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XValence Announces Funding Network to Connect Black Founders
Ben Bergman is the newsroom's senior finance reporter. Previously he was a senior business reporter and host at KPCC, a senior producer at Gimlet Media, a producer at NPR's Morning Edition, and produced two investigative documentaries for KCET. He has been a frequent on-air contributor to business coverage on NPR and Marketplace and has written for The New York Times and Columbia Journalism Review. Ben was a 2017-2018 Knight-Bagehot Fellow in Economic and Business Journalism at Columbia Business School. In his free time, he enjoys skiing, playing poker, and cheering on The Seattle Seahawks.
Valence, a tech platform and professional network launched last year that connects Black founders, announced its inaugural funding network Thursday. The list includes investors at top firms including Sequoia Capital, Accel and Upfront Ventures.
"For years, Black entrepreneurs have been told that Silicon Valley is a meritocracy, but at the same time most haven't had access to the top networks, the warm introductions, and the mentorship that underpin lasting success in tech. Valence is upending this completely by bringing the top VCs to compete for the best Black entrepreneurs." said Valence co-founder and general partner at Upfront Ventures, Kobie Fuller. "We want to even the playing field with the goal of exponentially growing the number of Black-owned startups that get funded."
Only 4% of VC employees are black, according to a 2018 survey by the National Venture Capital Association, an industry trade group. Just 10% of VC-backed companies in Los Angeles are run by a person of color or a woman, according to PledgeLA.
However, the true numbers are likely much lower because those survey – like all others examining diversity — are self-reported.
Valence also announced that is has appointed tech and entertainment veteran Guy Primus as chief executive officer.
"Facilitating success in the innovation economy is key to Valence's mission. By creating the Valence Funding Network, we are eliminating one of the most formidable structural obstacles to success—the access to venture investors." said Primus.
Here are the inaugural funding members:
- 645 Ventures
- Nnamdi Okike
- Accel
- Rich Wong
- Base10
- Ade Ajao
- Bessemer
- Elliott Robinson
- Capital G
- Gene Frantz
- Collab Capital
- Jewel Burks
- Concrete Rose
- Sean Mendy
- Defy Partners
- Nabeel Hyatt
- Techsquare Labs
- Upfront
- Neil Sequiera
- Equal Ventures
- Richard Kerby
- First Round
- Josh Kopelman
- Forerunner
- Brian O'Malley
- Foundry
- Brad Feld
- General Catalyst
- Peter Boyce
- GGV
- Hans Tung
- Greylock
- Sarah Guo
- Jordan Fudge
- Spark Capital
- Rebecca Kaden
- High Alpha
- Scott Dorsey
- Lightspeed
- Mercedes Bent
- Lux
- Deena Shakir
- Outlander
- Paige Craig
- Precursor
- Charles Hudson
- Redpoint
- Annie Kadavy
- Sequoia
- Jess Lee
- Sinai Ventures
- Paul Judge
- Union Square
- Kobie Fuller
- valence - dot.LA ›
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Ben Bergman is the newsroom's senior finance reporter. Previously he was a senior business reporter and host at KPCC, a senior producer at Gimlet Media, a producer at NPR's Morning Edition, and produced two investigative documentaries for KCET. He has been a frequent on-air contributor to business coverage on NPR and Marketplace and has written for The New York Times and Columbia Journalism Review. Ben was a 2017-2018 Knight-Bagehot Fellow in Economic and Business Journalism at Columbia Business School. In his free time, he enjoys skiing, playing poker, and cheering on The Seattle Seahawks.
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Diagnostics Startup Polygon Raises $4M To Test Kids for ADHD and Dyslexia
Keerthi Vedantam is a bioscience reporter at dot.LA. She cut her teeth covering everything from cloud computing to 5G in San Francisco and Seattle. Before she covered tech, Keerthi reported on tribal lands and congressional policy in Washington, D.C. Connect with her on Twitter, Clubhouse (@keerthivedantam) or Signal at 408-470-0776.
Here’s how Jack Rolo describes his childhood: He was good at chess, and bad at spelling. He was good at math, and bad at reading. Rolo went on to study physics at Durham University in his native England—and despite often struggling in his courses, it wasn’t until after he graduated that he was diagnosed with dyslexia, a common language processing disorder that affects reading.
Rolo’s experiences informed his founding of Polygon, a Santa Monica-based diagnostics startup that emerged from stealth on Friday with $4.2 million in funding, and the goal of better diagnosing dyslexia, ADHD and other learning-related disabilities. The funding includes a $3.6 million seed round led by Spark Capital, as well as $600,000 in pre-seed funding led by Pear VC.
“It really is a product I wish I'd had access to at an earlier age myself,” Rolo told dot.LA.
After moving to California to earn his MBA degree at UC Berkeley, Rolo met his co-founder Meryll Dindin, who now serves as Polygon’s chief technology officer. Together, they’ve built a platform that aims to partner with schools to test children for a myriad of disabilities that may affect academic performance. (The startup claims it’s already teamed with schools in California, but did not disclose which.) Rolo says he envisions that these assessments become as ubiquitous as vision and hearing exams: that every student, regardless of age, background or academic performance, will be tested.
As is, testing for disorders like ADHD and dyslexia often depends on parents, teachers or pediatricians observing a child, detecting something amiss and intervening. There are problems with this method; for instance, girls are chronically underdiagnosed with ADHD because it presents itself differently than it does for boys. Teachers juggling crowded classrooms may not be able to perceive why a specific child is falling behind. And Black and Latino children are often overlooked when it comes to diagnosing disabilities.
“Common roots of referral are teachers, and typically that's flagged because they'll see the student failing,” Rolo said. “That's part of the problem—that this then becomes almost a wait-to-fail approach, when ideally you want to pick these things up proactively.”
Polygon employs full-time psychologists who evaluate students through a telehealth platform. After undergoing a range of standardized assessments and interviewing their parents and teachers, a student who is diagnosed will receive an "Individualized Education Program," a schooling curriculum tailored toward their disabilities.
Assessments start at $995, which Polygon says is up to five times cheaper than traditional disability testing alternatives. The company plans on driving that cost down further by collecting a large data sample of assessments and building machine learning technology to “pre-screen” students; those who are flagged would then undergo more extensive testing.
“Ultimately, what we're trying to move toward is a model quite similar to the optician, where everyone gets the evaluation,” Rolo said. “Yes, assessments are still not accessible for all families just yet—but this is the beginning, and we hope to drive this cost down way further over time.”
Polygon said the new funding will go toward expanding beyond California and growing its network nationally.
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Keerthi Vedantam is a bioscience reporter at dot.LA. She cut her teeth covering everything from cloud computing to 5G in San Francisco and Seattle. Before she covered tech, Keerthi reported on tribal lands and congressional policy in Washington, D.C. Connect with her on Twitter, Clubhouse (@keerthivedantam) or Signal at 408-470-0776.
ZipRecruiter CEO Ian Siegel on How the Job Market Has Shifted
Spencer Rascoff serves as executive chairman of dot.LA. He is an entrepreneur and company leader who co-founded Zillow, Hotwire, dot.LA, Pacaso and Supernova, and who served as Zillow's CEO for a decade. During Spencer's time as CEO, Zillow won dozens of "best places to work" awards as it grew to over 4,500 employees, $3 billion in revenue, and $10 billion in market capitalization. Prior to Zillow, Spencer co-founded and was VP Corporate Development of Hotwire, which was sold to Expedia for $685 million in 2003. Through his startup studio and venture capital firm, 75 & Sunny, Spencer is an active angel investor in over 100 companies and is incubating several more.
On this episode of Office Hours, host Spencer Rascoff talked with ZipRecruiter CEO and founder Ian Siegel about how he built his company, the lessons he's learned along the way and how he's seen the pandemic drastically reshape the job market—probably for good.
Siegel moved to L.A. to be a writer in Hollywood. But he quickly realized he hated it. Instead, he moved into the fledgling online division at Warner Bros., From there, he found himself working at a series of VC-backed startups that became successful. As a result, he became known in the industry as an expert in taking online businesses that had plateaued and figuring out a way to help them grow. He said he hated every minute of it.
“What you are in that situation is you're an agent of change. And what I learned is you can be good at that, but no one likes you because everybody fears change.”
Instead, Siegel worked up the courage to start his own business.
“Why do I let people pay me such a small amount of money to turn around these businesses?,” he asked himself. “If I'm so good at this, why don't I just start my own and build it right from the very beginning. And that's what ultimately gave me the conviction to go launch ZipRecruiter.”
His time working at young startups too small to have their own HR departments gave Siegel the idea. After posting the same job position across multiple websites and printing out every single resume submitted, he realized he was facing a problem technology is built to solve.
“I just wanted a magic button that I could push. And it would send a job to all job boards at once, and then all the candidates from all those different sites would go into one easy to review list. That's exactly what we built with the first version of ZipRecruiter,” said Siegel.
Over time, ZipRecruiter’s mission has changed, he said, from a company aimed at solving a single pain point to a company trying to reinvent how the labor market functions. That, he added, is orders of magnitude more difficult, because “you are retraining America or potentially the world on a new way to do something.”
“And now you are knife fighting in the jungle, you are trailblazing,” he added. “I don't worry about how anybody in the current ecosystem operates. I'm truly fundamentally trying to change the labor market in the United States right now.”
Siegel said he’s seen the job market drastically change over the past couple years, as the pandemic accelerated the move to remote work and hybrid and remote positions surged. Fewer than 2% of jobs on ZipRecruiter had the words “remote” in them before COVID-19 stuck. Now, 60% of applicants say they’re seeking remote or hybrid work, and 12% of the jobs listed on the site offer a remote option—and that number is growing.
That reality has changed how he runs his own business.
“What I've done at ZipRecruiter is accept change,” Siegel said. “We are fully embracing remote. I believe remote is not only here to stay, it's a huge benefit.”
That, he says, is because employees and employers both save time on driving and grooming. They save money on gas and parking. The office, he added, will still have a purpose, but it will probably be more for building culture, and less for work.
"It'll be a much smaller space entirely designed around fun," he said. "No one will ever go in there every day purely for the purpose of doing their job, probably ever again."
One of the lessons Siegel said he’s learned as a serial entrepreneur is to make sure the work you pick is meaningful to you.
“It turns out every business takes the same amount of time, which is all your time,” he said. “So be thoughtful about how you spend it. Pick work that's meaningful for you. Pick work that has scale opportunity to it and that you're going to be excited to go into every day,”
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Spencer Rascoff serves as executive chairman of dot.LA. He is an entrepreneur and company leader who co-founded Zillow, Hotwire, dot.LA, Pacaso and Supernova, and who served as Zillow's CEO for a decade. During Spencer's time as CEO, Zillow won dozens of "best places to work" awards as it grew to over 4,500 employees, $3 billion in revenue, and $10 billion in market capitalization. Prior to Zillow, Spencer co-founded and was VP Corporate Development of Hotwire, which was sold to Expedia for $685 million in 2003. Through his startup studio and venture capital firm, 75 & Sunny, Spencer is an active angel investor in over 100 companies and is incubating several more.
Riot Games Doubles Down on Mobile With ‘Aim Lab’ Investment
Samson Amore is a reporter for dot.LA. He previously covered technology and entertainment for TheWrap and reported on the SoCal startup scene for the Los Angeles Business Journal. Samson is also a proud member of the Transgender Journalists Association. Send tips or pitches to samsonamore@dot.la and find him on Twitter at @Samsonamore. Pronouns: he/him
Riot Games has invested in virtual shooting range developer Statespace, accelerating the Los Angeles video game publisher’s efforts to dominate the mobile gaming space.
Riot did not disclose terms of the investment but told dot.LA it took a “minority stake” in New York-based Statespace.
Statespace’s main product is a platform called Aim Lab, a free-to-play virtual shooting range that first-person shooter gamers can use to warm up their skills before heading into a competitive match. Statespace CEO Wayne Mackey told the Washington Post that the plan is to leverage its relationship with Riot to bring Aim Lab onto mobile platforms—a transition that he said is “imminent” and could happen as soon as next month.
Riot, in turn, wants to integrate Aim Lab as part of its growing base of titles with hardcore fan bases, like its first-person shooter game “Valorant” or its multiplayer online battle arena (MOBA) game “League of Legends: Wild Rift.” The idea is that esports players could use Aim Lab to warm up with weapons used in the actual games, and also for a postmortem on a match that they lost by giving them a chance to review footage of their defeat and figure out how to improve, Mackey said.
“We look forward to collaborating with Statespace on developing innovative training and coaching tools for Valorant and MOBA players around the world to improve their skills at every level,” Jake Perlman-Garr, Riot’s global head of corporate development, said in a statement Thursday.
Riot has been doubling down on mobile gaming in recent years. The publisher has released three mobile games in the last two years—including “Wild Rift,” its most popular mobile title—and has invested in mobile gaming companies like Double Loop Games and Bunch. That focus has come as mobile gaming has emerged as one of the industry’s fastest-growing sectors.
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Samson Amore is a reporter for dot.LA. He previously covered technology and entertainment for TheWrap and reported on the SoCal startup scene for the Los Angeles Business Journal. Samson is also a proud member of the Transgender Journalists Association. Send tips or pitches to samsonamore@dot.la and find him on Twitter at @Samsonamore. Pronouns: he/him