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The U.S. Food and Drug Administration (FDA) has issued an Emergency Use Authorization (EUA) for Moderna’s COVID-19 vaccine, as expected after an independent panel commissioned by the administration recommended its approval earlier this week. This is the second vaccine now authorized for use in the U.S. under EUA, after the Pfizer -BioNTech vaccine was approved last week.

Moderna’s vaccine could begin being administered to Americans by “Monday or Tuesday” next week, according to Dr. Anthony Fauci speaking to NBC’s Today show in a new interview. That’s in keeping with the timelines between the Pfizer EUA and the first patients actually receiving the vaccine last week.

Like Pfizer’s vaccine, Moderna’s is an mRNA therapy. That means that it contains no actual virus — just genetic instructions that tell a person’s body to create a specific protein. That protein is more or less identical to the one that SARS-CoV-2, the virus which causes COVID-19, uses to attach to a host’s cells and replicate. Moderna’s vaccine causes a person to create just the protein, which on its own is harmless, and then their natural defenses via their immune system react to that and develop a method for fighting it off. That defense system is “remembered” by the body, while the vaccine itself naturally dissolves after a brief time, leaving a person with immunity but nothing else.

The Oxford-AstraZeneca vaccine, which has yet to be approved for use in the U.S., uses a weakened and modified common cold virus that doesn’t spread in humans to create the spike protein in recipients, resulting in the body generating its own immune response. That’s a much more tried-and-tested method for creating a vaccine, but both Moderna and Pfizer’s mRNA therapies have shown to be very effective in preliminary data from their large Phase 3 clinical trials.

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The rest of the world may be slowing down as we prepare for Christmas and the new year, but we are not taking our foot off the gas.

Alex Wilhelm keeps a close watch on the public markets in his column The Exchange, but this week, he branched out to look at some of the metrics underpinning soaring cryptocurrency prices and turned his gaze on StockX, the consumer reseller marketplace that just raised $275 million in a Series E that values the company at approximately $2.8 billion.

“Selling a tenth of your company for north of a quarter-billion may be somewhat common among late-stage software startups with tremendous growth,” he says, but “don’t laugh — the round actually makes pretty OK sense.”

Our staff continues to file their end-of-year stories: We ran a post this morning by Manish Singh that studies India’s massive total addressable market for retail. The nation has more than 60 million mom-and-pop neighborhood stores, and companies like Walmart and Amazon are eager to offer help with payments, logistics and inventory management — as are hundreds of native and foreign startups.

In an interview with author and MIT professor Sinan Aral, Managing Editor Danny Crichton discussed some of the debates currently swirling around the desire in some quarters to regulate social media platforms. In “The Hype Machine,” Aral explores topics like neuroscience, economics and misinformation before offering potential solutions for resolving what he calls “a full-blown social media crisis.”

The stories that follow are an overview of Extra Crunch from the last five days. Complete articles are only available to members, but you can use discount code ECFriday to save 20% off a one or two-year subscription. Details here.

Thank you very much for reading Extra Crunch this week; I hope you have a safe, relaxing weekend!

Walter Thompson
Senior Editor, TechCrunch
@yourprotagonist


Unpacking Poshmark’s IPO filing

How did fashion marketplace Poshmark go from posting regular losses in 2019 to generating net income in 2020?

After the company filed a public S-1 last night, Alex Wilhelm pondered the question this morning in The Exchange.

Like many e-commerce platforms, Poshmark saw a surge in activity during the COVID-19 pandemic, but it also slashed its marketing spend, which helped boost profits. As the cash-rich company prepares its road show, “Poshmark is valuable,” Alex concluded.

“How valuable the market will decide. But who will it enrich with its final pricing decision?”

Just how bad is that hack that hit US government agencies?

WASHINGTON, D.C. – APRIL 22, 2018: A statue of Albert Gallatin, a former U.S. Secretary of the Treasury, stands in front of The Treasury Building in Washington, D.C. The National Historic Landmark building is the headquarters of the United States Department of the Treasury. (Photo by Robert Alexander/Getty Images)

The breach of FireEye and SolarWinds by hackers working on behalf of Russian intelligence is “the nightmare scenario that has worried cybersecurity experts for years,” reports Zack Whittaker.

The intrusion began several months ago, but news of the breach wasn’t made public until this week.

“Given that potential victims include defense contractors, telecoms, banks, and tech companies, the implications for critical infrastructure and national security, although untold at this point, could be significant,” said Erin Kenneally, director of cyber risk analytics at Guidewire, an industry platform for insurance carriers.

In his analysis for Extra Crunch, Zack breaks down the rippling effects of supply-chain attacks that can compromise platforms like SolarWinds, which is used by more than 420 of the Fortune 500.

From startups to Starbucks: The embedded API opportunity

contactless payment with QR code

Image Credits: dowell (opens in a new window) / Getty Images

Embedded finance connects services like payment processing with everyday activities like grabbing a coffee before unlocking an e-scooter.

“The ability to be at the right place at the right time, supporting consumers and merchants alike, where they want it, how they want it and when they want it — cannot be understated,” says Simon Wu, an investment director with Cathay Innovation.

In a post that identifies embedded finance’s top providers and enablers, he offers advice for startups and established brands that are hoping to “earn and build customer loyalty while generating new revenue streams.”

Is rising usage driving crypto’s recent price boom?

Bitcoin is at an all-time high.

CoinMarketCap reports that crypto market values have reached almost $659 billion; that figure was just $140 billion in March 2020.

“These gains have created a huge amount of wealth for crypto holders,” Alex Wilhelm wrote yesterday.

To get a better handle on why crypto values are sky-bound, he parsed some basic industry metrics, including the number of unique bitcoin addresses, fees paid and transactions per day.

“Do the price gains make sense in the short term? Who knows,” he wrote, “but they are not based on nothing.”

2020 was a disaster, but the pandemic put security in the spotlight

Stage Light on Black. Image Credits: Fotograzia / Getty Images

For his year-end Extra Crunch story, security reporter Zack Whittaker looked back at the myriad security challenges and vulnerabilities COVID-19 brought to the fore.

The hacks of Fire Eyes and SolarWinds were just one link in the chain: How well is your company prepared to deal with file-encrypting malware, hackers backed by nation-states or employees accessing secure systems from home?

“With 2020 wrapping up, much of the security headaches exposed by the pandemic will linger into the new year,” says Zack.

Inside Zoox’s six-year ride from prototype to product

Zoox Fully Autonomous, All-electric Robotaxi

Zoox Fully Autonomous, All-electric Robotaxi. Image Credits: Zoox

After six years of research and development, autonomous vehicle company Zoox this week unveiled an electric robotaxi that can carry four people at a maximum speed of 75 miles per hour.

Automotive writer Kirsten Korosec interviewed Zoox co-founder and CTO Jesse Levinson to learn more about the vehicle’s development and how the company overcame a series of technical and legal challenges.

“I would say that if you have a big idea and you’re confident that it makes sense, you should at least explore the idea, rather than giving up because the current regulations aren’t designed for it,” said Levinson.

Kirsten only had 15 minutes to interview Levinson, but this comprehensive interview covers topics like regulatory compliance, Zoox’s relationship with parent company Amazon and the highest (and lowest) moments he experienced along the way.

Pluralsight $3.5B deal signals a matured edtech market

Fairy dust flying in gold light rays. Computer generated abstract raster illustration

Fairy dust flying in gold light rays. Computer-generated abstract raster illustration. Image Credits: gonin / Wikimedia Commons

In one of the largest enterprise acquisitions of 2020, Visa Equity Partners this week purchased Utah-based edtech startup Pluralsight for $3.5 billion.

According to the entrepreneurs and investors reporter Natasha Mascarenhas spoke to, this deal “shows the strength of edtech’s capital options as the pandemic continues.”

“What’s happening in edtech is that capital markets are liquidating,” a major change from “the old days where the options to exit were very narrow,” says Deborah Quazzo, a managing partner at GSV Advisors and seed investor in Pluralsight.

Dear Sophie: How did immigration change for startup founders in 2020?

Image Credits: Sophie Alcorn

Dear Sophie:

I’m on an F1 OPT and am about to incorporate a startup with my two American co-founders.

What were the biggest immigration changes in 2020 affecting us?

—Ambitious in Albany

How to pick an investor in good or bad times

High angle view of young man walking towards white doorways on blue background

High angle view of young man walking towards white doorways on blue background Image Credits: Klaus Vedfelt / Getty Images

Founders and the VCs who back them may not be friends, but they’re usually friendly.

Investors are on a first-name basis with entrepreneurs from their portfolio companies and frequently have candid conversations with them about life, work and the world in general. In the before times, they might even have shared a meal or attended a baseball game together.

But make no mistake, it is a top-down relationship — the investor will always have the upper hand. When an entrepreneur accepts a check, they are hiring their next boss.

In an Extra Crunch guest post, Quiq CEO and founder Mike Myer poses two questions for founders who are considering a new relationship with a VC:

  • How can the investor help the business?
  • What’s the risk that the investor will hurt the business?

From India’s richest man to Amazon and 100s of startups: The great rush to win neighborhood stores

https://techcrunch.com/2020/12/18/from-indias-richest-man-to-amazon-and-100s-of-startups-the-great-rush-to-win-neighborhood-stores/

NEW DELHI, INDIA – 2011/12/18: Rice is sold at a night market in Paharganj, the urban suburb opposite New Delhi Railway Station. (Photo by Frank Bienewald/LightRocket via Getty Images)

In India, about 90% of consumers buy their everyday goods from neighborhood-based kirana stores instead of supermarkets.

As a result, U.S. retail giants like Walmart and Amazon have adopted an “if you can’t beat them, join them” approach, offering the nation’s 60 million mom-and-pop shops software for inventory control, payments and e-commerce.

India’s retail market will be worth an estimated $1.3 trillion by 2025, but e-commerce represents just 3% of that activity today, reports Manish Singh.

For his final Extra Crunch story of 2020, he looked at the startups and major players who are hoping to carve out their niche in one of the world’s largest retail ecosystems.

ClickUp CEO talks hiring, raising and scaling in the white-hot productivity space

Line of differently sized pink ceramic piggy banks in ascending size order on white surface, green background

Image Credits: PM Images / Getty Images

Earlier this year, business productivity software startup ClickUp raised a $35 million Series A.

Now, just six months later, the company has closed a second round of $100 million that values the San Diego-based startup at $1 billion.

Lucas Matney interviewed CEO Zeb Evans this week to learn more about how the company was buoyed by pandemic-based behavior shifts that doubled its customer base and multiplied revenue by a factor of nine.

“I think that the biggest thing that we’ve always focused on is shipping a new version of ClickUp every week. That is our differentiation,” he said. “We’ve kind of created these iterative cycles called natural product-market fit and it’s been hard to keep up with that.”

2020’s top 10 enterprise M&A deals totaled a staggering $165B

Multi Colored Bling Bling Dollar Sign Shape Bokeh Backdrop on Dark Background, Finance Concept.

Multi Colored Bling Bling Dollar Sign Shape Bokeh Backdrop on Dark Background, Finance Concept. Image Credits: MirageC / Getty Images.

In 2018, the total value of the year’s 10 top enterprise mergers and acquisitions reached $87 billion; last year, that figure fell to just $40 billion.

But in 2020, 10 M&A deals accounted for $165.2 billion.

“Last year’s biggest deal — Salesforce buying Tableau for $15.7 billion — would have only been good for fifth place on this year’s list,” notes enterprise reporter Ron Miller. “And last year’s fourth largest deal, where VMware bought Pivotal for $2.7 billion, wouldn’t have even made this year’s list at all.”

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We interview the senior senator from Minnesota about fitness trackers, Sony pulls “Cyberpunk 2077” from the PlayStation Store and Indian delivery startup Zomato raises a massive round. This is your Daily Crunch for December 18, 2020.

The big story: Amy Klobuchar discusses Amazon Halo concerns

Minnesota Senator Amy Klobuchar recently wrote an open letter to Alex Azar of the Department of Health and Human Services, in which she discussed Amazon’s Halo fitness tracker and expressed concern that “the Halo appears to collect an unprecedented level of personal information.”

Klobuchar elaborated on these issues in an interview with TechCrunch. HHS, she said, “should play a larger role in ensuring data privacy when it comes to health” and work with the FTC “to come up with some rules to safeguard private health information.”

Klobuchar added, “I think the Amazon Halo is just the ultimate example of it, but there’s a number of other devices that have the same issues.”

The tech giants

CD Projekt Red, Sony, Microsoft offer refund to Cyberpunk 2077 customers after bug complaints — Sony has pulled “Cyberpunk 2077” from its PlayStation Store after a flood of complaints.

The big Google DOJ antitrust case probably won’t go to trial until 2023 — In a status hearing Friday, U.S. District Judge Amit Mehta set a tentative date for the case.

Twitter bots and memorialized users will become ‘new account types’ in 2021 — Twitter plans to add a way of distinguishing bots and other automated accounts.

Startups, funding and venture capital

Indian food delivery giant Zomato secures $660M — The 12-year-old startup is also in the process of closing a $140 million secondary transaction.

Bumble reportedly filed confidentially for an IPO — The news that Bumble is pursuing an IPO is not a surprise.

Unfold launches lightweight, link-centric profiles called Bio Sites — Squarespace acquired social media startup Unfold last year.

Advice and analysis from Extra Crunch

From India’s richest man to Amazon and 100s of startups: The great rush to win neighborhood stores — After spending more than a decade disrupting neighborhood stores in the U.S. and other markets, Amazon and Walmart are employing a different strategy in India.

Watch Space Force commander Gen. John Raymond explain public-private partnerships for space defense — The Space Force commander explained how the new military service operates like a startup and how startups can learn from the Space Force.

Unpacking Poshmark’s IPO filing — From posting regular losses in 2019 to generating net income in 2020.

(Extra Crunch is our membership program, which aims to democratize information about startups. You can sign up here.)

Everything else

TechCrunch Early Stage is coming back in a big way in 2021 — TC Early Stage is all about providing founders access to the top experts across the core competencies involved in entrepreneurship.

Tips for applying an intersectional framework to AI development — What can we do to move away from using AI/ML models that demonstrate unfair bias?

The Daily Crunch is TechCrunch’s roundup of our biggest and most important stories. If you’d like to get this delivered to your inbox every day at around 3pm Pacific, you can subscribe here.

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Welcome to TechCrunch’s 2020 Holiday Gift Guide! Need help with gift ideas? We’re here to help! We’ll be rolling out gift guides from now through the end of December. You can find our other guides right here.

Headphones! They make a pretty solid gift any year, but they’re an even better option when so many of us are stuck at home. It’s hard to think (much less get anything done) when the background track of your life is a cacophony of conference calls and Zoom school.

We spent a lot of time with a lot of different headphones this year, so we thought it’d be good to highlight some of our favorites. As with all things audio-related, “best” is deeply subjective — but these ones all absolutely earned our stamp of approval. Between over-ear, on-ear, in-ear and gaming headsets, we’ve got the bases covered.

This article contains links to affiliate partners where available. When you buy through these links, TechCrunch may earn an affiliate commission.

Over-ear and On-ear Headphones:

Marshall Major IV

Image Credits: Marshall

Darrell writes:

Marshall’s latest on-ear headphones combine great sound with a lightweight design, and some unique benefits — including over 80 hours of playtime on a single charge. They also charge either via USB-C or wirelessly with most standard chargers, by folding them up and resting them on their right ear cup. The on-ear design means no noise cancellation and noise isolation is minimal, so they’re not great for commutes but a very solid choice for the home office. For the price, they’re a great deal, and a stylish accessory, to boot.

Price: $129 from Marshall

Sony WH-1000XM4

Image Credits: Brian Heater

Taylor writes:

If you need really serious noise canceling and you aren’t willing to sacrifice on sound quality, Sony’s WH-1000XM4 over-ear headphones are a no-brainer.

Widely regarded as the best at what they do, these headphones actually do quite a few different things very, very well. The sleek over-ear design and sophisticated active noise canceling means they can create a totally silent work environment if that’s what you want. And if you’re just in it for Sony’s signature killer, punchy sound, that’s enough of a reason to buy them too. (Bose’s Noise Cancelling Headphones 700 are another top-tier pick for over-ear noise canceling if you prefer their look or Bose’s more neutral sound.) For a budget pick, Sony’s last-gen Sony WH-1000XM3 offer the same sound quality and noise canceling with a few fewer bells and whistles.

Price: $278 from Best Buy

Master & Dynamic MW65

Image Credits: Veanne Cao

Veanne writes:

The MW65s are Master & Dynamic’s wireless over-ear noise-canceling model. Between deejaying at dirty underground raves in my early twenties and editing videos for the next decade, I have probably gone through about two dozen headphones. By far, the MW65s are my favorite. 

They’re beautifully designed, and well-constructed with lightweight anodized aluminum and premium leather. The 40mm beryllium drivers deliver clarity throughout the spectrum and audiophiles will love their natural sound profile. The memory foam ear pads already do a decent job of muffling out garbage trucks and police sirens, but the ANC is great for shutting out the world — on high mode, it’s eerily silent. The MW65s work wirelessly via Bluetooth 4.2 with 65+ feet of signal range — a must-have for grabbing snacks from the fridge while on important Zoom meetings or to avoid accidentally yanking the laptop off the table. Bonus feature: Google Assistant integration. 

They’ll cost you a steep $400+, but they’re solid headphones and you’re ultimately paying for luxury.

Price: Currently $400 on Amazon

 


In-ear Headphones:

Sony WF-1000XM3

Image Credits: Brian Heater

Taylor writes:

It should come as no surprise that Sony’s prowess in over-ear noise canceling translates extremely well to a smaller form factor. Earbuds can’t match the sweet silence that over-ear designs provide, but if you don’t like big ol’ headphones, the compromise is likely worth it. Sony’s earbuds are a great choice, tuning out a shocking amount of outside noise in a very small package. Like the Sony over-ear pick, they have incredible sound, a very attractive design and come with a huge selection of rubbery caps of different sizes and textures to make them comfortable in different ears. If you value Apple connectivity above all else, pick the AirPods pro. If sound quality or silence matter more, you won’t be disappointed here.

Price: $158 from Best Buy

Also great: Sennheiser’s Momentum True Wireless 2 ($269) earbuds keep pace with Sony’s earbuds, and depending on your sound/fit preferences they’re also a great pick (especially if you find them on sale.)

For the Apple devotee: AirPods Pro

Airpods Pro

Image Credits: Brian Heater

Lucas writes:

Though Apple is now positioning the $249 AirPods Pro as the mid-range product in the AirPods line with the introduction of the ludicrously priced $549 AirPods Max, they are still Apple’s headphone product that seems to have the biggest lead over mainstream competitors.

Features like passthrough mode and spatial audio are nice but are likely features you will use pretty infrequently depending on your setup. As with the less expensive non-Pro AirPods, you’ll be sure to find better sound quality in Bluetooth headphones at this price, but you won’t find a better total package that involves so little troubleshooting, a tight package and such quality noise cancellation. The AirPods Pro are a finessed product that just work in a way that makes using other wireless buds comparably painful.

Retailers are really looking to move product this holiday season, so if you’re prodigious, you’ll likely be able to score a good deal on these headphones, so if you’re plotting an upgrade or trying to see what all the buzz is about, I recommend you take the plunge.

Price: Currently $199 from Amazon


Gaming Headsets:

SteelSeries 7P (for PlayStation) or 7X (for Xbox)

Image Credits: Devin Coldewey

Devin writes:

Whether you’re planning on playing games on a PC or any console out there, the SteelSeries Arctis 7 gets an unreserved recommendation from me. These headphones have amazing sound in a surprisingly large soundstage, making them suitable for any gaming or media. They’re also light and comfortable while offering decent isolation (and can pipe in surrounding noise if you want). Plus there’s a built-in telescoping mic for chatting. There are two versions, one for PlayStation and one for Xbox consoles, though both work with PC.

Their downsides are a cluttered physical interface — there’s a lot going on on the undersides of the earcups — and a corded, multi-part (rather than USB key shaped) wireless dongle. But these are minor issues considering what you get for the $150 price.

Price: $150 from SteelSeries

Budget pick: Razer Kraken X USB

Image Credits: Razer

Devin writes:

This is my go-to headset for when friends need something solid but inexpensive. The sound is a bit bass-heavy and it’s not wireless, but I used these personally for quite a while and found them comfortable, reliable, and the built-in mic is easily operated.

Price: $44 from Amazon

Upgrade pick: SteelSeries Arctis Pro Wireless

Image Credits: SteelSeries

While on the pricier end for a gaming headset, SteelSeries’ Arctis Pros are outstanding. They’re extremely comfortable largely thanks to a ski-goggle inspired suspension headband, and swappable rechargeable batteries (one in the headset, one charging in the base station) help ensure you’re never caught scrambling for a charging cable mid-battle. A dedicated mixer helps you tweak the sound to your liking even in games where it’s otherwise locked, and a very visible mute indicator on the tip of the microphone makes it clear whether you’re on air or not. One catch: they’ll work with PC, Mac and PlayStation (including PS5 with an upcoming firmware update), but not Xbox.

Price: $326 from Amazon

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The idea of satellites and other spacecraft being able to refuel, repair or even add new capabilities while in orbit has generally seemed like a “nice in theory” one, but as leaders from Maxar, Astroscale and Orbit Fab explained at TC Sessions: Space, 2021 will be the year that theory becomes reality — or at the very least, realistic.

Once they go up, satellites are generally considered fixed assets that only depreciate, become obsolete or reach the end of their fuel supply and inevitably deorbit. But with a bit of coordination many of these phenomenally expensive spacecraft could have their lives extended in a number of ways, and considering the costs involved in lofting a new one, the prospect may be an attractive one.

“Launch costs are going down, but also launch frequency, the cadence in which things are being sent up into space is also going up,” pointed out Lucy Condakchian, GM of robotics at Maxar Technologies . “So if you can launch smaller subsystems payloads and whatnot, and then be able to assemble things in space, maybe change out a certain aspect of what that satellite is doing… Why can’t we go up and actually change out a power subsystem, change out a camera mechanism, a computing element, whatever the case may be?”

That’s what Maxar and NASA will be demonstrating next year with OSAM-1, formerly called Restore-L, in which a spacecraft will attempt to service, assemble and manufacture items (hence the name) while on orbit.

“Just being able to demonstrate something in space shows that we can do that, proves the point of ‘Yes, it is possible,’ and hopefully it opens up much further opportunities down the road,” said Condakchian. The company’s robotic arms for Martian landers have shown their versatility, as well, and there’s no reason to think that satellite arms won’t be as broadly useful.

While Maxar is aiming to equip future spacecraft, Ron Lopez, president of Astroscale US (the original company is Japan-based), sees an opportunity in today’s aging space infrastructure.

“There are a lot of companies that are developing on orbit inspection services. That’s for the satellites that are already out there that don’t have those robotic capabilities, or can’t afford to have them in the future when the product owner-operator decides not to put them on,” he explained.

“There’s any number of different use cases for this kind of capability,” he continued. “Insurance claims if there’s an anomaly on a satellite, and it needs to be determined what it was that happened, etc., or space situational awareness. Of course, we know that this is a big concern for everybody with the increasing number of objects in space, understanding what’s where, doing what and is it a threat to other objects in space, is very important.”

Astroscale, which recently raised a $51 million Series E, is about to launch a mission in just a few months that will demonstrate orbital debris detection and removal. That doesn’t mean spare screws dropped by ISS spacewalks — more likely dead satellites that have been left to drift and deorbit on their own time, which could be years from now. All they need is a little push and low-Earth orbit is that much safer and cleaner.

Daniel Faber, CEO and founder of Orbit Fab, wants to prevent that situation from occurring in the first place by building what he calls “gas stations in space.” It’s a bit different from the terrestrial ones, closer perhaps to in-flight refueling of jets, but you get the idea.

“The future that Orbit Fab sees is a fully cooperative and bustling in space economy, we don’t think that that can be achieved by relying on robotics on every spacecraft, there’s always going to be a need for tow trucks, there’s always going to be a need for complex robotic servicing when things go wrong, and things break down. And right now, nothing has been designed to be serviced. So you need a tow truck for any of these type of things,” he said.

“We failed to build a satellite gas tanker because we couldn’t find the fueling port. So we built one,” he said, referring to the company’s RAFTI connector, which dozens of partners are now looking at including in their spacecraft. “We’ve had to develop other products and technologies as well to make refueling accessible to our customers.”

The tanker will have its first orbit tests — you guessed it, next year. A recently announced investment, bringing their seed total to $6 million, should help make that happen. 2021 is looking to be a big one for many areas of space, but in this particular sector it will be the moment where the capability is proven out, perhaps leading to a major expansion the following year.

That was just a fraction of what we talked about on the panel. If you missed it live, don’t worry — Extra Crunch subscribers get access to all the on-stage content from TC Sessions: Space and every other event as well. Sign up here.

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In the early 1970s, Steve Gorad ’63 had a successful career as a clinical psychologist. He was in charge of the alcohol unit at Boston State Hospital and had a private practice, but he was restless. “It wasn’t enough,” he says. “I was a long-haired hippie writing [draft exemption] letters for people who didn’t want to go to Vietnam. I had doubts about what we really knew about psychology. I was a seeker.” So when Gorad’s boss at the hospital refused to give him time off to attend a 40-day spiritual workshop organized by a group called Arica, he quit. He immersed himself in Arica, turned his home in Boston’s South End into a commune, and traveled throughout Latin America. “My response to most everything during those years was to say yes,” he recalls.

While living in Chile, Gorad visited Bolivia. There he encountered quinoa, a grain considered peasant food in Latin America and relatively unknown elsewhere at the time. He was struck by its taste, and intrigued when told of its nutritional value. He began to study quinoa on frequent trips to the high-altitude region of Bolivia, called the Altiplano, where it’s widely grown, and by reading scientific papers. He learned that quinoa plants are often resilient even in the face of drought, flooding, and frost. He learned, too, that quinoa’s protein content is unusually high, ranging from 16 to 21% (compared with less than 14% for wheat and roughly 7.5% for rice). He also found that it contains all the “essential” amino acids—those that must come from food because the body can’t make them on its own—in proportions close to the nutritionally ideal ratio. “This makes the quality of quinoa protein roughly equivalent to that of milk (casein) or egg (albumin), without any of the disadvantages of coming from an animal source,” he has written. (Gorad credits MIT for giving him the tools to evaluate the science behind these nutritional claims. “MIT taught me the scientific method,” he says. “I can’t just accept claims because I’m told about them. I need to see proof, and that has served me throughout life—and certainly when it came to quinoa.”)

“I just had a sense that if I left the orderly path, my life wasn’t going to collapse. It would open into something else more exciting. And that is what happened.”

In the late 1970s, Gorad and two partners explored the possibility of importing quinoa into the United States. James Silver, who was the head of purchasing at Erewhon West, a natural foods company in Los Angeles, recalls hearing their pitch and realizing that quinoa’s nutritional properties made it an alluring product. “Quinoa wasn’t available in the US when they began this, at least not in any commercial sense. Certainly in the natural foods industry it did not exist,” Silver says. When Gorad and his partners founded Quinoa Corporation, in 1983, “they were the first, and for a very long time the only, importers of quinoa in the US.”

Gorad and his partners brought passion to their venture. “We were on a mission for quinoa,” he says, adding that in the early days they met with shoppers at natural food markets, handed out fliers, and “served little paper cups of cooked quinoa.” They sold small amounts of the grain with this approach but faced challenges in scaling up and securing a supply to import. Much of the grain available required extensive cleaning because it was “full of stones, dirt, dust, plant particles, pieces of metal, glass, unidentifiable objects, and even rodent feces,” Gorad recalls. (Eventually, Quinoa Corporation developed a relationship with the tea company Celestial Seasonings and used its industrial-scale machinery, including gravity tables, to clean the product.)

One year into the business, tragedy struck. One of Gorad’s partners, David Kusack, took an afternoon off from meeting with potential suppliers to visit an archaeological site in Bolivia; while sitting on a hilltop, he was shot in the back. His death was ruled a probable botched robbery, but theories abounded: it was a case of mistaken identity, business interests were threatened by quinoa farmers banding together, the CIA was behind it, quinoa was cursed. Whatever the cause, Gorad was devastated. “That almost stopped the project,” he says.

Quinoa Corporation persisted but continued to face turmoil. For a time, the company worked with the large natural foods distributors Eden Foods and Arrowhead Mills. But then these companies began to repackage the grain under their own names, ultimately finding their own Latin American suppliers and severing ties with Gorad and his partners. Their business struggled financially, even as the grain became more widely known. “Quinoa Corporation never had the money to do everything we needed to do,” Gorad recalls. “Not once did we place an ad or commercial for quinoa. What we did was make banners and little red buttons that simply said, ‘Quinoa is here.’ That was it.” 

Steve Gorad portrait
CELESTE SLOMAN

In 1986, Australia’s Great Eastern International bought Quinoa Corporation, offering an infusion of capital that allowed the business to expand and distribute the grain in the US. Gorad and his partners purchased equipment to process quinoa, hired more workers, and spent their reserves on a large shipment of the grain. They had overestimated demand, however, and the company once again hit hard times. In early 1988, Gorad resigned “in order to lessen the financial burden on the company,” he says. Even so, he continued to evangelize for quinoa. “I never felt I was taking myself out of the mission, out of the flow of things that needed to happen,” he says.

Over time, he watched quinoa’s popularity increase. Between 2007 and 2013, the amount imported into the US increased tenfold, from 7 million pounds to almost 70 million. Much of it came from Bolivia and Peru, both of which saw a sevenfold increase in quinoa exports between 2005 and 2013. The United Nations declared 2013 the “International Year of Quinoa” to recognize the work of indigenous farmers in the Andes who cultivated the grain. José Graziano de Silva, then director general of the UN’s Food and Agriculture Organization, proclaimed quinoa “an ally in the fight against hunger and food insecurity,” thanks to its nutritional benefits and ability to thrive under sometimes harsh agricultural conditions. It was also hailed as a promising crop in a world facing climate change. 

The surge in demand led to drastic changes for indigenous farmers in the Andes. A pound of the grain, which sold for a mere 25 cents in 2000, began to command prices as high as $4. Anthropologist Emma McDonell has noted that this income allowed many farmers, who had lived at subsistence levels, to “send their children to university, invest in new motorcycles and cars, build new houses, and buy farming technology to increase their harvests.” As the boom continued, however, small farmers faced mounting competition from larger operations, including global agribusiness concerns. By 2014, the price of quinoa had dropped to 60 cents a pound.

Newspaper accounts from the time also claimed that many farmers no longer ate the grain their families had grown for generations, opting instead for less-nutritious noodles and rice so they could export their quinoa. But Gorad disputes this. “Not all of the quinoa they produced was exportable,” he says; the farmers he knew had enough for their own families while still bringing in additional income. “These people were dirt poor,” he says. “When the price of quinoa was going up, a lot of wealth came to Bolivia, which desperately needed it.” 

Still, he acknowledges that the quinoa boom had its casualties. In some cases, farmers’ family members who had been working in the city came back to the farm to help out, he says. When the price dropped, those who had abandoned other work found themselves in trouble. “In individual cases, there are people who got messed up,” he says. “But the original farmers were still better off in the end than they would have been without the increased sales.” 

Gorad himself did not reap outsize profits from quinoa either. After leaving Quinoa Corporation, he consulted on various international projects, including an effort to bring quinoa to Tibet. As distribution widened and new varieties were cultivated, he distributed seeds and information to those interested in growing the grain in the US and abroad. “I think I did more work promoting quinoa after I left Quinoa Corporation,” he says. “I was no longer constrained by the need to work for the benefit of the company. I worked for quinoa!” This work was mostly a labor of love—for seven years, Gorad worked as a legal assistant for a friend in Manhattan in order to pay his bills. 

Today, Gorad lives in a Midtown skyscraper in New York, in the shadow of the Chrysler Building. He is retired and spends his days meditating and doing tai chi on the roof—a practice established long before covid-19 hit. (In fact, he sees the pandemic as an opportunity for the personal growth that comes with accepting change. Although ordinary life has been disrupted, “the bottom line is that we are still here, no matter what has been lost or changed,” he says.) He is quick to say that 20% of the apartments in his building are rent stabilized, including his, which he shares with a friend. “Quinoa didn’t make me rich,” he says. “I wasn’t a businessman and I am still not.”

pouring quinoa
CELESTE SLOMAN

Gorad is well aware of how unusual his life’s course has been, considering where he started. “I’m a Jewish kid from the Bronx. I’m a nerd,” he says. “Everything in my early life was programmed and planned. I just had a sense that if I left the orderly path, my life wasn’t going to collapse. It would open into something else more exciting. And that is what happened.” 

“I was using business to accomplish a mission,” he adds. “I learned that from Buckminster Fuller, who lectured at MIT: you should do what you do because it’s good for humanity.” 

In Gorad’s apartment, the kitchen and front hall closet are crammed with quinoa from all over the world: jars of pearly grains from Bolivia, packets of small white, red, and black grains, samples of a dark and sticky Canadian strain, almost like sticky rice. “I’ve been making cakes and breads with that,” he says, offering up a slice of a dark brown loaf that is dense and sweet. “I still feel that there’s no other food that’s as good to my body as quinoa.”


Steve Gorad’s Quinoa Corn Chowder

¼ cup quinoa
½ cup potato, cubed
2 Tbs carrot, diced
¼ cup onion, chopped
1 ½ cups corn kernels
2 cups water
2 cups milk
¼ cup parsley, chopped
Salt and black pepper to taste
Butter

Simmer quinoa, potato, carrot, and onion in water until soft (about 20 minutes). Add corn and simmer another 5 minutes. Add milk and bring just back to a boil. Season to taste. Add parsley and a bit of butter just before serving.


Steve Gorad’s Quinoa Corn Bread

2 cups corn meal
1 cup quinoa meal
1 tsp salt
½ tsp baking soda
1 ½ tsp baking powder
1 Tbs honey or brown sugar
1 large egg, beaten
3 Tbs melted butter
2 ½ cups buttermilk

Grind raw quinoa in a blender to make quinoa meal.
Mix wet ingredients together. Mix dry ingredients together. Combine the two. Bake in greased 9” x 9” pan or muffin tin at 425° F for about 25 minutes, or until golden brown.

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Looking back to the start of the pandemic, I am struck by our community’s formidable strength. In March 2020, we did not know what it would take to sustain MIT’s great mission through this crisis. Since then, we have found a way together, and we have made it work. That accomplishment belongs to every member of our community—and thanks to our immense shared effort, MIT is still MIT. We forge ahead with the same passion for the Institute’s mission, the same distinctive practical optimism, the same gaze toward the future. And many members of our community, including our alumni, are actively pursuing research and innovation to better understand the virus and help humanity contain it.

As the United States strives to respond to complex crises from covid-19 to climate change, I believe that the perspective of our community—analytical, hands-on, grounded in facts and science, attuned to complex systems, and undaunted by hard problems—should be very well represented in the national conversation.

One way each of us can help bring that about is through voting. So I am delighted to highlight the ongoing work of MITvote, a student-run, nonpartisan organization focused exclusively on encouraging MIT students to register and vote and to become civically engaged. Thanks to MITvote, from 2014 to 2018, voter turnout among our students more than tripled. And this past fall, MITvote volunteers personally emailed 7,502 MIT students who are US citizens, to help each of them form a voting plan.

MITvote’s results would be impressive on any campus. But I especially admire its success because I have been at MIT long enough to know that sometimes people who are deeply focused on science and engineering feel that politics is not for them. They may believe that it is irrational or even irrelevant, or that one vote cannot make a difference. 

For those who feel that way, I would like to reframe the issue. When we listen to a symphony orchestra, amid all that sound, the addition of any single instrument may be hard to hear. But when the whole brass section starts playing, it changes everything. So I hope that each of us can think of voting in this way:  Not as a “solo” gesture. Not as the act of a single individual that may or may not be noticed. But as a great shared civic act that we all perform together, in concert.

As individuals, we naturally disagree on many questions. But I am convinced that through active civic engagement, including voting at the local, state, and federal levels and extending far beyond that, too, the people of MIT can be profoundly useful to their communities and to society as a whole.

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From the choir rehearsal in Washington to family gatherings in Chicago, numerous covid-19 “superspreading” events have seen one person infect many others. MIT researchers who studied about 60 such events found that they have a much larger impact than expected. 

“Superspreading events are likely more important than most of us had initially realized,” says senior author James Collins, a professor of medical engineering and science. If we can control them, he adds, “we have a much greater chance of getting this pandemic under control.” 

super spreader concept
FRANCESCO CICCOLELLA

For SARS-CoV-2, the “basic reproduction number” is around 3, meaning that on average, each person infected will spread it to about three others. But some don’t spread the disease to anyone, while “superspreaders” can infect dozens. Defining superspreaders as those who passed the virus to more than six others, Collins and postdoc Felix Wong identified 45 superspreading events from the current SARS-CoV-2 pandemic and 15 events from the 2003 SARS-CoV outbreak, all documented in scientific journals. During most of these events, between 10 and 55 people were infected, but two from 2003 involved more than 100 people. 

Given commonly used statistical distributions in which the typical patient infects three others, events in which the disease spreads to dozens of people would be considered very unlikely. A normal distribution would resemble a bell curve with a peak around three and a rapidly tapering tail in both directions, meaning the probability of an extreme event declines exponentially as the number of infections moves farther from the average. 

But by applying mathematical tools often used in the finance and insurance industries to model extreme events, the researchers found that the distribution of coronavirus transmissions has a fat tail rather than a tapering one, implying that even though superspreading events are extreme, they are still likely to occur. 

While many factors may contribute to making someone a superspreader, the researchers focused on how many people an infected person comes into contact with. They created and compared two network models, both with an average of 10 contacts per person. But one had an exponentially declining distribution of contacts, while the other had a fat tail in which some people had many contacts. In that model, many more people became infected through superspreading events. Transmission stopped, however, when people with more than 10 contacts were taken out of the network. 

The findings suggest that capping gatherings at 10 could significantly reduce the number of superspreading events and lower the overall number of infections, the researchers say. —Anne Trafton

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