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February Tech Round-Up: The Metaverse Edition

Welcome to the Year of the Water Tiger, as we investigate Web3.

Some say the metaverse economy will be worth $21tn by 2030 (that’s the size of the US economy today).  However, Web3’s debutante party has been gate crashed by a mini meltdown in tech stocks. Read on to piece together where this is all heading.

Gong Xi Fa Cai, from all of us at North Ridge Partners.

Original Thinking From North Ridge Partners

Web3 is the current undisputed tech buzzword — is it the future of the Internet or just a distraction for cryptobros — and what’s with the pictures of apes? Do I really have to take Web3 seriously? We think so!

Six things you need to understand about Web3 before reaching for your cryptocurrency (actually, cryptocurrency is number one on the list — but there’s so much more to it!)

In this month’s minicast Christin Burns breaks down Web3 and Roger Sharp talks about how some large companies are dipping their toes in the water (while others are making the plunge). 

Back here in the real world, where two years of pandemic stimulus is being unwound, gravity has reasserted itself with a mini-meltdown in tech stocks. So we thought we’d ring in the year with a money-themed playlist. Whether you’ve been bruised by Bitcoin, smashed by SPACs or are just manoeuvring through the mini meltdown, remember: nobody knows you when you’re down and out. Enjoy!

Asia Tech News

A very expensive divorce was just a part of Softbank’s bad week

Food delivery battleground heats up in Asia: in India, Swiggy becomes a decacorn and Reliance makes a $200mn bet

In Japan, Z Holdings (owner of Yahoo Japan) joins the “quick commerce” frenzy

Digital land grab as SE Asia super app race heats up

Indian billionaire Mukesh Ambani is excited about DeFi

Markets Action

Microsoft delivers strong growth across the board

Alphabet cracked $200bn in revenues in 2021

Amazon’s stock jumps with hike in Prime membership fees – shareholders are happy, but will customers vote with their feet?

The ultimate Apple turnover: Tim’s Team beats estimates in almost every category

When you’re hot: IPOs to watch for in 2022

NASDAQ has an unhappy New Year

Krugman thinks crypto is the new sub-prime

Big Tech

Huge gaming plays! Microsoft’s barnstorming $US68.7bn proposal to buy gaming giant Activision — in words and in video — causes Sony shares to tumble by 13 per cent

Sony hits back — slightly — with $3.6bn purchase of Bungie, while the Saudis look to corner the market in esports events

Biggest video game deal ever — for about a fortnight — as Take-Two buys Zynga

18 months after Trump attempted to force ByteDance to sell Tik Tok, it’s eating Meta’s lunch. Facebook may have stopped growing — but digital advertising is still doing just fine, thanks with TikTok to triple revenue this year and Snap turning out a good result (albeit from much lower bases).

Market Gyrations

Jeremy Grantham calls a market meltdown

Meta’s one-day crash ranks as the worst in stock-market history

Investors wake up to the sound of share markets falling

Warren Buffett has the last laugh as Ark ETF gets hammered

The SPAC ship has sprung a leak. Investors want their money back

Bitcoin fails to meet its promise as inflation bites

Pre-IPO valuations belted

A Case Study in Mis-pricing: The Animoca Story:

Two years ago digital rights company Animoca was an unloved ASX reject with a $120mn market valuation. Now it has landed a $US359mn private raising at a value of $US5bn. Crikey – how did the Aussie market get it so wrong?

Stuff We Found Polarising:

The Zuck goes foiling. Enough said.

Stuff We Found Interesting:

The truth about Trickbot

Who’s going to jail? Prof Galloway on Theranos and founders in general

Meta launches a next-gen supercomputer

Elon Musk’s quest to solve labour shortages with his new robot

Gaming’s monster month is just the start

Distantly Emerging Tech

Is crypto safe from Quantum?

Houston, we have a problem

11+ emerging technologies from CES

North Ridge Partners: technology investment banking across the Asia Pacific

North Ridge Partners works with technology companies across the Asia Pacific to achieve transformational outcomes through providing strategic financial advice, advising on M&A transactions and raising capital. We’re experienced deal-makers who have built, run, and sold numerous technology companies.

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