How Netflix's $100 Million Emergency Fund Happened and Where It'll Go From Here

Sam Blake

Sam primarily covers entertainment and media for dot.LA. Previously he was Marjorie Deane Fellow at The Economist, where he wrote for the business and finance sections of the print edition. He has also worked at the XPRIZE Foundation, U.S. Government Accountability Office, KCRW, and MLB Advanced Media (now Disney Streaming Services). He holds an MBA from UCLA Anderson, an MPP from UCLA Luskin and a BA in History from University of Michigan. Email him at samblake@dot.LA and find him on Twitter @hisamblake

How Netflix's $100 Million Emergency Fund Happened and Where It'll Go From Here

To soften the blow that the coronavirus has dealt the entertainment industry – parts of it, anyway – Netflix has put up a $100 million emergency fund meant to relieve the financial pressures facing the many workers without a job for the foreseeable future. $85 million will go to workers on Netflix productions, and the remaining $15 million will head to third-party groups.


Several other organizations are also supporting the effort to put cash in the pockets of sidelined workers. SAG-AFTRA, an actors union, and the Producers Guild of America, have each set up their own relief funds to receive donations. IATSE, a union representing about 150,000 behind-the-scenes entertainment workers, has committed $2.5 million.

But will it be enough?

LA County has over 120,000 workers in the film industry, and about 258,000 in the broader entertainment sector, according to the 2020 Otis College Report on the Creative Economy. For nearly every job in the still broader creative sector (about 400,000), there is yet another job that either supports or is induced by it. Depending how you slice the data, the collective output of these jobs can amount to north of a quarter of LA County's GDP. Not all such jobs have been upended by the coronavirus. But across the county, and with no end in sight, crew members, performers, caterers and more are struggling.

"When the coronavirus hit, our industry fell off a cliff," said Bob Beitcher, President and CEO of the Motion Picture & Television Fund (MPTF), one of the external groups selected by Netflix to receive $1 million. "With the exception of writers — some writers' rooms are still operating virtually — I'd say every other job category is out of work right now."

Keith McNutt is western region director of the Actors Fund, also chosen by Netflix to receive $1 million. He said Hollywood is a "huge community of people who are basically living middle-class lives, earning around the median income of L.A. County: set designers, hairdressers, construction workers, performers, writers. To give a sense of the scale we are dealing with right now, typically we help 5,000 people a year across our programs."

The Actors Fund serves members across the entertainment community, providing such social services as emergency financial relief, counseling and affordable housing.

"As of the start of this week," continued McNutt, "we're up to over 5,000 calls, just since the Thursday when this started."

That'd be March 12th, meaning a year's worth of calls for help in less than two weeks.

Chief Content OfficerTed Sarandos at this year's Upfront Summit in Los Angeles.Photp courtesy Aircam/ Upfront Summit

Enter Netflix

Neither McNutt nor Beitcher had much advance notice of the incoming succor. Both first heard directly from Netflix the day before the public announcement. "Based on my brief conversations with them," said Beitcher, "this was something on their minds from the moment production started shutting down."

Ted Sarandos, Chief Content Officer at Netflix, told CNN on Sunday that when that happened, "the first thing we did was make sure that everybody on those crews knew that they were being paid for the next two weeks."

"I think," surmised Beitcher, "they needed to decide to do something that was more sustainable for the industry workforce, and a greater reflection of the compassion that they were feeling for them, and the gratitude that they had for the work they've done."

Netflix, notoriously tight-lipped, has not responded to dot.LA's request for comment.

"With that amount of money," said McNutt, "I would guess this had to come straight from (Sarandos) and the CEO (Reed Hastings). I can't imagine anyone else would be making that decision."

"As usual, it's go big or go home— and they went very big with this," added Beitcher.


Created in 1921, the Motion Picture Relief Fund (MPTF) acts as a safety net of health and social services for actors.mptf.com

What Comes Next?

"The first step for all (these relief funds) is to establish eligibility criteria," said Beitcher. "Once we settle on that, we can get to work and start cutting checks. It can't happen soon enough."

He plans to coordinate with the Actors Fund and other charitable efforts to keep eligibility standardized to the extent practical, and to avoid double-paying people before everyone who needs help gets it.

Both leaders expressed confidence that their organizations' significant experience will help them to manage the surge of requests.

But as the time lengthens from when workers were first told they would be compensated for their suspended projects, those funding commitments will dry up, and the volume of people seeking help will likely grow.

"I hope, and I expressed to the Netflix folks, that their generosity and leadership will motivate others in a similar position to step up," said Beitcher. "There's a possibility some of the studios will follow suit."

Individual donors have also been calling both MPTF and the Actors Fund asking how they can help.

"We're preparing for this to last for months," said McNutt. "I hope not at this level, but we're going to keep going as far as we can go and for as long as donors can continue to provide the funding."

No doubt Netflix's largesse will help. But it'll only go so far.

"It's an amazing amount of money," said Beitcher. "But it's a staggering amount of people."

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Luxurious Second Home Ownership without the Headache: How Pacaso is Changing the Landscape of Real Estate

🔦 Spotlight

Pacaso addresses the pain points of second home ownership, offering a luxurious, flexible, and financially sound alternative to traditional second homes and ultra-luxury hotels. Co-founded in 2020 by entrepreneur Austin Allison and former Zillow executive and prominent LA tech figure Spencer Rascoff, Pacaso, an unicorn startup, has redefined vacation home ownership with its unique co-ownership model. Rascoff's contributions to the LA tech scene extend beyond real estate; he also founded 75 & Sunny, an LA-based startup studio and venture fund, and co-founded dot.LA, an LA tech news and events company.

LA residents adore Pacaso for its lush vacation destinations that also make for smart investments. Pacaso offers everything from serene weekend getaways in Aspen to sophisticated escapes in Paris. Each residence, valued between $200k to over $2M for 1/8th, boasts meticulous design, high-end furnishings, and premium amenities. Unlike traditional second home ownership, which involves high costs, maintenance, and underutilization, or ultra-luxury hotels, which lack the personal touch and investment potential, Pacaso's co-ownership model offers a superior solution. Co-owners enjoy the benefits of a high-end vacation home without the full financial burden and hassle of sole ownership, making it a smarter and more flexible choice for discerning buyers.


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Head to Pacaso to learn more about its innovative co-ownership model that addresses the common challenges of second home ownership!


🤝 Venture Deals

LA Companies

  • Oak Essentials, the natural skincare brand founded by Jenni Kayne, has raised an undisclosed amount in Series A Funding from Silas Capital and Unilever Ventures. This investment will drive the brand’s expansion, focusing on product development, boosting marketing efforts, and expanding distribution channels. - learn more
  • Playhouse MD, an upcoming children’s healthcare platform that incorporates play to enhance health outcomes, has raised $4M in funding, according to a recent SEC filing. - learn more
  • FluidLogic, a high-performance hydration system provider, raised $15M in a Series A Extension led by Solyco Capital to support product development and innovation for adventure sports and outdoor endurance categories, with consumer products launching in early 2025. - learn more
  • Reflect Orbital, which uses in-space reflectors to direct sunlight to solar farms and large-scale lighting applications after sunset, has raised $6.5M in seed funding led by Sequoia Capital. The funding will help the company develop production vehicles and expand its team as it builds space-based energy infrastructure. - learn more

LA Venture Funds
  • Smash Capital led a €20M Series B round into Vilnius-based Ovoko, an e-commerce platform for buying and selling used car parts across Europe, marking Smash Capital's first investment in Lithuania. The funds will support Ovoko's product development, market expansion, and team growth as it aims to dominate the European market for second-hand automotive components. - learn more
  • M13 led a $9M Series A Funding Round for Zenlytic, the world’s first self-serve business intelligence platform. - learn more



LA Exits

  • Continuum Global Solutions’ healthcare vertical has been acquired by Everise, a customer service management company, enhancing Everise’s capabilities in pharmacy benefit management and expanding its growth prospects in the healthcare sector. - learn more
  • Radical Semiconductor, a company specializing in processing-in-memory technology, has been acquired by BTQ Technologies, a leader in post-quantum cryptography. This acquisition strengthens BTQ’s ability to secure data in the post-quantum era by integrating Radical Semiconductor's advanced technology portfolio. - learn more

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🎧The Essential Podcast Playlist for Entrepreneurs, Founders, Tech Pros, and VCs

Podcasts offer a front-row seat into the minds of the most successful entrepreneurs, VCs, and industry thought leaders. Whether you're scaling your startup, raising capital, or simply staying ahead of the game, these shows deliver invaluable insights, actionable lessons, and fresh inspiration. And let’s be honest, if you’re stuck in LA traffic (again), what better way to kill time than by learning from the best? Here’s a roundup of our top podcasts for entrepreneurs, founders, tech professionals, and VCs, complete with why they’re a must-listen.

Image Source: Apple Podcasts

The a16z Podcast

  • What it discusses: Covering a broad spectrum of topics like AI, blockchain, healthcare, and fintech, the podcast features interviews with founders, VCs, and tech leaders shaping the future.
  • Why you should listen: Get access to cutting-edge insights from one of the world’s most influential VC firms, keeping you ahead of emerging trends.
  • Why it’s great for entrepreneurs, founders, and VCs: This podcast brings cutting-edge insights from one of the top VC firms. Entrepreneurs will learn about emerging technologies, while VCs can stay ahead of investment trends shaping the future of tech.

Listen on: Spotify |Apple Podcasts



Image Source: Apple Podcasts

Acquired Podcast

  • What it discusses: Acquired breaks down the stories behind major tech acquisitions, IPOs, and exits, dissecting the strategies and market dynamics involved.
  • Why you should listen: Gain deep insights into how tech giants build and sell, making it essential for anyone aiming to understand successful exits.
  • Why it’s great for entrepreneurs, founders, and VCs: Perfect for founders looking to scale or position themselves for acquisition. VCs will benefit from the deep dives into the playbooks of successful exits, offering valuable lessons on company growth and market positioning.

Listen on: Spotify |Apple Podcasts



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The All-In Podcast

  • What it discusses: From venture capital and tech trends to politics and economics, this podcast delivers unfiltered, candid commentary from high-profile industry insiders.
  • Why you should listen: It’s a no-holds-barred discussion on major issues affecting the tech industry, providing you with insider insights into the conversations that shape Silicon Valley.
  • Why it’s great for entrepreneurs, founders, and VCs: The candid, unfiltered conversations give listeners a peek into the decision-making processes of some of the biggest names in tech and VC. Entrepreneurs can gain valuable market insights, while investors will appreciate the high-level strategy discussions.

Listen on:Spotify | Apple Podcasts



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BG2 Podcast

  • What it discusses: BG2 takes you through macroeconomic trends, the tech market, venture capital insights, and cutting-edge technologies like AI. It’s a high-level conversation on tech investing.
  • Why you should listen: Brad and Bill’s deep experience in tech investing, combined with their straightforward, no-nonsense style, makes this a must-listen for tech insiders.
  • Why it’s great for entrepreneurs, founders, and VCs: Get insider-level insights into the macro trends driving tech investments. Founders will learn how to navigate these trends, while VCs can better understand the shifting forces in the venture world.

Listen on: Spotify | Apple Podcasts



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Crucible Moments Podcast

  • What it discusses: The podcast dives into the pivotal, career-defining moments of top leaders and entrepreneurs. Guests share personal stories of resilience, growth, and how they overcame adversity.
  • Why you should listen: It’s packed with inspirational stories of grit and perseverance, offering lessons that apply to both life and business.
  • Why it’s great for entrepreneurs, founders, and VCs: The podcast’s focus on personal and professional resilience makes it especially valuable for entrepreneurs who need inspiration during tough times, and VCs who want to understand how founders overcome adversity.

Listen on: Spotify | Apple Podcasts



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Grit Podcast

  • What it discusses: In-depth interviews with founders, executives, and leaders who share stories of navigating challenges, building resilience, and finding success in tough times.
  • Why you should listen: If you want raw, real stories of leadership and determination, this podcast offers invaluable insights into what it takes to lead in business.
  • Why it’s great for entrepreneurs, founders, and VCs: The podcast’s focus on perseverance and leadership makes it a must-listen for founders facing challenges in their business. VCs will gain insights into the traits that make strong, resilient founders.

Listen on: Spotify | Apple Podcasts



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The Twenty Minute VC

  • What it discusses: Featuring short, insightful interviews with top VCs and founders, this podcast covers topics ranging from securing funding to scaling startups.
  • Why you should listen: Perfect for busy professionals who want quick, actionable advice on navigating the venture capital world.
  • Why it’s great for entrepreneurs, founders, and VCs: For busy entrepreneurs, this podcast delivers quick, actionable advice on funding and scaling. VCs can stay connected to the latest trends through bite-sized interviews with industry leaders.

Listen on: Spotify |Apple Podcasts


These podcasts are packed with insights, inspiration, and actionable advice for anyone looking to grow, innovate, or level up. Whether you're building something new, looking for investment know-how, or just eager to learn from those who've been there, each show has something valuable to keep you moving forward on your journey.

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📱From Digital IDs to AI Feeds: Tech Giants Shake Up the Digital World

🔦 Spotlight

Happy Friday Los Angeles!

This week, two tech titans, Apple and Snapchat, announced groundbreaking updates that are poised to reshape the way we interact with our digital devices. From secure digital IDs to personalized AI feeds, these innovations are set to have a significant impact on our daily lives.

Apple's Digital Driver's License: A Game-Changer for LA Residents

Apple has taken a major step forward in digital identity with the integration of California driver's licenses and state IDs into Apple Wallet. This initiative, part of the state's mobile driver's license (mDL) program, offers a more convenient and secure way for LA residents to carry their identification. With encrypted data and NFC-enabled verification, users can now use their digital IDs at TSA checkpoints, select retailers, and even for age verification at bars and restaurants.

The mDL program not only simplifies travel and everyday transactions but also presents exciting opportunities for LA-based startups specializing in fintech, cybersecurity, and identity verification. As digital IDs become more widely adopted, these startups can innovate to create new applications and services that leverage this technology.


Image Source: Snap

Snapchat's AI-Powered Feed and Enhanced AR: A Personalized Experience

Snapchat is undergoing a major transformation with its most significant redesign in years, focusing on simplicity and personalization. The app now offers a more personalized experience, with an AI-driven "For You" feed that curates content tailored to individual preferences. Additionally, Snapchat has enhanced its augmented reality (AR) tools, opening up new possibilities for interactive experiences and creative expression.

LA's thriving tech ecosystem, particularly its startups focused on AI and AR, stands to benefit greatly from Snapchat's innovations. These updates provide opportunities for local developers to create complementary technologies and explore new partnerships within Snapchat's evolving platform.

Impact on LA's Tech Ecosystem

Both Apple's and Snapchat's updates underscore a growing trend toward personalization, security, and streamlined user experiences. LA's tech scene, with its vibrant startup community and strong focus on innovation, is well-positioned to capitalize on these shifts.

As digital experiences become more integrated into our daily lives, LA's startups can explore new frontiers in AI, AR, and secure mobile technologies. This wave of innovation is set to drive growth and collaboration within the local tech ecosystem, solidifying LA's reputation as a global hub for cutting-edge technology.


🤝 Venture Deals

LA Companies

  • PictorLabs, an AI-powered histopathology platform that enhances disease detection, has raised a $30M Series B led by Insight Partners. The company has now raised a total of $48.8 million. - learn more
  • Mellomanic, formerly We Are Giant, has raised a $6M Funding Round, bringing its total capital to $13.8M, to expand its platform and enhance its music experiences for artists and fans, backed by investors including Sterling Partners. - learn more

    LA Venture Funds

    • Mucker Capital participated in a $2.5M Seed Round for Tab Commerce, a fintech company providing financial management solutions to transform how restaurants handle their spending and optimize operational efficiency. - learn more
    • Finality Capital led a $3.2M Seed Round for RISE, a Gigagas Layer 2 blockchain platform designed to enhance scalability and reduce transaction costs. - learn more


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