This news comes amid wider investor pullback from businesses and organizations focused on some element of diversity, equity and inclusion. Black founders are seeing a dip in funding, while tech organizations like Girls in Tech and Women Who Code have had to shutter. The venture fundraising market has been tough for many firms and founders, especially emerging fund managers, Bloomberg reported. Unless one is already a big, splashy name — or raising in AI — the stakes to get money from investors and LPs have become much, much higher.

“We’re going to start seeing more stories like this as the market continues to consolidate,” the former employee said.