Coronavirus Updates: California Unemployment Claims at 1.9M; L.A. Amazon Worker Contracts Covid-19; Disney Initiates Furloughs

Coronavirus Updates: California Unemployment Claims at 1.9M; L.A. Amazon Worker Contracts Covid-19; Disney Initiates Furloughs

Here are the latest headlines regarding how the novel coronavirus is impacting the Los Angeles startup and tech communities. Sign up for our newsletter and follow dot.LA on Twitter for the latest updates.

Today:

  • Amazon Warehouse Worker in L.A. Tests Positive, As Company Struggles with Covid-19
  • USC Shows (and Ranks) L.A. Neighborhoods With COVID-19 Cases
  • Gov. Newsom to small businesses: "Let's get ahead of the queue"
  • L.A. County records 78 deaths, cases top 4,000
  • Patrick Soon-Shiong wants to buy shuttered hospital, convert to COVID-19 command center
  • Disney announces furloughs amid pandemic, but employees keep healthcare

    Disney announces furloughs amid pandemic, but employees keep healthcare

    upload.wikimedia.org

    Days after Disney announced top executives would take salary cuts to save money, the entertainment giant notified employees that many of them "whose jobs aren't necessary at this time" will be furloughed. "All impacted workers will remain Disney employees," the company said Thursday, meaning they will continue receiving healthcare benefits as paychecks are cut. Disney has 223,000 workers and is L.A.'s biggest employer. It is expected many of the cuts would come from the company's theme parks that have been closed, and it was not known how many employees would lose their job from the studio and other businesses.

    Patrick Soon-Shiong wants to buy shuttered hospital, convert to COVID-19 command center

    Dr. Patrick Soon-Shiong, one of L.A.'s richest men, wants to use his family foundation to buy shuttered St. Vincent Medical Center near downtown and convert it into a hospital to treat COVID-19 patients and conduct coronavirus research. The story was first reported by The Los Angeles Times, which Soon-Shiong owns.

    The Chan Soon-Shiong Family Foundation has offered to purchase the medical campus out of bankruptcy for $135 million. Terms of the bid were not disclosed. St. Vincent has been closed since January as the sprawling medical facility fell into bankruptcy. All bids for the hospital must be submitted to a judge by Friday. A final hearing on the sale is scheduled later next week.

    L.A. County records 78 deaths, cases top 4,000

    Another 13 people died of the novel coronavirus in Los Angeles County and officials logged 534 new cases on Thursday, pushing the total number of people that tested positive past 4,000.

    So far, 78 people have died in the county. Of the most recent deaths, 12 were over the age of 65, while one was between 41 and 65. With the exception of one individual over 65, all had underlying health conditions.

    The daily count of COVID-19-positive individuals increased by 1,000 in the past 48 hours, bringing to the total to 4,045.

    The increasing number has put strain on hospitals. Los Angeles County Public Health Director Barbara Ferrer said that about 22% of positive cases in L.A. have required hospitalization at some point. As of Thursday, 241 individuals were in hospital beds — about two thirds of them had no underlying health conditions, Ferrer said. She said there are five COVID-19 patients now in intensive care that are under 35 and a couple have no underlying health conditions.

    Statewide, the death toll rose past 200 and on Wednesday. In a sign of just how concerned officials are, Los Angeles Mayor Eric Garcetti urged the city's 4 million residents on Wednesday to wear protective face covering to stem the spread of the fast-moving virus. To punctate his point, he donned a black mask, saying "I know it will look surreal. We're going to have to get used to seeing each other like this."

    The news comes as new cases have emerged among the homeless and jailed population — both groups officials have been closely monitoring. There have been nine cases among homeless. At the county jail, seven individuals have tested positive, including one inmate. At the Lancaster State Prison, six inmates have the virus. Two homeless shelters have also reported Covid-19 cases.

    Gov.  Newsom to small biz: "Let's get ahead of the queue"

    California Governor Gavin Newsom spoke directly to state business owners in his daily coronavirus address on Thursday, briefing them on several new statewide programs, and imploring them to begin the process of registering for federal help. Since March 12, 1.9 million Californians have applied for unemployment insurance, he said.

    Newsom introduced two actions he says will help make it easier for small businesses in California to get back on their feet. The first is an interest-free, no-penalty deferral of taxes for up to $50,000 for one year. The governor called that a "bridge loan" to help businesses recover.

    The second is a $50M program to provide loans for California businesses who, for one reason or another, don't qualify for federal assistance.

    Newsom also strongly encouraged businesses to sign up for the federal programs that will provide grants and loans to struggling businesses. Registration for those programs open tomorrow.

    Newsom stressed it's "profoundly important" people fill out their forms as soon as possible, in particular for the "paycheck protection program," a grant program that allows businesses who keep paying at least 75% of their employees to be reimbursed by the federal government.

    "Let's get ahead of the queue," he said.

    Newsom also touted an effort led by Fresno-based jobs site Bitwise to match unemployed Californians with jobs in high demand called OnwardCa.org. The site, he said, is prioritizing four industries in particular: healthcare, agriculture, logistics, and grocers.

    USC Shows (and Ranks) L.A. 'Hoods With COVID-19 Cases

    Tami Abdollah

    Los Angeles locals have always known it is a city of neighborhoods, but this novel coronavirus has made that especially clear. The official lines on where neighborhoods begin and end, and where cases are to be found, have never seemed so murky.

    On Thursday, the USC Viterbi School of Engineering released two new COVID-19 data visualizations that aim to make at least where COVID-19 cases are being found, more clear. Read more >>

    Amazon Warehouse Worker in L.A. Tests Positive, As Company Struggles with Covid-19

    Monica Nickelsburg, GeekWire

    At least 30 of the fulfillment centers that power Amazon's e-commerce business have outbreaks of COVID-19, according to news reports and employee accounts. The most recent case in Los Angeles was reported Wednesday, when Amazon confirmed to City News Service that an employee at their warehouse in Atwater Village has tested positive for COVID-19. The mounting cases are sparking walkouts, frustration, and an unprecedented challenge for a tech company that finds itself at the center of the coronavirus pandemic. Read more >>

    ⚖️FTC’s "Click to Cancel" Rule and Its Ripple Effect on Tech

    🔦 Spotlight

    Happy Friday Los Angeles,

    The FTC’s new “Click to Cancel” rule is shaking up subscription-based tech. Now, instead of navigating a maze of cancellation hurdles, users can cancel subscriptions as easily as they signed up—with a single click. This shift is a wake-up call for SaaS, streaming, and app-based companies, where once-hidden exit options often kept users around simply because canceling was a hassle.

    The rule also requires businesses to send regular renewal reminders, ensuring customers stay informed about upcoming charges. It's more than a cancellation button—it’s about transparency and giving users control over their decisions.

    For startups, the impact goes deeper than UX adjustments. Many have relied on "dark patterns," which subtly discourage cancellations by hiding the exit. Now, companies must shift toward building genuine loyalty by delivering real value, not by complicating exits.

    While this might affect retention rates initially, it could lead to more sustainable business models that rely on satisfaction-driven loyalty. Investors may start prioritizing companies that emphasize transparent, long-term engagement over those that depend on dark patterns to maintain retention metrics.

    The rule opens the door to more ethical UX design and a truly user-centered approach across the tech industry. It may even set a precedent against manipulative design in other areas, such as privacy settings or payment methods.

    Ultimately, the “Click to Cancel” rule presents an opportunity for the tech industry to foster trust and build stronger customer relationships. Startups and established companies that embrace transparency will likely stand out as leaders in a new era of customer-centric tech, where trust—not tricky design—is what retains users.

    As the tech landscape continues to evolve, LA Tech Week 2024 offers a chance to explore these shifts in real-time. Check out the upcoming event lineups to stay informed and make the most of your time:

    For updates or more event information, visit the official Tech Week calendar.


    🤝 Venture Deals

    LA Companies

    • Ghost, a company supporting top brands and retailers with streamlined logistics and fulfillment solutions, raised a $40M Series C funding round led by L Catterton to fuel its continued growth and innovation. - learn more

    LA Venture Funds
    • Assembly Ventures participated in a $27M Series A round for Monogoto, a provider of software-defined connectivity solutions that enable secure, cloud-based IoT and cellular network management on a global scale. - learn more
    • Angeleno Group participated in a $32M Series C round for REsurety, a company that recently launched an innovative clean energy marketplace aimed at providing better financial and operational insights to support renewable energy transactions. - learn more

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      🌴🧑‍💻 Your Guide to LA Tech Week 2024

      🔦 Spotlight

      Happy Friday Los Angeles,

      As many of you know, LA Tech Week is right around the corner, kicking off next Monday October 14th bringing together founders, creatives, investors, and engineers for a week of immersive events, panels, and socials across the city. From blockchain and AI to biotech and design, LA Tech Week is a chance to dive into the ideas shaping today’s technology landscape.


      What to Look Forward To

      Insights from Visionary Leaders: Hear firsthand from industry trailblazers as they share stories, challenges, and key lessons from their experiences. Expect fresh perspectives on AI, venture capital, biotech, and the ethical questions around emerging technologies.

      Interactive Panels: This week isn’t about watching from the sidelines; it’s about engaging directly with the tech community. Participate in hands-on panels discussing everything from startup scaling to ethical AI, with honest insights from those actively shaping these fields.

      Networking Mixers & Social Events: Meet and connect with founders, VCs, developers, designers, and fellow techies across LA. Rooftop mixers, lunch meetups, and creative gatherings offer the perfect chance to spark ideas and collaborate.

      Plan your week with the daily lineup, organized by location for easy navigation:

      For updates or more event information, visit the official Tech Week calendar.

      Enjoy LA Tech Week 2024!!


      🤝 Venture Deals

      LA Companies

      • Clout Kitchen, a Los Angeles and Manila based startup, has raised $4.45M in seed funding, co-led by a16z SPEEDRUN and Peak XV’s Surge, to develop AI-powered digital twins, which enables gaming creators to produce realistic virtual avatars for content and fan engagement. - learn more
      • MeWe, a privacy-focused social media platform, has raised an initial $6M in Series B funding led by McCourt Global to support Web3 integration and expand its decentralized network for 20 millions users. - learn more

        LA Venture Funds
        • EGB Capital participated in a $10M Series A funding round for MiLaboratories, which develops software that enables biologists to independently analyze complex genomic data, accelerating research and discovery in fields like drug development. - learn more
        • Crosscut Ventures participated in the $13.75M seed round for Airloom Energy, a company focused on developing airborne wind energy technology to harness high-altitude winds, with plans to accelerate a pilot project in Wyoming. - learn more
        • Overture VC participated in a $5.5M Seed funding round for Molg Inc., a company developing robotics and software for circular manufacturing, designed to disassemble electronics efficiently and recover valuable materials to reduce e-waste and support sustainable production. - learn more


          LA Exits

          • Options MD, a Los Angeles based telemedicine platform that provides care for people suffering from severe and treatment-resistant mental illness, is set to be acquired by Resilience Lab, an AI-driven provider focused on enhancing mental health care access. - learn more

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          LA Tech Week 2024: Saturday-Sunday Event Lineup
          tech-week

          Here’s what’s happening during the closing weekend (Oct 19 - Oct 20) of LA Tech Week 2024! Events are organized by location so you can easily catch the sessions that interest you most.

          SATURDAY EVENTS

          BEVERLY HILLS

          12:00 PM

          • BIG Showcase (Invite Only):

          BIG Showcase (Invite Only)

          2:00 PM

          Light Dao

          Struck Capital, Seahorse Express

          EAGLE ROCK

          12:00 PM

          Sunrise Integration, Shopify

          EL SEGUNDO

          9:00 PM

          Administratum, Valar Atomics

          HOLLYWOOD

          10:00 AM

          Passes

          MALIBU

          6:00 PM

          • Malibu Beachfront Investors Networking & Wine Tasting:See Details

          Gaya Ventures

          MARINA DEL RAY

          6:00 PM

          • Awaken Your Spirit: A Journey of Transformation (Invite Only)

          Sagos Distro, Alma Wellness

          SANTA MONICA

          7:00 AM

          Founders Running Club

          8:30 AM

          Techstars

          9:00 AM

          Magic Mind

          StartupStarter, Inc., City of Santa Monica

          10:00 AM

          Gen She

          AI LA

          Crea, Barry's, Unsubscribe

          10:30 AM

          Plantologist

          11:30 AM

          • Pickleball Palooza (Invite Only)

          YouTube

          1:00 PM

          • Realfren Games: From strangers to an inner Realfren within 52 weekends: See Details

          Office for Humanity and Circuit Works

          • Talking blockchain technology with special guests: See Details

          LadyDayDao

          5:00 PM

          KARD, What's Plots

          THE VALLEY

          7:00 AM

          Camino5

          VENICE

          9:00 AM

          Westside Yogis

          11:00 AM

          Open App

          1:00 PM

          Ripe and Teddy's Hot House

          4:00 PM

          • Fashion Forward: How AI is Redefining the Fashion Industry: See Details

          VIAVIA, BNTO.RENT, ALMA.AI

          VIRTUAL

          11:00 AM

          BLCK UNICRN

          WEST HOLLYWOOD

          7:00 PM

          Next Sequence

          SUNDAY EVENTS

          INGLEWOOD

          12:00 PM

          Entrepreneur Ventures, VCPE GROUPS

          PLAYA DEL RAY

          2:00 PM

          AI LA, DELL, NVIDIA

          SANTA MONICA

          10:00 AM

          • Women Founders, Cold Brew & Beach View, Rooftop: See Details

          Clutch Talent

          11:00 AM

          11DollarSunglasses.com, Less Litter Foundation

          12:00 PM

          Data in LA, Amplitude

          12:30 AM

          New Moon, Warner UK Innovations

          TOPANGA CANYON

          3:00 PM

          Dreamore

          VENICE

          8:00 AM

          • Surf session with founders, investors, creators: See Details

          Surfed Club, Bow Shock

          12:00 PM

          • Podcast Panel and Brunch: LA Tech Community Builders: See Details

          WeAreLATech.com, Blankspaces.com

          VIRTUAL

          2:00 PM

          BLCK UNICRN


          For updates or more event information, visit the official Tech Week calendar.

          Enjoy LA Tech Week 2024!


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