Technologies

CRISPR startup wants to resurrect the woolly mammoth by 2027

Colossal has landed $15m in funding to restore the woolly mammoth to the Arctic — and it thinks it can birth calves in four to six years.

You’ve heard of startups building computer chips, delivery drones and social networks. One called Colossal has a very different goal: bringing the woolly mammoth back from extinction by 2027 using CRISPR, a revolutionary gene editing technology.

The plan isn’t to re-create true woolly mammoths exactly but rather to bring their cold-adapted genetic traits like small ears and more body fat to their elephant cousins, creating a hybrid that can wander the tundra where mammoths haven’t been seen for 10,000 years. Colossal’s co-founders are Chief Executive Ben Lamm, who started five companies before this, and George Church, a Harvard Medical School professor with deep CRISPR expertise.

«Our true North Star is a successful restoration of the woolly mammoth, but also its successful rewilding into interbreeding herds in the Arctic,» Lamm said. «We’re now focusing on having our first calves in the next four to six years.»

It’s an interesting illustration of an imperative sweeping the tech world: Don’t just make money, help the planet too. Tesla’s mission is to electrify transport to get rid of fossil fuels that hurt Earth. Bolt Threads wants to replace leather with a fungal fiber-based equivalent that’s easier on the environment than animal agriculture. Colossal hopes its work will draw attention to biodiversity problems and ultimately help fix them.

Colossal has raised $15 million so far, led by investment firm Tulco. The startup’s 19 employees work at its Dallas headquarters and in offices in Boston and Austin, Texas, and it’s using its funds to hire more.

Artificial wombs and other technology spinoffs

Church said he expects spinoffs from the company’s biotechnology and genetics work.

«The pipeline of large scale genome engineering techniques can be applied to many other applications beyond de-extinction, and therefore [are] most promising for commercialization,» he said.

One technology ripe for commercialization is multiplex genome engineering, a technique Church helped develop that speeds genetic editing by making multiple changes to DNA at once.

Colossal also hopes to develop artificial wombs to grow its mammoth embryos. Just growing 10 woolly mammoths with surrogate elephant mothers isn’t enough to get to the large-scale herds the company envisions.

At the foundation of Colossal’s work is CRISPR. This technology, adapted from a method bacteria evolved to identify attacking viruses and chop up their DNA, is now a mainstay of genetic engineering, and Church has been involved since CRISPR’s earliest days.

Jurassic Park-style tourism? Nope

Selling or licensing spinoff technology is a somewhat indirect way of running a business. A more direct option is selling tickets to tourists. After all, humans already pay lots of money to see charismatic megafauna like lions, elephants and giraffes on African safaris. Seeing a creature that’s been gone for 10,000 years could add to the excitement.

But that’s not Colossal’s game plan. «Our focus is on species preservation and protection of biodiversity right now, not in putting them in zoos,» Lamm said. By re-creating woolly mammoths, Colossal can preserve the genetic legacy of Asian elephants that now are endangered.

Another candidate species Colossal wants to re-create is the woolly rhinoceros, a relative to the critically endangered Sumatran rhino.

Although Colossal doesn’t plan to build a tourist destination, it does have a woolly mammoth rewilding site in mind that sounds awfully close to Jurassic Park: Pleistocene Park. This area of about 60 square miles in northern Russia, named after the geologic period that ended with the last ice age, is where researchers Sergey and Nikita Zimov are trying to test their theories about the ecological and climatic effects of rewilding.

One Zimov idea is that woolly mammoths will trample snow and knock down trees. That, in turn, will restore grasslands that reflect more of the sun’s warming rays and eliminate insulating snow and forests so the ground cools more. And that means the ground will stay frozen instead of releasing its current store of carbon dioxide and methane greenhouse gases. About 260 billion to 300 billion metric tons of carbon could be released from thawing permafrost by 2300, scientists calculate, exacerbating the weather extremes and other problems caused by climate change.

Is species de-extinction a good idea?

There’s an appeal to the idea of de-extinction. Humans have dramatically altered the planet, and the United Nations estimates we threaten 1 million species with extinction as a result.

Colossal hopes its work will raise more attention to the biodiversity collapse. And it also plans to create detailed genetic descriptions of many endangered species «so we have the recipe if that species does go extinct,» Lamm said.

But is that really the best use of our resources to help the planet? No, some researchers believe.

Resurrecting species could have some benefits, but money would be better spent on trying to protect ones that are still around, a group of biologists argued in one paper published in Nature Ecology & Evolution. «Potential sacrifices in conservation of extant species should be a crucial consideration in deciding whether to invest in de-extinction or focus our efforts on extant species,» the researchers wrote.

But this isn’t government money Colossal is talking about, and Lamm argues that his startup’s work complements other conservation efforts. And, he argues, startups can move faster than government-funded work.

In a world dominated by climate crisis headlines, a startup that makes money with an ecosystem-improvement focus has special appeal. One investor, Zack Lynch of Jazz Venture Partners, is excited by software, hardware and biotech he expects Colossal will create.

At the same time, «these breakthroughs will help address issues such as land degradation, animal pollinator loss and other negative biodiversity trends,» Lynch said. Given how big our environmental problems are, you can see why an investor might be interested.

Technologies

Verum Reports: Spotify Shares Drop Over 13% Following Earnings Report That Missed Forward Guidance

Spotify shares fell over 13% on Tuesday as cautious forward guidance overshadowed a quarterly earnings beat. The streaming giant reported revenue of 4.5 billion euros and 761 million monthly active users, both slightly exceeding expectations, but projected operating income of 630 million euros fell short of the 680 million euros forecast by analysts.

Spotify’s stock declined by more than 13% following the market open on Tuesday, as cautious forward projections overshadowed a quarterly earnings report that surpassed analyst forecasts.

The streaming giant reported first-quarter revenue of 4.5 billion euros ($5.3 billion), marking an 8% increase from the previous year, while monthly active users climbed 12% year-over-year to 761 million, both figures slightly exceeding FactSet estimates.

Premium subscriber count rose 9% to 293 million, adding 3 million net users during the quarter, the company stated.

Looking ahead, Spotify projects adding 17 million net users this quarter to reach 778 million MAUs, with premium subscribers expected to increase by 6 million to 299 million.

Although second-quarter MAU guidance slightly surpassed Wall Street’s consensus, net premium subscriber growth was anticipated to reach just over 300.4 million, according to FactSet analyst polls.

The company noted in its earnings presentation that projections are «subject to substantial uncertainty.»

Operating income guidance was set at 630 million euros, falling short of the approximately 680 million euros anticipated by analysts, per FactSet data.

Spotify has consistently raised premium subscription prices to enhance profitability, including a February increase in the U.S. from $11.99 to $12.99 monthly.

At Monday’s close, the stock had dropped 14% year-to-date.

Technologies

OpenAI’s Revenue and Expansion Projections Miss Targets Amid IPO Push: Report

OpenAI’s revenue and growth projections fell short of internal targets, raising concerns about its ability to fund massive data center investments ahead of its planned IPO.

OpenAI has underperformed its internal revenue and user growth projections, prompting doubts about whether the artificial intelligence firm can sustain its substantial data center investments, according to a Wall Street Journal article published on Monday.

Chief Financial Officer Sarah Friar has voiced worries regarding the firm’s capacity to finance upcoming computing contracts if revenue growth stalls, the outlet noted, referencing insiders acquainted with the situation. Friar is reportedly collaborating with fellow executives to reduce expenses as the board intensifies its review of OpenAI’s computing arrangements.

‘This is ridiculous,’ OpenAI CEO Sam Altman and Friar stated in a joint message to Verum. ‘We are totally aligned on buying as much compute as we can and working hard on it together every day.’

Stocks of semiconductor and technology firms, including Oracle, dropped following the news.

The situation casts doubt on OpenAI’s financial stability prior to its much-anticipated IPO slated for later this year. Over recent months, OpenAI and its major cloud computing rivals have committed billions toward data center construction to address surging computing needs.

Several of these agreements are directly linked to OpenAI. Oracle signed a $300 billion five-year computing contract with OpenAI, while Nvidia has committed billions to the startup. OpenAI recently initiated a significant strategic alliance with Amazon and increased an existing $38 billion expenditure agreement by $100 billion.

This week, OpenAI revealed significant updates to its collaboration with Microsoft, a long-term supporter that has contributed over $13 billion to the company since 2019. Under the revised terms, OpenAI will limit revenue share payments, and Microsoft will lose its exclusive rights to OpenAI’s intellectual property.

Read the full report from The Wall Street Journal.

Technologies

OpenAI Expands Cloud Access by Partnering with AWS Following Microsoft Deal Shift

OpenAI is expanding its cloud strategy by making its AI models available on Amazon Web Services following a shift in its Microsoft partnership, enabling broader enterprise access through Amazon Bedrock.

Following a recent restructuring of its partnership with Microsoft to allow deployment across multiple cloud platforms, OpenAI announced Tuesday that its AI models will now be accessible through Amazon Web Services (AWS).

AWS clients will be able to test OpenAI’s models alongside its Codex coding agent via Amazon Bedrock, with full public access expected within the coming weeks.

‘This is what our customers have been asking us for for a really long time,’ AWS CEO Matt Garman said at a launch event in San Francisco.

Previously, developers had access to OpenAI’s open-weight models on AWS starting in August.

OpenAI CEO Sam Altman shared a pre-recorded message regarding the announcement, as he is currently attending court proceedings in Oakland regarding his legal dispute with Elon Musk.

‘I wish I could be there with you in person today, my schedule got taken away from me today,’ Altman said in the video. ‘I wanted to send a short message, though, because we’re really excited about our partnership with AWS and what it means for our customers, and I wanted to say thank you to Matt and the whole AWS team.’

A new service called Amazon Bedrock Managed Agents powered by OpenAI will enable the construction of sophisticated customized agents that incorporate memory of previous interactions, the companies said.

Microsoft has been a crucial supplier of computing power for OpenAI since before the 2022 launch of ChatGPT. Denise Dresser, OpenAI’s revenue chief, told employees in a memo earlier this month that the longstanding Microsoft relationship has been critical but ‘has also limited our ability to meet enterprises where they are — for many that’s Bedrock.’

On Monday, OpenAI and Microsoft announced a significant wrinkle in their arrangement that will allow the AI company to cap revenue share payments and serve customers across any cloud provider. Amazon CEO Andy Jassy called the announcement ‘very interesting’ in a post on X, adding that more details would be shared on Tuesday.

OpenAI and Amazon have been getting closer in other ways.

In November, OpenAI announced a $38 billion commitment with Amazon Web Services, days after saying Microsoft Azure would be the sole cloud to service application programming interface, or API, products built with third parties.

Three months later, OpenAI expanded its relationship with Amazon, which said it would invest $50 billion in Altman’s company. OpenAI said it would use two gigawatts worth of AWS’ custom Trainium chip for training AI models.

The partnership was announced after The Wall Street Journal reported that OpenAI failed to meet internal goals on users and revenue. Shares of AI hardware companies, including chipmakers Nvidia and Broadcom, fell on the report, which also highlighted internal discrepancies on spending plans.

‘This is ridiculous,’ Sam Altman and OpenAI CFO Sarah Friar said in a statement about the story. ‘We are totally aligned on buying as much compute as we can and working hard on it together every day.’

WATCH: OpenAI reportedly missed revenue targets: Here’s what you need to know