Playbook PM: NEW: Camp David guest list

Presented by UnitedHealth Group: POLITICO's must-read briefing on what's driving the afternoon in Washington
May 15, 2020 View in browser
 
POLITICO Playbook PM

By Anna Palmer, Jake Sherman, Eli Okun and Garrett Ross

Presented by

NEW … PRESIDENT DONALD TRUMP is going to Camp David this weekend. Here's who is going with him: House Minority Leader KEVIN MCCARTHY, White House chief of staff MARK MEADOWS and GOP Reps. DAN CRENSHAW (Texas), MATT GAETZ (Fla.), DEVIN NUNES (Calif.), JIM JORDAN (Ohio), ELISE STEFANIK (N.Y.) and LEE ZELDIN (N.Y.).

WELL, THE HOUSE IS BACK, and the vast majority of lawmakers showed up for the votes today, which will stretch into the evening. Speaker NANCY PELOSI needs somewhere in the neighborhood of 204 votes to pass a bill if the numbers stay steady, which we expect they will. FOURTEEN House Dems voted against a procedural motion, which is, at times, a good proxy for the no votes on the final bill. (Voting against leadership on a procedural motion is quite the statement.) PELOSI has a 17-vote margin here. It's going to be relatively close.

-- WE TOLD YOU THIS MORNING to watch out for the TRUMP-district Democrats. Reps. ABIGAIL SPANBERGER from the Richmond area and JOE CUNNINGHAM from Charleston, S.C., will both be noes on the HEROES Act -- the $3 TRILLION spending package. So will progressive leader Rep. PRAMILA JAYAPAL from Seattle. The bill is getting squeezed by both sides, but our sources still believe it will pass. More from Heather Caygle, Sarah Ferris and John Bresnahan

MOST LAWMAKERS are wearing masks in the Capitol, but there are still clutches of Republicans who are not wearing facial coverings. A group of GOP lawmakers were standing feet from each other on the floor without masks.

BERNIE'S BACK! -- "Sanders rekindles Democrats' health coverage feud before key House vote," by Alice Miranda Ollstein: "Vermont Sen. Bernie Sanders reignited Democrats' feud over health care coverage Friday, the day of a House vote on a $3 trillion coronavirus relief bill, by criticizing the plan as a 'massive giveaway' to the health industry and proposing a pandemic-specific version of 'Medicare for All.'"

GOP OUT ON A LIMB … NYT'S CARL HULSE: "With Go-Slow Approach, Republicans Risk Political Blowback on Pandemic Aid": "[T]heir resistance — born of spending fatigue and policy divisions — is proving increasingly unsustainable, given tens of millions of anxious Americans out of work, businesses and schools shuttered and an election looming. … [T]he parties remain in their corners shouting, but Democrats believe the clamor will ultimately cause Republicans to relent." NYT

NEW -- New York, New Jersey, Connecticut and Delaware will open their beaches for Memorial Day. They will be limited to 50% occupancy.

Happy Friday afternoon.

TALKER -- "What 74 former Biden staffers think about Tara Reade's allegations," by PBS NewsHour's Daniel Bush and Lisa Desjardins: "None of the people interviewed said that they had experienced sexual harassment, assault or misconduct by Biden. All said they never heard any rumors or allegations of Biden engaging in sexual misconduct, until the recent assault allegation made by Tara Reade. Former staffers said they believed Reade should be heard, and acknowledged that their experiences do not disprove her accusation. …

"The interviews revealed previously unreported details about the Biden office when Reade worked there, such as an account that she lost her job because of her poor performance, not as retaliation for lodging complaints about sexual harassment, as Reade has said.

"Other recollections from former staffers corroborated things she has described publicly, such as Biden's use of the Senate gym and a supervisor admonishing her for dressing inappropriately. Overall, the people who spoke to the NewsHour described largely positive and gratifying experiences working for Biden, painting a portrait of someone who was ahead of his time in empowering women in the workplace." PBS NewsHour

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The United Health Foundation is collaborating with the AARP Foundation to provide meals and social connection support to more than one million seniors impacted by COVID-19. Learn more.

 

LATEST ECONOMIC NUMBERS -- "Retail sales plunge a record 16.4% in April, far worse than predicted," by CNBC's Jeff Cox: "Economists surveyed by Dow Jones expected the advanced retail sales number to fall 12.3% after March's reported 8.3% dive already had set a record for data going back to 1992. …

"Clothing stores took the biggest hit with a 78.8% tumble. Other big losers were electronics and appliances (-60.6%), furniture and home furnishing (-58.7%) sporting goods (-38%), and bars and restaurants (-29.5%). Nonstore retailers rose 8.4%. … The retail industry, particularly brick and mortar stores, already had been in a state of peril, and the coronavirus measures have only added to the misery."

HUNT FOR A VACCINE -- "NIH director: Large-scale vaccine testing expected by July," by AP's Lauran Neergaard … "New Coronavirus Vaccine Czar Says Finding One by January Is a 'Credible' Goal," by NYT's Maggie Haberman and Noah Weiland

NEW RESEARCH -- "Scientists Are Working On 'Antibody Cocktails' To Treat The Coronavirus," by HuffPost's Julia Ries: "This therapy is thought to provide temporary immunity for at least a couple of months and treat those who are infected and experiencing symptoms. Scientists study plasma from recovered patients to identify which types of antibodies work best against the coronavirus. Then, they're mass-produced in a lab and those winning antibodies are packed into an injectable treatment.

"The pharmaceutical company Regeneron is currently leading the fight, having announced it expects to have an antibody cocktail widely available by late summer. New York's Mount Sinai Health System also recently revealed it has teamed up with the drug-maker Sorrento to create a cocktail that could protect someone against the coronavirus for up to two months." HuffPost

A HYDROXYCHLOROQUINE MANUFACTURER -- "A Drug Company Wagers the U.S. Won't Dare Charge It With Crimes: Teva, the world's largest maker of generic drugs, recently pulled out of settlement talks with the Justice Department," by NYT's Katie Benner, David Enrich and Katie Thomas

THE REOPENING QUESTION -- "States are letting stay-at-home orders expire, regardless of virus metrics," by Nolan McCaskill: "Stay-at-home orders or business restrictions are set to expire between Friday and Monday … in a dozen states, at the same time that other states surpass the two-week point since reopening, marking a critical checkpoint in the nation's recovery. …

"[W]hile just two states, Kentucky and North Dakota, have met the health criteria for reopening society that have been recommended by the White House, the majority of state leaders have now signaled they are ready to begin lifting restrictions. … One of the outliers: Washington, D.C., and its suburbs." POLITICO

DON'T LET A CRISIS GO TO WASTE ... NYT'S ERICA GREEN: "Education Secretary Betsy DeVos is using the $2 trillion coronavirus stabilization law to throw a lifeline to education sectors she has long championed, directing millions of federal dollars intended primarily for public schools and colleges to private and religious schools. …

"The Wright Graduate University for the Realization of Human Potential, a private college in Wisconsin that has a website debunking claims that it is a cult, received about $495,000." NYT

 

OUR NEIGHBORS NEED HELP: Another 3.2 million Americans filed for unemployment last week. Our neighbors need our help now more than ever. From grab-and-go dinners for kids to boxes of groceries for seniors, you can help provide critical support for people in the greater DMV community who need it most. No one should go hungry during this pandemic. Together, we can make sure no one has to. Please support the Capital Area Food Bank's Covid-19 response today.

 
 

WHO'S ON FIRST -- "Caught in Trump-China feud, WHO's leader is under siege," by Reuters' Kate Kelland and Stephanie Nebehay: "Interviews with WHO insiders and diplomats reveal that the U.S. offensive has shaken Tedros [Adhanom Ghebreyesus] at an already difficult time for the agency as it seeks to coordinate a global response to the pandemic. …

"Tedros knew there was a risk of upsetting China's political rivals with his visit and his public show of support … But the agency chief saw a greater risk - in global health terms - of losing Beijing's cooperation as the new coronavirus spread beyond its borders … Two Western diplomats said the U.S. funding suspension is more harmful politically to the WHO than to the agency's current programmes, which are funded for now. But they also voiced concern that the freeze could have long-term impact." Reuters

TRICKLE-DOWN EFFECTS -- "Hospitals Knew How to Make Money. Then Coronavirus Happened," by NYT's Sarah Kliff: "The disruption to hospital operations may ultimately leave Americans with less access to medical care, according to financial analysts, health economists and policy experts. Struggling hospitals may close or shut down unprofitable departments. Some may decide to merge with nearby competitors or sell to larger hospital chains. …

"The decline affects large, elite hospital systems like Mayo Clinic and Johns Hopkins — which estimates a loss of nearly $300 million into next year and has adopted cost reductions — as well as suburban hospitals and small rural facilities that were already financially stressed." NYT

TOUGH EDITORIAL from top British medical journal THE LANCET: "The Administration is obsessed with magic bullets—vaccines, new medicines, or a hope that the virus will simply disappear. But only a steadfast reliance on basic public health principles, like test, trace, and isolate, will see the emergency brought to an end, and this requires an effective national public health agency. …

"The Trump administration's further erosion of the CDC will harm global cooperation in science and public health, as it is trying to do by defunding WHO. A strong CDC is needed to respond to public health threats, both domestic and international, and to help prevent the next inevitable pandemic. Americans must put a president in the White House come January, 2021, who will understand that public health should not be guided by partisan politics."

IMMIGRATION FILES -- "Trump administration weighs suspending program for foreign students, prompting backlash from business, tech: The Trump administration may suspend OPT, a program for foreign students to stay in the U.S. to get 1 or 2 years of occupational training after their educations," by NBC's Julia Ainsley and Laura Strickler

HUAWEI OR THE HIGHWAY -- "U.S. Moves to Cut Off Chip Supplies to Huawei," by WSJ's Katy Stech Ferek: "The restriction stops foreign semiconductor manufacturers whose operations use U.S. software and technology from shipping products to Huawei without getting a license from U.S. officials first.

"That new license authority could give the Commerce Department the ability to block the sale of semiconductors manufactured by Taiwan Semiconductor Manufacturing Co., for Huawei's HiSilicon unit, which designs chips for the company. Commerce officials have worked on the new restriction for months." WSJ

 

POLITICO Magazine Justice Reform: The Decarceration Issue, presented by Verizon: Over the past decade, the longstanding challenge of criminal-justice reform has emerged into the spotlight with a new twist: Both Republicans and Democrats are onboard. But if both parties want to lower the incarceration rate, why are our jail and prison populations still so high? The latest series from POLITICO Magazine works to answer this important question and take a deeper look into what it will take to make progress in the policy and politics of justice reform. READ THE FULL ISSUE.

 
 

TROUBLE ON THE LEFT -- "Bernie world descends into disarray," by Holly Otterbein: "Thousands of [Bernie Sanders'] former volunteers publicly warned him that their organizing networks are on the verge of falling apart since he dropped out of the presidential race five weeks ago. Ex-aides fear that the precious data they collected on his supporters, which could be used to elect progressive candidates and oust President Donald Trump, is going to waste.

"Even Our Revolution, the group started by Sanders in 2016, lacks access to his new email list that made him the best Democratic fundraiser this year. Many of Sanders' allies were demoralized by what they saw as Our Revolution failing to live up to its potential after his first presidential run. Now, in the wake of a second unsuccessful campaign, some fear they're witnessing a repeat of the 2016 wreck unfold in real time." POLITICO

-- WSJ: "Progressive Democrats Frustrated After Setbacks in Congress, Primaries," by Natalie Andrews and Eliza Collins: "Mr. Sanders, however, said those feeling demoralized need to 'take a deep breath.' He said polls that show progressive ideas growing more popular are a sign of success." WSJ

AD WARS -- "Political ads expected to explode, even as economy tanks," by Zach Montellaro: "A new, joint report from the ad tracking firm Advertising Analytics and analytics company Cross Screen Media projects that the total ad spending on the 2020 election cycle will reach $6.7 billion, up 12 percent over their initial $6 billion projection for the cycle. …

"The bump is due partially to a record level of primary spending, but the coronavirus is also expected to help boost that total … Traditional media is still expected to rule the day, even as campaigns increasingly turn their attention online. … But digital advertising is also experiencing significant growth." POLITICO The report

BATTLE FOR THE SENATE -- COOK POLITICAL REPORT moves Sen. DAVID PERDUE'S Georgia seat from Likely Republican to Lean Republican, via Jessica Taylor

VALLEY TALK -- "Facebook to buy Giphy for $400 million," by Axios' Dan Primack, Kia Kokalitcheva and Sara Fischer

PLAYBOOK METRO SECTION -- "Amid the pandemic, love finds a way as the D.C. court begins virtual weddings," by WaPo's Keith Alexander: "After a nearly two-month suspension, marriages by the court resumed earlier this month. But like many celebrations since covid-19, they are occurring virtually. Before they began the service, Magistrate Judge Raquel Trabal, officiating through her computer from her home, asked guests to hit their mute buttons. …

"According to the court, it seems the stay-at-home order has fueled an increased desire for wedded bliss. From March 18 through May 7, the court's website received 1,225 petitions. During those same months last year, just 1,014 applications were filed." WaPo

CORRECTION DU JOUR -- NYT: "An earlier version of this article inaccurately rendered a quote attributed to Yannick de Jager. He said the North Sea is 'a fickle bitch,' not 'a thicker beach.'" (h/t Dan Bilefsky)

MEDIAWATCH -- "Vice Media Laying Off 155 Employees," by The Hollywood Reporter's Jeremy Barr: "[CEO Nancy] Dubuc said that 55 staffers will be cut on Friday in the U.S. and that 'approximately' 100 staffers will be cut abroad 'over the coming weeks.'" THRPoynter's full list of newsroom pandemic cuts

-- Chris Livesay is joining CBS News as a foreign correspondent in Rome. He previously has reported from Italy and around the world for PBS, NPR and other outlets.

WELCOME TO THE WORLD -- Jade Floyd, VP of comms at the Case Foundation, and Charles Small, federal affairs manager for the city of Los Angeles and Mayor Eric Garcetti, welcomed Jasper Elliott Teagan Small on April 12. Pic

 

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Extra Crunch Friday: 7 top mobility VCs discuss COVID-19 strategies and trends

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Friday, May 15, 2020 By Walter Thompson

7 top mobility VCs discuss COVID-19 strategies and trends

7 top mobility VCs discuss COVID-19 strategies and trends image

Image Credits: MIGUEL MEDINA / Getty Images

Few people are using electric scooters or shared trips to commute these days, but investors are not pumping the brakes on mobility investments.

Sales of e-bikes are up, on-demand delivery is hotter than ever and given the option, many hungry consumers would rather accept a pizza delivery from a robot than a human being in the COVID-19 era.

We spoke to seven investors to find out what advice they’re offering companies in their portfolios, whether the pandemic has changed their investment strategy and which specific areas are ripe for innovation:

  • Ernestine Fu, Alsop Louie Partners
  • Kate Schox, Trucks VC
  • Jeff Peters, Autotech Ventures
  • Shahin Farshchi, Lux Capital
  • Stonly Baptiste & Shaun Abrahamson, Urban.us
  • Rob Coneybeer, Shasta Ventures

Thanks for reading — have a great weekend!

 

Walter Thompson
Senior Editor, TechCrunch
@yourprotagonist

Read more

Big VCs stacked billions in Q1 while smaller firms saw their haul shrink

Big VCs stacked billions in Q1 while smaller firms saw their haul shrink image

Image Credits: MirageC / Getty Images (Image has been modified)

“Q2 2020 is the least-certain quarter I’ve ever covered,” writes Alex Wilhelm in today’s column.

To learn more about the surge in dry powder that VCs are sitting on, he analyzed a report from Prequin and First Republic Bank which shows “big funds raised lots of cash, while smaller funds appear to have put in a somewhat lackluster quarter.”

Read more

Buy a gift Extra Crunch membership for $99/year

Sponsored by TechCrunch

If you know any startup teams, entrepreneurs, investors or business school students, add this to your shopping list.

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Are stable SaaS valuations driven by logic, or hope?

Are stable SaaS valuations driven by logic, or hope? image

Image Credits: Saul Gravy / Getty Images

After SaaS stocks reached record highs last week, Alex Wilhelm reached out to three experts to ask what’s fueling such strong valuations:

  • Mary D'Onofrio, investor, Bessemer Venture Partners
  • Astasia Myers, investor, Redpoint Ventures
  • Anshu Sharma, co-founder/CEO, Skyflow

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Forerunner Ventures' Kirsten Green demystifies the COVID-19 consumer era

Forerunner Ventures' Kirsten Green demystifies the COVID-19 consumer era image

Image Credits: Steve Jennings / Getty Images

In an Extra Crunch Live session this week, seasoned D2C investor Kirsten Green (Glossier, Bonobos, Hims) spoke about how the pandemic is changing consumer (and investor) decision-making, but she also expressed a fair amount of optimism about the future:

“I think the biggest opportunity for companies right now in many ways is to create value by demonstrating their flexibility.”

Read more

A Grubhub-Uber tieup would remake the food delivery landscape

A Grubhub-Uber tieup would remake the food delivery landscape image

Image Credits: Malte Mueller / Getty Images

By making an offer for Grubhub, Uber has turned the food-delivery industry into an eating contest.

The combined company would have the largest slice of the U.S. market, so Alex Wilhelm carefully deconstructed the costs associated with proposed deal in terms of cost and examines “how this acquisition could give Uber's bottom line a shot in the arm.”

Read more

Adding three more companies to the $100M ARR club

Adding three more companies to the $100M ARR club image

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Alex Wilhelm has been tracking growth-oriented, private companies that reached $100 million in ARR for since he started his daily Extra Crunch column. With the IPO window largely closed, the $100M ARR club is, in some ways, a waiting room for companies poised to go public.

This week’s inductees: ON24, Recorded Future and ActiveCampaign.

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Extra Crunch Live: Join Alexia and Niko Bonatsos for a Q&A May 19th at 2 pm ET/11 am PT

Extra Crunch Live: Join Alexia and Niko Bonatsos for a Q&A May 19th at 2 pm ET/11 am PT image

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Former TechCrunch co-editor Alexia Bonatsos — now the founder of Dream Machine VC — joins Extra Crunch Live next week with Niko Bonatsos, managing director of General Catalyst, and also her partner.

Moderator Alex Wilhelm says he plans to “cover the basics quickly” before shifting the conversation to the future. If you’d like to ask questions during the chat, buy a trial Extra Crunch membership and secure your spot.

Read more

Why is Eugene Kaspersky funding a travel accelerator during COVID-19?

Why is Eugene Kaspersky funding a travel accelerator during COVID-19? image

Spinning up an accelerator to promote travel startups focused on Russia might seem like a strange choice when much of the world is sticking close to home, but security expert Eugene Kaspersky sees things differently.

“I think now is the time to… turn life's lemons into lemonade by using this self-isolation period for personal development and improvement of business projects,” he told TechCrunch.

Read more

Shopify accelerates as e-commerce booms during the pandemic

Shopify accelerates as e-commerce booms during the pandemic image

Image Credits: RichVintage / Getty Images

Cloud vendors are holding up well despite widespread uncertainty in public markets, but Shopify is performing very strongly, partially because so many consumers have turned from brick-and-mortar stores to digital shopping.

To unpack the numbers, enterprise reporter Ron Miller and Senior Editor Alex Wilhelm looked at the company’s last few quarters and rewound the clock back to Shopify’s pre-IPO days.

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Startups are transforming global trade in the COVID-19 era

Startups are transforming global trade in the COVID-19 era image

Image Credits: Bloomberg / Getty Images

Before the pandemic, logistics startups were helping companies in different industries manage their needs for materials and transportation. But since global trade has been disrupted, these historically analog companies are turning to these digital platforms to manage volatility and information.

Now, the disruptors have become the first defense against, well, disruption.

Read more

Why we're doubling down on cloud investments right now

Why we're doubling down on cloud investments right now image

Image Credits: Andrew Bret Wallis / Getty Images

Three team members at Bessemer Venture Partners are bullish about the future of cloud companies during the COVID-19 pandemic. The global economic slowdown will touch every company, but as the BVP Nasdaq Emerging Cloud Index shows, this is a very resilient industry.

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These best practices maximize the value of your online events

These best practices maximize the value of your online events image

Image Credits: Alistair Berg / Getty Images

Moving a real-world event online is more than just setting up a webcam and sharing a Zoom link — to create value for attendees, your event must be technologically sound, mentally stimulating — and crafted specifically for virtual audiences.

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Building and investing in the 'human needs economy'

Building and investing in the 'human needs economy' image

Image Credits: Guido Mieth / Getty Images

Heather Hartnett, general partner and CEO of early-stage venture fund and startup studio Human Ventures, shared her firm’s thesis on health and wellness with Extra Crunch.

Human Ventures has identified ten areas that will address what they describe as “the wellness deficit — the sum of human needs that have gone unmet in the areas of health and wellness.”

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Decrypted: Contact-tracing privacy, Zoom buys Keybase, Microsoft eyes CyberX

Decrypted: Contact-tracing privacy, Zoom buys Keybase, Microsoft eyes CyberX image

Image Credits: Treedeo / Getty Images

In this week’s security roundup, Zack Whittaker reports on a human-rights watchdog that claims WeChat is intercepting files sent by foreign users to better train its censorship system in China.

Plus: Europe’s largest hospital is hit by ransomware, Microsoft kicks the tires of an Israeli cybersecurity startup and Zoom acquired Keybase — but the company’s future is unclear.

Read more

Alternative assets are becoming mainstream

Alternative assets are becoming mainstream image

Image Credits: Rex Gray / Flickr under a CC BY 2.0 license.

The return potential on alternative assets like rare whiskey, vintage wine and fine art are compelling, but they’re also harder to manage than boring old stocks or bonds.

This overview written by Vinovest founder Anthony Zhang looks at factors to consider, including liquidity, ROI, custody and portfolio diversification.

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Some investors turn to cutting fully remote checks while sheltering in place

Some investors turn to cutting fully remote checks while sheltering in place image

Image Credits: Bryce Durbin / Bryce Durbin

Investors and founders can’t grab coffee or settle into a quiet conference room to read each other’s body language these days, which is why more investors are getting comfortable cutting checks remotely.

Natasha Mascarenhas followed up with a handful of VCs to talk about how they’re sourcing deals and doing their due diligence — from a safe distance.

Read more

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