Looking at how TechCrunch+ was shut down Venturesome In 2022, we don’t see a lot of positive news. We saw RedundanciesDemands for growth at all costs, VCs sitting on mountains of cash and Less funding for minority groups – Again. Some of these things may seem counterintuitive, but that’s what VCs thrive on.
Let’s dive into the best TechCrunch+ venture stories of 2022:
The pendulum of power swings back to the capitalists, doesn’t it?
Layoffs spread across the tech sector throughout the year.
Natasha Mascarenhas spoke to Nolan Church, who helped lead the Garda’s 2020 redundancies as its chief officer. However, we are going to see more layoffs in the new year. Church “estimates another 30,000 to 40,000 tech workers worldwide will be laid off in the first quarter of 2023 – this follows more than 100,000 layoffs so far in 2022. layoffs.fyi Data,” Natasha said.
Yeah, no, most VCs still don’t care about your path to profitability
In 2021, startups will grow at all costs. They were hired and had inefficient customer acquisition, but venture capitalists funded them. This year, we saw something a little different. Rebecca Szkutak reports that VCs have decided that using cash in the name of growth may not be the best plan. But have we seen VCs follow through on their demands?
Go ahead, operators — consultants are the new unconventional VC
Startup consulting firms are raising their own venture capital to hold stakes in companies they already partner with. It’s a bit more complicated than that, but Rebecca questions, “Why are so many advisor-led venture capital funds being launched now?” Turns out startups are asking them.
Amidst the dry powder of the record, VCs are sure to fund anything but you
While we may have seen startup consulting firms paying, we haven’t seen traditional VCs have money. Starting in 2020, there’s been a lot of talk about funding historically underrepresented groups — but we haven’t seen VCs putting their money where their mouths are. However, some are sponsored. As Rebecca says, “They don’t support anyone – they support everyone but you.”
Black startup founders raised just $187 million in the third quarter
Dominique-Madori Davies looked at the amount of capital black entrepreneurs raised in Q3 2022. To put things into perspective, Dom wrote, “Adam Newman raised more in one round than all the black founders combined in one quarter. Adele is worth $220 million. However, these numbers are not necessarily surprising. Investors often retreat to their networks amid economic downturns, taking fewer risks on minorities, TechCrunch reported. Dom will keep tabs on this data in 2023.