Welcome to a recap of Equity, TechCrunch's flagship startup podcast. This episode is chock-full of tech deals, hot topics, and the latest drama. If you haven't heard it yet, be sure to tune in for this spoiler-filled episode.
This week's top 3 deals
FormationBio raises $372 million
First up, we have Formation Bio, an AI-focused drug development startup. The company has raised a massive $372 million in Series D funding led by Andreessen Horowitz, bringing the company's total funding to over $600 million. Formation Bio is using AI to streamline the R&D process in drug development, making it faster and less expensive. The company's AI applications help with patient recruitment, predicting drug toxicity, and improving overall drug efficacy. With an eczema treatment in Phase 3 trials and other promising candidates in the pipeline, Formation Bio is in the race to shake up the pharmaceutical industry.
Volkswagen and Rivian's big deal
Kirsten then described the Volkswagen Group's unexpected partnership with Rivian. Volkswagen plans to invest up to $5 billion in Rivian, starting from an initial $1 billion. The deal gives Volkswagen access to Rivian's cutting-edge electric architecture expertise and improves Rivian's financial position in developing its next-generation vehicles. Following the announcement, Rivian's shares soared. It seems the market is a fan! This partnership could be a game-changer for both companies, combining Rivian's innovative technology with Volkswagen's vast resources and market reach.
Nubank acquires Hyperplane
Finally, Mary Ann covered Nubank's acquisition of Hyperplane, an AI startup for banking. Based in San Francisco, Hyperplane helps banks leverage first-party data to predict user behavior and build personalized customer experiences. The acquisition gives Nubank, the largest digital banking platform outside of Asia, a significant technological advantage that will give the company access to over 100 million customers, enabling Nubank to provide more customized services and increase customer engagement and retention.
Two topics this week
Welcome to the Fediverse
Haje shared details about the Fediverse, a decentralized network of social media platforms like Mastodon, Threads, and even Trump's Truth Social. The Fediverse has seen a surge in popularity, especially since Elon Musk acquired Twitter (now X). Mastodon, for example, has nearly tripled its user base since Musk acquired it. The appeal lies in its decentralized nature, giving users more control and niche communities. Whether you're a photographer, journalism enthusiast, or just tired of traditional social media, there's something for you on the Fediverse.
DEI and Meritocracy in Technology
We discussed some of the more controversial segments of the ongoing debate around DEI (Diversity, Equity, and Inclusion) in the tech industry. Scale AI founder Alexandr Wang recently sparked controversy by advocating for MEI (Merit, Excellence, and Intelligence) over DEI, which garnered support from notable figures like Elon Musk and Palmer Luckey, but also drew significant criticism.
The statistics are alarming: New hire levels of women in the U.S. data industry have fallen dramatically, and the number of DEI-related job postings has also decreased.
This episode of Equity was a rollercoaster ride of groundbreaking deals and heated discussions. Whether you're interested in learning about the latest startup success stories or taking a deep dive into industry challenges, we're here to help.
Equity is TechCrunch's flagship podcast produced by Theresa Loconsolo and posted every Monday, Wednesday, and Friday.
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