The Briefing by Martin Peers, Jessica Lessin and the team at The Information

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The Briefing

By Martin Peers, Jessica Lessin and the team at The Information

Get smarter about the day’s news in tech, media and finance by following Silicon Valley’s most-read executive newsletter.

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Recent Editions

Photo via YouTube.

ShipBob’s TikTok Deal Spurs Growth, but Profits Remain Elusive

By Ann Gehan · Feb 22, 2024 6:00am PST · 2 comments

Last year was a tough one for venture-backed logistics firms, with a drop in demand for moving goods cratering Flexport’s revenue and forcing Convoy to shutter entirely. But ShipBob, which has the backing of SoftBank and Bain Capital Ventures, may have bucked the trend. The company, which sells Amazon-like warehouse and shipping services... Last year was a tough one for venture-backed logistics firms, with a drop in demand for moving...

The DOE's David Howell. Photo: Courtesy David Howell

Exclusive From The Electric: David Howell, an Architect of the U.S. Battery Invention Machine, Is Retiring

By Steve LeVine · Feb 22, 2024 4:30am PST · 1 comment

In an unexpected move, David Howell, for two decades one of the most consequential behind-the-scenes players in U.S. battery development, will retire next week from the Department of Energy, where he helps to lead the multibillion-dollar U.S. challenge to China’s dominance of the battery industry. One of Howell’s most lasting legacies is... In an unexpected move, David Howell, for two decades one of the most consequential...

Photo by Getty Images

Nvidia Does It Again

By Martin Peers · Feb 21, 2024 5:00pm PST

All those worrywarts can relax. Nvidia did it again. The AI chip giant reported fourth quarter revenue of $22 billion, $2 billion ahead of its projection, and 265% higher than a year earlier. Even better, Nvidia projected its first quarter revenue would be $24 billion, indicating that growing competition is not yet doing much to dent its... All those worrywarts can relax. Nvidia did it again. The AI chip giant reported fourth quarter...

Palo Alto Networks CEO Nikesh Arora. Photo by Getty

Why the Cybersecurity Growth Slowdown Could Boost Microsoft Sales

By Aaron Holmes · Feb 21, 2024 3:49pm PST · 3 comments

Palo Alto Networks CEO Nikesh Arora. Photo by Getty

Why the Cybersecurity Growth Slowdown Could Boost Microsoft Sales

By Aaron Holmes · Feb 21, 2024 3:49pm PST · 3 comments

Cybersecurity providers are facing a moment of truth. After years of persuading companies to spend more on security software, hackers are still getting through. That’s giving some companies “cyber fatigue,” and putting them under pressure to buy less, Palo Alto Networks CEO Nikesh Arora said on Tuesday. Other industry... Cybersecurity providers are facing a moment of truth. After years of persuading companies to...

Image by Mike Sullivan.

Creator Economy

Eight More Creator Startups Closed as VC Money Evaporated

By Abubakar Idris · Feb 21, 2024 3:30pm PST

Last week, we published a list of creator economy startups that could be on the market for a new owner because they haven’t raised more than a seed round of venture capital in two years and may be running low on cash. Some founders have already pulled the plug on their startups, we discovered.At least eight early-stage startups in The... Last week, we published a list of creator economy startups that could be on the market for a new...

Klarna headquaters in Stockholm. Photo by Shutterstock.

Sequoia to Appoint Andrew Reed to Klarna Board After Failed Moritz Ouster

By Maria Heeter and Kate Clark · Feb 21, 2024 1:58pm PST · 1 comment

Sequoia Capital has picked partner Andrew Reed to replace Matthew Miller on the board of ‘buy now, pay later’ company Klarna, according to people familiar with the matter. Miller had joined the board in January and recently led a failed effort to remove former Sequoia leader Michael Moritz from his position as... Sequoia Capital has picked partner Andrew Reed to replace Matthew Miller on the board of...

Daniel Gross, left, and Nat Friedman. Photos via Wikipedia and Erin Beach.

The ‘Magic’ Breakthrough That Got Friedman and Gross to Bet $100 Million on a Coding Startup

By Stephanie Palazzolo and Amir Efrati · Feb 21, 2024 7:00am PST

Former GitHub CEO Nat Friedman and his investment partner, Daniel Gross, raised eyebrows last week by writing a $100 million check to Magic, the developer of an artificial intelligence coding assistant. There are loads of coding assistants already, and the top dog among them is Microsoft’s GitHub Copilot. So what did Friedman and Gross see in... Former GitHub CEO Nat Friedman and his investment partner, Daniel Gross, raised eyebrows last...

The People With Power at ServiceNow

By Akash Pasricha · Feb 21, 2024 6:00am PST

The People With Power at ServiceNow

By Akash Pasricha · Feb 21, 2024 6:00am PST

ServiceNow is the rare technology company not to have laid off employees in the past 18 months. The software maker, whose $154 billion market capitalization outranks better-known brands such as Shopify and Snowflake, avoided layoffs by hiring prudently: Revenue has grown faster than headcount each year for at least a decade. Hiring slowed... ServiceNow is the rare technology company not to have laid off employees in the past 18 months....

Vizio televisions on display at Walmart. Photo by Getty

Sequoia’s Swedish Drama; What Walmart-Vizio Deal Means for Amazon

By Martin Peers · Feb 20, 2024 5:00pm PST

You might not have expected Klarna, the Sweden-based original “buy now, pay later” lender, to be the setting for a “Succession”-caliber soap opera—but hey, Sweden also produces lots of dramas for streaming TV. The real-life one we’re talking about centers on Sequoia Capital’s ham-handed efforts to remove its highly respected former partner,... You might not have expected Klarna, the Sweden-based original “buy now, pay later” lender, to be...

Art by Mike Sullivan

Creator Economy

ByteDance’s CapCut Could Cause New D.C. Headaches

By Kaya Yurieff · Feb 20, 2024 2:56pm PST

Over the past few months, I've been hearing a lot more about ByteDance-owned CapCut, with many creators telling me they use the app as their main editing tool, which provides trendy templates and filters to spruce up videos. Some of this growth comes from its sister app TikTok, where users see videos made with CapCut and then get the app, making... Over the past few months, I've been hearing a lot more about ByteDance-owned CapCut, with many...

Matthew Miller. Photo by Sequoia.

Sequoia Retracts Request to Oust Moritz From Klarna Board

By Kate Clark, Maria Heeter and Cory Weinberg · Feb 20, 2024 12:48pm PST · 3 comments

Sequoia Capital has retracted its request to remove Michael Moritz as chairman of Klarna’s board, according to emails reviewed by The Information. Sequoia partner Matthew Miller, the director who in recent days had asked Klarna shareholders to remove Moritz, is instead leaving the Klarna board. Sequoia plans to appoint a new partner to the... Sequoia Capital has retracted its request to remove Michael Moritz as chairman of Klarna’s...

photo by Getty

Microsoft Develops AI Server Gear to Lessen Reliance on Nvidia

By Anissa Gardizy · Feb 20, 2024 8:00am PST · 1 comment

photo by Getty

Microsoft Develops AI Server Gear to Lessen Reliance on Nvidia

By Anissa Gardizy · Feb 20, 2024 8:00am PST · 1 comment

Microsoft is taking another step to reduce its dependence on Nvidia. The software giant is developing a networking card to ensure that data moves quickly between its servers, as an alternative to one supplied by Nvidia, said a person with direct knowledge. In addition to potentially saving Microsoft money, the company hopes the new networking... Microsoft is taking another step to reduce its dependence on Nvidia. The software giant is...

Photo via OpenAI.

With Sora, OpenAI Casts Shadow Over AI Video Startups

By Kalley Huang and Stephanie Palazzolo · Feb 20, 2024 7:00am PST · 3 comments

When OpenAI CEO Sam Altman last week posted a series of ultrarealistic and cinematic videos made by Sora, his company’s latest artificial intelligence technology, we imagined alarm bells ringing across the technology industry and, perhaps, Hollywood. Most of all, the videos should put fear in the hearts of at least seven companies in our ... When OpenAI CEO Sam Altman last week posted a series of ultrarealistic and cinematic videos made...

Art by Mike Sullivan

TikTok Executives Fretted About China Ties of CapCut Editing-App

By Juro Osawa · Feb 20, 2024 6:00am PST · 2 comments

Last year, the second most downloaded free app in the U.S. on iPhones was CapCut, a video-editing app made by TikTok’s parent ByteDance and popular with TikTok users who use its templates and filters to create videos for the app. But CapCut—unlike TikTok itself—is directly run by ByteDance executives in China, a point confirmed... Last year, the second most downloaded free app in the U.S. on iPhones was CapCut, a video-editing...

Northvolt's gigafactory in Skelleftea, Sweden. Photo: Getty.

The Electric: A Few Companies Raise Funds, a Bright Spot in the Gloomy EV Industry

By Steve LeVine · Feb 19, 2024 4:30am PST · 1 comment

In 2021, Europe’s electric vehicle market was feverish. Seemingly every week, automakers announced new plans to spend billions developing EVs. Those EVs would require batteries, and Sweden’s Northvolt, the most ambitious of a small coterie of European battery manufacturing startups, made plans to triple the capacity of its new gigafactory near... In 2021, Europe’s electric vehicle market was feverish. Seemingly every week, automakers...

When You’re Really a Twitter, But You Want to Be an Uber

When You’re Really a Twitter, But You Want to Be an Uber

By Abram Brown · Feb 17, 2024 7:00am PST

When You’re Really a Twitter, But You Want to Be an Uber

When You’re Really a Twitter, But You Want to Be an Uber

By Abram Brown · Feb 17, 2024 7:00am PST

Welcome to your Weekend!A couple days ago, Mark Zuckerberg had quite a lot to say about his company—and someone else’s. Specifically, he talked about how Meta Platforms’ virtual reality headset, the Quest (which starts at $499), compares to Apple’s VR headset, the Vision Pro ($3,499). “I expected Quest would be a better value for most people,”... Welcome to your Weekend!A couple days ago, Mark Zuckerberg had quite a lot to say about his...

Art by Clark Miller

The Best Vision Pro Apps (So Far)

By Abram Brown · Feb 17, 2024 5:00am PST · 7 comments

The anticipation that surrounded Apple’s Vision Pro, the multitrillion-dollar company’s nearly $4,000 virtual reality headset, sure made some die-hards go to substantial lengths to lay their hands on one. Tina Debove Nigro, for instance, flew from Paris to Boston via Reykjavík, Iceland, to acquire the device as soon as humanly... The anticipation that surrounded Apple’s Vision Pro, the multitrillion-dollar...

Traders work on the floor of the New York Stock Exchange during morning trading on February 14 in New York City. Photo by Michael M. Santiago/Getty Images.

AI Investor Rush Harks Back to ZIRP Days

By Martin Peers · Feb 16, 2024 4:05pm PST · 1 comment

It’s beginning to feel a bit like early 2021. Investor enthusiasm for AI startups has surged again, after a brief respite, as we reported today. One great example from our story: Perplexity AI has received unsolicited offers valuing the firm at more than $1 billion—just a month after its last funding round valued it at half that. Meanwhile, ... It’s beginning to feel a bit like early 2021. Investor enthusiasm for AI startups has surged...

7 Trillion Reasons Why

By Jessica E. Lessin · Feb 16, 2024 2:08pm PST · 6 comments

After a week of going full Vision Pro, the Lessins' reaction may surprise you. (It certainly surprised me.) This week's podcast covered all of that and zoomed out with some predictions about how this next tech battleground will play out. Plus, our take on the string of AI headlines this week. And the return of Pop Culture Corner! ... After a week of going full Vision Pro, the Lessins' reaction may surprise you. (It...

Iosotaluno photo courtesy of Match Group. Art by Clark Miller.

‘I Want My Daughters to Be on Tinder’: A New CEO Hopes to Make Everyone Fall in Love Again

By Annie Goldsmith · Feb 16, 2024 9:00am PST · 3 comments

Iosotaluno photo courtesy of Match Group. Art by Clark Miller.

‘I Want My Daughters to Be on Tinder’: A New CEO Hopes to Make Everyone Fall in Love Again

By Annie Goldsmith · Feb 16, 2024 9:00am PST · 3 comments

Faye Iosotaluno initially envisioned her family’s December trip to New Zealand as a holiday-time sojourn, but a week before they left, she learned they’d have another reason to celebrate. She’d gotten the top job at Tinder, after a lengthy stretch as its chief operating officer. For Iosotaluno, the role would mean a plunge... Faye Iosotaluno initially envisioned her family’s December trip to New Zealand as a...