QU-TEST & QU-PILOT’s Post

Today the Triangle Tweener Fund (www.tweenerfund.com) announced our Q3 2024 new portfolio and investing activity. As a reminder, we are a rolling fund (always open to new investors) for accredited investors that want to build a highly diversified 'index' of Triangle startups. What we're most excited to announce is that this experiment that started in 2022 has now crossed over $8m invested in over 120 Triangle HQ'd startups - we want to thank all our ~180 investors (LPs) for making this experiment a huge success. But.... we're only getting started, stay tuned for big news soon.... Highlights from Q3: o Invested $778k in 19 deals, 11 new, 8 supporting existing companies o $41k avg investment, $4.8m average round size, $13.4m average pre-money valuation o 7 SAFEs, 4 Converts, 8 Priced rounds Finally, while existing investments are seeing good traction with 'fresh/up rounds', we're seeing an influx of interesting new startups that are 'AI First' or 'AI Native' with very interesting solutions featuring a founder with deep domain knowledge of an acute problem that AI can uniquely solve, access to proprietary data and ability to leverage modern AI LLM+RAG type solutions against these problems. More details here-> https://lnkd.in/efdmfgTP

Funding for fusion startups: how to stop the downward spiral? 📉 Fusion funding has experienced ups and downs over the years, but now the situation tends to show a decline: 1️⃣ Two articles published on Crunchbase in May and June highlight that funding for fusion startups has dropped sharply after peaking in Q4 2021. 2️⃣ FIA reports that since last year, the fusion industry has attracted $900 million, down from over $2.4 billion in Q4 2021. 3️⃣ FIA’s sources predict that funding will be a major challenge in the next five years. 4️⃣ It’s suggested that the downward trend in funding may be due to investors’ reduced appetite for high-cost and high-impact investments that aren’t AI-centric. It may seem that VCs are losing interest in fusion startups. But I see it as if they want to invest in fusion, but there aren’t many options to inspire them. VCs are interested in key technologies, not complete fusion devices. Another problem is the lack of opportunities for startups to test their hypotheses. For VCs to invest in fusion, companies need to demonstrate: (1) a clear business model, not just speculation about future market potential. Energy market is a technology-agnostic market. (2) validation of early hypotheses about the feasibility of fusion or a concrete plan to validate these hypotheses. It’s great to hear that such companies as SHINE Technologies launch FLARE facility, but that's not enough. If we consider all these aspects, a simple yet powerful solution jumps to mind. To attract investment, the company has to focus on targeted experiments and solutions, rather than building a fusion facility. There are still unresolved challenges in magnetic confinement, including tritium breeding, first wall materials, and divertor construction. Solving these challenges first is the key to both investor interest and commercial fusion coming live in the 2030s, as outlined in the same FIA report. #EnergyTransition #Fusion #Funding #TechStartup

Even in a challenging fundraising environment, early and growth stage companies operating in the quantum computing space continue to experience strong investor demand. Per Crunchbase today: "So far this year, [quantum-related] startups have raised nearly $1.4 billion in more than two dozen rounds. That dollar amount is almost double the $777 million similar startups raised all of last year." It's a good reminder that innovation never rests, even when the capital markets are hesitant to cooperate. We are blessed here in Colorado to be home to one of the country's largest quantum technology hubs. Keep an eye on the sector, because it will be a prime contributor to Colorado's continued tech success. Endeavor Colorado Zeb King Tegan Stanbach Kathryn Dickson #privateequity #venturecapital #innovation #investing #entrepreneurship #founders #startups https://lnkd.in/gGSV9vwg

Silicon Valley’s success can be attributed to a range of mutually reinforcing factors, many of which planted their seeds decades ago. These include lucrative government contracts, entrepreneurial universities nearby, and the accumulation of wealth and talent from tech giants such as Apple, Nvidia, and OpenAI. This kind of head start is difficult to replicate. US investors often plough millions of dollars into relatively early-stage companies, which are sums that other ecosystems simply cannot match. But startups typically first need to demonstrate traction with customers, usually in the form of sales revenue or user numbers. This is different from tech investment hubs such as Berlin and Scotland, where investors tend to only require a strong team with just an idea for the startup to be considered to have good potential for investment. The research suggests that this might be an underappreciated reason for Silicon Valley’s success. https://lnkd.in/gpK6QK-m #europe #emulating #siliconvalleys #tech #success #needing #change #startup #fundingmodel

With $781m raised, quantum startups in EMEA largely surpassed their counterparts in North America and Asia-Pacific EMEA Dominance in Quantum Funding: In 2023, EMEA's Quantum startups secured $781m, surpassing North America threefold and becoming the only region globally to experience quantum funding growth, with a 3% increase in VC investment. European Quantum Startups' Active Year: European quantum startups, including PASQAL, Quantum Motion, Oxford Quantum Circuits, and Quandela, had a strong 2023, reflecting Europe's strategic commitment to innovation ecosystems and attracting sustained interest from private investors. Government Commitments and Real-world Applications: EMEA governments, especially the UK and Germany, have pledged substantial sums to quantum technologies, exceeding private investments. While enterprises exploring quantum use cases doubled in 2023, practical applications are anticipated to be up to 20 years away, posing challenges for sustaining investor interest in young quantum companies. Check out the full piece 👇 by Daphné Leprince-Ringuet Sifted #quantum #startup #investors #vc https://lnkd.in/eHsuEAZa

“The fund that’s delivering the best returns right now is the one that doesn’t invest in Silicon Valley startups.” That’s what one of the fund-of-funds managers told me. He shared that their most successful investment at the moment is in a fund that invests in projects across the U.S., except for San Francisco/Bay Area. This fund focuses on pre-seed stage, with small checks and low valuations (they invest in about 100 companies a year). Personally, I believe the success of this fund is not tied to geography at all. It’s more about the classic "Spray and Pray" strategy: - Making a high volume of deals (100 per year) - Writing small checks ($50-100k) - Low valuations ($3-5M cap) - Led by an experienced team As a result, they secure meaningful stakes in companies that take off. With that many companies in the portfolio and an experienced team, it’s likely that some will succeed. I think the strategy of avoiding Silicon Valley is driven by the fact that valuations there are much higher than $3-5M even at the pre-seed stage. Silicon Valley has its own advantages - access to more capital, the ability to scale faster, and quick access to everything needed in the tech world. That’s why those who invest exclusively in this region are betting on the higher likelihood that a company will succeed, thus offsetting the higher starting valuations. In the end, the strategies are different, but the results might be similar. The first approach involves more companies, lower valuations, and lower chances of success for each startup. The second approach involves fewer companies, higher valuations, but a greater probability of success for the startups.

A new technology startup can create a domino effect, leading to an explosion of other startups advancing the technology, building more know-how and capital. This cycle continues to advance the original technology into completely unforeseen markets. Silicon Valley was once the petri dish, but now it's Shenzhen, China. Check out the article to learn more about the petri dish effect and how it's playing out in the tech world. #startups #uspto #patents https://lnkd.in/ejNcCHn9

Sharing Paul's article on US innovation and China. President Biden's Executive Order on AI has not changed the USPTO's behaviors. Here's an example of how the USPTO looks at AI-enabled innovation: US Patent No. 11,810,388 "Person Re-Identification Method and Apparatus Based on Deep Learning Network, Device and Medium," directed to AI surveillance technologies issued Nov 2023. The application was docketed to the examiner on Sept 17, 2023 and allowed Sept 19, 2023. The applicant is DoD H1260 watch listed Inspur Suzhou Intelligent Technology Co.Ltd. How does the issuance of US Patent No. 11,810,388 fit in with President Biden's Executive Order on AI? #USPTO, #patent, #USinventor, #China, #innovation, #natsec, #defense, #Inspur, #innovation, #IP, #AI

Investing in tech startups can be both thrilling and high-risk, but the rewards can be equally substantial. Tech startups like MobiCard™ are shaping the future with disruptive innovations, and early investors often reap the biggest rewards as these companies scale. While there are inherent risks in backing a startup—like market volatility or product development hurdles—the potential for high returns, equity growth, and being part of the next big thing can far outweigh them. Here’s why investing in tech startups, particularly MobiCard™, is a strategic move: 1️⃣ High Growth Potential: Tech startups often experience rapid growth, and MobiCard™ is no exception. As the first publicly traded digital business card platform with two granted patents, we are positioned to lead the digital networking space. 2️⃣ Innovation at the Core: MobiCard™ isn't just a digital business card; it's a dynamic digital footprint with real-time analytics, helping professionals and businesses connect smarter. 3️⃣ Scalability: With MobiCard™, the future is limitless. We’re scaling across industries, and our platform is designed to grow with the market demand. While risks are real, the potential rewards make this a golden opportunity for those who believe in innovation and are ready to invest in the future of digital networking. 🌐 Check out the investment opportunity here: https://lnkd.in/e3nqKHQB #TechStartups #Investing #Rewards #MobiCard #DigitalBusinessCard #Innovation #Entrepreneurship #PTOP #GrowthOpportunity #RiskAndReward

Friends, we cannot ignore the facts. 🚨#China is making rapid advances in critical technologies like #AI, #quantumcomputing, #robotics, and #biotech. A recent study found China outpacing the US in 37 out of 44 tech research areas! ❗This should raise alarms for anyone concerned about values like democracy, transparency, and accountability in #innovation. While the US regains momentum in some areas like AI investment and research, we must remain vigilant. 🔈 Maintaining American leadership will require FOCUS and COLLABORATION with allies - not isolationism! At the same time, we must ensure global tech competition unfolds fairly and openly. 🫱🏿🫲🏼 There are opportunities for mutually beneficial cooperation as well. But we must balance competition and collaboration wisely - upholding ethical norms while protecting national interests. The future will be defined by whoever leads in technologies like AI. Let's make sure the leaders represent our shared democratic values! The time to act is NOW! 🇺🇸 Share if you agree!