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📢 Top Venture Capital News

Tech spending has remained surprisingly stable in 2023: As we approach the midpoint of Q3 2023, it's time to revisit the IT spending predictions made last year. Analyst firms Gartner and IDC initially projected IT spending growth of around 5% for 2023. However, these estimates were revised down to 2.2% and 4.4% respectively early this year. Despite economic challenges and fluctuating currency rates, IT spending is currently at 4.4% in constant currency and 4.3% for the U.S. dollar, indicating a stabilization in the market. More Here

Sequoia fund cutbacks underscore new realities of venture capital market: In a significant shift, Sequoia Capital has downsized its firm, two of its funds, and begun severing ties with its international entities in China and India. The firm has halved its fund of funds and reduced its cryptocurrency fund by nearly two-thirds to focus more on seed-stage opportunities. This move, unusual for venture capital firms, is seen as a response to changing market conditions. Despite the challenges, experts believe Sequoia will continue to attract investors due to its strong reputation in the industry. More Here

Coatue Raises $331 Million for Early-Stage Fund, 34% Below Target: Coatue Management, known for its successful early-stage investments in companies like Figma and Ramp, has raised $331 million for its third fund, falling short of its $500 million target. This reflects a broader trend where firms that raised significant funds during the pandemic are now struggling to meet their fundraising goals. Despite the lower than expected total, this is an interim close, and the firm anticipates raising additional capital. The focus of this fund will continue to be on early-stage startups, with a particular interest in artificial intelligence. More Here

‘It’s scary’: Nine Aussie VC firms battle to raise new funds: Venture capital firms are navigating a new market environment, with a clear divide between top-tier firms and the rest. Despite challenges, firms like OneVentures and Sidestage Ventures are raising substantial funds, with a focus on investing in start-ups at lower valuations. However, capital raising is not always guaranteed to go as planned, as evidenced by Folklore Ventures' recent experience. Regardless, many believe this is an ideal time to invest in start-ups, with potential for greater returns when the market cycle turns again. More Here

📢 Top Startups News

Google Assistant reportedly pivoting to generative AI: Google is rethinking its approach to AI, aiming to supercharge its Assistant with the latest large language model (LLM) technology, according to an internal email reported by Axios. This strategic shift is not just about exploring possibilities but a response to advancements demonstrated by other companies. However, the practicality of LLMs in powering chatbots and assistants remains unproven. Google's move suggests a belief in the value of an interface that can handle both simple digital interactions and complex conversational threads, readying itself for whatever the future of AI may bring. More Here

New Relic’s sale tells us much about the value of middling growth today: New Relic, a leading monitoring service, has announced its acquisition by Francisco Partners and TPG for a cash deal of $6.5 billion. This news has led to a 13.5% surge in the company's shares, which went public in 2014. The deal's valuation, less than seven times New Relic's current run-rate revenue, provides fresh insights into the tech landscape's current state regarding valuations. Interestingly, New Relic's latest quarterly results show a shift from a subscription model to a usage-based pricing setup, with consumption revenue increasing by 39% to $213.9 million. More Here

Dynatrace acquires cloud-native debugging platform Rookout: Dynatrace, a leader in observability and security platforms, has announced its plans to acquire Rookout, a Tel Aviv-based startup specializing in code-level observability. This strategic acquisition will enhance Dynatrace's suite of tools, enabling deeper insights into production environments. The integration of Rookout will not only bolster our existing platform but also foster improved collaboration among development, IT, and security teams. As Shahar Fogel, CEO at Rookout, puts it, the move will "create a new standard for how engineers use developer-first, cloud-native observability to improve productivity." More Here

Bloom wants to teach Gen Z how to build wealth: Bloom, a zero-commission stock investing tool designed for teenagers, has achieved an impressive milestone of 1 million downloads since its launch in February 2022. The brainchild of Allan Maman and Sam Yang, Bloom not only provides a brokerage account but also offers interactive lessons on investing, stocks, and finance. The app, which has seen over 10 million lessons taken, is structured like Instagram, offering educational content and quizzes that reward users with in-app currency. More Here

📢 Top Startup’s Fundraising News

Topline Pro grabs $12M in new capital to help home service businesses get discovered: In the rapidly growing home services sector, Topline Pro is making waves with its AI-infused platform, designed to help small businesses manage and scale their operations. In 2022, Topline Pro raised $5 million and generated over $25 million in job requests across more than 1,000 monthly subscriber businesses. Fast forward a year, the company has generated over $180 million in business and nearly doubled its employee base. More Here

Threat intelligence startup Cyble lands $24M investment: Cybersecurity startup Cyble has raised $24 million in a Series B funding round, co-led by Blackbird Ventures and King River Capital. The investment will fuel R&D and market expansion, reinforcing Cyble's commitment to mitigating digital risk. Founded in 2019, Cyble utilizes both dark and surface web data to build custom threat-hunting solutions, boasting visibility into over 6,000 darknet marketplaces. This funding round underscores Cyble's momentum in the cybersecurity space, despite a recent industry-wide drop in venture funding. More Here

Airalo locks in $60M to expand its eSIM-based global roaming ‘marketplace’: Airalo, a mobile startup offering cost-effective eSIM connectivity for international travelers, has raised $60 million in a Series B funding round. The company, which provides nearly 700 different mobile data packages, is experiencing strong growth with a 20% monthly revenue increase and nearly 1 million downloads monthly. The funding will be used to expand its business and introduce "Airalo Partners," a new connectivity solution for global businesses. With 5.1 million customers and exponential growth due to the resurgence of travel, Airalo is becoming a key player in the eSIM market. More Here

HerMD Raises $18M in Series A-1 Funding: HerMD, a comprehensive women's healthcare provider, has successfully raised nearly $30m in a funding round led by Jazz, B-Flexion, and Amboy Street Ventures. The funds will be utilized to expand their physical and virtual presence, invest in team growth, and further develop their proprietary education platform, HerMD University. Since its inception in 2015, HerMD has grown to serve patients across the U.S through five locations and virtual care, with plans to open more locations in the New York Metro area and Nashville. More Here

GlassPoint Closes $8M Series A Funding: GlassPoint, a pioneer in large-scale solar steam facilities, recently secured significant investment led by 300PPM and supported by notable figures such as former Australian PM Malcolm Turnbull. This funding will fuel expansion and broaden the company's reach in hard-to-abate industries. This follows GlassPoint's MOU with Ma’aden to create the world's largest solar process heat plant, aligning with Saudi Arabia's sustainability goals. More Here

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