Austin — There are so many great things about working from home. Spending all day with your pets is up there, but not having to commute is probably the best. It’s particularly nice to avoid commuting by car in a city like Austin, TX, that’s notorious for its heavy traffic. The situation is so bad … Continue reading “Can Ford’s Self-Driving Car Business Improve Austin’s Traffic Woes?”
Author: David Holley
David is the national correspondent at Xconomy. He has spent most of his career covering business of every kind, from breweries in Oregon to investment banks in New York. A native of the Pacific Northwest, David started his career reporting at weekly and daily newspapers, covering murder trials, city council meetings, the expanding startup tech industry in the region, and everything between. He left the West Coast to pursue business journalism in New York, first writing about biotech and then private equity at The Deal. After a stint at Bloomberg News writing about high-yield bonds and leveraged loans, David relocated from New York to Austin, TX.
He graduated from Portland State University.
CyberFortress Adds $3M Seed Round for Cybersecurity Insurance Tech
San Antonio—[Updated 12:22 p.m. See below.] CyberFortress, a cybersecurity company focused on the insurance industry, closed a $3 million seed funding round co-led by New York venture firm Greycroft and Austin, TX-based LiveOak Venture Partners. Founded in 2018 in San Antonio, CyberFortress is still developing its product, which will insure e-commerce businesses. The company’s plans … Continue reading “CyberFortress Adds $3M Seed Round for Cybersecurity Insurance Tech”
Cloudflare’s $525M IPO Emboldens Already-Confident Internet Booster
[Updated 9/13/19, 11:40 am ET. See below.] Cloudflare has had its share of controversy, and is in a market with a wide range of more established competitors, from Amazon Web Services and Google Cloud to Cisco Systems and Palo Alto Networks. But the business software company still felt confident enough that Wall Street would welcome … Continue reading “Cloudflare’s $525M IPO Emboldens Already-Confident Internet Booster”
Robocalls Crowd Out Real Business Calls. This Startup Has an Answer.
The ways in which robocallers try to dupe us are becoming almost as plentiful as the frequency of the calls. An unknown phone number was once all scammers needed to trick the average person into picking up the call. Now, new hoaxes are making it increasingly difficult to avoid fraud, such as the “one ring” … Continue reading “Robocalls Crowd Out Real Business Calls. This Startup Has an Answer.”
ProsperOps Seeks Spot in the Growing Cloud as Amazon Still Dominates
Austin—[Updated 1:28 p.m. See below.] Cloud computing is big business, and Amazon Web Services is the biggest. A new Texas startup is carving its own space in this growing sector, but it’s not doing it by competing with Amazon’s AWS head on. The founders of ProsperOps have tied their firm’s growth, at least initially, to … Continue reading “ProsperOps Seeks Spot in the Growing Cloud as Amazon Still Dominates”
VMWare Plans to Acquire Bitfusion for Application-Enhancing Software
Austin—VMWare announced Thursday it intends to acquire Bitfusion, a startup with offices in Austin, TX and Silicon Valley that makes software aimed at optimizing the way hardware such as graphic processing units are used by applications. Terms were not disclosed. Bitfusion’s software is particularly useful for companies using artificial intelligence and machine learning technology in … Continue reading “VMWare Plans to Acquire Bitfusion for Application-Enhancing Software”
San Antonio to Honor Regenerative Medicine Pioneer Stephen Badylak
San Antonio — Ah, to be able to regrow a missing limb like a slimy salamander—a trick long dreamed of by youngsters and scientists alike. Research into such regenerative abilities has increasingly excited the scientific community during the past 30 years as it has gained further insight into the potential of the extracellular matrix, a … Continue reading “San Antonio to Honor Regenerative Medicine Pioneer Stephen Badylak”
Grocer H-E-B Explores Autonomous Delivery With SF-Area Startup Udelv
San Antonio — Pretty soon, the milkman may be making a comeback—at least, a robotic version. San Antonio-based grocery chain H-E-B is beginning a pilot program later this year to test out using an autonomous vehicle for grocery delivery. H-E-B plans to test one self-driving vehicle in a single San Antonio neighborhood, Olmos Park. The company … Continue reading “Grocer H-E-B Explores Autonomous Delivery With SF-Area Startup Udelv”
Ross Perot Dies: Tech Pioneer Sold Two Firms For Billions to Dell, GM
Dallas—Ross Perot, the Texan billionaire businessman who twice ran for president in the 1990s, died Tuesday, five months after being diagnosed with leukemia, according to news reports. He was 89. Perot sold his first company, Plano, TX-based computer services business Electronic Data Systems, to General Motors (NYSE: [[ticker:GM]]) in 1984 for $2.5 billion. In 1988, … Continue reading “Ross Perot Dies: Tech Pioneer Sold Two Firms For Billions to Dell, GM”
Honeywell Spinout Resideo Adds to Smart Home Cache, Opens Austin HQ
Austin—[Corrected 11:14 a.m. See below.] Doorbells, thermostats, refrigerators, and more—everything in the modern home is becoming a smart, connected device. (You can even monitor your kitty’s litter box habits with the Litter Robot 3!) There are many other, less frequently discussed appliances that businesses are pitching homeowners on as connected devices, such as air conditioning units … Continue reading “Honeywell Spinout Resideo Adds to Smart Home Cache, Opens Austin HQ”
Talk of Broadcom Buyout of Symantec Puts Broader IT Focus Into View
Broadcom is once, twice, three times a multi-billion-dollar dealmaker (well, basically) in the past year if it follows through on its reported talks to acquire Mountain View, CA-based cybersecurity giant Symantec. The potential acquisition, which was first reported Tuesday by Bloomberg citing anonymous sources, represents Broadcom’s continued (NASDAQ: [[ticker:AVGO]]) interest in broadening its business beyond … Continue reading “Talk of Broadcom Buyout of Symantec Puts Broader IT Focus Into View”
What’s Worth $34B? IBM Gets OK in Europe for Acquisition of Red Hat
IBM’s acquisition of open-source software maker Red Hat cleared the hurdle of approval from European regulators Thursday because it raised no concerns about competition, according to the European Commission. The $34 billion deal, which the companies plan on closing in the second half of 2019, drew attention when it was announced last fall for being … Continue reading “What’s Worth $34B? IBM Gets OK in Europe for Acquisition of Red Hat”
Big Business Has Your Data, and Osano Is Rating How They Handle It
Austin—Anyone who has an Evite account may be a bit wary right now: The company confirmed this month that personal data of some of its users, including names, dates of birth, and mailing addresses, were stolen. Some folks may have changed their password (recommended!), while others may have deleted their accounts to say good riddance. … Continue reading “Big Business Has Your Data, and Osano Is Rating How They Handle It”
VidMob Adds $25M Led by Austin-Based BuildGroup for Adtech Software
You’ve probably seen a VidMob advertisement, or at least an ad the company had some influence on, and not known it. The New York-based startup has helped make or optimize digital ads created for smartphones for brands ranging from Netflix (NASDAQ: [[ticker:NFLX]]) to Arby’s (“We Have the Meats!”). The company has software that lets the … Continue reading “VidMob Adds $25M Led by Austin-Based BuildGroup for Adtech Software”
InGeneron Adds $23M to Test Stem Cell Therapy for Rotator Cuff Tears
Houston — Stem-cell technology developer InGeneron has added another $23 million to a Series D financing it announced in 2017, bringing the total of the funding round to $43 million. Based in Houston, InGeneron plans to use the money for a clinical study in rotator cuff tendinopathy, a swelling of the tendons and muscles that support … Continue reading “InGeneron Adds $23M to Test Stem Cell Therapy for Rotator Cuff Tears”
Insurance Tech Startup CyberFortress Starts Risk Assessment Service
San Antonio—CyberFortress, an insurance tech startup founded late last year, is graduating from the Plug and Play accelerator and launching a new service that gauges how vulnerable ecommerce businesses are to hacking. The service assesses the risk of an ecommerce business being taken down because of something like a distributed denial-of-service (DDoS) attack or ransomware, … Continue reading “Insurance Tech Startup CyberFortress Starts Risk Assessment Service”
From Farm to (Financial) Table: Holt Ventures Partner Meg Paulus
San Antonio—Meg Paulus gets a sense of comfort when she walks around the campus of her work at Holt Cat, a San Antonio-based heavy equipment and engine dealer focused on Caterpillar tractors. Paulus grew up in rural southeast Wisconsin where she raised sheep and chickens and showed them off at annual 4-H fairs. Those memories … Continue reading “From Farm to (Financial) Table: Holt Ventures Partner Meg Paulus”
CrowdStrike IPO: Cybersecurity Firms Defend Themselves, and You
Of the many risks facing a cybersecurity company that’s trying to raise money through an initial public offering, here’s one that might surprise some investors: cyber attacks. Cybersecurity is important for everyone as hackers and governments continue to develop new and unique ways of stealing or compromising private information, which is more accessible than ever. … Continue reading “CrowdStrike IPO: Cybersecurity Firms Defend Themselves, and You”
Upland Software Acquires Marketing Software Business Kapost for $45M
Austin—Upland Software is paying $45 million to acquire Kapost, a Boulder, CO-based company with software for managing marketing content. Upland (NASDAQ: [[ticker:UPLD]]) sells business applications, including some for communicating with customers, managing sales, and automating financial and professional services. Kapost was founded in 2009 and sells software for planning, production, and distribution of marketing and … Continue reading “Upland Software Acquires Marketing Software Business Kapost for $45M”
Scaleworks Acquires SearchSpring for First Deal From Second Fund
San Antonio—Scaleworks is acquiring SearchSpring, a Denver, CO-based business that makes search and navigation systems for online stores and ecommerce businesses. The acquisition is the first for Scaleworks’ $80 million second fund, which the San Antonio investment firm announced it had raised in February. Founded in 2016, Scaleworks branded its investment style as a mix … Continue reading “Scaleworks Acquires SearchSpring for First Deal From Second Fund”
Whiskey Coffee, Immigration, AI: MassChallenge’s New Austin Cohort
Austin—MassChallenge has picked the 74 early-stage companies that will eventually compete for a portion of $500,000 in cash as a part of its Austin accelerator program. They’re startups that are developing products in a wide range of sectors, including life sciences, agriculture, and artificial intelligence. A majority of the startups are from Texas, although some … Continue reading “Whiskey Coffee, Immigration, AI: MassChallenge’s New Austin Cohort”
Seattle Algorithm Marketplace and Manager, Algorithmia, Snags $25M
Algorithmia was founded on the idea that lots of people who write algorithms, from academics to private sector employees, have good products but no way to commercialize them. It launched in 2014 as a marketplace for people who want to buy or sell algorithms, and raised a $2.4 million seed funding round. Today, there’s more … Continue reading “Seattle Algorithm Marketplace and Manager, Algorithmia, Snags $25M”
MedCognition Making Augmented Reality Emergency Training for US Army
San Antonio—MedCognition, a startup that uses an augmented reality system to train emergency medical technicians and other first responders on how to treat injuries, has earned a $750,000 grant from the US Army to collaborate with another organization on developing a version of its system for military use. MedCognition plans to spend the next 12 … Continue reading “MedCognition Making Augmented Reality Emergency Training for US Army”
Pendo Adds to Analytics, Engagement Software With Receptive Purchase
Pendo, an analytics business whose software helps companies study user behavior and feedback, has acquired a UK-based startup called Receptive Software. Pendo declined to disclose terms of the deal. Raleigh, NC-based Pendo aims to help its customers—ranging from tech startups to big businesses—make decisions about the design and user experiences of its products. In addition … Continue reading “Pendo Adds to Analytics, Engagement Software With Receptive Purchase”
Acelity Sells to 3M in Deal Valued at $6.7 Billion, Ending IPO Plan
San Antonio — Acelity is being acquired by 3M, the maker of products like Post-it and Ace bandages, in a $6.7 billion deal just two weeks after an affiliate of Acelity had filed paperwork for an initial public offering. The up-front cost to 3M will be about $4.3 billion because 3M (NYSE: MMM) will assume … Continue reading “Acelity Sells to 3M in Deal Valued at $6.7 Billion, Ending IPO Plan”
Emtora Biosciences Turns Sights on Rare Genetic Disease, New Funding
San Antonio—Emtora Biosciences, a San Antonio biotech startup formerly known as Rapamycin Holdings, is planning to test its drug, eRapa, as a treatment for a rare genetic disease known as Familial Adenomatous Polyposis (FAP). Emtora plans to begin a Phase 2a trial in late 2019 for the condition, which affects 60,000 people in the United … Continue reading “Emtora Biosciences Turns Sights on Rare Genetic Disease, New Funding”
Cliently Moves to San Antonio With $1M Round Led by Active Capital
San Antonio—Automated sales software maker Cliently is moving to San Antonio from South Carolina after receiving a $1 million seed funding round led by San Antonio investment firm Active Capital. Cliently sells software to small- and medium-sized businesses that helps them interact with prospective and current clients throughout the sales process. The software can hook … Continue reading “Cliently Moves to San Antonio With $1M Round Led by Active Capital”
Rackspace Hires Dallas Transit Exec Jones to Replace Eazor as CEO
San Antonio—Rackspace said Wednesday it has hired Kevin Jones, who most recently ran Dallas-based bus and transportation contracting business MV Transportation, as its CEO. Jones replaces Joe Eazor, who had held the top job at Rackspace since mid-2017. Apollo Global Management, which took San Antonio-based Rackspace private in a $4.3 billion acquisition in 2016, didn’t … Continue reading “Rackspace Hires Dallas Transit Exec Jones to Replace Eazor as CEO”
Upland Software Acquires Email Marketing Business PostUp for $35M
Austin—Upland Software is paying $35 million to acquire PostUp, an email marketing automation company that was founded in 1996 by Joshua Baer. Upland (NASDAQ: [[ticker:UPLD]]) sells applications that help businesses do anything from communicate with customers, manage sales platforms, and automate other financial and professional services. PostUp works with companies in media and publishing, offering … Continue reading “Upland Software Acquires Email Marketing Business PostUp for $35M”
San Antonio Wound-Care Company Eyes (Another) Initial Public Offering
San Antonio—Acelity may become a public company again, eight years after a consortium of private equity firms took the company, then known as Kinetic Concepts, private. KCI Holdings, an affiliate of Acelity, filed paperwork Thursday morning with the US Securities and Exchange Commission that proposes to list its shares on the New York Stock Exchange. … Continue reading “San Antonio Wound-Care Company Eyes (Another) Initial Public Offering”
Accenture Invests in San Antonio Government-Cybersecurity Operations
San Antonio—[Corrected 4/22/19, 2:22 p.m. See below.] Global technology and consulting services company Accenture is building out a facility in San Antonio that will focus on cybersecurity in government operations. Accenture (NYSE: [[ticker:CAN]]) says its Accenture Federal Services subsidiary plans to invest $5 million in the center and its other operations in San Antonio. The … Continue reading “Accenture Invests in San Antonio Government-Cybersecurity Operations”
Slingshot Adds $5M for Software That Monitors Disasters, Defense
Austin—Slingshot Aerospace has raised $5 million in additional seed funding led by its previous investor ATX Seed Partners, which gave the company $3.25 million in a seed round in December 2017. The Rise of the Rest Seed fund also participated in the add-on financing. Slingshot uses artificial intelligence and machine learning to process troughs of … Continue reading “Slingshot Adds $5M for Software That Monitors Disasters, Defense”
Achaogen Eyes Sale in Bankruptcy Auction a Year After FDA Approval
Achaogen wants to sell itself through an auction as a part of a Chapter 11 bankruptcy reorganization, which the antibacterial-product maker announced it filed for this morning. Achaogen plans to continue its normal business operations through the Chapter 11 process and took out a $25 million loan from Silicon Valley Bank to do so. The … Continue reading “Achaogen Eyes Sale in Bankruptcy Auction a Year After FDA Approval”
Active Capital Leads $1.8M Round for Back Office’s AI Bookkeeping
San Antonio—Active Capital is leading a $1.8 million seed funding round for West Palm Beach, FL-based automated bookkeeping software maker Back Office. 500 FinTech, PlugNPlay Ventures, and angel investors also participated, according to Active. Back Office says it uses artificial intelligence-driven software to automate revenue and expense reporting (among other accounting measures) for businesses. It … Continue reading “Active Capital Leads $1.8M Round for Back Office’s AI Bookkeeping”
VC Trends in 2019: More Money, Fewer Deals But Women Still Get Less
[Updated 11:23 a.m. See below.] If you’ve been following venture capital trends, what you expected to happen in the first quarter of 2019 did: More money is being invested in fewer deals, and women founders still are getting less of it than men. Venture firms sent $32.6 billion into startups nationally during the first three … Continue reading “VC Trends in 2019: More Money, Fewer Deals But Women Still Get Less”
CD&R Buys Majority Stake in San Antonio’s Sirius Computer Solutions
San Antonio—New York investment firm Clayton, Dubilier & Rice (CD&R) has acquired a majority stake in Sirius Computer Solutions, which provides a variety of security, cloud, and various other IT services to customers, typically offering products from companies it partners with, such as IBM or Cisco. Terms of the acquisition price weren’t disclosed. Sirius has … Continue reading “CD&R Buys Majority Stake in San Antonio’s Sirius Computer Solutions”
UT Health San Antonio Plans New Accelerator for Faculty Research
San Antonio –— The University of Texas Health Science Center at San Antonio is starting an internal accelerator program for inventors who work at the institution, with the goal of picking a first group of five to eight prospective entrepreneurs around May. The accelerator, which UT Health is calling TechNovum, will run its first program … Continue reading “UT Health San Antonio Plans New Accelerator for Faculty Research”
Executive Director of Alamo Angels Resigns to Focus on Seed Fund Job
San Antonio—Cat Dizon is stepping down from her role as executive director of Alamo Angels, the angel investing network in San Antonio founded in 2016. Alamo Angels, formerly known as the San Antonio Angel Network, is the city’s first angel network, and Dizon has been its second executive director. Chris Burney, a former Rackspace employee, … Continue reading “Executive Director of Alamo Angels Resigns to Focus on Seed Fund Job”
Thoma Bravo Acquires San Antonio’s Mailgun as Scaleworks Takes Exit
San Antonio—Thoma Bravo has acquired a majority stake in Mailgun Technologies, a spinout of Rackspace that offers software to help developers manage automated e-mail systems for their employers. Mailgun separated from cloud computing service provider Rackspace in 2017, securing a $50 million financing round led by Turn/River Capital, Rackspace, and San Antonio investment fund Scaleworks … Continue reading “Thoma Bravo Acquires San Antonio’s Mailgun as Scaleworks Takes Exit”
Cloudsnap Adds $1.75M to Make Enterprise App Data Integration a Snap
Austin—Cloudsnap, a startup that makes software to connect and integrate data from its customers’ enterprise applications, has raised $1.75 million in seed financing led by Active Capital. Cloudsnap was founded in 2018 by Rick Barkley, a native Austinite (he moved here when he was 2 years old, so close enough) who ran e-learning startup Nuvola … Continue reading “Cloudsnap Adds $1.75M to Make Enterprise App Data Integration a Snap”
FunnelAI’s $1.5M Seed Funding May Lead to Global Growth, New Sectors
San Antonio—FunnelAI, a startup that aims to measure a consumer’s intent to purchase something, announced it has raised a $1.5 million seed funding round led by San Antonio investor Active Capital. FunnelAI plans to use the funds to make new hires and to add to the industry verticals in which its software is used. Currently, … Continue reading “FunnelAI’s $1.5M Seed Funding May Lead to Global Growth, New Sectors”
Startup Diversity Pledge Takes National Aim After Start in Austin
Austin—There’s a diversity initiative in Austin that’s gaining interest: The Startup Diversity and Inclusion Pledge has now been signed by some 50 entrepreneurs and investors in the city. The pledge asks any company or individual who signs it to commit to standards such as hiring (and interviewing) a diverse workforce, pay equality, and training about … Continue reading “Startup Diversity Pledge Takes National Aim After Start in Austin”
Magnitude Software Takes $179M from Private Equity Firm 3i Group
Austin—[Updated 10:10 a.m. See below.] Magnitude Software is selling a $179 million stake in the company to London-based private equity firm 3i Group. Chris Ney, the founder, chairman, and CEO of Magnitude, is investing alongside 3i, the company announced. The company didn’t say whether the PE firm’s investment gave it a controlling interest. Magnitude said … Continue reading “Magnitude Software Takes $179M from Private Equity Firm 3i Group”
Keen, a San Antonio SaaS Startup Owned by Scaleworks, Hires New CEO
San Antonio—Ben Kuhn has been promoted to become the CEO of Keen, a San Antonio startup that helps software developers with custom application programming interfaces for data collection and analytics. Kuhn was hired as the general manager of Keen in 2018, having previously worked at healthcare companies DaVita and Genentech. Most recently, he co-founded another … Continue reading “Keen, a San Antonio SaaS Startup Owned by Scaleworks, Hires New CEO”
The Investments Cisco, Samsung, Toyota, and Chevron Are Making in AI
Austin—If you’re a startup talking up your artificial intelligence chops in your venture capital pitch, you’re not alone. For Cisco Investments, the venture arm of tech giant Cisco, artificial intelligence is no longer one of the key trends to watch for during pitches in 2019. That’s according to Noah Yago, a director at Cisco Investments, … Continue reading “The Investments Cisco, Samsung, Toyota, and Chevron Are Making in AI”
EPIcenter Event to Showcase Innovations in Electricity Products
San Antonio—EPIcenter, a think tank that promotes the “new energy” sector and operates a startup incubator and other programs for businesses, is planning a half-day event highlighting electricity-focused tech companies. The summit will take place on June 19 and will include keynote speeches, panel discussions, and short product presentations by companies that use electricity in … Continue reading “EPIcenter Event to Showcase Innovations in Electricity Products”
San Antonio Startup Cityflag Joins City-Focused Techstars Program
San Antonio—[Updated 3/8/19, 2:27 p.m. See below.] A San Antonio startup, Cityflag, is joining a new Techstars program in Amsterdam for businesses that focus on changing how “we live, work, and travel in cities.” Cityflag is one of ten startups that is taking part in the Arcadis City of 2030 Accelerator, which Techstars is running … Continue reading “San Antonio Startup Cityflag Joins City-Focused Techstars Program”
Intel Reveals Ideas on Promoting AI in U.S. as Chinese Growth Looms
Even as the executive order President Trump issued last month on artificial intelligence furthered the conversation about a developing national strategy for the sector, it was met with certain criticism. A common complaint was that the plan won’t implement itself. “The administration’s American AI Initiative includes all of the right elements; the critical test will … Continue reading “Intel Reveals Ideas on Promoting AI in U.S. as Chinese Growth Looms”
Angel Networks Most Active Texas Investors Since 2010, Report Says
Austin — Two angel networks in Texas have been the most active investors in the state since 2010. The Houston Angel Network leads the list with 145 investments during the past nine years, followed by the Central Texas Angel Network in Austin with 144 deals, according to data compiled by Seattle-based PitchBook. Capital Factory, which runs … Continue reading “Angel Networks Most Active Texas Investors Since 2010, Report Says”
Database Automation Software Maker Datical Adds $10M for New Hires
Austin—Datical, which sells software that automates the laborious process of manually updating a database during a software or application release, has added a $10 million Series C round of financing led by Cincinnati, OH-based River Cities Capital Funds. The Austin, TX-based company plans to use the funding to make new hires in research and development, … Continue reading “Database Automation Software Maker Datical Adds $10M for New Hires”