Why we’re betting on LA (and you should too)

There’s no turning back: Los Angeles is also a tech town now

Nick Kim
Nick Kim
Jun 28, 2019 · 8 min read

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Going places (Photo: Lucy Nicholson/Reuters)

You can have it all in LA

When you tell your friends and family that you’re moving to Los Angeles, they rarely mention the business opportunity. Palm trees, Hollywood, sunshine, Mexican food and traffic all come to mind before any considerations of the city as a global technology and innovation leader.

Money (and talent) makes the world go ‘round

One defining feature of startup ecosystems is the formation of positive feedback loops that build companies, capital and talent of increasing quality. Promising startups bring on experienced investors and operators, attracting and creating more capital and talent as they grow. As these people and dollars exit and new companies are born in the network, the cycle continues.

The city of angels…and accelerators, seed funds and growth equity

In Los Angeles, the local venture capital available to founders finally reached critical mass in 2017.

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Source: Pitchbook
  • Media and entertainment: Third Wave Digital, Plus Capital, WndrCo, The Chernin Group
  • Consumer goods: BAM Ventures, M13
  • Health care: Digitalis
  • Life sciences: Westlake Village BioPartners
  • Aerospace: Techstars Starburst Space Accelerator
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Southern California graduates are part of the pipeline solution

Fortunately for founders, choosing LA gives them access to one of the most talented and diverse applicant pipelines in the country. The city boasts five universities ranked in the top 50 undergraduate programs nationally by US News & World Report — more than the Bay Area and New York — and southern California universities are second only to New York universities in the number of technology graduates they produce annually (more than 13,000 per year).

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Source: U.S. News & World Report (2019)
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Members of the PledgeLA Advisory Committee

Where legacy industries meet new business models

Everyone knows Hollywood is the center of the entertainment industry, but fewer people know LA is home to thriving clusters in aerospace, automotive, logistics and manufacturing. These existing industrial centers give startups unique advantages in LA. More and more, innovative founders are tapping into the city’s legacy of specialized expertise to get a head start.

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SpaceX’s manufacturing facility, once used by Northrop Grumman
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The next generation of opportunities is LA-native

From the Immortals to influencers, and Oculus to Survios, entrepreneurs in gaming, esports, social media and AR/VR are combining LA’s creative leadership with technology to build entirely new categories.

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LA-based Hyperloop One testing one of its pods

We’re #AllinLA (and #LongLA @Greg Bettinelli)

The next generation of industry-defining companies is growing in LA right now. With the infusion of capital seeding the next wave of startups, the city’s pipeline of diverse and technical talent has a place to stay. The virtuous cycle is spinning and creating opportunities across industries old and new. Now, more than ever before, you can have it all in LA. Join us.

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Experienced seed-stage venture capital firm in LA…

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