Welcome to Startups Weekly — HajeThe weekly roundup of everything you can’t miss in the world of startups. Subscribe here to receive it in your inbox every Friday.
I just finished recording an episode of Equity, where I learned about the new wave of stupidity. The tech industry’s allergy to DEI has hit a new low, as Silicon Valley leaders once again wave their “meritocracy” banners everywhere. Scale AI’s Alexandr Wang has decided that diversity, equity, and inclusion (DEI) is passé and replaced it with his shiny new acronym MEI: merit, excellence, and intelligence. I cringed so much I’m going to need a chiropractor.
Of course, the ignorance inspired enthusiastic applause from tech titans like Elon Musk at X, while the LinkedIn startup crowd rolled their eyes so hard they were practically doing backflips.
Critics argue that Wang’s post fails (not bullshit!) by ignoring systemic barriers and reducing complex social dynamics to a simplistic (and dangerously naïve) ideal of meritocratic purity. Meanwhile, at Scale AI headquarters, annotators from economically depressed regions work hard to earn a salary that wouldn’t cover a decent brunch in Silicon Valley. But sure, let’s talk about how “objective” hiring practices will save us all from the tyranny of fairness and inclusion.
Sincerely,
Haje
(@Haje about X. Feel free to message me what you think about the above. Also: The thoughts above are my own and do not necessarily reflect the stance of TechCrunch or any of the other writers, or all the blah-blah-blah people often say when writing an angry op-ed.)
The most interesting startup stories of the week
Ever wonder what keeps a top-tier venture capitalist up at night? Spoiler alert: It’s not their bloated investment portfolio or busy schedules. Vinod Khosla, co-founder of Sun Microsystems and the brains behind Khosla Ventures, recently revealed his biggest concern — and it’s not what you’d expect from someone who bet $50 million on OpenAI and had it pay off. I loved Connie’s candid chat with Khosla about the future of AI, regulatory issues, and why Europe’s tech scene might be snoozing while the rest of the world is barreling ahead. Buckle up; it’s an enlightening (and surprisingly entertaining) ride!
- Put the lotion in the basket.: In an attempt to turn your pleasant dreams into vivid nightmares, scientists have developed a robot with real skin that can be stretched and manipulated. Think Terminator T-1000 but with a slightly better skincare routine.
- Rirelgvat vf svar, ubarfgyl*:In a recent interview that generated more suspicion than a botched Botox job, Telegram founder Pavel Durov revealed that the messaging giant operates with just “about 30 engineers” and no dedicated product manager, unless count Durov himself. While he boasted about the efficiency from his Dubai-based lair, security experts put their hands on their faces and called this a major red flag for user safety.
- Hey, Butch, you did buy round-trip tickets, right?:Boeing’s Starliner capsule has finally reached space, but its return home has been significantly delayed. Originally scheduled to return on June 14, the two-person crew will now extend their space vacation until June 26 due to some lingering technical issues.
Most interesting fundraisers of this week
Volkswagen is taking a leap of faith (and money) into the electric future by investing up to $5 billion in Rivian’s software development, starting with an initial injection of $1 billion. This partnership seems mutually beneficial: Rivian gets the financial boost it needs to continue its ambitious path forward, and VW finally gets the chance to polish its somewhat rusty software skills. In their new romance, these two automotive giants will share technological secrets like school kids exchanging lunch snacks; VW even has access to Rivian’s sleek electric architecture. The collaboration could infuse some much-needed dynamism into Volkswagen’s lineup while also giving Rivian some European flair, in a deal that began with the two car-building-crazed companies in Georgia (the state, not the country).
Imagine spending your summer vacation not behind a bike shed smoking weed (or whatever young people are doing these days), but in a venture capital office negotiating half a million dollars. Sounds like the plot of a teen drama, right? Well, for Christopher Fitzgerald and Nicholas Van Landschoot, this is real life. Instead of honing their skills or binge-watching Netflix, these two 18-year-olds have convinced savvy investors to back their AI-powered API startup with $500,000.
- coming hot:In a world where instant gratification seemingly knows no limits, Zepto just raised a whopping $665 million to ensure you never have to wait more than 10 minutes for groceries (or your electronics). Investors are swooping in like they’ve never seen a grocery shopping app!
- A lot of CRM. So clever: Forget everything you know about CRMs being glorified, all-consuming spreadsheets. Christopher O’Donnell, the former HubSpot executive who helped put that company on the map, is back with a vengeance, and this time armed with artificial intelligence.
- The $50 million buy now button:Have you ever felt that shopping online is like looking for a needle in a digital haystack? Well, Daydream seems to think the same and has decided to tackle this conundrum head-on. Armed with a massive $50 million in seed funding and an arsenal of AI-powered tools, she aims to make e-commerce searches as easy as finding cat videos online. meowindeed.
Other must-see stories from TechCrunch…
Every week, there are always a few stories I want to share with you that just don’t fit into the categories above. It would be a shame if you missed them, so here’s a random bag of goodies:
- Stop, collaborate and listen*:OpenAI is on a mission to become the Swiss Army Knife of technology. After acquiring database firm Rockset, it has just acquired Multi, a startup that is basically Zoom with more features.
- Simply the best!*: Anthropic has released Claude 3.5 Sonnet, its new and improved AI model. While it’s touted as the best yet, it’s more of a gentle nudge forward than a giant leap for AI. The new model excels at analyzing text and images, but don’t expect it to crack jokes any better than its predecessors — AI humor remains an unsolved mystery. But that’s why you got me, right? I’m hilarious. All that’s what it says.
- Boulevard of broken dreams*:The courtroom drama surrounding Fisker’s Chapter 11 bankruptcy is heating up faster than a lawyer chasing billable hours. With accusations of “suspicious activity” and heated exchanges that should rather appear on daytime television than in bankruptcy court, the fight over Fisker’s assets is turning into an all-out legal brawl.
- Come and keep your comrade warm.*: Just when you thought your antivirus software was the least of your worries, the US government disagrees: Kaspersky is now off limits! Citing national security concerns and Russia’s potential weaponization of data, Uncle Sam has declared a “first-of-its-kind” ban on the popular antivirus vendor.
- Everything is waiting for you*: In a world where venture capital for Black women is as rare as a hen’s dentist, Fearless Fund co-founder Ayana Parsons has decided to trade boardrooms for beach views. Announcing her resignation on LinkedIn, Parsons will no longer be a general partner and COO, but will instead “enjoy island life” with her family. As this legal drama unfolds, it’s disappointing that the big names in tech haven’t rallied behind Fearless Fund.
