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5 Predictions for 2020

Tomasz Tunguz

Here are my 5 predictions for 2020. The direct listing becomes the standard way for startups to go public in 2020. Most startups at IPO have plenty of cash and don't need to raise more in the public markets. And incumbents desire as much of that as possible for themselves. Distributed becomes the norm.

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Booz Allen Hamilton launches $100M corporate venture arm focused on early-stage startups

TechCrunch

The move signals Booz Allen’s desire to shape startups in areas it considers aligned with its core business, mainly AI and machine learning, defense, and cybersecurity. Defense-focused startups angling for government contracts need all the help they can get. In the U.S.,

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Fintechs could see $100 billion of liquidity in 2021

TechCrunch

2019 looks to continue another lights-out year for fintech startups. In 2020, all the long-term trends forcing change in this sector continued and even accelerated. Public fintech stocks rose 97% in 2020. 2020 performance of individual fintech companies vs. SPX Image Credits: CapiQ, Yahoo Finance. Ben Altshuler.

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Restrictions on acquisitions would stifle the US startup ecosystem, not rein in big tech

TechCrunch

US rule changes could mean more startups would need government approval to hire immigrants. Acquisitions are an important element of the startup ecosystem. Despite best efforts, company failure is the most common outcome — more than 90% of startups fail. Accordingly, 58% of startups expect to be acquired.

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Cloud optimization startup ProsperOps lands $72M investment

TechCrunch

Image Credits: ProsperOps Lots of cloud optimization startups claim to do the same, like Sync Computing. He claims that the startup currently has “several hundred” customers and that it’s been profitable and debt-free since Q4 2020. ProsperOps’s control dashboard.

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Amira Yahyaoui wants Mos to be a ‘radical’ fintech startup

TechCrunch

“We don’t want to be elitist, we don’t want to do this for a very small category of people because we really want to become the incumbent bank in the U.S.,” Banks are trying to become relevant, but students don’t buy the BS that incumbents are doing.” Beyond the mission, the startup’s new goal could attract some solid revenue.

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Is it time to start worrying about startup layoffs?

TechCrunch

Startups are once again considering layoffs as a way to control cash consumption and attract new capital. A public database tracking startup layoffs, however, indicates that the company is not alone in looking to reduce its headcount. The Exchange explores startups, markets and money.

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