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And there we have it: Bird, one of the emerging massively hyped Scooter startups, has roped in its next pile of funding by picking up another $300 million in a round led by Sequoia Capital.
The company announced the long-anticipated round this morning, with Sequoia’s Roelof Botha joining the company’s board of directors. This is the second round of funding that Bird has raised over the span of a few months, sending it from a reported $1 billion valuation in May to a $2 billion valuation by the end of June. In March, the company had a $300 million valuation, but the Scooter hype train has officially hit a pretty impressive inflection point as investors pile on to get money into what many consider to be the next iteration of resolving transportation at an even more granular level than cars or bikes. New investors in the round include Accel, B Capital, CRV, Sound Ventures, Greycroft and e.ventures; previous investors Craft Ventures, Index Ventures, Valor, Goldcrest, Tusk Ventures and Upfront Ventures are also in the round. (So, basically everyone else who isn’t in competitor Lime.)
Scooter mania has captured the hearts of Silicon Valley and investors in general — including Paige Craig, who actually jumped from VC to join Bird as its VP of business — with a large amount of capital flowing into the area about as quickly as it possibly can. These sort of revolving-door fundraising processes are not entirely uncommon, especially for very hot areas of investment, though the scooter scene has exploded considerably faster than most. Bird’s round comes amid reports of a mega-round for Lime, one of its competitors, with the company reportedly raising another $250 million led by GV, and Skip also raising $25 million.
“We have met with over 20 companies focused on the last-mile problem over the years and feel this is a multi-billion dollar opportunity that can have a big impact in the world,” CRV’s Saar Gur, who did the deal for the firm, said. “We have a ton of conviction that this team has original product thought (they created the space) and the execution chops to build something extremely valuable here. And we have been long-term focused, not short-term focused, in making the investment. The ‘hype’ in our decision (the non-zero answer) is that Bird has built the best product in the market and while we kept meeting with more startups wanting to invest in the space — we kept coming back to Bird as the best company. So in that sense, the hype from consumers is real and was a part of the decision. On unit economics: We view the first product as an MVP (as the company is less than a year old) — and while the unit economics are encouraging, they played a part of the investment decision but we know it is not even the first inning in this market.”
There’s certainly an argument to be made for Bird, whose scooters you’ll see pretty much all over the place in cities like Los Angeles. For trips that are just a few miles down wide roads or sidewalks, where you aren’t likely to run into anyone, a quick scan of a code and a hop on a Bird may be worth the few bucks in order to save a few minutes crossing those considerably long blocks. Users can grab a bird that they see and start going right away if they are running late, and it does potentially alleviate the pressure of calling a car for short distances in traffic, where a scooter may actually make more sense physically to get from point A to point B than a car.
There are some considerable hurdles going forward, both theoretical and in effect. In San Francisco, though just a small slice of the United States metropolitan area population, the company is facing significant pushback from the local government, and scooters for the time being have been kicked off the sidewalks. There’s also the looming shadow of what may happen regarding changes in tariffs, though Gur said that it likely wouldn’t be an issue and “the unit economics appear to be viable even if tariffs were to be added to the cost of the scooters.” (Xiaomi is one of the suppliers for Bird, for example.)
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If there’s still any doubt that esports is coming into the mainstream, just look to the world’s biggest sporting event: The Olympics.
The International Olympic Committee (IOC) and the Global Association of International Sports Federations (GAISF) have announced they will host an esports forum, looking to gauge whether or not esports has a place in the Olympics.
According to the release, the IOC and GAISF will host esports players, game publishers, teams, media, sponsors and event organizers, as well as National Olympic Committees, International Sports Federations, athletes and the IOC. The group as a whole is looking to “explore synergies, build joint understanding, and set a platform for future engagement between esports and gaming industries and the Olympic Movement.”
In the release, GAISF President Patrick Baumann said:
Along with the IOC, the GAISF looks forward to welcoming the esports and gaming community to Lausanne. We understand that sport never stands still and the phenomenal growth of esports and gaming is part of its continuing evolution. The Esports Forum provides an important and extremely valuable opportunity for us to gain a deeper understanding of esports, their impact and likely future development, so that we can jointly consider the ways in which we may collaborate to the mutual benefit of all of sport in the years ahead.
Some of the panels at the forum include an interview on “The Key to Twitch’s Success,” “Future Opportunities for Collaboration,” an interview on “A Day in the Life of an Elite Player” and a panel on “Gender Equality in All Sports.”
Esports have continued to grow at an impressive clip. The Overwatch League has introduced city-based teams into the mix, while Fortnite had a huge Pro-Am tournament at e3, not to mention Epic’s introduction of a $100 million tournament prize pool for competitive play.
Considering how bizarre some of the Olympic sports are — I’m looking at you, Biathlon — the potential introduction of esports to the Olympic slate almost seems ordinary.
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Instagram’s future growth depends on the developing world, so it’s built a version of its app just for them. “Instagram Lite” for Android appeared today in the Google Play App Store without any announcement from the company. “The Instagram Lite app is small, allowing you to save space on your phone and download it quickly” the description reads.
At just 573 kilobytes, Instagram Lite is 1/55th the size of Instagram’s 32 megabyte main app. It lets you filter and post photos to the feed or Stories, watch Stories, and browse the Explore page, but currently lacks the options to share videos or Direct message friends.
Instagram Lite addresses many problems common amongst mobile users in the developing world who are often on older phones with less storage space, slower network connections, or who can’t afford big data packages. Users might not have to delete photos or other apps to install Instagram Lite, or wait a long time and pay more for it to download.
Screenshots of Instagram Lite
The release follows Instagram’s revamped mobile website that launched last month, also designed for the developing world. At the time I wrote, “The launch begs the question of whether Instagram will release an Instagram Lite version of its native app.” The answer is yes. Mobile analytics service Sensor Tower tipped TechCrunch off to the release.
When asked for comment, an Instagram spokesperson confirmed that Instagram Lite began testing in Mexico this week, and provided this statement: “We are testing a new version of Instagram for Android that takes up less space on your device, uses less data, and starts faster.”
The “Lite” trend has picked up steam recently. Facebook launched Facebook Lite in 2015, and it had 200 million users by 2017. That paved the way for the launch of Messenger Lite in April 2018, and Uber glommed on to the strategy with the release of its own Lite app earlier this month. Users have clearly been craving Instagram Lite, since a fake/unofficial Facebook Page with that has racked up over 2000 Likes.
Instagram announced last week at the IGTV unveiling that it had hit 1 billion monthly active users. It’s been growing at roughly 100 million users every four months, with much of that coming from the developing world. Snapchat neglected international markets to focus on US teens, leaving the door open for Instagram and WhatsApp’s clones of Snapchat Stories to grab big user bases in countries like India and Brazil.
With this new growth tool in its belt, Instagram may see even swifter adoption in emerging markets. It could score ad revenue straight from Lite, then as phones and networks improve, hope to shift users onto the full-fidelity version. Now, eyes will be on Snapchat to see if it builds its own Lite app. Otherwise it risks continuing to slip further behind the Instagram juggernaut.
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Ready to scrounge for Likes on your Stories too? Facebook Stories can feel like a ghost town even though it has 150 million daily users. So Facebook is trying to get more people who view your ephemeral content on its Snapchat clone to speak up so you keep posting. Today Facebook is bringing its Like, Haha, Wow, Sad, Angry and Love “Reactions” from News Feed to Stories, replacing the generic emoji quick replies it previously offered. It’s also adding two “interactive stickers” — a flame and a laughing smile — you can add to your own Stories that when tapped by a friend, shimmer and notify you.
To the same effect, Facebook is letting people start a group reply to your Story with multiple friends that launches a group thread on Messenger. And when you tap to see who’s viewed your Facebook Story, the viewer list will highlight people who sent reactions or Messenger replies.
Combined, these four new ways to give feedback on Stories should make it feel less like you’re posting into a black hole. Facebook has found great success with its Like button and other Reactions for News Feed posts and Instagram’s Heart button. They both trigger a dopamine hit of self-satisfaction that encourages you to continue sharing that’s more visceral than just knowing someone watched your Story.
I wonder if a Like button will come to Instagram Stories, especially after former Facebook VP of News Feed Adam Mosseri was recently named VP of product for Instagram.
Oh, and just in case Stories wasn’t turning into a vanity contest already, according to Mari Smith via Matt Navarra, Facebook is now testing a Selfie mode in the Stories camera with a Soft Focus option similar to the recent Instagram Focus launch.
When Snapchat invented the Stories format, it purposefully left out a Like button because it would make sharing into a competition where users craved the binary feedback and posted whatever was most popular.
In fact, when I interviewed Instagram CEO Kevin Systrom in 2016 around the launch of Instagram Stories he told me, “We definitely asked ourselves what if we removed Likes from Instagram? What would happen? … If you have Likes … you get certain behaviors, and the behavior we wanted was for you to be able to share as much as you wanted. And the lack of Likes in this space lets you let down your guard.”
Now Facebook is changing that fundamental principle of Stories, which could give us a whole new quantified measure of our worth to turn into an addiction and coerce us to share not what’s authentic but what’s Likeable.
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The challenges faced by parents of kids with special needs are always unique, but in one way they are surely much alike: making sure the kids are getting what they need from schools is way harder than it ought to be. ExceptionAlly is a new startup that aims to help parents understand, organize and communicate all the info they need to make sure their child is getting the help they require.
“There are millions of parents out there trying to navigate special education. And parents with special needs should have access to more information than what one school tells them,” said ExceptionAlly co-founder and CEO Rayford Davis. “Those with the means actually hire special education attorneys, but those are few and far between. We thought, how can we democratize this? So we’re trying to do what TurboTax did for CPAs: deliver a large percentage of the value for a small percentage of the cost.”
The company just emerged from Y Combinator and is pursuing full deployment ahead of this school year, with a visibility push during the usual back-to-school dates. It’s still early days, but Davis tells me they already have thousands of users who are taking advantage of the free and paid aspects of the service.
Just because a parent has a kid with dyslexia, or a hearing impairment, or a physical disability, doesn’t mean they suddenly become an expert in what resources are out there for those kids — what’s required by law, what a school offers voluntarily and so on. Achieving fluency in these complex issues is a big ask on top of all the usual parental duties — and on top of that, parents and schools are often put in adversarial positions.
There are resources out there for parents, certainly, but they’re scattered and often require a great deal of effort on the parents’ part. So the first goal of the service is to educate and structure the parents’ information on the systems they’re dealing with.
Based on information provided by the parent, such as their kid’s conditions or needs, and other information like school district, state and so on, the platform assists the parent in understanding both the condition itself, what they can expect from a school and what their rights are. It could be something as simple as moving a kid to the front row of a classroom to knowing how frequently the school is required to share reports on that kid’s progress.
Parents rarely know the range of accommodations a school can offer, Davis said, and even the schools themselves might not know or properly explain what they can or must provide if asked.
For instance, an IEP, or individual education plan, and yearly goals are required for every student with special needs, along with meetings and progress reports. These are often skipped or, if not, done in a rote way that isn’t personalized.
Davis said that by helping parents collaborate with the school and teacher on IEPs and other facets of the process, they accomplish several things. First, the parent feels more confident and involved in their kid’s education, having brought something to the table. Second, less pressure is put on overworked teachers to produce these things in addition to everything else they have to do. And third, it either allows or compels schools to provide all the resources they have available.
Naturally, this whole process produces reams of documents: evaluations, draft plans, lesson lists, observations, reports and so on. “If you talk to any parent of a child with special needs, they’ll tell you how they have file cabinets full of paperwork,” Davis said.
ExceptionAlly will let you scan or send it all these docs, which it helps you organize into the various categories and find again should you need them. A search feature based on OCR processing of the text is in development and should be in place for the latter half of the coming school year, which Davis pointed out is really when it starts being necessary.
That, he said, is when parents need to keep schools accountable. Being informed both on the kid’s progress and what the school is supposed to be doing lets the resulting process be collaborative rather than combative. But if the latter comes to pass, the platform has resources for parents to deploy to make sure the schools don’t dominate the power equation.
“If things progress that way, there’s a ‘take action toolkit’ to develop communications with the school,” Davis said. Ideally you don’t want to be the parent threatening legal action or calling the principal at home. A timely reminder of what was agreed upon and a nudge to keep things on track keeps it positive. “It’s sort of a reminder that we should all be on ‘team kid,’ if you will,” he added.
Schools, unfortunately, have not shown themselves to be highly willing to collaborate.
“We spent about six months talking to over a hundred schools and districts. What we found was not a lot of energy to provide parents with any more information than what the school was already providing,” Davis explained.
The sad truth here is that many schools are already neck-deep in administrative woes, the teachers are overworked and have new responsibilities every year and the idea of volunteering for new ones doesn’t strike even the most well-intentioned schools as attractive. So instead, ExceptionAlly has focused on going directly to parents, who, confidently and well-armed, can take their case to the school on their own.
“Listen, we’re not getting ready to solve all of education today with our solution. We’re going to find that one mom who says, ‘I know there’s more out there, can someone help me find it?’ Yes, we’re going to help you do that,” he said. “Could that put pressure on the system? As long as it does it legally and lawfully, I am perfectly okay with advocating for a child and parents’ legal rights and putting pressure on the system to give them what they by law deserve.”
After the official launch ahead of this school year, the company plans to continue adding features. Rich text search is among them, and deeper understanding of the documents could both help automate storage and retrieval and also lead to new insights. At some point there will also be an optional program to submit a child’s information (anonymously, of course) to help create a database of what accommodations in which places and cases led to what outcomes — essentially aggregating information direct from the source.
ExceptionAlly has some free content to peruse if you’re curious whether it might be helpful for you or someone you know, and there are a variety of paid options should it seem like a good fit.
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An app like Bannersnack is something you never think you need — until you do. Designed by a digital marketer from Romania, Gabriel Ciordas, the app was originally called FlashEff and was used to create Flash banners for online marketers. Over time, however, HTML5 and graphics overtook Flash and the company pivoted to offering easy-to-use design tools for marketers and business owners.
The service is free to try and costs $7 a month 30 static images; $18 a month gets you embedded banners with full analytics. The company is completely bootstrapped and has been working in the space since 2008.
“Bannersnack has always been self-funded. We built our resources step by step, as our business grew together with our efforts. We think it’s fair to say that we worked for every penny we’ve ever gotten and further invested it back into growing our business,” said Ciordas.
The service has 100,000 monthly users who create 180,000 visuals a month. They offer standalone graphics as well as responsive HTML5 images. The most interesting tool, the Banner Generator, creates banners in multiple sizes instantly, freeing business owners up to do what they do best: sell stuff.
Again, it is rare to see a product so focused on a single, important niche, and Bannersnack fits the bill. While you could fire up Pixelmator and try to make your own banners, this tool is surprisingly pleasant to use and works quite well.
“Our main objective is to empower marketers, designers, and business owners, while reshaping the way agencies and businesses create visuals for their marketing purposes,” said Ciordas. After all, not everyone has the skills or talent to create flashing banners featuring exciting mortgage reduction opportunities and free iPad sweepstakes.
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Microsoft today launched two new Azure regions in China. These new regions, China North 2 in Beijing and China East 2 in Shanghai, are now generally available and will complement the existing two regions Microsoft operates in the country (with the help of its local partner, 21Vianet).
As the first international cloud provider in China when it launched its first region there in 2014, Microsoft has seen rapid growth in the region and there is clearly demand for its services there. Unsurprisingly, many of Microsoft’s customers in China are other multinationals that are already betting on Azure for their cloud strategy. These include the likes of Adobe, Coke, Costco, Daimler, Ford, Nuance, P&G, Toyota and BMW.
In addition to the new China regions, Microsoft also today launched a new availability zone for its region in the Netherlands. While availability zones have long been standard among the big cloud providers, Azure only launched this feature — which divides a region into multiple independent zones — into general availability earlier this year. The regions in the Netherlands, Paris and Iowa now offer this additional safeguard against downtime, with others to follow soon.
In other Azure news, Microsoft also today announced that Azure IoT Edge is now generally available. In addition, Microsoft announced the second generation of its Azure Data Lake Storage service, which is now in preview, and some updates to the Azure Data Factory, which now includes a web-based user interface for building and managing data pipelines.
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In 2010, the eyewear industry got its long-awaited new player. Warby Parker entered the market with a simple offering: stylish Rx glasses, bought online, for a reasonable price.
While this sounds like a pretty obvious concept in 2018, the world of e-commerce was just beginning its insane growth streak back in 2010. And glasses, of all things, weren’t something that many people thought could be purchased online.
But through a simple try-before-you-buy system, Warby Parker made it possible.
Flash-forward eight years and Warby Parker has become a household name, with more than 50 stores across the United States and Canada, and more than $290 million raised. The brand has evolved beyond a simple set of glasses to become an example for many startups, particularly where social good is concerned.
For each pair of glasses sold, Warby Parker donates a pair to someone who needs glasses but doesn’t have access to them.
All that said, we’re obviously thrilled to have Warby Parker co-founder and co-CEO Dave Gilboa join us onstage at Disrupt SF.
Gilboa has helped Warby Parker grow from a small e-commerce startup to a massive brand, and has helped evolve the company beyond an e-commerce brand, providing vision tests alongside the product.
At Disrupt SF, we’ll discuss how Warby grew its e-commerce presence, the company’s approach to offline retail versus online and what’s next in store for Warby Parker.
Gilboa joins other notable speakers, such as Drew Houston, Priscilla Chan, Ashton Kutcher, Reid Hoffman and many more.
Tickets to the conference, which runs September 5 to September 7, are available here.
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For any company built on top of machine learning operations, the more data it has, the better it is off — as long as it can keep it all under control. But as more and more information pours in from disparate sources, gets logged in obscure databases and is generally hard (or slow) to query, the process of getting that all into one neat place where a data scientist can actually start running the statistics is quickly running into one of machine learning’s biggest bottlenecks.
That’s a problem Intermix.io and its founders, Paul Lappas and Lars Kamp, hope to solve. Engineers get a granular look at all of the different nuances behind what’s happening with some specific function, from the query all the way through all of the paths it’s taking to get to its end result. The end product is one that helps data engineers monitor the flow of information going through their systems, regardless of the source, to isolate bottlenecks early and see where processes are breaking down. The company also said it has raised seed funding from Uncork Capital, S28 Capital, PAUA Ventures along with Bastian Lehman, CEO of Postmates and Hasso Plattner, founder of SAP.
“Companies realize being data driven is a key to success,” Kamp said. “The cloud makes it cheap and easy to store your data forever, machine learning libraries are making things easy to digest. But a company that wants to be data driven wants to hire a data scientist. This is the wrong first hire. To do that they need access to all the relevant data, and have it be complete and clean. That falls to data engineers who need to build data assembly lines where they are creating meaningful types to get data usable to the data scientist. That’s who we serve.”
Intermix.io works in a couple of ways: First, it tags all of that data, giving the service a meta-layer of understanding what does what, and where it goes; second, it taps every input in order to gather metrics on performance and help identify those potential bottlenecks; and lastly, it’s able to track that performance all the way from the query to the thing that ends up on a dashboard somewhere. The idea here is that if, say, some server is about to run out of space somewhere or is showing some performance degradation, that’s going to start showing up in the performance of the actual operations pretty quickly — and needs to be addressed.
All of this is an efficiency play that might not seem to make sense at a smaller scale. The waterfall of new devices that come online every day, as well as more and more ways of understanding how people use tools online, even the smallest companies can quickly start building massive data sets. And if that company’s business depends on some machine learning happening in the background, that means it’s dependent on all that training and tracking happening as quickly and smoothly as possible, with any hiccups leading to real-term repercussions for its own business.
Intermix.io isn’t the first company to try to create some application performance management software. There are others like Data Dog and New Relic, though Lappas says that the primary competition from them comes in the form of traditional APM software with some additional scripts tacked on. However, data flows are a different layer altogether, which means they require a more unique and custom approach to addressing that problem.
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Peloton, the unicorn spin (and now treadmill) business that lets users work out via live-streamed classes, has today announced its first acquisition. The company acquired Neurotic Media, a B2B music aggregation and streaming service.
Atlanta-based Neurotic Media was founded in 2001 by Shachar “Shac” Oren, who will become a VP at Peloton serving under Peloton’s Head of Music Paul DeGooyer. The entire Neurotic Media team and offices will remain in Atlanta, continuing operations as a standalone subsidiary serving third-party clients.
Neurotic Media is a white-label distribution and marketing platform, helping brands influence and engage customers via popular music. Essentially, the company connects a brand with a certain popular song or songs that align with their brand mission.
The idea here is that music is integral to working out. Given Peloton’s focus on bringing a high-quality workout to the comfort of a user’s home (or one of their studios), music plays a big role. But one doesn’t often dabble in the music industry without either 1) experience or 2) loads of money. While Peloton has plenty of cash to go around, Neurotic brings nearly two decades of experience to the Peloton portfolio.
Here’s what DeGooyer had to say in a prepared statement:
Our Members have embraced music as central to the Peloton experience and consistently rank it as one of the top aspects of the brand. The addition of Shac and his amazing team to the Peloton family will help us rapidly deploy new music features we know our Members want, along with some unique innovations we think they’ll love.
Peloton has been making moves as of late. The company launched an expanded iOS app called Peloton Digital, and has announced plans to expand into the U.K. and Canada starting in the Fall. Plus, Peloton opened a new Tread studio in NYC, with plans to open a massive multi-studio space on the West Side of Manhattan next year.
Peloton was founded in 2012 and has raised a total of $444.7 million. The terms of the deal were not disclosed.
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