

What are the tech investors like? What is the investment scene like in your city? What’s their focus?

There is a relatively low number of investors in early stage.

With the shift to remote working during the COVID-19 pandemic, will people stay in your city, move out or will others move in?

They will stay. Eindhoven is a hot spot with many cultures, international tech community and great infrastructure, while it feels like a village.

Who are the key startup people in your city (e.g., investors, founders, lawyers, designers, etc.)?

Nard Sintenie, startup founders, HighTechXL.

Where do you see your city’s tech scene in five years’ time?

Worldwide dominance in high-tech hardware scaleups.

Daniel den Boer, CEO and co-founder, Vaulut

What industry sectors is your tech ecosystem strong in? What are you most excited by? What is it weak in?

The Eindhoven ecosystem is really strong in the sectors of mobility, smart city and energy. I’m most excited about smart city. This is our focus sector and it is the embodiment of ecosystem collaboration with impact solutions.

Which are the most interesting startups in your city?

Vaulut, Roseman Labs, FruitPunch AI, Amber, Sendcloud, Lightyear.

What are the tech investors like? What is the investment scene like in your city? What’s their focus?

The investment scene is getting better. They are increasingly realizing that deep tech takes time and needs to be nurtured, but the potential impact is massive and can have a dramatic effect on the entire ecosystem. There are still relatively few early-stage impact drive investors. LUMO Labs is leading the pack on that front.

With the shift to remote working during the COVID-19 pandemic, will people stay in your city, move out or will others move in?

I think more people will stay as the need to move to Amsterdam as the tech hub of the Netherlands diminishes, giving Eindhoven a boost to strengthen its own ecosystem, which will in turn make even more people stay and attract people to move in the city. As a result, COVID-19 will have a positive effect on Eindhoven’s tech ecosystem, I believe.

Who are the key startup people in your city (e.g., investors, founders, lawyers, designers, etc.)?

LUMO Labs, the Eindhoven University of Technology, High Tech Campus, Amber, Brainport Eindhoven.

Where do you see your city’s tech scene in five years’ time?

In five years, I believe Eindhoven will have evolved to Netherlands’ second-largest tech ecosystem, behind Amsterdam. On a European scale, Eindhoven will have entered the top 10.


Source: Tech Crunch