-1 C
London
Wednesday, February 8, 2023

Copycats can drown • londonbusinessblog.com

Must read

Biden thanks congressional leaders, Nancy Pelosi in State of the Union address

IE 11 is not supported. For an optimal experience, please visit our site on a different browser.Biden: 'The climate crisis doesn't matter if...

Biden to Address Child Safety Online at State of the Union • londonbusinessblog.com

President Joe Biden will address the nation in the second State of the Union address of his term on Tuesday night. By a...

Global VC firm Partech reaches first slot of largest African fund at €245 million • londonbusinessblog.com

To get a roundup of londonbusinessblog.com's biggest and most important stories delivered to your inbox every day at 3PM PST, register here. How are you,...

Steven Roy- Wiki, age, height, net worth, wife, ethnicity

Stephen Roy is a Canadian filmmaker and actor. Steven directed and appeared in a number of well-known films. He has appeared in...
Shreya Christinahttps://londonbusinessblog.com
Shreya has been with londonbusinessblog.com for 3 years, writing copy for client websites, blog posts, EDMs and other mediums to engage readers and encourage action. By collaborating with clients, our SEO manager and the wider londonbusinessblog.com team, Shreya seeks to understand an audience before creating memorable, persuasive copy.

Welcome to Startups Weekly, a nuanced look at this week’s startup news and trends by Senior Reporter and Equity co-host Natasha Mascarenhas. Subscribe here to receive it in your inbox.

To close out the year, let’s go back to the columns I wrote that are, well, interestingly out of date. In July I wrote about how Y Combinator builds a Product Hunt, Product Hunt builds an Andreessen Horowitz, and Andreessen Horowitz builds a Y Combinator. It was a not-so-subtle nod to how top institutions try to be accelerators, discovery engines, content marketers, and check writers rolled into one.

Enter the last. Future, Andreessen Horowitz’s formal foray into tech media, ends less than two years after its initial launch, said Business Insider. To me, the closure isn’t so much about a company not jumping into the editorial space — the company is still creating content and even building a new podcast on technology and culture right now — and more about how the medium really the message.

The whole appeal of going direct as a founder and venture capitalist is based on assumptions. First, that you have something important to say. Second, you have to believe that you can consistently package that content in a compelling way. And third, perhaps most importantly, your important, well-packaged content must find an audience that trusts it.

It’s one of the many reasons media is a hard business, and one of the reasons I’m not surprised Future is closing (despite the fact that the venture firm could presumably continue to fund some version of it). Some think it was a clear advantage that the company had a home to house smart content on its portfolio companiesbut just because something makes sense doesn’t mean it has the impact an institution hopes for.

A16z has built a reputation as a service-oriented company. To me, the story is less that a venture capital firm with billions in assets under management failed in a courageous experiment. It’s more that organizations, in their pursuit to be an accelerator, discovery engine, content marketer, and check writer, teach us in real time what translates and what doesn’t.

We often think of venture capital’s webs in a conflict-of-interest-type opening — and there’s more to come on that angle in the coming weeks. But this week has me thinking about how the intertwining of different trends, themes and products is also shifting as priorities.

You can find me at Twitter, Substack and Instagram, where I publish more of my words and work. In the rest of this newsletter, we’ll talk about employee turnover, red flags, and good news.

Executive turnover and the art of conflict

The tech job market has certainly raised many questions about the stability of certain industries and roles – and whether growth can protect a company from layoffs. The big news this week was that Bret Taylor stepped down from his position as Co-Chairman and CEO at Salesforce, a month after losing his job as CEO of Twitter after Elon Musk bought the social media platform.

But that’s not the only kerfuffle in town this week.

This week, DoorDash and Kraken cut parts of their workforce. BloomTech, formerly known as Lambda School, has laid off half its staff in its third layoff since the pandemic began. And on Friday, Opendoor CEO Eric Wu stepped down and was succeeded by CFO Carrie Wheeler. Turnover is everywhere, both voluntary and involuntary, which makes me think a lot about second-order consequences.

Here’s why this matters, via Karla Monterroso, CEO of Brava Leaders:

We are at the beginning of creating what multicultural institutions will look like and how they will work. I think a lot of the turnover that we’re seeing, whether it’s layoffs or the new management, means people are coming in to recreate homogeneity in their businesses.

So, they’re resigning, and they’re taking out all the complexity. They cut off the parts of the organization that caused friction. And that friction is essentially what makes multicultural institutions more effective because they ask different kinds of questions. But many of the leaders who come in don’t have the scope to run a multicultural organization or company. And because they don’t have the range for it, they just cut it out. Then that ensures homogeneity, because that is what makes a group of leaders comfortable at the moment. And we need leadership that is actually much more comfortable with complexity.

Image Credits: Thibault Camus / AP photo

Are red flags really that hard to spot?

Equity also unpacked the latest blog post written by famed venture capitalist Bill Gurley in which he lists the red flags investors should look out for when investing in startups. As you might be able to tell from the episode title, we definitely had thoughts.

Here’s why this is important: While I’m all for highlighting explicit mistakes that novice investors should avoid, Gurley’s post missed an important point – which is that many investors do know how to identify red flags, they simply choose to ignore them in the chasing “the outlier”. In fact, what will keep investors from supporting the next FTX is creating an environment where conflict is prioritized over groupthink.

"Subject: Tropical storm in the beach paradise Resort Location: Playa del Carmen, Riviera Maya, Mexico."

Image Credits: Yin Yang (Opens in a new window) /Getty Images

[Insert good news here]

We’re officially that time of year and part of the news cycle, where I’m desperate for some good news to highlight.

Here’s what made me smile this week:

Famous Golden Gate Bridge with buildings in the background in San Francisco, California, USA

Image Credits: Wire material (Opens in a new window) /Getty Images

A few notes

Seen on londonbusinessblog.com

San Francisco police can now use robots to kill

Elon Musk suspends Kanye West’s account for violating Twitter rules

LastPass says it has been breached – again

With the Instafest app you can put together your own festival lineup from Spotify

Here’s everything AWS announced in its re:Invent data keynote

Seen on londonbusinessblog.com+

Box hits a $1 billion run rate despite a quarter dogged by currency challenges

ChatGPT won’t put me out of work yet, but it’s a lot of fun

Startup valuations are falling, but not consistently

Proptech in Review: 3 investors explain why they are optimistic about technology that makes buildings greener

How contagious will FTX’s demise become as BlockFi files for bankruptcy?

If you like this newsletter, would you please do me a favor? Send it to a friend, tell me what you think on Twitterand follow my personal blog for more content. We only have a few issues of Startups Weekly left until next year, some coming back next week – OK?

Stay warm,

N


More articles

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Latest article

Biden thanks congressional leaders, Nancy Pelosi in State of the Union address

IE 11 is not supported. For an optimal experience, please visit our site on a different browser.Biden: 'The climate crisis doesn't matter if...

Biden to Address Child Safety Online at State of the Union • londonbusinessblog.com

President Joe Biden will address the nation in the second State of the Union address of his term on Tuesday night. By a...

Global VC firm Partech reaches first slot of largest African fund at €245 million • londonbusinessblog.com

To get a roundup of londonbusinessblog.com's biggest and most important stories delivered to your inbox every day at 3PM PST, register here. How are you,...

Steven Roy- Wiki, age, height, net worth, wife, ethnicity

Stephen Roy is a Canadian filmmaker and actor. Steven directed and appeared in a number of well-known films. He has appeared in...

Aussie fintech Yondr tackles inflation pains and hidden costs

As inflation and interest rates continue to rise, digital banking alternative Yondr is stepping up to help Australians save on hidden costs and budget...