Take NVIDIA’s new Deep Learning Robotics Workshop at TC Sessions: Robotics + AI

As part of TechCrunch Sessions: Robotics + AI, we are happy to announce a partnership to deliver a brand new course from NVIDIA’s Deep Learning Institute (DLI). Called the NVIDIA Deep Learning for Robotics Workshop, this brand new, never before offered workshop will provide training in a new 3D accelerated remote desktop environment on April 17 in Berkeley, the day before the main show.

Under this supervision of a NVIDIA DLI instructor, the 60 participants will explore how to create robotics solutions on a Jetson for embedded applications and how to implement and deploy an end-to-end project through hands-on training. This eight-hour workshop will also teach how to:

  • Apply computer vision models to perform detection
  • Prune and optimize the model for embedded application
  • Train a robot to actuate the correct output based on the visual input

Upon completion, participants will know how to deploy high-performance deep learning applications for robotics and can earn an NVIDIA certificate upon completion of a code-based assessment.

What are the prerequisites? All that’s required is a basic familiarity with deep neural networks and basic coding experience in Python or a similar language.

Registration is $299* for workshop tickets. All supplies will be provided except for a laptop. (We’re providing the super-fat bandwidth the course requires.) There are only 60 spots available, so grab tickets while they last.

Check out the website for more information.

*Tickets to the April 17 NVIDIA workshop do not grant access to TC Sessions: Robotics + AI on April 18. Tickets are sold separately.


Source: Tech Crunch

Opportunity’s last Mars panorama is a showstopper

The Opportunity Mars Rover may be officially offline for good, but its legacy of science and imagery is ongoing — and NASA just shared the last (nearly) complete panorama the robot sent back before it was blanketed in dust.

After more than 5,000 days (or rather sols) on the Martian surface, Opportunity found itself in Endeavour Crater, specifically in Perseverance Valley on the western rim. For the last month of its active life, it systematically imaged its surroundings to create another of its many impressive panoramas.

Using the Pancam, which shoots sequentially through blue, green, and deep red (near-infrared) filters, it snapped 354 images of the area, capturing a broad variety of terrain as well as bits of itself and its tracks into the valley. You can click the image below for the full annotated version.

It’s as perfect and diverse an example of the Martian landscape as one could hope for, and the false-color image (the flatter true-color version is here) has a special otherworldly beauty to it, which is only added to by the poignancy of this being the rover’s last shot. In fact, it didn’t even finish — a monochrome region in the lower left shows where it needed to add color next.

This isn’t technically the last image the rover sent, though. As the fatal dust storm closed in, Opportunity sent one last thumbnail for an image that never went out: its last glimpse of the sun.

After this the dust cloud so completely covered the sun that Opportunity was enveloped in pitch darkness, as its true last transmission showed:

All the sparkles and dots are just noise from the image sensor. It would have been complete dark — and for weeks on end, considering the planetary scale of the storm.

Opportunity had a hell of a good run, lasting and traveling many times what it was expected to and exceeding even the wildest hopes of the team. That right up until its final day it was capturing beautiful and valuable data is testament to the robustness and care with which it was engineered.


Source: Tech Crunch

Boeing requests FAA ground the 737 as the President pushes an emergency order

After consulting with the Federal Aviation Administration, the National Transportation Safety Board, and airlines, Boeing is throwing its support behind a decision to ground its 737 Max planes.

“Boeing has determined — out of an abundance of caution and in order to reassure the flying public of the aircraft’s safety — to recommend to the FAA the temporary suspension of operations of the entire global fleet of 371 737 MAX aircraft,” the company said in a statement.

Boeing’s statement comes amid mounting pressure for the FAA to ground Boeing’s planes and belies the company’s reported efforts behind the scenes to keep its planes aloft — at least in the United States.

The company’s chief executive, Dennis A. Muilenburg, reportedly called from Chicago to assure President Trump about the safety of the planes, which have been involved in crashes on flights operated by Nigerian and Indonesian airline carriers, according to a report in The New York Times

According to the Times report, the call had been planned since Monday, but came after the President had called the safety of passenger airlines into question — blaming an overabundance of technology for the recent spate of accidents.

Indeed, Boeing’s acquiescence arrives even as President Donald Trump was readying  an emergency order that would ground the planes.

“We are supporting this proactive step out of an abundance of caution. Safety is a core value at Boeing for as long as we have been building airplanes; and it always will be. There is no greater priority for our company and our industry,” according to a statement from Boeing. “We are doing everything we can to understand the cause of the accidents in partnership with the investigators, deploy safety enhancements and help ensure this does not happen again.”

And the Federal Aviation Administration has now grounded the planes.

Here’s the statement from the FAA

The FAA is ordering the temporary grounding of Boeing 737 MAX aircraft operated by U.S. airlines or in U.S. territory. The agency made this decision as a result of the data gathering process and new evidence collected at the site and analyzed today. This evidence, together with newly refined satellite data available to FAA this morning, led to this decision.

The grounding will remain in effect pending further investigation, including examination of information from the aircraft’s flight data recorders and cockpit voice recorders. An FAA team is in Ethiopia assisting the NTSB as parties to the investigation of the Flight 302 accident. The agency will continue to investigate.


Source: Tech Crunch

Sketch, maker of popular design tools, just landed $20 million in Series A funding from Benchmark in its first outside round

You’ve probably noticed: design has become central for many businesses that might have once considered it an afterthought. Indeed, with sales and marketing so thoroughly optimized at this point — and companies wondering how else to trounce the competition — there’s now a race afoot for numerous startups looking to become the Salesforce of design.

InVision is one of them. Just three months ago, the design collaboration startup raised $115 million in Series F funding at a $1.9 billion valuation. More recently, Figma, another design player, sealed up $40 million in Series C funding in a round that brings its total funding to $82.9 million and a valuation of $440 million.

Still, if the venture firm Benchmark has its way, Sketch — a seven-year-old, 42-person, Europe-based company — is going to win this race. Truth be told, Benchmark jumped at the chance to back Sketch founders Emanuel Sa and Pieter Omvlee when they reached out to the firm, says Chetan Puttagunta, the newest general partner at Benchmark. “We’d definitely known of Sketch and once we got a look at the company, we were blown away by it. There’s so much potential of what this could be that things moved fast. There wasn’t much of a negotiation. We were like, ‘What do you guys want to do? Let’s do it.’”

It helps that Sketch —  which has a completely distributed workforce, with designers and other employees based around Europe and the U.S. — has been profitable from the outset, and that one million people have already paid it $99 for a perpetual license (with one year of free updates).

Also impressive: those sales are entirely organic, and they are directly from Sketch’s site. Though its design tools were once available in the Mac App Store – – Apple once gave it a design award and it routinely topped the Mac App Store charts — the company parted ways with Apple back in 2015, including owing to Apple’s guidelines about what a Mac app can and can’t do, and the time Apple takes to approve app updates, among other things.

Benchmark — which isn’t sharing Sketch’s post-money valuation or how much of the company that $20 million is buying the venture firm —  also sees a future wherein Sketch moves beyond its roots as prototyping tool for both highly experienced and novice designers to build out their experience without the help of coders. The idea is for it to become a tool that teams big and small can gather around. In other words, like Invision and Figma (and Adobe and Autodesk), Sketch is going after the enterprise now, too.

In fact, Sketch is already planning some big upgrades that will be available this summer, as Sa and Omvlee told us yesterday from their respective offices in Portugal and The Netherlands. One major offering around the corner that builds on its existing cloud offering is team collaboration, via a tool called Sketch for Teams. As the two tell us, Sketch wants to be where all documents live and it will allow teams to make annotations and comments in the app.

Sketch is also bringing its tools to the browser starting later this year so users can render an entire document, add developer handoff, and allow editing along with collaboration, all without the need to leave the browser.

All of these features will be made available to anyone who downloads Sketch. In other words, then, as now, everyone gets the same functionality. Asked if there may eventually be features for enterprises that are not available to Sketch’s loyal base of current customers, Puttagunta says it’s a possibility, but that “at the moment, there’s no plan to bifurcate anything. Different modules, different charges —  that’s all speculation at this point.”

Sa and Omvlee echo the point, telling us candidly that much remains to be seen. “We need to define a strategy,” says Sa. “So far, we’ve been focused on developing the product, but when the time comes, we’ll discuss [more of these business particulars] with Benchmark and the rest of the team and come up with the best solution.”

What won’t change, says Omvlee, is its focus on creating a product that users love so much that they tell others about it. “Our focus all along has been on making design available to pretty much anyone out there, and then get out of the way.”

Pictured above, left to right: Sketch founders Emanuel Sa and Pieter Omvlee.


Source: Tech Crunch

Flight-hailing startup Blackbird raises $10 million to replace driving with flying

The origin story of Blackbird, a startup that links travelers to planes and commercial pilots through an app, didn’t begin with air travel. It was prompted by car sickness.

Blackbird CEO and founder Rudd Davis, who was getting his pilot’s license at the time, asked his flight instructor if he would fly his family to Tahoe because his son gets terribly sick every time they traveled by car. What Rudd discovered was an incredible experience that was far more affordable than he realized. 

Davis launched the company in 2016 and has spent the past two years honing in on the business model as well as adding commercial pilots and members. Now, with fresh capital from New Enterprise Associates, Blackbird is ready to spread its wings. 

The company announced Tuesday it has raised $10 million in a Series A round led by NEA. NEA partner Jonathan Golden, who previously worked at Airbnb, has joined the Blackbird board of directors alongside Francoise Brougher of Pinterest, Square, and Google, and Andrew Swain, who is also from Airbnb.

Blackbird has also hired Brian Hsu, who spent a decade at eBay and most recently vice president of supply at Lyft, as chief operating officer. Davis is counting on Hsu, who has experience scaling marketplaces, to help Blackbird expand its membership and reach.

 

 

 

The company will use its new injection of capital to scale up, in terms of users, pilots and employees.

Blackbird currently has more than 700 commercial pilots, who fly passengers between 50 and 500 miles from and within California. For now, Davis said this is a self-imposed geographic restriction.

“We’re trying to build up density and build up the network and optimize it before we start replicating it to other geographies,” Davis said.

It does face challenges. Blackbird has to find that price per seat sweet spot, which is largely driven by how many users and pilots are on the platform. Seats can be around $80 or upwards of $900, depending on the route, pilot availability and demand. And Blackbird must fight misconceptions of what and who the platform is designed for.

“A lot of people have looked at this space before, and really have kind of come up empty handed,” said Golden, who was a seed investor into Blackbird before joining NEA.

What makes Blackbird so compelling, Golden added, is that it’s not about luxury travel, but instead about how to actually replace driving through flights, which is really compelling.

“When most people think about kind of flying non-commercially, they think about huge jets with couches and for billionaires,” Davis said.And that is not the entirety of general aviation, there’s a huge aspect of aviation that is flying in smaller planes. It just hasn’t really been as accessible.”


Source: Tech Crunch

Boeing is moving to address potential issues in new 737s as Europe bans its plane

In the wake of the second fatal crash in six months involving Boeing 737 Max 8 airplanes, the European Aviation and Safety Administration is grounding the planes as Boeing said it was taking additional steps to address an issue that may have contributed to the crash.

On Sunday, a Boeing 737 Max 8 plane operated by Ethiopian Airlines crashed just minutes after takeoff killing all 157 on board the flight. Last October, a Lion Air flight departing from Jakarta crashed in similar circumstances killing all 189 people on board. The plane involved was also a 737 Max 8.

Responding to the incidents, the European Union Aviation and Safety Administration has banned the plane from operating in European airspace.

Here’s the statement from the EASA:

Following the tragic accident of Ethiopian Airlines flight ET302 involving a Boeing 737 MAX 8, the European Union Aviation Safety Agency (EASA) is taking every step necessary to ensure the safety of passengers.

As a precautionary measure, EASA has published today an Airworthiness Directive, effective as of 19:00 UTC, suspending all flight operations of all Boeing Model 737-8 MAX and 737-9 MAX aeroplanes in Europe. In addition EASA has published a Safety Directive, effective as of 19:00 UTC, suspending all commercial flights performed by third-country operators into, within or out of the EU of the above mentioned models.

Meanwhile, Boeing has issued a statement saying that it has been developing a software update following the Lion Air crash. “This includes updates to the Maneuvering Characteristics Augmentation System flight control law, pilot displays, operation manuals and crew training.”

Essentially, faulty sensors may have been to blame for the Lion Air crash. “The enhanced flight control law incorporates angle of attack (AOA) inputs, limits stabilizer trim commands in response to an erroneous angle of attack reading, and provides a limit to the stabilizer command in order to retain elevator authority,” Boeing said in a statement about its software update.

Essentially, the sensors think the plane is stalling and they apply an opposite remedial action which trims an airplanes down, Flying Magazine columnist and small-plane pilot Peter Garrison tells me. It then takes enormous force from the pilots to hold the nose up, rendering them unable to address the problem, he adds.

“Once you are holding on to the controls for dear life you don’t have any hands left to correct the problem,” says Garrison. “You expect that confronted in an emergency the pilot will analyze what’s happening and act accordingly. Human beings don’t necessarily panic, but they lose their ability to reason clearly and to weigh alternative hypotheses when they are under basically what is a threat of death. Even though it may seem obvious that all you have to do is interrupt the autopilot, amazingly that may not occur to a pilot who is hundreds of feet off the ground and has to pull back on a control yoke with hundreds of pounds of force.”

According to Garrison, the blame on Boeing may be misplaced.

“People like to talk about this as the airplane is defective and they’re correcting it with software,” he says. “That’s all nonsense. Planes today are a mix of automatic systems — and by automatic I of course mean digital electronic systems and mechanical ones — and the natural aerodynamics of the airplane and you can’t separate these.”

If Boeing had made any mistakes, Garrison believes it was in the company’s inability to adequately communicate the problem to pilots and get them ready for taking action in the event of a malfunction.

Even in perfectly designed systems, the transition from automated controls to manual manipulation is difficult to achieve, says Garrison. “It’s not that hard to understand that automation does not make a smooth interface with human control. There’s a break there and it’s a dangerous break,” he said.

Here’s an explanation from Business Insider over the latest thinking around the Lion Air crash that provide further detail.

At the heart of the controversy surrounding the 737 Max is MCAS, the Maneuvering Characteristics Augmentation System. To fit the Max’s larger, more fuel-efficient engines, Boeing had to redesign the way it mounts engines on the 737. This change disrupted the plane’s center of gravity and caused the Max to have a tendency to tip its nose upward during flight, increasing the likelihood of a stall. MCAS is designed to automatically counteract that tendency and point the nose of the plane downward.

Initial reports from the Lion Air investigation, however, indicate that a faulty sensor reading may have triggered MCAS shortly after the flight took off. Observers fear that a similar thing may have happened in Sunday’s Ethiopian Airlines flight.

“Boeing has been working closely with the Federal Aviation Administration (FAA) on development, planning and certification of the software enhancement, and it will be deployed across the 737 MAX fleet in the coming weeks,” the company said in a statement. “The update also incorporates feedback received from our customers.”

Boeing expects the update to be completed across its fleet by April.

In the interim, U.S. politicians have been pleading with the Federal Aviation Administration to take the same steps that countries including the entire European Union, China, Ethiopia, Australia, Singapore, Indonesia, and the operators Norwegian Air, Aeromexico, Gol Airlines from Brazil, the South Korean airline Easair, the South African airline, Comair, and others from around the globe.

No less an authority on aviation than President Donald Trump has also weighed in on the crashes and attendant controversy.

Setting the President’s calls to return aviation to the early part of the 20th century aside, several aviation administrations and airlines have grounded the Boeing 737 Max.

So the FAA is among the only civil aviation administrations in the world to keep the Boeing 737 Max 8 airborne.

“An FAA team is on-site with the NTSB in its investigation of Ethiopian Airlines Flight 302. We are collecting data and keeping in contact with international civil aviation authorities as information becomes available,” the FAA said in a statement yesterday.  “The FAA continuously assesses and oversees the safety performance of U.S. commercial aircraft.  If we identify an issue that affects safety, the FAA will take immediate and appropriate action.”

A spokesperson for the administration said there were no other statements from the Administration available at this time.

Earlier today, politicians from both sides of the aisle — including the Republican Utah Senator Mitt Romney and Democratic Senator and Presidential hopeful Elizabeth Warren — pleaded with the FAA to reverse their decision, according to Politico.

“Today, immediately, the FAA needs to get these planes out of the sky,” Warren said Tuesday.

Even former Secretary of Transportation Ray LaHood, who grounded the 787 Dreamliner back in 2013 is calling for the FAA to pull the new 737s out of service.

That’s not just the view of this columnist. It’s also the opinion of Ray LaHood, the former U.S. Secretary of Transportation who grounded the 787 Dreamliner following fires in its lithium-ion battery packs in 2013.

“The flying public has to be assured that these planes are safe, and they don’t feel that way now,” LaHood told Bloomberg. “The Secretary of Transportation should announce today that these planes will be grounded until there is 100 percent assurance from Boeing that these planes are safe to fly, because unless they can give that assurance they’re not holding up their promise to be the top safety agency in the U.S.”

Such a move could be bad for Boeing. The 737 is Boeing’s most popular aircraft and the heart of the company’s fleet.

The company has been struggling to keep up with demand for its newest model of the 737, according to reports in the Seattle Times. And the new plane was Boeing’s best seller, keeping the stock buoyant.

A report from National Public Radio showed just how robust sales were for the new aircraft. It’s the fastest-selling plane that Boeing has ever produced. Expectations from executives were for the Max model to account for 90% of all 737 deliveres in 2019, according to a statement from the company’s chief financial officer, Gregory Smith, NPR reported.

Boeing stock is down nearly 6% in trading on the New York Stock Exchange.


Source: Tech Crunch

Startup Law A to Z: Employment Law

Your startup will not succeed unless you, the founder, build an exceptional team. Great teams are built on top of great culture. Yet any venture-backed startup founder will tell you, myself included, that developing a positive corporate culture is more art than science, requiring constant and creative recalibration as your company grows. What then does this have to do with employment law?

First, building an exceptional team means hiring great people; whether that involves W-9s for consultants, I-9s for employees, lengthy H-1B visa applications, or a new employee handbook, you need to hire the right people in the right way. Second, one bad employment-related legal dispute can have ripple effects throughout an organization, undermining employee morale and executive credibility in one fell swoop, with palpable culture fallout.

Fortunately, when working to promote healthy company culture, founders can look to employment law for some preventive medicine. In fact, transparency through written policies, clearly communicated in advance and followed in practice, can help create the trust and accountability which are foundational to positive company culture. Moreover, in the event employment disputes do arise, well-drafted employment policies actually provide valuable guidance through difficult to navigate situations, while limiting downside risks to the company, as well.

This article, the fourth in Extra Crunch’s exclusive five-part “Startup Law A to Z” series, follows previous articles on customer contracts,  intellectual property (IP) and corporate matters. This series is calculated to provide founders the information needed to assess legal risks in the areas common to most startups.

After reading this article, or other “Startup Law A to Z” articles, should you identify legal risks facing your startup, Extra Crunch resources can help. For example, the Verified Experts of Extra Crunch include some of the most experienced and skilled startup lawyers in practice today. So use these resources to identify attorneys focused on serving companies at your stage and then reach out for further guidance in the particular issues at hand.

The Employment Law checklist:

Employee vs. independent contractor classification

  • Payroll Taxes and Payroll Providers
  • Federal Classification: 21-Part Test
  • State Classification: Various tests, e.g., Dynamex in California
  • Intentional vs. Unintentional Misclassification and Penalties

Minimum wage and hour laws

  • Application to founders
  • Federal Fair Labor Standards Act (FLSA)
  • State Laws

Meal and rest breaks, vacation pay

  • Federal Fair Labor Standards Act (FLSA)
  • State Laws

Deferred compensation

  • Rule 409A
  • Founders
  • Employees

Sexual harassment, discrimination, and related claims

  • Federal:
    • Civil Rights Act of 1964
    • Age Discrimination in Employment Act of 1967 (ADEA)
    • Americans with Disabilities Act of 1990 (ADA)
    • Equal Pay Act of 1963
    • Genetic Information Nondiscrimination Act of 2008
  • State Laws
  • Employee Handbook
  • Documentation and Investigation

Work authorization / immigration

  • Form I-9 (Employees) and W-9 (Independent Contractors)
  • For Temporary Workers:
    • Visa Waiver Program
    • B-1
  • Employee Visas:
    • H1-B
    • L-1
    • O-1
  • Students:
    • F-1 with OPT STEM Extension
  • Other Visas:
    • EB-5
    • E Visas (E-1, E-2, E3)

 

Employee vs. independent contractor classification

One of the biggest employment law issues that startups get wrong, often willingly, is “employee” versus “independent contractor” classification. For employees, a startup must withhold and pay federal, state, and local income taxes, state disability, and payments under the Federal Unemployment Tax Act and Federal Insurance Contribution Act (i.e. Social Security and Medicare), not to mention contributions for federal and state unemployment and workers compensation insurance. Given this complexity, startups should absolutely hire a payroll provider to help manage the process, such as ADP, Gusto, Paychex or Quickbooks.

Of course, all of this gets expensive. Instead, far too many early-stage startups simply hire “independent contractors” to avoid everything mentioned above, often misclassifying these workers in the process, whether under federal law, state law, or both.


Source: Tech Crunch

Scaleway updates its high-performance instances

Cloud-hosting company Scaleway refreshed its lineup of high-performance instances today. These instances are now all equipped with AMD EPYC CPUs, DDR4 RAM and NVMe SSD storage. The more you pay, the more computing power, RAM, storage and bandwidth you get.

High-performance plans start at €0.078 per hour or €39 per month ($44.20), whichever is lower at the end of the month. For this price you get 4 cores, 16GB of RAM, 150GB of storage and 400Mbps of bandwidth.

If you double the price, you get twice as many cores, RAM and storage. Higher plans get a tiny discount on performance bumps. And the fastest instance comes with 48 cores, 256GB of RAM, 600GB of storage and 2Gbps of bandwidth. That beast can cost as much as €569 per month ($645).

Here’s the full lineup:

Scaleway had high-performance instances in the past, called “X64” instances. They were relatively cheaper. Despite that price bump, Scaleway manages to stay competitive against Linode, DigitalOcean and others.

A server with 6 CPU cores and 16GB of RAM costs $80 per month on Linode. After that, you have to choose between high memory plans and dedicated CPU plans, so it’s harder to compare.

On DigitalOcean, an instance with 16GB of RAM and 4 CPU cores costs $120 per month. The most expensive instance costs $1,200 per month, and it doesn’t match the specifications of Scaleway’s most expensive instance.


Source: Tech Crunch

Google’s new voice recognition system works instantly and offline (if you have a Pixel)

Voice recognition is a standard part of the smartphone package these days, and a corresponding part is the delay while you wait for Siri, Alexa or Google to return your query, either correctly interpreted or horribly mangled. Google’s latest speech recognition works entirely offline, eliminating that delay altogether — though of course mangling is still an option.

The delay occurs because your voice, or some data derived from it anyway, has to travel from your phone to the servers of whoever operates the service, where it is analyzed and sent back a short time later. This can take anywhere from a handful of milliseconds to multiple entire seconds (what a nightmare!), or longer if your packets get lost in the ether.

Why not just do the voice recognition on the device? There’s nothing these companies would like more, but turning voice into text on the order of milliseconds takes quite a bit of computing power. It’s not just about hearing a sound and writing a word — understanding what someone is saying word by word involves a whole lot of context about language and intention.

Your phone could do it, for sure, but it wouldn’t be much faster than sending it off to the cloud, and it would eat up your battery. But steady advancements in the field have made it plausible to do so, and Google’s latest product makes it available to anyone with a Pixel.

Google’s work on the topic, documented in a paper here, built on previous advances to create a model small and efficient enough to fit on a phone (it’s 80 megabytes, if you’re curious), but capable of hearing and transcribing speech as you say it. No need to wait until you’ve finished a sentence to think whether you meant “their” or “there” — it figures it out on the fly.

So what’s the catch? Well, it only works in Gboard, Google’s keyboard app, and it only works on Pixels, and it only works in American English. So in a way this is just kind of a stress test for the real thing.

“Given the trends in the industry, with the convergence of specialized hardware and algorithmic improvements, we are hopeful that the techniques presented here can soon be adopted in more languages and across broader domains of application,” writes Google, as if it is the trends that need to do the hard work of localization.

Making speech recognition more responsive, and to have it work offline, is a nice development. But it’s sort of funny considering hardly any of Google’s other products work offline. Are you going to dictate into a shared document while you’re offline? Write an email? Ask for a conversion between liters and cups? You’re going to need a connection for that! Of course this will also be better on slow and spotty connections, but you have to admit it’s a little ironic.


Source: Tech Crunch

Andreessen Horowitz is making the move to San Francisco at long last

One of the last top-tier venture firms to resist coming to San Francisco has apparently decided that it’s time to make the move. According to a source familiar with the thinking of Andreessen Horowitz, the firm is opening up a San Francisco office later this year.

The WSJ had reported on Friday that the firm has signed a leasing agreement to move into 180 Townsend Street in the city’s China Basin neighborhood, not far from where the San Francisco Giants play baseball. (The park was known until January as AT&T Park; it has since been renamed Oracle Park.)

Our source says that the firm will not be shuttering its expansive offices on Sand Hill Road, where it set up shop immediately after opening up for business in 2009. This person adds that a16z, as the firm is known, doesn’t plan to rent out an entire building. (Worth noting: 180 Townsend features more than 41,000 square feet.)

The move is notable, even amid a years-long trend of Silicon Valley venture capital firms that have opened offices in San Francisco and, in doing so, shifting the industry’s center of gravity 45 minutes north.

True Ventures was among the earliest venture firms to come to the city, originally setting up operations along the city’s waterfront and later moving its office to the popular South Park neighborhood, which is also now home to Kleiner Perkins, Accel, General Catalyst, and New Enterprise Associates, among others.

Firms have also turned the city’s Jackson Square neighborhood, roughly 1.5 miles away, on the other side of San Francisco’s financial district. Among those tenants: Jackson Square Ventures, NextWorld Capital, Catamount Ventures, and Sway Ventures.

Andreessen Horowitz has long seemed happy to exclusively operate out of Menlo Park, not opening another regional office, and not entertaining the idea of opening a New York office, even as many of its peers were doing so years ago.

Our source says the firm began thinking more seriously about opening a second space in San Francisco at least a year ago before more recently deciding to pull the trigger. Undoubtedly, it will ease a long commute for some of its 150 employees, many of whom live in the city and will be dividing their time between both offices once its San Francisco location opens.

Clearly, the firm also wants to get closer to the founders it works with — and wants to work with — many of whom also prefer San Francisco to sleepier, if less crowded, parts south.

Leasing commercial space in San Francisco is as pricey as it has even been. As the WSJ noted, citing data from the real estate group Cushman & Wakefield, office rent in San Francisco reached a record  $75.57 per square foot in the fourth quarter of 2018, up 6.4 percent from the same period in 2017.

In addition to Andreessen Horowitz, Y Combinator looks likely to move to San Francisco this year; as we reported last week, the investment firm and accelerator program is currently searching for the right space to set up shop.


Source: Tech Crunch