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Investor FOMO returns, and what happened with WordPress and WP Engine?

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Today on TechCrunch’s Equity podcast, Devin Coldewey, Margaux MacColl and Anthony Ha are rounding up the week’s startup and venture news, kicking things off with a look at the $400 million raised by Lightmatter, and the importance of fast networking within the fast growing data center industry today — not just in years to come — makes the impressive round a little more understandable.

Our Deals of the Week continue with Paladin’s drone play for first responders and police, and Abel aiming to reduce the substantial paperwork backlog that officers accrue in their everyday duties. According to Margaux, Abel founder Daniel Francis brings a chaotic energy (having landed a Twitter job from Musk after pretending to have been laid off) that could shake things up.

Diving deeper, Anthony breaks down the complex back-and-forth that is the WordPress/WP Engine dispute — and we’re left wondering why the obligations of and to the “open source community” are not entirely clear. What does it mean for an open source ecosystem when one person (in this case WordPress co-founder Matt Mullenweg) still seems to exercise tremendous influence? And could we say the same of Meta’s Llama or other “open” AI solutions?

Lastly, the crew chats through the “bummer” results from PitchBook showing that although founders are founding and investors are investing, there isn’t a huge amount of money being made. Turns out they weren’t just in it to change the world after all. What could this lack of liquidity be attributed to? Is it the macroeconomic climate, the sectors being invested in, the VC’s strategies changing… or something else? At least defense and AI are doing OK, and Europe seems to be chugging along, so maybe it’s specific to America? Check back in a month.

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Equity is TechCrunch’s flagship podcast, produced by Theresa Loconsolo, and posts every Wednesday and Friday. 

Subscribe to us on Apple Podcasts, Overcast, Spotify and all the casts. You also can follow Equity on X and Threads, at @EquityPod. For the full episode transcript, for those who prefer reading over listening, check out our full archive of episodes over at Simplecast.

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Indestructible quantum rifts can exist in two places at once

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Indestructible quantum rifts can exist in two places at once


An ion trap helped create a quantum defect in two places at once

ANDREW BROOKES, NATIONAL PHYSICAL LABORATORY/SCIENCE PHOTO LIBRARY

Exotic quantum rifts have been created with charged atoms, and they exist in a superposition of being in two places at once. This is a first step towards better understanding the behaviour of such quantum defects in everything from materials to an entire universe.

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Defects are ubiquitous – think of tears in textiles or cloudy imperfections in shiny crystals – but in quantum systems, they can have the extra property of being topological. That means the overall structure of the…



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Penguin Random House amends its copyright rules to protect authors from AI

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Penguin Random House amends its copyright rules to protect authors from AI

Artificial intelligence makers have faced a mountain of criticism for borrowing from the work of others to train its models. Now the world’s largest publishing house is taking steps to ensure its authors don’t have their work plagiarized in the name of progress.

reports that Penguin Random House Publishing changed the copyright page at the front of its books to address using any of its titles as a source for AI training. Now the wording states: “No part of this book may be used or reproduced in any manner for the purpose of training artificial intelligence technologies or systems.”

The new wording also protects against data absorption by noting the publisher “expressly reserves [the titles] from the text and data mining exception.” This part of the amended text comes from a recent regarding text and data mining exceptions and ownership.

Penguin Random House is the latest publishing company to take action against encroaching AI models. Earlier this week,  issued a cease and desist letter to the AI startup Perplexity to spot using its articles and stories to help its AI model create answers for users.

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Keywords acquires co-development studio Certain Affinity

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Keywords acquires co-development studio Certain Affinity

Keywords Studios announced today that it plans to acquire Certain Affinity for an undisclosed sum. Certain Affinity is a well-known game co-development studio that has worked on games such as Halo, Hogwarts Legacy and Call of Duty. Keywords plans to add the new studio’s talents to its Create division. Certain Affinity’s CEO and founder Max Hoberman and his management team will continue to lead the company post-acquisition.

Certain Affinity employs over 180 people across two separate locations and is currently working on multiple projects — one of which is Exodus, which it’s co-developing with Archetype Entertainment. It’s not yet clear whether any projects in its pipeline will change following the acquisition. This is the second game studio acquisition that Keywords has made so far this year, and one of several it’s made in the last few years. Other acquisitions in the gaming sector include Wushu Studios, The Multiplayer Group and Fortyseven Communications.

Keywords CEO Bertrand Bodson said in a statement, “We are thrilled to welcome Certain Affinity to the Keywords Group. We have enormous respect for their business and reputation. They bring a wealth of knowledge, experience, and expertise to our Create division, complementing our existing skills and expanding our presence notably in the US and Canada. We look forward to partnering with Max, Paul, and their team over the coming years to continue to drive growth in our Create division and overall business.”

Hoberman minced no words about what he considered his company’s good fortune. “At this most difficult time in the market, we’re thrilled to be able to provide stability and a supportive home for our team. The respect for our talent and culture that Keywords has shown, along with a willingness to invest in our growth, is unparalleled.”

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The “most difficult time” to which Hoberman is likely referring is the current employment crisis in the games industry. At present, the count for layoffs in the industry sits at around 13,000 games according to videogamelayoffs.com, and multiple smaller studios have publicly revealed an inability to secure funding to support their staff.


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Fluid Truck files for Chapter 11 bankruptcy and pursues sale after leadership shakeup

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3 Fluid Truck vehicles of varying sizes

Less than two months after Fluid Truck’s board ousted its sibling co-founders from their executive positions, the company has laid off 30% of its staff, filed for Chapter 11 bankruptcy protection, and found a potential buyer to take on the business, pending court approval, according to bankruptcy filings and information from a former employee. 

Fluid has also been approved on an interim basis as of today for a $7 million loan to keep the business operational and fund the restructuring and sale process through the end of the year.

The bankruptcy filing in a Delaware court comes as the company’s losses mount and it faces several lawsuits, including a class action filed on October 10 in Colorado, after it allegedly failed to pay money owed to members of its Fluid Vehicle Investor Program (FVIP) — a program that allowed individuals, including employees, and small business owners to purchase fleets of vans and trucks to be rented out on the platform under Fluid’s management. 

Fluid Truck has estimated that the number of creditors awaiting payment is at around 5,500. The company owes FVIP members $12 million, and owes vendors $26 million. That’s on top of the $20.6 million in cash losses Fluid Truck suffered in 2023. 

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James Eberhard and Jenifer Snyder, Fluid Truck’s sibling co-founders and former CEO and chief legal counsel, respectively, founded the startup, which has been referred to as the Zipcar of commercial vehicles, in 2016. Since then, Fluid Truck has managed to raise more than $80 million in venture funds and expand to 400 cities in 32 states across the U.S. But the company soon found itself in a deep financial hole under the stewardship of Eberhard due to a combination of macroeconomic factors and mismanaged insurance claims. 

Fluid’s deficits accumulated and bad blood started festering between Eberhard and two minority shareholders on the board — Bison Capital and Ingka Investments — according to people familiar with the matter. Eberhard was unable to raise more capital to fund the company’s losses, and in July, the board voted to remove him and Snyder from their roles. 

Eberhard’s replacement, Scott Avila from Paladin Management, began exploring liquidation options in August, according to a declaration he filed in bankruptcy court on October 16.  

But then Fluid Truck received a large, long-awaited payment from a customer, and decided to use that momentum to try to sell the company. That’s when Kingbee Rentals, a van rental agency in West Valley City, Utah, came forward unexpectedly as a potential buyer. 

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The only problem? Kingbee couldn’t afford to acquire all of Fluid Truck’s assets on its own. And Fluid Truck couldn’t afford to keep the lights on for much longer. So in its bankruptcy filing, Fluid Truck has asked the courts to approve emergency funding in the form of a $7 million debtor-in-possession (DIP) loan from Kingbee and some existing investors, and the court approved it on an interim basis on Friday.

“The DIP lenders basically said, ‘We’re going to loan you this money, but if the sale doesn’t close by December 31, you’re in default, and we can liquidate the business,” Adam Stein-Sapir, a bankruptcy expert at Pioneer Funding Group, told TechCrunch. “It gives them a hammer to do something if [Fluid] blows past that deadline.” 

It’s unclear how much Fluid Truck will be able to sell its assets for, but Stein-Sapir says it could be around that $7 million mark. That’s bad news for any unsecured lenders, like FVIP members, who will be among those last in line to be paid back. 

“For people who are just unsecured here, it’s looking pretty grim in terms of recovery,” Stein-Sapir said. “Unless they filed a lien or have some kind of security in those funds, they are in some trouble.” 

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Fluid Truck did not immediately respond to a request for comment.

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Sam Altman’s eyeball-scanning crypto project has a new Orb and a new name

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Sam Altman’s eyeball-scanning crypto project has a new Orb and a new name

Worldcoin, the cryptocurrency / human identity network / UBI project co-founded by OpenAI CEO Sam Altman, is now known as World. Along with the name change, World introduced an updated version of its eyeball-scanning Orb device which is designed to solve a problem that does not currently exist: authenticating that someone is human “in the age of AI.”

People registered to the system get a World ID that they can use to “securely and anonymously” prove their humanness online, as well as a share of its associated WLD cryptocurrency token.

The new Orb is made with 30 percent fewer parts than its predecessor, which is supposed to make it easier and cheaper to build, and equipped with Nvidia’s robotics and AI platform, Jetson, for some reason. Rich Heley, the chief device officer of Tools for Humanity — the foundation behind the World project — said during an event on Thursday that the simplified design should help achieve the goal of making the Orb widely available.

“To provide access to every human, we need more Orbs. Lots more Orbs. Probably on the order of a thousand times more Orbs than we have today,” Heley said. “Not only more Orbs but more Orbs in more places.” In addition to ramping up production of the Orb, World will even let people purchase or rent their very own eyeball-scanning sphere so they can “start verifying unique humans” in their communities.

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It’s also launching a new service called “Orb on Demand” (yes, it’s really called that) that will let people order Orbs “much like a pizza you would have delivered to your apartment,” Heley said. The Orb is also coming to more countries, including Costa Rica, Brazil, Indonesia, Australia, the United Arab Emirates, Morocco, and others.

World says it has verified nearly 7 million “unique humans” so far, despite privacy concerns about building a privately operated global database based on biometrics.

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Qualcomm’s canceled mini-PC could spell trouble with consumers down the line

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Qualcomm Snapdragon 7c Gen 2

Qualcomm’s Snapdragon Elite chips have been the star of many AI PCs released to market in 2024, greatly enhancing performance and battery life compared to their previous gen iterations. However, the manufacturer’s recent endeavor to improve on one of its negative points hasn’t panned out.

Qualcomm has canceled its dev kit, a Snapdragon mini-PC powered by Windows on Arms. Originally, it was planned for a June 2024 release window but missed that entirely. Now, as part of an official announcement, Qualcomm has stated that the kit has been canceled because it “has not met our usual standards of excellence.”

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