Happy Friday Los Angeles! You made it through the first week of 2024!

🔦 Spotlight

Elon Musk may be a divisive (albeit entertaining) figure, but the continued success of SpaceX is pivotal for the aerospace industry in Los Angeles and more broadly around the world.

What happened with SpaceX in 2023?

• Elon Musk challenged Facebook founder, Mark Zuckerberg to a cage fight.
• SpaceX launched 96 successful missions with its Falcon series of rockets, a 57% increase over its previous annual record.
• SpaceX conducted two test flights of the largest and most powerful rocket ever built, Starship.
• Roughly two-thirds of SpaceX's launches in 2023 were devoted to building out Starlink, the company's satellite-internet megaconstellation.
• Isaacson’s Elon Musk biography was published in September including everything from Musk’s tumultuous relationship with his father to his work ethic and “demon mode”.

Moving forward what can we expect from SpaceX and its controversial founder? Continued innovation pushing the aerospace industry to new limits? Yes. More drama? Without a doubt.

Here is some of what is to come in 2024:

• SpaceX has already deployed direct-to-smartphone satellites in its first launch of 2024.
• Bill Gerstenmaier, SpaceX's vice president of build and flight reliability, announced that they are looking to increase flight rate to 144 flights during 2024.
• SpaceX will launch 5 astronaut missions in 2024 if everything goes to plan.
• Starlink will continue to build out the company’s satellite-internet megaconstellation in 2024 as they have permission to deploy double the current number of satellites in orbit.
• SpaceX is working to get other Starship vehicles ready, in keeping with the company's development philosophy, which prioritizes frequent test flights and rapid iteration.
• SpaceX is facing a complaint issued by a regional office of the National Labor Relations Board, for illegally firing employees in 2022 for circulating a letter critical of the company’s founder and chief executive, Elon Musk.

🤝 Venture Deals

Just Announced

Check back next week!

LA Exits

• CG Oncology, an Irvine, CA-based developer of immunotherapies for bladder cancer, filed for a $100M IPO. It plans to list on the Nasdaq (CGON) with Morgan Stanley as left lead underwriter, and has raised around $317m in VC funding. - learn more
• McNally Capital agreed to sell Advanced Micro Instruments, a Costa Mesa, CA-based maker of gas analyzers and sensing technologies, to Enpro (NYSE: NPO). - learn more

Actively Raising

• ReelCall, Inc., an entertainment technology company focused on powerful apps and platforms that help build and maintain the professional network of connections vital to career growth, is raising a $850K Pre-Seed Round. - learn more
• CZero, a hard-tech startup that is developing a technology for decarbonizing natural gas, is raising a $1.5M Seed Round. - learn more
• Couri, a technology startup addressing last-mile delivery issues, is raising a $450K Pre-Seed Round at a $2.2M post money valuation. - learn more
• Sweetie, a marketplace to help people plan date nights, is raising a $250K Angel Round. - learn more
• StartupStarter, an investment platform that provides real-time data and analytics on startups, is raising an $850K Angel Round. - learn more

If you’re a founder raising money in Los Angeles, give us a shout, and we’d love to include you in the newsletter!

📅 LA Tech Calendar

Sunday, January 7th

• LA Coffee Club x Popl - "Networking Gone Wild" Mansion Party & Panel - Join 310 Coffee Club for a panel discussion and networking in Beverly Hills. The panel will be discussing "Networking Tactics to 2x your Potential" with founders & CEOs including Jason Alvarez-Cohen of Popl, Nathan Green of Kin, Rory Garton-Smith of Checkmate, Christina Galbato of Create Her Empire, and Casey Adams of Listener.com!

Wednesday, January 10th

• Startup Cafe: Networking with a Kick - Entrepreneurs, Startups, and Tech Enthusiasts join together to meet and connect with like-minded people, industry professionals and investors, while enjoying a nice cup of coffee in Venice at The KINN. This week’s interactive discussion about AI’s evolution in entertainment will feature Dr. Sam Khoze and Rachel Joy Victor.
• Venice Tech Happy Hour- Join Startup Coil and FoundrHaus Wednesday evening and enjoy the sunset from the rooftop, grab a bite overlooking Abbot Kinney, and mingle with other tech enthusiasts and entrepreneurs by the bar on the patio.

Have an awesome event coming up? Reach out to be featured on next week’s Newsletter!

📙 What We’re Reading

• Tune in to TenOneTen Partner Minnie Ingersoll’s conversation with Josh Porter, co-founder of FirstLook Partners. Josh explains why he thinks smaller funds make the best investment opportunities. He has seen hundreds of decks and digs in on how to evaluate funds and his unique approach to co-investments. - listen here
• Fisker will add dealerships to EV sales model. - learn more
• 4 Predictions for AI in 2024. - learn more

🔦 Spotlight

Mark Suster from Santa Monica-based Upfront Ventures recently interviewed the CEO and co-founder of LA-based Apex, Ian Cinnamon. The conversation shed light on Apex, a standout player in the Los Angeles space tech scene. Apex specializes in manufacturing satellite buses for space missions.

The discussion touched on the expanding space tech industry, emphasizing its increasing allure to investors and entrepreneurs. Los Angeles emerged as a focal point in this narrative, with its rich ecosystem of talent and resources playing a pivotal role. Cinnamon goes on to cite its concentration of top-notch universities, such as UCLA, Caltech and USC, as well as renowned institutions like SpaceX and JPL. This clustering of expertise and innovation has propelled Los Angeles to the forefront of the space tech revolution, fostering a dynamic environment for companies like Apex to thrive.

Moreover, the conversation underscored the transformative impact of companies like SpaceX and Rocket Lab, both based in Los Angeles, in reshaping the space industry's cost dynamics. The reduction in launch costs and increased launch frequency have significantly lowered barriers to entry, enabling startups like Apex to achieve remarkable feats in a fraction of the time and budget previously estimated. Cinnamon's account of launching a satellite within 12 months and under $10 million, compared to the historical norms of three years and $50 million, epitomizes the disruptive potential of these advancements, with Los Angeles serving as a fertile ground for such innovation.

Looking ahead, the dialogue explored the future prospects of space exploration, including ventures like lunar orbits and asteroid mining. Los Angeles, with its vibrant tech scene and burgeoning interest in hard tech and space endeavors, is poised to play a pivotal role in these future ventures. With companies like Apex at the helm, Los Angeles is positioned to continue driving innovation and pushing the boundaries of what's possible in the realm of space technology.

Check out the full interview here.

🤝 Venture Deals

LA Companies

• Steno, a provider of legal support and court reporting service, raised a $46M Funding Round led by Left Lane Capital. - learn more
• Neros, an autonomous military drone developer, raised a $10.9M Seed Round from Sequoia Capital. - learn more
• Kudos, a startup that offers an AI-powered smart wallet service that helps users optimize their credit card rewards and benefits when making purchases, raised a $10.2M Series A led by QED Investors, with Patron, Samsung Next, SV Angel, Precursor Ventures, The Mini Fund, Newtype Ventures, and the Four Cities Fund contributing. - learn more
• Infinitform, an AI software for manufacturing, raised a $2.25M Seed Round led by Schematic Ventures. - learn more
• Farcaster, a startup that is building a decentralized social media platform that uses blockchain technology to give users ownership of their data and identity, raised a $150M Funding Round led by Paradigm, with Andreessen Horowitz, Haun Ventures, Union Square Ventures, Variant, and Standard Crypto contributing. - learn more
• Superpower, a personal health optimization startup, raised a $4M Seed Round from Susa Ventures and Long Journey Ventures. - learn more
• Harbinger, an electric truck maker, raised a $13M Funding Round from Coca-Cola's sustainability fund. - learn more

LA Venture Funds

• Thin Line Capital participated in a $20M Series A extension for XGS Energy, a geothermal energy tech developer. - learn more

LA Exits

• Wonder Dynamics, a startup that helps creators create complex VFX characters and visual effects using AI, was bought by Autodesk. - learn more