Around 15% of website traffic comes through paid search ads. But to turn passive searchers into active shoppers, your ads should answer their question and entice them to click.
We’ve tested thousands of paid search ads at Demand Curve and through our agency Bell Curve. This post breaks down 14 questions your paid search ads should answer to ensure you’re only paying for the highest-intent shoppers.
An important distinction between paid search and organic search is that paid ads are an interruption. Users of search engines are simply looking for an answer to their question. The people who see your ads don’t owe you anything. Just because you’re paying to have your ad show up first doesn’t mean they’re going to pay attention to it.
To generate genuine interest in your paid ads, reframe your offer as a favor.
You can do this in two ways:
For example, reframing free delivery as an extra convenience makes the offer that much more attractive.
Use ad extensions by listing additional benefits in the description of the page. For example, including “customized plans” in the pricing extension page signals to your customer that they’ll have control over the cost. This will help to attract the curiosity of even the most cost-conscious buyers.
Image Credits: Demand Curve
Approximately 80% of e-commerce shopping carts are abandoned, mostly because shoppers don’t feel any urgency to complete the transaction. Online shoppers aren’t in any rush, as the internet is open 24/7 and inventory feels unlimited.
Use ad copy that bridges the gap between their problem and your solution. The easiest way to create that curiosity bridge is by asking a question.
To answer the question, “Why should I buy now?”, you’re going to have to create an incentive to get them to take action now.
How much is your palm print worth? If you ask Amazon, it’s about $10 in promotional credit if you enroll your palm prints in its checkout-free stores and link it to your Amazon account.
Last year, Amazon introduced its new biometric palm print scanners, Amazon One, so customers can pay for goods in some stores by waving their palm prints over one of these scanners. By February, the company expanded its palm scanners to other Amazon grocery, book and 4-star stores across Seattle.
Amazon has since expanded its biometric scanning technology to its stores across the U.S., including New York, New Jersey, Maryland and Texas.
The retail and cloud giant says its palm scanning hardware “captures the minute characteristics of your palm — both surface-area details like lines and ridges as well as subcutaneous features such as vein patterns — to create your palm signature,” which is then stored in the cloud and used to confirm your identity when you’re in one of its stores.
Amazon’s latest promotion: $10 promotional credit in exchange for your palm print. (Image: Amazon)
What’s Amazon doing with this data exactly? Your palm print on its own might not do much — though Amazon says it uses an unspecified “subset” of anonymous palm data to improve the technology. But by linking it to your Amazon account, Amazon can use the data it collects, like shopping history, to target ads, offers and recommendations to you over time.
Amazon also says it stores palm data indefinitely, unless you choose to delete the data once there are no outstanding transactions left, or if you don’t use the feature for two years.
While the idea of contactlessly scanning your palm print to pay for goods during a pandemic might seem like a novel idea, it’s one to be met with caution and skepticism given Amazon’s past efforts in developing biometric technology. Amazon’s controversial facial recognition technology, which it historically sold to police and law enforcement, was the subject of lawsuits that allege the company violated state laws that bar the use of personal biometric data without permission.
“The dystopian future of science fiction is now. It’s horrifying that Amazon is asking people to sell their bodies, but it’s even worse that people are doing it for such a low price,” said Albert Fox Cahn, the executive director of the New York-based Surveillance Technology Oversight Project, in an email to TechCrunch.
“Biometric data is one of the only ways that companies and governments can track us permanently. You can change your name, you can change your Social Security number, but you can’t change your palm print. The more we normalize these tactics, the harder they will be to escape. If we don’t [draw a] line in the sand here, I am very fearful what our future will look like,” said Cahn.
When reached, an Amazon spokesperson declined to comment.
Over the last couple of years, Robotic Process Automation or RPA has been red hot with tons of investor activity and M&A from companies like SAP, IBM and ServiceNow. UIPath had a major IPO in April and has a market cap over $30 billion. I wondered when Salesforce would get involved and today the company dipped its toe into the RPA pool, announcing its intent to buy German RPA company Servicetrace.
Salesforce intends to make Servicetrace part of Mulesoft, the company it bought in 2018 for $6.5 billion. The companies aren’t divulging the purchase price, suggesting it’s a much smaller deal. When Servicetrace is in the fold, it should fit in well with Mulesoft’s API integration, helping to add an automation layer to Mulesoft’s tool kit.
“With the addition of Servicetrace, MuleSoft will be able to deliver a leading unified integration, API management, and RPA platform, which will further enrich the Salesforce Customer 360 — empowering organizations to deliver connected experiences from anywhere. The new RPA capabilities will enhance Salesforce’s Einstein Automate solution, enabling end-to-end workflow automation across any system for Service, Sales, Industries, and more,” Mulesoft CEO Brent Hayward wrote in a blog post announcing the deal.
While Einstein, Salesforce’s artificial intelligence layer, gives companies with more modern tooling the ability to automate certain tasks, RPA is suited to more legacy operations, and this acquisition could be another step in helping Salesforce bridge the gap between older on-prem tools and more modern cloud software.
Brent Leary, founder and principal analyst at CRM Essentials says that it brings another dimension to Salesforce’s digital transformation tools. “It didn’t take Salesforce long to move to the next acquisition after closing their biggest purchase with Slack. But automation of processes and workflows fueled by realtime data coming from a growing variety sources is becoming a key to finding success with digital transformation. And this adds a critical piece to that puzzle for Salesforce/MulseSoft,” he said.
While it feels like Salesforce is joining the market late, in an investor survey we published in May Laela Sturdy, general partner at CapitalG told us that we are just skimming the surface so far when it comes to RPA’s potential.
“We’re a long way from needing to think about the space maturing. In fact, RPA adoption is still in its early infancy when you consider its immense potential. Most companies are only now just beginning to explore the numerous use cases that exist across industries. The more enterprises dip their toes into RPA, the more use cases they envision,” Sturdy responded in the survey.
Servicetrace was founded in 2004, long before the notion of RPA even existed. Neither Crunchbase nor Pitchbook shows any money raised, but the website suggests a mature company with a rich product set. Customers include Fujitsu, Siemens, Merck and Deutsche Telekom.
The creators of Pokémon GO, Niantic developed one of the first mainstream augmented reality games, boasting 166 million users and over a billion dollars in revenue last year. Taking inspiration from the main series Pokémon games, Pokémon GO uses in-game incentives to encourage users to explore their surroundings, team up with other users to fight legendary beasts, and travel to places they’ve never been before.
Before the pandemic, this posed an accessibility issue — when certain tasks could only be completed by walking a certain distance, for example, it alienated users with physical conditions and disabilities that prevent them from easily taking a walk around the neighborhood. Plus, for players in wheelchairs, it might be impossible to access certain PokéStops and Gyms. It’s necessary to interact with these real-world landmarks to play the game to its fullest.
When much of the world entered lockdown March 2020, Pokémon Go doubled the size of the radius that players can be within to interact with a PokéStop or Gym, widening the radius from 40 meters to 80 meters. So, you could now be further away from a landmark but still reap its rewards. This made it easier for users to play from home, or play outside while social distancing — but it also made the game much more accessible. Plus, for a game that still gets a bad rep for causing traffic accidents, the increased radius helped pedestrian players access landmarks without brazenly jay-walking across the street (to be fair, it’s on users to make smart decisions while gaming in augmented reality — but, Niantic has responsibility here too). And for businesses that happened to be located in a prime location for raid battles, which require players to gather in-person within a Gym’s radius to defeat rare monsters, this meant that Pokémon players could maintain a respectful distance from store fronts while playing the game (later in the pandemic, it became possible to join raid battles remotely — this feature will remain in the game, probably because it proved profitable).
These pandemic incentives were always framed as temporary bonuses, but players embraced the changes — in 2020, Pokémon GO had its highest-earning year yet. Now, the increased landmark radius has been removed “as a test” in the U.S. and New Zealand.
“As we return to the outside world again, these changes are aimed at restoring the focus of Pokémon GO on movement and exploration in the real world,” the company wrote in a blog post. “These changes will be introduced slowly and carefully to make it more exciting to explore the world around you.”
One new incentive gives users 10x XP for visiting a new PokéStop for the first time (or, in real-world terms, visiting a new place). But as the Delta variant spreads in the U.S., players find these changes to be frustrating and misguided. Why roll back features that made the game more accessible while also netting the company more money?
The removal of double distance is nothing short of a slap in the face towards the #PokemonGO Community.
I’ll realistic and say I that I’ll quit GO if changes aren’t being made ASAP.
I REFUSE to cover a game that doesn’t have it’s player base in its best interest.
— REVERSAL – Pokémon GO (@REVERSALxPoGO) August 1, 2021
The Pokémon Go YouTuber, Reversal, who has created sponsored content for Niantic, wrote that he will quit the game if changes aren’t being made ASAP. Other players launched a petition with over 130,000 signatures to keep increased PokéStop and Gym interaction distance. Prominent Pokémon Go content creators like ZoëTwoDots and The Trainer Club have referenced a potential boycott of the game in videos they uploaded today, citing Niantic’s refusal to listen to community concerns after they announced the impending end of pandemic bonuses in June.
“I’m more than down to boycott the game with everyone if we’re vibing that,” ZoëTwoDots, who has also partnered with Niantic, told her 212,000 subscribers. “I know for myself personally, I’m just straight up not spending money in the game going forward until they address it publicly.”
My opinion on the Pokéstop radius hasn't changed. It was a clear quality of life change that was only fully realised because of a (ongoing) pandemic. It has provided accessibility to disabled players, safety to all players, and NEVER affected our enjoyment of exploration. https://t.co/DK1VWkw0ga
— ZoëTwoDots (@_ZoeTwoDots) August 1, 2021
As the game celebrates its five year anniversary, the conflict it now faces isn’t about players wishing for the game to be easier. Rather, this represents a failure by Niantic to listen to its user base, prioritize accessibility, and incentivize users to stay home as COVID-19 cases rise again in the U.S.
Early-stage venture capital fund Newtopia VC launched Monday with $50 million to invest in tech startups based in Latin America.
The fund will invest between $250,000 and $1 million in startups at the seed stage to help them achieve the milestones needed on the path to raising a Series A.
Newtopia is led by five major players in the regional entrepreneurial ecosystem:
The group has already invested in startups in Mexico, Brazil and Argentina, including Aleph (B2B SaaS for e-commerce), Apperto (social commerce), Choiz (healthtech), Exactly (DeFi), Elevva (e-commerce brands), Inipay (fintech), Leef (sustainability), Wibson (e-privacy) and Yerbo (wellness).
Mayer told TechCrunch that he sees a great moment happening in Latin America around global venture capital firms — like Sequoia Capital, Andreessen Horowitz and SoftBank —making bets in the region, especially targeting later-stage investments. There are home-grown venture capital firms doing well, too, citing Kazek’s $1 billion funds.
“However, we see a gap in investments in seed and road to Series A,” he added. “We aim to help entrepreneurs in those stages. Newtopia started with conversations during the pandemic, and now we see a big momentum for transformation of traditional sectors and the talent to make businesses out of these opportunities.”
Newtopia is offering both investment and a hands-on mentorship model to guide startups through the initial stages so they can grow regionally or globally. The fund has already amassed a community of more than 70 founders to invest, advise and be venture partners to the portfolio companies.
The Newtopia 10-Week Program works with companies to find product-market fit, achieve initial goals and set a foundation for further growth. The firm opened the call for applicants and will select 10 startups to receive a spot in the program and $100,000 each.
By taking a lead in early-stage investing, it will feed the rest of the venture capital firms that are doing later-stage investing, Mayer said.
He sees investments growing in Latin America every year, estimating there was a record $4 billion spread across the region, turning some companies into unicorns, including Jutard’s Mural, which raised $50 million in July. That has more than validated that there will be more money in coming years, Mayer added.
Jutard said the fund’s founders were all investing or mentoring companies on their own, but the new funding will enable them to structure that assistance to help hundreds of startups rather than a handful.
“Early-stage companies go through an emotional rollercoaster where they feel alone, encounter times when it is hard to sell their product or recruit, so we are focused on building a community of support,” Jutard added.
Pet pharmacy Mixlab has developed a digital platform enabling veterinarians to prescribe medications and have them delivered — sometimes on the same day — to pet parents.
The New York-based company raised a $20 million Series A in a round of funding led by Sonoma Brands and including Global Founders Capital, Monogram Capital, Lakehouse Ventures and Brand Foundry. The new investment gives Mixlab total funding of $30 million, said Fred Dijols, co-founder and CEO of Mixlab.
Dijols and Stella Kim, chief experience officer, co-founded Mixlab in 2017 to provide a better pharmacy experience, with the veterinarian at the center.
Dijols’ background is in medical devices as well as healthcare investment banking, where he became interested in the pharmacy industry, following TruePill and PillPack, which he told TechCrunch were “creating a modern pharmacy model.”
As more pharmacy experiences revolved around at-home delivery, he found the veterinary side of pharmacy was not keeping up. He met Kim, a user experience expert, whose family owns a pharmacy, and wanted to bring technology into the industry.
“The pharmacy industry is changing a lot, and technology allows us to personalize the care and experience for the veterinarian, pet parent and the pet,” Kim said. “Customer service is important in healthcare as is dignity and empathy. We kept that in mind when starting Mixlab. Many companies use technology to remove the human element, but we use it to elevate it.”
Mixlab’s technology includes a digital service for veterinarians to streamline their daily medication workflow and gives them back time to spend with patient care. The platform manages the home delivery of medications across branded, generic and over-the-counter medications, as well as reduces a clinic’s on-site pharmacy inventories. Veterinarians can write prescriptions in seconds and track medication progress and therapy compliance.
The company also operates its own compound pharmacy where it specializes in making medications on-demand that are flavored and dosed.
On the pet parent side, they no longer have to wait up to a week for medications nor have to drive over to the clinic to pick them up. Medications come in a personalized care package that includes a note from the pharmacist, clear and easy-to-read instructions and a new toy.
Over the past year, adoptions of pets spiked as more people were at home, also leading to an increase in vet visits. This also caused the global pet care industry to boom, and it is now projected to reach $343 billion by 2030, when it had been valued at $208 billion in 2020.
Pet parents are also spending more on their pets, and a Morgan Stanley report showed that they see pets as part of their family, and as a result, 37% of people said they would take on debt to pay for a pet’s medical expenses, while 29% would put a pet’s needs before their own.
To meet the increased demand in veterinary care, the company will use the new funding to improve its technology and expand into more locations where it can provide same-day delivery. Currently it is shipping to 47 states and Dijols expects to be completely national by the end of the year. He also expects to hire more people on both the sales team and in executive leadership positions.
The company is already operating in New York and Los Angeles and growing 3x year over year, though Dijols admits operating during the pandemic was a bit challenging due to “a massive surge of orders” that came in as veterinarians had to shut down their offices.
As part of the investment, Keith Levy, operating partner at Sonoma Brands and former president of pet food manufacturer Royal Canin USA, will join Mixlab’s board of directors. Sonoma Brands is focused on growth sectors of the consumer economy, and pets was one of the areas that investors were interested in.
Over time, Sonoma found that within the veterinary community, there was space for a lot of players. However, veterinarians want to home in on one company they trust, and Mixlab fit that description for many because they were getting medication out faster, Levy said.
“What Mixlab is doing isn’t completely unique, but they are doing it better,” he added. “When we looked at their customer service metrics, we saw they had a good reputation and were relentlessly focused on providing a better experience.”
Welcome back to This Week in Apps, the weekly TechCrunch series that recaps the latest in mobile OS news, mobile applications and the overall app economy.
The app industry continues to grow, with a record 218 billion downloads and $143 billion in global consumer spend in 2020. Consumers last year also spent 3.5 trillion minutes using apps on Android devices alone. And in the U.S., app usage surged ahead of the time spent watching live TV. Currently, the average American watches 3.7 hours of live TV per day, but now spends four hours per day on their mobile devices.
Apps aren’t just a way to pass idle hours — they’re also a big business. In 2019, mobile-first companies had a combined $544 billion valuation, 6.5x higher than those without a mobile focus. In 2020, investors poured $73 billion in capital into mobile companies — a figure that’s up 27% year over year.
This Week in Apps will finally be a newsletter! It will launch on August 7. Sign up now!
Did you hear the one about Google Play banning sugar daddy dating apps? Google this week updated its terms to clarify that apps where users offer sex acts in exchange for money, or “sugar dating,” as the new terms state, are no longer allowed as of September 1, 2021.
Developers will have to disclose to users whether their app uses security practices like data encryption, whether it follows Google Play’s Families policy for apps aimed at kids, whether users have a choice in data sharing, whether the app’s safety section had been verified by a third party, and if the app allowed users to request data deletion at the time of uninstalling, among other things.
Apps that don’t disclose won’t be able to list or update until the problems are fixed.
The safety section wasn’t the only Google Play policy news to be announced this week.
Google also reminded developers that it was making a technical change to how advertising IDs work. Now, when users opt out of interest-based advertising or ads personalization, their advertising ID is removed and replaced with a string of zeros. The change, however, is a phased rollout, affecting apps running on Android 12 devices starting late 2021 and expanding to all apps running on devices that support Google Play in early 2022.
Google also said it will test a new feature that notifies developers and ad/analytics service providers of user opt-out preferences and is prohibiting linking persistent device identifiers to personal and sensitive user data or resettable device identifiers. Kids apps will also not be able to transmit an ad ID.
Another policy update includes a plan to close dormant accounts. Google says if the account is inactive or abandoned after a year, it will be closed. This will include accounts where the developer has never uploaded an app or accessed Google Play Console in a year.
In response to feedback and complaints, Apple is clearly trying to fix some of the issues that arose from this change. It re-added a Share button to the tab bar and put additional controls under that menu. There’s also once again a reload button in the tab bar next to the domain name, though it’s a bit smaller, and a Reader Mode button will appear in the tab bar when Reader is available
On iPad, Safari also reverted back to the traditional separate row of tabs, instead of the new compact experience.
— Apple Software Updates (@AppleSWUpdates) July 27, 2021
Elon Musk sided with Fortnite maker Epic Games in the Apple App Store antitrust lawsuit, as the Tesla CEO tweeted on Friday that Apple’s App Store fees were “a de facto global tax on the Internet.” The lawsuit alleges Apple is abusing its platform power with how it commissions apps and in-app purchases on its App Store platform — fees that add up to big numbers for a game like Fortnite, which arguably doesn’t need an App Store for discovery, marketing, payments and distribution. But there’s no other way to sell to iOS users today. On Android, apps can at least be sideloaded. It’s not currently clear why Musk has decided to take a stand on the issue, as none of his companies’ apps are dramatically impacted by Apple’s fees at present.
Apple announced plans to end support for a number of SiriKit intents and commands, including those that could impact major apps — like ride-sharing app Uber. In total, there are over 20 SiriKit intent domains that will be deprecated and no longer supported in new and existing OS releases, Apple says.
Apple tweaked the controversial iOS 15 Safari changes in the latest betas (iOS 15 and iPadOS 15, beta 4). The new Safari design had moved the tab bar (URL bar) to the bottom of the screen — a fairly radical change for one of the iPhone’s most used apps. It was meant to make the controls easier to reach but critics said that the change made other often used features — like the reload button or Reader Mode — harder to find and use, impacting the overall usability of the browser itself.
Google this week launched version 1.0 of Jetpack Compose, Android’s new, native UI toolkit aimed at helping developers build better apps faster. The tool had been in beta since March. The new production release is built to integrate with the Jetpack libraries developers already use, and offers an implementation of Material Design components and theming. New features include Compose Preview and Deploy Preview, which require Android Studio Arctic Fox, which is also out now in a stable release.
Google also announced the availability of the CarHardwareManager API via the Android for Cars App Library as part of Jetpack.
Twitter launched a U.S. e-commerce pilot test that will help determine the current appetite for online shopping on its platform. The test allows brands and businesses to feature a “Shop Module” with various products for sale at the top of their Professional Profile, a business-friendly version of a profile page with support for things like an address, hours, phone number and more. Users can click on the Shop Module to go to a retail website and transact. Early testers include Game Stop and Arden Cove. The feature itself is somewhat bare bones for now, as it’s really just an image that launches an in-app browser. That’s not enough to really compete with something like Instagram Shop or Shopify’s Shop and the integrated, native checkout experience those types of app offers.
Fintech giant Robinhood raised $2.1 billion in its IPO this week. The IPO valued the trading app at $31.8 billion, making it larger that traditional rivals like Charles Schwab, even though the offering priced at the bottom of its range. The stock dropped 8% during its first day’s trading, however. Robinhood now has 21.3 million MAUs.
PayPal during its second-quarter earnings call announced its new “super app” is now code-complete and ready to roll out. The app will feature early direct deposit, check cashing, high yield savings, budgeting tools, improved bill pay, crypto support, subscription management, buy now, pay later functionality, mobile commerce, and person-to-person messaging features. The latter hadn’t yet been announced and would allow users to chat outside of the payments process.
Code found in Apple’s Wallet app indicates that iOS 15 will require users to verify their identities by taking a selfie when they add their driver’s license or other state identification card to the iPhone.
Instagram announced a series of significant changes to how it handles the accounts of younger teens. The company says it will now default users to private accounts at sign-up if they’re under the age of 16 — or under 18 in certain locales, including in the EU. It will also push existing users under 16 to switch their account to private if they have not already done so. In addition, Instagram is rolling out new technology aimed at reducing unwanted contact from adults — like those who have already been blocked or reported by other teens — and it will change how advertisers can reach its teenage audience. The changes give the company a way to argue to regulators that it’s capable of self-policing as it attempts to roll out a version of Instagram to younger users under the age of 13.
Twitter rolls out an update to its live audio platform, Twitter Spaces, that will make it easier to share the audio room with others. Users will be able to compose a tweet right from the Space that links to the room and includes any accompanying hashtags. iOS users also received new guest management controls for hosts.
Snapchat resolved an outage that was stopping people from logging in on Thursday. Unlike other app blips, which fix themselves often without users’ awareness, Snap told users to manually update their app if the issues continued.
Snapchat also this week added a “My Places” feature to Snap Map, which allows users to log their favorite spots, share them with friends and find recommendations. The feature supports over 30 million businesses and allows Snap to differentiate its map from a utility like Google Maps or Apple Maps, because it’s about personal recommendations from people you know and trust: your friends.
Instagram added support for 60-second videos to its TikTok clone, Reels. Previously, only Reels of up to 30 seconds were supported. Sixty seconds is in line with other platforms like YouTube Shorts and Snapchat’s Spotlight. But TikTok is now inching into YouTube territory, as it recently expanded to support three-minute videos.
TikTok expanded its LIVE platform with a huge lineup of new features including the ability to go live with others, host Q&As, use moderators and improved keyword filters, and more. For viewers, TikTok is adding new discovery and viewing tools, including picture-in-picture mode and ways to jump to LIVE streams from the For You and Following feeds. Some markets, including the U.S. already had access to LIVE Events, but the feature is now expanding. Meanwhile, the co-host feature currently supports going live with one other creator, but TikTok says it’s now testing multiple hosts.
Discord launched a new feature, Threads, which will make it easier to read through longer conversations on busy servers. Now, any server with “Community” features enabled will be able to transform their messages into threaded conversations across mobile and desktop. The threads will be designated by their own subject name and can be created by selecting a new hashtag symbol that appears in the menu when hovering over messages or by pressing the + sign in the chat bar.
Pinterest shares dropped by more than 12% after the company reported its second-quarter earnings on Thursday. Despite beating on estimates with revenue of $613.2 million and earnings per share of 25 cents, investors were disappointed by the miss on user growth. The company reported monthly active user growth of just 9% to reach 454 million, when analysts were expecting 482 million. Pinterest blamed COVID impacts for the slowdown. The news follows Pinterest’s launch of new tools for creators to monetize their content, with Ideas Pins — the recently launched video-first format that lets creators show off their work. Now, creators can make their pins “shoppable” and take commissions on those purchases.
WhatsApp is testing support for higher image upload quality on iOS devices. The feature was discovered on WhatsApp’s TestFlight version for iOS but is not yet public and offers three options: auto, best quality or data saver.
Spotify’s Clubhouse clone, Greenroom, is off to a slow start. The app has only been downloaded 140,000+ times on iOS and 100,000+ on Android, including installs from its earlier life as Locker Room, an app that Spotify acquired to move into live audio. Meanwhile, Spotify has 365 million monthly active users on its flagship streaming app.
Spotify also reported its Q2 earnings this week, where it posted a $23.6 million loss and failed to reach its forecast for total MAUs, despite growing MAUs 22% YOY to 365 million. It now has 165 million paying subscribers, which is up 20% YOY.
In a change to its app, Spotify added an attention-grabbing “What’s New” feed that offers personalized updates about new releases and new podcast episodes. The feature is available through a notification bell icon and uses a blue dot to indicate when there’s something new to see. Dots like this are a psychological hacks popularized by social apps like Facebook and Instagram to addict users, which could impact user engagement time on Spotify’s app.
Apple’s GarageBand app for iOS and iPadOS now lets you remix tracks from top artists and producers like Dua Lipa and Lady Gaga. There are also new Producer Packs with beats, loops and instruments created for GarageBand by top producers, including Boys Noize, Mark Lettieri, Oak Felder, Soulection, Take A Daytrip, Tom Misch and TRAKGIRL.
Google TV’s mobile app was updated with new services and personalized recommendations, following last fall’s launch of the Google TV user experience for Chromecast devices. The app now sports 16:9 widescreen movie and show posters, and added new providers Discovery+, Viki, Cartoon Network, PBS Kids, Boomerang, plus on-demand content from live TV services, including YouTube TV, Philo and fuboTV.
Epic Games announced that Fortnite will host another in-game event it’s calling the “Rift Tour,” which kicks off Friday, August 6 and runs through Sunday, August 8. What it hasn’t yet said is what the Rift Tour is, beyond a “musical journey into magical new realities” that will feature a “record-breaking superstar.”
Facebook’s Oculus division is exploring an integration of Oculus Workouts with Apple’s Health app, according to the app’s code. An integration would allow users to store their workout data in Health.
Usage of mobile video conferencing apps like Zoom grew by 150% in the first half of 2021, according to a report from Sensor Tower. Zoom, Microsoft Teams and Google Meet saw a surge in usage, collectively climbing to nearly 21x higher than in H1 2019, the firm found.
Google Voice’s app was updated with a few refinements, including a way to see the reason for a missed call or dropped call, and an easy way to redial. iOS users can now show their Google Voice number as their caller ID when they get a calling through a forwarding number. Another change will allow users to delete multiple SMS messages at once.
Language learning app Duolingo raised $521 million in its U.S. IPO, priced above the marketed range. The company priced 5.1 million shared at $102, after first marketing them at $95 to $100.
Amazon this week rolled out an update to its Alexa iOS app that allows users to add an Alexa widget to their iOS homescreen. The widget lets you tap on a button to speak to the virtual assistant and issue commands. Watch out Siri! (Ha, just kidding.)
Google Maps also updated its iOS app this week to add support for a homescreen widget. There are two different widgets sizes to choose from — one that gives info like weather and traffic, while another is more of a shortcut to nearby places like gas stations, restaurants, work and home.
Google is working on a”Switch to Android” app for iOS users that will copy over data and apps from an iPhone to bring them to a new Android device. Apple already offers a similar app, called “Move to iOS” for Android users.
Parking app usage has popped to pre-pandemic levels, Apptopia reported. Apps in this space help users find availability in lots and garages nearby and facilitate payments. Browsing time in apps was up 57% YOY in July, and overall parking app usage is now 6.2% above Jan. 2020 pre-pandemic levels.
Moovit integrated Lime’s electric scooters, bikes and mopeds into its transit-planning app that’s live in 117 cities across 20 countries and continents, including the United States, South America, Australia and Europe.
Tencent’s WeChat suspended new user registrations in China to comply with “relevant laws and regulations.” The move comes amid a broad crackdown on tech companies by Chinese regulators, related to data collection and other harmful practices.
Recently, China ordered Tencent and 13 other developers to fix problems related to pop-ups inside their apps, as part of the tech crackdown. The regulator also said it would tighten controls on misleading and explicit content used for marketing, and issued fines for offensive content to Tencent, Kuaishou and Alibaba.
Apple released patches for iOS, iPadOS and macOS to address a zero-day vulnerability that had been exploited in the wild. Apple said the exploit could exploit the vulnerability known as CVE-2021-30807 to execute arbitrary code with kernel privileges on a vulnerable and unpatched device.
Google Play Protect failed an Android security test, according to a report from Bleeping Computer. The mobile threat protection solution ranked last out of 15 Android security apps tested over a span of six months, between January to June 2021.
Product insights and analytics startup Pendo raised $150 million at a $2.6 billion valuation, ahead of its expected IPO. The round was led by B Capital, the firm from Facebook co-founder Eduardo Saverin, and included new investor Silver Lake Waterman, alongside existing backers. Pendo’s platform helps companies gather data on how customers use their apps, including clients like Okta, Toast and others.
Twitter “acqui-hired” the team from subscription news app, Brief, who will now join Twitter’s Experience.org group, which works on Twitter Spaces and Explore. Brief had offered a non-biased news app that allowed you to get both sides of a story and all the necessary facts. Deal terms weren’t disclosed.
Delivery app Gopuff confirmed its $1 billion fundraise at a $15 billion valuation, aimed at expanding its instant delivery service. TechCrunch previously reported the news when the Series H was still being closed.
Indian travel app Ixigo raised $53 million (Rs 395 crore), prepping the business for a valuation of $750 million-$800 million for its upcoming IPO. The round was led by Singapore sovereign wealth fund GIC.
Mobile-first digital wallet Valora native to the Celo network raised $20 million in Series A funding led by Andreessen Horowitz (a16z), a Celo backer, to become a global gateway to crypto.
Crypto wallet company Eco, backed by a16z, raised $60 million in new funding led by Activant Capital and L Catterton. Eco offers a digital wallet with rewards and no fees, and has average deposits of around $6,000.
Search API startup Algolia, which lets developers integrate real-time search in apps or websites, raised $150 million in Series D funding, valuing the business at $2.25 billion, post-money. The round was led by Lone Pine Capital. Algolia now has over 10,000 customers, including Slack, Stripe, Medium, Zendesk and Lacoste.
Brain Technologies raised $50+ million for Natural, a natural language search engine and super app for iOS, which wants users to stop switching between apps to order food, groceries or go shopping. Backers include Laurene Powell Jobs’ Emerson Collective, Goodwater Capital, Scott Cook and WTT Investment.
Messaging app Element, built on the decentralized Matrix protocol, raised $30 million in a Series B round of funding. Investors include open-source R&D lab Protocol Labs and Metaplanet. a fund from Skype co-founder Jaan Tallinn, as well as past investors Automattic and Notion.
Indonesia-based grocery app HappyFresh raised $65 million in Series D funding in a round led by Naver Financial Corporation and Gafina B.V. The app offers an Instacart-like grocery delivery service for parts of Asia, which today operates in Indonesia, Malaysia and Thailand.
Indian D2C beauty brand MyGlamm, which sells products through an app and website, raised $71.3 million in Series C financing, from Amazon, Ascent Capital and Wipro.
Image Credits: Nanogram
Developer Kosta Eleftheriou may have taken on Apple in legal battles and on Twitter, as he points out the numerous app scams on the App Store, but that hasn’t stopped him from building new apps.
This week, Eleftheriou introduced Nanogram, a Telegram client app that works on the Apple Watch without needing an iPhone connection. Eleftheriou said he was inspired to build Nanogram because he wanted a Telegram app for his LTE Apple Watch and didn’t like the official version that didn’t provide “basic and reliable messaging functionality.” So he built his own app from scratch using the Telegram SDK, which allows you to send, receive and view all your messages and notifications right from your wrist — even if you don’t have your phone nearby. The app also supports Eleftheriou’s FlickType Swipe Keyboard for faster replies while on the go.
Eleftheriou notes the app doesn’t collect any personal information and requires an Apple Watch Series 3 or later, running watchOS 7 or later.
Image Credits: Lightricks
After seeing a 70% yearly increase for its iOS version, Lightricks brought its Videoleap app to the Google Play Store. The app has grown popular with online creators for offering professional quality editing tools on mobile, including those that let you apply artistic effects, mix videos with images, add text and layer transformations and more. The company says Videoleap users are now creating 35 million pieces of content per month, and 47% of users are exporting their creations to TikTok in pursuit of monetizing their content further. The app, like others from Lightricks (which also makes FaceTune and others), monetizes by way of in-app subscriptions.
Apple app store fees are a de facto global tax on the Internet. Epic is right.
— Elon Musk (@elonmusk) July 30, 2021
There’s a total of *six* different touch targets in the iOS 15 beta 4 tab bar in Safari.
These exclude the ability to long-press the tab bar, swipe across it to change tabs, and swipe it up to open the Tabs view.
I’m…starting to think a single, small toolbar just won’t do. pic.twitter.com/EiD2mekVRL
— Federico Viticci (@viticci) July 27, 2021
Shortcuts has a new “Return to Home Screen” action in iOS 15 developer beta 4 – this has been long requested from the community and is great to see! pic.twitter.com/8E3ZB7FIYX
— Matthew Cassinelli (@mattcassinelli) July 27, 2021
I've been fascinated to watch the reaction to Safari in iOS 15 because in 2016-2017, I worked on a similar redesign for mobile Chrome that we never launched. Finally decided to tell a bit of that story here: https://t.co/gF4hepQM5V
— Chris Lee (@cleerview) July 25, 2021
something fun & playful our team has been working on. what are *creative* ways we can utilize voice for more engaging convos on Spaces? how would you use these tools?
— Danny Singh (@Mr_DannySingh) July 22, 2021
Blue Origin’s protest to a U.S. governmental watchdog over NASA’s decision to award SpaceX a multi-billion dollar contract to develop a lunar lander was rejected.
The Government Accountability Office said Friday that it was denying both Blue Origin’s protest and a separate challenge filed by Dynetics, a defense contractor that also submitted a proposal for the contract. GAO concluded that NASA did not violate any laws or regulations when granting the sole award to SpaceX.
“As a result, GAO denied the protest arguments that NASA acted improperly in making a single award to SpaceX,” the agency said in a statement.
The formal protest was over NASA’s decision to award the contract for the Human Landing System Program, which aims to return humans to the moon for the first time since Apollo, solely to SpaceX — and not to two companies, as was originally intended. SpaceX’s proposal for the Human Landing System Program came in at $2.9 billion, around half of Blue Origin’s $5.99 billion proposal. Earlier this week, Bezos penned an open letter to NASA Administrator Bill Nelson offering to knock $2 billion off that price to solve the “near-term budgetary issues” that caused NASA to select just one company for the contract.
NASA’s decision to give just one company the award did veer from historical standard, but GAO maintained that “the [contract] announcement reserved the right to make multiple awards, a single award, or no award at all.”
Blue Origin maintains that it was not given time to revise its bid after NASA concluded it did not have sufficient funding for two awards. “Blue Origin was plainly prejudiced by the Agency’s failure to communicate this change in requirements,” the company said in the protest. “Blue Origin could have and would have taken several actions to revise its proposed approach, reduce its price to more closely align with funding available to the Agency, and/or propose schedule alternatives.”
Blue Origin and Dynetics submitted their separate protests in April.
Update: In response to the decision, a Blue Origin spokesperson told TechCrunch:
“We stand firm in our belief that there were fundamental issues with NASA’s decision, but the GAO wasn’t able to address them due to their limited jurisdiction. We’ll continue to advocate for two immediate providers as we believe it is the right solution.”
The spokesperson noted that the company was encouraged by lawmakers adding a provision to a bill in Senate that would require NASA to select two providers for the HLS program.
Elon Musk, meanwhile, had this to say about the decision…
— Elon Musk (@elonmusk) July 30, 2021
TechCrunch has reached out to Dynetics for comment. We will update the story if they respond.
In the last decade, high-quality design has become a necessity in the software space. Great design is a commodity, not a luxury, and yet, designing beautiful products and finding great designers continues to be a struggle for many entrepreneurs.
At Early Stage 2021, design expert Scott Tong walked us through some of the ways founders should think about design. Tong was involved in product and brand design at some of the biggest brands in tech, including IDEO, IFTTT, Pinterest and more. He’s now a partner at Design Fund.
Tong explained how to think about brand as more than a logo or a social media presence, what design means and the steps that come before focusing on the pixels, and gave guidance on when entrepreneurs should hire third-party design agencies or bring on full-time talent.
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“The purest treasure mortal times afford is spotless reputation,” wrote Shakespeare. Though we often think of a brand as a logo or a social media persona, a brand is the equivalent of a person’s reputation. It signifies what the company and products stand for, and it has an element of being memorable for something, whether it’s prestige, like for Chanel, or terrible customer service, like for Comcast.
The closest word in the English language to brand is actually reputation. The analogy is that brand is to company as reputation is to person. If you can link your brand with your company’s reputation, I think it’s a really great place to start when you’re having conversations about brands. What is the first impression? What are the consistent behaviors that your brand hopes to repeat over and over? What are the memorable moments that stand out and make your brand, your reputation memorable? (Timestamp: 2:40)
Tong outlined what design is truly about. There are many different schools of thought on design methodology and there are many different types of design. You may be thinking about product design and logo design and brand design all at the same time, and the only way to successfully hire for those tasks and complete them is to understand what design is, at its core.
Outvio, an Estonian startup that provides a white-label SaaS fulfillment solution for medium-sized and large online retailers in Spain and Estonia, has closed a $3 million early-stage financing round led by Change Ventures. Also participating were TMT Investments (London), Fresco Capital (San Francisco), and Lemonade Stand (Tallinn). Several angels also joined the round including James Berdigans (Printify) and Kristjan Vilosius (Katana MRP). This is the startup’s first institutional round of funding, after bootstrapping since 2018.
Online retailers usually have to use a number of different tools or hire expensive developers to create in-house shipping solutions. Outvio offers online stores of any size a post-purchase shipping experience, which seeks to replicate an Amazon-style experience where customers can also return packages. Among others, itcompetes with ShippyPro, which runs out of Italy and has raised $5 million to date.
Juan Borras, co-founder and CEO of Outvio said: “We can give any online store all the tools needed to offer a superior post-sale customer experience. We can integrate at different points in their fulfilment process, and for large merchants, save them hundreds of thousands in development costs alone.”
He added: “What happens after the purchase is more important than most shops realize. More than 88% of consumers say it is very important for them that retailers proactively communicate every fulfilment and delivery stage. Not doing so, especially if there are problems, often results in losing that client. Our mission is to help online stores streamline everything that happens after the sale, fueling repeat business and brand-loyal customers with the help of a fantastic post-purchase experience.”
Rait Ojasaar, Investment Partner at lead investor Change Ventures commented: “While online retailing has a long way to go, the expectations of consumers are increasing when it comes to delivery time and standards. The same can be said about the online shop operators who increasingly look for more advanced solutions with consumer-like user experience. The Outvio team has understood exactly what the gap in the market is and has done a tremendous job of finding product-market fit with their modern fulfilment SaaS platform.”
Luxembourg’s National Commission for Data Protection (CNPD) has hit Amazon with a record-breaking €746 million ($887m) GDPR fine over the way it uses customer data for targeted advertising purposes.
Amazon disclosed the ruling in an SEC filing on Friday in which it slammed the decision as baseless and added that it intended to defend itself “vigorously in this matter.”
“Maintaining the security of our customers’ information and their trust are top priorities,” an Amazon spokesperson said in a statement. “There has been no data breach, and no customer data has been exposed to any third party. These facts are undisputed.
“We strongly disagree with the CNPD’s ruling, and we intend to appeal. The decision relating to how we show customers relevant advertising relies on subjective and untested interpretations of European privacy law, and the proposed fine is entirely out of proportion with even that interpretation.”
The penalty is the result of a 2018 complaint by French privacy rights group La Quadrature du Net, a group that claims to represent the interests of thousands of Europeans to ensure their data isn’t used by big tech companies to manipulate their behavior for political or commercial purposes. The complaint, which also targets Apple, Facebook Google and LinkedIn and was filed on behalf of more than 10,000 customers, alleges that Amazon manipulates customers for commercial means by choosing what advertising and information they receive.
La Quadrature du Net welcomed the fine issued by the CNPD, which “comes after three years of silence that made us fear the worst.”
“The model of economic domination based on the exploitation of our privacy and free will is profoundly illegitimate and contrary to all the values that our democratic societies claim to defend,” the group added in a blog post published on Friday.
The CNPD has also ruled that Amazon must commit to changing its business practices. However, the regulator has not publicly committed on its decision, and Amazon didn’t specify what revised business practices it is proposing.
The record penalty, which trumps the €50 million GDPR penalty levied against Google in 2019, comes amid heightened scrutiny of Amazon’s business in Europe. In November last year, the European Commission announced formal antitrust charges against the company, saying the retailer has misused its position to compete against third-party businesses using its platform. At the same time, the Commission a second investigation into its alleged preferential treatment of its own products on its site and those of its partners.
Catch is working to make sure that every gig worker has the health and retirement benefits they need.
The company, which is in the midst of moving its headquarters to New York, sells health insurance, retirement savings plans and tax withholding directly to freelancers, contractors or anyone uncovered.
It is now armed with a fresh round of $12 million in Series A funding, led by Crosslink, with participation from earlier investors Khosla Ventures, NYCA Partners, Kindred Ventures and Urban Innovation Fund, to support more distribution partnerships and its relocation from Boston.
Co-founders Kristen Anderson and Andrew Ambrosino started Catch in 2019 and raised $6.1 million previously, giving it a total of $18.1 million in funding.
It took the Catch team of 15 nearly two years to get approvals to sell its platform in 38 states on the federal marketplace. Anderson boasts that only eight companies have been able to do this, and three of them — Catch included — are approved to sell benefits to consumers. The other side of the business is payroll, and the company has gathered thousands of sources based on biller.
“More companies are not offering healthcare, while more people are joining the creator and gig economies, which means more people are not following an employer-led model,” Anderson told TechCrunch.
The age of an average Catch customer is 32 years old, and in addition to current offerings, were asking the company to help them set up income sources, like setting aside money for taxes, retirement, as well as medical leave without having to actively save.
When the global pandemic hit, many of Catch’s customers saw their income collapse, 40% overall across industries, as workers like hairstylists and cooks had income go down to zero in some cases.
It was then that Anderson and Ambrosino began looking at partnership distribution and developed a network of platforms, business facilitation tools, gig marketplaces and payroll companies that were interested in offering Catch. The company intends to use some of the funding to increase its headcount to service those partnerships and go after more, Anderson said.
Catch is one startup providing insurance products, and many of the competitors either do a single offering and do it well, like Starship does with health savings accounts, Anderson said. Catch is taking a different approach by offering a platform experience, but going deep on the process, she added. She likens it to Gusto, which provides cloud-based payroll, benefits and human resource management for businesses, in that Catch is an end-to-end experience, but with a focus on an individual person.
Over the past year, the company’s user base tripled, driven by people taking on second jobs and through a partnership with DoorDash. Platform users are also holding onto 5 times their usual balances, a result of setting more goals and needing to save more, Anderson said. Retirement investments and health insurance have grown similarly.
Going forward, Anderson is already thinking about a Series B, but that won’t come for another couple of years, she said. The company is looking into its own HSA product as well as disability insurance and other products to further differentiate itself from other startups, for example, Spot, Super.mx and Even that all raised venture capital this month to provide benefits.
Catch would also like to serve a broader audience than just those on the federal marketplace. The co-founders are working on how to do this — Anderson mentioned there are some “nefarious companies out there” offering medical benefits at rates that can seem too good to be true, but when the customer reads the fine print, finds out that certain medical conditions are not covered.
“We are looking at how to put the right thing in there because it does get confusing,” Anderson added. “Young people have cheaper options, which means they need to make sure they know what they are getting.”
Startups and SMBs are usually the first to adopt many SaaS products. But as these customers grow in size and complexity — and as you rope in larger organizations — scaling your infrastructure for the enterprise becomes critical for success.
Below are four tips on how to advance your company’s infrastructure to support and grow with your largest customers.
If you’re building SaaS, odds are you’re holding very important customer data. Regardless of what you build, that makes you a threat vector for attacks on your customers. While security is important for all customers, the stakes certainly get higher the larger they grow.
Given the stakes, it’s paramount to build infrastructure, products and processes that address your customers’ growing security and reliability needs. That includes the ethical and moral obligation you have to make sure your systems and practices meet and exceed any claim you make about security and reliability to your customers.
Here are security and reliability requirements large customers typically ask for:
Formal SLAs around uptime: If you’re building SaaS, customers expect it to be available all the time. Large customers using your software for mission-critical applications will expect to see formal SLAs in contracts committing to 99.9% uptime or higher. As you build infrastructure and product layers, you need to be confident in your uptime and be able to measure uptime on a per customer basis so you know if you’re meeting your contractual obligations.
While it’s hard to prioritize asks from your largest customers, you’ll find that their collective feedback will pull your product roadmap in a specific direction.
Real-time status of your platform: Most larger customers will expect to see your platform’s historical uptime and have real-time visibility into events and incidents as they happen. As you mature and specialize, creating this visibility for customers also drives more collaboration between your customer operations and infrastructure teams. This collaboration is valuable to invest in, as it provides insights into how customers are experiencing a particular degradation in your service and allows for you to communicate back what you found so far and what your ETA is.
Backups: As your customers grow, be prepared for expectations around backups — not just in terms of how long it takes to recover the whole application, but also around backup periodicity, location of your backups and data retention (e.g., are you holding on to the data too long?). If you’re building your backup strategy, thinking about future flexibility around backup management will help you stay ahead of these asks.
What comes to mind when you think of livestreaming? In the U.S., most people would name their favorite celebrity leading a Q&A on Instagram or a gamer doing a speedrun on Twitch.
In China, it’s shopping, streamed live.
Livestream e-commerce has taken off in China in the last few years and is expected to yield more than $60 billion this year. In 2019, 37% of online shoppers in China (a cool 265 million people) made purchases on livestreams — and that was well before quarantine. In 2020, it’s estimated to have reached around 560 million people.
During Taobao’s annual Single’s Day Global Shopping Festival in 2020 (China’s Black Friday), livestreams accounted for $6 billion in sales — nearly doubled from a year earlier.
Starting to see a trend? The big U.S. companies have noticed, and they’re jumping on the bandwagon faster than you can say, “Swipe up to buy now!”
Last December, Walmart livestreamed shopping events on TikTok. Amazon released a live platform where influencers promote items and chat with customers. Instagram launched a Shop feature that encourages users to browse and buy within the app. Facebook also kicked off Live Shopping Fridays for the beauty and fashion categories.
“It’s an entertaining way for shops to tell the story behind their products. It brings buyers closer than ever to their favorite creators and allows them to have a voice in the conversation.”
Startups are growing fast to keep up with the heavy hitters — PopShop.Live raised $20 million to let people buy everything from books and toys to jewelry from sellers who livestream their offerings, and Whatnot raised a $50 million Series B, largely to expand its livestream commerce infrastructure. There’s also a burgeoning category of SaaS tools such as Bambuser, which is working with brands like Klarna to test native livestream shopping directly within branded apps.
At this pace, retailers will all welcome livestream commerce teams like they have influencer partnerships in recent years. It’ll just be part of the digital equation to stay competitive and relevant in the future of marketplaces and e-commerce.
What is old is new again. Your grandparents spent years watching QVC because it balanced the experience of speaking with an associate with the convenience of their retirement community’s TV room. Livestream is today’s version of “shoptainment,” where hosts showcase products dynamically, interact with their audiences and build urgency with short-term offers, giveaways and limited-edition items.
Now, with livestream commerce, hosts can form deeper customer connections and answer questions in real time. It’s a new standard of communication that holds a longstanding truth from Istanbul’s Grand Bazaar to smartphones: People shop to kill time and are more likely to buy when they feel connected with a salesperson.
Today we’re wrapping our multi-week exploration of the global venture capital market’s second-quarter performance. We’ve gone around the world, working to better understand the geyser of cash flowing into today’s startups. But we’ve saved the best for last: Latin America.
At a glance, the Latin American venture capital and startup market appears similar to what we’ve seen from other growing ecosystems. Like the U.S., Canadian, European, Indian and African startup hubs, Latin America is seeing venture capital activity set records.
The Exchange explores startups, markets and money.
But inside the big numbers is a surprising picture of a startup market in the process of maturing while outside money hunts for breakout opportunities.
To help us in our exploration of Latin America’s epic second quarter, we collected notes and observations from NXTP’s Gonzalo Costa, Magma Partners’ Nathan Lustig and ALLVP’s Federico Antoni. We also have data from Dealroom, CB Insights, the Global Private Capital Association (GPCA) and ALLVP.
Today we’re digging into the data, yes, but also the human potential behind the startup rush. According to Antoni, the Latin American startup market of today “is a story about talent, not about capital.” Echoing the point in a recent piece about “the Latin American startup opportunity,” U.S. venture capital firm Sequoia wrote that it has “been blown away by the quality of founders in the current wave.” So we’ll have to do more than just read charts.
The union of talent and money is what startup markets need to thrive. But there are other reasons why Latin American startups are so frequently in the news today, including structural factors, such as strong digital penetration and quick e-commerce growth.
Those trends could have long lives. NXTP’s Costa made a bullish argument: The portion of “market capitalization from technology companies in Latin America is only 2.5% today compared to 40%+ in the U.S,” and his firm expects the two numbers to “converge in the long-term.” Our read of that set of data points is that there are a host of future Latin American public tech companies being founded — and funded — today.
Let’s talk about Latin American venture capital data, dig into which countries are rising stars in the region, learn how quickly Latin American startups have to go cross-border, and explore how quickly capital is recycling in the ecosystem – always a key test for startup-market longevity.
Latin America is on pace for all-time records in venture capital dollars raised and venture capital rounds in 2021. According to CB Insights data, startups in the region have already raised $9.3 billion in 2021’s first six months from 414 deals. The same data set indicates that in all of 2020, startups in the region raised $5.3 billion across 526 deals. And in case you’re worried that we’re comparing to an unfairly COVID-impacted year, in 2019 the numbers were $5.3 billion (again) from 614 individual deals.
This year is different, and the second quarter of 2021 was simply an outlier event. With some $7.2 billion invested in Latin American startups, Q2 2021’s closest rival in terms of quarterly venture totals was the second quarter of 2017, when $2.6 billion was invested.
DevOps is fundamentally about collaboration and agility. Unfortunately, when we add security and compliance to the picture, the message gets distorted.
The term “DevSecOps” has come into fashion the past few years with the intention of seamlessly integrating security and compliance into the DevOps framework. However, the reality is far from the ideal: Security tools have been bolted onto the existing DevOps process along with new layers of automation, and everyone’s calling it “DevSecOps.” This is a misguided approach that fails to embrace the principles of collaboration and agility.
Integrating security into DevOps to deliver DevSecOps demands changed mindsets, processes and technologies. Security and risk management leaders must adhere to the collaborative, agile nature of DevOps for security testing to be seamless in development, making the “Sec” in DevSecOps transparent. — Neil MacDonald, Gartner
In an ideal world, all developers would be trained and experienced in secure coding practices from front end to back end and be skilled in preventing everything from SQL injection to authorization framework exploits. Developers would also have all the information they need to make security-related decisions early in the design phase.
If a developer is working on a type of security control they haven’t worked on before, an organization should provide the appropriate training before there is a security issue.
Once again, the reality falls short of the ideal. While CI/CD automation has given developers ownership over the deployment of their code, those developers are still hampered by a lack of visibility into relevant information that would help them make better decisions before even sitting down to write code.
The entire concept of discovering and remediating vulnerabilities earlier in the development process is already, in some ways, out of date. A better approach is to provide developers with the information and training they need to prevent potential risks from becoming vulnerabilities in the first place.
Consider a developer that is assigned to add PII fields to an internet-facing API. The authorization controls in the cloud API gateway are critical to the security of the new feature. “Shifting left and extending right” doesn’t mean that a scanning tool or security architect should detect a security risk earlier in the process — it means that a developer should have all the context to prevent the vulnerability before it even happens. Continuous feedback is key to up-leveling the security knowledge of developers by orders of magnitude.
Pangea, a Providence, Rhode Island-based startup that connects youthful talent and businesses in need of freelance labor, announced this morning that it has closed an oversubscribed $2 million seed round.
Pangea CEO and co-founder Adam Alpert told TechCrunch that his company had set out to secure $1.5 million, but wound up raising more. We’re hearing that somewhat often these days.
IDEA Fund Partners’ Lister Delgado led the round. Other investors in the transaction included Unpopular Ventures, Brown Angel Group, PJC and a number of individuals.
The startup graduated from Y Combinator earlier in the year, raising a check from the accelerator and another $350,000 since it closed a $400,000 pre-seed round last April. All told, Pangea has raised around $3 million.
The startup runs a marketplace that links college-age talent to companies in need of their services. Given the skillset of many college students, social media and web developer work are popular on the Pangea platform.
The model is scaling. Per Alpert and his co-founder John Tambunting, gross merchandise volume (GMV), or the value of sold services on Pangea’s market, rose 400% on a year-over-year basis in Q2 2021. And the CEO disclosed earlier in July that the company’s GMV rose 40% in the preceding four weeks.
For context, TechCrunch reported that Pangea was “facilitating $50,000 in transactions between college freelancers and businesses” in March 2021. That figure should now be heading toward the $100,000 monthly GMV run-rate threshold. We’ll annoy the company for new growth figures when Q3 ends.
The latest Pangea round was a priced event, meaning that the startup has graduated from the comfortable early-stage realm of SAFEs and other related instruments. The seed round values the company into the modest end of the eight-figure range.
What will Pangea use the money for? To scale its human capital. The company, currently four full-time staff, intends to more than double to nine.
And because it is based in Providence, a cheaper market than New York or San Francisco, its new capital will give it more time to grow. Alpert told TechCrunch that its seed capital will give it “20-25 product cycles,” the first time that we’ve heard runway expressed in that particular manner. We like it.
The CEO said that building in Providence, a “smaller city,” allows Pangea to better focus. And he said that because investors are now willing to invest remotely, the location is not particularly remote.
The startup is not the only upstart technology company in town. Alpert told TechCrunch that the Providence startup scene is starting to grow, saying that “a year ago, there was very little happening, but now there are now several other venture-backed, seed-stage startups here all working on the same floor as us.”
TechCrunch recently swung by the company’s office where its staff and collected summer interns were meeting. (Disclosure: Your scribe is not a very good photographer):
Image Credits: Alex Wilhelm. Look! A startup in an office! Doing things!
Adam Alpert, Tae Sam Lee Zamora, Kacie Galligan, John Tambunting. Via the company.
Pangea now has more capital than it has ever had to keep building out its product lineup, scale GMV and start extending its runway with revenue growth. Let’s see how far this seed round can take it, and how long it takes the startup to reach Series A scale.
Rocket Lab is back in business launching rockets after an issue during its last launch in May caused a total loss of the payloads on board. The company was quick to investigate the issue and announced just over a week ago that it had completed that work, identified the problem and implemented corrective action to make sure it doesn’t happen again.
The launch today, which took off from the company’s Launch Complex 1 in New Zealand, was an important one to get right: It delivered a satellite for the U.S. Space Force to low Earth orbit. This is the second Space Force mission that Rocket Lab has provided launch services for.
On board the Electron launch vehicle for this mission was a demonstration satellite called Monolith, which is equipped with a new kind of deployable sensor that could, if it works as designed, pave the way for significantly smaller satellite buses in future spacecraft designs for things like weather and observation satellites.
This turnaround after a failed launch and loss of client payload is another benefit of Rocket Lab’s ability to quickly turn around rockets and missions. It’ll definitely be under increased scrutiny for a little while, however, considering that this latest mishap was the second anomaly to result in mission failure in just under a year.
Exo, pronounced “echo,” raised a fresh cash infusion of $220 million in Series C financing aimed at commercializing its handheld ultrasound device and point-of-care workflow platform, Exo Works.
The round was led by RA Capital Management, while BlackRock, Sands Capital, Avidity Partners, Pura Vida Investments and prior investors joined in.
The new funding gives the Redwood City, California-based company over $320 million in total investments since the company was founded in 2015, Exo CEO Sandeep Akkaraju told TechCrunch. This includes a $40 million investment raised in 2020.
Ultrasound machines can cost anywhere from $40,000 to $250,000 for low-end technology and into the millions for high-end machines. Meanwhile, Exo’s device will be around the cost of a laptop.
“It is clear to us that ultrasound is the future — it is nonradiating and has no harmful side effects,” Akkaraju said. “We want to take the technology and put it in the palms of physicians. We also want to bring it down to the patient level. The beauty of having this window into the body is you can immediately see things.”
Using a combination of artificial intelligence, medical imaging and silicon technology, the device enables users to use it in a number of real-world medical environments like evaluating cardiology patients or scanning lungs of a COVID-19 patient. It can also be used by patients at home to provide real-time insight following a surgical procedure or to monitor a certain condition.
Exo then adds in its Exo Works, the workflow platform, that streamlines exam review, documentation and billing in under one minute.
Akkaraju said the immediate focus of the company is commercializing the device, which is where most of the new funding will go. He intends to also build out its informatics platform that is being piloted across the country and to ramp up both production and its sales force.
The global point-of-care ultrasound market is expected to reach $3.1 billion by 2025 and will grow 5% annually over that period. In addition to physicians, Akkaraju is hearing from other hospital workers that they, too, want to use the ultrasound device for some of their daily tasks like finding the right vein for an IV.
Once the company’s device is approved by the U.S. Food and Drug Administration, Exo will move forward with its plan to bring the handheld ultrasound device to market.
Zach Scheiner, principal with RA Capital Management, said he met the Exo team in 2020 and RA made its first investment in the Series B extension later that year.
He was “immediately compelled” by the technology and the opportunity to scale. Scheiner also got to know Akkaraju over the months as well as saw how Exo’s technology was improving.
“We are seeing an expanding opportunity in healthcare technology as it improves and costs go down,” he added. “The vision Sandeep has of democratizing the ultrasound is not a vision that was possible 15 or 20 years ago. We are seeing the market in its early stage, but we also recognize the potential. Every doctor should want one to see what they were not able to see before. As technology and biology improves, we are going to see this sector grow.”
“I wanted to discuss this now so that you can see the future that we’re working towards and how our major initiative across the company are going to map to that,” Zuckerberg said on the call. “What is the metaverse? It’s a virtual environment where you can be present with people in digital spaces. You can kind of think of this as an embodied internet that you’re inside of rather than just looking at.”
These comments echoed an interview he gave to The Verge last week, detailing some of the company’s future goals.
The metaverse offers Facebook an opportunity to draw a line between its moonshot efforts and its core business, building a wide-reaching hub that shines on augmented reality and virtual reality platforms but feels just as friendly on mobile and desktop. Zuckerberg’s definition of metaverse is more broad than some others, but comes down to building a version of the web that feels more like an MMO than a collection of web pages.
Early renders of Facebook’s Horizon platform. Image via Facebook.
It’s hard to imagine now, but Facebook was late to mobile. A decade ago, Facebook’s apps were buggy, crash-prone HTML5 experiences, even as smooth native mobile apps were quickly becoming the standard for major software makers. By 2012, Zuckerberg realized that apps were the future — quickly becoming the present — and the Facebook founder scrambled to turn the company’s attention toward mobile at every level. Facebook doesn’t intend to make the same mistake twice. That philosophy first became abundantly clear when the company bought the industry-leading VR hardware maker Oculus in 2014.
“Mobile is the platform of today, and now we’re also getting ready for the platforms of tomorrow,” Zuckerberg said around the time of the two billion dollar acquisition. “Oculus has the chance to create the most social platform ever, and change the way we work, play and communicate.”
Becoming “a metaverse company” is a further evolution of this thinking. For many, Roblox has seemed to be the clearest embodiment of the metaverse today — a social world where users can jump between virtual experiences while creating their own experiences inside it. It’s notably not a virtual reality experience instead thriving largely on mobile and desktop. Roblox’s vision has resonated with investors, the now-public company is worth more than $45 billion — a fraction of Facebook’s value but more than almost any other games company in the West.
Facebook has been signaling its continued interest in this space. In June they bought a Roblox-like platform called Crayta for an undisclosed sum, and they’ve spent much of the last several years buying up a host of VR-focused game studios.
The company has tried to build its own VR-centric social hubs but most have fallen flat. Facebook’s metaverse-like Horizon platform garnered major headlines when it was announced nearly two years ago, but the company has had little to say during its exceedingly quiet beta period. This week, Facebook’s Andrew Bosworth detailed that Gaming VP Vivek Sharma would be taking over the effort under a new metaverse-centric product group led by Instagram’s Vishal Shah.
There’s a very particular distinction in Facebook’s choice of rebranding itself as a “metaverse” company as opposed to an AR/VR one. While some might have seen specialized hardware as essential to a spatial internet, it’s become increasingly clear that users aren’t clamoring to embrace early headsets even as other new gaming platforms greatly accelerate their growth. While the company’s Quest 2 headset has sold much better than its previous devices — according to Facebook which has yet to release any hard sales numbers — it’s unclear whether they truly need a world full of users with Facebook glasses and headsets strapped to their faces in order to embrace this metaverse ideal — or whether that would just be the cherry on top.