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Stravito raises $14.6M to create a ‘Netflix for enterprise market research’

By Mike Butcher

Market research and insights are often underutilized assets for enterprises but it’s usually too hard to find content and there’s a lot of duplication, or information isn’t used well.

Swedish startup Stravito says it can centralize internal and external data sources and create something more akin to a ‘Spotify or Netflix’ for these kinds of assets, making them far more usable and consumable, they say.

It’s clearly onto something, since it’s now raised a €12.4million ($14.6million USD) series A funding round led by Endeit Capital, with additional investment from existing investors HenQ, Inventure and Creades. To date, Stravito has raised €20.1million ($23.7million USD).

Founded in 2017 by market research veterans and former iZettle employees, Stravito counts among its customers Carlsberg, Edwards Lifesciences, Pepsi Lipton, Danone, Electrolux and Comcast.

Thor Olof Philogène, CEO and co-founder at Stravito said: “It has never been more important for the world’s largest enterprises to understand and react to their customer’s changing behaviors using centralized, vetted company insights. Stravito’s technology and platform makes it fast and easy for companies to use research to make better decisions.”

On a call with me he added: “We provide a search technology, and a great design, all combined to deliver an intuitive, highly automated cloud service that allows these big companies to centralise internal and external data sources so they can pull out the nuggets they need.”

Jelle-Jan Bruinsma, Partner at Endeit Capital, added: “Endeit Capital is always looking for the next generation of international software scale-ups, and Stravito stood out in the Nordics through its impressive work to raise the bar in the multibillion dollar market research and data industry.”
Stravito also appointed Elaine Rodrigo, Chief Insights & Analytics Officer at Reckitt Benckiser, to its board of directors.

Humane, a stealthy hardware and software startup co-founded by an ex-Apple designer and engineer, raises $100M

By Ingrid Lunden

A stealthy startup co-founded by a former senior designer from Apple and one of its ex-senior software engineers has picked up a significant round funding to build out its business. Humane, which has ambitions to build a new class of consumer devices and technologies that stem from “a genuine collaboration of design and engineering” that will represent “the next shift between humans and computing”, has raised $100 million.

This is a Series B, and it’s coming from some very high profile backers. Tiger Global Management is leading the round, with SoftBank Group, BOND, Forerunner Ventures and Qualcomm Ventures also participating. Other investors in this Series B include Sam Altman, Lachy Groom, Kindred Ventures, Marc Benioff’s TIME Ventures, Valia Ventures, NEXT VENTŪRES, Plexo Capital and the legal firm Wilson Sonsini Goodrich & Rosati.

Humane has been around actually since 2017, but it closed/filed its Series A only last year: $30 million in September 2020 at a $150 million valuation, according to PitchBook. Previous to that, it had raised just under $12 million, with many of the investors in this current round backing Humane in those earlier fundraises, too.

Valuation with this Series B is not being disclosed, the company confirmed to me.

Given that Humane has not yet released any products, nor has said much at all about what it has up its sleeve; and given that hardware in general presents a lot of unique challenges and therefore is often seen as a risky bet (that old “hardware is hard” chestnut), you might be wondering how Humane, still in stealth, has attracted these backers.

Some of that attention possibly stems from the fact that the two co-founders, husband-and-wife team Imran Chaudhri and Bethany Bongiorno, are something of icons in their own right. Bongiorno, who is Humane’s CEO, had been the software engineering director at Apple. Chaudhri, who is Humane’s chairman and president, is Apple’s former director of design, where he worked for 20 years on some of its most seminal products — the iPhone, the iPad and the Mac. Both have dozens of patents credited to them from their time there, and they have picked up a few since then, too.

Those latest patents — plus the very extensive list of job openings listed on Humane’s otherwise quite sparse site — might be the closest clues we have for what the pair and their startup might be building.

One patent is for a “Wearable multimedia device and cloud computing platform with laser projection system”; another is for a “System and apparatus for fertility and hormonal cycle awareness.”

Meanwhile, the company currently has nearly 50 job openings listed, including engineers with camera and computer vision experience, hardware engineers, designers, and security experts, among many others. (One sign of where all that funding will be going.) There is already an impressive team of about 60 people the company, which is another detail that attracted investors.

“The caliber of individuals working at Humane is incredibly impressive,” said Chase Coleman, Partner, Tiger Global, in a statement. “These are people who have built and shipped transformative products to billions of people around the world. What they are building is groundbreaking with the potential to become a standard for computing going forward.”

I’ve asked for more details on the company’s product roadmap and ethos behind the company, and who its customers might potentially be: other firms for whom it designs products, or end users directly?

For now, Bongiorno and Chaudhri seem to hint that part of what has motivated them to start this business was to reimagine what role technology might play in the next wave of innovation. It’s a question that many ask, but not many try to actually invest in finding the answer. For that alone, it’s worth watching Humane (if Humane lets us, that is: it’s still very much in stealth) to see what it does next.

“Humane is a place where people can truly innovate through a genuine collaboration of design and engineering,” the co-founders said in a joint statement. “We are an experience company that creates products for the benefit of people, crafting technology that puts people first — a more personal technology that goes beyond what we know today. We’re all waiting for something new, something that goes beyond the information age that we have all been living with. At Humane, we’re building the devices and the platform for what we call the intelligence age. We are committed to building a different type of company, founded on our values of trust, truth and joy. With the support of our partners, we will continue to scale the team with individuals who not only share our passion for revolutionizing the way we interact with computing, but also for how we build.”

Update: After publishing, I got a little more from Humane about its plans. Its aim is to build “technology that improves the human experience and is born of good intentions; products that put us back in touch with ourselves, each other, and the world around us; and experiences that are built on trust, with interactions that feel magical and bring joy.” It’s not a whole lot to go on, but more generally it’s an approach that seems to want to step away from the cycle we’re on today, and be more mindful and thoughtful. If they can execute on this, while still building rather than wholesale rejecting technology, they might be on to something.

Founders Fund backs Royal, a music marketplace planning to sell song rights as NFTs

By Lucas Matney

Founders Fund and Paradigm are leading an investment in a platform that’s aiming to wed music rights with NFTs, allowing user to buy shares of songs through the company’s marketplace, earning royalties as the music they’ve invested in gains popularity.

The venture, called Royal, is led by Justin Blau, an EDM artist who performs under the name 3LAU, and JD Ross, a co-founder of home-buying startup Opendoor. Blau has been one of the more active and visible figures in the NFT community, launching a number of upstart efforts aimed at exploring how musicians can monetize their work through crypto markets. Blau says that as Covid cut off his ability to tour, he dug into NFTs full-time, aiming to find a way to flip the power dynamics on “platforms that were extracting all the value from creators.

Back in March, weeks before many would first hear about NFTs following the $69 million Beeple sale at Christies, Blau set his own record, selling a batch of custom songs and custom artwork for a collective $11.7 million worth of cryptocurrency.

Royal’s investment announcement comes just as a broader bull run for the NFT market seems to reach a fever pitch with investors dumping hundreds of million of dollars worth of cryptocurrencies into community NFT projects like CryptoPunks and Bored Apes. While visual artists interested in putting their digital works on the blockchain have seen a number of platforms spring up and mature in recent months to simplify the process of monetizing their art, there have been fewer efforts focused on musicians.

Paradigm and Founders Fund are leading a $16 million seed round in Royal, with participation from Atomic — where Ross was recently a General Partner. Ross’s fellow Opendoor co-founder Keith Rabois led the deal for Founders Fund.

The company isn’t sharing an awful lot about their launch or product plans, including when the platform will actually begin selling fractionalized assets, but it seems pretty clear the company will be heavily leveraging Blau’s music and position inside the music industry to bring early fans/investors to the platform. Users can sign-up for early access on the site currently.

As NFT startups chase more complex ownership splits that aim to help creators share their success with fans, there’s plenty of speculation taking off around how regulators will eventually treat them. While the ICO boom of 2017 led to plenty of founders receiving SEC letters alleging securities fraud, entrepreneurs in this wave seem to be working a little harder to avoid that outcome. Blau says that the startup’s team is working closely with legal counsel to ensure the startup is staying fully compliant.

The company’s bigger challenge may be ensuring that democratizing access to buying up music rights actually benefits the fans of those artists or creates new fans for them, given the wide landscape of crypto speculators looking to diversify. That said, Blau notes there’s plenty of room for improvement among the current ownership spread of music royalties, largely spread among labels, private equity groups and hedge funds.

“A true fan might want to own something way earlier than a speculator would even get wind of it,” Blau says. “Democratizing access to asset classes is a huge part of crypto’s future.”

Announcing the agenda for TechCrunch Sessions: SaaS

By Richard Smith

TechCrunch Sessions is back!

On October 27, we’re taking on the ferociously competitive field of software as a service (SaaS), and we’re thrilled to announce our packed agenda, overflowing with some of the biggest names and most exciting startups in the industry. And you’re in luck, because $75 early-bird tickets are still on sale — make sure you book yours so you can enjoy all the agenda has to offer and save $100 bucks before prices go up!

Throughout the day, you can expect to hear from industry experts, and take part in discussions about the potential of new advances in data, open source, how to deal with the onslaught of security threats, investing in early-stage startups and plenty more.

We’ll be joined by some of the biggest names and the smartest and most prescient people in the industry, including Javier Soltero at Google, Kathy Baxter at Salesforce, Jared Spataro at Microsoft, Jay Kreps at Confluent, Sarah Guo at Greylock and Daniel Dines at UiPath.

You’ll be able to find and engage with people from all around the world through world-class networking on our virtual platform — all for $75 and under for a limited time with even deeper discounts for nonprofits and government agencies, students and up-and-coming founders!

Our agenda showcases some of the powerhouses in the space, but also plenty of smaller teams that are building and debunking fundamental technologies in the industry. We still have a few tricks up our sleeves and will be adding some new names to the agenda over the next month, so keep your eyes open.

In the meantime, check out these agenda highlights:

Survival of the Fittest: Investing in Today’s SaaS Market
with Casey Aylward (Costanoa Ventures), Kobie Fuller (Upfront) and Sarah Guo (Greylock)

  • The venture capital world is faster, and more competitive than ever. For investors hoping to get into the hottest SaaS deal, things are even crazier. With more non-traditional money pouring into the sector, remote dealmaking now the norm, and an increasingly global market for software startups, venture capitalists are being forced to shake up their own operations, and expectations. TechCrunch sits down with three leading investors to discuss how they are fighting for allocation in hot deals, what they’ve changed in their own processes, and what today’s best founders are demanding.

Data, Data Everywhere
with Ali Ghodsi (Databricks)

  • As companies struggle to manage and share increasingly large amounts of data, it’s no wonder that Databricks, whose primary product is a data lake, was valued at a whopping $28 billion for its most recent funding round. We’re going to talk to CEO Ali Ghodsi about why his startup is so hot and what comes next.

Keeping Your SaaS Secure
with Edna Conway (Microsoft), Olivia Rose (Amplitude)

  • Enterprises face a litany of threats from both inside and outside the firewall. Now more than ever, companies — especially startups — have to put security first. From preventing data from leaking to keeping bad actors out of your network, startups and major corporations have it tough. How can you secure your company without slowing growth? We’ll discuss the role of a modern Chief Security Officer and how to move fast… without breaking things.

Automation’s Moment Is Now
with Daniel Dines (UiPath), Laela Sturdy (CapitalG), and Dave Wright (ServiceNow)

  • One thing we learned during the pandemic is the importance of automation, and that’s only likely to be more pronounced as we move forward. We’ll be talking to UiPath CEO Daniel Dines, Laela Sturdy, an investor at CapitalG and Dave Wright from ServiceNow about why this is automation’s moment.

Was the Pandemic Cloud Productivity’s Spark
with Javier Soltero (Google)

  • One big aspect of SaaS is productivity apps like Gmail, Google Calendar and Google Drive. We’ll talk with executive Javier Soltero about the role Google Workspace plays in the Google cloud strategy.

The Future is Wide Open
with Abby Kearns (Puppet), Aghi Marietti (Kong), and Jason Warner (Redpoint)

  • Many startups today have an open source component, and it’s no wonder. It builds an audience and helps drive sales. We’ll talk with Abby Kearns from Puppet, Augusto “Aghi” Marietti from Kong and Jason Warner an investor at Redpoint about why open source is such a popular way to build a business.

How Microsoft Shifted from on Prem to the Cloud
with Jared Spataro (Microsoft)

  • Jared Spataro has been with Microsoft for over 15 years and he was a part of the shift from strictly on prem software to one that is dominated by the cloud. Today he runs one of the most successful SaaS products out there, and we’ll talk to him about how Microsoft made that shift and what it’s meant to the company.

How Startups are Turning Data into Software Gold
with Jenn Knight (Agentsync), Barr Moses (Monte Carlo), and Dan Wright (DataRobot)

  • The era of big data is behind us. Today’s leading SaaS startups are working with data, instead of merely fighting to help customers collect information. We’ve collected three leaders from three data-focused startups that are forging new markets to get their insight on how today’s SaaS companies are leveraging data to build new companies, attack new problems, and, of course, scale like mad.

What Happens After Your Startup is Acquired
with Jyoti Bansal (Harness), Nick Mehta (GainSight)

  • We’ll speak to three founders about the emotional upheaval of being acquired and what happens after the check clears and the sale closes. Our panel includes Jyoti Bansal who founded AppDynamics, Jewel Burkes Solomon, who founded Partpic and Nick Mehta from GainSight.

How Confluent Rode the Open Source Wave to IPO
with Jay Kreps (Confluent)

  • Confluent, the streaming platform built on top of Apache Kafka, was born out of a project at LinkedIn and rode that from startup to IPO. We’ll speak to co-founder and CEO Jay Kreps to learn about what that journey was like.

We’ll have more sessions and names shortly, so stay tuned. But get excited in the meantime, we certainly are.

Pro tip: Keep your finger on the pulse of TC Sessions: SaaS. Get updates when we announce new speakers, add events and offer ticket discounts.

Why should you carve a day out of your hectic schedule to attend TC Sessions: SaaS? This may be the first year we’ve focused on SaaS, but this ain’t our first rodeo. Here’s what other attendees have to say about their TC Sessions experience.

“TC Sessions: Mobility offers several big benefits. First, networking opportunities that result in concrete partnerships. Second, the chance to learn the latest trends and how mhttps://techcrunch.com/2021/06/24/databricks-co-founder-and-ceo-ali-ghodsi-is-coming-to-tc-sessions-saas/obility will evolve. Third, the opportunity for unknown startups to connect with other mobility companies and build brand awareness.” — Karin Maake, senior director of communications at FlashParking.

“People want to be around what’s interesting and learn what trends and issues they need to pay attention to. Even large companies like GM and Ford were there, because they’re starting to see the trend move toward mobility. They want to learn from the experts, and TC Sessions: Mobility has all the experts.” — Melika Jahangiri, vice president at Wunder Mobility.

TC Sessions: SaaS 2021 takes place on October 27. Grab your team, join your community and create opportunity. Don’t wait — jump on the early bird ticket sale right now.

CRANQ launches to save developers time when adding text code

By Mike Butcher

When adding text code from a 3rd party source into a platform, the process is an unavoidable and time-consuming chore. Developers currently spend a large part of their day reviewing things like “NPM” packages, and such. There are developer libraries and text code platforms like JetBrains and Visual Studio, but these don’t entirely solve the problem. A UK startup thinks it might have the answer.

CRANQ is a Low-Code IDE (integrated dev environment, like Visual Studio) which provides component authoring, with, it says, a lot of re-usability. Its focus on standardized datatypes and ports means that intent can be easily checked, says the company. It’s now raised a Pre-Seed £1m funding from Venrex and Profounders.

Developers build their code in the IDE visually, using a drag-and-drop interface. So far it’s been used to built a version of the Educai.io back-end, and Alpha trials will begin this summer.

The cofounders are Toby Rowland and Dan Stocker. Rowland, CEO, is a serial entrepreneur, best-known for co-founding King.com in 2003. His most recent digital startup – Mangahigh.com – was acquired by Westermann Publishing in 2018, and subsequently, Rowland launched RyzeHydrogen.comfor the hydrogen-for-transport market. Stocker, CTO, is an experienced developer, software architect, and inventor. Among other projects, Dan conceived and created Giant, a React competitor, in 2012.

CRANQ’s initial focus on testing will also bring it into competition with Postman.com. The Workflow space (Zapier, N8N etc.) also overlaps with CRANQ.

But CRANQ is addressing a sizeable market. The microservices market is estimated to be worth $32bn in 2023, growing at 16% you, according to some estimates.

EU hits Amazon with record-breaking $887M GDPR fine over data misuse

By Carly Page

Luxembourg’s National Commission for Data Protection (CNPD) has hit Amazon with a record-breaking €746 million ($887m) GDPR fine over the way it uses customer data for targeted advertising purposes.

Amazon disclosed the ruling in an SEC filing on Friday in which it slammed the decision as baseless and added that it intended to defend itself “vigorously in this matter.”

“Maintaining the security of our customers’ information and their trust are top priorities,” an Amazon spokesperson said in a statement. “There has been no data breach, and no customer data has been exposed to any third party. These facts are undisputed.

“We strongly disagree with the CNPD’s ruling, and we intend to appeal. The decision relating to how we show customers relevant advertising relies on subjective and untested interpretations of European privacy law, and the proposed fine is entirely out of proportion with even that interpretation.”

The penalty is the result of a 2018 complaint by French privacy rights group La Quadrature du Net, a group that claims to represent the interests of thousands of Europeans to ensure their data isn’t used by big tech companies to manipulate their behavior for political or commercial purposes. The complaint, which also targets Apple, Facebook Google and LinkedIn and was filed on behalf of more than 10,000 customers, alleges that Amazon manipulates customers for commercial means by choosing what advertising and information they receive.

La Quadrature du Net welcomed the fine issued by the CNPD, which “comes after three years of silence that made us fear the worst.”

“The model of economic domination based on the exploitation of our privacy and free will is profoundly illegitimate and contrary to all the values that our democratic societies claim to defend,” the group added in a blog post published on Friday.

The CNPD has also ruled that Amazon must commit to changing its business practices. However, the regulator has not publicly committed on its decision, and Amazon didn’t specify what revised business practices it is proposing.

The record penalty, which trumps the €50 million GDPR penalty levied against Google in 2019, comes amid heightened scrutiny of Amazon’s business in Europe. In November last year, the European Commission announced formal antitrust charges against the company, saying the retailer has misused its position to compete against third-party businesses using its platform. At the same time, the Commission a second investigation into its alleged preferential treatment of its own products on its site and those of its partners.

Colombia’s Merqueo bags $50M to expand its online grocery delivery service across Latin America

By Mary Ann Azevedo

Merqueo, which operates a full-stack, on-demand delivery service in Latin America, has landed $50 million in a Series C round of funding.

IDC Ventures, Digital Bridge and IDB Invest co-led the round, which also included participation from MGM Innova Group, Celtic House Venture Partners, Palm Drive Capital and previous shareholders. The financing brings the Bogota, Colombia-based startup’s total raised to $85 million since its 2017 inception.

Merqueo CEO and co-founder Miguel McAllister knows a thing or two about the delivery space in Latin America, having also co-founded Domicilios.com, a Latin American food delivery company that was bought by Berlin-based Delivery Hero and later merged with Brazil’s iFood.

McAllister describes Merqueo as a “pure-play online supermarket with a fully integrated grocery delivery service” that sources directly from large brands and local suppliers, bypassing intermediaries and “delivering directly from its dark store network.” (Dark stores are traditional retail stores that have been converted to local fulfillment centers.”

Merqueo offers more than 8,000 products, including fresh foods, packaged goods, home essentials, beverages and frozen products. It currently operates in more than 25 cities in Colombia, Mexico and Brazil and has over 600,000 users.

Image Credits: Merqueo

It must be doing something right. The startup is close to $100 million in “run-rate revenue,” according to McAllister, having grown more than 2.5x in 2020. Merqueo also reached positive cash flow in Colombia, its most mature market. Over the last year, large Latin American retail chains and retailers have approached the company about potentially acquiring it, McAllister said.

Part of the company’s success might be attributed to the speed and flexibility it offers. Users can choose how and when to receive their groceries according to their needs, with the startup offering delivery in as little as 10 minutes or three to four hours. Users can also schedule delivery of their groceries in two-hour intervals for the same day or the next day.

Also, owning and controlling the “entire” vertical supply chain gives it the ability to obtain better margins, offer competitive pricing and achieve healthy unit economics, according to McAllister.

Merqueo plans to use its new capital in part to expand geographically. The company is currently in phase one of its expansion to Brazil, entering initially in Sao Paulo later this month. Next year, it expects to launch in other Brazilian cities such as Rio de Janeiro, Fortaleza and Salvador de Bahia.

The market opportunity in Latin America is massive considering that online grocery sales only represent just 1% of the market –– far lower than in the U.S., EU or China, for example. Other players in the increasingly crowded space include GoPuff in the U.S., Getir out of Turkey and Mexico-based Jüsto, which raised $65 million in a Series A led by General Atlantic earlier this year.

“The pandemic accelerated the adoption of online grocery shopping in LatAm,” McAllister told TechCrunch. “The region went from 0.3% share of online groceries to 1%. And after the pandemic, we are seeing a 50% increase in the pace of user adoption.” Overall, the $85 billion e-commerce market in Latin America is growing rapidly, with projections of it reaching $116.2 billion in 2023.

Currently, Merqueo has over 1,300 employees in LatAm, up 60% from last year. It plans to continue hiring with the proceeds from the Series C round as well work “to become the largest and most ambitious dark stores network of Latin America.”

Alejandro Rodríguez, managing partner at IDC Ventures, is naturally bullish on Merqueo’s potential.

“From all the opportunities we looked into, Merqueo is undoubtedly the most advanced in the region. … The Merqueo team has proved they know how to scale the business and how to get to profitability,” Rodríguez told TechCrunch.

Online grocery delivery is a business with many technical and operational complexities, he said. In his view, Merqueo’s technology and operational expertise allow it to tackle those issues in a way that has led to “the best customer experience that we have seen in a scalable way.”

“They have the best combination of both great service metrics and healthy unit economics,” Rodríguez added.

Shopify’s Q2 results beat estimates as e-commerce shines

By Alex Wilhelm

Canadian e-commerce juggernaut Shopify this morning reported its second-quarter financial performance. Like Microsoft and Apple in the wake of their after-hours earnings reports, its shares are having a muted reaction to the better-than-expected results.

In the second quarter of 2021, Shopify reported revenues of $1.12 billion, up 57% on a year-over-year basis. The company’s subscription products grew 70% to $334.2 million, while its volume-driven merchant services drove their own top line up 52% to $785.2 million.

Investors had expected Shopify to report revenue of $1.05 billion.

Shopify also posted an enormous second-quarter profit. Indeed, from its $1.12 billion in total revenues, Shopify managed to generate $879.1 million in GAAP net income. How? The outsized profit came in part thanks to $778 million in unrealized gains related to equity investments. But even with those gains filtered out, Shopify’s adjusted net income of $284.6 million more than doubled its year-ago Q2 result of $129.4 million. Shopify’s earnings per share sans unrealized gains came to $2.24, far ahead of an expected 97 cents.

After reporting those results, Shopify shares are up less than a point.

In light of somewhat muted reactions to Big Tech earnings surpassing expectations, it’s increasingly clear that investors were anticipating that leading tech companies would trounce expectations in the second quarter; their earnings beats were largely priced-in ahead of the individual reports.

The rest of Shopify’s quarter is a series of huge figures. In the second three-month period of 2021, the company posted gross merchandise volume (GMV) of $42.2 billion, up 40% compared to the year-ago period. That was more than a billion dollars ahead of expectations. And the company’s monthly recurring revenue (MRR) grew 67% to $95.1 million in the quarter. That’s quick.

Shopify is priced like the growth will continue. Using its Q2 revenue result to generate an annual run rate for the firm, Shopify is currently valued at around 43x its present top line. That’s aggressive for a company that generates the minority of its revenues from recurring software fees, an investor favorite. Instead, investors seem content to pay what is effectively top dollar for the company’s blend of GMV-based service revenues and more traditional software incomes.

Consider the public markets bullish on the continued pace of e-commerce growth.

It will be interesting to see how BigCommerce, a Shopify competitor and fellow public company, performs when it reports earnings in early August. Shares of BigCommerce are up more than 3% today in wake of Shopify’s results. Ironic given Shopify’s relaxed market reaction to its own results? Sure, but who said the public markets are fair?

Colombian on-demand delivery startup Rappi raises ‘over’ $500M at a $5.25B valuation

By Mary Ann Azevedo

Rappi, a Colombian on-demand delivery startup, has raised “over” $500 million at a $5.25 billion valuation in a Series G round led by T. Rowe Price, the company announced late Friday.

Baillie Gifford, Third Point, Octahedron, GIC SoftBank, DST Global, Y Combinator, Andreessen Horowitz and Sequoia Capital and others also participated in the round.

The new financing brings Rappi’s total raised since its 2015 inception to over $2 billion, according to Crunchbase. Today, the country has operations in 9 countries and more than 250 cities across Latin America. Its last raise was a $300 million a Series F funding round in September of 2020.

According to the Latin American Venture Capital and Private Equity Association (LAVCA), Rappi focused on delivering beverages and first, and has since expanded into meals, groceries, tech goods and medicine. The company also offers a cash withdrawal feature, allowing users to pay with credit cards and then receive cash from one of Rappi’s delivery agents. Today, the company says its app allows consumers to “order nearly any good or service.”

In addition to traditional delivery, it says “users can get products delivered in less than 10 minutes, can access financial services, as well as ‘whims,” and “favors.’ Whims allow users to order anything available in their coverage area. Favors offer an array of custom services, such as running an errand, going to the hardware store or picking out and delivering a gift. The two products allow users to connect directly with a courier. 

Simón Borrero, Sebastian Mejia, and Felipe Villamarin launched the company in 2015, graduating from Y Combinator the following year. A16z’s initial investment in July 2016 was the Silicon Valley firm’s first investment in Latin America, according to LAVCA.

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