CB Insights - the retailpocalypse continues

Hi there,

Happy Monday! Here's what we're watching in business and tech news this week: 

• Look for reopenings to continue this week. New York could ease restrictions in some parts of the state — excluding areas like the Hudson Valley, New York City, and Long Island — as early as Friday. Countries like France and Spain are also continuing to lift lockdown measures this week, allowing some primary schools and small businesses to reopen in less-affected areas.
   

• Starting this week, the US will begin distributing Gilead’s Covid-19 treatment — remdesivir — across the country. Approximately 40% of Gilead’s pledged 1.5M doses to be donated worldwide will go to the US, enough to treat around 78,000 patients.
   

• Earnings season is winding down, but big names reporting this week include: Cisco, Tencent, Under Armour, Aurora Cannabis, and Norwegian Cruise Lines. The travel sector has seen eroded profits amid the Covid-19 pandemic. Marriott today reported a 22.5% year-over-year drop in revenue per available room (a key industry metric for performance).
   

• J.C. Penney is reportedly slated to file for bankruptcy as soon as this week, following J. Crew and Neiman Marcus. The retail apocalypse has long been in motion — check out our timeline here. Consumer spending, which accounts for roughly 70% of US GDP, is likely to continue to see a short-term drop, but some are optimistic about a gradual recovery as businesses reopen. We dig into the retail segments that have seen investment despite an overall Covid-19-related pullback in this brief.

Can't stop, won't stop 
 

So far in Q2’20, quarterly equity funding with FAMGA participation has hit a record high.

Check out all of big tech's investments since Covid-19 hit here.

Make their pockets hurt

Despite Covid-19, global healthcare funding increased slightly in Q1'20, largely thanks to concentrated bets in North America-based startups.

Read more about Q1'20 global investment trends in healthcare here. 

Getting a head start

Design decisions account for about 70% of the costs of a product. 

From out-of-the-box designs and lightweight prototypes to new material discovery, here's how manufacturers are using AI to design products faster and cheaper.

I love you.

P.S. We're covering how gaming, food and beverage, e-sports, and more have been hit by Covid-19 in our upcoming CPG webinar on May 21. Register here.