This week, investment giant KKR revealed its acquisition of VMware’s end-user computing division from Broadcom for $4 billion. This deal encompasses VMware Workspace One and VMware Horizon, two prominent remote desktop applications within VMware’s suite of products.
Elsewhere, French AI startup Mistral unveiled a new model aimed at competing with OpenAI’s GPT-4, accompanied by its chatbot named Le Chat. This announcement coincided with a collaboration with Microsoft to offer Mistral models to Azure clients, coupled with a $16 million minority investment from Microsoft.
Plenty more unfolded this week, which we detail in this edition of WiR. But before delving in, a friendly reminder to subscribe to receive the WiR newsletter directly to your inbox every Saturday.
Additionally, TC recently hosted its latest StrictlyVC event in Los Angeles, featuring Signal President Meredith Whittaker, Waymo Co-CEO Tekedra Mawakana, rabbit CEO and Co-Founder Jesse Lyu, Founders Fund Partner Trae Stephens, and Lightspeed Ventures partner Faraz Fatemi. The panel covered diverse topics, including AI’s potential to disrupt established firms, Waymo’s journey, and Rabbit’s momentum after its CES 2024 reveal. Don’t miss out on StrictlyVC London in May!
News Highlights:
– Apple Abandons Car Project: Apple has terminated its secretive project to develop an autonomous electric car, resulting in significant layoffs within the team. This move adds to Apple’s list of discontinued projects, including AirPower and a television endeavor.
– Bumble Faces Challenges: Bumble reported disappointing Q4 results, with a $32 million net loss and $273.6 million in revenue, falling short of Wall Street’s expectations. To address this, CEO Lidiane Jones announced layoffs affecting 30% of Bumble’s workforce and plans for an app overhaul to reignite growth.
– Google’s AI Misstep: Google issued an apology after its AI model generated images with culturally insensitive depictions, highlighting the importance of contextual understanding in AI systems.
– Tumblr CEO’s Controversy: Tumblr owner Automattic’s CEO, Matt Mullenweg, engaged in public disputes with users over content moderation decisions, prompting accusations of transphobia.
– Founder Ousted at Byju’s: Byju’s investors voted to remove founder and CEO Byju Raveendran and filed legal action against the leadership, alleging mismanagement.
Funding Highlights:
– GenAI Books: Inkitt, an AI-driven self-publishing platform, secured $37 million to develop and distribute bestselling stories selected through AI algorithms.
– Vintage Photography: Lapse raised $30 million for its app that simulates traditional photo development, offering users an authentic, uneditable photography experience.
In-depth Analysis:
– Techstars Under Scrutiny: Mary Ann interviewed Maëlle Gavet, CEO of Techstars, following operational changes that drew criticism.
Podcast Highlights:
Equity Recap: The Equity team delved into the latest developments from Microsoft, Mistral AI, Thrasio, and Glean, sharing perspectives from COTU Ventures and Zacua Ventures.
– Founder Insights: Found featured Ariel Kaye, founder of Parachute, a D2C bedding and home goods company.
– NFT Discussions: Chain Reaction revisited a conversation with Jack Lu, CEO of Magic Eden, a community-driven NFT marketplace.
Extra Tidbit:
– Toyota Mirai Deal: Toyota offers a $40,000 discount on the 2023 Toyota Mirai Limited, along with $15,000 worth of free hydrogen over six years, yet access to hydrogen remains a challenge.
That wraps up this week’s highlights! Stay tuned for more tech insights and news next Saturday.
