When Brynn Putnam handed over her previous venture, Mirror, to Lululemon for $500 million as the pandemic commenced, it appeared to this editor that she might have offloaded the intelligent fitness entity prematurely.

Instead, the timing was impeccable. The at-home workout phenomenon collapsed almost as swiftly as it surged in the initial year of confinements. Meanwhile, after serving a year as a general manager at Lululemon, Putnam acquired fresh operational insights, scored a significant triumph, and conceived a novel concept that has since evolved into a startup set to debut publicly in 2025.

The investment group Lerer Hippeau has already joined a fiercely contested round for that covert startup — they also led the $3 million seed round for Mirror years earlier — and on Wednesday evening in New York, I conversed with both Lerer Hippeau managing partner Ben Lerer and Putnam about her new project. We also discussed a broader resurgence currently underway in consumer tech, partly spearheaded by entrepreneurs who launched the prior wave of flourishing consumer startups.

Below are highlights from that discussion, edited slightly for brevity. You can view the full interview beneath.

Ben Lerer on committing to that initial funding:

When we backed [Mirror], Brynn had a highly persuasive albeit somewhat rudimentary demo, essentially a sort of two-way mirror with a computer display behind it to illustrate what a mirror might resemble if she managed to secure millions in funding to realize such an invention. Interestingly, she had crafted a unique device exclusive to her [own suite of boutique fitness centers at the time]. Upon seeing it, it was apparent that Brynn was not only a savvy business creator with a successful gym brand but also an innovator. Brynn quickly won us over, and while we might have seemed overambitious for a few years, eventually that perception diminished.

Brynn Putnam on selling Mirror merely four years after its inception:

We weren’t on the market. We weren’t seeking a buyer. We had just officially launched. However, we shared a longstanding collaboration with Lululemon. I had collaborated with them at my gyms for roughly a decade, and we had been heavily engaged with them, crafting content and hosting intriguing events together. It simply felt like the ideal match for us to expedite bringing Mirror into households globally with assurance. We felt it was an opportunity we could not decline.

Regarding whether Lerer provided input on that transaction, he expressed:

I did have a viewpoint on it. The venture world is peculiar due to the power law and the notion that you’re meant to pursue these moonshots, enduring numerous failures but with landmark victories reshaping the globe. I am a believer in the power law, yet I think venture sometimes loses perspective on simple, sound business judgment. There are fundamental business truths, such as: sell when others exhibit greed and buy when others are fearful. You don’t need to revisit the casino perpetually. In this case, when Brynn mentioned, ‘Hey, I’ve got this proposal, I’m contemplating it,’ I endorsed it, saying ‘This is outstanding for you, amazing for us. And if you face resistance from others [like later-stage backers with distinct financial stakes], I can offer assistance, but frankly, you’re much more persuasive and capable than I am to handle this.’ For a couple of years afterward, Brynn likely encountered people questioning the decision, yet now, seeing the complete category trajectory, it’s evident it was a remarkably astute choice.

Putnam reflecting on her role at Lululemon, which later discontinued Mirror:

An investor I respect once advised me that I should be gracious and eager to learn, noting that throughout a company’s journey, you’re selling it. You’re selling it in minor increments or in significant portions, but you’re perpetually selling your company. The best course after opting to sell is absorbing as much as you can from the entity you’ve selected to sell to and trying to undertake something purposeful in this novel role. That’s precisely what I pursued. During my year there, I learned an exceptional amount and found it incredibly enlightening. Yet, transitioning from a founder and CEO to essentially a division manager is a substantial change, suitable for some, but it wasn’t for me. I’m fundamentally a creator.

Putnam on the catalyst for her latest entrepreneurial effort:

Upon departing Lululemon, I was at a different personal stage. Transitioning from pregnancy to mothering two children, I took stock of what held importance for me then. Mirror was very much centered around me — my reflection, my improvement, enhancing oneself. By that subsequent phase, my existence was much more anchored in my family, friends, and relationships that I cherished. I faced challenges carving out quality time with loved ones as I had during my upbringing — spending time gathered around the table, enjoying meals, playing games, engaging face-to-face. For my children, who have grown accustomed to screens, quality time became more arduous.

Thus, I began contemplating how I could harness insights from Mirror to apply to the domain of play. Could I employ technology to cultivate stronger social bonds and interactions? That is the endeavor I’m pursuing now. It’s a fresh

A company specializing in consumer devices, but placing more emphasis on gaming rather than fitness, focusing on how we engage with each other in-person, using technology as a tool to enhance connections rather than being the focal point itself.

When questioned if the new offering is aimed at young ones (or if it can be placed in a pocket, or it is worn on the face), Putnam replied:

It’s intended for all. It’s meant for friends and relatives enjoying time collectively. It’s not strictly a children’s enterprise, though we do wish you’ll join with your kids. It’s not an educational firm, although we do hope individuals find it engaging and strategic and imaginative, but it’s principally about employing tech to bring individuals closer. (Here Lerer mentioned he was under strict instruction to keep details under wraps by Putnam.)

Putnam on the fusion of AI with hardware and software, which has recently become a primary focus for both entrepreneurs and financiers:

I believe we’re on the brink of a new era in hardware. Venture capitalists are likely to be thrilled about investing in hardware creators soon, hopefully, as several factors are aligning. It’s been 17 years since the iPhone debuted, and we’ve yet to witness a significant consumer hardware phenomenon akin to Oculus. I perceive a gap in the marketplace for something innovative. Many foundational elements of these technologies have matured significantly, rendering them more accessible; hence, constructing display technologies, in our instance, is now feasible in ways it wasn’t a decade ago. Moreover, AI is revolutionizing interactions with gadgets. Thus, inevitably, forthcoming gadgets will emerge. We’re positioning ourselves on this concept of a collective home gadget over a personal computer, echoing what we achieved with Mirror and aim to replicate here. We envisage a tech piece integral to fostering household and family unity as a future trajectory.

Regarding not emphasizing too much on the technical details of hardware but rather the entire user experience that is constructed, Putnam commented: 

Recently, I discovered Nintendo’s design ethos. They utilize an approach termed ‘withered’ technology combined with lateral thinking. The principle consists of employing aged, economically feasible, widely available technologies while crafting a truly captivating experience around them, reminiscent of what we accomplished with Mirror. It was essentially common hardware, not pioneering technology. That’s what we’re pursuing again presently. 

Discussing the notion of reunifying family and buddies as an investment motif (here, the conversation referenced the contemporary startup from Bonobos co-founder Andy Dunn, Pie, dedicated to bonding individuals offline), Lerer declared:

I’m backing [Pie]! Indeed, I have young children and encounter identical dilemmas my acquaintances face and that everyone endures: being thoroughly enmeshed in these gadgets. Broadly, we’re exploring alternatives to break from this dependency and discovering novel entertainment models or opportunities to engage people away from screens into the real world. We recently pursued a [relevant] deal undisclosed as of yet, with an application tier AI company in the travel domain that invigorates me. Moreover, last week, we unveiled an agreement with another application tier company in the aftermarket automotive segment—the premier hobbyist sector in the U.S. regarding spending. Locating avenues to engage people’s fervors consistently appears advantageous in the consumer domain. 

On sensing the ‘consumer’ sector gaining momentum—as evidenced by a newly declared $500 million fund by renowned consumer-oriented firm Forerunner Ventures, Lerer reflected:

As an investment group, we prioritize entrepreneurs, but we’re also devoted to New York, and [with] earlier [entrepreneurial] classes of New York from the early 2010s, there was substantial activity in the consumer arena, abundant media, diverse direct-to-consumer commerce initiatives. Various trends incredibly boosted this momentum. The iPhone alongside the App Store experienced substantial growth. Social media surged, and the promotional landscape offered expansive chances to attract consumers more swiftly than ever. Shopify’s emergence possibly fashioned an optimal environment to invent consumer businesses with immense creative scope. 

Recently, throughout four to six years, scant substantial technological transformations have motivated individuals to pursue things appearing beyond incremental improvements. Presently, AI serves as a trigger. We observe a commendable cadre of entrepreneurs exclaiming, “This is the moment to dive back in.” Present possibilities are now viable, unlike six months ago or a year prior, and the learning curve is steep with imaginative endeavors. Such developments revive enthusiasm for the consumer realm, excitingly aligning with personal interests. My engagements were centered around creating consumer enterprises. I cherish financially supporting consumer entrepreneurs, and candidly, the recent years had been rather uninspiring.