Aug
18

The pillows at Airbnb can tell you all you need to know about how the company is changing for the worse

Since I started traveling in my early 20s, I've visited 30+ countries. While traveling that much might have been prohibitively expensive in decades past, Airbnb, the popular home-rental service, has made traveling affordable.

Listings on the platform are generally a fraction of the cost of hotels, while providing a lot more space and something like a local's perspective.

For a long time, it's been a great deal. But over the last couple of years, I've noticed a change that may turn me off the platform forever. It all comes down to pillows.

I know what you may be thinking: pillows? He's complaining about pillows? Let me explain.

When I first began using Airbnb in 2011 — about three years after the company launched — most of the listings on the site were someone's actual apartment. Either you were renting the spare bedroom in the apartment or your host was staying somewhere else for the days you were there.

It was a communal vibe where you felt like a real exchange was taking place: You were helping them offset their rent, and they told you their favorite restaurants and bars in the neighborhood.

But somewhere over the last few years, the dynamic shifted. Now, in my experience, you are almost always renting from a host who manages Airbnb listings for a living or for a lucrative side-hustle.

Usually, they own — or rent, depending on how strict a city's laws are — multiple properties and use all of them for Airbnb. In effect, they are operating a makeshift inn spread out across the city.

While Airbnb hasn't released official statistics, a 2017 report from CBRE Hotels' Americas Research found that the company's growth in the US is being driven by hosts renting out multiple units or entire homes. The report found that revenue from hosts with multiple listings was the fastest growing on the platform, and 64% of hosts in the US were renting out an entire home.

As the report was issued for the American Hotel & Lodging Association, take it with a grain of salt, but I've also seen the shift toward professional hosts in my personal experience.

Just in the last 6 months, I've stayed at 14 Airbnbs, from Athens to Seoul. And what I've seen doesn't bode well.

Airbnbs are losing their charm

Last year, Airbnb began "nudging," in the words of one host, its hosts to standardize the Airbnb experience.

Now the company is encouraging use of its "Instant Book" feature, establishing standards of cleanliness, and recommending that hosts carry "essential amenities" like toilet paper, towels, soap, clean linens, and at least one pillow per guest.

And, earlier this year, the company even announced that it was adding hotels to the platform.

Airbnb is stuck between the standardization it needs to grow and the home-sharing ideal that made it what it is.Airbnb

Those two shifts — Airbnb pushing standardization and hosts becoming more professional — has changed Airbnb from its idealistic home-sharing roots to a booking site for cheaper, ad-hoc hotels, inns, and bed and breakfasts.

That change is necessary in a lot of ways. People are using Airbnb for work travel now, myself included, and more casual users expect a level of standardization.

My issue with the professionalization of Airbnb is from a user's perspective. As more and more of the properties listed on Airbnb come from professional hosts (people operating the property solely as an Airbnb location or operating multiple locations at once), the properties begin to resemble each other.

It is a business after all.

You can see the hallmarks of such properties: cheap furniture, spartan decorations, a few wall prints, a kitchen with the barebones necessities. Of course, the professional, light-filled photos on the listing always make the apartment look dreamy.

But in the process, you lose much of Airbnb's charm — from staying in a local's home, getting to browse their bookshelves — and its function — like access to a kitchen stocked with spices or getting to use their fancy Argan Oil shampoo.

About those pillows

And the truth is, for me, all of that would be fine … if wasn't for the pillows.

Let me put it to you this way: Most people don't buy crappy pillows for themselves. They're critical to a decent night of sleep. So if you stay in an Airbnb that is someone's actual home, you can be pretty sure you'll have decent pillows to sleep on.

Not the case with the professional Airbnb properties.

I've been doing a lot of traveling this year, and slept on a lot of bad pillows at Airbnbs.Harrison Jacobs/Business Insider

The property being the professional Airbnb hosts' primary business, they try to outfit the property as cheaply and efficiently as possible. That generally means you are getting cheap bedding and cheap pillows, some that might be better described as a few pieces of stuffing shoved into a cloth. It doesn't make for a good night of sleep.

While traveling for Business Insider over the last six months, I used Airbnb a lot in the beginning. In many ways, it's my ideal way to travel.

But as Airbnb property after Airbnb property that I rented had crappy pillows, I was increasingly turned off. Waking up night after night exhausted from a bad night of sleep is no fun.

Recently, I began booking boutique hotels or bed and breakfasts, many of which are around the same price-point as Airbnb nowadays because they know they have to compete.

And at least with a hotel or bed and breakfast, I can be pretty sure they will have good pillows.

In some ways, the pillows are a metaphor for where Airbnb is at right now as a platform: stuck between the professionalization and standardization it needs to grow, while trying to hold onto the home-sharing ideal that made it what it is.

Pushing the platform one way or the other will likely solve the issue. But until they do, I'll be using it less and less.

Original author: Harrison Jacobs

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Aug
18

The 27 greatest movie franchises of all time, according to critics

"The Lord of the Rings: The Fellowship of the Ring." New Line Cinema Over the past decade, the Marvel Cinematic Universe has built an expansive set of films while raising the critical and commercial expectations for ongoing movie series.

But extensive film franchises have been around for awhile, and several older series, like the film adaptations from J.R.R. Tolkien's Middle-earth books, have received more positive critical acclaim on average than Marvel's. And some are only getting better as time goes on, like "Mission: Impossible," which reached its critical zenith with "Fallout."

Stretching from the first James Bond film, 1962's "Dr. No;" to the latest MCU and "Star Wars" entries; this list we compiled from Metacritic data ranks prominent film franchises by their average critical reception (derived from the critical scores for each movie in a franchise).

Note: Metacritic only included franchises that had more than four films with scores on its site, and it excluded horror films and animated series.

Here are the 27 greatest movie franchises of all time, according to critics:

Original author: John Lynch

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Aug
18

As a longtime Spotify devotee, I'm always shocked people don't know about one of its best features — here's how to use it

Spotify

With nearly 200 million monthly users — of which a staggering 83 million are paid subscribers — Spotify is one of the most popular music services in the world.

It's easy to understand why Spotify is so big. As a longtime paid subscriber, I have universally positive things to say about the streaming service. It has a huge music library, it's easy to use, and it works with every device I operate daily — a Pixel 2 smartphone, a MacBook Air, and Sonos speakers. It even integrates into my PlayStation 4 and Xbox One.

But there's one function of Spotify that truly sold me on the service: The ability to upload music into my library on one device, and for that music to become available on most devices I own.

Jay-Z's album "4:44" isn't available on Spotify, but I was able to buy it and add it to my local library. It's available on my phone, or on my computer, or wherever else I want — seamlessly — through my Spotify account. Spotify/Ben Gilbert/Business Insider

It's a little known convenience of Spotify that made the service far more useful to me — here's how it works:

Original author: Ben Gilbert

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Aug
18

Google needs to apologize for violating the trust of its users once again (GOOG, GOOGL)

Google this week acknowledged that it quietly tracks its users' locations, even if those people turn off their Location History — a clarification that came in the wake of an Associated Press investigation.

It's a major violation of users' trust.

And yet, nothing is going to happen as a result of this episode.

It's happened before

Google has a history of bending the rules:

In 2010, Google's Street View cars were caught eavesdropping on people's Wi-Fi connections. In 2011, Google agreed to forfeit $500 million after a criminal investigation by the Justice Department found that Google illegally allowed advertisements from online Canadian pharmacies to sell their products in the US. In 2012, Google circumvented the no-cookies policy on Apple's Safari web browser and paid a $22.5 million fine to the Federal Trade Commission as a result.

Ultimately, Google came out of all of these incidents just fine. It paid some money here and there, and sat in a few courtrooms, but nothing really happened to the company's bottom line. People continued using Google's services.

Other companies have done it too

Remember Cambridge Analytica?

Five months ago in March, a 28-year-old named Christopher Wylie blew the whistle on his employer, the data-analytics company, Cambridge Analytica, at which he served as a director of research.

It was later revealed that Cambridge Analytica had collected the data of over 87 million Facebook users in an attempt to influence the 2016 presidential election in favor of the Republican candidate, Donald Trump.

One month later, Facebook CEO Mark Zuckerberg was summoned in front of Congress to answer questions related to the Cambridge Analytica scandal over a two-day span.

Facebook CEO Mark Zuckerberg, takes a drink of water while testifying before a joint hearing of the Commerce and Judiciary Committees on Capitol Hill in Washington, Tuesday, April 10, 2018, about the use of Facebook data to target American voters in the 2016 election.AP Photo/Andrew HarnikMany users felt like their trust was violated. A hashtag movement called "#DeleteFacebook" was born.

And yet, nothing has really changed at Facebook since that scandal, which similarly involved the improper collection of user data, and the violation of users' trust.

Facebook seems to be doing just fine. During its Q2 earnings report in late July, Facebook reported over $13 billion in revenue — a 42% jump year-over-year — and an 11% increase in both daily and monthly active users.

In short, Facebook is not going anywhere. And neither is Google.

Too big — and too good — to fail

Just like Facebook has no equal among the hundreds of other social networks out there, the same goes for Google and competing search engines.

According to StatCounter, Google has a whopping 90% share of the global search engine market.

The next biggest search engine in the world is Microsoft's Bing, which has a paltry 3% market share.

In other words, a cataclysmic event would have to occur for people to switch search engines. Or, another search engine would have to come along and completely unseat Google.

But that's probably not going to happen.

Uladzik Kryhin/Shutterstock For almost 20 years now, Google dominated the search engine game. Its other services have become similarly prevalent: Gmail, and Google Docs, have all become integral parts of people's personal and work lives. Of course, there are similar mail and productivity services out there, but using Google is far more convenient, since most people use more than one Google product, and having all of your applications talk to each other and share information is mighty convenient.

This isn't meant to cry foul: Google is one of the top software makers in the world, but it has earned that status by constantly improving and iterating on its products, and even itself, over the past two decades. But one does wonder what event, if any, could possibly make people quit a service as big and convenient and powerful as Google once and for all.

The fact is: That probably won't happen. People likely won't quit Google's services, unless there's some major degradation of quality. But Google, as a leader in Silicon Valley, should strive to do better for its customers. Intentional or not, misleading customers about location data is a bad thing. Google failed its customers: It let users think they had more control when they did, and they only corrected their language about location data after a third-party investigation. But there was no public acknowledgement of an error, and no mea culpa.

Google owes its users a true apology. Quietly updating an online help page isn't good enough.

Original author: Dave Smith

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Jan
11

Thought Leaders in Online Education: Steve Gross, CEO of Calvert Education (Part 4) - Sramana Mitra

According to a report by the American Cancer Society, an estimated 266,120 women will be newly diagnosed with breast cancer in the United States this year and (according to a 2016 estimate) can expect to pay between $60,000 and $134,000 on average for treatment and care. But, after hundreds of thousands of dollars and non-quantifiable emotional stress for them and their families, the American Cancer Society still estimates 40,920 women will lose their battle to the disease this year.

Worldwide, roughly 1.7 million women will be diagnosed with the disease yearly, according to a 2012 estimate by The World Cancer Research Fund International.

While these numbers are stark, they do little to fully capture just how devastating a breast cancer diagnosis is for women and their loved ones. This is a feeling that Higia Technologies‘ co-founder and CEO Julián Ríos Cantú is unfortunately very familiar with.

“My mom is a two-time breast cancer survivor,” Cantú told TechCrunch. “The first time she was diagnosed I was eight years old.”

Cantú says that his mother’s second diagnosis was originally missed through standard screenings because her high breast density obscured the tumors from the X-ray. As a result, she lost both of her breasts, but has since fully recovered.

“At that moment I realized that if that was the case for a woman with private insurance and a prevention mindset, then for most women in developing countries, like Mexico where we’re from, the outcome could’ve not been a mastectomy but death,” said Cantú.

Following his mother’s experience, Cantú resolved to develop a way to improve the value of women’s lives and support them in identifying breast abnormalities and cancers early in order to ensure the highest likelihood of survival.

To do this, at the age of 18 Cantú designed EVA — a bio-sensing bra insert that uses thermal sensing and artificial intelligence to identify abnormal temperatures in the breast that can correlate to tumor growth. Cantú says that EVA is not only an easy tool for self-screening but also fills in gaps in current screening technology.

Today, women have fairly limited options when it comes to breast cancer screening. They can opt for a breast ultrasound (which has lower specificity than other options), or a breast MRI (which has higher associated costs), but the standard option is a yearly or bi-yearly mammogram for women 45 and older. This method requires a visit to a doctor, manual manipulation of the breasts by a technologist and exposure to low-levels of radiation for an X-ray scan of the breast tissue.

While this method is relatively reliable, there are still crucial shortcomings, Higia Technologies’ medical adviser Dr. Richard Kaszynski M.D., PhD told TechCrunch.

“We need to identify a real-world solution to diagnosing breast cancer earlier,” said Dr. Kaszynski. “It’s always a trade-off when we’re talking about mammography because you have the radiation exposure, discomfort and anxiety in regards to exposing yourself to a third-party.”

Dr. Kaszynski continued to say that these yearly or bi-yearly mammograms also leave a gap in care in which interval cancers — cancers that begin to take hold between screenings — have time to grow unhindered.

Additionally, Dr. Kaszynski says mammograms are not highly sensitive when it comes to detecting tumors in dense breast tissue, like that of Cantú’s mom. Dense breast tissue, which is more common in younger women and is present in 40 percent of women globally and 80 percent of Asian women, can mask the presence of tumors in the breast from mammograms.

Through its use of non-invasive, thermal sensors EVA is able to collect thermal data from a variety of breast densities that can enable women of all ages to more easily (and more frequently) perform breast examinations.

Here’s how it works:

To start, the user inserts the thermal sensing cups (which come in three standard sizes ranging from A-D) into a sports bra, open EVA’s associated EVA Health App, follow the instructions and wait for 60 minutes while the cup collects thermal data. From there, EVA will send the data via Bluetooth to the app and an AI will analyze the results to provide the user with an evaluation. If EVA believes the user may have an abnormality that puts them at risk, the app will recommend follow-up steps for further screening with a healthcare professional.

While sacrificing your personal health data to the whims of an AI might seem like a scary (and dangerous, if the device were to be hacked) idea to some, Cantú says Higia Technologies has taken steps to protect its users’ data, including advanced encryption of its server and a HIPAA-compliant privacy infrastructure.

So far, EVA has undergone clinical trials in Mexico, and through these trials has seen 87.9 percent sensibility and 81.7 percent specificity from the device. In Mexico, the company has already sold 5,000 devices and plans to begin shipping the first several hundred by October of this year.

And the momentum for EVA is only increasing. In 2017, Cantú was awarded Mexico’s Presidential Medal for Science and Technology and so far this year Higia Technologies has won first place in the SXSW’s International Pitch Competition, been named one of “30 Most Promising Businesses of 2018” by Forbes Magazine Mexico and this summer received a $120,000 investment from Y Combinator.

Moving forward, the company is looking to enter the U.S. market and has plans to begin clinical trials with Stanford Medicine X in October 2018 that should run for about a year. Following these trials, Dr. Kaszynski says that Higia Technologies will continue the process of seeking FDA approval to sell the inserts first as a medical device, accessible at a doctor’s office, and then as a device that users can have at home.

The final pricing for the device is still being decided, but Cantú says he wants the product to be as affordable and accessible as possible so it can be the first choice for women in developing countries where preventative cancer screening is desperately needed.

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Jun
07

A third of software downloaded on the world's PCs is unlicensed, and it's costing the industry $46 billion

The Movado Group, which sells multiple brands, including Lacoste, Tommy Hilfiger and Hugo Boss, has purchased MVMT, a small watch company founded by Jacob Kassan and Kramer LaPlante in 2013. The company, which advertised heavily on Facebook, logged $71 million in revenue in 2017. Movado purchased the company for $100 million.

“The acquisition of MVMT will provide us greater access to millennials and advances our Digital Center of Excellence initiative with the addition of a powerful brand managed by a successful team of highly creative, passionate and talented individuals,” Movado Chief Executive Efraim Grinberg said.

MVMT makes simple watches for the millennial market in the vein of Fossil or Daniel Wellington. However, the company carved out a niche by advertising heavily on social media and being one of the first microbrands with a solid online presence.

“It provides an opportunity to Movado Group’s portfolio as MVMT continues to cross-sell products within its existing portfolio, expand product offerings within its core categories of watches, sunglasses and accessories, and grow its presence in new markets through its direct-to-consumer and wholesale business,” said Grinberg.

MVMT is well-known as a “fashion brand,” namely a brand that sells cheaper quartz watches that are sold on style versus complexity or cost. Their pieces include standard three-handed models and newer quartz chronographs.

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Aug
17

YC-backed Mutiny helps B2B business personalize their website for each visitor

Mutiny, which is part of the current batch of startups at accelerator Y Combinator, helps business-to-business, software-as-a-service companies present a message that’s customized to each visitor on their website.

Co-founder and CEO Jaleh Rezaei said this concept is alive and well in the analog world: When she was at VMware, sales reps were given materials to help them tailor their pitch for each prospective customer. Then, when she was one of the early employees at HR services startup Gusto, she tried to do something similar online, only to find that existing software wasn’t quite up to the task.

There are landing page optimization tools, but Rezaei asked, “Who wants to create a thousand versions of your website?” And there are A/B testing tools, but Rezaei argued that they’re really designed to test “generic content” and use “very little audience intelligence.” And as for creating your own personalization tools, many companies will find that it requires “way too much engineering effort.”

That’s where Mutiny comes in. It integrates with existing data sources to allow businesses to divide their customers into segments. Then they can use Mutiny’s graphical interface to create personalized elements of the webpage for each segment.

For example, when you visit the homepage of Mutiny customer Amplitude, things like the customer testimonials and the call to action will change depending on the size of your company. Or when Brex customers click through from an email marketing campaign, they’ll see a credit card offer tailored to their name and company.

These kinds of changes might not seem all that significant, but Rezaei said that when someone visits a B2B website, they’re probably interested in the product or service already. If they’re not converting, it’s probably because “they didn’t find what they wanted right away.” Mutiny can help surface the right content or the right message for the right customer.

The startup will also compare the personalized results to the generic webpage to help determine what does and doesn’t improve the bottom line. Rezaei said some of Mutiny’s early customers (who include Gusto, Infusionsoft and Brex) have seen conversion rates improve by 20 to 180 percent.

“That’s not to say that every test performs better, but the nice thing here is that you immediately see how something is performing,” she added.

Eventually, Rezaei is hoping to expand Mutiny’s technology so that it can personalize every aspect of the B2B purchase experience, including email and ad retargeting.

“Our passion as a founding team is growth,” she said. “Progress occurs not when you just build something, but when that product makes it into the hands of the person for whom it was intended to help.”

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Jun
07

This woman made a business out of hooking up cryptocurrency holders with yachts and $4 million cars — now she's launching a currency named after herself

As government regulation for commercial drone usage seems to be trending in a very positive direction for the companies involved, there is an ever-growing opportunity for drone startups to utilize artificial intelligence to deliver insights without requiring much human effort.

Sterblue, a French drone software startup that is launching out of Y Combinator’s latest class of companies, is aiming to get off-the-shelf drones inspecting large outdoor structures up close with automated insights that identify anomalies that need a second look.

The startup’s software is specifically focused on enabling drones to easily inspect large power lines or wind turbines with simple automated trajectories that can get a job done much quicker and with less room for human error. The software also allows the drones to get much closer to the large structures they are scanning so the scanned images are as high-quality as possible.

Compared to navigating a tight urban environment, Sterblue has the benefit of there being very few airborne anomalies around these structures, so autonomously flying along certain flight paths is as easy as having a CAD structure available and enough wiggle room to correct for things like wind condition.

Operators basically just have to connect their drones to the Sterblue cloud platform where they can upload photos and view 3D models of the structures they have scanned while letting the startup’s neural net identify any issues that need further attention. All and all, Sterblue says their software can let drones get within three meters of power lines and wind turbines, which allows their AI systems to easily detect anomalies from the photos being taken. Sterblue says their system can detect defects as small as one millimeter in size.

The startup was initially working on their own custom drone hardware but decided that their efforts were best spent supporting off-the-shelf devices from companies like DJI, with their software solution sitting on top. The founding team is composed of former Airbus employees that are focusing early efforts on utility companies, with some of the first customers based in Europe, Africa and Asia.

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Dec
17

For less than $60, you can generate leads with well-funded tech companies using Prelo

Cryptocurrency projects can crash and burn if developers don’t predict how humans will abuse their blockchains. Once a decentralized digital economy is released into the wild and the coins start to fly, it’s tough to implement fixes to the smart contracts that govern them. That’s why Incentivai is coming out of stealth today with its artificial intelligence simulations that test not just for security holes, but for how greedy or illogical humans can crater a blockchain community. Crypto developers can use Incentivai’s service to fix their systems before they go live.

“There are many ways to check the code of a smart contract, but there’s no way to make sure the economy you’ve created works as expected,” says Incentivai’s solo founder Piotr Grudzień. “I came up with the idea to build a simulation with machine learning agents that behave like humans so you can look into the future and see what your system is likely to behave like.”

Incentivai will graduate from Y Combinator next week and already has a few customers. They can either pay Incentivai to audit their project and produce a report, or they can host the AI simulation tool like a software-as-a-service. The first deployments of blockchains it’s checked will go out in a few months, and the startup has released some case studies to prove its worth.

“People do theoretical work or logic to prove that under certain conditions, this is the optimal strategy for the user. But users are not rational. There’s lots of unpredictable behavior that’s difficult to model,” Grudzień explains. Incentivai explores those illogical trading strategies so developers don’t have to tear out their hair trying to imagine them.

Protecting crypto from the human x-factor

There’s no rewind button in the blockchain world. The immutable and irreversible qualities of this decentralized technology prevent inventors from meddling with it once in use, for better or worse. If developers don’t foresee how users could make false claims and bribe others to approve them, or take other actions to screw over the system, they might not be able to thwart the attack. But given the right open-ended incentives (hence the startup’s name), AI agents will try everything they can to earn the most money, exposing the conceptual flaws in the project’s architecture.

“The strategy is the same as what DeepMind does with AlphaGo, testing different strategies,” Grudzień explains. He developed his AI chops earning a masters at Cambridge before working on natural language processing research for Microsoft.

Here’s how Incentivai works. First a developer writes the smart contracts they want to test for a product like selling insurance on the blockchain. Incentivai tells its AI agents what to optimize for and lays out all the possible actions they could take. The agents can have different identities, like a hacker trying to grab as much money as they can, a faker filing false claims or a speculator that cares about maximizing coin price while ignoring its functionality.

Incentivai then tweaks these agents to make them more or less risk averse, or care more or less about whether they disrupt the blockchain system in its totality. The startup monitors the agents and pulls out insights about how to change the system.

For example, Incentivai might learn that uneven token distribution leads to pump and dump schemes, so the developer should more evenly divide tokens and give fewer to early users. Or it might find that an insurance product where users vote on what claims should be approved needs to increase its bond price that voters pay for verifying a false claim so that it’s not profitable for voters to take bribes from fraudsters.

Grudzień has done some predictions about his own startup too. He thinks that if the use of decentralized apps rises, there will be a lot of startups trying to copy his approach to security services. He says there are already some doing token engineering audits, incentive design and consultancy, but he hasn’t seen anyone else with a functional simulation product that’s produced case studies. “As the industry matures, I think we’ll see more and more complex economic systems that need this.”

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Sep
20

Nvidia Drive Concierge offers infotainment to each car seat

Klarity, a member of the Y Combinator 2018 Summer class, wants to automate much of the contract review process by applying artificial intelligence, specifically natural language processing.

Company co-founder and CEO Andrew Antos has experienced the pain of contract reviews first hand. After graduating from Harvard Law, he landed a job spending 16 hours a day reviewing contract language, a process he called mind-numbing. He figured there had to be a way to put technology to bear on the problem and Klarity was born.

“A lot of companies are employing internal or external lawyers because their customers, vendors or suppliers are sending them a contract to sign,” Antos explained They have to get somebody to read it, understand it and figure out whether it’s something that they can sign or if it requires specific changes.

You may think that this kind of work would be difficult to automate, but Antos said that  contracts have fairly standard language and most companies use ‘playbooks.’ “Think of the playbook as a checklist for NDAs, sales agreements and vendor agreements — what they are looking for and specific preferences on what they agree to or what needs to be changed,” Antos explained.

Klarity is a subscription cloud service that checks contracts in Microsoft Word documents using NLP. It makes suggestions when it sees something that doesn’t match up with the playbook checklist. The product then generates a document, and a human lawyer reviews and signs off on the suggested changes, reducing the review time from an hour or more to 10 or 15 minutes.

Screenshot: Klarity

They launched the first iteration of the product last year and have 14 companies using it with 4 paying customers so far including one of the world’s largest private equity funds. These companies signed on because they have to process huge numbers of contracts. Klarity is helping them save time and money, while applying their preferences in a consistent fashion, something that a human reviewer can have trouble doing.

He acknowledges the solution could be taking away work from human lawyers, something they think about quite a bit. Ultimately though, they believe that contract reviewing is so tedious, it is freeing up lawyers for work that requires a greater level of intellectual rigor and creativity.

Antos met his co-founder and CTO, Nischal Nadhamuni, at an MIT entrepreneurship class in 2016 and the two became fast friends. In fact, he says that they pretty much decided to start a company the first day. “We spent 3 hours walking around Cambridge and decided to work together to solve this real problem people are having.”

They applied to Y Combinator two other times before being accepted in this summer’s cohort. The third time was the charm. He says the primary value of being in YC is the community and friendships they have formed and the help they have had in refining their approach.

“It’s like having a constant mirror that helps you realize any mistakes or any suboptimal things in your business on a high speed basis,” he said.

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May
30

Here's what it's like to intern in Silicon Valley, where the perks include kombucha, climbing walls and free plane tickets for parents to visit

Bobby Franklin Contributor
Bobby Franklin is the president and chief executive of the National Venture Capital Association and previously served as an executive vice president for the CTIA – The Wireless Association.

President Trump’s time in office has been punctuated by rising tension with China on a host of economic issues. He’s received bipartisan criticism for the impact of tariffs on Chinese goods and the resulting retaliation against American exports.

Democrats and Republicans have also unified over concerns about how Chinese state-associated actors are using minority investments in critical technology companies to gain sensitive information — like IP and know-how — about startups, many of them VC-backed. Policymakers are worried this technology is being used to propel Chinese advancement in emerging technology like artificial intelligence and robotics.

These concerns led to passage of the Foreign Investment Risk Review Modernization Act (FIRRMA), which was signed into law by the president on August 13. NVCA has been at the table during FIRRMA’s consideration because it stands to have a significant impact on the venture and startup ecosystem.

Who in our industry needs to understand FIRRMA going forward? Many more than you might think. VCs with foreign LPs, VCs with foreign co-investors or startups contemplating taking foreign capital are the prime examples, but given the shifting startup landscape in recent years, FIRRMA will leave a broad mark.

FIRRMA expands the power of the Committee on Foreign Investment in the U.S. (CFIUS) to scrutinize foreign investments into “critical technology” companies for national security implications. Few in the startup world have dealt with CFIUS, but those who have understand its power and implications. It’s the opaque government entity that blew up the Broadcom-Qualcomm transaction for national security reasons and has been called the “ultimate regulatory bazooka.”

Before FIRRMA, CFIUS reviewed foreign investments for national security considerations when the investment resulted in foreign control of a U.S. entity. But minority investments used to obtain sensitive information about a company have been outside the scope of CFIUS because those investments generally don’t deliver control to the foreign investor. FIRRMA is intended to address this blind spot by greatly expanding the transactions that must be disclosed to CFIUS.

NVCA secured hard-fought changes to FIRRMA to lessen the impact on our industry. The bill has come a long way from when it was introduced. For example, under the original version we were concerned foreign LPs might need to file with CFIUS because they would not meet the exemption for passive investment. Furthermore, a sizeable chunk of foreign direct investments into startups would be picked up by the bill. Fortunately, key changes were made in the end.

Ultimately, under FIRRMA, the government will now be able to review — and potentially reject — any investment by a foreign entity in a critical technology company that gives the foreign entity:

access to any material non-public technical information of the company;membership or observer rights on the company’s board or equivalent governing body; orany involvement in substantive decision-making of the company, other than through voting of shares

Under this approach, the typical venture fund ought to be able to avoid a CFIUS filing because its foreign LPs won’t meet the above factors. And many direct investments into startups will also avoid filing with CFIUS unless they’re leading to board seats, non-public information about the company or decision-making capability.

Still, VCs, LPs, and startups raising capital will need to navigate FIRRMA going forward to make sure they don’t get tripped up by the new law. Doing so will likely trigger a CFIUS filing, leading to delay and expense. The fast-moving startup ecosystem will not welcome the uncertainty that comes with a 45-day initial review that is fraught with uncertainty and costs. And that expense is no small sum, as FIRRMA sets the CFIUS filing fee at 1 percent of the value of the transaction or $300,000 — whichever is less. And that doesn’t include legal fees.

It is imperative the venture industry remain vigilant on FIRRMA and related national security issues. The government is increasingly interested in how our world operates because emerging technology is impacting society and foreign capital is sometimes used to launch high-growth companies.

At NVCA, we are embracing this conversation and will hold a conference named “Emerging Technology Meets National Security” on November 14 in DC.

The NVCA will remain deeply engaged in FIRRMA as regulations are written that will define terms and set practices that affect the thrust of the bill. These issues are happening whether or not the venture industry is part of the conversation, but we only get a chance to impact decisions if we’re in the room.

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Aug
17

Square is on the Rise - Sramana Mitra

For nearly a year now, mobile payments firm Square’s stock (NYSE: SQ) has been on the rise. Its recent financial results may not have been spectacular, but the usage metrics continue to impress the...

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Original author: MitraSramana

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Aug
17

1Mby1M Virtual Accelerator Investor Forum: With Rami Elkhatib of Acero Capital (Part 5) - Sramana Mitra

Sramana Mitra: How do you process unicorn mania? Are you chasing unicorns? Rami Elkhatib: No, not really. Our entry point is either the Series A or Series B. In a Series B scenario, we come in and...

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Original author: Sramana Mitra

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Aug
17

The biggest tech companies are about to undergo a major reshuffling on the stock market — here’s what’s coming, and why it matters

The S&P/GICS reclassification will create a new sector for tech companies. Chris Hondros/Getty

Some big changes are coming to the US stock market.

On September 28, S&P Dow Jones Indices and GICS will create a new sector for tech, media, and telecoms companies, and it's a change that will affect many of the the biggest and most popular stocks on the market.

Here's what you need to know.

What is happening?

S&P and MSCI are ditching the existing Telecoms sector and creating a new Communications Services sector. This new sector will include companies that provide platforms for communication, of course, and those that operate various kinds of media.

It will also fold in companies in the Consumer Discretionary Sector that are currently classified in the Media and Internet & Direct Marketing Retail sub-industries, and some companies in the existing Information Technology sector.

Communications Services will be the largest sector of the S&P 500 with about a 10% weighting, according to Wells Fargo.

Here's a detailed map of all the changes:

Morgan Stanley

Why does it matter?

Apple is currently housed in the Technology sector, and in the Communications Equipment industry. These categories are determined by the Global Industry Classification Standard, or GICS, which is maintained by MSCI and S&P.

These boxes make sense for Apple, considering that the world's most valuable company still makes most of its money by selling iPhones. But over time, these categories have become more fluid for other tech companies. Is Verizon, with its recently acquired media arm Oath, really just a telecoms company? Is Facebook, now one of the world's largest distributors of news, a social network or a media company or both?

The new sector aims to address these questions.

The GICS is keeping up with how much evolution has taken place in tech. Facebook didn't even exist at the height of the tech bubble in 1999, the same year that MSCI and S&P first implemented the GICS.

And so, the GICS reclassification is a reminder of sorts to markets about what these companies really do, and it aims to reflect where companies earn most of their revenues from.

"The lines among media, communications, and content are blurred," David Blitzer, chairman of the index committee at S&P Dow Jones Indices, said. "It is time to acknowledge this convergence and the overlapping services these companies provide."

The most recent precedent for this kind of GICS reclassification also provides insight into why the 'right' sector grouping matters.

In September 2016, S&P and MSCI removed real estate companies and some real estate investment trusts (REITS) from Financials to create a new sector.

Real Estate, from its breakout as a sector through August 15, 2018, returned almost nothing — 0.5% — versus a 39% rally for Financials. This performance gap suggests investors focused on very different fundamentals for these once-unified sectors.

Which stocks are going to be affected?

The change is going to affect some of the biggest and most popular tech companies, including Facebook and Alphabet. Both will move from the old tech sector to the new communication services group. Also, their sub-industry will change from one called internet software & services to interactive media & services.

Netflix, another one of the so-called FANG stocks, is also getting reshuffled. It's going from the consumer discretionary sector, where it lives with companies like McDonald's and Ralph Lauren, to the new communication group. Disney and 21st Century Fox are making the same industry move.

"DVD rentals" is not the only thing that comes to mind when Netflix is mentioned these days. Big spending on original content and licenses is a key part of its business. So Netflix's sub-industry will change from Internet & Direct Marketing Retail to the more appropriate Movies & Entertainment category.

MSCI plans to release a final list of all the stocks affected before flipping the switches on September 28.

What does this mean for the stock market?

Exchange-traded funds designed to track specific industries will be affected.

Vanguard, the $5.1 trillion investor that essentially invented the equity index fund, announced in March that it was temporarily creating custom benchmarks for the Vanguard Consumer Discretionary Index Fund, the Vanguard Information Technology Index Fund, and the Vanguard Telecommunication Services Index Fund.

"These changes don't require any action from investors," Vanguard said in a statement, indicating that it's doing the heavy lifting behind the scenes.

BlackRock is overhauling its iShares Global Telecom ETF to become the iShares Global Comm Services ETF, and changing the kinds of companies it tracks accordingly.

"Longer-term, the 'less sexy' & somewhat 'forgotten' Telco names may gain mindshare & potentially garner more portfolio-manager interest/dollars as reclassification stirs a re-acquaintance," Chris Harvey, the head of US equity and quant strategy at Wells Fargo, said.

But unlike the Real Estate reclassification, most investors are no strangers to a good number companies being reshuffled, such as FANG stocks.

Wells Fargo estimates that the reclassification will affect about 10% of the S&P 500, and so investors need not do much on the drawing board. Some stocks are getting moved around, but their weights on the index are not, so the reshuffle itself may not be a big market mover.

See also:

Original author: Akin Oyedele

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Aug
17

10 things in tech you need to know today

10 things in tech you need to know today, August 17 - Business Insider Edition USUKDEAUSFRINITJPMYNLSEPLSGZAES Follow us on: Learn More About Artificial Intelligence With This Exclusive Research Report Discover The Future Of Fintech With This Exclusive Slide Deck
Original author: Jake Kanter

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Aug
17

Elon Musk describes his 'excruciating' year and says he's had to take Ambien to get to sleep

Tesla CEO Elon Musk. Lucy Nicholson / Reuters

Tesla CEO Elon Musk says that an "excruciating" year has taken a toll and that he sometimes has had to take Ambien, a prescription drug that assists in inducing sleep.

"It is often a choice of no sleep or Ambien," Musk said in a New York Times report published Thursday night.

Musk described an intense 120-hour work week as both chairman and chief executive of Tesla, a company that has been hit with challenging press coverage in recent weeks. During his interview with The Times, Musk reportedly grew emotional as he described his turbulent year.

"This past year has been the most difficult and painful year of my career," Musk said. "It was excruciating."

"There were times when I didn't leave the factory for three or four days — days when I didn't go outside," Musk added. "This has really come at the expense of seeing my kids. And seeing friends."

In addition to his dual roles with Tesla, Elon Musk is the CEO and lead designer at SpaceX. AP Photo/Francois Mori)

In June, he said he spent the entire day — his 47th birthday — at work. He flew to Catalonia for his brother's wedding two days later, flying from his factory and arriving just two hours before the ceremony, according to The Times.

Additionally, Musk says he has not taken a break from work for more than a week since he contracted malaria in 2001.

"All night — no friends, nothing," Musk said to The Times.

"It's not been great, actually," Musk said. "I've had friends come by who are really concerned."

Musk has been criticized for his occasional outbursts on social media — which include likening a British cave diver who took part in rescue efforts to a pedophile — and some of Tesla's board members have reportedly taken notice.

According to two people familiar with the board, some members were concerned about his Ambien intake, according to The Times. Some of the members also suggested that the drug may not be effective, and instead, played a part in his social media flares.

Musk later apologized for his comments and said his "words were spoken in anger" after a dispute with the cave diver.

"I thought the worst of it was over — I thought it was," Musk said. "The worst is over from a Tesla operational standpoint ... But from a personal pain standpoint, the worst is yet to come."

Original author: David Choi

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Aug
17

'The most difficult and painful year of my career': Tesla CEO Elon Musk opens up about personal and professional struggles in revealing interview (TSLA)

Tesla CEO Elon Musk said the past year has been "the most difficult and painful year of my career," in a revealing New York Times interview published Thursday night.

Musk admitted that he has been charging full speed ahead in all directions — with the production of his electric-car company's first mass-market vehicle, the Tesla Model 3, and with the many business and personal obligations he says have begun to affect his health. "It's not been great, actually. I've had friends come by who are really concerned," Musk told The Times.

Normally known for his brash and unorthodox leadership style, Musk was, at points, penitent and self-reflective, acknowledging the headaches some of his more recent public behavior have caused for his company, its board members, and its shareholders.

The most recent headache came from Musk's now-infamous declarations about taking Tesla private. It all started with a tweet on August 7, and now, fewer than two weeks later, a Securities and Exchange Commission inquiry is underway, some members of Tesla's board of directors have lawyered up, and several shareholder lawsuits have been filed.

The matter stems in part from an assertion Musk made on Twitter — that he had "funding secured" for a privatization deal, and stating the price at which shareholders could unload their shares: $420 each, a roughly 20% premium over Tesla's current stock price at the time.

All of this has prompted questions about what motivated Musk to forgo the proper channels in favor of hashing out sensitive financial strategy on social media.

Since then, Musk has offered follow-up explanations for the way he handled things, including an admission that he had seen his remarks as a good-faith effort to be transparent with his company's stakeholders. His claim that funding for a go-private deal was "secured," Musk said, was prompted by his belief that Saudi investors were on board to fund a deal.

The consequences have been swift and fierce, and members of Tesla's board of directors are now reportedly seeking protection.

The events of the past week are the result of a slowly brewing anxiety in the Tesla CEO. In recent months, he has lashed out wildly on social media — at investment analysts, critics, and journalists who published stories about Tesla that he didn't like.

Musk, in his interview with The Times, pointed again to the challenges surrounding his heavy workload and lack of sleep. "It is often a choice of no sleep or Ambien," Musk said.

According unnamed sources cited by the newspaper, some Tesla board members have expressed concern about this, because the sleep medication sometimes leads to "late-night Twitter sessions," rather than sleep, the source said.

That issue has reportedly prompted internal efforts to find a second-in-command for Musk, though the chief executive says he is unaware of any such plan.

In a statement to The Times that Tesla attributed to the board of directors, the company criticized what it called "false and irresponsible rumors" about the board's discussions.

"We would like to make clear that Elon's commitment and dedication to Tesla is obvious," the statement read.

It continued:

"Over the past 15 years, Elon's leadership of the Tesla team has caused Tesla to grow from a small start-up to having hundreds of thousands of cars on the road that customers love, employing tens of thousands of people around the world, and creating significant shareholder value in the process."

Original author: Bryan Logan

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Aug
17

A tense internal meeting between Google CEO Sundar Pichai and employees went sideways as execs addressed rumors about the company’s China plans (GOOG, GOOGL)

On Thursday, in a meeting with employees, Google's leadership addressed reports from earlier this month that the company had built a censored search engine in order to once again operate in China, according to Twitter posts from multiple reporters.

Kate Conger, a New York Times reporter posted to Twitter what she said were comments made during the meeting by Google CEO Sundar Pichai and Sergey Brin, one of the company's cofounders.

"If we were to do our mission well, we are to think seriously about how to do more in China," Pichai told employees, according to The Times. "That said, we are not close to launching a search product in China."

Brin denied having knowledge of the program until after news leaked and an ensuing controversy erupted, or as Brin called it "this kerfuffle."

A Google spokesperson was not immediately available for comment.

The reports that Google wanted to reintroduce search inside China is a reversal from the position the company took in 2010, when managers pulled out of the country instead of capitulating to the government's demands to filter out websites and information that China's leaders found objectionable.

Two sources who were privy to what occurred in Thursday's meeting told Business Insider that Pichai only briefly addressed — and not in any detailed way — the big question on the minds of many at the company: Why is Google considering a return to China? The CEO described the moves being made by the company in that country as "exploratory."

When the news of a censored search engine first became public, some Google employees were critical of management's decision. And earlier on Thursday, a letter began to circulate among staff that called on the company's leaders to create an "ethics review structure" to ensure transparency on issues involving ethics.

Some of the tension that has lingered at the company since an earlier controversy regarding Google's work with the military, appeared evident at Thursday's meeting.

The discussions became tense when Google's leaders discovered that someone attending the meeting or listening in remotely was supplying live information to Conger. Brin said he would not continue discussing China because of the leaks, according to the sources who spoke to Business Insider.

The sources said that this was the moment when the image of Conger's tweets were displayed on a large screen in the room with Pichai and Brin. One Google employee who had stood to ask a question suddenly addressed whoever was leaking.

"F--k you," he said. He then demanded that the person leave.

The sources said that's when the meeting essentially wrapped up with many questions about Google's relationship to China still unanswered.

Original author: Greg Sandoval

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May
30

Google is reportedly renewing its assault on the iPhone X with a redesigned and upgraded Pixel 3 phone (GOOG, GOOGL, AAPL)

Tesla CEO Elon Musk on Thursday reportedly attempted to discredit a former security employee who alleges that the car maker spied on employees and kept quiet about drug-trafficking at its battery factory.

Karl Hansen made the allegations in a whistleblower tip he submitted to the Securities and Exchange Commission earlier this month. Hansen's lawyers made the allegations public in a press statement released Thursday.

Tesla and Musk have not responded to multiple requests from Business Insider for comment about Hansen's claims. But in a direct message Gizmodo says it received from Musk, the CEO reportedly attacked Hansen and dismissed his allegations, but didn't explicitly deny them.

"This guy is super [nuts]," Musk reportedly told Gizmodo, using the emoji for a peanut.

The statement from Hansen's lawyers accuses Musk of personally authorizing Tesla's security team to install equipment that would allow the company to eavesdrop on employees' cell-phone communications. According to the statement, the security team then used it to spy on employees, including Martin Tripp, another Tesla whistleblower.

Hansen also alleges that the security team and Tesla failed to disclose to shareholders and law-enforcement officials a $37 million theft of materials from the company's Gigafactory battery production facility, and allegations that a drug-trafficking ring linked to a Mexican cartel existed inside that facility.

In his direct message to Gizmodo, Musk suggested that those charges were contradictory and ludicrous.

"He is simultaneously saying that our security sucks (it's not great, but I'm pretty sure we aren't a branch of the Sinaloa cartel like he claims) and that we have amazing spying ability," he said, according to Gizmodo. "Those can't both be true."

Tesla's security team includes employees who formerly worked for a notorious security group at Uber that allegedly spied on rivals, according to the statement from Hansen's attorneys. Among those former Uber security employees now at Tesla is Nick Gicinto, who is now the electric-car company's head of security, according to the statement.

Without saying whether Gicinto or his former colleagues at Uber now work at Tesla, Musk defended Gicinto to Gizmodo. The outlet should read the suit Gicinto and his colleagues filed against the former Uber employee who made the allegations about the security team spying on the app-based taxi company's competitors, Musk said.

"Nick Jacinto (sic) was thrown under the bus by Uber for the sins of others," he reportedly said, adding: "He has shown high integrity in my dealings with him."

Original author: Troy Wolverton

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Aug
16

Tesla employees say the main Model 3 production line has been shutting down early (TSLA)

Tesla sent line workers home early on Wednesday. Tesla

On Wednesday, Tesla factory workers putting together the Model 3 on the GA3 line were allowed to go home early from the Fremont, California plant, leaving at 2:30 p.m. PT, instead of the usual 6 p.m., three Tesla employees told Business Insider. The employees spoke on the condition of anonymity for fear of losing their jobs.

Workers on GA3, which is Tesla's main assembly line for the Model 3, were also sent home early on the night shifts that started on Tuesday and Wednesday evenings, an employee said. At the time of publishing on Thursday, normal operations had resumed.

Typically, a worker told Business Insider, a shift is only sent home early because it met its goals for a period of time or because there is a problem that is making it impossible to assemble more vehicles. For example, one of the two lines on GA3 might be sent home if there is a problem that has prevented the progression of assembling vehicles for hours.

In this case, both lines were sent home, with the entire GA3 line leaving early. According to a factory worker, the reason was not because the company had hit its production goals for the day.

(If you have a story about Elon Musk or Tesla you want to share, reach out to This email address is being protected from spambots. You need JavaScript enabled to view it..)

In fact, the worker said the company missed internal targets. The employee said the target is to produce 300 cars per shift (there are two 12-hour shifts per day), but on Wednesday the line produced 211 vehicles during the day shift.

Tesla declined to comment on whether GA3 workers were sent home early and about internal targets.

The number of cars completed per shift is displayed on a screen for line workers at the factory. Not meeting the required numbers is a common problem in recent weeks, the factory worker, who has been at Tesla for a little under a year, said.

According to this worker, his 12-hour shift is supposed to push 300 cars through the line, as part of Tesla's aim to get 5,000 Model 3 cars assembled per week. However, his shift has only reached this goal roughly three or four times in the last three weeks, he said.

"The days we even hit 300, we celebrate it in the morning," he said, adding that there have been very few celebrations recently.

Elon Musk at a SpaceX competition for Hyperloop pods in August 2017.Mike Blake/Reuters

According to the worker, each station at the plant (such as body wiring, pedal assembly, and airbag installation) is supposed to take roughly two minutes on average. However, internal information shared with Business Insider showed that on Wednesday, nearly every station was running over time, blocking the progression of cars down the line.

In early July, Elon Musk reportedly sent a company-wide email celebrating the Fremont factory hitting the 5,000-cars-per-week milestone.

"What's more, with the widespread productivity gains throughout Tesla and the new production lines spooling up, we are on track to reach 6K/week for Model 3 next month," Musk said in the email, viewed by Bloomberg. "I think we just became a real car company...."

However, the factory worker said "that hype email saying 'let's reach 6k' was laughed at.'"

"We barely could get to 5,000," he said.

Tesla, though, has managed to reach goals despite shifts coming up short of expectations in the past, with unconventional solutions such as creating new assembly lines.

In June, Musk revealed the company had built a new line for Model 3 production, dubbed GA4, in a giant tent outside the Fremont factory.

Reuters also reported in late June that shifts were failing to meet the 300-car-per-shift goal, making it unlikely the factory would meet the 5,000-per-week mark. Three days later, Reuters reported that the factory hit the 5,000 car milestone.

Additional reporting by Linette Lopez and Mark Matousek.

Original author: Kate Taylor

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