Texas Tech Boom: Joshua Baer of Capital Factory on Startup Ecosystems
Release Date: 01/15/2025
Francisco Gimenez (8VC) on Spotting Biotech Unicorns Others Miss
Driving Alpha
Francisco Gimenez, Partner at 8VC, shares his unconventional journey from Stanford PhD to venture capital, where he leads investments in Bio-IT and enterprise AI. Known for his technical background and sharp instincts, Francisco has been pivotal in backing startups pushing the boundaries of biotech and healthcare innovation. Here’s a glimpse of what you’ll learn: 00:48 Introduction to Driving Alpha 01:18 Meet Francisco Gimenez: A Journey from Academia to Venture Capital 02:45 Francisco's Early Career and Academic Background 04:02 Joining Formation Eight and Transition to 8VC...
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AI Meets Venture: Ben Orthlieb (Blue Moon) on Outperforming Traditional VCs
Driving Alpha
What if AI could predict which founders will build billion-dollar companies? Ben Orthlieb, co-founder of Blue Moon, is doing just that, using AI and behavioral science to consistently outperform even the top VC firms. With roots at LinkedIn and Emergence, Ben brings a rigorous, founder-first model to seed investing. Here’s a glimpse of what you’ll learn: 00:00 Intro to Driving Alpha 00:41 Meet Ben Orthlieb of Blue Moon 01:20 Why “2.12” wasn’t working—and how “Blue Moon” captures their true identity 02:05 The meaning behind both names—and what they signal to founders ...
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Brice Penaud & Jonathan Taylor of Water Bear Ventures: Investing in Resilience and Founder Grit
Driving Alpha
What if the key to outsized venture returns isn’t just a great idea but the unshakable resilience of the founder behind it? Jonathan Taylor and Brice Penaud of Water Bear Ventures believe grit is the ultimate differentiator, and they’ve built a fund around finding it. Jonathan brings years of experience driving strategic outcomes in venture, while Brice draws on a behavioral science background to decode the mindset of top-tier founders. Here’s a glimpse of what you’ll learn: 00:00 Introduction to Driving Alpha 00:43 Meet the Water Bear Team 02:15 The Origin of Water Bear Ventures...
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From Google to Nava: Manish Patel’s playbook for Series A investing
Driving Alpha
What does it take to turn early traction into scalable momentum? And how do you know if your startup—and your engine—is even built for venture capital? Here’s a glimpse of what you’ll learn: 00:43 Introduction to Driving Alpha Podcast 02:20 Meet Manishh Patel: From Google to Nava Ventures 03:17 Growing Up in Rural Kentucky 05:24 The Journey to Venture Capital 08:17 Founding Nava Ventures 16:22 The Series A Focus 19:57 Building the Flywheel: Operational Infrastructure 20:41 Refining the...
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Eric Engineer of S3 Ventures: VC to CEO to VC—Lessons in Operating and Investing
Driving Alpha
Can deep operational experience shape better venture outcomes? One VC proves it can—drawing from years in the founder seat to back today's most promising startups. Here’s a glimpse of what you’ll learn: 00:43 Introduction to Driving Alpha Podcast 01:05 Eric's Background and Career Journey 03:45 Transition to Venture Capital 06:27 Eric's Role at S3 Ventures 07:19 Investment Philosophy and Market Insights 12:12 Texas Venture Ecosystem 20:18 S3 Ventures' Unique Structure 29:56 Advice for...
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Building billion-dollar hubs beyond Silicon Valley with Aziz Gilani from Mercury
Driving Alpha
Can Middle America become the next innovation powerhouse? Aziz Gilani, General Partner at Mercury, thinks so—and he’s proving it by backing cloud and enterprise software startups across Houston and beyond. With a track record that includes major exits like Black Lotus and Modus, Aziz has helped Mercury’s portfolio reach over $9 billion in enterprise value. Here’s a glimpse of what you’ll learn: 00:43 Introduction to Driving Alpha 00:51 Meet Aziz Gilani: Venture Powerhouse 02:08 Aziz's Journey to Venture Capital 04:20 Houston: A Hub for...
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Venture Cycles and Hard Lessons with Matt McIlwain (Madrona)
Driving Alpha
Matt McIlwain, Managing Director at Madrona, has spent over two decades investing in intelligent applications and driving innovation in AI. With a track record including Smartsheet, Apptio, and Isilon, he brings rare perspective from 25 years in venture capital. Here’s a glimpse of what you’ll learn: 00:43 Introduction to Driving Alpha Podcast 00:57 Guest Introduction: Matt McElwain from Madrona 01:41 Matt's Journey into Venture Capital 03:06 Early Years at Madrona and the Dot-Com Bust 04:45 Madrona's Investment Strategies and Success Stories 06:29 Driving Alpha for Portfolio...
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Investing in Tomorrow: Lisa Chai of Interwoven Ventures on AI and Robotics
Driving Alpha
Lisa Chai, co-founder and general partner at Interwoven Ventures, joins Driving Alpha to discuss how robotics and AI are transforming industrial technology. With a deep background in venture capital and public markets, Lisa shares her insights into the megatrends driving automation, reshoring, and industrial AI. Here’s a glimpse of what you’ll learn: 00:43 Introduction to Driving Alpha Podcast 00:53 Meet Lisa Chai of Interwoven 01:10 Interwoven's Focus and Investment Strategy 02:04 Lisa Chai's Origin Story 06:24 Challenges and Gender Dynamics in Venture...
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Bob Ackerman of AllegisCyber Capital: Cybersecurity Investing and AI Threats
Driving Alpha
Bob Ackerman saw the future of cybersecurity before the market did. As the founder of AllegisCyber Capital, the first venture firm dedicated 100% to cybersecurity, and the co-founder of DataTribe, he’s been at the forefront of investing in cyber defense. With a 20+ year track record, Bob has backed some of the most cutting-edge cybersecurity companies, navigating the intersection of venture capital, AI, and national security. Here’s a glimpse of what you’ll learn: 00:43 Introduction to Driving Alpha 01:00 Meet Bob Ackerman: Cybersecurity Visionary 02:15 The Birth of AllegisCyber ...
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From Law to VC: David Hornik’s Journey to Lobby Capital
Driving Alpha
David Hornik, founding partner at Lobby Capital, has spent over 25 years shaping the venture capital landscape. Formerly a lawyer with degrees from Stanford and Harvard, David transitioned into venture capital, making early bets on companies like Splunk, Build.com, and GitLab. His career is marked by a passion for helping founders, fostering strong industry relationships, and identifying high-potential investments. Here’s a glimpse of what you’ll learn: 00:43 Introduction to Driving Alpha Podcast 01:57 Meet David Hornick: From Law to Venture Capital 03:43 Early Ventures and Key...
info_outlineHow do you turn Texas into a global innovation hub? For Joshua Baer, founder and CEO of Capital Factory, the answer lies in empowering unstoppable founders, fostering a vibrant entrepreneurial community, and leveraging Texas’s unique advantages.
Here’s a glimpse of what you’ll learn:
- 00:43 Introduction to the Driving Alpha Podcast
- 00:54 Meet Josh Baer: Texas Startup Powerhouse
- 01:37 The Impact of Capital Factory
- 03:44 Josh Baer's Entrepreneurial Journey
- 07:07 Early Ventures and Lessons Learned
- 11:06 The Birth of Capital Factory
- 13:58 Investment Strategies and Focus
- 17:22 The Future of Robotics and AI
- 18:02 AI's Impact on Humanoid Robotics
- 18:22 The Inflection Point of GPS in Smartphones
- 19:31 Capital Factory's Open-Door Policy
- 20:21 Texas: A Hub for Startups and VCs
- 21:12 The Path to Becoming a VC in Texas
- 26:46 Government and Dual-Use Technology
- 31:15 The Booming Tech Scene in Texas
- 34:34 Conclusion: Reflections and Future Prospects
In this episode...
On this episode of Driving Alpha, host Steve Brotman explores Joshua’s journey from launching a startup in his dorm room at Carnegie Mellon to building Capital Factory into the most active early-stage investor in Texas. With nearly 1,000 investments, the firm isn’t just funding startups—it’s creating an ecosystem.
Capital Factory focuses on “dual-use” startups that serve both commercial and government markets, with Texas positioned as a leader in AI, robotics, and national security. Companies like Aptronic, a pioneer in humanoid robotics, showcase Texas’s growing role in transformative industries.
“Texas is our nexus,” says Joshua. “It’s where we have a unique advantage—a center of gravity for innovation.”
By combining talent-driven investing with a collaborative model that partners with VCs, Capital Factory is redefining what’s possible in venture capital.