Meet the Bird ‘Fleet Managers’ Who Hunt and Release E-Scooters in Downtown Los Angeles

Maylin Tu
Maylin Tu is a freelance writer who lives in L.A. She writes about scooters, bikes and micro-mobility. Find her hovering by the cheese at your next local tech mixer.
Meet the Bird ‘Fleet Managers’ Who Hunt and Release E-Scooters in Downtown Los Angeles
Photo by Maylin Tu

It’s Friday night in Downtown Los Angeles and fleet manager Adan Aceves is cruising the streets in his Ford Ranger pickup truck looking for a bird — not an e-scooter, but an actual bird.

“First time I saw the bird I was wondering what the hell is it doing in Downtown?,” said Aceves. “It doesn't seem like a city bird, like a pigeon or a seagull…The second time I realized, ‘Damn, I only find this fool in Skid Row.’”

We never come across the mysterious bird who acts like a human. Instead, we drive the streets of Downtown, dropping off and picking up scooters — a different type of Bird — under the bright lights and amid throngs of people, many of them dressed to the nines and out on the town, looking for a good time.

By day, Aceves, 41, works in his family’s business repairing power tools in South Central. By night, he deploys, charges and rebalances e-scooters for Bird, one of eleven fleet managers located Downtown. The zone that he covers includes Dignity Health on Grand Avenue (once called California Hospital) where he was born.


He wears a security vest that reads “Bird Ambassador” and it’s a fairly accurate description of his role in the hustle and flow of the city at night. In all the chaos, he’s a steady presence.

When the COVID-19 pandemic hit in March 2020, Aceves was already charging scooters for Bird, Lime and Wheels, making pretty good money, about $100 for three hours of work a night. But when the virus shut down his family business and prompted companies to pull their scooters from the streets, he suddenly had no work and no income. Then, he got a call from Bird.

Photo from inside Adan Aceves's car. His responsibilities at night range from deploying e-scooters, charging and re-balancing the e-scooters. Photo by Maylin Tu

From Flyer to Fleet Manager

For deploying, charging and fixing a fleet of about 150 scooters, 100 of which are on the street at any given time, Aceves takes home on average $4,500 per month after expenses. Bird deducts a city fee, an insurance and hardware services fee and something called “contra.”

“If someone claims, ‘Hey, the scooter doesn't work,’ they get a discount. So that goes against me,” Aceves explained. His contra normally comes out to about 1% to 2%, while for other fleet managers it can run as high as 7% or 8%. After everything is deducted, Bird and Aceves split the remaining profit 50-50.

As for expenses, he spends $1,200 a month renting a charging container from portable charging infrastructure Perch — an investment he says has reduced the amount he spends on gas by 50%. If he only needs to cover a short distance, he’ll sometimes use a scooter to pick up other scooters, saving himself even more money on gas, an expense that currently comes out to about $100 per week. He also purchases parts directly from Bird to make repairs, another expense.

Aceves starts every night at 10 p.m. and works for four to five hours. Between repairing power tools and managing a fleet of scooters, he works 11 to 12 hour days to put his two daughters, 15 and 19, through college.

It’s physically taxing work — a Bird Two, the model in Aceves’ fleet, weighs 46 to 47 pounds. “After you pick up 40, 50 scooters, then you start to feel it,” he said.

As one of the top flyers, Aceves is a perfect fit for the role.

Born in and raised in South Central and Downtown L.A., Aceves said both sides of his family were from Guadalajara. His grandfather on his father’s side helped build the railroads in California. His father died when he was 11 and he mostly lost touch with that side of his family.

He went to Cathedral High School in Chinatown, an all-boys Catholic school, before attending Los Angeles Trade Technical College for industrial technology and machining, skills that have come in handy in his work repairing power tools — which he’s been doing for the past 30 years.

“So I would go from South Central to Chinatown and I was always in Downtown. Though I gotta tell you, when I was in high school in the 90s — Downtown was not the place to be.”

When he turned 18, his mom told him, “You're out of high school, figure it out.” Now, he’s working to get his daughters through college without taking on student debt.

He knows Downtown’s streets inside and out. This gives him an advantage when scooters go missing, trapped in parking garages or parked under bridges where the GPS is spotty. He uses the Bird fleet manager app to track, fix and release scooters. In a sense, Bird also uses the app to track fleet managers.

“Bird sees everything. I wouldn't be surprised if they're listening to us right now.”

When Bird launched the fleet manager program, he was excited to start repairing scooters.

“As a mechanic, I take a lot of pride in my work. So I'll keep mine to where they're working 100%, if not better.”

Photo of Adan Aceves, working on this fleet of Bird e-scooter. Photo by Maylin Tu

The Pokémon GO Era of E-Scooter Charging

Back in the early days of the e-scooter boom, companies offered a “bounty” for retrieving, charging and redeploying scooters. You could make up to $20 per device — companies paid a premium for devices that were harder to find. According to multiple sources, it was like a grown-up version of Pokémon GO. People would hunt scooters with their partners, friends or kids.

This cadre of independent scooter wranglers and chargers — Bird called them “flyers” and Lime called them “juicers” — made good money and had fun doing it. But it wasn’t a sustainable solution for Bird, Lime and their successors — or the environment.

“The thing about the independent contractor model is that it's great for high growth,” said Harry Campbell, founder of The Rideshare Guy. Companies could launch rapidly in cities without going through the trouble and expense of hiring local employees — showing up with a truck full of scooters and using gig-workers hired through Craigslist to charge and deploy them. Bird, flush with investor cash, was willing to shell out a premium for this new job.

But that model was short-lived, partly because the micromobility startups realized that while using independent contractors was great to help them rapidly scale in unfamiliar cities, it also left them with little control over workers. Some flyers also started to cheat the system by hoarding scooters until the bounty on them went up, Campbell said.

When he started as a flyer, Campbell was making between $40 to $50 an hour. “I was like…I know that this isn't sustainable,” he said, “because this has happened over and over in the gig economy.”

Bird's independent scooter wranglers and chargers are called “flyers” and used to be able to make $20 per device wrangled. Photo by Maylin Tu

How AB5 Impacted E-Scooter ‘Flyers’

In 2019, California passed AB5, a bill targeting companies who misclassify employees as independent contractors.

In response, Uber and Lyft and other companies that rely on gig-workers spent $200 million to pass Prop 22 in California, exempting themselves from the law’s requirements.

E-scooter companies were forced to take a different route. Bird launched its fleet manager program in early 2020. The program employs small businesses like Aceves’s to manage e-scooters while giving them a cut of the profits. To become a fleet manager, individuals must register their businesses as an LLC. Lime uses logistics partners, while competitors like Superpedestrian and Veo make a point of hiring W-2 workers from the local community.

As municipalities ratchet up their regulations around micromobility services, they tend to look favorably on companies that employ W-2 workers. Los Angeles, for instance, is an “open permit” city, which means there is no competitive request for proposal (RFP) process, but companies must submit an annual permit application and a $20,000 fee. Campbell points out that for many cities, including Santa Monica and Long Beach, operators are required to submit detailed applications that are scored on multiple metrics, including community investment.

“It also makes them stand out relative to Bird or Lime that [aren’t] using that type of employment setup,” said Campbell.

Critics of AB5 say that gig-work is actually ideal for parents, caregivers or anyone looking for flexible work with a low-cost of entry.

“It'd be great to have these easy entry, easy exit jobs, where you can hustle when you want and put them down when you don't,” said Erin Hatton, professor of sociology at the University of Buffalo. But some employers take advantage of workers by offering flexible work without employee rights and benefits, which Hatton calls a “false construct.”

The “hybrid” fleet manager model was a logical next step for e-scooter companies, according to Campbell. As the rapid growth in the shared micromobility market started to slow, there was also regulatory uncertainty with AB5.

“Bird probably had hundreds of thousands of chargers at a certain point, so it would have been really hard for them to do a 180 and pivot to an employee model,” said Campbell.

The new fleet manager program seemed like a win-win for both Bird and the independent contractors it hired. No longer were contractors hunting down devices for a bounty. Instead, they would become responsible for the care, charging and placement of individual scooters. The better a fleet manager’s e-scooters perform, the more money they can make. On its recruitment page, Bird advertises that fleet managers can make up to $1,500 per week (with fine print caveats).

At the same time as it offloaded risk and gained more control, Bird didn’t have to invest in hiring W-2 employees.

Bird did not respond to a detailed list of questions about its fleet manager program, but confirmed to dot.LA that it employs 40 “independently owned businesses” in the city of L.A. who are “deeply invested in the communities they serve” and offer “bespoke block-by-block operational expertise.”

“I do not represent or speak for Bird or on their behalf,” Aceves read from his phone while sitting in the driver’s seat of his pickup truck in the parking lot outside of the Perch container. “So, I'm only speaking for my LLC, which is called Up Now.” He added that, per this message received from his engagement manager at Bird, “My relationship with Bird is as a logistics service provider.”

It’s not just about money. Going from “flyer” or “juicer” to “fleet manager” can be a source of pride. Aceves said that some flyers were ashamed to be charging scooters and that it was stigmatized as the “Millennial’s way of collecting cans.” But after they became fleet managers, those same people started bragging about how much money they were making.

“They have hustle,” said Perch Mobility co-founder and CEO Tom Schreiber. “They want to build a better life and have all the dreams everyone else does.”

In 2020, Medium’s tech-focused OneZero publication released an investigation into the program, claiming that Bird was “luring” fleet managers into thousands of dollars of e-scooter debt. However, a follow-up by Smart Cities Dive offered a different picture, focusing on some fleet managers who said they were happy with the program and making good money.

Bird is careful to refer to fleet managers as independent small businesses (not employees) and to emphasize the autonomy that fleet managers have to manage their own fleet. While fleet managers are responsible for repairing damaged scooters, Bird owns the scooters and fleet managers are not financially liable for lost or stolen scooters. But if owning your own business is part of the American dream, that dream can also be exploited by companies who promise one thing and deliver another, according to Hatton.

“Being able to realize a dream of being an entrepreneur — especially when you're coming from such a background — is really powerful,” she said. “And if it pays off for them, I'm all for it. But if they're being taken advantage of under the guise of a dream, then that's deeply problematic.”

From Bounty Hunter to Fleet Shepherd

Adan Aceves has seen things as a Bird fleet manager working nights in Downtown L.A. He jokes that he should start wearing a body cam to capture it all. At 2 a.m. when the bars and clubs get out, things start to get interesting.

Last week, he broke up a fight between two men in front of Union Station. One man was accusing the other of raping his niece.

“And I said, ‘If this dude's a rapist. I'm gonna help you beat him up. When and where?’ And he said it happened 20 years ago in Compton.”

The man being accused said he didn’t know the other man and that he was sleeping when he was attacked.

He’s been in some tense situations while trying to retrieve scooters, including being threatened by a guy with a stick and pulling out his knife in self-defense.

At night, Aceves functions as “eyes on the street” In Downtown L.A., providing a kind of crucial, if unrecognized, public service, in keeping the city safe and vibrant (as urbanist Jane Jacobs outlined in her book “The Death and Life of Great American Cities”).

There are the drunk people who think it’s funny to knock over a row of scooters like so many dominoes or tangle them up in a torturous triangle for fun. He only lines up three to four scooters at a time because he’s found that people are less likely to mess with them.

People have left scooters on the freeway or under bypasses, and once, someone threw a Bird onto a street sign, where it hung suspended like an upside down “L.”

“They’ll leave them in places where it's like, ‘Why? Why would you put it here?’ Not only is it time-consuming but sometimes it can be dangerous,” he said.

Sometimes an enterprising user will ride a Bird scooter all the way to Venice or Marina del Rey, where he has to go to retrieve it, cutting into his profit margin.

One Bird recently made its way all the way to Mexico. “I told Bird, “Hey — this bird decided to migrate.”

All told, he’s lost about 130 scooters since he started. And while e-scooters are extremely visible on the streets of L.A. — much to the chagrin of some Angelenos — Aceves works mostly behind the scenes, not only recharging and rebalancing scooters, but also making sure that they are legally parked and not blocking the public right of way.

“That is one thing I would like people to know — that there [are] actual humans behind each scooter,” Aceves said.

For Lack of a Safety Net

Photo by Maylin Tu

Aceves works with two other fleet managers (one is his brother). He said they help each other out. Otherwise, it can be hard to maintain a grueling, seven-nights-a-week schedule, with no vacation pay or sick days.

He makes more money than he would as a so-called gig-worker, but he doesn’t receive either the legal protections afforded employees under federal and state law, nor the types of perks tech companies often offer.

“One of the things that is quite tricky about the independent contractor model is that the costs of that model are not readily apparent,” said Hatton.

Nonetheless, for many workers, the trade-off is worth it and Aceves says he enjoys the flexibility.

“I enjoy the freedom. I enjoy driving Downtown. I like the fact that the scooters are providing a service to a city without majorly giving us pollution and decreasing traffic,” he said. “I always think to myself, ‘I gotta leave this planet better than when I came in. Because my kids are here and possibly their kids’.”

Aceves grew up during “some of the worst years in South Central'' and wants to write a book about the experience. He thinks he has enough material — the kind of stories you wouldn't believe if he told them to you — for two or three seasons of a TV show.

He was 11 during the 1992 Los Angeles Riots, when the streets were on fire.

“I was like, ‘What the hell's going on? Is it the end of the world?’.”

As a teenager, he said he had a few run-ins with the LAPD’s infamous Rampart Division . Aceves said corrupt cops would try to shake down gang leaders for money and retaliate against people in the neighborhood when they refused — doing everything from beating them up, to trying to plant drugs or guns on them, to picking them up and leaving them in a rival gang’s neighborhood.

“So basically expecting you to get killed ‘cause it wasn't like they were going to greet you — or offer you a ride back. So I would be running home at 2 a.m. down Central Avenue, as fast as I could. People would think I was on drugs and I was just running home for my life.”

Today, Aceves cruises through the streets of Downtown L.A. every night, to put his daughters through college and to make the world a better place.

In working with cities, companies like Bird straddle the line between private enterprise and public service — claiming to make cities greener, safer and more equitable. And shared micromobility has changed the landscape of Downtown L.A., arguably for the better. But it’s people like Aceves who deal with the best and the worst the city has to offer.

At one point, Aceves leans down to pick up a LINK scooter that’s lying with its handlebars in the street. “We’re not supposed to touch competitors’ scooters,” he explains. “But normally, if they're in a situation like this, I pick it up…I feel like it's my community.”

This Torrance Startup Just Raised $1B to Mass-Produce Hypersonic Missiles

🔦 Spotlight

Happy Friday, Los Angeles.

Castelion has spent the past four years trying to prove that hypersonic missiles do not need to take decades to develop or cost so much that the military can only afford a limited supply.

Now comes the harder part: producing them at scale.

The Torrance-based defense startup raised a $1B Series C at a $13B valuation. The financing includes $800M in equity and a $250M revolving credit facility, making it one of the largest recent raises for an LA defense technology company.

JPMorganChase’s Strategic Investment Group, Andreessen Horowitz and Carlyle co-led the round. Lightspeed Venture Partners, Lavrock Ventures, Altimeter, General Catalyst, T. Rowe Price and LA-based Interlagos Capital also participated.

Castelion will use the capital to ramp production of Blackbeard, its low-cost hypersonic strike missile, while developing a longer-range precision weapon and new defensive systems. Hundreds of millions of dollars will go toward expanding manufacturing at Project Ranger, the company’s 1,000-acre production campus in New Mexico.

Image Source: Castelion

Blackbeard was designed in California, will be built in New Mexico and is expected to enter service in 2027. Castelion says it has already secured more than $500M in U.S. military contracts over the past 18 months and moved the missile from a clean-sheet concept to an official program in fewer than four years.

That timeline is central to Castelion’s pitch. Traditional defense programs are often associated with long development cycles, limited production runs and eye-watering costs. Castelion is applying the rapid testing and vertically integrated manufacturing approach popularized by commercial space companies to weapons production.

But a $13B valuation changes the standard. Castelion is no longer being judged as a promising startup with an impressive prototype. It is being funded like a company expected to become a major part of the American defense industrial base.

The question is no longer whether a startup can build a hypersonic missile. It is whether one can manufacture thousands of them without losing the speed, discipline and cost advantages that made it disruptive in the first place.

For LA’s defense ecosystem, that shift matters. The region has become home to a growing number of companies promising to modernize how America builds critical hardware. Castelion now has the capital, contracts and facilities to show what happens when that promise reaches the factory floor.

The next test will not be in a pitch deck. It will be in production.

More from this week’s LA startup and venture scene below.

🤝 Venture Deals

    LA Companies

    • Long Beach based Ampaire raised a $19M Series B led by DiamondStream Partners, with strategic participation from Alaska Star Ventures and IAGi Ventures, bringing its total funding to $68M. The hybrid-electric aviation company will use the capital to expand flight operations, produce additional Eco Caravan aircraft, advance regulatory certification and scale its manufacturing capabilities. - learn more

    LA Venture Funds
    • SUM Ventures participated in AssistMe’s €6.5M funding round, which was led by CRB Health Tech and Vorwerk Ventures and included several returning investors. The German care technology company will use the capital to expand across Europe, prepare for a U.S. launch and further develop alea, its digital platform for supporting caregivers and improving nursing-home operations. - learn more
    • CIV led Hypercubic’s $5.3M seed round, with participation from Y Combinator, Afore Capital, Pioneer Fund, Multimodal Ventures and several angel investors. The San Francisco startup will use the capital to develop AI agents that can analyze, document and rewrite decades-old COBOL systems, helping enterprises modernize critical mainframe software faster and with less risk. - learn more
    • Plus Capital participated in Wispr Flow’s $280M Series B, led by Menlo Ventures and joined by existing and new investors, valuing the AI voice company at $2B. The funding brings Wispr’s total capital raised to $361M and will support its expansion beyond dictation into meeting tools and proprietary speech technology, including its new Canto model. - learn more
    • Alexandria Venture Investments participated in Leal Therapeutics’ $30M Series A extension alongside new investor Eli Lilly and returning backers including OrbiMed, Newpath Partners and SV Health Investors’ Dementia Discovery Fund. The biotech company will use the funding to advance clinical trials of LTX-001 for schizophrenia and LTX-002 for ALS, with initial schizophrenia trial data expected by year-end. - learn more
    • BroadLight Capital participated in Higgsfield’s $400M Series B, led by DST Global and joined by investors including Goldman Sachs Alternatives, Smash Capital, Fifth Wall and Intel Capital. The AI video and image platform, now valued at $5.4B with $700M in annualized revenue, will use the funding for R&D, global infrastructure, AI hiring and international expansion. - learn more

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      Why Samsonite Just Paid $178.5M for BÉIS

      🔦 Spotlight

      Hello, Hello.

      This week, one of LA’s most recognizable consumer brands packed its biggest bag yet.

      Samsonite Group has agreed to acquire an 85% stake in BÉIS for $178.5M, valuing the Los Angeles-based travel and lifestyle brand at approximately $210M. The deal is expected to close in Q4, pending regulatory approval.

      Founded by actress and entrepreneur Shay Mitchell and incubated by LA-based Beach House Group in 2018, BÉIS has grown from a digitally native luggage startup into a profitable business that generated approximately $210M in sales last year. Along the way, it built the kind of fiercely loyal online following that legacy brands spend years and considerable marketing budgets trying to manufacture.

      Image Source: BÉIS

      That may be the most interesting part of this deal. Samsonite is not simply acquiring another luggage line. It is buying access to a younger, predominantly female customer base, a sophisticated direct-to-consumer operation and a brand that knows how to turn social media attention into actual sales. The suitcases are useful; the cultural relevance is the real carry-on.

      BÉIS will continue operating as a standalone brand under CEO Adeela Hussain Johnson and its existing management team. Mitchell will retain a 15% ownership stake and continue guiding the company’s creative and product vision, while Samsonite brings the global distribution, sourcing and logistics infrastructure needed to take the brand further.

      For LA’s startup community, the acquisition is another reminder that valuable technology companies do not always look like software companies. BÉIS built its advantage through digital distribution, community and an unusually sharp understanding of its customer. Now, one of the world’s largest luggage companies wants what it created.

      Sometimes the strongest exit starts with knowing exactly what people want to pack.

      More from this week’s LA startup and venture scene below.

      🤝 Venture Deals

        LA Companies

        • Heaviside Industries raised a $60M Series B to accelerate the development and production of its autonomous precision munitions for U.S. and allied forces. The company also announced a strategic partnership with defense manufacturer Nammo, combining Heaviside’s autonomous weapons technology with Nammo’s expertise in propulsion, warheads and large-scale munitions production. - learn more
        • Alex Cooper and Matt Kaplan’s media company Unwell received its first outside investment from WTSL, giving the profitable business a $500M pre-money valuation. Unwell, which reaches a reported 70M women each month through podcasts, film and television, live events, consumer products and a creative agency, will use the capital to pursue acquisitions, make investments and expand into new business lines. - learn more
        • Neros raised a $250M Series C at a $2.5B valuation, with participation from LA-based Interlagos, MANTIS Venture Capital and Thiel Capital. The El Segundo defense startup will use the funding to scale its autonomous strike and interceptor drone programs, expand production and strengthen its domestic supply chain as demand grows from the U.S. military and allied forces. - learn more
        • FriskAI raised $3.6M from MaC Venture Capital to expand its observability and security platform for AI agents. The startup helps companies monitor what autonomous agents do in real time, giving teams greater visibility into agent behavior and helping them identify errors, risks and unexpected actions. - learn more
        • Diald raised $1M in follow-on funding led by Feedback Ventures, bringing its total funding to $4.75M. The company also launched a rebuilt conversational AI platform that lets commercial real estate investors create pro formas and evaluate zoning, permits, neighborhood sentiment and other property risks through plain-language prompts. - learn more

        LA Venture Funds
        • Alexandria Venture Investments participated in Khartis Therapeutics’ $50M Series B, led by Forge Life Science Partners, bringing the San Diego biotech’s total funding to $95M. Khartis will use the capital to advance its lead oral treatment for thyroid eye disease and expand its pipeline of small-molecule immunology drugs. - learn more
        • Finality Capital Partners co-led Entravel Group’s $7.5M funding round alongside Ethereal Ventures, with participation from GSR, Varrock, G1 Ventures, Seier Capital, Veris Ventures, Funfair Ventures and WTG Ventures. The traveltech company will use the capital to expand its white-label hotel-booking infrastructure beyond crypto platforms and develop a stablecoin-powered system for settlement, treasury and working-capital financing. - learn more
        • Regeneration.VC participated in Clarity Systems’ $4.4M seed round, led by LMnT Ventures and joined by Humba Ventures and Massive Technology Ventures. Clarity uses X-ray imaging, computer vision and AI to detect counterfeits, product swaps and other forms of returns fraud in seconds without opening the package. - learn more
        • CIV participated in AGent Energy’s $11M Series Seed round alongside existing investor Zero Infinity Partners, with Spero Ventures and MassMutual Ventures co-leading and Intrepid Investment Management also joining. The Houston startup uses AI-powered hardware and software to turn largely idle backup generators into on-demand grid capacity during emergencies, and the new funding brings its total raised to $17M. - learn more
        • Smash Capital co-led CodeRabbit’s $143M Series C alongside Atomico, valuing the AI code-review company at $1.5B. CodeRabbit will use the funding to expand internationally and develop its new Agentic Change Management platform, which helps companies review, govern and monitor software created by both humans and AI agents. - learn more
        • Multiball Capital backed Soctera’s $4M seed round alongside Anorak Ventures, with additional participation from 9Yards Capital, Mana Ventures and Red Bear Ventures. The Cornell spinout will use the funding to develop heat-efficient power amplifiers designed to improve the range, signal quality and reliability of radar, electronic warfare, satellite and telecommunications systems. - learn more
        • WndrCo participated in Genera’s $10M seed round, which was led by First Round Capital and also included BoxGroup, Carpenter Capital and Success Venture Partners. Genera will use the funding to scale its AI platform, which automates the often labor-intensive process of deploying enterprise software, including customer discovery, data migration and system configuration. - learn more
        • M13 co-led Baselayer’s $20M Series A alongside Koro Capital, bringing the fintech startup’s total funding to approximately $47M. Baselayer will use the capital to enhance its AI-powered platform, which helps banks, fintech companies and government agencies automate business verification, risk assessment and fraud monitoring. - learn more

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          Two LA Startups Raised $2.37B to Build What AI Needs

          🔦 Spotlight

          Happy Friday, LA.

          The largest checks in tech are increasingly going toward companies trying to build their way out of America’s biggest physical constraints.

          This week, two Los Angeles startups raised a combined $2.37 billion in equity to tackle two particularly urgent ones: how the country manufactures critical hardware and where it will find enough electricity to power the AI era.

          Torrance-based Hadrian is building highly automated factories for defense and aerospace. El Segundo’s Valar Atomics wants to manufacture nuclear reactors at scale. Different industries, same underlying bet: the next generation of technology will depend on our ability to produce physical infrastructure much faster than we do today.

          Hadrian raised $1.37 billion in Series D funding, bringing its valuation to $7.87 billion. The company plans to use the capital to open new factories, expand research and development, and increase its capacity to produce critical defense, aerospace and industrial systems.

          Hadrian’s pitch is straightforward, if wildly ambitious: America needs to relearn how to build things and build them quickly.

          Its factories combine skilled workers with AI, robotics and proprietary software to manufacture precision components and, increasingly, complete mission-critical systems. Its customers include defense giants such as Lockheed Martin and RTX, along with newer players like Anduril.

          The company has come a long way from simply making aerospace parts. Hadrian is positioning itself as a piece of America’s industrial infrastructure, offering manufacturers a way to rapidly scale domestic production at a time when wars abroad, strained supply chains and growing defense demands have made the country’s manufacturing gaps increasingly difficult to ignore.

          Investors are clearly buying the argument. The new round comes just over a year after Hadrian raised $260 million, suggesting that “reindustrialization” has officially graduated from venture capital buzzword to billion-dollar investment thesis.

          Meanwhile, roughly 15 miles away in El Segundo, Valar Atomics is moving even faster than its enormous ambitions suggested.

          When we last wrote about Valar, the company was reportedly raising $450 million at a $2 billion valuation and racing to prove that nuclear energy could move on AI’s timetable. Now, it has closed a $1 billion Series B led by Sequoia Capital, secured an additional $200 million credit facility and reportedly reached a $6 billion valuation.

          Valar is developing standardized, factory-built nuclear power plants designed to avoid the enormous costs and decades-long construction timelines associated with traditional nuclear projects. Its goal is not merely to build a working reactor, but to eventually manufacture fleets of them.

          That ambition also sounds considerably less theoretical than it did when we first covered the company. In June, Valar’s Ward 250 reactor achieved a self-sustaining nuclear reaction. Just one week later, the company demonstrated the reactor generating electricity to power an Nvidia Blackwell system. Valar now says the new funding will help it move from proving its technology works to producing reactors at scale.

          The timing is no coincidence. AI’s enormous appetite for electricity is forcing the tech industry to confront a basic reality: the cloud still has to plug into something. Training models and operating massive data centers will require far more reliable power, and nuclear energy is rapidly becoming one of Silicon Valley’s favorite answers.

          Hadrian and Valar may be solving different problems, but their unusually large rounds point to the same shift. AI can design, predict and automate, but it cannot manufacture a missile component or generate a megawatt of electricity on its own. That requires factories, energy systems, supply chains and a great deal of capital.

          For years, venture-backed companies competed to build the software layer. Now, some of the biggest bets are being placed on the infrastructure underneath it.

          The future may run on AI. But first, someone has to build what keeps it running.

          More from this week’s LA startup and venture scene below.

          🤝 Venture Deals

            LA Companies

            • Endeavor Optical Networks emerged from stealth with $10.75M in seed funding from General Catalyst and Andreessen Horowitz to develop a satellite network that uses lasers to move data between continents. The startup plans to use the capital to build an optics lab, hire engineers and conduct ground testing ahead of a demonstration satellite launch targeted for late 2027. - learn more
            • Actualyze AI emerged from stealth with a $7M seed round backed by Storm Ventures, Canaan Partners, Morado Ventures and AME Cloud Ventures. Its platform gives enterprises a central control layer for managing AI usage across teams and applications, helping them enforce security policies, track spending, route requests between models and maintain audit trails. - learn more
            • Blaze.tech raised $8.5M in pre-seed funding led by Friale, a healthcare-focused venture firm founded by the family behind HCA Healthcare. The company helps digital health startups, providers and payers turn AI-generated prototypes into HIPAA-compliant software for uses including e-prescribing, EHR integrations, telehealth and auditing. - learn more

            LA Venture Funds
            • Canon Capital participated in Oligo Security’s $60M funding round alongside Ballistic Ventures, Greenfield Partners, Lightspeed Venture Partners, Red Dot Capital Partners, TLV Partners and other investors, bringing the cybersecurity company’s total funding to $140M. Oligo will use the capital to accelerate product development and expand its global go-to-market operations as it helps organizations detect and block software exploits in real time. - learn more
            • Matter Venture Partners participated in Volta’s seed and Series A financing alongside Azora, Andreessen Horowitz, Altimeter, NVIDIA and Michael Dell’s family office, valuing the AI infrastructure startup at $2.4B. Emerging from stealth, Volta plans to use the backing to develop and operate large-scale AI data centers, supported by a $5B infrastructure financing program with Azora and a $10B European compute partnership. - learn more
            • Cedars-Sinai participated in Cirrus Therapeutics’ expanded seed financing through its Intellectual Property Company, bringing the ocular immunology biotech’s total funding to $14.7M. Cirrus will use the backing to advance its gene and cell therapy pipeline, including a lead treatment for geographic atrophy, while a new collaboration with Singapore Eye Research Institute and Duke-NUS will support research, clinical development and expansion across Asia-Pacific. - learn more
            • Strong Ventures made a follow-on investment in Ready Robust Machine’s ₩13.4B Series B, which was led by Quantum Ventures Korea and brought the heavy-equipment technology company’s total funding to ₩22.9B. The company develops energy-recovery systems for hydraulic machinery and will use the capital to build out mass production, expand its data services and enter the Japanese market. - learn more

            LA Exits

            • Artium has been acquired by global consulting firm AlixPartners, bringing its expertise in building enterprise-grade AI agents for clients including BNY Mellon, Mayo Clinic and eBay to a broader global platform. The company will continue operating as a distinct team under the name Artium by AlixPartners, retaining its founders, employees, methodology and research relationships. - learn more

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