Pittsburgh weekly roundup: Abridge comments on $2.5B valuation; $80M in Q3 VC; $1M in federal funding flows in

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Abridge calls $2.5B valuation ‘speculation’

Federal funds continue to drive investments in the Pittsburgh region. Over $1 million in grants from the Build Back Better funds and the Department of Energy flowed into the community this last month, primarily for workforce and sustainable developments. 

In other Money Moves news, healthcare startup Abridge is reportedly raising $250 million with a $2.5 billion valuation. This would be a substantial increase from the company’s estimated value of $200 million just last year, but it has yet to confirm or deny these reports. 

Plus, multiple acquisitions, grants for medical research and notable property sales impacted the flow of funds in Pittsburgh. 

➡️ Read about other Money Moves in the region

$80M in Q3 2024 VC, still no startup exits

Robotics and healthcare drove the Pittsburgh region’s 16% growth in venture capital investments last quarter. The two largest raises came from a local biopharmaceutical company in South Oakland and a geospatial software development startup in Bloomfield. 

“I think of Pittsburgh’s venture and entrepreneurship ecosystems as small but mighty,” Seán Sebastian, partner at Birchmere Ventures and Black Tech Nation Ventures, told Technical.ly. “Our region doesn’t yet have the level of investment activity that I think it warrants, but the deals that are getting done are very notable.”

Pittsburgh’s growth contradicts national trends of ongoing struggle in the VC investments market. VC spending fell 32% compared to Q2.  

➡️ Discover what venture capitalists think this will mean for Q4

News Incubator: What else to know

• PA Governor Josh Shapiro and other local leaders discussed the importance of private, public and academic collaborations to establish Pittsburgh as a leading AI hub at the inaugural AI Horizons Summit in Bakery Square. [Technical.ly]

• Pittsburgh Mayor Ed Gainey discussed tech’s role in addressing discrimination at an intersectionality on AI panel for EXPlore: Pittsburgh Tech Week. [Tribune-Review]

• Senior leaders from the US Department of Energy and the PA Department of Environmental Protection met at the Energy Innovation Center to provide an update on industrial decarbonization in the region. [Clean Air Task Force]

• PA Governor Josh Shapiro proposes a tax credit to lower electricity costs for semiconductor manufacturers, aiming to attract more investment and jobs to Pennsylvania. [Spotlight PA]

• The Appalachian Regional Commission announced $18.5 million in awards for Pennsylvania organizations. Local recipients include workforce development organization Catalyst Connection and nonprofit Pittsburgh Robotics Network. [Pittsburgh Business Times]

• Paint manufacturing company PPG is set to sell its architectural coatings business for $550 million and implement a cost reduction program that will impact 1,800 positions across the US and Europe. [WPXI]

• A proposed $740 million Ohio River Esplanade redevelopment project is being reviewed by the Pittsburgh Planning Commission. The project could include an office tower for medical and tech companies. [WESA]

• Universal Stainless & Alloy Products Inc., one of the biggest manufacturers in the Pittsburgh region, will be acquired by European company Aperam for $45 per share. [Universal Stainless]

Party with 4,000 robotics fans

Pittsburgh Robotics Discovery Day is back. The free and open event takes over the David L. Lawrence Convention Center on Wednesday, Nov. 20, with experts giving demonstrations and community members sharing knowledge on how to get involved.

Whether you’re a business leader looking to innovate, a tech enthusiast exploring the latest trends, a job seeker searching for emerging career opportunities or just curious about how robotics and AI are reshaping our world — this event has something for everyone. Be part of the action, engage with industry influencers, and witness firsthand the power of robotics and advanced technology in the heart of western PA.

➡️ Register now to save your spot

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On the Calendar

• Celebrate innovation and sustainability on Oct. 18 at the Energy Innovation Center with host Ecotone Renewables, a public benefit corporation focused on food sustainability. [Learn more]

• Explore how AI is revolutionizing product development across different industries at a panel discussion at the Swartz Center for Entrepreneurship on Oct. 22. [Register now]

• Partner Event: Longtime local startup advisor and coach Max Polec is out with a new book called “Many, Many Hats: The CEO Strategy’s Guide to Startups.” Join him on Wednesday, Oct. 23, at InnovatePGH, where he’ll share takeaways during a free fireside chat. [Register here] 

• Partner event: Get up to speed on the Attorney General candidates at an Oct. 23 forum hosted by Spotlight PA. The event will feature local journalists quizzing the three frontrunners on the issues. [Learn more]

• Solve unique real-world problems, compete for prizes and connect with experts at the premier biotechnology and life science competition held at Bakery Square and hosted by Nucleate Pittsburgh from Oct. 25 to 27. [Get tickets]