Montgomery Summit Updates: Zynga Hunting Gaming Acquisitions; Moxie the Robot Looks to Partner with Schools

Pat Maio
Pat Maio has held various reporting and editorial management positions over the past 25 years, having specialized in business and government reporting. He has held reporting jobs with the San Diego Union-Tribune, Orange County Register, Dow Jones News and other newspapers in Ohio, West Virginia, Maryland and Washington, D.C.
Montgomery Summit Updates: Zynga Hunting Gaming Acquisitions; Moxie the Robot Looks to Partner with Schools
Photo by Joseph Ngabo on Unsplash

This year's Montgomery Summit – held online this year for the first time - features Eric Yuan, CEO & founder of Zoom, author Deepak Chopra, Darius Adamczyk, CEO of Honeywell, and Jim Whitehurst, president of IBM.

There will be about 100 hours of content available exclusive to those who have paid and registered, but, for the first time, 12 hours of plenary sessions will be free for anyone to stream on YouTube, opening panels to a much bigger audience around the world.

See the full agenda here. We'll be watching, and will keep you up to date with takeaways from the conference. Follow updates from the event below and check our Twitter account for more.

Day 2:

Day 1:


Video Game-Maker Zynga Is Hunting Acquisitions

Zynga Bernard Kim

Video game-maker Zynga's president, Bernard Kim, said the cash-rich company is on the hunt for acquisitions.

"We have a pretty healthy balance sheet," said Kim, pointing to the $1.5 billion on the books. "We're heavy in the hunt for acquisitions."

San Francisco-based Zynga, which has an office of 20 employees in Culver City, announced earlier this week that it had acquired Echtra Games Inc., a San Francisco-based video game developer. The terms of the deal were not disclosed.

The acquisition is the latest in a string of seven in the past five years, according to Kim. The Echtra purchase continues the company's strategy of growing through deals.

Last month, Zynga pushed further into PCs and consoles with the announcement of its "Star Wars: Hunters" game. The studio is working with developer NaturalMotion Games to release "Star Wars: Hunters" this year for Nintendo Switch, which is a handheld gaming console.

"I guess you can consider us as a consolidator, but it's not really like that. It's really just around expanding the family," said Kim, adding that Zynga has done three acquisitions in the past year during the pandemic.

Zynga has always been in the driver's seat in the video gaming world.

"A lot of companies had counted us out, the industry counted us out, and we sat in a proverbial engine room, and just grinded out questions and like just solved problems," Kim recalled of the game maker's tough times.

Back in 2013, Zynga laid off more than 500 employees — roughly a fifth of its workforce -- and closed offices in Dallas, New York and Los Angeles..

"It all starts snowballing, and we kind of had those moments like, 'Wow, we can't do anything right.' We won this award, —like, the worst company in America — two years in a row, but we emerged from that," he said. "We had these dark moments as a company and now things are kind of snowballing into this positive momentum story."

Kim didn't discuss any potential targets while speaking on a video gaming panel at Thursday's virtually held Montgomery Summit.

"You know, we aren't going to slow down. And that's the really exciting time when things start really moving in the right direction. It could be a really great moment to double down and have more fun."

Maker of Moxie Robot Looks to Raise $50M, Partner with Schools

Paolo Pirjanian, co-founder and CEO of Pasadena-based Embodied Inc

Paolo Pirjanian, co-founder and CEO of Pasadena-based Embodied Inc., disclosed plans on Thursday that his privately held robot maker business began talks this week to raise an additional $50 million in venture funding.

His company, which makes a robot companion to help kids learn, has raised a total of $44 million from investors including Amazon, Intel, Sony and Toyota.


Pirjanian, a former chief technology officer of iRobot Corp., a Bedford, Mass.-based technology company that designs and builds consumer robots, such as vacuum cleaners and mops, launched Embodied back in 2016.

Embodied's robot companion, called Moxie, can have conversations with kids to help them learn. It is designed to interact with kids and help with social, emotional and cognitive development, while parents connect via an app.

"It's a physical robot that interacts with children in the 5- to 10-year old range, that have been diagnosed with disorders like autism, anxiety, depression, ADHD, and so on," said Pirjanian.

ADHD, or attention deficit hyperactivity disorder, is a chronic condition including attention difficulty, hyperactivity, and impulsiveness.

Pirjanian said that his company plans to explore the use of Moxie with pediatric hospitals, or clinical care facilities for coping with pain and stress. Discussions also are underway with one of the nation's largest school districts to put Moxie in the classroom, Pirjanian said.

"The next big wave is going to be driven by social machine interfaces," said Pirjanian, who made the comments at a panel discussion on innovation in Southern California at the virtually held Montgomery Summit.

Thanks to Pandemic, Incoming Qualcomm CEO Sees 'Golden Era' for Telecom

Cristiano Amon, president and CEO-elect of Qualcomm Inc

Cristiano Amon, president and CEO-elect of Qualcomm Inc., a San Diego-based maker of chips and software for wireless technology, thinks we're entering a "new golden era of telecom," fueled partially by a coronavirus pandemic that could accelerate 5G rollouts.

"Telecom kept the world working," said Amon, who is expected to take the helm of Qualcomm in June.


"Without a 5G network, without a 5G infrastructure, none of this is possible. And especially as governments emerge from the pandemic, the importance of prioritizing crucial infrastructure that will be part of the future digital economy of many nations, it is very important for 5G's success," the executive said.

Amon made his comments Thursday at the virtually held Montgomery Summit tech conference.

In telecommunications, 5G is the fifth-generation technology standard for broadband cellular networks, which cellular phone companies began deploying worldwide in 2019. It is the planned successor to the 4G networks which provide connectivity to most current cellphones.

"It is indeed one of the largest opportunities we ever had," said Amon, who noted the resilience of the company's workforce to work remotely during the pandemic, and keep its business humming.

Amon, who climbed the ladder within Qualcomm's chip side of the business, noted that at the height of the pandemic that shut down large chunks of the world last year, roughly 90% of its own workers were at home connected computers on its far-flung tech empire.

"So, we were able to connect all of our labs and people," he said. "What would take the broader society, and I'm speaking from our experience in dealing with 3G or 4G [technology], sometimes it will take about five to 10 years to recognize the benefit and the potential technology that was accomplished in two quarters [of 2020]."

Anon also noted that Qualcomm Ventures, the investment arm of Qualcomm, continues to invest in technologies that transform industries.

"We just put our money where our mouth is, and we look in investing in areas that are going to benefit some of the technology transitions we're very focused on, or also create new industries," he said.

In total, Qualcomm Ventures has invested $1.5 billion and made 360 investments since its launch in 2000. Some of the investments include unicorns like San Jose-based video conferencing firm Zoom, San Francisco-based website security firm Cloudflare, China-based online chat firm Xiaomi and Fitbit, a San Francisco-based consumer electronics and fitness company.

Glitches: Audio Static Disrupts Cox Enterprise CEO Presentation

audio glitch

The Montgomery Summit, one of Southern California's most anticipated tech conferences, got a reminder on Thursday that going virtual isn't as simple as it sounds.

The audio for the fireside chat with Cox Enterprises CEO Alex Taylor went dead after 15 minutes into a half-hour presentation. Technicians attempted to deal with a loud static noise that interrupted the interview.


Several attendees commented on a message board that the static interference was so loud that the conversation was inaudible. Another poster noted that Apple earbuds worn by Tom Giles, Bloomberg executive editor of technology, could have been the culprit.

After the audio was turned off after about 15 minutes into the Taylor chat, operators of the website broadcasting the summit posted a note on the session.

"Due to an audio malfunction, we will share the interview between Alex Taylor and Tom Giles on The Montgomery Summit YouTube page after the conference," the statement read.

Before the audio went silent, Taylor had been discussing a broad number of topics, including Cox's move into cable – its biggest revenue generator – automotive services, and the importance of newspapers, although Cox has shed all of its paper properties.

"I still believe that a newspaper, for whatever the political slant of its editorial pages, is the best source of actual facts, because you have so many levels of editorial judgment going on in that process, and it's hard to get inaccuracies," Taylor observed.

'We Got Punched in the Face': How Peek.com Is Recovering From COVID

Peek.com

Ruzwana Bashir, co-founder and CEO of Peek.com, got off to a good start with her trip-booking company, which is backed by heavyweights Eric Schmidt of Google and Jack Dorsey of Twitter and Square.

A year ago, Peek.com was flying high with $1 billion in bookings. The service lets travelers and locals find and book activities online of via cell phones, including tours, wine tastings, kayaking, helicopter tours, ziplining, horseback riding and lessons of all sorts.

Then COVID-19 hit. Stay-at-home restrictions were imposed throughout the world and domestic travel came to a virtual halt as people sought safety from the pandemic.

"We got punched in the face," Bashir said. "It was a pretty scary time... We did a small layoff. We laid off 30% of our team."

Based in San Francisco, the eight-year-old company has raised roughly $50 million in venture capital funding. But it wasn't certain it would get through the hard times.

Then the summer came, and Peek began seeing a surge in bookings. People were tired of staying indoors and wanted to get out, Bashir explained.

"We are the backbone of these businesses," she added. "It took a level head to get through this, make tough changes. It took a lot of resilience and persistence to get through this."

With the federal government now saying that it could vaccinate all adults by the end of May, Peek.com's Bashir is beginning to see a resurgence in business bookings again this summer. "When we look at the travel space, there is a need," she said. "Campgrounds and RV parks are now even coming in and saying they need our software."

'We've Got to Be Paranoid': ​Zoom's Founder Offers Leadership Advice to Startup Execs

Zoom CEO Eric Yuanmacbook pro displaying group of peoplePhoto by Chris Montgomery on Unsplash

Eric Yuan, president and chairman of Silicon Valley-based Zoom Video Communications, took a break Wednesday from his company's highly touted video conferencing business to deliver some nut-and-bolt tips on executive success and leadership.

Answering questions from former Cisco chief John Chambers, who now runs San Jose-based JC2 Ventures, Yuan noted that his bedside reading has yielded profound success and helped him develop as a leader.

He cited two management and self-help books as key.

They are "Crossing the Chasm," a marketing book written by Geoffrey A. Moore that focuses on the specifics of marketing high tech products during the early start up period; and "Speed of Trust," written by Stephen M.R. Covey that serves as "a guide to business leaders, public figures and their organizations towards unprecedented productivity and satisfaction.

"I read Geoff's book twice," said Yuan, who agreed with Chambers' suggestion that anyone in a startup role should read the book.

But "Speed of Trust," said Yuan, gives startups like Zoom a strong foundation to build on. "At Zoom, a lot of [our employees] work from home, so how do you build trust? It's really hard."

In building a business, founders need to think about the company's "value," he said, as a key facet.

"It's hard to build trust. You need social interaction, but you do that with eye contact. Video is really hard."

Yuan said that building a company takes a lot of time speaking with customers, because they could change their buying decisions quickly. "We've got to be paranoid."

Yuan, who moved from China to the Silicon Valley in the late 1990s, founded Zoom in 2011.

Prior to Zoom, Yuan was corporate vice president of engineering at Cisco, where he was responsible for Cisco's collaboration software development. He was also one of the founding engineers and vice president of engineering at Webex, a video conferencing application.

"My story is pretty straightforward," Yuan said.

Yuan made his comments on the first day of the virtually held Montgomery Summit, one of Southern California's largest gatherings of tech investors and executives of the year.

San Jose-based Zoom, which just two days ago reported profits and revenues for its January quarter that beat Wall Street estimates, raised 2022 guidance to $3.77 billion in revenue, up from $3.53 billion.

Zoom became a household name as the COVID-19 pandemic forced lockdowns across the globe. A steep rise in coronavirus cases during and after the holidays intensified business restrictions and forced many workplaces to reconsider reopening in 2021.

Honeywell CEO Bullish on 2021, M&A Not Slowing Down

Germ

Honeywell inked a deal to produce Long Beach-based Dimer's GermFalcon last year.

The pandemic limited some of Honeywell's typical tire-kicking while cutting deals, but the global conglomerate still saw a flurry of recent acquisitions and its CEO Darius Adamczykis is optimistic about a resurgent economy in 2021.

"2021 will be a transitional year, and 2020 was a crisis year," he said.

Among the deals made last year, Honeywell inked a licensing partnership with Long Beach-based Dimer to produce a UV-C light machine, the GermFalcon, that sanitizes airplane cabinets.


"Conditions generally are positive," said Adamczyk, noting that the uptick in "normal" business is expected to swing back noticeably in the second half of the year, coincidentally timed to when Honeywell is expected to open a new corporate headquarters in North Carolina.

Adamczyk said one of his bigger concerns is whether there will be "enough capacity to handle the surge" in growth.

Notably, the $145-billion market-capitalization corporation has made a handful of acquisitions at a time when COVID-19 has limited some of the typical due diligence processes. In fact, M&A activity slowed somewhat last year – though not for Honeywell.

"Acquisitions are more difficult in this environment," he said. "You can't go to facilities and meet with people."

In the case of its Sparta Systems acquisition last month, said Adamczyk, "We knew so much about it. We did a comprehensive due diligence, but we had comfort in buying it."

In December, Honeywell agreed to pay $1.3 billion for New Jersey-based Sparta, an industrial software provider that specializes in life sciences. The deal was the largest acquisition engineered by Adamczyk since he took the helm nearly four years ago. The deal strengthens Honeywell's leadership in industrial automation, digital transformation solutions and enterprise performance management software.

Roughly a week before this deal, Honeywell acquired Sine Group, an Adelaide, Australia-based technology and "software as a service" – or SaaS company -- that provides visitor management, workplace and supply chain solutions that are readily accessible with mobile devices. Terms of the deal were not disclosed.

The company also snapped up several smaller companies last year, including the unit of Ballard Power Systems that makes fuel cells for drones.

"We are building organically, and building inorganically as well," Adamczyk said. "The more digital you are, the better you weather the storm."

Another long-term concern: "What I miss is the water cooler conversation."

Adamczyk said that Honeywell is trying to reach out with connectivity. "It's really important to stay connected."

Cybersecurity Spending Is Likely to Grow Amid High-Profile Hacks: Snyk CEO

Snyk

Photo by Markus Spiske on Unsplash

The headline-grabbing security breaches uncovered in the past year will likely lead to an acceleration of cybersecurity spending, said Peter McKay, CEO of London-based developer security company Snyk.

The lifecycle in cybersecurity spending is at a very early stage, McKay observed during the first day of the virtually held Montgomery Summit, one of Southern California's largest gatherings of tech investors and executives.


"We are maybe two outs in the (bottom of the) second inning," he said. "We are very early on. If talking security, and not thinking shifting left into security development, we'll walk away and come back to talk in six months. We know where they are in their journey," said McKay of the value of waiting for clients to catch up.

McKay cited two high-profile breaches as the catalyst for more cybersecurity spending: Austin-based SolarWinds, which develops security software to monitor databases, and China's Mintegral, which develops mobile operations system applications offered in the Apple app store.

In the Mintegral case, Snyk researchers identified malicious behavior in a software development kit that was present in more than 1,200 iOS mobile operation system applications offered in the Apple App Store.

Snyk estimated that the Mintegral attack – dubbed "SourMint" involved the 1,200 iOS apps that it estimates are downloaded about 300 million times every month. The concern was that the IOS software could harvest URLs accessed through the kit and steal highly sensitive information.

"Once we understood the exposure, we talked to Apple," McKay said. "We automate as much as you can to fix vulnerabilities."

In the other case, SolarWinds provides software to monitor many features of on-premises infrastructure, including network performance, log files, configuration data, storage and servers. SolarWinds sends out regular updates and patches. Hackers were able to infiltrate the update and "trojanize" the software — meaning when customers installed the updates, the malware just went along for the ride.

"This was a paradigm-shifting event," MacKay said. "It brought a lot of attention of building security features into the lifecycle and supply chain."

Snyk's work in the security developer field has been an evolutionary one since it was founded in 2015. Two years ago, SNYK began with technology companies, then financial ones, and then health care and the media fields.

"What you are seeing now are airline or packaging companies, or very low-tech companies, which are in the process of doing a transformation of their business in a secure way. We are bringing best practices to help them make this transformation."

'We Were All Quite Naive': How the Montgomery Summit Has Changed for 2021

Montgomery Summit 2020

When one of Southern California's largest gatherings of tech investors and executives of the year in Southern California begins Wednesday it will be held virtually, just like every other event is these days.

What a difference a year makes.

Last year's Montgomery Summit, also held during the first week of March, brought together hundreds of tech titans to the upscale Fairmont Miramar Hotel & Bungalows in Santa Monica, just as the seriousness of COVID was becoming abundantly clearer every day.

It was the last time many people saw each other in the flesh. Read more >>

- Ben Bergman

Forget Traffic: Air Taxis Are Coming to LA28

🔦 Spotlight

Hello Los Angeles,

The future just got a flight plan, and it includes skipping traffic for the 2028 Olympics.

Image Source: Archer

This week, Santa Clara-based Archer Aviation made headlines (and history) by being named the official air taxi provider for the LA28 Olympic and Paralympic Games and Team USA. Yes, that means electric vertical takeoff and landing (eVTOL) aircraft will be soaring above the gridlocked freeways, whisking athletes, officials, and perhaps a few lucky spectators through LA’s famously congested skies.

This isn’t just a flashy PR stunt (although, let’s be honest, it is peak LA). It’s a strategic move to redefine how we move around the city, especially during one of the largest global events ever to hit Southern California. In partnership with the LA28 Organizing Committee, Archer plans to deploy its Midnight aircraft, an all-electric air taxi that promises ultra-quiet, zero-emission rides from point A to point OMG-I’m-not-in-traffic.

While Archer is headquartered in Santa Clara, it has deep ties to the LA tech ecosystem. United Airlines, one of its major partners, has previously announced plans to establish eVTOL routes between downtown and LAX. Pair that with this new Olympic milestone and we’re looking at LA as ground zero for what could become the world’s first large-scale urban air mobility network.

Of course, there are still regulatory hurdles, infrastructure needs, and airspace coordination issues to iron out before we can book our sky ride to the Coliseum. But make no mistake, this announcement is a moonshot moment for LA tech, mobility, and the future of Olympic-scale transportation.

We’ll be keeping our feet on the ground (for now), but we’ll definitely be watching the skies.

Catch you next week ✈️✨

🤝 Venture Deals

LA Companies

  • Akido, a Los Angeles-based health tech company, has raised $60M in Series B funding led by Oak HC/FT to expand the reach of its AI-powered clinical tool, ScopeAI. The platform assists physicians by generating clinical questions, documenting patient responses, and drafting care plans in real time. The funding will help Akido scale its technology across its provider network and expand into new markets like New York City. - learn more
  • Reflect Orbital, a startup developing satellite-based sunlight delivery systems, has raised $20M in a Series A round led by Lux Capital. The company plans to use the funding to expand its team, scale operations, and prepare for its first satellite launch in Spring 2026. Reflect Orbital’s technology aims to reflect sunlight from space to Earth, enabling nighttime illumination for energy, remote operations, and civil infrastructure. - learn more
  • Rolli, an AI-powered platform designed to support fact-based journalism, has received an investment from the NYU Impact Investment Fund (NIIF). This marks NIIF's first investment in a media company, underscoring its commitment to backing ventures that enhance democratic institutions through innovation. Rolli's platform connects journalists with a diverse range of vetted experts, aiming to streamline news production and promote equitable representation in media. The funding will help Rolli expand its reach and further develop tools that empower journalists to produce accurate and impactful reporting. - learn more

    LA Venture Funds

    • CIV and Wonder Ventures participated in The Nuclear Company’s $46.3M Series A round to support its plan to develop large-scale nuclear reactor sites across the U.S. CIV co-founder Patrick Maloney also co-founded the company, which is taking a “design-once, build-many” approach to modernize nuclear construction. The funding will help meet rising energy demands from sectors like AI and data centers. - learn more
    • WndrCo participated in Cartwheel's recent $10M funding round. Cartwheel is an AI-driven 3D animation startup that enables creators to generate rigged animations from text prompts and videos. The funding will support Cartwheel's efforts to simplify and democratize 3D animation production. - learn more
    • Crosscut Ventures participated in Solestial's $17M Series A funding round, which aims to scale the company's production of radiation-hardened, self-healing silicon solar panels for space applications. Solestial plans to increase its manufacturing capacity to 1 megawatt per year, matching the combined annual output of all U.S. and EU III-V space solar companies. This investment supports the growing demand for cost-effective, high-performance power systems in the expanding space industry. - learn more
    • Upfront Ventures participated in Tern's $13M Series A funding round, adding to its earlier $4M seed investment in the travel tech startup. Tern offers an all-in-one platform for travel advisors, streamlining itinerary building, CRM, and commission tracking. The new funding will help Tern enhance its product offerings and expand support for its growing user base. - learn more
    • Dangerous Ventures participated in Verdi's $6.5M seed funding round, supporting the Vancouver-based agtech startup's mission to modernize farm irrigation systems through AI-powered automation. Verdi's technology retrofits existing infrastructure, enabling precise, row-level control of irrigation, which helps farmers reduce water usage and labor costs. The investment aligns with Dangerous Ventures' focus on climate resilience and sustainable food systems. - learn more
    • Pinegrove Capital Partners participated in Saildrone's recent $60M funding round, supporting the company's expansion of its autonomous maritime surveillance technology into Europe. The investment will aid in deploying Saildrone's uncrewed surface vehicles for enhanced maritime security and defense applications across European waters. - learn more
    • Starburst Ventures participated in a €2 million seed funding round for French defense tech startup Alta Ares, which specializes in embedded AI and MLOps solutions for military applications. Alta Ares' technologies, including the Gamma platform for real-time video analysis and the Ulixes platform for managing operational data lifecycles, operate autonomously without the need for internet or cloud connectivity. This funding will support the industrialization of these solutions and expand their deployment across European armed forces and NATO allies. - learn more
    • Nomad Ventures participated in Stackpack’s recent $6.3M seed funding round, supporting the company's mission to streamline vendor management for modern businesses. Stackpack offers an AI-driven platform that provides finance and IT teams with a centralized system to oversee third-party vendors, manage renewals, and mitigate compliance risks. The investment will enable Stackpack to expand its operations, enhance its platform, and introduce new features like the "Requests & Approvals" tool, aimed at simplifying vendor onboarding and procurement processes. - learn more
    • Tachyon Ventures participated in Stylus Medicine's $85M Series A funding round, supporting the biotech company's development of in vivo genetic medicines. Stylus aims to simplify gene editing by enabling precise, durable CAR-T therapies delivered directly inside the body, potentially transforming treatment for various diseases. - learn more
    • Up.Partners led a $28M Series A funding round for WakeCap, a construction tech startup that uses sensor-powered platforms to deliver real-time workforce visibility and site intelligence. WakeCap’s system tracks labor hours, safety, and productivity across large-scale projects, with over 150 million labor hours already monitored. The new funding will help the company expand globally, enhance product features, and grow its engineering and customer success teams. - learn more


      LA Exits

      • MediaPlatform, a leading provider of enterprise video solutions, has been acquired by Brandlive, a company renowned for bringing the magic of television to business communications. This strategic acquisition aims to enhance Brandlive's capabilities in delivering high-scale, reliable CEO town halls and global corporate broadcasts. By integrating MediaPlatform's robust infrastructure with Brandlive's creative video tools and production services, the combined entity seeks to offer more engaging and authentic internal content experiences for enterprise clients. - learn more
      • RHQ Creative, a studio renowned for its competitive Fortnite training maps, has been acquired by JOGO, the game development company founded by popular creator Typical Gamer (Andre Rebelo). This acquisition aims to bolster JOGO's expansion into the competitive gaming arena by integrating RHQ's expertise in skill-building and training map design. RHQ Creative, co-founded by Fortnite pro Quinn Gannon (RichHomieQuinn) and Sean Lugo, has achieved over 20 million map visits and 200 million hours of playtime. The deal includes full ownership of RHQ's map catalog and the addition of its team to JOGO, enhancing the company's capabilities in developing high-quality, competitive gaming experiences. - learn more

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          This LA Startup Wants to Make It Rain and Just Raised $25M to Do It

          🔦 Spotlight

          Hello LA!

          While most tech headlines are busy chasing AI chatbots and flying taxis, one startup in El Segundo is aiming a little higher. Literally.

          Rainmaker just secured$25 million in Series A funding to expand its cloud-seeding drone technology. The round was led by Lowercarbon Capital, with participation from Starship Ventures, 1517 Fund, Long Journey Ventures, Naval Ravikant, and others.

          Their idea is simple but urgent. Instead of relying on old-school aircraft to spray rain-making particles across the sky, Rainmaker uses AI-powered drones that find and seed clouds with pinpoint accuracy. It is faster, more affordable, and could reshape how regions fight back against droughts.

          California's ongoing water struggles have made it clear that simply "saving" water is not enough. Cities and entire economies need new tools to create it. Rainmaker plans to use the funding to grow its fleet, invest in atmospheric science, and expand commercial partnerships with utilities and governments searching for solutions.

          Bigger picture, Rainmaker is part of a growing shift in LA's tech ecosystem. While software remains dominant, more investors and founders are quietly betting on "hard tech" that addresses real-world problems like water, energy, and infrastructure.

          It is not just about apps anymore. It is about survival tech.

          With the skies getting hotter and the reservoirs getting lower, the next great tech export out of LA might not be entertainment or social media. It could be rain.

          Stay tuned…

          🤝 Venture Deals

          LA Companies

            • SimpleClosure, a Santa Monica-based startup that automates the business shutdown process, has raised a $15M Series A funding round led by TTV Capital. The company, which launched publicly in late 2023, helps startups and businesses navigate legal, regulatory, and compliance hurdles when closing down, using AI to streamline paperwork and communications. The new funding will support SimpleClosure’s platform growth and product expansion, as rising economic pressures create heightened demand for efficient dissolution solutions. - learn more

              LA Venture Funds

              • Alexandria Venture Investments participated in Haya Therapeutics’ $65M Series A funding round. Haya Therapeutics, which is developing precision RNA-guided medicines for chronic and age-related diseases, will use the capital to advance its lead therapeutic programs targeting heart failure and fibrosis. The company plans to expand its pipeline, invest in its discovery platform, and grow its team to accelerate clinical development. - learn more
              • Griffin Gaming Partners led a $7M funding round for Fuse Games, a gaming studio focused on developing new original IP. Fuse Games, founded by industry veterans with experience at major gaming companies, plans to use the funds to accelerate production of its first title and expand its team as it builds ambitious new gaming experiences. - learn more
              • Shamrock Capital has made a strategic growth investment in Neocol, a leading consulting platform that specializes in sales and AI-driven software solutions for subscription businesses. Neocol, which helps companies optimize revenue operations and digital transformations, plans to use the investment to accelerate its growth, expand its services, and further strengthen its leadership position in the Salesforce ecosystem. - learn more
              • Trust Fund participated in a $7.2M seed funding round for Agree.com, an all-in-one platform that combines e-signature and integrated payments, aiming to streamline and speed up service agreements. The company plans to use the new capital to grow its engineering team, expand integrations, and enhance payment capabilities to help service providers close deals faster. - learn more
              • Hyperlink Ventures participated in Orca AI’s $72.5M funding round. Orca AI, headquartered in London, develops AI-based navigation and collision-avoidance solutions to improve safety and efficiency for commercial shipping fleets. The funding will help Orca AI scale its autonomous shipping technologies, expand its team, and support global growth efforts. - learn more


              LA Exits

              • StoryFire, a social storytelling and video platform with over 2.5M users, has been acquired by Flashy Finance to launch a new platform called Flashy Social. The move aims to merge content creation with blockchain-powered financial tools, allowing creators to monetize through token incentives, streaming features, and community engagement. This acquisition supports Flashy Finance’s broader vision of building a cultural, creator-led financial ecosystem. - learn more
              • Jaanuu, Inc., a Los Angeles-based medical apparel brand known for its stylish and functional scrubs, has been acquired in an asset sale by VentureOn Management, LLC. The acquisition includes substantially all of Jaanuu's assets, encompassing its intellectual property, inventory, and customer relationships. VentureOn Management plans to continue Jaanuu's operations, focusing on delivering high-quality medical apparel to healthcare professionals. - learn more
              • Skechers has agreed to be acquired by 3G Capital in a deal valued at approximately $9.4 billion. Shareholders will receive either $63 per share in cash or $57 plus an equity unit in a new private parent company. Following the acquisition, Skechers will become privately held, maintain its Manhattan Beach headquarters, and continue to be led by its current management team. - learn more

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                Biometrics, Crypto, and Comfort: New Tech Lands in LA

                🔦 Spotlight

                Happy Friday, Los Angeles!

                This week, it's all eyes, quite literally, on LA's latest tech headlines.

                Image Source: World

                First up, World has officially touched down in the U.S., launching its ambitious biometric crypto project in six cities, including right here in Los Angeles. Cofounded by OpenAI CEO Sam Altman, World is betting big on a future where proving you're human is just a blink away. Their tool? An orb-shaped device that scans your eyes to create a "World ID," a decentralized digital passport built for the AI era. Verified users can then claim Worldcoin, a cryptocurrency aiming to become the first truly global digital currency. To tie it all together, World has rolled out the World App, a wallet to manage your ID and crypto and World Chain, a new blockchain designed to prioritize real people over bots. The ambition is bold. The stakes are high. And the question still lingers: How much privacy are we willing to trade for convenience?

                Image Source: Lyft

                Meanwhile, Lyft is rolling out the red carpet, or perhaps a comfortable seat cushion, for LA’s senior citizens. The rideshare giant just launched Lyft Silver in Los Angeles, offering older adults personalized support, live phone assistance, and specially trained drivers. It's a savvy play into an often-overlooked demographic, combining technology and empathy to serve a growing market of tech-savvy seniors. Will Lyft’s new approach give them an edge in LA’s competitive rideshare market? Stay tuned, and maybe text your grandma… she just might become Lyft’s latest power user.


                🤝 Venture Deals

                LA Companies

                  • True Classic, a Los Angeles-based apparel brand known for its better-fitting basics, has received its first institutional investment from 1686 Partners. This strategic partnership aims to accelerate True Classic's global expansion and diversify its product offerings to include women's and children's lines. The investment will also support enhancements in supply chain, logistics, and omnichannel retail operations, positioning the brand for continued growth in the global market. - learn more
                  • Chaos Industries, a Los Angeles-based defense technology startup, raised $275M in a Series C round led by Accel and New Enterprise Associates, valuing the company at $2N. The company develops advanced detection, monitoring, and communication systems for defense and commercial sectors. The funds will be used to expand product development, grow the team, and scale manufacturing operations. - learn more
                  • Apex, a Los Angeles-based spacecraft manufacturer, raised $200M in Series C funding to scale production of its productized satellite bus platforms. The company will use the funds to expand operations at its 50,000-square-foot facility and increase manufacturing capacity to meet demand from government and commercial customers. Apex aims to accelerate delivery timelines and support national security initiatives like the U.S. Department of Defense’s Golden Dome program. - learn more
                  • Deferred, a technology-driven Qualified Intermediary, has raised $3.6M in seed funding to modernize and democratize 1031 exchanges for everyday real estate investors. The funding round was led by B Capital and Fika Ventures, with participation from strategic investors. Deferred's platform offers AI-driven compliance, robust fund security, and a no-fee exchange model, aiming to make tax-deferred real estate transactions more accessible, secure, and efficient. The funds will be used to expand access to 1031 exchanges, ensuring that every investor, not just institutional players, can leverage this powerful wealth-building tool. - learn more

                  LA Venture Funds

                  • Village Global participated in Stately Bio's $12M seed funding round. Based in Palo Alto, Stately Bio is a biotech startup developing an AI-powered live-cell imaging platform that enables non-invasive, real-time analysis of cell behavior, enhancing regenerative medicine and cell therapy development. The funds will be used to scale the platform and expand its pipeline of stem cell-derived therapies. - learn more
                  • Riot Ventures participated in True Anomaly's recent $260M Series C funding round. Based in Centennial, Colorado, True Anomaly develops advanced spacecraft and software systems for U.S. national security missions, including its flagship Jackal vehicle designed for close-proximity operations in orbit. The funds will be used to support upcoming space missions, expand manufacturing capabilities, and grow the company's workforce. - learn more
                  • Navitas Capital led a $10.5M Series A funding round for Field Materials, a Charlotte, North Carolina-based startup that automates construction material and equipment procurement using AI. Field Materials' platform leverages proprietary large language models to process vendor quotes, delivery slips, and invoices, integrating the data into major construction accounting systems. This approach reduces purchase order and invoice processing time by 90%, improves margins, and helps construction companies secure volume pricing. The funds will be used to double Field Materials' team and triple its revenue in 2025, accelerating the delivery of AI capabilities to meet growing demand in the construction industry. - learn more
                  • Bold Capital Partners participated in Near Space Labs $20M Series B funding round. Based in Brooklyn, New York, Near Space Labs deploys helium balloon–lifted "Swift" robots to capture ultra-high-resolution aerial imagery from the stratosphere. The company plans to use the funds to expand its fleet and increase coverage, aiming to provide 7cm-resolution images to 80% of the U.S. population twice annually. - learn more
                  • Alexandria Venture Investments participated in a $15M Series A funding round for Hoofprint Biome, a Raleigh, North Carolina–based agtech startup. Hoofprint Biome develops enzyme-based feed additives aimed at reducing methane emissions from cattle while enhancing productivity. The company plans to use the funds to advance product development, conduct on-farm trials, and prepare for commercial launch. - learn more
                  • Finality Capital Partners participated in a $25M seed funding round for Miden, a privacy-focused blockchain protocol spun out of Polygon. Miden leverages zero-knowledge technology to offer fast, confidential transaction processing tailored for large institutions handling sensitive payment flows. The funding will support the development of Miden's ecosystem and developer tools, with plans to launch its main network by the end of the year. - learn more
                  • Overture VC participated in Glacier's $16M Series A funding round. Glacier, a San Francisco-based startup, develops AI-powered robotic systems designed to automate and enhance the efficiency of recycling processes at material recovery facilities (MRFs). The funds will be used to expand Glacier's operations, deploy its technology to more MRFs across the U.S., and further develop its AI and robotics capabilities to improve recycling rates and reduce environmental impact. - learn more
                  • Powerhouse Capital and Rideback participated in a $10M funding round for Cheehoo, a Los Angeles-based startup developing AI-powered tools to streamline 3D animation workflows. Cheehoo's platform integrates with industry-standard software like Maya and Unreal Engine, offering features such as AI-assisted character animation, speech-to-motion capabilities, and real-time collaboration tools. The company plans to use the funds to enhance its technology and expand its reach to a broader range of creators, from major studios to independent animators. - learn more
                  • Village Global participated in P-1 AI's recent $23M seed funding round. Based in Henderson, Nevada, P-1 AI is developing an artificial general intelligence (AGI) platform named Archie, designed to automate engineering tasks for physical systems. The company plans to use the funds to advance Archie's capabilities, starting with applications in data center cooling systems, and eventually expanding into sectors like industrial systems, automotive, and aerospace. - learn more
                  • TenOneTen Ventures led a $3.3M seed funding round for Domos, a startup developing an AI-powered workforce to streamline property management operations. Based in New York City, Domos' platform automates routine communications and workflows, enabling property managers to focus on higher-value tasks. The funds will be used to expand the company's engineering team and further develop its AI capabilities to enhance efficiency and resident experience. - learn more
                  • Leap Venture Studio participated in a $1M seed funding round for Buddy Bites, a Hong Kong-based dog food brand that donates to shelters with every order. The funds will support Buddy Bites' expansion in Hong Kong, Singapore, and the UK, with plans to enter Taiwan and launch new products later this year. Additionally, Buddy Bites joined Leap Venture Studio's 12-week accelerator program, gaining mentorship and access to a network of industry experts to further its mission of providing premium dog food while supporting animal shelters. - learn more

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