Justin Fredericks

Last week, Suno announced $125M in funding, marking a significant milestone in their journey to reshape the music creation landscape. On this week's episode of Unsupervised Learning, we caught up with Suno's founder, Mikey Shulman, to hear the latest (and workshop some new intro music for the pod 👀). Some of my favorite take-aways 👇 Non-text based prompting While text-based prompting has been an effective approach so far, Mikey argues that it’s a sterile way to describe what you’re really after. Users should be able to really pour themselves into a song, which might require expressing themselves through a montage of visuals or recorded sounds from every-day life, belting out a melody or tapping on the table to create a beat. Everything multi-player Picture musicians jamming together in real-time shooting musical ideas back and forth—it's all about making music creation as natural as having a conversation. Mikey’s really into the idea that these collaborative sessions can be just as fun for someone who's just starting out as they are for seasoned pros. It's about opening up music making to everyone, no matter their skill level, and creating a community vibe that lets everyone contribute their own flavor. This way, making music becomes not just more enjoyable but a shared experience that anyone can be a part of. One of the coolest night’s of Mikey’s journey Mikey got a kick out of seeing a popular Twitch streamer use Suno for a digital concert that pulled in a football stadium’s worth of people. It wasn't just about the size of the crowd though—the cool part was how viewers could use micropayments to interact directly with the performer. This takes your usual digital concert and turns it into something super interactive.   How Suno does model eval Mikey shares how tricky it is to evaluate models in music compared to other fields. Suno looks at things like audio quality, but those metrics are far from perfect. At Suno, they believe that aesthetics really matter—so much of this comes down to how the music feels, which is super subjective. Unlike text AI, where you can measure correctness, music doesn't have one right answer. It's all about whether the music resonates with users and gives them the control they want over the creation process. A lot of it relies on human judgment and that's probably not changing anytime soon for Suno. Check out the full episode to hear more from Mikey about the future of music with AI. YouTube: https://lnkd.in/ghh_qhnd Spotify: https://spoti.fi/3WXvkDN Apple: https://apple.co/4aCIOrz

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Thrilled to share the achievement of one of my investments: Atomontage Inc., a revolutionary deep-tech company developing groundbreaking 🤯 Atomontage's Virtual Matter technology that represents a paradigm shift in 3D content streaming and collaboration, allowing for entirely new ways to stream and interact that can be used for example in social gaming experiences as described in the article bellow 🎮 . And guess what? It’s not just for gamers. Atomontage’s technology allows completely different user experiences of everything from architectural walkthroughs to medical simulations or any other applications where real-time 3D interaction is of utmost importance. You can guess the type of classified applications 😀. 👩‍⚕️Their technology is the future for 3D real-time interaction and let's see if my bullish assumption on Atomontage's potential to disrupt the industry will materialize. 🚀 #venturecapital #startupinvestor #deeptech #gaming #3Dcontent https://lnkd.in/ePAFtT7x

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What do you do when a radical new technology puts your main product right in the crosshairs of disruption? Listen to David Okuniev — co-founder of Typeform | Ask awesomely — discuss the challenges of innovation within existing structures. David shared a game-changing insight: Radical innovation is really, really difficult to do inside your own product. He emphasized the need to break free from the constraints of familiarity and embrace change from outside the box. Henrik Werdelin and I have both seen our fair share of this in our respective careers. What struck us most was how David leveraged structure to overcome the innovator’s dilemma. By creating a culture of experimentation and providing space for bold ideas, he propelled Typeform beyond incremental improvements. What other hacks have you seen or employed to help your organization overcome the innovator’s dilemma? Share your stories below! 👇 And if you want to dive deeper into our conversation, click the link in the comments to catch the full podcast episode!

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🌟Innovative VC Firm Overcomes Exits Drought with Secondary Sales🌟 ⛵Navigating a challenging landscape where exits are scarce, Santa Barbara Venture Partners (SBVP) has pioneered a novel approach to sustain its growth and attract investors for its second fund: secondary sales. Instead of waiting for traditional exits like IPOs or acquisitions, SBVP opted to sell shares of its portfolio companies, demonstrating its ability to generate returns for investors and stand out in a competitive market. 🎤According to Dan Engel, founder and managing partner of SBVP, these secondary transactions have been a game-changer, sparking investor interest and bolstering the firm's credibility. By leveraging its recent successes, including a lucrative stake in sports-betting company DraftKings Inc.' acquisition of digital lottery app Jackpocket, SBVP seized the opportunity to return profits to its limited partners (LPs) and pave the way for its second fund. 💡Engel highlighted the challenges faced by young VC firms in raising subsequent funds, particularly amid a downturn in exit activity and heightened investor scrutiny. With traditional exit routes becoming increasingly elusive, the pressure is on for firms to demonstrate tangible returns and establish a track record of success. ✨"For us, secondary sales have been a game-changer. They've helped us return profits to our LPs and attract investors for our second fund," said Dan Engel. 💰For SBVP, the decision to pursue secondary sales was driven by the need to provide liquidity to LPs and validate its investment thesis in the eyes of prospective investors. By strategically offloading portions of its holdings in high-performing portfolio companies like Bark Technologies and Rad AI, SBVP not only generated substantial returns but also bolstered investor confidence in its ability to deliver results. ⚠Despite the complexities and potential stigma associated with early share sales, Engel emphasized the importance of prioritizing investor returns and seizing opportunities to unlock value for stakeholders. With a focus on profitability and transparency, SBVP remains committed to its mission of delivering sustainable growth and maximizing returns for its LPs. 🔍 "Returning profits to our investors is our top priority. By strategically selling shares, we're proving our commitment to delivering results and driving value for our stakeholders," added Engel. As SBVP continues to explore secondary transactions and expand its investor base, the firm stands as a testament to innovation and resilience in the face of market challenges. 🚀 ✅ Looking to raise capital for your #fund and increase the international pool of your LP #investors?   🤝 Need warm #LP introductions?   📝 Selling #secondaries to increase liquidity?   🧐 Looking for co-investments?   ▶ G+QUANT's link for inquiries and fund decks: https://lnkd.in/gjC_EuTE #VCInnovation #SecondarySalesSuccess #InvestorReturns #ValueCreation 

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Dude Perfect raised $100M for global biz expansion. The deal is getting lots of buzz, but our team’s math signals challenges ahead. Let’s break it down… DEAL DETAILS • $100 - 300M growth capital investment • Led by Highmount Capital • Unclear if 100% invested upfront OR draw down of commitment over time • No previous capital raised USE OF FUNDS • Hire mgmt team to expand biz • More live experiences incl int’l tour, consumer products • Grow content formats, frequency, channels, global localization e.g. animation, TV, movies, streaming • Extend brand beyond 5 founders by building talent network • New HQ in Frisco, TX as prod facility and “family-friendly entertainment destination”: – Retail store, podcasts / gaming / fan UGC spaces, trick shot tower, DP museum, mini golf, restaurants – Original plans for 3-story, 30 acre facility est to cost $100M+, 2 yrs to build COMPANY OVERVIEW: Dude Perfect • Digital-native comedy and sports media brand • Faith-based mission: “We’re about giving back, spreading joy and glorifying Jesus Christ”  • Other YouTube franchises: “Stereotypes,” “Overtime”, “Bucket List”  • Media brand also incl books, mobile games, board games and toys, and merch / retail / food and beverage partnerships • 25 current team members PERFORMANCE HIGHLIGHTS • 60M YouTube Followers, 17B views • Est 2024 revenue: $50M per DP • Est 2023 and 2022 revenue: $25M and $20M per WSJ  • Consumer product partnerships incl Nerf toy line, Columbia Sportswear • Partnered with A Parent Media co to launch a streaming service • ESPN “30 for 30” doc premiering at Dallas Int’l film festival • TV series on CMT in 2016, later aired on Nickelodeon • Alternate broadcasts for Amazon’s Thursday Night Football • 4 live nationwide tours as of 2023 ORIGIN STORY • Founded 2009 by 5 friends at Texas A&M • Cofounders = twins Coby Cotton and Cory Cotton, Tyler Toney, Cody Jones, Garrett Hilbert • Started as YT channel featuring trick shot videos INVESTOR OVERVIEW: Highmount Capital • Growth stage and middle mkt PE fund for tech, media, healthcare • Founded in 2023 by jason illian and David Hawkins • 4 team members on website + advisor • 3 team members have faith-based ties per bios • No other investments listed on website other than DP My takeaway... I really like and support the trend of increased investment into YouTubers and digital-native media brands. But as I wrote about in my 2024 State of Creator x Media capital markets reports (will link them below), investment must match market and opportunity size. To ensure good ROI, and to set good precedent for future investment into our space. The DP bet is exciting, but could be overly optimistic based on our prelim math. My colleague Michael Booth's post breaks the math down (link below). More analysis to come in my Friday newsletter. —- I’m the founder of RockWater Industries. We do m&a and strategy advisory for media, agencies, and creator economy. My dm’s are open. #media #agency #creatoreconomy

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I seem to (tend to) share more interesting MediaTech industry news as it pertains to entertainment (music, film, and video games) but keep in mind as you consider and refer people to our world that media is also #advertising, news, publishing, and social media. In the news today: Media Tech (unaffiliated with MediaTech Ventures) Veterans Adam H. and Jesse Redniss Launch Precise.ai If I am correct in summarizing what ADWEEK says they do... Digital advertising, AI-powered platform that drives performance through higher-quality data and privacy-centric audience targeting. Precise provides consent management, secure data collaboration, and privacy preservation, to improve ROAS while maintaining regulatory compliance and fair value exchange for data partners. Primary, is a federated (decentralized) data network, which allows brands to leverage permissioned first-party data and enrich custom audiences with contextual insights in a privacy-safe manner. Okay, so it's decentralized, opted in user data, so brands can enhance their look-a-like ad targeting, without actually, necessarily, having direct user consent nor access to that additional profile data.  I think. (I want to add on a personal note, this is a good example of why our incubators focus so heavily on good, clear communication, "AI-powered data optimization and activation infrastructure combines Qonsent’s customer engagement platform with Valence’s identity and rights management back-end" So.... what the hell does it do?? -- meant as friendly criticism! This is cool news AND why it's so important to simplify your startup's talking points - I fully expect the advertising industry gets this but do most?) Check it out (and congrats to them): https://lnkd.in/gnm5ygVg

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𝐓𝐡𝐞 𝐬𝐢𝐥𝐯𝐞𝐫 𝐥𝐢𝐧𝐢𝐧𝐠 𝐨𝐟 𝐚 𝐟𝐚𝐢𝐥𝐞𝐝 𝐝𝐞𝐦𝐨 This past Monday, I had the incredible opportunity to demo and pitch Jammy to over 100 investors at NY #TechWeek AI Demo Day. Two weeks ago, thanks to Cindy Berman, I found out about the event and hesitated to sign up, doubting our product’s readiness. However, I saw it as a chance to push our limits. After a screening with Shriya Nevatia we were one of eight companies chosen, and I had to figure out how to demo our work-in-progress app and deliver an eight-minute pitch. I prepared thoroughly and felt confident. On the day, Dorothy Chang informed me I’d be the first presenter, which made me both nervous and excited. The pitch went well until the live demo. When showcasing Jammy’s ability to recommend post-session music, the integration failed despite my preparation. I still finished the presentation, landing the vision for Jammy and with congratulations and consolation from my peers: “live demos always break,” they said. It helped. Though I didn’t win the $50K prize, I secured a check from an angel investor, generated interest from several others, and met amazing founders in AI. The winning pitch went to the highly deserving CAPSULE, who is set to revolutionize contextual visual shopping search (like Shazam for shopping). Very cool. This experience highlighted the value of taking risks and the importance of failing forward. It also reminded me of the supportive NY Tech and entrepreneurial community. The journey can be lonely, and many dismiss community events and networking as distractions from the "real work." While that might sometimes be true, Monday night was a reminder that we’re not alone in this journey. We all want to see each other succeed in building the - extremely AI-infused - future we envision. On to the next challenge! And definitely check out these amazing companies & founders: Glist, Gülin Yilmaz (Posokhow), Path, Soar.com, Abood Hannoon, DeepLeads.ai, pre.dev, and In The Loop

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I’m seeing more partial “Venture Studios.“ Should they be considered studios or something else? What do I mean? I’m seeing groups that apply some of the core studio elements 1) a repeatable playbook, 2) playing a (late) cofounder role, 3) making a capital or sweat equity investment, and 4) have a degree of decision control over their area. A few examples: A group that builds your sales and support operations groups once you have a product and have raised a Seed round. They support through the next round and fully setup your own sales and support operations teams, playbooks, training, etc. They make a small investment for a preferred stake and earn a common stake through their sweat equity. They own the success of these areas of the company and provide guidance on broader company challenges. A group that offers product management, design, and development from as early as idea stage. They play a core role in customer discovery and own product design and software development. The team they build your product with may fully transition to the company along with a full operations playbook and they help find and train the leaders than will replace them. They make no capital investment, but do not charge for their support, rather earning sweat equity. A group that builds your marketing team, delivering, marketing, branding, PR, and social influence for the company. They own creating the full marketing strategy, devising branding, building influence to drive sales and building a team for the company to continue with post-engagement. They don’t invest money, just provide everything for zero cost. They are not agencies. They don’t follow the direction of the company blindly, having a degree of control over their area of expertise. They own success, lead their areas, and integrate with the full company. In many ways they act like the CxO and team. They could displace the need for a founder. Their equity stakes look more in line with an accelerator and are often structured as fees treated as convertible investment, often with a cap. They are not full studios. They are either designed from the ground up with this singular focus or are a transition from a traditional agency to a full studio model. So the question is: Are they studios? If so, do we call them Venture Developers? Venture Operators? Fractional Studios? Let me know in the comments. I am VERY curious to hear the community’s thoughts on this.

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VENTURE STUDIO’S BUILD AND LAUNCH COMPANIES, DEMANDING A DYNAMIC STAFFING MODEL, AND RIGOROUS PLANNING CYCLE. The Nobody Studios venture studio operates in a way no one’s had the guts to try before. We solve problems creatively, accept risk, and experiment incessantly to drive progress. Our culture is built around testing, learning, and continually evolving in connection with the crowd. This is our engine for creating impactful companies with unprecedented speed and efficiency. The studio consists of a team of proven and experienced entrepreneurs who together drive progress at speed and with conviction. This is where true innovation shines. And the way we scale is to integrate category experts and leaders to carry the torch, always supported by the studio team. Interested in becoming a Nobody? Let's chat! #venturestudio #hiring

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Some highlights from last month at Hof Studio ✨ Highlights:  - Completed 8 design projects in 1 month - Brought on Dymension as a new client. Dymension has raised $6.7 million in funding to build its blockchain platform that enables team to quickly launch app chains. - Offered a new web development service with dedicated frontend and backend engineers.  - Live projects (8): Subsquid, Twin, Kodiak, Vase, Dymension, David, Hodl, Mande Notable projects - Designed a blockchain explorer for Dymension - Redesigned Vase’s pitch deck, resulting in increased booked meetings and closing 50% of its target raise in one week. - Designed a dashboard for compliance product for tokenized funds - Rebranded Mande network and redesigned their new website Team growth - Added 2 new UI/UX contract designers to manage the increased workload Asks - Referrals for experienced account managers to help manage increased project load - Portfolio introductions to Web 3 seed/pre-seed startups in need of app design, web design, and branding services. - Introductions to VCs in need of design partner for their marketing initiatives. Need design help? Let's chat!

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It was a real honor to interview Brad Burnham co-founder of Union Square Ventures and partner Placeholder on the history of hype cycles in technology and the value they bring to capital and market formation. Brad has had tremendous success across decades investing at the frontier - when it was the frontier/ before it was obvious. Crypto is still the underdog and his views on the opportunity and its nuances are prescient. Specifically it is both a technical and financial innovation which can lead to excess volatility and a unique muscle as it relates to being a venture manager. But the returns are real. And the innovation is real despite some of the the common narratives. No one debates the breakthrough applications in AI at M13 we have been very active. It is also very clear that incumbents have massive data and distribution advantages which can make it challenging to find the right pockets to invest. AI is on its own hype cycle and as always the best teams (typically with contrarian takes) win. Very exciting times to be a venture investor.

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I’m going to give you guys the blueprint of how I believe the music industry is going to go: First was Fan Interaction: Where fans were able to buy music through vinyl, cassettes, and CDS. Fans were able to discover new music through traditional radio and cable TV which increased opportunities to interact with new music from breaking artists. With the advent of social media and music streaming came the next wave which is Fan Engagement: Now fans can actually engage with music through home videos which became a viral engine through platforms like YouTube and TikTok. Music streaming platforms like Spotify were able to simplify Fan Interaction through user generated fan-made albums (playlists) and discovery through algorithmic recommendations. Now, with generative AI comes a unique opportunity I call Fan Participation: For the first time in the history of the music business, fans can become part of the creative process and work with artists on a much more deeper level. Artists can earn royalties through the creative imagination of the fans. I look at Grimes AI as a perfect example of this. There are so many applications and possibilities that is untapped and riped for innovation. Instead of looking at it like Napster 4.0, majors need to take a double look at new AI technologies that can enhance the fan participation experience. Music used to be an art form where certain creators can benefit. Now with AI, the art can be shared and collaborated with the fans. This not only increases fan engagement but also fan interaction as well. It’s a triple-win for major record companies and large indies.

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🔍  In our latest Darabase Meets, I chat with legal tech expert Brian Wassom. We cover everything from trademarks to the First Amendment, exploring how AR intersects with the law. Get ready for some eye-opening insights. 🌟  Plus, don't miss out on witnessing a potential world-first: Brian appears in Avatar mode during our interview, thanks to Apple's VisionPro headset. It's the future of interviews, folks! 😎 Join us for a peek into the legal future of AR and its transformative potential. Trust me, you won't want to miss this one. Check it out below. #AR #LegalInsights #FutureofTech 

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In this exciting episode of the Duran Inci Podcast—where innovation meets deep insight—I am thrilled to host Alex Berg, a pioneering entrepreneur who is revolutionizing industries with his innovative approach at Cratos Equipment, often dubbed "The Tesla of Construction." Visionary Insights: Dive into the motivations that drive top entrepreneurs beyond mere profit. Learn about Alex's passion for transforming the status quo and how it leads to groundbreaking results. The Power of 'WHY': Discover how aligning business operations with core values can shape the future of an industry and forge unstoppable teams. Challenging the Norms: Unpack why tackling complex challenges is essential for creating a fulfilling and impactful future. This episode is a must-listen for aspiring entrepreneurs and anyone eager to explore the limits of what's possible in business innovation. Tune in and be inspired to think differently and act boldly. #EntrepreneurialSpirit #InnovativeLeadership #VisionaryThinking #BusinessTransformation #CratosEquipment #DisruptTheStatusQuo #FutureOfBusiness #PodcastForChange #DuranInciPodcast #ChallengeConvention

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I am honored to host Nolan Bushnell for a fireside chat at TechCon SoCal 2024 in San Diego on May 24th. We'll discuss how his innovations at Atari laid the groundwork for today's tech landscape and what lessons we can draw for the future. 🌟 Why Nolan Bushnell is a Must-Hear for Every Tech Enthusiast🌟 🕹️ Pioneering the Video Game Industry: Bushnell's creation of Atari and the iconic game Pong marked the beginning of the video game era, democratizing technology through entertainment. By democratizing technology through entertainment, Bushnell made electronics and computing accessible, inspiring a generation and catalyzing the tech ecosystem. 👔 Redefining Startup Culture: Bushnell invented a new breed of Silicon Valley entrepreneurs: visionary, bold, and nonconformist. His management style and the work environment he fostered at Atari—including laid-back elements like beer and ping pong—helped set a template for Silicon Valley's informal and innovative corporate culture, influencing giants like Google and Facebook. 🌱 Innovating Venture Capital: Bushnell became a crucial pivot in VC history by becoming the first example of how new business models over technology advancement become VC "fundable". Sequoia Capital's first seed investment concept in Atari demonstrated the profitability of supporting early-stage consumer tech businesses. It broadened VC horizons to include software and entertainment, impacting how venture capital operates today. 🚀 Driving Silicon Valley's Evolution: The Foundation of Silicon Valley was Arthur Rock funding Fairchild Semiconductor & Intel, establishing the semiconductor industry, and putting the silicon in Silicon Valley. The expansion phase was Don Valentine's investment in Atari, expanding the focus from hardware to software and entertainment, creating the video game industry, and expanding Silicon Valley's tech ecosystem. Bushnell's role enabled the Transformation Phase of Silicon with the 1980 IPOs of Apple and Genentech, showcasing SV's innovation breadth across multiple sectors. 🔗 Enabling Icons: Bushnell provided Steve Jobs, who did not have a college degree, with his first job inspiration for the idea of bringing computers to home users, invaluable introductions and opportunities, and influenced the birth of Apple. 🎮 Inspiring Future Innovators: By integrating fun into computer use, Bushnell likely accelerated technological innovation by making computing appealing to those who might not have otherwise engaged with it. His work at Atari made the daunting world of computers relatable and exciting, inspiring many future founders and technologists. Nolan's influence is evident in the increased computer literacy and the surge in tech-driven career interests among the youth of his time. Connect with over 80 early-stage investors and hundreds of founders from San Diego, the Bay Area, Austin, Denver, and New York. Explore more about the event at https://lnkd.in/gTYMN65n

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step by step it is coming, at some point XR will be everywhere...

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A generation of ambitious founders is coming out of Tesla and SpaceX to build category-defining companies across energy, manufacturing, automation, all things hardware, space, and so much more. 🔨 🚗 🚀 🤖 We're hosting a small gathering + discussion for alums who are currently or considering building new products and companies next week (5/1). Come hear from Edward Mehr (Machina Labs CEO and SpaceX alum), Arch Rao (SPAN CEO and Tesla alum), and Ben Parker (Lightship CPO and Tesla alum) on their journeys. If you want to join or know someone who should be part of the conversation, send them our way -- details below! #entrepreneurship #climatetech #hardware #energy #building

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