The Rundown: Edition 22 – No exit tax, $100m for Backed VC, and COP30
Welcome to The Rundown, a snapshot of news, views and intel from the fast-growth tech and investment scene.
Please do share our sign-up page with colleagues and friends – and don’t forget to send us any stories you think we should cover at [email protected]. Thanks for your support.
Chancellor abandons income and exit tax plans
Rachel Reeves has abandoned plans to raise income tax and implement a tax on entrepreneurs looking to move their money out of the country. The exit tax U-turn follows concerns that the changes would prompt high-net-worth individuals to flee before its implementation, as well as a successful campaign led by the Startup Coalition. Telegraph
Robinhood wants to give retail traders access to AI startups
The fund, which will be managed by Robinhood Ventures, plans to allow retail traders to gain exposure to “best in class” private AI companies. It is hoped that the move will open up a new pool of capital for private markets. FT
Concern grows over OpenAI’s ability to afford compute
Concerns are growing around OpenAI’s ability to cover $1tn in compute costs. CEO Sam Altman has rejected the idea that the firm would like the US government to underwrite some of its chip spending, following a previous suggestion by the firm’s CFO. Guardian
SoftBank sells stake in Nvidia for $5.83bn
The Japanese investment management company has sold its entire stake of over 32 million shares in the US chipmaker as SoftBank goes “all in” on its bet on OpenAI. SoftBank disclosed it also sold part of its stake in T-Mobile for $9.17bn. CNBC
UK economy grows 0.1% in Q3
Growth in the UK economy slowed more than expected to 0.1% over July-September. The news comes just after the announcement that unemployment had hit 5% for the first time since January 2021. Times
Backed VC closes third fund at $100m
The UK-based VC has raised its third seed fund, with backing from institutional investors including Isomer Capital and Wunderland Capital. It will focus on three areas: AI-native therapeutics, blockchain and banking infrastructure, and manufacturing automation. Sifted
Payments firm Zilch receives £134m boost
Zilch, the London-based buy-now-pay-later platform, has announced a joint equity and debt round led by investment group KKCG with participation from BNF Capital and strategic investors. UKTN
Germany’s FMC raises €100m Series C
The semiconductor firm, which is developing chips that can reduce the energy demand of AI data centres, has raised its Series C, with the round led by HV Capital and the DeepTech & Climate Fonds (DTCF). Tech.EU
Adclear raises £2.1m Seed round for AI compliance
The London-based startup, which automates compliance checks on social media posts, advertisements, emails, websites, has announced a new investment led by Outward VC, with participation from AFG Partners and Tenity. Tech Funding News
More money, more spinouts
The University of Cambridge innovation ecosystem is attracting more investor funding, and Michael Anstey, Partner at Cambridge Innovation Capital, believes this is because academics have had time to test and validate their work before it’s spun out. Forbes
Leave family businesses alone
Steve Rigby, Co-CEO of Rigby Group, describes family businesses as the “backbone of our economy and the beating heart of our regions”. He claims proposed changes to business property relief (BPR) will “risk dismantling decades of stability for businesses across the country”. Times
Let’s target AI misuse, not innovation
According to Feargus MacDaeid, Chief Strategy Officer and Co-founder of Definely, we should pursue a flexible regulatory framework and focus on those who misuse AI, rather than regulation against the technology itself. FTAdviser
Fair’s fair on taxing the wealthy
While it’s “fair” that the wealthy contribute more, it’s important to ensure that “smart policy balances fairness with growth”, according to Andrew Holder, Managing Director at Brades. Sifted
Treble Peak and NewVest address private market issues
The private market platform has partnered with NewVest to grant ‘passive’ exposure to the sector. This collaboration will widen the investor base and broaden access to institutional strategies, thanks to a lower minimum investment of $50,000. Citywire
A new space age requires new materials
Derek Harris, Director of Business Development and Communications at Skyrora, explains why the company’s latest project with Metalysis and Thermo-Calc Solutions is crucial to overcoming the challenges posed by legacy materials. Engineering Magazine
COP30 is in full swing, and while delegates from across the globe are in attendance, notable absentees include President Donald Trump, President Xi Jinping, and Prime Minister Narendra Modi. The high-profile no-shows have called into question the efficacy of the global summit, with some claiming that the world’s biggest polluters are ‘leaving Europe to pick up the climate tab‘. Meanwhile, indigenous activists protested at the event in Belém, with a key message: their land and forests are not for sale. Although global sentiment towards tackling climate change is increasingly divided, investors are providing more capital to the climate tech industry this year than in 2024. At a more personal level, who needs to recycle or swap their plastic straws for paper or reusable ones when there’s a proposed £500 “solidarity levy” on business and first-class passengers, as well as private jet users flying to COP30?
If you’re tired of climate talks and/or President Trump, how about some futuristic, dystopian, [insert adjective of choice] technologies that prove and rely on your humanity? Sam Altman, CEO of OpenAI (aka the developer of ChatGPT, which might IPO for $1tn), has another startup: Tools for Humanity. It’s already raised hundreds of millions of dollars and has created Orb, which scans eyeballs to establish a person is a person – particularly pertinent in the age of AI. Orb looks at irises to generate a “World ID” that functions like a digital passport. So far, the company has verified less than 2% of its user target. Maybe now is the time to get involved, seeing as our humanity and what makes us us – and different from machines – is a hot commodity. Neurotechnology is growing as a field, meaning that neural data might become the “most precious commodity of the century”. What are the ethics around this again?
And finally… Monty Munford, long-time tech reporter and friend of The Rundown, has taken the path-less-travelled from journalist to startup-founder. HomeTruth uses AI-driven analytics and real-time property data to “build a foundational ledger covering more than 28 million UK homes”. In essence, the business makes home insurance, banking and green energy in the property sector simpler than it was before. Read all about it in Tech.EU.