004 Gen Z/Alpha trends for investors
Roblox studio consolidation, Discord IPO changes and AI for kids
This newsletter is the by-product of various conversations that Max and I have internally at LFG Holdings as we look at investment opportunities emerging from new Generation Z and Alpha behaviors.
Gen Alpha/Z news and trends for investors
Discord changes its CEO ahead of IPO
Discord, widely considered to be one of the most important gaming community platforms, has changed CEO with founder Jason Citron stepping back and Human Sakhnini (ex-Activision Blizzard Vice Chairman and King Digital Entertainment President) stepping in. [LINK]
A side-hustle doesn’t have to be just digital
Borrow my trainers? How about I rent them to you. Peer-to-peer rentals take off among environment-conscious teens. [LINK]
AI tools are helping Gen Z become better investors
‘What is AI useful for?’ is a question that Ben Evans frequently asks. It certainly lowers the friction (discovery, understanding) for learning. [LINK]
US digital laws for Gen Alpha are currently a mess
The child digital safety agenda is being pulled in five directions at once—some well-meaning, some cynical, and some deeply dangerous. [LINK]
Google is rolling out Gemini AI for kids
On one hand, this is forward thinking and to be applauded (and clearly they’ve learned lessons from YouTube). On the other hand, I mean really? Now? Prepare popcorn. [LINK]
How quiz shows and formats are trying to appeal to Gen Alpha
Trivia and quiz formats are something of a bridge between news and entertainment. Wordle clearly worked. But what’s next? [LINK]
Gen Z is confounding researchers by breaking the long-established happiness curve
Interesting research from Harvard and Baylor University who find that Gen Z well-being is just not doing well. [LINK]
Gen Alpha/Z Datapoints
Piper Sandler’s annual survey on teens and spending LINK
What marketers need to know about Gen Z, according to eMarketer [LINK]
Pew Research’s latest survey on teens, social media and mental health [LINK]
An in-depth academic survey over two years supports the shift in use of social media away from traditional platforms to community-driven environments like Reddit. [LINK]
Deloitte’s 2025 media and entertainment outlook [LINK]
Emily Horgan releases her H2 2024 Netflix Kids Content Performance Report [LINK]
Sector investment and M&A
Two developers of branded worlds and integrations in Roblox are merging: Publicly-listed Super League has acquired private company SuperSocial, backed by Warner Music Group among other investors. As the Roblox space continues to mature, the limits of certain business models start to become clear. This won’t be the last consolidation move we see here. [LINK]
There hasn’t been much (any?) kids fintech investment in the last couple of years. Off the back of investment from Arab National Bank, Cashee launches in Saudi Arabia. [LINK]
| LFG Holdings is a holding company investing in minority, majority and special situations that are fuelled by Generation Alpha and Z behaviors |