TechCrunch+ roundup: Midwest VC boom, advice for CISOs, Facebook’s next chapter – TechCrunch

The U.S. healthcare spending account for nearly 18% of GDP. It is therefore not surprising that digital health has attracted record investment. This year, $14.7 billion has been poured by VCs to help health tech startups, compared with $14.6 billion for 2020.
Due to the high cost of healthcare in the United States, it is a good idea to combine fintech and health tech.

Cathay Innovation's investment director Simon Wu says that he is particularly attentive to areas of convergence.

Data and the transition from value-based to care.

Gamifying consumer wellbeing to prevent chronic diseases

Fintech to reduce friction and affordability

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Wu believes that there are more opportunities for startups in this area since the $1.9 trillion COVID-19 stimul package was passed by Congress this year. This increased funding will help to provide affordable healthcare.

Wu says that although we are only at the beginning of a digital-first revolution for healthcare, the convergence of fintech and health will be a powerful catalyst to address some the most urgent issues in healthcare today.

Modern financial consumer experiences can build trust and relationships between payers, providers, and patients.

Thank you for reading.

Walter Thompson

Senior Editor, TechCrunch+


A startup boom is emerging from the American heartland.

America's Midwest saw the rise of venture capital this year, which has helped startups all over the globe.

Reporters Anna Heim and Alex Wilhelm, in today's issue of The Exchange, say that regions like Chicago and Denver are crushing their 2020 venture capital totals. These results were often at or near record levels.

Zillow might be closing the door on OpenDoor, but it is expanding its reach into new markets.

The panic set in soon after the pandemic.

Fast closings and overbidding became commonplace, often thanks to the convenience and speed of proptech companies. These companies helped sellers quickly cash out so they could move into their next home.

Zillow shares fell 10% after Zillow announced that it would stop buying houses for the remainder of the year. Ryan Lawler reports that OpenDoor, its main rival, responded quickly by announcing it is open for business.

To learn more about OpenDoor's plans for growth in a market with severe labor and supply shortages, he interviewed Ian Wong, OpenDoor CTO, and Megan Meyer Toolson Chief Customer Officer to find out more.

To put it mildly, the last 18 months have seen a lot of activity in the housing market. Wong stated that we have had to remain competitive because things are so fluid and the price appreciation has been strong.

Bridging the Gap: What CISOs should do to get the C-suite on board

Most people forget that the chief information security officers exists on a good day. If something goes wrong, however, everyone will seek answers.

It is difficult to keep a company's security up-to-date while simultaneously getting all stakeholders to implement security practices. This is complicated by the fact many CISOs are not in the executive decision-making process.

Sean McDermott is the founder and CEO at RedMonocle. He believes that CISOs should meet executives wherever they are.

You know that cybersecurity investment is crucial to your job. He now asks you to step into the shoes of your leaders and explain why it is so important for their success.

Lunchclub secured a Lightspeed term sheet preemptively

Lunchclub, a social network that connects people in specific industries, launched its fireside conversations service last year. It immediately attracted a lot of attention.

Lightspeed Ventures gave the startup a term paper even though it wasn't looking for funding.

TechCrunch Live's latest episode features Vlad Novakovski, co-founder of Lunchclub, and Nicole Quinn, Lightspeeds Investment thesis. They discuss the Series A deck and the importance of having strong investor networks.

Quinn said that customer feedback is essential to us. It is the most important thing I look for in a slidedeck or a conversation. Do customers love this?

Facebook's next chapter might be a good idea

Snap Inc.'s Q3 results last Wednesday sent its stock plummeting, but that wasn't the only problem: Apples iOS 15 privacy implementation disrupted ad measurement and tracking for social media platforms across all industries.

Alex Wilhelm suggests that this volatility in ad revenues could be due to Facebook's metaverse focus. Are Facebook's losses being recouped by Zuckerberg with a move into VR?

Alex writes that something else will need to fill the void. This is how the company's rebrand fits in with that type of push.

Braze is ready to score points for New York's startup scene with an impending IPO

Braze, a NYC-based software startup that helps customers engage with their business, was not yet a unicorn when it raised capital. However, Braze could just surpass $1 billion in valuation when it finally goes public.

Alex Wilhelms initial reading of the startup's S-1 filing revealed that Braze appears to be a decent business, with increasing revenue (albeit at a faster rate than profits), good retention, a focus on larger clients, and a strong subscription model.

Alex concludes that Braze is growing well at scale, with modest net losses, and no smokescreen-y fake profit numbers.