Big Stories that Shook the Tech World in 2021

Harri Weber

Harri is dot.LA's senior finance reporter. She previously worked for Gizmodo, Fast Company, VentureBeat and Flipboard. Find her on Twitter and send tips on L.A. startups and venture capital to harrison@dot.la.

Big Stories that Shook the Tech World in 2021
Column: How We're Investing in Entertainment Tech in a Post-COVID World

The pandemic raged on in 2021, forcing Californians to grapple with lockdowns and troubling variants while tech giants pushed their return to offices in perpetuity. Through it all, tech’s boom time largely carried on as startups notched new fundraising records, thanks in no small part to blockchain hype, NFTs and web3.

Yet the exuberance was measured by weak IPOs, political pressure, and roaring demands from workers at Activision Blizzard, Netflix and Amazon, which altogether offered a taste of accountability for leaders in the industry. These and other key stories defined a whirlwind year for big tech and startups alike.

1. Tech Workers Speak Out

Netflix Employees, Counterprotesters Clash in Tense Walk-Out\u00a0Over Dave Chappelle Special Samson Amore

Through several walkouts and an open letter calling for CEO Bobby Kotick’s resignation, Activision Blizzard employees repeatedly pressed the game maker in the second half of the year over its handling of reports of gender inequality, harassment, and retaliation.

Workers urged the company to address its "frat boy" culture and end forced arbitration, while the “Call of Duty” and “Candy Crush” publisher warned employees to “consider the consequences” of unionizing.

At Netflix, workers and counter protestors clashed over an incendiary stand-up special from Dave Chappelle. GLAAD, the LGBTQ advocacy group, criticized the multi-million dollar production, saying “Chappelle’s brand has become synonymous with ridiculing trans people and other marginalized communities.” In response to criticism, co-CEO Ted Sarandos said Netflix has a "strong belief that content on screen doesn't directly translate to real-world harm."

Meanwhile, Amazon faced protests across 22 countries this year over its wages, taxes, and impact on the planet. In Los Angeles, progressive advocacy groups Courage California and the Los Angeles Alliance for a New Economy hosted a virtual town hall for Amazon workers over its warehouse policies on Cyber Monday.

2. Streaming Shakes Up Hollywood

In the movie business, organized workers challenged Netflix, Apple, Disney, and Amazon over a contract that sets pay and quality-of-life standards for tens of thousands of behind-the-scenes crew members.

The standoff nearly ground production to a halt in Hollywood, and came as streaming giants won big at the Academy Awards and the Emmys. Ultimately, the crew members’ union (the International Alliance of Theatrical Stage Employees) narrowly passed a new three-year deal, but not by popular vote, indicating an appetite for pushback in the years to come.

3. Political Pressure Ramps Up

It was a banner year for congressional committees and hearings, although few if any national laws targeting tech came to pass thanks to a deadlocked Congress.

Leaders at Facebook and Google defended their practices while lawmakers probed their role in the Jan. 6 Capitol attack. And Santa Monica-based Snap, TikTok and YouTube fielded questions on social media drug sales and child safety issues while distancing themselves from Facebook.

However, California instituted a number of laws aimed in part at tech, including a rule requiring warehouses to disclose productivity quotas and new protections for workers who speak out about discrimination and harassment. Plus, a state judge ruled California’s gig worker law Prop. 22 unconstitutional, though the battle over the ballot initiative is far from over.

4. Billionaires Touch Space

Wearing a cowboy hat, Jeff Bezos gets a welcome-back hug while crewmate Oliver Daemen, the world's youngest spacefarer, is helped out of the New Shepard capsule.

Billionaires Jeff Bezos, Richard Branson and Shift4 Payments founder Jared Isaacman literally reached for the stars this year in rockets produced by SpaceX, Blue Origin and Virgin Galactic.

The events launched a new era of private space travel, and raised questions over who gets to go to space, who pays for it, and the environmental cost of our interstellar dreams.

Elon Musk’s personal space travel plans, however, remain a mystery.

5. EVs Get Their Moment

As extreme weather hammered the globe, investors plowed funds into climate tech — a vast sector featuring experimental carbon capture machines, electric bikes and scooters, hydrogen cars, heat pumps and everything in between.

Electric vehicles in particular stole the show this year as public investors sent Tesla’s and Rivian’s market caps into the stratosphere. Though Rivian’s stock has since cooled off amid supply issues, at its height it topped the market caps of GM, Ford and Volkswagen while reporting little to no revenue.

A major infrastructure bill pushed by the Biden Administration could also rev up electric car sales. If it passes next year, it could give consumers a tax break on the cars and accelerate the development of a nationwide charging network.

6. Mega Deals: the New Normal

Photo by Giorgio Trovato on Unsplash

Whether we’re in a tech bubble or not, this year startup valuations and deal counts soared as outside cash poured into the scene. In October, Pitchbook released a report counting 600 mega-deals (funding rounds of at least $100 million) this year in the U.S. alone — 138% more than it saw in the entirety of 2019. The data firm attributed the jump in part to a surge of funding from hedge funds and other non-traditional investors.

While many reports on the final quarter of the year are due out in January, seed deals hit new highs in L.A. during the first half of 2021. The pattern continued in the third quarter, mirroring the global trend. Among the driving forces was Web3, a term encompassing everything from speculative blockchain tech and cryptocurrencies to NFT-landen mobile games.

7. Tech Races to Go Public -- and Stumbles

Apple, Microsoft, Google and plenty of other major tech stocks surged this year, but most newcomers to the public market stumbled in 2021. From their debuts, investment app Robinhood’s stock dropped 45% to about $19 per share, salad maker Sweetgreen slipped about 43% to nearly $28 per share, wine subscription company Winc fell around 60% to $4.81 per share, and scooter giant Bird declined about 10% to 7.47 per share (all as of December 17).

Many tech firms went public (or at least announced plans to do so) through special-purpose acquisition companies, or SPACs. These shell companies have risen in popularity in recent years as vehicles to take businesses public, typically speedier and at a lower upfront cost than a traditional IPO. However, the Securities and Exchange Commission has scrutinized the practice and cautioned investors about the risks involved in such deals, which typically perform worse than traditional IPOs.

That doesn’t mean SPACs will disappear in 2022. A number of tech firms are poised to go public via SPACs, including fraud prevention firm TeleSign and digital banking company Dave, and United Talent Agency recently launched its own gaming-focused SPAC on the Nasdaq.

Standing Together Through the Flames

🔦 Spotlight

To our Los Angeles family,

This week’s wildfires have brought immense pain and hardship to our beloved city. Many of our friends, neighbors, and colleagues have faced evacuations, power outages, and the devastating loss of homes and livelihoods. Our hearts go out to everyone affected by this tragedy.

At dot.LA, we want to express our deepest sympathy to those suffering in this moment. We see your resilience and stand with you during this challenging time. This community has always been defined by its strength and compassion, and now is the time to come together in support.

If You or Someone You Know Has Been Impacted, Resources Are Available:

Evacuation Shelters:

  • Calvary Community Church: 5495 Via Rocas, Westlake Village, CA 91362
  • Ritchie Valens Recreation Center: 10736 Laurel Canyon Blvd., Pacoima, CA 91331
  • Pan Pacific Recreational Center: 7600 Beverly Blvd., Los Angeles, CA 90036
  • Westwood Recreation Center: 1350 Sepulveda Blvd., Los Angeles, CA 90025
  • Pasadena Civic Auditorium: 300 East Green Street, Pasadena, CA 91101
  • Pomona Fairplex: 1101 W McKinley Ave, Pomona, CA 91768
  • Stoner Recreation Center: 1835 Stoner Ave, Los Angeles, CA 90025

Animal Shelters:

Small Animals:

  • Agoura Animal Care Center: 29525 Agoura Rd, Agoura Hills, CA 91301
  • Baldwin Park Animal Care Center: 4275 Elton St, Baldwin Park, CA 91706
  • Carson Animal Care Center: 216 W Victoria St, Gardena, CA 90248
  • Downey Animal Care Center: 11258 Garfield Ave, Downey, CA 90242
  • Lancaster Animal Care Center: 5210 W Ave I, Lancaster, CA 93536
  • Palmdale Animal Care Center: 38550 Sierra Hwy, Palmdale, CA 93550

Large Animals:

  • Pomona Fairplex: 1101 W McKinley Ave, Pomona
  • Industry Hills Expo: 16200 Temple Ave, City of Industry, CA 91744
  • Antelope Valley Fair: 2551 W Avenue H, Lancaster, CA 93536
  • Los Angeles Equestrian Center: 480 W Riverside Dr, Burbank, CA 91506
  • Pierce College Equestrian Center: 7100 El Rancho Dr, Woodland Hills, CA 91371

Disaster Relief Information:

  • LA County Assessor: Information for property owners and FAQs about disaster relief.

Mental Health Support:

  • Los Angeles County Department of Mental Health: Crisis counseling and support for those affected. Access services through their website or call their hotline at (800) 854-7771.

Temporary Housing Support:

  • Airbnb: In partnership with 211 LA, offering free temporary housing for displaced residents. Spaces are limited; complete the form to be notified of availability.

Transportation Support:

  • Uber: Use promo code WILDFIRE25 for 2 free rides up to $40 each to/from active shelters.
  • Lyft: Code CAFIRERELIEF25 offers 2 rides up to $25 each for up to 500 riders, valid until 1/15.
  • Metro: Fare collection is suspended systemwide.

Staying Informed:

  • Watch Duty App: Provides real-time wildfire tracking, evacuation warnings, and updates.
  • Los Angeles Fire Department Alerts: Visit their website for the latest information on fire status and safety guidelines.

Safety Precautions:

  • Ready, Set, Go!: Personal Wildfire Action Plan by the Los Angeles County Fire Department.

To those in our community who are volunteering, donating, or offering aid in any form—thank you. Your efforts embody the spirit of LA: strong, compassionate, and unstoppable.

At dot.LA, we’re committed to amplifying stories of resilience and support. If you’ve seen inspiring acts of kindness or have resources to share, please let us know. Together, we can shine a light on the incredible ways this community is stepping up during these trying times.

In the days ahead, let’s hold tight to the bonds that unite us and remember that we are stronger together. The fires may scar the land, but they cannot dim the collective spirit of Los Angeles.

We’re here for you, and we’re with you.

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    A Strong Finish to 2024 for LA Tech: Crosscut Ventures Leads the Way

    🔦 Spotlight

    Happy Friday LA!

    As we close the book on 2024, Los Angeles has had a remarkable year in tech and venture capital. From groundbreaking funding rounds to industry-defining innovations, the city’s tech ecosystem has showcased its ability to adapt and thrive. Among the year’s final highlights was the announcement that Crosscut Ventures, one of LA’s premier early-stage venture capital firms, has added Jon Ylvisaker as its newest Partner.

    Crosscut Ventures’ Bold New Direction

    Announced in late December, Jon Ylvisaker’s appointment reflects Crosscut Ventures’ commitment to advancing its focus on the energy transition. Ylvisaker brings decades of experience in driving investments in energy technologies and digital infrastructure. As the founding partner and managing director of Yield Capital Partners, he led investments in startups and established companies shaping the future of sustainability. At Wolfacre Global Management, a Tiger Management hedge fund, he further honed his expertise in supporting impactful climate-focused solutions.

    Brian Garrett, Managing Director and Co-Founder of Crosscut Ventures, said, “Jon's extensive experience in climate and digital infrastructure investments, coupled with his impressive track record of bringing groundbreaking technologies to market, makes him the ideal partner to help lead our focus.”

    Since its founding in 2008, Crosscut has played a key role in shaping LA’s tech landscape. Ylvisaker’s addition reinforces the firm’s commitment to addressing global challenges like energy transition and sustainability, further solidifying its leadership in venture capital innovation.

    What’s Next for LA Tech in 2025

    The momentum from 2024 has set the stage for an even bigger year ahead. Entrepreneurs, investors, and innovators in LA are poised to take on new challenges and create meaningful change across industries.

    As we step into 2025, we want to thank everyone who helped make 2024 such a standout year. Here’s to another year of progress, innovation, and success. From all of us at dot.LA, Happy New Year!

    🤝 Venture Deals

    LA Companies

    • First Resonance, a company specializing in digital manufacturing software through its ION Factory OS, has raised a $20M funding round led by Third Prime with participation from Blue Bear Capital and others. This brings its total funding to $36M and will be used to accelerate product development, grow its customer base, and enhance support for advanced manufacturing sectors like aerospace, robotics, and clean energy. - learn more
    LA Venture Funds
    • Finality Capital Partners led a $17M Seed funding round for ChainOpera AI, a California-based company developing blockchain networks for AI-powered agents and applications, to accelerate product development, expand its team and enhance its blockchain and AI integration capabilities. - learn more

    LA Exits

    • Thirteen Lune, an inclusive beauty e-commerce platform, has been acquired by SNR Capital, marking a significant milestone in the platform's mission to amplify underrepresented beauty brands while fueling its next stage of growth. - learn more
    • Ergobaby, a leading brand in juvenile products known for its high-quality baby carriers, has been acquired by Highlander Partners. The acquisition aims to bolster Ergobaby’s growth, expand its product offerings, and strengthen its position in the parenting solutions market. - learn more

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    Salt AI’s $3M Bet, Snapchat’s Creator Cash, Rivian’s EV Tech, and ŌURA’s $200M Win

    🔦 Spotlight

    Happy Friday, LA - let’s dive right in to this week’s highlights:

    Salt AI, a forward-thinking AI startup based in Los Angeles, has secured a $3 million seed funding round led by Morpheus Ventures with participation from Struck Capital, among others, to tackle the complexity of managing workflows.Salt AI's blog details how its platform centralizes tools like CRM systems, project management software, and data trackers into one interface, eliminating inefficiencies and freeing up teams to focus on meaningful work. With new funding in hand, Salt plans to scale its platform and expand its reach, a move that underscores how AI can solve everyday business challenges.

    Image Source: Salt AI - Aber Whitcomb

    While Salt AI focuses on the workplace, Snapchat is doubling down on creators, with its latest updates introducing revenue-sharing opportunities and direct monetization features. The company’snewsroom update outlines how enhanced analytics will help creators better understand their audiences and sustain their work. The platform's latest updates introduce revenue-sharing opportunities and direct monetization features, along with analytics that give creators deeper insights into their audience. By making it easier for creators to grow and sustain their work, Snapchat positions itself as a key player in the creator economy, offering features that rival platforms like YouTube and TikTok.

    Image Source: Snap

    On the roads, Rivian is redefining what it means to drive an electric vehicle. The company’s latest software update includes advanced route planning, energy management tools, and customization options that make every trip more intuitive and efficient. Additionally, Rivian has introduced new entertainment features, including Google Cast, YouTube, and SiriusXM, as featured in Rivian’ssoftware spotlight, enhancing the in-cabin experience for drivers and passengers alike. This isn’t just about convenience; Rivian is showing how thoughtful software design can elevate the entire EV experience, blending practicality with sophistication.

    Image Source: Rivian

    ŌURA is making headlines with a fresh $200 million Series D funding round, with participation from Fidelity Management & Research Company and Dexcom, which now values the company at $2.55 billion. This investment, as reported byBusiness Wire, highlights the growing demand for wearable health technology and positions ŌURA as a leader in the space. With its sleek design and emphasis on actionable health insights, the funding will enable ŌURA to expand its reach and further integrate wearables into daily health management, strengthening its position in the competitive health tech market. With this funding, ŌURA aims to reach more users and expand its capabilities, further embedding wearables into daily health management.

    Image Source: ŌURA

    Stay tuned as Salt AI, Snapchat, Rivian, and ŌURA continue to evolve, offering us new ways to work, connect, and live better.

    🤝 Venture Deals

      LA Venture Funds
        • Undeterred Capital participated in a $7M Seed funding round for Portal, a Watertown, Mass.-based biotech company specializing in advanced intracellular delivery technology to drive innovations in biological research and cellular therapeutics. - learn more
        • Vamos Ventures participated in a $7.9M Series A funding round for Culina Health, a Hoboken, NJ-based company that provides personalized, science-based virtual nutrition care by connecting patients with registered dietitians, with plans to use the funds to expand its offerings for dietitians and patients, implement AI-driven tools to enhance care efficiency, and strengthen its leadership team through key hires. - learn more
        • Humans Ventures participated in a $3.8M Seed funding round for Hamming.ai, a San Francisco-based company specializing in automated tools for testing and optimizing voice agents, with plans to expand its platform, enhance reliability and perform, and accelerate product development. - learn more
        • Fifth Wall led, with participation from Starshot Capital and others, in a $9.5M Series A funding round for Mojave, a Sunnyvale, CA-based company developing energy-efficient commercial air conditioning technology. The funds will be used to accelerate the adoption of its innovative systems and reduce energy consumption in the cooling industry. - learn more
        • ReMY Investors participated in a $17M Series B funding round for Scripta Insights, a company that leverages data analytics to help employers and healthy plans reduce prescription drug costs, with the funds aimed at expanding its platform and scaling operations. - learn more
        • Mantis VC participated in a $16.5M funding round for Nuon, a company specializing in Bring Your Own Cloud (BYOC) solutions that streamline AI, data, and infrastructure software deployment. The funds will support product development, readiness for general availability in 2025, and efforts to expand customer acquisition. - learn more
        • B Capital participated in a $102M Series C funding round for Precision, a company developing minimally invasive brain-computer interfaces to treat neurological disorders, with plans to use the funds to expand its team, advance clinical research, and refine its AI-powered brain implant for helping users with severe paralysis operate digital devices using their thoughts. - learn more
        • The Games Fund led a $3M Seed funding round for Dark Passenger, a Poland-based game studio founded by veterans of The Witcher 3 and Cyberpunk 2077, to create an unannounced, innovative, first-person multiplayer PvPvE stealth-action game set in a distinctive universe inspired by feudal Japan and martial arts cinema. - learn more

            LA Exits

            • Calliope Networks, a generative AI company providing licensed media content like movies, TV shows, and news, has been acquired by Protege to strengthen its platform’s capabilities in advancing AI development. - learn more

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