Steve Jobs' son enters the venture capital field, raising $200 million to fight cancer

When Reed Jobs was 12 years old, his father, Steve Jobs, the founder of Apple, received a heartbreaking diagnosis: pancreatic cancer. Eight years later, Steve Jobs passed away at the age of 56.

This tragedy prompted Reed to become an investor, funding companies that develop cancer treatments. Currently, in the United States alone, more than 600,000 people die from cancer every year.

Jobs told Forbes, "We believe that cancer will transform from a 'death sentence' into a chronic disease that can be lived with and controlled over the long term. I'm confident that within my lifetime, most cancers will achieve this transformation."

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Reed Jobs first ventured into healthcare investments at the Emerson Collective, an impact investment and philanthropy organization founded by his mother, Laurene Powell Jobs. Forbes estimates her net worth at $13.5 billion.

Then, in 2023, he struck out on his own and founded Yosemite, named after Yosemite National Park, where his parents got married. The first - phase fund raised $263 million. Currently, Yosemite has invested in about 20 companies, including gene - therapy company Tune Therapeutics and AI drug - development startup Chai Discovery.

Yosemite recently announced that it has raised over $200 million for its second - phase fund, with a total target size of $350 million. Investors include several heavyweight institutions and individuals, such as biotech giant Amgen, Memorial Sloan Kettering Cancer Center, the Massachusetts Institute of Technology (MIT), and venture capitalist John Doerr. Laurene Powell Jobs invested in the fund through Emerson, and Reed Jobs also contributed as a general partner.

Yosemite's focus spans various types of cancer, from colon cancer, which can usually be detected early and cured, to pancreatic cancer, which is still largely considered a "death sentence." Jobs is widely investing in companies that can offer various solutions. He said, "Cancer is highly heterogeneous. Some cancers with low mutation rates but high aggressiveness may still pose significant challenges in 10 years. However, we believe that for the vast majority of cancers, earlier detection, more precise targeted therapies, and continuous monitoring will continuously drive down the cancer mortality rate."

Yosemite manages over $1 billion in assets, including funds managed on behalf of endowments, hospitals, and foundations. Compared to the giants in the venture - capital industry, it is still a small player. However, in the healthcare field, especially in oncology, which has a long return cycle and highly complex technology, the company has rapidly grown into a force to be reckoned with. Of course, given the company founder's surname, Yosemite also has some inherent influence.

John McHutchison, CEO of Tune Therapeutics, said, "I think Reed's motivation is very different from that of most ordinary venture capitalists. He wants to achieve great things and create social value." The company is developing a treatment for hepatitis B, which affects over 250 million people worldwide and is a major cause of liver cancer. Tune recently raised $175 million, and Jobs was involved in promoting the company's development as early as his time at Emerson.

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Like many people whose lives have been completely disrupted by cancer, Jobs, now 34 years old, has never been able to forget about this disease since his father's diagnosis.

As a teenager, he did a summer internship in a cancer laboratory at Stanford University. After enrolling at the university, he initially chose the pre - medical track. However, after his father's death, he needed a break, so he switched to a history major and eventually obtained a master's degree in history, with a research focus on nuclear - weapons strategy.

But the possibility of bringing about change in the field of cancer research and treatment drew him back. At the age of 24, he joined Emerson and led the development of a new healthcare strategy, focusing on oncology, covering both investment and philanthropy. His goal is to cross the so - called "valley of death" - the gap between when scientists make research discoveries and when investors see enough clinical data and are willing to invest in breakthrough results.

Although Yosemite is a venture - capital firm, it is different. Jobs provides funding to researchers without strings attached, so when researchers are ready to raise funds to commercialize their technologies, Yosemite has an advantage. In addition, Jobs believes that in the context of the federal government's reduction of scientific - research funding, the combined model of funding and investment is particularly important.

"Currently, scientific research in the United States is in a difficult situation. We must step forward, for our researchers and for the development of American science. People like us have a greater responsibility than ever to take action," Jobs said. "We feel an unprecedented sense of urgency."

Azalea Therapeutics received this kind of early - stage scientific - research funding.

The company originated from the laboratory of Nobel laureate Jennifer Doudna at the University of California, Berkeley. It focuses on gene therapy, which can directly transform cells in the human body without extracting the patient's cells, known as "in vivo" therapy.

"The uniqueness of Yosemite lies in its connection with academic laboratories," said Jenny Hamilton, co - founder and CEO of Azalea. "In the early stage, they foresaw that if this high - risk research succeeded, it would have transformative value." In November last year, Azalea completed a total financing of $82 million and officially launched. Yosemite was a key investor, and Jobs is currently an observer on the company's board.

Another representative investment is Chai Discovery, a popular startup founded in 2024. It uses AI to design proteins for new - drug development. The company's model is being used to tackle cancers and difficult - to - treat diseases that are considered "undruggable" or hard to treat with traditional methods. In December, the company, led by General Catalyst, raised $130 million at a valuation of $1.3 billion. In January this year, it announced a new - drug development partnership with Eli Lilly. "I think Chai Discovery will be one of the most important companies in this decade," Jobs commented.

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These companies also reflect the significant progress in cancer diagnosis and treatment technologies over the past 15 years.

Merck's star drug, Keytruda, is an early immunotherapy drug used to treat various diseases such as lung cancer and melanoma, with annual sales of up to $30 billion. Later, cutting - edge therapies such as CAR - T cell therapy emerged. As a personalized immunotherapy, it can train the body's own immune cells to recognize and kill cancer cells. Now, immunotherapy and new gene therapies have opened up a vast field, providing development opportunities for new companies based on cutting - edge scientific research breakthroughs. "The R & D cycles of these technologies are very long, but they are all achieving results simultaneously," Jobs said.

Rachna Khosla, senior vice - president of business development at Amgen, told Forbes in an email that Amgen's investment in Yosemite's new fund - its first investment in the company - is a "perfect match" because both companies are committed to fighting cancer. She added, "Their hybrid model can provide support at the earliest and most vulnerable stage of scientific research breakthroughs."

Jobs plans to use the new fund to invest in about 25 companies. Although he has not revealed the specific targets, he said that the company is "launching multiple incubation projects," including the field of radiopharmaceuticals - these targeted radiopharmaceuticals are becoming key tools in the fight against cancer. He also believes that two types of companies that make good use of AI have great potential: one is in drug development (such as Chai), and the other is dedicated to improving the operational efficiency of the healthcare system (such as Sage Care, which is building an "air traffic control system" in the medical field).

Gene therapy is a field that the company pays special attention to. "We believe that we are currently in the spring of gene therapy," Jobs said, citing various therapies represented by Tune and Azalea. "We think that the relevant companies now in the clinical - trial stage will be the pioneers of a new generation of therapies."

Finally, Jobs believes that cancer vaccines have "immeasurable potential." These vaccines can not only prevent cancer but also help those who are already sick activate their immune systems. "This is another way to fight cancer at the root. I think we have not fully explored its value," he said. "The reduction of research funding for multiple mRNA - related projects has also affected the development of cancer vaccines. I don't understand why we should cut investment in this field."

This article is from the WeChat official account "Forbes" (ID: forbes_china), author: Forbes. Republished by 36Kr with permission.