Jan
23

Study: 6 in 10 Americans have heard about Bitcoin

There's a high-stakes race among the biggest tech companies, from Google to Amazon, to stake out turf in the burgeoning artificial intelligence market.

But ask IBM, and it will tell you it has the home-field advantage.

After all, in 1957, the company helped prove that AI had practical uses when it programmed an IBM 704 to play checkers and to learn from its experiences. In 2011, an IBM super-computer named Watson became the champ of the TV trivia game show "Jeopardy."

And although IBM's focus is on technology for enterprise customers, rather than direct to consumer products, the 107-year-old company is not about to let its AI reputation be stolen by upstarts like Google, Facebook, Amazon.

On Monday, IBM announced that it has released AI specially "pre-trained" for nine industries, including human resources, supply chain, manufacturing, and advertising.

These AI tools, part of the Watson Decision Platform, come pre-programmed to understand the language, tasks and challenges of each industry. The pre-trained AI still allows customers to customize for their specific situation. Among the companies already signed up are H&R Block, Ingersoll Rand, and Subway.

Earlier this month, IBM launched a new tool that scans AI software and uncovers all kinds of nasty bias. If an insurance company isn't giving loans to members of a particular minority group, this tool will unearth it.

David Kenny, senior vice president of IBM Cognitive Solutions, told Business Insider that IBM's AI has more than 16,000 applications applied in more than 20 industries and across 80 countries.

The IBM team that participated in the June 2018 debate that saw two experienced debaters compete against IBM's AI system (center). Greg Sandoval/Business Insider

"AI is becoming a better way for people to make decisions," Kenny said. "We are focused on helping businesses improve their work flows and get more out of all their data."

For IBM, all the attention paid to the likes of Facebook, Google, and Amazon over their AI efforts must be strange. Part of that is due to the skill the tech companies have in putting on a good show.

Google Home and Amazon Alexa are consumer AI, digital assistants that speak with their owners. This is the kind of futuristic tech that sparks the public's imagination. In May, when Google unveiled Duplex, the appointment-making software that can carry on conversations in a human-sounding voice, the tech press couldn't write enough.

That doesn't rattle IBM's brass says Kenny. First of all, IBM has also showcased its own talking AI, called Debater, that received a lot of positive press. Secondly, much of what the other guys are doing involves consumers.

IBM has some experience with consumer goods. The company was once among the dominant PC makers. But that was an anomaly for the company, according to Kenny. With AI, Big Blue has its sights squarely on the enterprise market, an area where it has more than a century of experience.

See Also: A former TV comedy writer learned three ways to succeed at impossible tasks when he taught an IBM computer how to argue

"The digital assistants are in a big, broad market," Kenny said. "I don't see us going into the crowded consumer space."

IBM says it recently surveyed 5,000 executives, asking them where AI could provide the greatest value. Some of the areas the execs identified were IT, information security, customer service and risk management.

"Those are clearly areas where IBM has both deep experience and street cred," said Charles King, principal analyst at Pund-IT, an IT research company. "There are problems that are well beyond the current capabilities of Amazon Alexa and Google Voice so IBM has what you might call great field advantage."

Original author: Greg Sandoval

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Jan
23

Here’s how Vine replacement v2 will work

The Instagram cofounders' Monday night bombshell, that they were resigning from Facebook, has all the telltale signs of a bad breakup.

But to people inside the organization, the divorce was a long time coming, even if the announcement came without warning.

The photo-sharing app was acquired by Facebook in 2012 and has flourished under the wings of Facebook. With more than 1 billion users and a fast-growing ad business, Instagram is considered by many to be Facebook's smartest acquisition and among the best deals in tech industry history.

The success masked many of the tensions between Instagram and its parent company. The two cultures are very different, with separate traditions and priorities.

To Instagrammers, Facebook is the soul-less corporate giant that happens to own them. To many Facebook employees, Instagram people are arrogant, "too cool for school," and not team players.

After years of finding common ground and resolving differences, the leadership of the two companies appears to have reached a breaking point this week. Kevin Systrom and Mike Krieger, the two founders of Instagram, announced their plans to leave in a freighted farewell note.

Exactly what triggered the breaking point remains unclear, but according to several sources that Business Insider spoke to, there's been a long buildup of friction between the two organizations.

Kevin likes getting things perfect, Facebook prefers iteration

Instagram and Facebook's teams work very differently. Instagram has an extremely heavy focus on design, with significant thought going into new products before launch, with the intent to perfect them before unveiling them to the world.

Facebook, in contrast, has a more iterative and data-driven approach, looking at what users are already doing, and frequently making minor changes to the product. "Kevin focuses a lot on visual feel and getting things perfect, while Facebook prefers iteration," a source said.

Instagram's design-heavy focus stems from the top down — Systrom is into fashion, while Krieger collects art. When Instagram was rushing to get its Stories product out the door in the summer of 2016, Krieger personally jumped in and built the neon effects pen that gives the feature some of its distinctive flair, another source recalled.

With the duo out of the picture, sources predicted ever-closer integration between the two groups, with Instagram morphing from a semi-autonomous organization into a product unit within the Facebook organization.

Although Systrom and Krieger were always careful to be diplomatic in public comments about the relationship with Facebook, the growing pressure from Facebook to integrate the two platforms was a longstanding source of tension that required them to push back at times and to acquiesce at others.

The Justin Bieber stress test

One such area was advertising: Early in Instagram's history, its focus when it came to ads was high-quality, glossy ads: At one point, Systrom was approving every single one himself. But the model could not scale, and Facebook pushed the company into integrating more closely with its own advertising business. Instagram employees were worried at the time, but it ultimately resulted it a sustained growth in revenues and profits for the app.

Another early example was the launch of Instagram's web profiles back in November 2012, shortly after Facebook acquired Instagram for $1 billion. Systrom was worried that it doing so could lead to spam on the platform, but Facebook pushed for it because of its potential for businesses and to grow the userbase.

At the same time, Instagram has benefitted immeasurably from Facebook's guidance and technical expertise. Prior to the acquisition, the social network would buckle under the weight of Justin Bieber, its servers crashing as they struggled to handle his millions of fans. It remains an open question whether Instagram could have succeeded the same way — recently hitting the one-billion-user mark — without Facebook's help.

Facebook CEO Mark Zuckerberg Chip Somodevilla/Getty Images

Facebook and Instagram have clashed recently

There have been significant more recent clashes leading up to Systrom and Krieger's exits. Employees at Instagram felt they were losing autonomy, as the two products became more closely integrated over the last year.

One recent flashpoint: Users can share photos from Instagram to Facebook, and historically this included an attribution line leading back to Instagram. But this was removed, to the frustration of Instagram. (Recode also previously reported that this was a point of contention.)

"Kevin [Systrom] has been super-pissed-off" at Mark [Zuckerberg]," an anonymous 'high-level" source told NBC News.

Interestingly, last week there was also a report from The Verge alleging that Instagram was considering a feature that would let users re-share friends' photos onto their own feed. Facebook initially declined to comment on the report, and only later denied it was true. (The Verge stands by its reporting.) It's not clear what the truth of the matter is, or if it played any part in Krieger and Systrom's ultimate exit.

One source said they expected Systrom's recent paternity leave following the birth of his first child to have played a part in his decision to go.

The departure of both cofounders simultaneously — with no staggered transition period between them — has alarmed some observers, but a source didn't think it was surprising that they jumped ship together: "They have a really, really strong cofounder relationship. That's always ... been the case."

Do you work at Instagram or Facebook? Got a tip? Contact this reporter via Signal or WhatsApp at +1 (650) 636-6268 using a non-work phone, email at This email address is being protected from spambots. You need JavaScript enabled to view it., WeChat at robaeprice, or Twitter DM at @robaeprice. (PR pitches by email only, please.)You can also contact Business Insider securely via SecureDrop.

Original author: Rob Price

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Jul
01

The Startup Community community

After a Hawaiian telescope spotted 'Oumuamua traveling through space in October 2017, astronomers realized it was weird.

Very weird.

The object had a cigar-like shape and was 750 feet by 115 feet in size, or roughly as large as a skyscraper. It was dark red in color and moving inexplicably fast. Just in case, one group of astronomers even scanned it for alien radio emissions (yet heard nothing).

Most importantly, 'Oumuamua wasn't circling the sun like a typical space rock. Instead, it had dived between Mercury and the sun, swooped below our home star, and was zooming past Earth on its way out of our solar system.

This showed that 'Oumuamua — whose name means "a messenger from afar, arriving first" in Hawaiian — was actually an interstellar traveler from beyond the solar system.

The path of the object 'Oumuamua through the solar system in September and October 2017.nagualdesign and Tomruen/Wikipedia (CC BY-SA 4.0)

Astronomers eventually determined 'Oumuamua wasn't an asteroid but instead a "mildly active" comet.

But if it is not from our solar system, then where did it come from?

Using the newest and most precise star map ever created, eight astronomers have located four stars that are candidates for 'Oumuamua's home. Each star's path in relatively recent cosmological history matches somewhat closely to the comet's historic path.

Their study, highlighted Tuesday in a European Space Agency (ESA) press release, was recently accepted for publication in the Astronomical Journal, a peer-reviewed science publication.

How the team found candidate homes for 'Oumuamua

An illustration of the Gaia spacecraft.ESA

The research team began its search with an unprecedented map of 1.7 billion stars created by an ESA spacecraft called Gaia. The new map, released in April, is the second Gaia dataset published by the ESA since the spacecraft launched in December 2013.

The map doesn't just note the position of the stars, though: It also shows where stars are moving through space and how fast.

About 7 million stars in Gaia's database have motion data that is detailed enough to let astronomers to precisely "rewind" their positions to millions of years in the past.

By comparing the historic path of 'Oumuamua against these millions of stars, the team discovered four candidates which line up within a few light-years of the comet. One of these star systems may have ejected 'Oumuamua toward Earth, likely via a giant planet early in the system's formation.

All of the candidates are dwarf stars, which means they are small and burn very hot. Two were previously studied (HD 292249 and HIP 3757) and two others were temporarily named "home-3" and "home-4" by the tem.

The closest match to the path of 'Oumuamua was with the dwarf star HIP 3757. The paths of the star and wayward comet came within two light-years of each other some 1 million years or so ago.

Why the search is not over

Gaia's all-sky view of our Milky Way Galaxy and neighbouring galaxies, based on measurements of nearly 1.7 billion stars. ESA/Gaia/DPAC

The team still isn't confident they've found 'Oumuamua's home.

For one, Gaia's latest and most detailed sample of 7 million stars — while vast — is only partial. Some 180 million stars exist closer to Earth than the ones examined by the research team.

"Hence it is [therefore] unlikely that we would find the home system in our study," the authors wrote in their study.

The team also looked for encounters within the past few million years. In reality, 'Oumuamua may have traveled much farther and longer before reaching our solar system — perhaps tens of millions of years or more, the authors said.

In addition, the four stars pinpointed by the search aren't yet known to harbor any planets, let alone worlds large enough to kick 'Oumuamua out of its home star system.

Finally, the speed of 'Oumuamua is better explained by a two-star (or binary) system, yet none of the four systems described by the study have more than one star in them.

The astronomers behind the work are waiting for Gaia's third star map to be released. Those data should describe the ultra-precise motions of 10 times as many nearby stars as the team looked at for their study — perhaps including the one from which our interstellar visitor originated.

"The search for 'Oumuamua's home continues," the authors said.

Original author: Dave Mosher

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Sep
25

Some of the last interviews Instagram founder Kevin Systrom gave before leaving Facebook might hint at what his concerns were

On Monday, Instagram cofounders Kevin Systrom and Mike Krieger made the unexpected announcement that they would be leaving the company in the the coming weeks.

They didn't provide a reason for quitting, but in the last interviews he gave before announcing his departure, Systrom may have hinted at why he and Krieger decided to leave the company.

Systrom recently made an appearance on the Masters of Scale podcast hosted by Reid Hoffman, where he discussed his visions for Instagram and how the company came to be. In the interview, Systrom spoke about his decision to sell Instagram to Facebook, and how he was initially optimistic about the relationship.

"The decision to sell was mostly about whether or not we were aligned in our vision of Instagram, and I think Mark and I both saw at the time that Instagram was a special thing," Systrom said in the interview. "It wasn't going to be like, 'Oh, we'll buy this thing and it'll just be Facebook Photos.' Like, 'We'll rebrand it as Facebook Photos.' It's a unique community and had a unique angle and he wanted to invest in it."

Systrom also explained how Facebook's infrastructure had a huge effect on Instagram's growth, and the relationship between the two companies was mutually beneficial. However, according to Recode, this relationship began to decay as Facebook began to take Instagram in a different direction — a direction that was antithetical to Systrom's vision of keeping Instagram "simple" and distinct from Facebook.

"The whole idea of joining Facebook was that we could scale way more quickly than we would independently," Systrom said in a recent interview with The Wall Street Journal, which was conducted before his departure announcement. While the ability to quickly scale the Instagram platform was an upside to selling to Facebook, Systrom may have come to disagree with how the parent company was treating that relationship.

However, it's been rumored that the duo's departure came as a result of some headbutting with Facebook executives over their conflicting visions of what Instagram should be, and whether the social media app was competing with Facebook's userbase. Multiple sources told Recode that Systrom and Krieger were frustrated with how Facebook had been dealing with Instagram lately, after an initially smooth and co-beneficial relationship for the first six years.

In the last year or so, Facebook lessened its promotion of Instagram, according to Recode, removing the Instagram label when pictures from the platform were shared to Facebook and decreasing the amount of Instagram promotion from within Facebook, in addition to testing Instagram notifications that would send people to Facebook. Recode is also reporting that there was conflict over the introduction of Instagram TV, and that Facebook was worried it would draw users away from Facebook's own in-app video service. Given the sum of these actions, Recode's sources claim Instagram executives were worried Facebook may have been intentionally slowing Instagram's growth.

For now, Systrom isn't setting the record straight one way or the other, but that could change once the executive officially departs the company in coming weeks — or perhaps the next time he sits down with a reporter to talk about whatever new project he's working on next.

You can listen to or read Systrom's interview with Hoffman on the Masters of Scale podcast here. You can read the full Wall Street Journal article here.

Original author: Sean Wolfe

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Sep
25

Despite new plans to turn Social Capital into a holding company, Chamath Palihapitiya was talking about raising money from outside investors for a fourth fund in late July, insiders say

On Thursday of last week, Social Capital co-founder and early Facebook executive Chamath Palihapitiya published a Medium post outlining his firm's new ambitions. No longer would Social Capital operate as traditional venture firm, Palihapitiya wrote; instead, it would act as a "technology holding company" that would invest off of a "a multi-billion dollar balance sheet of internal capital."

While Palihapitiya has portrayed Social Capital's recent aspirations as what he describes as a "return to the firm's founding principles," some insiders say that Palihapitiya's change of heart might have more to do with the firm's troubles raising outside capital than anything else.

"It didn't come out of the blue," one person said. "The issue is he can't fundraise."

Exactly what led to the change has become one of the most buzzed about topics inside Silicon Valley's startup and investing circles. The abrupt change, at a firm that had emerged as one of the industry's most celebrated new players, has left many scratching their heads and wondering whether it reflects the iconoclastic streak of a visionary tech executive or the storyline of a familiar fall from grace.

A former Facebook executive, Palihapitiya has raised billions of dollars from investors eager to benefit from his insight and his connections. And to hear Palihapitiya tell it, he recently decided that dealing with outside investors was a hassle he didn't need.

"By the summer of 2018," writes Palihapitiya, "we had finished a detailed examination of the many ways we could expand...  it wasn't about raising more money from outsiders..."

But according to people familiar with the matter, in the summer of 2018, Palihapitiya was still very much interested in and actively discussing raising money from outsiders.

At at an all-hands meeting in late July, Palihapitiya announced Social Capital's intentions to begin fundraising for Fund IV in September 2018, a person told Business Insider. Palihapitiya had been absent from the office for many months, but he turned heads by arriving at the office that day chauffeured in a Bentley and bearing the news. The firm should get its pitch deck in order, he is said to have announced.

But new fundraising efforts had been delayed again and again, sources say, making many insiders unsure of Palihapitiya's latest directive. Often, Palihapitiya would say that a fund was close to being closed, or that a new fund was in the process of being raised, but nothing would ever come of it, multiple people said.

While Palihapitiya was something of a golden child in Silicon Valley when he launched Social Capital, raising money from big name investors and star-studded tech executives, his star had recently begun to fade. There were signs that some investors, including some of the firm's heavyweight limited partners, were unhappy, multiple people said. It was well known that many limited partners had declined to reinvest when Social Capital raised its third fund in 2015, another person said.

Multiple people said that many of the firm's recent voluntary departures were the result of the on-again-off-again attempts to fundraise. Those departures created a vicious cycle, by spooking some investors. Some limited partners had even begun asking to have their stakes paid out in recent months.

Palihapitiya himself has said that he doesn't have much interest in his investors' input. In an interview with The Information last week, Palihapitiya said that he doesn't review investor feedback. "Who cares?" he told The Information when asked his thoughts on his investors' insight."It doesn't matter."

A spokeswoman for Social Capital declined to comment.

Original author: Zoë Bernard

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Sep
25

Google might get rid of the controversial automatic login feature in the Chrome browser (GOOG, GOOGL)

Parisa Tabriz, director of engineering at Google Chrome, indicated on Tuesday that the company is ready to make changes involving a controversial new Chrome feature that some security researchers have called a threat to privacy.

In an Twitter post, Tabriz, who calls herself the "browser boss," said: "We've heard — and appreciate — your feedback from the last few days, and we'll be making some product changes."

Tabriz offered no specifics about the changes.

On Sunday, Matthew Green, a cryptography and security researcher as well as a professor at Johns Hopkins University, on Sunday helped bring to light that Google had quietly begun logging users into the Chrome browser without their knowledge or consent.

In a blog post titled, "Why I'm done with Chrome," Green wrote Google tucked the login change into the latest Chrome update. The way it works is that anytime someone logs into one of Google's properties, such as YouTube or Gmail, they will automatically get signed into Chrome.

For years, Google has given users of Chrome, the world's most popular browser, the option of surfing the web without logging in. What's important about that is that users had to login first and then consent to the sync feature before their private browser history was shared with Google.

Because Google was logging in people involuntarily, and because of changes to the sync-consent page, it had become much easier for users to accidentally agree to share their browser histories, Green said.

Tabriz said Google made the login change to "clarify when you're signed in/out of the browser as well as Google websites."

Green was skeptical and said Google's reasoning made no sense.

Green's blog stirred debate among Chrome fans, with many not seeing the change as a problem. Still, dozens of others criticized Google via the social networks. On Tuesday, some Chrome users were exchanging instructions on Twitter on how to disable the auto-login feature.

One of the main questions of the critics: Why would Google's managers make this change without notifying users? Answers are not immediately forthcoming.

Original author: Greg Sandoval

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Jan
21

1Mby1M Virtual Accelerator Investor Forum: With Tod Francis of Shasta Ventures (Part 3) - Sramana Mitra

Ng Han Guan/AP

Nio, widely seen as the Tesla of China, is tumbling after its initial-public-offering highs.Nio began to deliver its first volume-manufactured vehicle — the ES8 — to customers on June 28, and started to generate revenue this year."An unproven management team along zero experience in manufacturing cars makes this an easy stock to steer clear of," said Mark Tepper, president of Strategic Wealth Partners.Watch Nio trade in real time here.

Nio, widely seen as the Tesla of China, is tumbling this week, which echoes an investor's bearish view.

"Nio's not a stock we have any interest in," said Mark Tepper, president and CEO of Strategic Wealth Partners, managing over $1 billion in assets. "An unproven management team along zero experience in manufacturing cars makes this an easy stock to steer clear of."

Nio has gained 21% since the company's initial public offering on September 12. Shares priced at $6.26 apiece, the low end of its range, causing the electric-car maker to fall short of raising the $1.8 billion it had sought. But one day after its lackluster debut, the stock soared 75%, sending its market capitalization above $12 billion — despite Bernstein analyst Robin Zhu assigning an "underperform" rating and saying he thinks a capital raise is coming in the next 12 to 18 months.

Now with the shares sliding from their post-IPO high, Nio's market cap has dropped below $8 billion. But the company is still overvalued based on its sales, according to Tepper. "With $7 million of sales and an $8 billion market cap, we can’t justify owning it," he said. 

The Tencent-backed electric-car startup delivered its first volume-manufactured vehicle — the ES8 — to users on June 28, and started to generate revenue this year, according to its IPO filing. Nio said it generated revenue of $6.95 million in the first half of 2018, and that it had 6,201 unfilled ES8 reservations by the end of August, for which non-refundable deposits had been made but customers could still cancel their orders.

And for Nio, scaling production may take some time. Tesla has suffered through production problems nearly every time it rolled out a new model. 

In July 2017, CEO Elon Musk warned Tesla would face manufacturing challenges for "at least six months of production hell" as it ramped up Model 3 production to 500,000 per year. The electric-car maker endured even larger production hell with its previous three vehicles, the original Roadster, the Model S sedan, and the Model X SUV, Musk told Business Insider.

"Look at Tesla’s recent struggles," Tepper said. "That makes it even less attractive for us."

Now read:

Business Insider

 

 

 

Original author: Ethel Jiang

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Sep
25

Amazon's latest investment hints at the future of Alexa (AMZN)

Amazon is doubling down on the home.

The company's Alexa Fund, which it usually uses to fund voice-technology ventures, has invested in prefabricated housing startup Plant Prefab, the startup announced on Tuesday. Plant Prefab focuses on building new, prefabricated, single- and multi-family homes using sustainable practices, and it claims it can build faster and with less waste than traditional methods, according to the company's website.

Obvious Ventures also participated in the startup's $6.7 million round of funding.

Why is Amazon's Alexa Fund interested in a prefab home startup? It's just the latest move that suggests that Amazon's Alexa technology is all about the home.

"Voice has emerged as a delightful technology in the home, and there are now more than 20,000 Alexa-compatible smart home devices from 3,500 different brands," Paul Bernard, director of Amazon's Alexa Fund, said in a prepared statement.

"Plant Prefab is a leader in home design and an emerging, innovative player in home manufacturing. We're thrilled to support them as they make sustainable, connected homes more accessible to customers and developers."

Bernard refers directly to connected homes, an area that could spell growth for Amazon if the company is able to integrate Alexa into a home before it is even built and delivered to customers.

Amazon is looking to own the home more completely. Earlier in September, it unveiled updates and additions to its Alexa-powered device lineup that are designed to enhance playback of music and video, as well as more easily control smart-home devices. The new devices further entrench Alexa as a leading platform for the connected home as Amazon builds out its ecosystem of entertainment and utility.

Original author: Dennis Green

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Sep
25

Kevin Systrom is leaving Instagram — here's how he sold the app to Facebook for $1 billion and built it into a global phenomenon (FB)

After eight years, the founders of Instagram are leaving the company.

CEO Kevin Systrom and CTO Mike Krieger announced Monday that they are departing the mega-popular photo sharing social network , which was bought by Facebook for $1 billion in 2012. The news came following months of turmoil and scandals for Facebook, and reportedly comes amid tension between the founders and Facebook CEO Mark Zuckerberg.

Still, it's something of a surprise that Systrom and Krieger would leave the app they built from scratch. Instagram grew out of Systrom's love of photography, and has since become one of the most popular social media apps in the world — in fact, Instagram hit 1 billion active users earlier this year.

Here's how Systrom got his start and built Instagram into what it is today.

Original author: Avery Hartmans

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Sep
25

The iPhone XS blows away the Samsung Galaxy Note 9 in a new speed test (AAPL)

The iPhone XS is faster than the Galaxy Note 9, according to a new speed test from PhoneBuff posted on YouTube.

This speed test is non-scientific: Basically, the test consists of opening a series of apps, and whichever phone finishes first wins the test.

But we've been following PhoneBuff's tests for a while, because they do a good job of showing how quickly the phone opens up apps like the camera, Microsoft Word, and various popular games. To add additional objectivity, PhoneBuff's test is no longer done by a person, but rather a mechanical arm equipped with a stylus.

This year, Apple's fastest phone blew Samsung's flagship phone out of the water, beating it by 14 seconds.

Last year, Samsung's Galaxy Note 8 actually beat Apple's iPhone 8. But in 2016, Apple's iPhone beat Samsung's fastest Note.

The latest version of iPhone software, iOS 12, placed an emphasis on speed and stability, with several users observing that it seemed like Apple cut back on how long operating system animations took to complete.

"It seems like Apple's claim that the A12 Bionic chip can load apps up to 30% faster holds true," PhoneBuff host David Rahimi said. "But at the same time, at least some of the difference can be attributed to the optimizations in iOS 12."

Original author: Kif Leswing

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Sep
25

1Mby1M Virtual Accelerator Investor Forum: With Curtis Feeny of Silicon Valley Data Capital (Part 2) - Sramana Mitra

Sramana Mitra: In other words, you are okay with companies that have some customer validation but not necessarily revenue? Curtis Feeny: Absolutely. We have a few more deals where we put $250,000 to...

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Original author: Sramana Mitra

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Sep
25

Bleximo raises $1.5M for its quantum computing accelerators

Bleximo, a startup that aims to build “quantum accelerators” — basically quantum-based, application-specific integrated circuits — today announced it has raised a $1.5 million seed round led by Eniac Ventures. Other investors in this round include Boost VC, Creative Ventures, KEC Ventures and Gyan Kapur.

Instead of building a general-purpose quantum computer like IBM, Rigetti and others, Bleximo, which was founded by Cyclotron Road fellow and quantum physicist Alexei Marchenkov, wants to focus on building quantum processors that focus on very specific applications. Before founding Bleximo, Marchenkov worked at Rigetti Computing, where we worked on developing that company’s technology for general-purpose quantum computers.

“At Eniac, we believe general quantum computing is still far away, but Bleximo’s approach of building vertical quantum computing architecture will bring this nascent technology to the mainstream in a more practical way — much like vertical AI is here today before general AI,” said Vic Singh, founding general partner at Eniac Ventures. “We are excited to support founder Alexei Marchenkov, a recognized expert in quantum computing, and the Bleximo team to help build this reality.”

Right now, Bleximo is mostly looking at speeding up simulations of new materials and molecules for drug development. Quantum computing lends itself to solving these kinds of problems, though the company argues that its technology is just as applicable to solving problems in energy, finance, manufacturing and security.

Not everybody seems to agree that general quantum computing is all that far away, though, so it remains to be seen whether a real market for this kind of specialized quantum co-processors (Bleximo calls it a “qASIC”) will really develop, especially given that a quantum computer will also be some form of hybrid machine that combines classical and quantum computing. If it does, though, Bleximo seems well-positioned to capitalize on it, especially given that its technology will be a bit simpler (as far as one can say that about anything quantum computing) and won’t need the large amount of qubits with long coherence times that a general-purpose quantum computer would need.

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Sep
25

1Mby1M Virtual Accelerator Investor Forum: With Vivek Ladsariya of SineWave Ventures (Part 2) - Sramana Mitra

Sramana Mitra: What about geography? Do you invest all over the United States or just in the two locations where you are located? Vivek Ladsariya: We have companies across the US. We are also looking...

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Original author: Sramana Mitra

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Jan
21

Pyongyang, Vonnegut, and Depression

Airbnb, Uber, Lyft, Warby Parker and a long list of other startups of the 21st century have appointed C-level employees to roles focused exclusively on data science.

These digital-age companies have established “data cultures,” which provide employees broad access to high-quality data, advocate for data literacy and have data-driven decision-making processes, according to Carl Anderson, who previously led data analytics and data science at Warby Parker and WeWork.

Fortune 500 companies are still a long way from this ideal. Data.world, a sort of social networking site for data projects and teams, wants to give them the tools to get there. Its collaborative data community gives employees at large businesses a place to upload, exchange and catalog data sets, then discuss their findings with other employees.

“There is a huge data divide that has occurred between these big traditional companies that were built from the ground up from atoms and these digital-age companies that were built from the ground up from bits,” data.world chief executive officer Brett Hurt told TechCrunch.

Today, Austin-based data.world is announcing a $12 million investment led by Workday Ventures, with participation from The Associated Press (AP) and OurCrowd. The round brings the company’s total raised since its 2016 launch to $45.3 million, including an $18.7 million Series B in February 2017.

Data.world will use the capital to continue building out its enterprise offering, which it rolled out recently. The enterprise product, which counts AP as a customer, connects with Tableau, Microsoft Excel and Power BI, IBM SPSS, MicroStrategy, Google Data Studio and more.

Hurt, who previously founded the now-public customer reviews and social commerce platform BazaarVoice, says GitHub was a big inspiration for data.world.

“They’ve done an incredible job of democratizing access to code,” he said. “They made every programmer in the world better by giving them access to the world’s code, and data is one of those things that’s very liberating if you have access to [it].”

The data.world platform is also widely used by journalists, hence the investment from the AP. Using data.world, journalists can access complex data sets quickly and efficiently. Hurt says it’s “changed the game for data journalism.”

“AP was born back in 1846 as a cooperative of newspaper publishers sharing access to a fast horse to get news updates from the war in Mexico,” said Jim Kennedy, AP’s senior vice president for strategy and enterprise development in a statement. “The data.world platform is like that fast horse, enabling us to open important new territory for newsgathering in the 21st century.”

Other backers of data.world include Chicago Ventures, Shasta Ventures, Fyrfly Venture PartnersHunt Technology Ventures LPLiveOak Venture Partners and Sherpa Asset Management AG.

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Jun
27

1Mby1M Virtual Accelerator Investor Forum: With Ira Weiss of Hyde Park Venture Partners (Part 1) - Sramana Mitra

Last quarter we were searching for answers to what Adobe (Nasdaq: ADBE) was looking to acquire with its $6 billion cash reserve. This quarter it answered that question by making some big...

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Original author: MitraSramana

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Sep
25

Thursday, September 27 – 416th 1Mby1M Mentoring Roundtable for Entrepreneurs - Sramana Mitra

Entrepreneurs are invited to the 416th FREE online 1Mby1M mentoring roundtable on Thursday, September 27, 2018, at 8 a.m. PDT/11 a.m. EDT/8:30 p.m. India IST. If you are a serious entrepreneur,...

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Original author: Maureen Kelly

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Sep
25

Scaling to $10 Million: Humanity.com Founder Ryan Fyfe (Part 2) - Sramana Mitra

Sramana Mitra: Was there a particular segment of companies that you went after? Ryan Fyfe: There was. I took a very online, digital marketing-first approach. From that perspective, these were early...

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Original author: Sramana Mitra

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Sep
25

Picfair gives every photographer on its marketplace their own store

Picfair, the photo marketplace that competes with Getty and Shutterstock by giving photographers a fairer deal, is adding a major update to its offering today. The London-based startup is launching Picfair Stores, giving the 35,000 photographers on its marketplace the ability to create their own free independent online store. Customers who buy from a Picfair Store can choose a licensed digital copy or a physical print.

“We’re moving beyond being just a new generation stock image marketplace,” Picfair founder Benji Lanyado, who used to be a journalist at The Guardian, tells me. “With stores, and prints, and more… we’re becoming a fully featured commercial ecosystem for photographers. At the heart of it all: the principle that anyone should be able to make money from their images, simply and fairly”.

In addition, every image on a photographer’s individual Picfair Store will also be available simultaneously on Picfair’s marketplace, which Lanyado likens to “thousands of local image stores across the globe, with a central Amazon-style megastore they all feed in to”.

He reckons it is the first time anyone has combined a marketplace with the added control of website builders, such as Wix or Squarespace, and the on-demand print functionality of Smugmug or Zenfolio, all built with amateur photographers in mind (although the line between amateur and professional is becoming increasingly blurred).

“Picfair is uniting all of this. The control of a website builder. The commercial structures of an e-commerce platform. The exposure of a marketplace, with added price control and fair royalty splits,” Lanyado says.

Less tech-driven but perhaps equally significant, Picfair has recently launched a photo agency unit, building on top of its bread and butter business of selling image licenses to editorial and marketing companies. It came about slightly accidentally, says Lanyado, after brands and creative agencies started approaching the company asking if it could help them find photographers across the globe.

“Initially we just introduced the photographers to the clients directly, like idiots,” he tells me. “Then we started acting like non-idiots and offered our services as a photographer-finder agency, with a very handy black book of 35,000 photographers around the world. We’ve already worked with Google, VisitBritain, Ogilvy and a few other big brands too. The cool bit: all of our leads have come from our community. Most of our photographers aren’t professionals, and their jobs cover the creative gamut: production people in creative agencies, marketing folk etc. The marketplace is generating leads for the agency!”.

Meanwhile, Picfair has just closed a $540,000 equity crowdfunding round. This saw many of its photographers take part, meaning that the company is now part photographer-owned. It adds to a £1.5 million seed round raised a year ago.

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Sep
25

Chinese electric scooter startup Niu files for $150M U.S. public offering

Chinese electric scooter startup Niu Technologies has filed for an initial public offering on Nasdaq to raise up to $150 million. In its form, Niu said it is “the largest lithium-ion battery-powered e-scooters company in China,” according to data from China Insights Consultancy, and also a market leader in Europe based on sales volume.

Founded in 2014 and based in Beijing, Niu says it currently holds a market share of 26% in China based on sales volume. Niu’s debut will the latest in a string of recent Chinese tech IPOs, the most prominent of which include the recent Hong Kong listings of Xiaomi and Meituan.

Niu’s scooters connect with an app that give drivers maintenance and performance data and also delivers firmware updates. As of the end of June, Niu claims it had sold more than 431,500 smart electric scooters in China, Europe and other markets.

According to the CIC’s data, China is the largest market for electric two-wheeled vehicles, with retail sales expected to increase to $13 million by 2022, up from $8 billion in 2017. Niu says its growth markets also include Southeast Asia and India, where scooters are a popular form of transportation.

In its filing, Niu said its net revenue in 2017 was RMB 769.4 million ($116.2 million), an increase of 116.8% from RMB 354.8 million in 2016. Its net losses during that time decreased to RMB 184.7 million ($27.9 million) in 2017 from RMB 232.7 million in 2016. More recently, net revenue for the first six months of 2018 was RMB 557.1 million ($84.2 million), an increase of 95.4% from RMB 285.1 million the same period a year earlier. Net loss was RMB 314.9 million ($47.6 million) during that period, compared to RMB 96.6 million the year before.

 

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Sep
25

BlaBlaCar is on the path to profitability

French startup BlaBlaCar just released some interesting metrics. The company has reached profitability if you look at revenue between January 2018 and today.

BlaBlaCar forecasts that 50 million people will book a ride on BlaBlaCar in 2018, which represents a 40 percent increase compared to 2017.

BlaBlaCar is a marketplace for long-distance rides. People driving from point A to point B can find riders willing to go in the same direction to share the cost of the ride.

A few years ago, when BlaBlaCar raised multiple megarounds, co-founder and now president Frédéric Mazzella told me that the company was at a crossroad and had to choose between growth first then profitability, or profitability then growth. It looks like the company has now completed its growth-then-profitability journey.

There are now 65 million registered users on the platform, including 15 million users in France. The service is currently live in 22 countries.

In France in particular, 40 percent of people aged between 18 and 35 are using BlaBlaCar. While the company is reaching market saturation on this segment, elderly people currently represent a growth opportunity.

It is the fastest growing segment and the user base has doubled in six years when you look at this part of the user base in particular — I know, these are some soft metrics so it’s hard to understand if it’s going to impact the company’s bottom line.

Foreign countries now represent 75 percent of BlaBlaCar’s activity.

When it comes to features, BlaBlaCar finally started automatically matching people who are departing or arriving from a small city. Drivers don’t have to manually input a list of cities on the way. 20 percent of departure or arrival cities surface thanks to this new algorithm.

One way of reaching profitability is by reducing costs. And it’s true that BlaBlaCar faced some growth pains and is now a leaner company.

Now, BlaBlaCar is in great shape for an acquisition or an IPO. But the company says that it’ll keep investing to innovate, diversify and open new markets. So all options are still on the table.

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