Venture News

When people are asked what they’ll pass along to the next generation, the first things that come to mind are likely physical objects such as heirlooms, properties, or classic cars. But a truly impactful financial legacy bestows value far beyond what a piece of personal property can typically yield.

Today’s manufacturers face numerous challenges, including skilled worker shortages, high production costs, and compliance concerns. Fortunately, artificial intelligence (AI) technology can address many of these concerns. According to a McKinsey study, by 2030, AI is expected to create $13 trillion of realized value for the world’s economy. Within manufacturing specifically, companies have added AI solutions to streamline their core production processes.

In a recent analysis by Axios, Alumni Ventures (AV) ranked third in the number of investments made in U.S.-based climate tech companies, behind only Breakthrough Energy Ventures and SOSV.

Like many of our peers in the venture community, we believe we’re entering into a new part of the venture cycle. We’ve already seen a dramatic reset of public market valuations — with impacts also affecting the private markets.

Nearly all of our belongings hold value, from homes to vehicles, furniture to collectibles, etc. Factors like age, wear and tear, upgrades, and demand can impact the valuation of these objects, and their physical traits are helpful in determining their worth. On the other hand, it’s much more complex to put a price on the value of an intangible asset, such as the current and potential worth of a young, fast-growing startup.

AVTV features OfferFit, a company using AI to improve marketing experimentation techniques. AVTV videos feature Alumni Ventures’ portfolio companies sharing their stories and asks with our community.

One of the core pillars of Alumni Ventures’ investment strategy is working closely with other established VC partners. To date, we’ve co-invested with well-known VCs specializing in a wide variety of sectors, stages, and regions. We are strictly a co-investor, following other well-regarded lead investors into rounds. We don’t negotiate terms or take Board seats, allowing us to focus on identifying promising opportunities. This strategy also affords us the latitude to build diverse portfolios while investing alongside VCs with deep experience in a given area.

One of Alumni Ventures’ most crucial assets is our broad network of venture capital partners. We are strictly a co-investor, following other established lead investors into rounds. That means we don’t negotiate terms or take Board seats, giving us more time to source promising opportunities. It also affords us the latitude to build diverse portfolios while investing alongside VCs with significant domain experience.

According to a PitchBook report, global investors closed as many climate-focused funds in 2021 as were raised during the previous five years combined. Alumni Ventures Managing Partner Matt Caspari and Partner Erik Hammer spoke with Venture Capital Journal to discuss the influx of capital VCs are deploying into ClimateTech. They shared their thoughts on the profitability of climate-focused startups, consumer demand for sustainability, and the lessons investors and entrepreneurs alike have learned from companies like Tesla.