Tech:NYC Digest: September 29

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Wednesday, September 29, 2021

In today’s digest, the vax mandates seem to be working, NYC traffic nearly at pre-pandemic levels, and congratulations to Tech:NYC member Warby Parker for going public on the NYSE today!

• 🚨 Heads up, founders: We’re excited to announce the first-ever NYC Recovery Challenge! Together with Google for Startups and Cornell Tech, we’re awarding a total of $150,000 to NYC early-stage companies with great ideas for supporting NYC’s economic recovery through tech. Learn more and apply by Oct. 29 here.

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By the numbers:

• New positive cases statewide: 5,137 (+1,023)

  • New positive cases, NYC: 1,311 (-82)

• Statewide Fatalities: 47 (+16)

• NYC Positivity Rate: 1.6 percent (no change)

• Statewide Vaccine Progress:

  • Percentage of adults (18+) with at least one dose: 83.9 percent

  • Percentage of total population with at least one dose: 71.1 percent

Today’s latest: 

• The side effects from a third dose of a coronavirus vaccine are similar to those from a second dose, according to the CDC. The research provides insight into the safety of additional vaccine shots as the US rolls out its booster campaign for older adults and workers in high-risk jobs. (Washington Post)

• New data show 92 percent of the state’s more than 650,000 hospital and nursing home workers have now received at least one dose of the vaccine — a significant increase from last week’s rate of 84 percent. (New York Times) 

  • Which is to say: the statewide mandate that went into effect on Monday seems to have worked.

• Two popup vaccination sites open today at subway stations in Brooklyn and the Bronx in neighborhoods where vaccination rates remain low. (CBS New York)

  • The perk awarding anyone who gets the shot at an MTA site with a free seven-day MetroCard is still on the table.

• Around 64 percent of the NYPD have been vaccinated against COVID-19, a marked increase from a month ago but still far below the rates among other municipal workers. (Newsday) Officers were required to be vaccinated by Sept. 13 or be tested weekly; those who don’t comply don’t receive pay for each day of noncompliance and/or are at risk of being demoted.

• Traffic in NYC is nearing pre-pandemic levels: The Port Authority’s four bridges and tunnels carried a total of 10.6 million vehicles in August, representing a “sustained return,” according to the agency. (Bloomberg) Usage has also increased on the seven bridges and two tunnels operated by the MTA by just 2.9 percent less than in July 2019.

In other reading:

• The Rise of the Pandemic Dashboard (Bloomberg)

• Job searches for no vaccine requirement surge as mandates abound (Axios)

• My Fellow Americans, Let’s Be Better Tourists (New York Times)

NYC-based eyewear startup Warby Parker became the latest company to list on the New York Stock Exchange today under the ticker $WRBY.

• When Warby Parker was founded in 2010, the company was initially sending customers glasses to try on at home and keep what they wanted to buy — an early example of the direct-to-consumer market. The company has expanded by opening up retail stores nationwide (plus three in Canada) to complement its e-commerce operation and launching a line of daily contact lenses. (CNBC)

Why it’s a big deal: The company is the first public benefit corporation (“B Corp”) to go public via a direct listing (and the second-ever NYC tech company, after Squarespace earlier this year, to opt for a direct listing over a traditional IPO).

Co-founders and co-CEOs Neil Blumenthal and David Gilboa said that their motivation for the listing wasn’t to just raise funds but to prove that companies can be successful while having a positive impact. (Wall Street Journal)

• "We believe a direct listing is a more transparent and inclusive process for lots of fans of the brand who in a traditional IPO wouldn't have the option of getting an allocation. It creates a fair playing field for all," Gilboa told Axios. ⁠

It’s a big moment for NYC tech: Warby Parker joins several other NYC homegrown tech companies — CLEAR, Sprinklr, 1stdibs, Vimeo, and Squarespace, among the most recent — comprising a record-breaking list of IPOs this year.

No matter where you slice the NYC tech sector, between the startups and big guys, the outlook is pretty much the same: tech is putting down more roots and making the city’s aspirational comeback a reality.

• Just last week: Google announced the single largest real estate transaction of the pandemic in committing to purchase the 1.3 million square foot St. John’s Terminal building in Manhattan for $2.1 billion. And it was only the latest example of tech companies buying up New York real estate left and right.

This commitment ​has helped New York City emerge as one of the world's most resilient big cities in the wake of the pandemic. (Bloomberg)One way you can take part in the moment: Tech:NYC, with our partners at Google for Startups and Cornell Tech, today announced the NYC Recovery Challenge! If you’re a startup founder that has raised less than $5 million in seed funding, you could earn a non-dilutive $100,000 cash award, exclusive business mentorship, and more. Learn more and apply by Oct. 29 here.

• Andela, a New York-based staffing platform focused on training and connecting African developers with US companies, raised $200 million in Series E funding at a $1.5 billion valuation. SoftBank led the round and was joined by Whale Rock and insiders Generation Investment Management, Chan Zuckerberg Initiative, and Spark Capital. (TechCrunch)

• Avo, a New York City and Israel-based same-day delivery company, raised $45 million Series B funding. Insight Partners led the round and was joined by investors including Kleiner Perkins and JLL Spark. (PRNewswire)

• Benepass, a New York-based employees benefits platform, raised $12 million in Series A funding. Threshold Ventures led the round and was joined by Modern Venture Partners, Operator Partners, and Alumni Ventures Group, as well as insiders Gradient Ventures and Global Founders Capital. (FinSMEs)

• Carrot, a New York City-based e-commerce shopping cart analysis plug-in, raised $5.5 million in seed funding from Kindred Ventures, M13, Abstract Ventures, Designer Fund, Combine, Paris Hilton, Scott Belsky, Riverpark, and NextView Ventures. (TechCrunch)

• Cleancult, a New York City-based cleaning brand focused on plant-based ingredients, raised $25 million in Series B funding. Reynolds Channel and Anchor Capital led the round. (Forbes)

• Height, a New York City-based workplace management and collaboration platform, raised $14 million in Series A funding. The round was led by Redpoint Ventures. (FinSMEs)

• Stake, a New York-based provider of flexible payment and loyalty plans for renters, raised $4 million in seed funding. The round was led by Shadow Ventures and joined by Hometeam Ventures, Olive Tree Holdings, Blue Field Capital, Hampton VC, Gaingels, and Ellen Levy. (FinSMEs)

• September 30: Virtual: What the vaccine mandate means for your company, with Nixon Peabody LLP partner Rachel Conn, Engage PEO general counsel Sadiqa Banks-Holsey, and others. Hosted by Protocol. Register here.

• September 30: Virtual: Female Founder Office Hours, for 1:1 meetings with early-stage female founders and Tribeca Ventures Partners’ investment team. Register here.

• October 6: Virtual: What It’s Like to Exit: Getting Bought, with former Chartbeat and Scroll CEO and Betaworks CEO John Borthwick. Hosted by Betaworks. Register here.

• October 6: Virtual: The Future of New York City, with Brooklyn Borough President (and Democratic nominee for Mayor) Eric Adams. Hosted by Savills. Register here.

• October 7: Virtual: Industry Needs in Manhattan, with ABNY CEO Melva Miller, Manhattan Chamber of Commerce CEO Jessica Walker, and others. Hosted by NYCETC. Register here.

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