Do you feel that? It’s the winds of change. And they’re a’blowing in San Francisco — especially among its social media startups, new and old. These shifts, plus lots more funding (and several more unicorns), certainly made last week an interesting one. Keep reading to learn more. This is the Built In SF weekly refresh.
Jack Dorsey is leaving Twitter. In a characteristically open resignation letter posted to (what else?) Twitter, the billionaire entrepreneur announced he is stepping down as CEO of the social media giant. In the letter, Dorsey spoke out against the concept of “founder-led” businesses — a popular concept in the startup ecosystem — saying he believed it to be “severely limiting and a single point of failure.” So, he has tapped Parag Agrawal, Twitter’s chief technology officer who has climbed through the ranks there for more than a decade, to steer the ship. Of course, this means Dorsey is the CEO of just one company now: Square...I mean, Block. More on that later. [The Washington Post]
Armis raised $300M. Less than a year after raising $125 million, the cybersecurity startup has closed on yet another mega-round, nearly doubling its valuation to $3.4 billion. While initially created as a provider of security for IoT, Armis now says it offers protection for every asset in a customer environment. Now, it will use this fresh funding to fuel its international expansion in Europe, the Middle East, Africa and Asia. The money also provides enough cash on hand to execute Armis’ plans to go public in the near future. [VentureBeat]
Square is now Block. Shortly after Square’s founder Jack Dorsey declared he was stepping down as CEO of his first brainchild Twitter, the payments giant announced it is changing its corporate name to Block, effective December 10. This move comes as the company works to expand beyond its popular credit card-reader origins, with a focus specifically on blockchain. In a statement, Dorsey explained that the name change “creates room for further growth,” adding that the company will “continue to build tools to help increase access to the economy.” As part of the rebrand, Square’s existing crypto arm will change its name to Spiral, and Block will continue to trade under the ticker “SQ” on the NYSE. [CNBC]
SF Quote of the Week
IRL made its first acquisition. Just six months after pulling in a $170 million Series C and hitting unicorn valuation, the social media startup has announced that it is purchasing “digital nutrition” company AeBeZe Labs for an undisclosed amount. Used primarily by Gen Zs who aren’t active on Facebook, IRL combines social calendaring, group messaging and events — mainly virtual events in light of the pandemic. This acquisition will give IRL access to AeBeZe’s Daybreak, a mobile calendar where users can track their mood over time, as well as other features. [TechCrunch]
Panther Labs got its horn. The cybersecurity startup is now valued at $1.4 billion thanks to a $120 million Series B investment led by Coatue Ventures. Like so many other players in this industry, Panther has seen a lot of growth in the last year due to a surge in data thefts. To keep up, it will use this fresh capital to accelerate product development, scale its customer support capabilities, and grow its team. [Built In SF]
In more funding news: Fintech startup Fundbox secured a $100 million Series D round, bringing its total valuation to $1.1 billion. To keep up with surging demand, Fundbox will use the money to increase its partnerships and grow its team, with more than a dozen open tech positions available now. [Built In SF]
CloudTrucks, a startup that wants to help trucking entrepreneurs manage their businesses, pulled in a $115 million Series B round led by VC heavyweight Tiger Global. [TechCrunch]
