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Global VC market sees highest-ever concentration of supergiant dollar volume in Q4 2018 – TechCrunch

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For the global VC industry, 2018 was a supergiant year. Crunchbase projects that 2018 deal and dollar volume surpassed even the high-water mark left by the dot-com deluge and the drought that followed.

As covered in Crunchbase News’s global VC report reviewing Q4 and the rest of 2018, projected deal volume rose by 32 percent and projected dollar volume jumped 55 percent since 2017. For all of 2018, Crunchbase projects that well over $300 billion was invested in equity funding rounds across all stages of the venture-backed company life cycle. (This figure includes an estimate of transactions that were finalized in 2018, but won’t be publicized or added to Crunchbase until later. More on how Crunchbase projects data can be found at the end of that report.)

Is the market mostly buoyed by the billions raised by the biggest private tech companies, or is a rising tide in this extended aquatic metaphor raising all ships? In other words, is the bulk of the capital going to only a handful of the largest rounds? That’s what the numbers show.

In the global VC pool, capital is definitely sloshing toward rounds totaling $100 million or more. In the chart below, you can see what percent of reported global VC dollar volume was raised in “supergiant” rounds versus deals of smaller size.

 

In the year, over 56 percent of worldwide dollar volume can be attributed to supergiant rounds. With 61 percent of reported capital coming from supergiants in the final quarter, Q4 2018 has the highest concentration of supergiant dollar volume of any single quarter on record.

Big money weighs on the market

Following that same theme, the calendar year 2018 is the most concentrated year on record. In the chart below, we show how much capital was raised in non-supergiant (<$100 million) venture rounds over the past decade. (It’s basically the bottom part of the first chart, with the data aggregated over a longer period of time.)

For the first time in at least a decade (and likely ever) supergiant, $100 million+ VC rounds accounted for a majority of reported capital raised. So in summary: Q4 2018 had the highest share of supergiant VC dollar volume on record, and 2018 was the most concentrated year on record.

On the one hand, the results are not surprising, considering that the biggest-ever VC round (a preposterously large $14 billion Series C raised by Ant Financial) and several rivals for that top spot were closed last year. That big round made a big splash. It was the year of multi-billion-dollar global growth funds, SoftBank and scooter CEOs worth supergiant sums, at least on paper. But was it good for the smaller players too?

Seed and early-stage deal and dollar volume were both up in 2018, but then again, so is everything toward the end of a bull market cycle. The question is, when the bottom falls out, between supergiant and more normal-sized rounds, which has the farthest to fall?

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Google just added an insanely useful desktop search shortcut

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Google has quietly rolled out a new search shortcut for desktop users that is deceptively useful during the workday. As of now, users can press a single key on Google’s search results page to pull back open the search field, updating the search term without ever lifting a hand to use the mouse or trackpad.

The new feature was ‘announced’ by a small message box desktop users see in the bottom corner of their search results page, as first spied by 9to5Google; it reads, ‘Press / to jump to the search box.’

When you press the ‘/’ button, your cursor moves to the text field at the end of your search query, enabling you to quickly remove and add terms or scroll down through the suggested search queries. The shortcut key only works when you’re on the search results page, not the home page.

This is ultimately a very small change, but one that proves insanely useful when you’re often using Google for work or school. The amount of time saved by avoiding the mouse entirely adds up over time, not to mention getting you to the search results you want faster.

It’s unclear whether the feature is now available for all Google Search users on desktop or if it is rolling out more slowly. Our own test of the new shortcut found that it worked, though we never saw the shortcut notification on the search results page.

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Amazon may start asking even more of its delivery drivers

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Amazon is reportedly set to trial a new home assembly service for larger items, where delivery drivers would also put together furniture, appliances, or other larger items. The move, which is said to be planned for just a handful of markets as the online retail behemoth gauges popularity and feasibility, could make home shopping even easier, though there are concerns that delivery drivers themselves may face impractical expectations.

Online shopping has surged during the pandemic, and Amazon has seen a considerable share of that extra business. Its subscription plan Amazon Prime, for example, surged by 50 million members in the space of a year, bringing the total to 200 million.

The retailer’s ambitions, however, go beyond dropping items off at the doorstep. While you can currently schedule the delivery of a particularly large item, and even have it left in a specific room, Amazon is said to be preparing an even more hands-on service. The assembly option would see the delivery person actually put the item together in the home, Bloomberg reports.

According to people familiar with the plans, they say, Amazon is looking to trial the premium service in Virginia and two other unnamed markets. Unlike Amazon Home Services – which offers recommended local contractors booked through Amazon’s system – assembly and installation of the purchases would be handled by the company’s own delivery staff.

Still, there’d be a limit to what could be offered. Amazon Home Services, for example, includes options for tasks like installing electric car chargers, something which would be beyond the remit of a delivery driver. Instead, it’s suggested, Amazon sees it more around doing basics like putting together sofas and living room furniture, or installing a straightforward appliance like a washing machine or dishwasher.

Amazon has declined to comment on the leak, but according to Bloomberg there’s some consternation among the company’s delivery drivers about just what might be expected of them. The retailer has already faced criticism about working conditions for delivery staff, with accusations of grueling workloads that leave them little time for bathroom breaks. Among the concerns were just how long Amazon managers might allot for assembly and installation, and the safety of spending extended periods inside customers’ homes during the pandemic which has helped make online shopping so popular.

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Dogecoin goes up and Robinhood goes down

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Some things in life you can count on, and it seems like Robinhood crashing just when the finance market is getting interesting is one of them. The popular finance service – which has seen particular success with first-time and novice investors – has been suffering several periods of downtime during volatility in crypto trading, particularly Elon Musk’s favored Dogecoin.

The cryptocurrency has certainly had a bizarre week – and, for that matter, an equally bizarre few months. Initially begun as a joke, the so-called “meme currency” gained traction when Tesla founder Elon Musk began pumping it on his Twitter account.

This past week, meanwhile, DOGE has surged in price. Although individual coins are still worth just a handful of cents, their value has shot up by almost 200-percent. Combined with the ease of entry, it’s left some holders with a huge return on their initial purchases, which were often made when Dogecoin was only a cent or two.

Problem is, you only see those returns when you sell, and that’s been tricky if you opted to purchase via Robinhood. The service has been encountering periods of downtime which just so happened to coincide with some of DOGE’s peaks over the past day or two.

“We’re experiencing intermittent issues with crypto trading due to heightened volumes,” Robinhood has warned on its support site at several points over the past 24 hours. “Because of this, some crypto trades may not execute right now.”

Within the past hour, Robinhood said that it had restored crypto trading “for most customers.” As for those who aren’t in that group, there’s only an apology to tide them over. “To anyone still affected, we’re sorry for the interruption,” the company added. “We’re working to restore service for everyone as soon as possible.

It’s not the first time Robinhood has left investors floundering. During the GameStop stock surge earlier this year, users suddenly found that they were unable to buy the volatile $GME stock. The limits were subsequently extended to other shares, including AMC. Robinhood defended its decision with an explanation of the mechanisms behind trading, but not before the moves caught the attention of lawmakers who have called for an investigation into whether it acted appropriately.

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