Tech:NYC Digest: September 30

Tech:NYC Digest: September 30

September 30, 2021 • Estimated Reading Time: 10 minutes

Thursday, September 30, 2021

In today’s digest, median Manhattan rents quickly rebound, a new institute will prepare NYC for future public health emergencies, third quarter NYC startup growth is stronger than ever, and we chat with Maven founder and CEO Kate Ryder on its historic unicorn status.

Was this digest forwarded to you? Subscribe here.

By the numbers:

  • New positive cases statewide: 4,744 (-393)

    • New positive cases, NYC: 1,311

  • Statewide Fatalities: 38 (-9)

  • NYC Positivity Rate: 1.6 percent (no change)

  • Statewide Vaccine Progress:

    • Percentage of adults (18+) with at least one dose: 84.0 percent

    • Percentage of total population with at least one dose: 71.2 percent

Today’s latest: 

  • Residents who signed leases at major discounts are bracing for having to pay significantly more come their next renewal. (Wall Street Journal) Median monthly rental prices in Manhattan had fallen 22 percent on an annual basis in November 2020, but those numbers have more than rebounded to more than $3,100.

  • The CDC released an updated list of conditions that increase the risk of severe COVID, including pregnancy. Federal health officials are escalating efforts to ensure Americans who are or are planning to become pregnant, or are breastfeeding, get vaccinated. (New York Times)

  • The state Assembly is set to release a report on the sexual harassment allegations against former Gov. Cuomo. It is expected to mirror most of the findings of the AG report which confirmed the allegations and led to the governor’s resignation. (New York Times)

  • NYC will establish a permanent public health corps, as well as launch a Pandemic Response Institute in an effort to prepare for future public health emergencies. (NBC New York) The institute will be based out of Columbia University with the involvement of several community, research, and industry partners.

In other reading:

  • How Accurate Are At-Home COVID Tests? (New York Times)

  • You Have Questions About NYC’s New School Quarantine Rules. We Have Answers. (Gothamist)

  • Kathy Hochul Faced Childcare Struggles and Sexism at Work. Now She’s New York’s First Woman Governor (TIME)

  • Musicians are Hosting Joyful, DIY Performances on Fire Escapes in Harlem (Gothamist)

Fresh off of Warby Parker’s direct listing yesterday, venture deal flow in NYC is closing out the third quarter today on an impressive high.

  • The eyewear brand nabbed a $6.8 billion valuation, more than double its valuation after its round of private funding last year. (Wall Street Journal)

Tech:NYC’s data on funding activity in the city recorded over 230 deals from July to September alone, collectively raising $13.5 billion in venture capital.

Why it’s a big deal: NYC tech startups continue outraising their own records as the year goes on.

  • In the first three months of 2021, that number came in at $10.2 billion, then the largest single quarter on record. (Crain’s New York) 

  • In the second quarter, it was $11.2 billion, up 200 percent from last year. (Crain’s New York)

There were certainly some eye-popping deals that accelerated this quarter’s success — Ramp’s $300MM Series C, Dataiku’s $400MM Series E, and Andela’s $200MM Series E, to name a few.

  • And take today by itself: Alloy announced a $100MM round and Betterment announced at $60MM round, earning them both unicorn status.

Venture capital in New York is being turbocharged by the wave of commitments at the seed and Series A levels, which make up most of the activity in the third quarter.

  • In the meantime, another dozen NYC tech companies have set IPO terms or announced plans to go public via SPAC, and experts are expecting a major rush of public offerings before the end of the year. (CNBC)

Our takeaway: The spread of deals across all growth cycles is an important sign of a healthy ecosystem. Funding commitments are being signed for more money, more quickly across the board. That tells us it’s rarely been a better time to be a part of the New York tech scene — but don’t take our word for it. Let Fred Wilson explain.🦄 Speaking of record funding rounds: for the latest edition of our Cornell Tech @ Bloomberg series, we sat down with Kate Ryder, founder and CEO of Maven, shortly after it raised $110MM in new funding and became the first unicorn in the women’s and family health space. Stream the conversation on demand here.

  • Alloy, a New York City-based identity operating system for the financial sector, raised $100 million in Series C funding at a $1.35 billion valuation. Lightspeed Venture Partners led, and was joined by Canapi Ventures, Bessemer Venture Partners, Avid Ventures and Felicis Ventures. (TechCrunch)

  • AlphaSense, a New York City-based market intelligence and search platform, raised $180 million in Series C funding. Viking Global Investors and Goldman Sachs co-led the round and were joined by Morgan Stanley, Citi, Bank of America, Barclays, Wells Fargo Strategic Capital, Cowen Inc., and AllianceBernstein, as well as existing investors. (Forbes)

  • Betterment, a New York City-based investing and savings app maker, raised $60 million in Series F funding, as well as $100 million in additional growth capital, valuing it at $1.3 billion. Treasury led the round and was joined by investors including Kinnevik, Bessemer Venture Partners, Francisco Partners, Menlo Ventures, Anthemis Group, Globespan Capital Partners, Citi Ventures, Private Shares Fund, Aflac Ventures, and ID8 Investments. (Bloomberg)

  • Leena AI, a New York City-based enterprise employee experience company, raised $30 million in seed funding. Bessemer Venture Partners led the round and was joined by existing investor Greycroft and Eduardo Saverin’s B Capital Group. (VentureBeat)

  • MaestroQA, a New York City-based provider of omnichannel quality assurance software for support teams, raised $25 million in Series A funding. Base10 Partners led the round and was joined by SaaStr and Talkdesk Ventures. (Forbes)

  • Materialize, a New York City-based streaming database company, raised $60 million in Series C funding. Redpoint Ventures led the round and was joined by investors including Kleiner Perkins and Lightspeed Venture Partners. (VentureBeat)

  • REDIST, a New York City-based protech startup for finding real estate incentives, raised $1.9 million in seed funding. Investors include Hometeam Ventures, Park West, and New York Ventures. (The Real Deal) 

  • Roll, a New York City-based social token infrastructure company, raised $10 million in Series A funding. ISOG Ventures led the round and was joined by Animoca Brands, Alchemy, Huobi Ventures, Weekend Fund, Mischief Fund, Audacity and more. (FinSMEs)

  • October 6: In-person: 2021 Propelify Innovation Festival, with Tech:NYC founder and executive director Julie Samuels, Capsule founder and CEO Eric Kinariwala, Boxed CEO Chieh Huang, Bowery Farming founder and CEO Irving Fain, and others. Hosted by TechUnited:NJ. 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.

Any feedback or suggestions of things to add? Get in touch here. Was this digest forwarded to you? Sign up to receive it directly here.