Travel 

Not all travel is screwed

Coronavirus has been devastating for the travel industry. More than a dozen airlines around the world have gone bankrupt, and industry bodies are predicting more than 200m job losses.

But amidst all the doom and gloom, some travel startups have begun to get back on their feet — and a few have even benefited from changes in consumer behaviour prompted by the pandemic.

Which ones are doing well?

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 Opinion 

Startups need to be crisis proof

For Ophelia Brown, the founder of VC firm Blossom, it's no longer enough for startups to be “recession-proof”.

Now, post-Covid, companies she invests in need to be able to show that they are “crisis-proof”, which means an ability to navigate any storm.

What does that really look like?

 Fintech 

Israeli fintechs are bossing it

Israel’s startup scene is best known for its pioneering — often controversial — security and artificial intelligence projects.

But the fintech segment inside Israel’s Silicon Wadi (‘Valley’) is also beginning to take the limelight.

Sifted's Isabel Woodford investigates.

 Deeptech 

Finally, a use for quantum computers

A UK-based quantum software startup has announced the roll out of a certifiably quantum, cloud-based random number generation service.

The news may seem esoteric, but it’s important for the quantum community because random number generation appears to be one of the first uses of the technology that big companies might actually be willing to pay for.

Maija Palmer has more.

 Healthtech 

Digital doctor consultations: what happens next?

Video doctor consultations are often held up as a panacea for the healthcare sector.

But are they really such a magic pill?

Earlier this week, Sifted joined forces with the British Embassy Sweden to hold a panel to find out. Read all about it. 

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News that matters

🚜 Infarm, a Berlin-based vertical farming startup, raised $170m in its latest funding round as investors bet on consumers wanting more locally produced and organic produce. Founded in 2013, the company installs modular farming systems in supermarkets, grocery stores and even schools, meaning consumers can pick produce themselves directly. It's a pretty cool system, very on-trend, and the company has raised $300m so far. Expect to see one soon in a supermarket near you.

🛴 Spanish on-demand delivery company Glovo is selling its Latin American operations to German food delivery giant Delivery Hero. Delivery Hero will acquire Glovo’s operations in eight markets — Peru, Ecuador, Costa Rica, Honduras, Guatemala, Argentina, Panama and the Dominican Republic — in a deal worth up to €230m. It's a big move for Delivery Hero, who are now well-positioned to dominate the Latin American food delivery space. This matters because it's a business where it's very hard to make any money as the number 2 or 3 player in an area.

🚚 Berlin-based startup Sennder has acquired Uber’s European freight business in an all-stock transaction that will see the freight forwarder extend its dominance in the European market. Sennder is one of a number of freight businesses coming out of Berlin’s tech scene, aiming to digitise a still pen-and-paper industry. The company matches trucks with cargo to reduce the number of return journeys trucks do empty. The startup, founded in 2015, has already expanded once this year, buying French freight company Everoad in June.

🔪 Kbox, the UK dark kitchen startup which turns underused commercial kitchen space into takeout delivery hubs, has raised £12m in new funding in a round led by Balderton Capital. It follows a £5m investment from Hoxton Ventures disclosed in July. For more on the sector see our story here and our deep-dive report into the sector here. 

✍️ Gravity Sketch, a product design platform that uses virtual reality, has raised £2.9m in funding — the latest investment into the growing product design industry in Europe. The platform, founded in 2014, allows designers to collaborate on 3D projects in real time using VR technology. The platform has been used to design cars, buildings, trainers, and even an underwater craft that resembles a manta ray.

💳 Swedish fintech Klarna, which raised money at an $11bn valuation earlier this week, is closing down its debt collection company Segoria and outsourcing the operations instead. The official explanation is that Klarna wants to focus on its core business, but it's likely also part of a move to burnish the image of the group ahead of its probable IPO in the coming years. One frequent criticism of Klarna (and "buy now pay later" companies like it) is that they encourage shoppers to overspend and get into debt. 

🚁 Volocopter, the German flying electric taxi startup, is now accepting reservations for flights on its 18-rotor aircraft for the first time. Those forking out €300 for a ticket won't be able to take the trip until 2023, and there is also no indication where the flight will take place. So not a great commuting option just yet, but it's a sign of confidence from the company about getting the service going. More on the company's ambitions here.

🚴🏽‍♀️ Dutch startup VanMoof raised $40m from Norwest Venture Partners, Felix Capital and Balderton Capital, meaning the company has now raised $73m to date. That's pretty good for a hardware company basically making fancy bicycles, but investors are excited about the e-bike craze and the general move towards cycling in big cities. For more on the sector, see our latest Sifted piece here. Also if you are into bikes, do check out the website... just prepare to start drooling. 

☎️ Bryq, a startup based in Cyprus, wants to change the way we recruit to remove any unconscious bias from the process, be it based on race, gender or education. Instead of using CVs, the company has developed a chatbot that determines candidates’ suitability based on personality type and cognitive ability. The company has just secured €1.2m in new funding from BigPi Ventures to expand the business, and expects to see more uptake for remote hiring software because of the pandemic.

🏕️ Matt Moulding, founder of UK e-commerce and technology giant The Hut Group (THG), became the latest UK technology billionaire this week following the company’s IPO on the London Stock Exchange. The Hut Group began trading on Wednesday morning, at an offer price of £6 per share, which valued the company at £4.5bn.

If you're a fan of our 'News that matters' and 'Sifted Suggests' sections, check out our newsfeed here, where we collect all of these gems — and more.

Sifted Suggests 

💥 The fintech sector faces an "existential crisis", according to McKinsey in a new report, as sources of funding dry up during the ongoing Covid pandemic. "Venture capital funding has slowed, business model vulnerabilities are being exposed, and competitive dynamics are shifting," said the consultancy. Many in the fintech industry, however, were not super convinced, with the report coming the week that Klarna raised at an $11bn valuation.

👍 A nice piece by Forbes looking at two new companies — Landscape and VC Guides — trying to create a Glassdoor-style rating service for VC firms. More on this coming to Sifted soon... watch this space.