Latest news with #SantaMonica-based
Yahoo
3 days ago
- Business
- Yahoo
Venture capital investment is rising in Los Angeles — and not just for AI startups
Early this year, private equity firm Blackstone bet big on the future of artificial intelligence by investing $300 million in a Chatsworth company that's been around for more than two decades. The company, DDN, helps businesses store and manage the massive trove of data that powers AI systems — the lifeblood needed for chatbots, self-driving cars and more. DDN's high-profile customers include chipmaker Nvidia, Elon Musk's AI startup xAI, Google Cloud and Ford. DDN, short for DataDirect Networks, has roughly 1,000 employees. 'They have a trillion dollars of assets under management, and it's a company that we thought would really move the needle for us in terms of extending our reach,' said Jyothi Swaroop, DDN's chief marketing officer. The investment was among the largest this year in the Greater Los Angeles region, which remains a hot spot for investments in both old and new tech companies poised for growth. All told, venture capital investors and private equity firms poured $3.1 billion to fund 144 deals in the L.A. area in the first quarter of this year, up 15% from a year ago, according to research firm CB Insights. The area encompasses Los Angeles, Ventura, Orange, Riverside and San Bernardino counties. While investment levels can fluctuate, funding in the greater L.A. region has steadily increased since 2023, when investment cooled following the collapse of the cryptocurrency exchange FTX. Along with AI, investors also financed startups and established businesses in healthcare, e-commerce and defense technology, underscoring how investment in the L.A. market has diversified in recent years beyond ad tech businesses and video apps. "Today it's going into much more ambitious projects," Mark Suster, a general partner at Santa Monica-based Upfront Ventures. "It's going into satellites, alternate energy, national defense, drones, shipbuilding and pharmaceutical drug discovery. So it's a lot more exciting than it ever has been." Read more: AI startup funding hit a record in the L.A. area last quarter. Here's who got the most money Los Angeles-area companies that received the most money in the first quarter include Torrance-based defense company Epirus with $250 million; and Thousand Oaks-based Latigo Biotherapeutics, which received $150 million, according to CB Insights. Latigo Biotherapeutics develops non-opioid pain treatments, while Epirus makes technology that helps defend against attacks from drone swarms. Economic consulting firm Econic Partners raised the most funding with $438 million, according to CB Insights, which relied on a report filed with the U.S. Securities and Exchange Commission. Econic disputed the total, saying it raised nine figures in the first quarter, but the company declined to say how much. Masha Bucher, founder and general partner at Day One Ventures, said she views El Segundo as the most promising hub for 'deep tech' startups tackling complex issues, such as, helping humans live healthier and longer lives. Businesses in the L.A. area have access to a highly qualified workforce from aerospace and defense tech companies. The tech hub known as Silicon Beach also is close to the airport, making it easy for entrepreneurs to hop on a plane to raise funding in San Francisco. 'There is a power of community, and it's definitely like a power spot on the map,' Bucher said. The firm's investments include various AI startups and an eye-scanning crypto project backed by OpenAI's Sam Altman in which people verify they're human. Investors aren't interested in only AI, however. Culver City-based Whatnot raised $265 million, one of the biggest deals in the L.A. area this year. The live shopping app allows people to buy and sell items such as clothing and collectibles. Potential customers can ask questions about products in real-time, find deals and bid for products shown in live videos. Whatnot says it surpassed more than $3 billion in sales in 2024, and the company expects that figure to double this year. The startup, founded in 2019, says it isn't profitable yet, but the TikTok rival has shown investors it's growing fast. Read more: Sam Altman's eye-scanning orbs have arrived, sparking curiosity and fear 'Live and social shopping has the potential to be an absolutely monstrous market,' Whatnot Chief Executive Grant LaFontaine said. The company has roughly 750 employees across the United States and Europe. The funding will help market Whatnot to attract more users and hire people to improve the shopping experience, he said. Read more: AI is changing shopping. Will consumers buy in? Like other businesses, Whatnot uses AI for customer service and to moderate content on the platform. 'I tend to be sort of a purist, which is that consumers don't care about AI. They care about problems being solved,' LaFontaine said. Businesses have been using AI long before the rising popularity of chatbots such as ChatGPT that can generate text, images and code. But the frenzy surrounding what's known as generative AI has meant that various industries are confronting how technology will disrupt the way they live and work. Read more: There's one bright spot for San Francisco's office space market Not surprisingly, investor interest in AI drove much of the nation's venture capital commitments in the first quarter. San Francisco-based OpenAI secured the largest funding round of $40 billion, placing its valuation at $300 billion, according to CB Insights. "There's a ton of opportunity to rewrite the playing field on which people do business in everything from across verticals, across industries," said Jason Saltzman, head of insights for CB Insights. "Everyone recognizes the promise, and ... no one wants to miss out on the promise." Globally, $121 billion of venture capital was raised in the first quarter, with 20% of the deals received by AI companies — the highest amount ever, according to CB Insights. Nationally, $90.5 billion in venture capital was raised last quarter, with the bulk of the money going toward startups in Silicon Valley, which brought in $58.9 billion, the research firm said. San Francisco has experienced a surge in AI startups expanding or opening up offices, drawn to the city's swath of talent and the Bay Area's universities. AI leaders including OpenAI and Anthropic also are based there. OpenAI said it would use the money raised in the first quarter toward building its tools and investing in talent. "People understand that this is a transformative technology," said Chris Lehane, OpenAI's vice president of global affairs in an interview. "It's going to permeate virtually every aspect of life." Silicon Valley remains the far leader in venture capital AI investments, but other cities such as New York have attracted AI funding. There's also global competition from countries such as China. As legislators weigh whether to introduce laws that could regulate AI, some tech lobbying groups have raised concerns on how those bills could affect innovation in the state. Suster said he doesn't think venture capital dollars will leave California. "The opportunity set is so great here," Suster said. "Do we occasionally get backwards-looking bills that try to overregulate how industry works in California? Of course, we do. We find ways to work around them." Sign up for our Wide Shot newsletter to get the latest entertainment business news, analysis and insights. This story originally appeared in Los Angeles Times. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Los Angeles Times
3 days ago
- Business
- Los Angeles Times
Venture capital investment is rising in Los Angeles — and not just for AI startups
Early this year, private equity firm Blackstone bet big on the future of artificial intelligence by investing $300 million in a Chatsworth company that's been around for more than two decades. The company, DDN, helps businesses store and manage the massive trove of data that powers AI systems — the lifeblood needed for chatbots, self-driving cars and more. DDN's high-profile customers include chipmaker Nvidia, Elon Musk's AI startup xAI, Google Cloud and Ford. DDN, short for DataDirect Networks, has roughly 1,000 employees. 'They have a trillion dollars of assets under management, and it's a company that we thought would really move the needle for us in terms of extending our reach,' said Jyothi Swaroop, DDN's chief marketing officer. The investment was among the largest this year in the Greater Los Angeles region, which remains a hot spot for investments in both old and new tech companies poised for growth. All told, venture capital investors and private equity firms poured $3.1 billion to fund 144 deals in the L.A. area in the first quarter of this year, up 15% from a year ago, according to research firm CB Insights. The area encompasses Los Angeles, Ventura, Orange, Riverside and San Bernardino counties. While investment levels can fluctuate, funding in the greater L.A. region has steadily increased since 2023, when investment cooled following the collapse of the cryptocurrency exchange FTX. Along with AI, investors also financed startups and established businesses in healthcare, e-commerce and defense technology, underscoring how investment in the L.A. market has diversified in recent years beyond ad tech businesses and video apps. 'Today it's going into much more ambitious projects,' Mark Suster, a general partner at Santa Monica-based Upfront Ventures. 'It's going into satellites, alternate energy, national defense, drones, shipbuilding and pharmaceutical drug discovery. So it's a lot more exciting than it ever has been.' Los Angeles-area companies that received the most money in the first quarter include Torrance-based defense company Epirus with $250 million; and Thousand Oaks-based Latigo Biotherapeutics, which received $150 million, according to CB Insights. Latigo Biotherapeutics develops non-opioid pain treatments, while Epirus makes technology that helps defend against attacks from drone swarms. Economic consulting firm Econic Partners raised the most funding with $438 million, according to CB Insights, which relied on a report filed with the U.S. Securities and Exchange Commission. Econic disputed the total, saying it raised nine figures in the first quarter, but the company declined to say how much. Masha Bucher, founder and general partner at Day One Ventures, said she views El Segundo as the most promising hub for 'deep tech' startups tackling complex issues, such as, helping humans live healthier and longer lives. Businesses in the L.A. area have access to a highly qualified workforce from aerospace and defense tech companies. The tech hub known as Silicon Beach also is close to the airport, making it easy for entrepreneurs to hop on a plane to raise funding in San Francisco. 'There is a power of community, and it's definitely like a power spot on the map,' Bucher said. The firm's investments include various AI startups and an eye-scanning crypto project backed by OpenAI's Sam Altman in which people verify they're human. Investors aren't interested in only AI, however. Culver City-based Whatnot raised $265 million, one of the biggest deals in the L.A. area this year. The live shopping app allows people to buy and sell items such as clothing and collectibles. Potential customers can ask questions about products in real-time, find deals and bid for products shown in live videos. Whatnot says it surpassed more than $3 billion in sales in 2024, and the company expects that figure to double this year. The startup, founded in 2019, says it isn't profitable yet, but the TikTok rival has shown investors it's growing fast. 'Live and social shopping has the potential to be an absolutely monstrous market,' Whatnot Chief Executive Grant LaFontaine said. The company has roughly 750 employees across the United States and Europe. The funding will help market Whatnot to attract more users and hire people to improve the shopping experience, he said. Like other businesses, Whatnot uses AI for customer service and to moderate content on the platform. 'I tend to be sort of a purist, which is that consumers don't care about AI. They care about problems being solved,' LaFontaine said. Businesses have been using AI long before the rising popularity of chatbots such as ChatGPT that can generate text, images and code. But the frenzy surrounding what's known as generative AI has meant that various industries are confronting how technology will disrupt the way they live and work. Not surprisingly, investor interest in AI drove much of the nation's venture capital commitments in the first quarter. San Francisco-based OpenAI secured the largest funding round of $40 billion, placing its valuation at $300 billion, according to CB Insights. 'There's a ton of opportunity to rewrite the playing field on which people do business in everything from across verticals, across industries,' said Jason Saltzman, head of insights for CB Insights. 'Everyone recognizes the promise, and ... no one wants to miss out on the promise.' Globally, $121 billion of venture capital was raised in the first quarter, with 20% of the deals received by AI companies — the highest amount ever, according to CB Insights. Nationally, $90.5 billion in venture capital was raised last quarter, with the bulk of the money going toward startups in Silicon Valley, which brought in $58.9 billion, the research firm said. San Francisco has experienced a surge in AI startups expanding or opening up offices, drawn to the city's swath of talent and the Bay Area's universities. AI leaders including OpenAI and Anthropic also are based there. OpenAI said it would use the money raised in the first quarter toward building its tools and investing in talent. 'People understand that this is a transformative technology,' said Chris Lehane, OpenAI's vice president of global affairs in an interview. 'It's going to permeate virtually every aspect of life.' Silicon Valley remains the far leader in venture capital AI investments, but other cities such as New York have attracted AI funding. There's also global competition from countries such as China. As legislators weigh whether to introduce laws that could regulate AI, some tech lobbying groups have raised concerns on how those bills could affect innovation in the state. Suster said he doesn't think venture capital dollars will leave California. 'The opportunity set is so great here,' Suster said. 'Do we occasionally get backwards-looking bills that try to overregulate how industry works in California? Of course, we do. We find ways to work around them.'
Yahoo
3 days ago
- Entertainment
- Yahoo
Co-president of Lionsgate movie studio dies of cancer at 55
Jason Constantine, co-president of the Lionsgate Motion Picture Group, died Tuesday at his home in Los Angeles after a long fight with brain cancer. He was 55. Constantine was a Lionsgate veteran, beginning his career more than 25 years ago at its predecessor company Trimark Pictures as a director of acquisitions, the Santa Monica-based firm said. At Lionsgate, he was involved in several of the Santa Monica-based studio's key franchises, including "John Wick," and "Saw," which he pushed Lionsgate to acquire early on after watching a brief concept short. He was also closely associated with films including best picture Oscar winner "Crash" (2004), "Precious" (2009) and "Knives Out" (2019). 'With his fearless spirit, creative energy and enduring talent relationships, Jason embodied the very best of our studio and our industry," Lionsgate said in a statement. "His career was built around the principles that a great idea can come from anywhere, a box office triumph is meant to be shared by an entire team and our creative choices need to be bold and daring." Constantine is survived by his wife, Kristin, and his sons Lucas, Xander and Nicholas. Sign up for our Wide Shot newsletter to get the latest entertainment business news, analysis and insights. This story originally appeared in Los Angeles Times.
Los Angeles Times
3 days ago
- Entertainment
- Los Angeles Times
Co-president of Lionsgate movie studio dies of cancer at 55
Jason Constantine, co-president of the Lionsgate Motion Picture Group, died Tuesday at his home in Los Angeles after a long fight with brain cancer. He was 55. Constantine was a Lionsgate veteran, beginning his career more than 25 years ago at its predecessor company Trimark Pictures as a director of acquisitions, the Santa Monica-based firm said. At Lionsgate, he was involved in several of the Santa Monica-based studio's key franchises, including 'John Wick,' and 'Saw,' which he pushed Lionsgate to acquire early on after watching a brief concept short. He was also closely associated with films including best picture Oscar winner 'Crash' (2004), 'Precious' (2009) and 'Knives Out' (2019). 'With his fearless spirit, creative energy and enduring talent relationships, Jason embodied the very best of our studio and our industry,' Lionsgate said in a statement. 'His career was built around the principles that a great idea can come from anywhere, a box office triumph is meant to be shared by an entire team and our creative choices need to be bold and daring.' Constantine is survived by his wife, Kristin, and his sons Lucas, Xander and Nicholas.
Los Angeles Times
18-05-2025
- Business
- Los Angeles Times
Is ‘Waterless' the Next Big Thing in Clean Beauty?
The beauty industry relies heavily on water, with traditional skincare products containing up to 90% water as a filler Waterless beauty is currently the fastest-growing segment within the beauty industry and is expected to grow to 17.21 billion U.S. dollars by 2028, according to Grand View Research. Santa Monica-based Olive Tree People is pioneering the waterless beauty movement as the fastest-growing waterless beauty brand in the U.S. – outperforming clean beauty brands like Beautycounter by growing 600% faster in its second year and popular celebrity beauty brands like JLO Beauty by Jennifer Lopez (which averages sales of $75 million per year compared to Olive Tree People's $105 million in their second year). In a world that is still learning what exactly waterless beauty is, Olive Tree People strives to educate – leading to more than 50,000 women joining the brand as waterless beauty consultants to educate the 168.6 million women in the U.S. on the beauty choices they are making. If a formula contains water as its first ingredient, it comes with preservatives and filler oils. That's why waterless beauty is the way forward – and compared to other waterless beauty brands, Olive Tree People is a true pioneer. Rather than focusing on solid or solely oil-based product formulations like other waterless brands, Olive Tree People is leading the next chapter in clean beauty by replacing water with its potent formulations powered by liquid olive leaf extract and hydroxytyrosol – a groundbreaking antioxidant that replaces the water phase in skincare. Founded by olive tree farmer and entrepreneur Thomas Lommel, Olive Tree People cultivates and eco-certifies wild mountain olive trees to produce its exclusive Holistic Beauty Molecule (hydroxytyrosol), delivering skincare that is 70% more effective than conventional water-based products. This globally unique Holistic Beauty Molecule, which is only found indigenously in their mountain olive trees, replaces 100% of the 70% water phase that is otherwise common in skin care products. This commitment goes beyond sustainability – it's a necessity for the future of beauty. Olive Tree People started its mission with a holistic methodology it coined as 'Beautiful Cycle,' which is also the messaging behind the company's slogan 'From Tree to Beauty.' As well as transforming skincare, Olive Tree People is actively addressing global water scarcity through its OLIVEDA for Africa initiative as the last stage in the Beautiful Cycle. The brand's Beautiful Cycle mission starts with acquiring land with wild mountain olive trees, which are then cultivated and eco-certified. These trees then supply the unique Holistic Beauty Molecule (hydroxytyrosol) found in the olive leaf extract, which can protect the cells of the trees for up to 4,000 years and has wonderful antioxidant benefits for humans. This Beauty Molecule replaces the 70% water found in conventional beauty products, making them 70% more efficient. The water not used in products is brought to the people of Africa by building water wells in an effort to counteract the 4.4 billion people globally who have no access to clean drinking water, according to the latest statistics reported by Deutsche Welle. For every 100 hectares of olive trees grown in Spain, Olive Tree People funds the construction of a well in Africa – providing clean water to over 15,000 residents in Senegal and beyond. With 31,000 eco-certified olive trees thriving on OLIVEDA land, this initiative has provided clean water access to around 15,000 residents across Senegal and other nations. More than a philosophical trend, Olive Tree People has recently opened its first flagship store in Venice. Its newly opened flagship store in the U.S. is setting new standards by creating a world of experience that is unique worldwide. It brings the history of the Olive Tree People's brands – OLIVEDA, LA Dope, Olive Rose, Olive Mush, Is That Matty and Olive: Reconnected – to life, as well as the life-changing power of olive trees, around the legendary Olive Tree House of Oliveda founder Lommel. 'We are not only Waterless Beauty but also the first company to work with the frequencies of our wild mountain olive trees in Spain and make them accessible to everyone worldwide,' said Lommel. 'For the first time in history, our flagship store at 1335 Abbot Kinney in Venice will offer visitors a unique opportunity to step inside a 3,000-year-old mountain olive tree and experience what it feels like to be one with nature again while simultaneously reconnecting with its unique nature and thus connecting with the infinite life force of Mother Nature.' Another important part of the flagship store, according to Lommel, will be to make the holistic cycle that has been practiced for 21 years tangible. 'This is in order to understand that Olive Tree People – through its more than 50,000 waterless beauty consultants in the U.S. – wants to educate 168.6 million women on the difference between conventional and waterless beauty,' said Lommel. 'The holistic cycle explains that we replace the 70% water found in conventional products with the power of our mountain olive tree cell elixir and the polyphenol hydroxytyrosol it contains. We replace the mostly refined oils with our bioactive Arbequina oil. Additionally, for over 21 years, we have been the largest nature conservationists in the region, protecting more than 31,000 ancient mountain olive trees – reviving them and receiving from them what we need to make waterless beauty a reality. Since 2013, we have been bringing the water that we do not process in our mountain olive trees to the people in Africa by building our own water wells on-site.' With water scarcity on the rise, Olive Tree People is leading the charge in a waterless beauty revolution, proving that skincare can be both high performance and planet friendly.
