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Silicon Valley’s General Catalyst raises $8bn in global push

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Silicon Valley’s General Catalyst raises bn in global push

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General Catalyst has raised $8bn, the largest amount by a US venture capital group in more than two years, as part of a push by the high-profile Silicon Valley firm to expand globally and make new private equity-style investments.

It is the biggest since Tiger Global closed a $12.7bn vehicle in March 2022, outstripping multibillion-dollar funds raised by rivals such as Andreessen Horowitz and Josh Kushner’s Thrive Capital this year, according to data provider PitchBook.

General Catalyst — an early investor in payments company Stripe, social media company Snap and French artificial intelligence start-up Mistral — will put $4.5bn of the new capital into its core VC funds, $1.5bn into creating new start-ups and the remaining $2bn towards deepening its involvement in strategically important businesses.

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Plans to deploy the $8bn haul in unconventional ways highlight the changing nature of venture capital, which has shrunk back over the past two years after a period of rapid growth and soaring start-up valuations.

“Behind the moves that we’re making is the fundamental observation that venture capital does not scale,” said Hemant Taneja, chief executive of General Catalyst. “There are the same number of outlier [companies] whether you make funds bigger or make funds smaller.”

The 25-year-old firm has launched a division to build companies, rather than simply fund them, and made a string of unusual investments. It announced plans to acquire a hospital system in Ohio this year, as part of Taneja’s push to embed technology into healthcare.

The only way to transform healthcare systems is “go acquire one and do it in a hands-on way”, he said. The firm is also targeting other complex sectors including energy and defence.

Rival investors have questioned whether General Catalyst’s ambitions are realistic.

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“[Taneja] is interested in how technology can resolve very complex social issues. But how that intersects with the mandate of a venture fund I’m not sure,” said a partner at a Silicon Valley venture capital firm. “I think he may have gone too far. [In healthcare] you run into regulatory muck and you’re dealing with oligopolies, in both insurance and government.”

General Catalyst has also explored ways to hold companies for longer than the decade or so a traditional venture firm might.

Those include considering strategies more familiar to private equity groups, such as launching a roughly $1bn continuation fund to hang on to start-up stakes and rolling up multiple small businesses in a sector to create one dominant player, according to people with knowledge of the plans.

Those moves are partly an adjustment to more challenging conditions in venture. Start-up failure rates have increased sharply and successful companies such as Stripe and Elon Musk’s SpaceX are staying private for longer, hampering VC’s ability to return capital to their own backers.

“Venture investors haven’t internalised how existential this is: you need to return cash,” said one partner at General Catalyst. “Hemant is the only VC who really understood the next 10 years would be different to the last.”

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General Catalyst has merged with smaller firms such as La Famiglia in Europe and Venture Highway India. It is planning its first investment in Saudi Arabia, through Venture Highway, according to a person with knowledge of the deal.

That global expansion comes as rivals such as Sequoia Capital and GGV Capital decouple from businesses in China and India.

“[Hemant] and I think about the world the same way: instead of building companies and selling them to Big Tech, how do we build companies that change industries?” said La Famiglia founder Jeannette zu Fürstenberg, who now heads General Catalyst’s European business.

Taneja has repeatedly emphasised the importance of responsibly developing technologies such as AI — a view that has brought him into conflict with some of Silicon Valley’s most vocal investors, including Marc Andreessen, who advocate for accelerating innovation.

“I think what is driving Hemant is [the view that] the way to build an enduring firm is to have an impact on broader society . . . We don’t see a conflict between profit and purpose,” said Ken Chenault, the former chief executive of American Express who now chairs General Catalyst.

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Institutional investors have bought into Taneja’s expansive plans, helping the firm exceed an initial target of $6bn. But pushing outside of traditional venture investing and into highly complex, tightly regulated sectors brings new risks, as does investing in new regions such as the Middle East.

Taneja admits the approach is risky, but added that “the impact that comes out of it is going to be transformational too, and we’re in the risk-taking business”.

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With the white nationalist group Patriot Front, what you see is not what you get

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With the white nationalist group Patriot Front, what you see is not what you get

Members of the group Patriot Front ride the subway as a commuter looks on, in Washington, D.C., on July 4.

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The sight of hundreds of masked men roaming the streets of Washington, D.C., on July Fourth weekend, wearing khakis, blue shirts and uniform patches, was chilling to some of the city’s residents.

For many Americans, it was the first they heard about Patriot Front, a white nationalist organization that was born out of the deadly 2017 Unite the Right rally in Charlottesville, Va. A now-viral Reuters photo prompted reflections on the experience of a lone African American woman who was photographed in a Metro subway car, surrounded by white supremacists.

The planned demonstration of force was timed to bring a fringe group of extremists into public view as the nation marked 250 years of its independence. Indeed, the stunt succeeded in earning the group media coverage across mainstream outlets, amplifying its brand and potential to reach new recruits. On this occasion, the members refrained from engaging in violence and property damage, projecting an image of law-abiding, orderly activism.

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But those who are closely familiar with Patriot Front’s history and operations warn: Don’t believe what you see.

“That is not who they are in private,” said Len Kamdang, director of the Criminal Justice Project at the Lawyers’ Committee for Civil Rights Under Law. “Although they were on their best behavior [last] weekend, this is a dangerous group that commits acts of violence all over the country.”

Patriot Front’s history of violence and property damage

Kamdang’s organization sued members of Patriot Front for vandalizing a public mural dedicated to the tennis legend and Black activist Arthur Ashe in Richmond, Va., in 2021. Ashe, who was inducted into the International Tennis Hall of Fame in 1985, was born in Richmond and his legacy is a continuing source of pride to members of that community.

“A couple of Patriot Front members showed up under cover of night and vandalized the mural,” Kamdang said. “They painted white stencils all over. … They literally tried to whitewash him and they put their symbols of hate all over — their stencils, their slogans. And all the while they were caught on video. And that video leaked using some of the most horrible language that you can imagine.”

In many jurisdictions, law enforcement can seek additional hate crime charges or sentencing enhancements in cases where illegal acts appear to have been motivated by racial bias. But in this case, Kamdang said, Patriot Front members faced no criminal charges and their identities were only revealed when online activists later infiltrated the group and leaked internal records.

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Graham Platner makes it official in Maine, submitting paperwork to leave Senate race

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Graham Platner makes it official in Maine, submitting paperwork to leave Senate race

Now-former Democratic Senate candidate Graham Platner speaks at his primary election night event on June 9 in Blue Hill, Maine. Platner officially dropped out of the race July 10 following rape allegations from a former romantic partner that he denies.

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Graham Platner, Maine’s Democratic nominee for Senate, is officially out of the race.

The Maine Secretary of State said Platner filed the necessary paperwork to withdraw his candidacy two days after he announced he planned to do so following an accusation of rape by a former romantic partner. Platner denies the allegation.

The Maine Democratic Party has until July 27 to pick Platner’s replacement.

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In his withdrawal notice, Platner said “people are desperate for change” and that’s why they voted “for a new kind of politics” by making him the Democratic nominee. He expressed gratitude for those who supported his campaign and said that he will continue to fight for “the movement we have built together and the future we believe in.”

He ended his notice with a strong statement aligned with the progressive platform.

“F*ck ICE. Free Palestine. Up the Hearts.”

Platner announced his plan to withdraw from the race in an 11-minute video he posted to social media on July 8. He said he had no choice but to suspend his campaign, citing it was no longer viable financially.

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“We are going to lose our ability to fundraise. We are going to lose our ability to access voter data. We are going to lose all of the things that any campaign needs on the basic level simply to function,” he said.

Platner added that dropping out was not an admission of guilt. Rather, the decision, he said, is to keep the progressive movement in Maine alive to defeat Republican Sen. Susan Collins in November. Platner blamed the “political establishment” for his downfall and argued the goal was to force him out of the race.

“We built a campaign. We engaged in electoral politics. We motivated people. We banded together. We did it the way that we were told we are supposed to make change and we won. And now they are not going to let us have it. Not if it’s me,” he said.

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Waymo called the cops on teen riders, raising privacy concerns

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Waymo called the cops on teen riders, raising privacy concerns

A Waymo robotaxi drives in San Francisco’s North Beach neighborhood this week.

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Police in San Mateo, Calif., posted Monday on social media that they had apprehended a pair of teenagers from a Waymo driverless robotaxi after the company alerted authorities to suspected criminal activity. It’s the latest incident involving video surveillance of passengers and others by autonomous vehicles — raising questions about the limits of privacy in such vehicles.

The Facebook post by the San Mateo County Police said: “Parents do you know where your teens are? @waymo does!”

The 15-year-olds were allegedly drinking alcohol and shooting toy guns from the car, according to the police. They said Waymo’s systems detected behavior that then triggered a safety response, after which the company disabled the vehicle and contacted police.

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Waymo’s cars, equipped with an array of cameras, microphones and other sensors to monitor passengers and other nearby vehicles, are becoming more common in cities across the United States. Experts say the detention of the two teens in San Mateo highlights a potential — but not inevitable — trade-off between privacy and convenience. It also questions the extent to which companies similar to Waymo are required to hand over private data, including audio and video of passengers, in situations where a crime is suspected.

NPR reached out to Waymo, which is owned by Alphabet, the parent company of Google, for comment on the details of the San Mateo incident and how the company responded, but did not hear back. But on its website, the company says that as many as 29 cameras in its autonomous cars provide an all-around view and “are designed with high dynamic range and thermal stability, to see in both daylight and low-light conditions, and tackle more complex environments.”

“There already exist laws that govern duty to report or even duty to protect” for carriers such as Waymo, according to Alessandro Acquisti, a professor of information technology at the MIT Sloan School of Management. “The privacy problems arise when and if driverless carrier companies used such laws or ethical obligations as a pretext for blanket, indiscriminate accumulation of identifiable data for unspecified future purposes.”

That includes not just monitoring people inside the cars, but outside too. Take, for example, a hit-and-run investigation last year in Los Angeles. Media reported that the police inquiry was aided by video captured by a Waymo taxi that had a clear view of the crime. Critics suggested at the time that authorities were using the company’s vehicles as a mobile surveillance platform. And during 2025 protests in Los Angeles against Immigration and Customs Enforcement crackdowns, demonstrators vandalized Waymos, apparently angry that video recorded by the vehicles could be used by police, although there is no evidence that happened.

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