TikTok Timeline Update: The Rise and Pause of a Social Video Giant

Justice Dept. Calls TikTok 'Direct Threat' to Privacy and Security of US
TikTok | Solen Feyissa | Flickr

See our timeline below for key developments TikTok's story over the last 10 years, starting with the founding of ByteDance and moving through the app's rise to popularity and the mounting concerns about data privacy and security.


March 2012: Internet entrepreneur Zhang Yiming founds ByteDance in Beijing.

August 2012: ByteDance launches its first product, Toutiao, an AI-powered news aggregator.

July 2014: Alex Zhu launches Musical.ly, an app that enables users to create short-form lipsync music videos; Musical.ly is headquartered in Shanghai with an office in Santa Monica.

July 2015: Musical.ly hits #1 in Apple app store.

September 2016: ByteDance launches Douyin, an app with similar functionality as Musical.ly; within a year, the Chinese app achieves 100 million users and 1 billion views per day.

September 2017: ByteDance brings Douyin outside of China's Great Firewall under the name of TikTok; the app does well in numerous Asian markets.

November 2017: ByteDance acquires Musical.ly for $1 billion; the company starts operating Musical.ly in the US, Douyin in China and TikTok in other markets.

August 2018: ByteDance merges Musical.ly with TikTok and migrates all user profiles to TikTok; Alex Zhu becomes TikTok senior vice president, saying, "Combining Musical.ly and TikTok is a natural fit given the shared mission of both experiences – to create a community where everyone can be a creator."

October 2018: ByteDance achieves a record $75 billion valuation, making it the world's biggest privately backed startup.

February 2019: Lil Nas X releases "Old Town Road" on TikTok, catalyzing a viral sensation that ultimately reaches #1 on Billboard's charts.

February 2019: TikTok is fined $5.7 million for child data privacy violations.

September 2019: Washington Post reports that TikTok may be censoring protests in Hong Kong.

September 2019: Leaked documents show TikTok instructs its moderators to censor videos that mention various subjects deemed offensive by the Chinese government and Communist Party, The Guardian reports.

October 2019: U.S. Senator Marco Rubio calls on the U.S. government to investigate the national security implications of ByteDance's acquisition of Musical.ly, citing concerns over the Chinese government and Communist Party's use of TikTok to censor content and silence open discussion.

October 2019: U.S. Senators Chuck Schumer and Tom Cotton ask U.S. Acting Director of National Intelligence to assess the national security risks from TikTok and other Chinese-owned apps, and request a congressional briefing on the findings.

October 2019: Alex Zhu begins reporting directly to ByteDance head Zhang Yiming; he had previously reported to the head of Douyin.

November 2019: The U.S. government launches an investigation into ByteDance's acquisition of Musical.ly on the grounds that ByteDance did not seek clearance when it acquired Musical.ly.

TikTok reportedly has 26.5 million monthly active users in the U.S. at this time.

December 2019: The U.S. Defense Department's Defense Information Systems Agency issues a recommendation that military personnel delete TikTok from all smartphones.

Q4 2019: TikTok becomes the most downloaded app in the world and second in the U.S.

January 2020: Several U.S. military branches ban TikTok on government-issued smartphones.

March 2020: U.S. officials reach out to TikTok to discuss political disinformation.

April 2020: TikTok surpasses 2 billion downloads and sets the record for quarterly downloads.

May 2020: Various child privacy groups file a complaint with the U.S. Federal Trade Commission that TikTok is violating the Children's Online Privacy Protection Act (COPPA) and flouting terms agreed to following its February 2019 settlement.

A TikTok spokesperson says the company "takes the issue of safety seriously for all our users, and we continue to further strengthen our safeguards and introduce new measures to protect young people on the app."

May 2020: ByteDance hires former Disney executive Kevin Mayer as chief operating officer and TikTok chief executive officer.

June 2020: Teens organize on TikTok to fool Trump administration into anticipating high attendance for the President's Tulsa, Oklahoma campaign rally.

June 2020: India bans 59 Chinese apps including TikTok, citing national security and data privacy concerns; the move comes amid ongoing skirmishes between the two countries on the China-India border.

July 2020: Australia Prime Minister Scott Morrison launches an investigation into TikTok surrounding data concerns.

July 2020: U.S. Secretary of State Mike Pompeo confirms the U.S. is looking into banning TikTok over concerns the app is sharing data with China; the next day, President Trump says he is considering a ban, framing it as a potential retaliation tactic against China for its handling of the coronavirus pandemic.

Aug. 2, 2020: Microsoft issues a blog post citing a conversation between chief executive Satya Nadella and President Trump around the company's potential acquisition of TikTok.

Aug. 4, 2020: Australia Prime Minister Scott Morrisson says there is not sufficient evidence to suggest a TikTok ban is necessary.

Aug. 6, 2020: President Trump issues an executive order banning American companies from transacting with ByteDance or its subsidiaries, namely TikTok; the U.S. Secretary of Commerce is to identify specific prohibited "transactions" 45 days after the order is issued.

Aug. 14, 2020: Trump issues another executive order demanding ByteDance "divest all interests and rights" in its assets and property that enable TikTok's U.S. operations, and data collected via TikTok in the U.S., within 90 days. The order says the U.S. investigation into ByteDance's acquisition of Musical.ly presented "credible evidence" that ByteDance "might take action that threatens to impair the national security of the United States."

Aug. 17, 2020: Oracle enters the discussion as a reported TikTok suitor.

Aug. 18, 2020: President Trump says he would support Oracle buying TikTok. Oracle's cofounder and CTO Larry Ellison had previously said he supports Trump and had fundraised for him in February 2020.

Aug. 24, 2020: TikTok announces it is suing the Trump administration over the ban for failure to protect due process. Separately, a U.S.-based TikTok employee also sues the administration, stating, "I am a patriot"

Aug. 26, 2020: Kevin Mayer steps down from ByteDance and TikTok, citing a diminished role in a letter to colleagues. Rumors swirl that he was left out of ByteDance's negotiations with potential acquirers

Aug. 27, 2020: Walmart issues a statement that it is interested in partnering with Microsoft to acquire TikTok.

Aug. 28, 2020: L.A.-based Triller, a TikTok upstart competitor, is reported to have issued a bid for TikTok along with investment firm Centricus.

Aug. 29, 2020: The Chinese government issues new export rules that complicate the exportation of TikTok's underlying technology – namely its "For You" algorithm – to any foreign buyer.

Aug. 31, 2020: CNBC reports TikTok has chosen a buyer, with an expected sale price of $20 billion - $30 billion.

Sept. 3, 2020: With uncertainty over whether a buyer will be able to acquire TikTok's algorithm, and debate mounting over how that affects the value of the company, numerous outlets negotiations are likely to slow as the Chinese government increases its involvement.

Sept. 13, 2020: Microsoft says in a blog post that "ByteDance let us know today they would not be selling TikTok's US operations to Microsoft." The company says it would have made "significant changes" to ensure security, privacy, online safety and combatting disinformation.

Sept. 14, 2020: Oracle confirms that it has been selected by ByteDance to become a "trusted technology provider" with TikTok. The company says the proposal was submitted by ByteDance to the Treasury Department over the weekend. Treasury Secretary Steven Mnuchin says on CNBC that the proposal includes making TikTok-global a U.S. headquartered company with 20,000 new jobs.

Mnuchin adds that the Committee on Foreign Investment in the United States is reviewing the proposal this week for national security implications, and will make a recommendation to the president, who will then review the proposal.

Sept. 19, 2020: President Trump tells reporters he approved the deal in concept between Oracle and TikTok's parent company ByteDance, in which Oracle and Walmart would partner with the app in the U.S. The U.S. government postpones a planned ban on TikTok for one week.

Sept. 27, 2020: A federal judge in Washington temporarily blocks President Trump’s order banning TikTok, granting the social media firm a reprieve just hours before it was to be removed from mobile app stores. The judge says Trump’s order was “largely a unilateral decision with very little opportunity for plaintiffs to be heard,” according to the Washington Post.

Oct. 30, 2020: TikTok averts a U.S. ban again after a federal judge in Pennsylvania temporarily blocks restrictions set to take place on Nov. 12—the Trump administration's deadline for ByteDance to close a deal in the U.S.

Nov. 7, 2020: Democrat Joe Biden defeats President Trump in the presidential election, the Associated Press and other media outlets confirm. A few days later, an advisor to President-elect Biden says it is “too early to say” Biden’s thoughts on TikTok.

Nov. 11, 2020: TikTok asks a judge to extend the deadline for its sale by 30 days. The company says it hasn’t heard an update from the administration in weeks.

Nov. 12, 2020: The U.S. Commerce Department says it won’t enforce the sale deadline imposed by Trump’s order "pending further legal developments." The department cites the Pennsylvania ruling from October that found the TikTok crackdown exceeded the government’s power.

Nov. 13, 2020: The U.S. government extends its deadline by 15 days, giving TikTok until Nov. 27 to strike a deal that allays the government’s national security concerns.

Nov. 26, 2020: ByteDance gets another week to sell off TikTok’s U.S. business. A spokesperson for the Treasury Department tells CNBC that the government granted the extension until Dec. 4 “to allow time to review a revised submission” that it recently received.

Dec. 4, 2020: The latest deadline passes without an approved deal to sell TikTok. The Treasury Department says it won’t extend the deadline again, but there are “no plans to enforce anything,” a source tells The Washington Post.

Dec. 14, 2020: The Federal Trade Commission orders TikTok—along with Snap, YouTube, Twitter and other social media and streaming sites—to turn over information about how they collect and use information about users.

Feb. 10, 2021: Newly-inaugurated President Joe Biden slams the brakes on forcing a TikTok sale. In court papers, Biden administration lawyers file a motion to postpone the cases related to a potential ban of the popular social media app.

June 9, 2021: President Biden revokes Trump’s executive order that sought to ban TikTok and replaces it with one that calls for a broader review of foreign-controlled apps that may pose national security risks.

June 25, 2021: CNBC reports TikTok is tightly controlled by Chinese parent company ByteDance. Insiders tell the news outlet that ByteDance has access to TikTok’s American user data and is closely involved in the Culver City company’s decision-making.

July 20, 2021: Pakistan bans TikTok for the fourth time, citing “inappropriate content.” The country lifts the latest ban a few months later.

Sept 27, 2021: TikTok announces that it has surpassed 1 billion monthly active users as the app continues to rapidly rise in popularity.

Oct. 26, 2021: During a public hearing, U.S. lawmakers press Michael Beckerman, TikTok’s head of public policy for the Americas, on whether TikTok’s Chinese ownership could expose consumer data to Beijing. Beckerman says “access controls for our data is done by our U.S. teams,” adding that the data that TikTok collects is “not of a national security importance,” according to the New York Times.

Dec. 17 2021: A Wall Street Journal investigation shows that TikTok’s recommendation algorithm is flooding teens’ video feeds with eating disorder content.

December 2021: TikTok overtakes Google as the most-visited website on the internet.

Feb. 8, 2022: Facing criticism over hosting harmful content, TikTok announces new rules aimed at preventing viral hoaxes, shielding the LGBTQ community from harassment and removing videos promoting unhealthy eating.

February 2022: As Russia invades Ukraine, TikTok is awash in raw footage from the battlefield and false and misleading clips. The war raises fresh concerns about TikTok’s handling of misinformation on its platform.

March 2, 2022: A bipartisan group of state attorneys general launch an investigation into TikTok, examining whether the social media giant is harming children and young adults through the content on its platform.

March 11, 2022: Reuters reports that TikTok is close to a deal to store all of the video-sharing app’s U.S. user data with American software giant Oracle. The partnership is aimed at resolving the U.S. government’s national security concerns.

March 15, 2022: California lawmakers unveil a first-of-its-kind bill to let parents sue social media platforms like TikTok for allegedly addicting children to their apps.

March 31, 2022: Attorneys general from 44 U.S. states and territories urge TikTok and Santa Monica-based Snap to strengthen parental controls on their platforms, telling the social media giants that they must do more to protect kids online.

April 3, 2022: “The Unofficial Bridgerton Musical” wins a Grammy for Best Musical Theater Album. It’s the first Grammy-winning album to originate on TikTok, solidifying the app’s growing influence over the music industry.

April 15, 2022: The Department of Homeland Security and the Department of Justice launch probes into TikTok’s moderation of content depicting child sexual abuse, according to the Financial Times.

April 2022: TikTok is the most-downloaded app in the world during the first quarter of 2022, according to a study from digital analytics firm Sensor Tower.

May 12, 2022: The mother of a 10-year-old girl who died after allegedly trying a dangerous “Blackout Challenge” sues TikTok. The case is one of several to claim the app’s algorithm showed kids and teens videos of people choking themselves until they pass out.

June 17, 2022: BuzzFeed News publishes a bombshell report that TikTok’s data on U.S. users was repeatedly accessed in China by employees of parent company ByteDance. The report raises fresh privacy and security concerns about the Chinese-owned social media app.

The same day, TikTok announces that it migrated all of its U.S. user traffic to servers operated by American software giant Oracle, an effort to assuage concerns that American data could fall into the hands of the Chinese government.

June 28, 2022: In the wake of the BuzzFeed report, Federal Communications Commissioner Brendan Carr urges Apple and Google to remove TikTok from its app stores. Nine Republican U.S. senators send a letter to TikTok with questions about the company’s handling of American data.

June 30, 2022: TikTok responds to Republican lawmakers by detailing its plans on keeping U.S. data out of the hands of Chinese parent company ByteDance. The company’s letter confirms that ByteDance employees in China can access TikTok data, but only when “subject to a series of robust cybersecurity controls” and approvals overseen by its U.S.-based security team.

July 5, 2022: Leaders of the U.S. Senate Intelligence Committee ask the Federal Trade Commission to investigate whether TikTok deceived the public about whether people in China could access American user data.July 29, 2022: Bloomberg reports the Chinese government requested TikTok host stealth, propaganda accounts—a move that TikTok executives denied due to their growing efforts to distance the platform from its Chinese origins.

August 5, 2022: The flood of information coming from within the organization leads TikTok to hire roles meant to prevent internal leaks.

August 11, 2022: A Forbes review of TikTok and ByteDance employees’ LinkedIn profiles reveals that 300 current employees previously worked for Chinese state media publications. Fifteen employees apparently were employed by both at the same time.

August 16, 2022: Oracle begins its audit of TikTok’s algorithm and content moderation process to determine if the Chinese government has interfered with the platform.

August 18, 2022: Developer Felix Krause finds that the app monitors all keyboard inputs and tags, which could record private data like passwords and credit card information. TikTok denies these claims.

September 14, 2022: TikTok Chief Operating Officer Vanessa Pappas appears before the Senate Homeland Security Committee and says its ongoing negotiations with the U.S. government “will satisfy all national security concerns.” Notably, Pappas would not fully commit to cutting off U.S. data flow to China.

September 21, 2022: Former TikTok executives claim they were instructed to follow directions from ByteDance and had limited power to make internal decisions as people question TikTok CEO Shou Zi Chew’s influence.

September 24, 2022: British regulators from the Information Commissioner’s Office (ICO) send TikTok a warning over how the company handles children’s data—a warning that could lead to a $29 million fine.

September 26, 2022: The Justice Department reaches a “preliminary agreement” with TikTok over national security concerns, though details are still being negotiated.

October 12, 2022: A BBC report finds that TikTok profited from refugees collecting donations via the app’s live streaming feature, with some claiming the platform took up to 70% of the profits.

October 20, 2022: A Forbes report reveals that ByteDance intended to use TikTok to monitor the location of American citizens as a method of surveillance. TikTok denies these claims.

October 27, 2022: Even as the government places increasing pressure on TikTok, the Biden administration invites eight TikTok stars to the White House in an effort to reach Gen Z voters.

That same day, A Philadelphia judge rules that TikTok is immune in a lawsuit claiming the app was responsible for the death of a child participating in the “blackout challenge.”

Valar Atomics Wants to Power AI, Literally

🔦 Spotlight

Hello, Los Angeles.

This week’s spotlight belongs to a startup chasing one of the biggest and messiest questions in tech right now: where all the power for AI is actually supposed to come from. El Segundo-based Valar Atomics, founded by Isaiah Taylor, is reportedly raising $450 million at a $2 billion valuation to build clusters of small nuclear reactors aimed at powering data centers and other energy-hungry industrial sites.

That is not a subtle ambition. On its website, Valar says it wants to build “hundreds of nuclear reactors” on what it calls gigasites, focusing on grid-independent products including data center power, hydrogen, heavy industrial power, and clean hydrocarbon fuels. Its reactor approach is based on high-temperature gas reactor design principles using TRISO fuel, and the company is explicitly pitching its model as a way to meet the surge in power demand coming from AI.

Valar’s investor roster also helps explain why the company has drawn so much attention. The startup is backed by Palmer Luckey and Palantir CTO Shyam Sankar, and its earlier $130M round in November 2025 was led by Snowpoint Ventures.

What makes the story especially interesting is that this is not just another AI infrastructure company talking about faster chips or more efficient software. It is a bet that the next bottleneck is electricity itself, and that the winning response might look a lot more like hard infrastructure than cloud optimization. In a market full of startups promising to power the future metaphorically, Valar is making a much stranger and bolder claim: it wants to do it literally.

The company is also moving with unusual speed. Valar says it has been selected by the U.S. Department of Energy to achieve criticality on American soil by July 4, 2026 under the administration’s accelerated nuclear program, and related company materials tie its Project NOVA work to the Nuclear Reactor Pilot Program. Whether that timeline proves realistic or not, it tells you something important about the kind of company this wants to be: not a distant science project, but a startup trying to force nuclear power onto AI’s timetable.

And maybe that is the bigger LA angle here. For all the conversation around software, content, and consumer apps, Southern California keeps producing founders who are drawn to the hard stuff: defense, aerospace, energy, logistics, real-world systems with real-world constraints. Valar may still have plenty to prove, but it is hard to accuse this one of thinking small.

Now onto this week’s LA venture deals, fund announcements and acquisitions.

🤝 Venture Deals

                  LA Venture Funds

                  • Matter Venture Partners participated in Anvil Robotics’ $5.5M seed round, which it led and which also included Humba Ventures, DNX Ventures, Vivek Sodera, Spacecadet Ventures, and Position Ventures. Anvil said it is building a kind of “Legos for robots” platform for physical AI teams, with open-source custom robots that can ship in one to two days, and has already delivered more than 100 units globally while surpassing seven figures in revenue. - learn more
                  • WndrCo led daydream’s $15M Series A, backing the AI-native SEO agency alongside First Round Capital and Basis Set Ventures. daydream said the round brings total funding to $21M and will be used to accelerate hiring, product development, and go-to-market expansion as it combines SEO agents with human experts to help companies navigate both traditional search and AI search. - learn more
                  • Embark Ventures participated in Via Separations’ $36M funding round, which also brought in new strategic backing from Climate Investment, Aramco Ventures, and Marathon Petroleum Corporation. Via said the capital will help deploy more commercial projects and expand its membrane-based industrial filtration platform into refining and chemicals, building on commercial traction in pulp and paper and a pilot completed at a major Gulf Coast refinery. - learn more
                  • Finality Capital Partners co-led Alien’s $7.1M round alongside Initialized, backing the company’s push to build identity infrastructure for both humans and AI agents. According to the X post announcing the raise, Alien plans to use the funding to develop unique identity systems at a time when proving whether an entity online is human or agentic is becoming increasingly important. - learn more
                  • M13 participated in OpenFX’s $94M Series A, as the company builds API infrastructure for global FX liquidity. OpenFX said it now moves more than $45B a year across borders, settles 98% of transactions in under 60 minutes, and plans to use the funding to expand its institutional-grade, API-first platform for cross-border payments and treasury operations. - learn more
                  • M13 led Jimini Health’s $17M seed round, backing the company alongside Town Hall Ventures, LionBird, Zetta Venture Partners, and OneMind as it builds a clinician-supervised AI platform for behavioral health. Jimini said the funding will help scale Sage into more care settings and deepen partnerships with major behavioral health providers across the U.S., positioning it as a safer alternative to unsupervised consumer AI tools for mental health support. - learn more
                  • MANTIS Venture Capital participated in depthfirst’s $80M Series B, which was led by Meritech Capital and also included Forerunner Ventures, The House Fund, Accel, Box Group, Liquid 2 Ventures, and Alt Capital. The company said the new funding will be used to train additional security models, grow its AI research team, and scale enterprise adoption as it builds an AI-native platform for software security and launches its first in-house security model. - learn more
                  • Freeflow Ventures participated in TippingPoint Biosciences’ $4.5M seed round, joining SOSV, LKS Fund, Sazze Partners, StoryHouse Ventures, Sontag Innovation Fund, BrightEdge, XEIA Venture Partners, West Coast Angel Network, and others. The company said the financing will help de-risk its epigenetic discovery platform as it works to translate chromatin biology into new therapeutics. - learn more

                                    LA Exits

                                    • Warner Music Group agreed to acquire Revelator, a B2B music platform focused on digital distribution, rights management, royalty accounting, and real-time analytics for independent labels, artists, and distributors. WMG said the deal will strengthen its distribution and label services business, expand the tools available through its labels and ADA, and allow Revelator to keep serving its existing customers while scaling through WMG’s global infrastructure. - learn more
                                    • Omni Agent Solutions has been acquired by Fortress Investment Group, which said the deal will provide long-term capital and resources to expand Omni’s tech-forward platform for bankruptcy and restructuring case administration. Omni said the investment will support continued technology development and scale across services such as claims management, noticing, solicitation support, securities services, disbursements, and call center operations, while its executive and operational teams remain in place. - learn more
                                    • Apium Swarm Robotics is being acquired by Red Cat, adding its distributed control technology for autonomous swarming drones and uncrewed surface vessels to Red Cat’s broader defense platform. Red Cat said Apium will continue operating independently while its autonomy stack is integrated across the business to strengthen coordinated multi-agent operations in contested and communications-degraded environments. - learn more
                                    • HOPWTR is being fully acquired by Constellation Brands, which first invested in the non-alcoholic sparkling water brand through its venture arm in 2021. Constellation said the deal strengthens its no- and low-alcohol portfolio as consumer demand in the space grows, while HOPWTR is expected to keep operating as it does today in the near term with CEO Jordan Bass remaining involved. - learn more

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                                                              This LA Startup Just Raised $49M for the Chaos Behind High-Stakes Lawsuits

                                                              🔦 Spotlight

                                                              Happy Friday, Los Angeles.

                                                              In a startup market obsessed with AI copilots and productivity promises, Steno just raised $49M for something far less glamorous and probably far more durable: the machinery behind depositions, transcripts, and high-stakes litigation. It is the kind of business that sounds boring right up until you realize how much money, urgency, and operational chaos moves through it every day.

                                                              The LA legal tech company, which positions itself as both a court reporting service and a software platform, said the Series C was led by Savano Capital Partners, with continued backing from First Round Capital, The Legal Tech Fund, and other strategic investors. Steno plans to use the funding to expand geographically, deepen its reach into the AmLaw 200, and roll out the next evolution of its AI-powered Transcript Genius product.

                                                              Steno’s bet is not that lawyers want another standalone AI tool dropped into an already messy workflow. It is betting that the real opportunity is owning more of the process itself, from court reporting and remote depositions to transcript analysis and financing, then using software to make the whole machine run faster.

                                                              That is what makes this story interesting: Steno is building around legal work that is already happening, already expensive, and already painful. In a market full of companies trying to invent new behavior, there is something compelling about one focused on making an old, high-friction system work better.

                                                              Now, onto this week’s LA venture deals, fund announcements and acquisitions.

                                                              🤝 Venture Deals

                                                                  LA Companies

                                                                  • SIGMAS raised a $1M seed round co-led by Mucker Capital and HongShan Capital as the performancewear brand expands from marketplace incubation into a broader direct-to-consumer push. The company, which was incubated through SHEIN’s Supply Chain as a Service program, said it has already launched more than 600 men’s activewear SKUs and plans to use SHOPLINE to support its owned-channel and international growth. - learn more
                                                                  • Solace received an initial $50,000 investment from Audos as part of the launch of the Audos Publishing House, a new platform aimed at helping everyday entrepreneurs build AI-native businesses. The Santa Monica startup, created by founder Sarah Gwilliam after losing her father, is building an AI-powered grief coaching platform focused on active coaching, guided journaling, and memory preservation, with Audos also offering up to $100,000 in non-dilutive funding through a 15% revenue-share model. - learn more
                                                                  • Triangle Health emerged with $4M in pre-seed funding after cofounder Arun Verma turned his own brain cancer diagnosis into the inspiration for the company’s AI-powered health navigation platform. The Pasadena startup says its product helps patients gather complete medical records, surface treatment options and clinical trials, and review findings with a licensed physician, with backing from investors including Kevin Mahaffey, Hannah Grey, Antler Criticality Fund, John Hering, Marty Tenenbaum, and Kestrin Pantera. - learn more
                                                                  • Primestor secured a $10M equity investment from New Jersey Community Capital for The Walk, its mixed-use development in Norwalk, marking NJCC’s expansion into Southern California. The 8.2-acre project is planned to include 374 homes, 56 of them affordable, along with about 94,000 square feet of retail and restaurant space as Primestor advances a broader community-focused development effort in the region. - learn more
                                                                  • Sift raised a $42M Series B led by StepStone Group, with GV as its largest investor, bringing total funding to $67M as it builds what it calls an observability layer for hardware engineering. The El Segundo company said the funding will help scale its platform for turning fragmented telemetry from spacecraft, defense systems, autonomous vehicles, and factories into real-time, AI-ready data. - learn more

                                                                                  LA Venture Funds

                                                                                  • Emmeline Ventures participated in Prickly Pear Health’s follow-on pre-seed round, helping bring the company’s total funding to more than $600,000 alongside existing backers Bayless Ventures and AZ Venture Capital Inc. Prickly Pear said it will use the new capital to accelerate user growth and expand deployments of its AI-powered women’s brain health platform with mental health practices, beginning in Arizona, after surpassing 2,000 active users since launching in 2024. - learn more
                                                                                  • Riot Ventures participated in Shield AI’s new financing round, which values the defense tech company at $12.7B and accompanies its planned acquisition of software simulation company Aechelon. Shield AI said the capital will support growth across its autonomy software and broader defense platform, while the Aechelon deal is meant to strengthen its simulation and training capabilities as it scales AI-powered systems for military customers. - learn more
                                                                                  • Starshot Capital participated in Rumin8’s latest funding round, which added a new $3M commitment from AgriZeroNZ as the company pushes toward commercializing its methane-reducing livestock feed additives in New Zealand. Rumin8 said the new backing will help support pivotal trials and move it toward final registration, with first commercial sales in New Zealand targeted for 2027. - learn more
                                                                                  • Compa Capital participated in Kairos Labs’ $2.4M seed round, which was led by 6th Man Ventures and also included Lattice and Advancit Capital. The company said the funding follows a beta that generated more than $300M in notional swap volume and will help support the launch of its permissionless, non-custodial interest rate swap protocol on Ethereum mainnet and Base in the coming weeks. - learn more
                                                                                  • Morpheus Ventures co-led Applied Atomics’ oversubscribed $8.3M seed round, backing the company alongside Transition as it works to deploy full-stack nuclear power plants for industrial infrastructure customers. Applied Atomics said the funding will help bring test and integration stands online, strengthen its supply chain, and move toward deployment, with plans over the next 12 months to secure first host sites and customer agreements, advance NRC Part 50 licensing engagement, and push toward first commercial construction. - learn more
                                                                                  • Upfront Ventures participated in Neon’s financing round, which brought in more than $25M in combined equity and credit from Lightspeed Venture Partners, Upper90, and other investors. The company said the new capital brings total funding to nearly $27M following a $1.5M pre-seed led by Upfront, as Neon scales its platform for paying users for anonymized conversation data and supplying that audio and video data to AI labs. - learn more
                                                                                  • Helios&Partners participated in WhatIsMyAEO.com’s strategic investment round, backing the platform as it builds free AI-driven brand visibility diagnostics for answer engines like ChatGPT, Gemini, and Perplexity. The company said the funding will help scale its open-source efforts and expand access to tools that measure brand citations, sentiment, trust signals, and technical AI-readiness as zero-click search becomes more common. - learn more
                                                                                  • WndrCo participated in Moda’s $7.5M seed round, which was led by General Catalyst and also included Pear VC, as the company publicly launched its AI design platform. Moda said its product gives professionals a brand-aware design agent that can generate fully editable presentations, social posts, and other visual assets, and that thousands of beta users are already using it for materials like investor decks and marketing collateral. - learn more
                                                                                  • Clocktower Technology Ventures participated in Bliss’s R$ 57 million, or about $11M USD, Series A round, which was co-led by Kfund and Grupo Bradesco and also included Actyus. Bliss said the funding will help expand its AI-powered platform for health insurance brokers beyond São Paulo into cities including Rio de Janeiro and Brasília, while adding to its product and technology teams as it works to modernize health-plan sales for SMEs in Brazil. - learn more
                                                                                  • MAGIC Fund participated in Guangzhou Weixiao Technology’s new strategic financing round, joining IDG Capital, 37 Interactive Entertainment, and miHoYo in the investment. The company said the new capital will be used to accelerate product development and market expansion, though it did not disclose the size of the round. - learn more
                                                                                  • Mantis Venture Capital participated in Doctronic’s $40M Series B, which was co-led by Abstract and Lightspeed Venture Partners and also included Union Square Ventures, Seven Stars, and Tusk Ventures. The company said the new funding follows rapid growth to more than 300,000 weekly users and eight-figure annualized revenue, and will help it expand its AI-powered care platform after becoming the first AI-native system authorized to autonomously renew prescriptions under Utah’s AI Learning Lab. - learn more

                                                                                                    LA Exits

                                                                                                    • RezyFi is being acquired by ECGI Holdings in a $25M transaction that would bring a 29-state licensed mortgage origination platform and about $140M in annual mortgage funding onto ECGI’s platform. ECGI said the deal is meant to pair RezyFi’s lending infrastructure with its mortgage tokenization strategy, following a pilot program to tokenize up to $10M of residential mortgage loans and as it prepares to launch an investor portal. - learn more
                                                                                                    • Salt & Stone is being acquired by Advent, which signed a deal to buy a majority stake in the Los Angeles premium body care brand. The company said the partnership will help fuel its next phase of global growth after surpassing $165M in revenue in 2025, with founder and CEO Nima Jalali staying on as an equity holder and remaining in leadership alongside President Meagan Rosson and CMO Abby Tellam. - learn more
                                                                                                    • Victory Holdings signed a definitive agreement to acquire Dunn & Groux Beverage Holdings, marking its move into the functional beverage market. The company said the deal will make DGBH a wholly owned subsidiary and give it a platform to build and scale multiple beverage products around patented fulvic acid formulations and a distribution-first model, with initial expansion focused on California, Arizona, and Texas. - learn more

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                                                                                                                              Arc’s $50M Push Into Commercial Maritime

                                                                                                                              🔦 Spotlight

                                                                                                                              Hey LA,

                                                                                                                              As the city pushes through a record-breaking March heat wave, one of the week’s most interesting LA startup stories came with a reminder that climate tech gets a lot more real when it leaves the pitch deck and hits the water. In Arc’s case, that means tugboats.

                                                                                                                              LA based Arc, founded in 2021 by a team of SpaceX alumni, announced a $50M Series C this week, led by Eclipse, a16z, Menlo Ventures, Lowercarbon, Necessary Ventures, and Offline Ventures, as it pushes deeper into commercial maritime. The raise follows Arc’s $160M contract with Curtin Maritime to deliver eight hybrid-electric tugboats beginning at the Port of Los Angeles, with the first expected to hit the water this year.

                                                                                                                              Imsage Source: Arc

                                                                                                                              That feels notable not just because of the funding, but because it marks a clear evolution in Arc’s business. What started as a premium electric boat company is now making a serious push into the industrial side of maritime transportation, with ambitions spanning tugboats, ferries, and defense vessels.

                                                                                                                              There is also something fitting about this story happening in Los Angeles. This is a city known for spectacle, but Arc is building in a category where performance actually has to perform. No amount of branding can fake a working tugboat, and that is exactly why this moment feels worth paying attention to.

                                                                                                                              Now, onto this week’s LA venture deals, fund announcements and acquisitions.

                                                                                                                              🤝 Venture Deals

                                                                                                                                  LA Companies

                                                                                                                                  • Talino closed a $7.5M Series A led by Chemonics International, with participation from Mt Sinai Capital and Gulf Blvd, as it shifts from a venture studio into what it calls a global fintech foundry. The company said the new funding will help build an API-first cross-border payments infrastructure layer connecting the U.S. with emerging markets, starting with the Philippines, where it is targeting faster, more compliant financial product launches and modernizing legacy rails with stablecoin and real-time payment capabilities. - learn more
                                                                                                                                  • PADO AI raised a $6M seed round led by NovaWave Capital to expand its AI-powered orchestration software for mid-market colocation data centers. The company said the funding will support product delivery and global growth as it helps operators better manage power, compute, cooling, and distributed energy resources to increase GPU utilization and maximize “compute per megawatt” without requiring major new infrastructure buildouts. - learn more
                                                                                                                                  • Meadow Memorials raised a $9M Series A led by Lachy Groom and Haystack to expand its software-enabled funeral planning platform, which lets families arrange services online or by phone. Founded in 2024 by former Stripe executive Sam Gerstenzang and Emma Gilsanz, the company says it is using a real-estate-light model to offer lower-cost funerals as it expands beyond California into states including Texas, Washington, and Arizona. - learn more

                                                                                                                                                  LA Venture Funds

                                                                                                                                                  • Anthos Capital participated in Bluesky’s $100M Series B, which was led by Bain Capital Crypto and also included Alumni Ventures, Bloomberg Beta, Knight Foundation, and True Ventures. The company said the round gave it the resources to scale both the Bluesky app and the broader AT Protocol ecosystem, which it says has grown to more than 43 million users and now supports a fast-expanding network of third-party apps and developers. - learn more
                                                                                                                                                  • Navigate Ventures participated in VerbaFlo’s oversubscribed $7M seed round, which was led by Pi Labs and also included Haatch and Old College Capital. VerbaFlo said it plans to use the funding to scale its conversational AI platform for real estate operators, building on traction across more than 200,000 units and expanding further into markets including the U.S., Middle East, and Australia. - learn more
                                                                                                                                                  • March Capital participated in Xage Security’s $15M equity financing round, which was led by Piva Capital as the company posted 81% year-over-year revenue growth and expanded its Zero Trust platform for AI and critical infrastructure. Xage said the funding, which closed in December 2025, will support go-to-market expansion and continued product innovation, including new AI security capabilities, as demand grows across sectors such as energy, manufacturing, utilities, transportation, and defense. - learn more
                                                                                                                                                  • B Capital led Knox Systems’ $25M Series A, backing the company’s push to scale what it says is the largest AI-managed federal cloud and dramatically shorten the FedRAMP authorization process for software vendors. Knox said the new funding will help accelerate growth after its June 2025 seed round, with the goal of helping customers achieve FedRAMP authorization in as little as 90 days at roughly 90% lower first-year cost, while expanding adoption across both government and commercial environments. - learn more
                                                                                                                                                  • WndrCo participated in Tenkara’s $7M round, which was led by True Ventures as the company builds AI-powered operations agents for American manufacturers. Tenkara said it is creating tooling to help factories handle sourcing and operational work more efficiently at a time of rising supply-chain pressure, with backing from a broader investor group that also included Articulate Capital, Night Capital, HF0, SF1, and Transpose Platform. - learn more
                                                                                                                                                  • Aurora Capital participated in Niv-AI’s $12M seed round, backing the startup alongside Glilot Capital, Grove Ventures, Arc VC, Encoded VC, and Leap Forward as it emerged from stealth. Niv-AI is building sensors and software to measure millisecond-scale GPU power surges and help data centers use electricity more efficiently, with plans to deploy its system in a handful of U.S. facilities within the next six to eight months. - learn more
                                                                                                                                                  • Clocktower Technology Ventures participated in Fuse’s $25M Series A, which TechCrunch reported was led by Footwork, Primary Venture Partners, NextView Ventures, and Commerce Ventures, with Fuse also naming Clocktower Ventures among its backers. The company said it plans to use the funding to expand its AI-native loan origination and account opening platform for credit unions, building on traction with more than 100 customers and a $5M “rescue fund” aimed at helping institutions switch off legacy systems. - learn more
                                                                                                                                                  • Kairos Ventures participated in Alomana’s €4M seed round, which was led by CDP Venture Capital and also included Founders Factory, Italian Angels for Growth, Club degli Investitori, and others. Alomana said it will use the funding to strengthen its enterprise AI platform, add more capabilities for autonomous workflow automation, and support larger deployments across Europe as demand grows in sectors like finance, manufacturing, and pharma. - learn more

                                                                                                                                                                    LA Exits

                                                                                                                                                                    • Optimal’s Entertainment Media division is being acquired by Capstone Point Holdings, with the business set to operate under its legacy name, Optimad Media, following the deal. The transaction keeps founder Kevin Weisberg in place to lead the company from Los Angeles, while giving Optimad more backing to expand its entertainment media planning, buying, and prints-and-advertising investment capabilities across theatrical, streaming, and broadcast campaigns. - learn more

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