Welcome back to another recap of Equity, TechCrunch’s flagship podcast about the business of startups. This episode is packed with some significant fundraises, a potentially massive acquisition falling apart, and looking at what happens when a fintech company suddenly stops serving certain customers.
Clio Raises $900 Million in a Very Large Sum
We started our recap by talking about Clio’s huge fundraise. The Canadian legal tech company raised $900 million at a $3 billion valuation—a very large sum anytime, but especially in this market. Impressively, the company is still growing rapidly, which isn’t easy to do when you’re at such a late stage.
What Drives Clio’s Growth?
We talked about the drivers behind that growth and how Clio differs from other legal tech startups raising capital these days. One of the key factors driving Clio’s growth is its focus on providing a comprehensive platform for law firms, which includes practice management tools, client intake, and billing capabilities.
Alphabet’s Vote of Confidence in Waymo
Next up, we discussed Alphabet’s announcement this week that it would invest another up to $5 billion in Waymo. It’s an obvious vote of confidence on self-driving cars on Alphabet’s part, but both Becca and Mary Ann agreed on one thing: They’d prefer to stick with riding in cars with human drivers.
Why Waymo Matters
Waymo is a crucial part of Alphabet’s efforts to revolutionize transportation through autonomous vehicles. The company has made significant progress in recent years, including launching a commercial self-driving taxi service in Phoenix. With this additional investment, Waymo will continue to drive innovation and growth in the field of autonomous vehicles.
Aviato’s 17-Year-Old Founder Raises Money
We closed out our deals of the week with a lively discussion on a 17-year-old founder and investor who pitched investors out of the stall of his high school bathroom. He just raised money for his startup, Aviato, and his story is an inspirational and fun read.
What’s Next for Aviato?
Aviato’s founder, [name], has big plans for his company, which aims to provide a platform for social media influencers to monetize their content. With this funding, he’ll be able to expand his team and develop the product further.
Wiz Turns Down Alphabet’s $23 Billion Acquisition Offer
Next up was cybersecurity company Wiz turning down a $23 billion acquisition offer from Alphabet. We talked about potential reasons and looked at other examples of large M&A deals not working out.
Why Did Wiz Say No?
There are several reasons why Wiz might have turned down the acquisition offer. One possible reason is that the founders wanted to maintain control over their company’s direction and vision. Another possibility is that they believed the deal would limit their ability to innovate and grow in the future.
Mercury Abruptly Shuts Down Service for Certain Countries
We wrapped up Equity with a look at digital banking startup Mercury abruptly shuttering its service to founders located in certain countries, such as Ukraine. Founders were naturally not happy, but another fintech was waiting in the wings to help affected customers.
What Happens Next?
The sudden shutdown of Mercury’s service has left many founders without access to their accounts. However, other companies are stepping in to provide support and assistance. This highlights the need for more flexible and adaptable financial services that can accommodate changing circumstances.
Equity is TechCrunch’s Flagship Podcast
Equity is TechCrunch’s flagship podcast, produced by Theresa Loconsolo, and posts every Monday, Wednesday, and Friday. Subscribe to us on Apple Podcasts, Overcast, Spotify, and all the casts.
Follow Equity on Social Media
You also can follow Equity on X and Threads, at @EquityPod. For the full episode transcript, for those who prefer reading over listening, check out our full archive of episodes over at Simplecast.
Mary Ann Azevedo and Rebecca Szkutak’s Bio
- Mary Ann Azevedo: Senior Editor of Equity and a leading voice on fintech, cryptocurrency, and blockchain.
- Rebecca Szkutak: Editor-in-Chief of Equity and an expert on startup funding, M&A deals, and venture capital.
Stay tuned for more exciting episodes of Equity, where we dive into the world of startups, tech trends, and innovative ideas.
