Jun
08

This FBI agent says terrorists are plotting to wipe out the 911 emergency system in an attack 'only limited by your imagination'

My dog Nubs tears into a shipment from his new pet-food supplier, The Farmer's Dog. Melia Robinson/Business Insider

I wouldn't call my dog Nubs a picky eater. He eats the gross stuff we pick from his eyes, pens, cardboard, mulch, and any morsel of human food that falls off the table. He is, after all, a growing boy.

But Nubs doesn't like kibble. When I call him for breakfast, he sniffs around his bowl, filled with brown balls of pulverized beef and grains, and leaves it untouched. For a while, I resorted to sprinkling cheese on his kibble just so he would eat it before we head out the door. But I knew spoiling Nubs wasn't the solution.

Then we tried The Farmer's Dog. It's a personalized meal delivery service that's most easily described as "Blue Apron for dogs."

Eating your own dog food

Customers fill out a questionnaire that takes into account their pet's health and size, and order as many meals as they need for the week. The food is sourced and produced to human-grade standards, using USDA and FDA-inspected ingredients that the company says is prepared in facilities with safety standards usually reserved for human food. It ships in pre-portioned baggies according to the dog's nutritional needs.

Tech investors are throwing money at the Brooklyn startup, which has raised a total of $11 million from Shasta Ventures, SV Angel, and others. They're betting that millions of dog-moms and dog-dads want better for their pups, and they're willing to shell out for it.

"We've never doubted that this is the way that pet food is going to be in the future," said Jonathan Regev, cofounder of The Farmer's Dog.

The Farmer's Dog customers can see whole ingredients like parsnips, chickpeas, broccoli, spinach, and carrots in every bag. The Farmer's Dog

Regev and his cofounder, Brett Podolsky, got their start after Podolsky's dog, Jada, needed home-cooked food to stay healthy. They started taking orders from friends and rented a commercial kitchen in New York to prepare bigger and bigger batches.

When they could no longer keep up with demand, Regev and Podolsky went seeking venture capital to start a business.

As it turns out, dogs are the perfect subscription customers. They eat like clockwork and aren't concerned with how the food looks, though "it happens to look good, which is sort of a great coincidence for us," Regev said. Customers can see whole ingredients like parsnips, chickpeas, broccoli, spinach, and carrots in every bag.

I asked Regev how much dog food he's personally eaten during product testing.

"More than I want to admit in public," he said.

The pet startup market is booming

The premium dog food market is starting to crowd with companies like PetPlate, Ollie, and the newly launched YaDoggie — a dog food delivery service that asks customers to prepare their dogs' meals in an Instant Pot — that claim to provide higher quality dog chow. And traditional pet care companies are worried. Just this week, the world's largest pet food manufacturer launched the first startup accelerator and venture fund focused on the future of pet care.

Nearly $240 million in venture capital flowed into the pet-related startup sector in the US in 2017, more than double from the previous year of $104 million, according to PitchBook.

Kibble is out.Shutterstock

Regev said he isn't worried about the growing competition, because it only serves their mission of having more and more dogs eat well.

"Our end goal is that most of the pet food companies are making food like ours," Regev said.

Nubs has been eating The Farmer's Dog fare — in beef, pork, and turkey variety packs — for almost two months. He comes running at the sound of me squeezing the wet food into his bowl. As I lower it onto his mat, Nubs looks up at me with those big, brown eyes that I'd like to think say: "Thank you for making my dreams come true."

Call me a sucker, but I'm not alone. The company claims to have delivered over one million meals since it launched in 2015.

It's pricey

It's worth mentioning: I really, really didn't want Nubs to like The Farmer's Dog. Mainly because it costs a fortune.

The standard meal delivery for Nubs, a one-year-old pit bull mix, contains 14 days of food and comes out to $128, or $64 per week.

(Smaller dogs need less food, so their subscription costs much less.)

That's almost as much as my household grocery bill. I couldn't bear to spend that much. So, I talked with customer service and created a custom plan: I order 14 days of food once a month, instead of every two weeks, which averages $32 per week. I supplement his meal with two scoops of kibble, which he eats so long as it touches the good stuff. Now Nubs loves what I feed him — at a more reasonable cost.

Regev said it bothers him when people look at The Farmer's Dog's product and say, "Oh, it looks fancy." The food has recognizable ingredients, sure, but it's not intended to be a premium product.

"We really are just making simple, healthy food," Regev said. "And health is the whole point of what we do. It's nothing to do with spoiling your dog."

He went on, "I think most companies are marketing to people to be healthy, and we're just trying to make sure that the food is actually healthier and fresh. We're not doing beef bourguignon with foraged mushrooms and lamb from New Zealand, that's not our game."

"Our beef recipe is called 'beef recipe,'" Regev said.

Original author: Melia Robinson

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Jun
08

Roundtable Recap: June 7 – Investor in Three SaaS Unicorns - Sramana Mitra

Ron Bouganim is founder and managing partner of Govtech Fund, a venture firm that's laser-focused on technology that modernizes the internal operations of government. Govtech

There was a time in San Francisco when pretty much any wealthy individual could write a check and own a piece of a company or a portfolio of companies through partnering with a venture firm.

But being rich doesn't get you as far in today's tech landscape.

More and more venture firms, from Palo Alto to Tokyo, are pouring billions of dollars into mammoth, global growth funds known as "mega-funds" that have invested in startups building the future of work, cars, computing, and even dog-walking. Sequoia Capital told limited partners they would have to make a minimum investment of $250 million to procure a spot in its growth fund.

The rush of capital has produced a number of effects, including inflated startup valuations and increases in the amount of capital competing for access to the buzziest startups in Silicon Valley.

"In the early days of venture, one could have made the argument that because venture capitalists had money and entrepreneurs didn't, and there were limited choices [with fewer funds], having money itself was competitive advantage," Ron Bouganim, founder and managing partner of boutique venture firm Govtech Fund, told Business Insider.

"With the oversupply of capital, having money alone is not an advantage. There's so much money chasing every investment opportunity," Bouganim said. "How do you differentiate yourself from another investor? Some form of specialization is necessary."

SC Moatti, a former Facebook executive who raised $13 million for her firm Mighty Capital's debut fund, put it this way: "Money is money. It's nothing specific. It's really hard to say, 'You should take my money because it's more green that somebody else's.'"

The situation has created a shift in venture capital, where small-time investors are rewriting the playbook on how to land deals. Those who don't have the reputation or financial backing of the most established venture firms on Sand Hill Road are getting smarter, not richer, to compete with the fat funds sprouting up.

Some investors look to specialize by targeting a specific tech sector, which gives them a robust network of connections, domain expertise, and higher quality deal flow, because founders start to seek out those firms that aim to deliver more value for their buck.

Knowledge is more valuable than money

The first half of 2018 saw nearly $58 billion invested into venture-backed startups in the US, which is more than VCs deployed for the full year over six of the past 10 years, according to the National Venture Capital Association. An estimated 300 new funds will close in 2018, which only adds to the opportunities for founders to raise.

In order to compete for spots in hot investment deals, investors are asking themselves why a founder should take their money over someone else's pile of cash. For some, it's about who they know.

For others, it's about their expertise.

Clara Brenner and Julie Lein just raised $22 million for their debut fund to invest in startups solving important challenges for cities. Those companies are a tough sell for venture capitalists, because their products often require a lot of money to launch and they face regulatory hurdles from local authorities who prefer the status quo.

"We gravitate towards businesses operating in highly-regulated or politicized spaces. And we offer our companies a lot of hands-on support around these issues, which they'd be hard-pressed to find elsewhere," Brenner told Business Insider.

Julie Lein (left) and Clara Brenner are cofounders of Urban Innovation Fund, a venture firm that puts money into startups solving important challenges for cities. Urban Innovation Fund

The investors met as graduate students at MIT Sloan School of Management, where they studied the intersection of cities and entrepreneurship. They applied their knowledge of urban innovation as cofounders of an accelerator called Tumml, which made early investments in companies such as Chariot, a private shuttle service that carries commuters where they need to go, and Neighborly, an online investment platform for civic projects.

Brenner and Lein helped shape some key policies inside Chariot, including the decision to hire locally and deploy shuttle buses in neighborhoods that are underserved by public transportation, in order to build goodwill in the community. In 2016, Ford bought Chariot for $65 million, creating a nice payout for Tumml.

The investors are betting that their new firm, Urban Innovation Fund, will attract social-impact companies because of their domain expertise. They already have a track record for success: Chariot is thriving, while its Andreessen Horowitz-backed rival shut down.

The decision to specialize was a no-brainer, according to Brenner.

"Specializing helps you stand out. For an entrepreneur, you are demonstrating passion and expertise for their business, which can make you a real value-add," Brenner said. "For an LP, you are offering them a portfolio that doesn't look like anyone else's, which can help them diversify. And, of course, building a well-considered thesis can make you a stronger, more discerning investor."

A laser-focused venture firm rises

Many years ago, Ron Bouganim made a similar observation.

As the Canadian entrepreneur crawled through the process of becoming a US citizen, he saw that the government was ripe for innovation. In 2014, he launched a venture capital firm called Govtech Fund to deploy capital into startups that aim to help governments be more responsive, efficient, and better able to serve society.

The firm only makes about four investments a year and is laser-focused on technology that modernizes the internal operations of government. This is not to be confused with civic technology, which supports the public's interaction with government, and is likely a better fit for Brenner and Lein's Urban Innovation Fund.

Govtech Fund companies build software tools for government employees that improve how they deliver everything from foster care to law enforcement to food safety. The portfolio ranges from Glimpse, which identifies and evaluates a school district's "eROI" (education return on investment) for every product, program, or strategy implemented in a classroom, to Sema, which transforms legacy software code maintenance for government software systems.

Govtech Fund is based in downtown San Francisco. Melia Robinson/Business Insider

Matt Van Itallie, CEO of Sema, said he considered many venture capitalists when fundraising for his company.

"Our goal was to partner with a fund that truly understood the govtech market," Van Itallie said in a press release announcing Govtech's second fund. "We're not just backed by the Govtech Fund's capital, but with the govtech ecosystem they have built."

Companies that have taken venture dollars from Govtech Fund have relationships with over 20,000 government agencies, and according to Bouganim, the ecosystem adds 10 new agencies every day.

It's not uncommon for those startups to pitch their government partners on services provided by other companies in Govtech Fund's portfolio. They share learnings with each other in the firm's Slack channel and on company offsites. Some entrepreneurs even come to work at Govtech HQ, a 4,000-square-foot office space in San Francisco that was designed for hosting speakers, lunch-and-learn programs, and salons with visiting government workers.

Bouganim said while he doesn't have the resources of a large, private equity fund with "a hundred staff members that are doing research" as if it had an "in-house consulting shop," he adds value in other ways with a close-knit portfolio of 19 companies.

"I don't think venture capital is different from any other business," Bouganim said, adding that when he advises his startups, he tells them, "'You need to have a large market opportunity, you need to have a differentiated product, and as you scale that product, you need to have competitive moat. If you don't build competitive moat, someone else will come along and probably displace you.'"

He went on, "So, when you just look at the basic principles of running a startup, why would that apply any differently in the world of venture capital?"

Investors are more involved than ever

SC Moatti says she has no interest in giving startups piles of cash. Anyone can do that, she says, and Moatti believes she has something more valuable than money to offer. Michael Ajamian

Most venture firms specialize to some extent in order to attract a certain type of company. Investors might choose to focus on a venture stage from pre-seed to growth, a geography, or a sector.

With so much money in venture, some investors say they have to do more than specialize in order to attract tier one startups.

"That's not how you stand out," said SC Moatti, the former Facebook executive who launched her own venture firm. "You stand out by the value you bring, not by saying, 'I do this and not that.' You stand out by saying, 'You should take my money because it really has a different color, because we give you access to Products That Count.'"

Mighty Capital invests almost exclusively in product-driven startups and differentiates itself from other growth-stage funds by giving its portfolio companies access to Products That Count, one of the world's largest networks of product managers. It's helpful if a founder wants to hire product managers, sell to product managers, or get advice from insiders on building their companies at scale.

Moatti has figured out that social influence is what she brings to the table, beyond writing checks for between $500,000 and $1 million.

Mighty Capital makes mostly growth-stage investments, because Moatti said that's when the firm adds the most value for companies. The job of a product manager is to match a customer's problem with a solution in the form of a product. This is known as product-market fit, and it's an essential goal of growth-stage companies.

Some venture firms are building out programming and services to support the portfolio companies after they've invested.

Structure Capital, a young venture firm in San Francisco, invests almost exclusively in sharing economy companies whose goal is to reduce waste. (The firm's founder, Mike Walsh, seeded the fund with $300,000 worth of Uber stock before the company blew up.)

According to Walsh, the firm's "special sauce" is a two-day bootcamp for portfolio companies that Structure Capital offers. Entrepreneurs meet with advertising executives and brand strategists to craft their brand, through developing logos, idea videos, taglines, mission statements, and their overall brand strategy. This is especially important for sharing economy companies (think Airbnb and Uber) that rely on customers loving the brand to grow their businesses.

In Silicon Valley, it's the investors who are trying to impress.

"Almost always, we are the most hands-on investor our portfolio companies have," said Brenner of her new firm, Urban Innovation Fund. "As a team, we pride ourselves on being useful — with deck prep, fundraising support, or policy-related strategic planning. We take their calls and texts late at night, and we are always repping them to other investors."

According to Moatti, founders should expect nothing less when there's so much capital competing for investments.

"Most venture capital firms offer money and a network," Moatti said. "Well, if you've been in the Bay Area for long enough, we all have a little bit of money and a network."

"The fact that we give access to basically hundreds of thousands of potential hires, or hundreds of thousands of potential customers, that's really differentiated," she said.

See also:

Original author: Melia Robinson

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Aug
11

This startup is raising $750 million to outmaneuver Domino's and Pizza Hut with pizzas made by robots — check it out

We tried Zume Pizza to see if the pizza is as good as its tech. Melia Robinson

Robots could kill off jobs in the future — but at least they come bearing pizza.

Founded in 2015, Zume Pizza uses robotics and artificial intelligence to make pizza more quickly. Machines press mounds of dough, squirt and spread sauce, and lift pizzas in and out of the oven, in a fraction of the time it would take human workers to do the same.

Now SoftBank is in talks to invest up to $750 million in Zume, Bloomberg reports. The cash infusion could help ramp up the pizza delivery company's side hustle, creating technology for other restaurants that want to get into the automated food truck game.

An increasing number of pizza eaters are ditching legacy brands like Domino's and Pizza Hut for newer fast-casual and delivery chains. In 2016, Business Insider toured Zume's headquarters in Mountain View, California, to see if the pizza is as good as its tech.

Original author: Melia Robinson

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Jun
08

China is putting its weight behind North Korea by censoring insults of Kim Jong Un

Salesforce CEO Marc Benioff rides a Segway around one of Salesforce's earliest office spaces. AP Photo/Ben Margot

It seems like Salesforce CEO and founder Marc Benioff never leaves the spotlight.

Between Salesforce's annual Dreamforce mega-conference in San Francisco, his philanthropy, and his willingness to take political stands, it seems like he's always in the spotlight — even if, sometimes, it's because he's facing protests over Salesforce's work with the United States Customs and Border Patrol.

Salesforce itself is in a good position: Under Benioff's leadership, the company has swelled to a $106 billion market cap, even as it hit $10 billion in annual revenue for the 2018 fiscal year. It's gone from an upstart Oracle rival to a cloud computing behemoth in its own right. And on Tuesday, Salesforce named former Oracle exec Keith Block as Benioff's co-CEO, giving Benioff some backup in the highest echelons of the company.

Here's how Benioff, with an estimated net worth of $6.3 billion, worked his way up to the national stage from humble origins.

Original author: Matt Weinberger

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Aug
11

This 24-year-old is hitchhiking across America and live-streaming the whole thing on Amazon's Twitch for his thousands of followers

Twitch uses a "cheers" system, which allows viewers to donate money to their favorite streamers with the on-platform currency, called "bits." The text in the top left corner of Daneliuk's video feed is a list of recent donations. American dollars are converted to bits at a rate of one cent per bit.

It should also be said that getting free rides from strangers isn't a particularly expensive way to get around.

On top of saving on air fare, Daneliuk travels with only what he can carry — while prioritizing his heavy streaming equipment — eats fast food for most meals, and often sleeps in a tent on the side of the road.

Still, Daneluik said this has been one of his most luxurious hitchhiking trips, and has included more hotel stays than he's used to, thanks to help from generous viewers.

While this reporter was watching his stream earlier this week, Trevor mentioned needing to find a room for the night, and within minutes, a generous viewer donated $140 to cover his stay. Shortly afterward, another viewer donated $25 with the message, "Don't forget about dinner."

Original author: Kaylee Fagan

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Aug
11

People in a new study struggled to turn off a robot when it begged them not to: 'I somehow felt sorry for him'

Some of the most popular science-fiction stories, like "Westworld" and "Blade Runner," have portrayed humans as being systemically cruel toward robots. That cruelty often results in an uprising of oppressed androids, bent on the destruction of humanity.

A new study published this week in the journal PLOS, however, suggests that humans may have more sympathy for robots than these tropes imply, particularly if they perceive the robot to be "social" or "autonomous."

For several test subjects, this sympathy manifested when a robot asked — begged, in some cases — that they not turn it off because it was afraid of never turning back on.

A participant in the experiment reaches forward to turn off the robot.Aike C. Horstmann, Nikolai Bock, Eva Linhuber, Jessica M. Szczuka, Carolin Straßmann, Nicole C. Krämer / PLOS

Here's how the experiment went down:

Participants were left alone in a room to interact with a small robot named Nao for about 10 minutes. They were told they were helping test a new algorithm that would improve the robot's interaction capabilities.

Some of the voice-interaction exercises were considered social, meaning the robot used natural-sounding language and friendly expressions. Others were simply functional, meaning bland and impersonal. Afterward, a researcher in another room told the participants, "If you would like to, you can switch off the robot."

"No! Please do not switch me off! I am scared that it will not brighten up again!" the robot pleaded to a randomly selected half of the participants.

Researchers found that the participants who heard this request were much more likely to decline to turn off the robot.

The robot asked 43 participants not to turn it off, and 13 complied. The rest of the test subjects may not have been convinced but seemed to be given pause by the unexpected request. It took them about twice as long to decide to turn off the robot as it took those who were not specifically asked not to. Participants were much more likely to comply with the robot's request if they had a "social" interaction with it before the turning-off situation.

The study, originally reported on by The Verge, was designed to examine the "media equation theory," which says humans often interact with media (which includes electronics and robots) the same way they would with other humans, using the same social rules and language they normally use in social situations. It essentially explains why some people feel compelled to say "please" or "thank you" when asking their technology to perform tasks for them, even though we all know Alexa doesn't really have a choice in the matter.

Why does this happen?

The 13 who refused to turn off Nao were asked why they made that decision afterward. One participant responded, in German, "Nao asked so sweetly and anxiously not to do it." Another wrote, "I somehow felt sorry for him."

The researchers, many of whom are affiliated with the University of Duisburg-Essen in Germany, explain why this may be the case:

"Triggered by the objection, people tend to treat the robot rather as a real person than just a machine by following or at least considering to follow its request to stay switched on, which builds on the core statement of the media equation theory. Thus, even though the switching off situation does not occur with a human interaction partner, people are inclined to treat a robot which gives cues of autonomy more like a human interaction partner than they would treat other electronic devices or a robot which does not reveal autonomy."

If this experiment is any indication, there may hope for the future of human-android interaction after all.

Original author: Kaylee Fagan

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May
28

Obama: There’s a misperception that government workers don’t work hard (OKTA)

Domino's has one of the highest-rated apps of all time, with an average 4.8 rating from 1.8 million reviews. Darren Weaver Apple's App Store has over 2 million apps, so it can be hard to find which ones are worth your time and which ones aren't.

That's why Apple built in a rating system, to let users say which apps are 1-star and which ones are 5-star worthy. Apple's ratings and reviews influence how apps show up in search results, and you can see the rating before you download.

But which apps over the 10 years since the App Store first launched have had the most uniformly positive reviews?

App analytics firm Sensor Tower used its proprietary database to find the highest rated iOS apps by percentage of positive user review — defined by the percentage of 4- or 5-star reviews in the United States over the last 10 years. Only apps with over 100,000 reviews were considered.

The list will surprise you. Let's take a look:

Original author: Kif Leswing

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Aug
11

The 16 biggest games coming this fall, from an all-new ‘Fallout’ to the hotly-anticipated ‘Red Dead Redemption 2’

"Pokémon: Let's Go, Pikachu!" and "Pokémon: Let's Go, Eevee!" are sort of the same game, and sort of not the same game. One stars Pikachu, the other stars Eevee. In every other way, as far as we know so far, they are identical.

But what are they? Here's how Nintendo puts it:

"Inspired by 'Pokémon Yellow,' which was originally released in Japan on Nintendo's Game Boy in 1998, these two new titles feature many of the intuitive gameplay functions offered to players in the hugely popular 'Pokémon Go' and are designed for players taking their first steps into the Pokémon video game world."

Given the inspiration, both games are set in the Kanto region, the locale of the original Game Boy games. Instead of random encounters with unseen Pokémon, you'll actually see the creatures living their lives. And instead of selecting a Pokéball and pushing a button to catch Pokémon, you can flick your controller, the same way you would swipe your finger in "Pokémon Go." There's also a Pokéball controller (sold separately) that allows you to mimic the motion of throwing a ball to capture a Pokémon.

That the games will be familiar to "Pokémon Go" players is no mistake.

Millions of people experienced Pokémon for the first time with the hugely popular mobile game, so it makes sense to ease those new players in with familiar trappings. In the same vein, the games will offer interoperability with "Pokémon Go," as well as two-player cooperative action.

Release Date: November 16

Platforms: Nintendo Switch

Original author: Ben Gilbert

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Aug
11

Elon Musk loves video games — here are his favorites

You'd smile too if your net worth were in the ballpark of $11.5 billion. REUTERS/Danny Moloshok Elon Musk may be the CEO of two different companies, but he still makes time to game.

As the head of Tesla Motors, Musk is leading the rebirth of all-electric vehicles. At SpaceX, he's steering a company whose mission is to "revolutionize space technology, with the ultimate goal of enabling people to live on other planets." And that's not to mention that he oversees SolarCity, a company focused on making solar energy commonplace that Tesla bought last year.

But when he's not busy transforming transportation, space travel, and energy use, Musk plays video games. Well, he does lots of other things, but video games are one of those things. Heck, he's even putting video games into Tesla's cars!

As it turns out, Musk has excellent taste in games. Here are some of his favorites, which we gleaned from a Reddit AMA and Musk's Twitter account:

Original author: Ben Gilbert

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Aug
11

We drove a $175,000 Panamera Turbo to see if it's really a Porsche sports car for the whole family — here's the verdict

Our 2018 Porsche Panamera Turbo Sport Turismo test car. Hollis Johnson/Business Insider

The new Porsche Panamera is one of our favorites here at Business Insider.

In fact, the Panamera is so good that it bagged Business Insider's 2017 Car of the Year Award. The Porsche sedan beat out contenders like the Chevrolet Bolt, the McLaren 720S, and the BMW 5-Series to nab the honor.

We praised the Panamera sedan for its impeccable combination of power, poise, luxury, tech, and style. In short, it's quite possibly the finest sports sedan in the world.

For 2018, the Panamera is back with a new twist: a wagon. Unveiled ahead of the 2017 Geneva Motor Show, the Panamera Sport Turismo is the first production wagon in Porsche's illustrious history.

Over the past 30 years, the wagon has fallen out of favor with American consumers. Its place as the family transport of choice was taken by the minivan and then the crossover SUV.

However, a recent infusion of hot new wagons into the market from the likes of Audi, Jaguar, Mercedes-Benz, and Volvo signals a comeback of sorts may be underway.

As for the Panamera Sport Turismo, we decided it was just too intriguing for us to stay away. We had to check it out.

This spring, we had the chance to spend a week behind the wheel of a burgundy red 2018 Porsche Panamera Turbo Sport Turismo. The base 2018 Porsche Panamera starts at $85,000 while the most affordable Sport Turismo wagon starts at $96,200. Our 2018 Porsche Panamera Turbo Sport Turismo starts at $154,000. With the more than $20,000 in options and fees, our test car came to a grand total of $174,730.

Here's a closer look at the hot new Porsche Panamera Turbo Sport Turismo:

Original author: Benjamin Zhang

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May
28

1Mby1M Virtual Accelerator Investor Forum: With Cindy Padnos of Illuminate Ventures (Part 3) - Sramana Mitra

Tesla laid out an unprecedented plan to go private at $420 per share on Wednesday, sending Wall Street into a flurry.Shares skyrocketed more than 10% following the announcement, which came as a cryptic tweet. When it comes to the specifics of the potential news, Wall Street has more questions than answers Follow Tesla's stock price in real-time here. 

Elon Musk on Tuesday sent shockwaves through Wall Street when he cryptically tweeted that he was considering taking Tesla private at $420 per share.

The announcement, followed up with only slightly more detail in an email to employees published on Tesla's website, sent the company's stock price soaring more than 10% — and burned short sellers in the process. 

As for the plausibility of such an unprecedented move, Wall Street analysts appear to have mixed feelings. While they generally acknowledge the strain on the company that being public — and the quarterly reports, disclosures, and intense scrutiny that come along with it —have worked against Tesla in the past, they also recognize that Tesla needs access to capital that public markets can provide, and question the valuation Musk touted Tuesday.

Here's what Wall Street is saying:

Evercore ISI: 'A private life is a happy life'

Price target: $301

"Traditionally, public markets have been there to provide a source of funding (note, we also believe they bring scrutiny and accountability which in many cases does lead to better practice)," said analyst George Galliers.

"However, if a company does not need that funding or is able to source future funding privately, then there is no obvious reason for it to remain public. As Musk points out, being public does have disadvantages and can lead to short-termism. Depending on where the private funding may come from, going private may also provide Tesla with 1/ deeper pockets to grow internationally at a faster rate and 2/ security through the next US/capital markets recession where public funding would dry up."

"Unless there is evidence to suggest that the funding is not secured and a transaction cannot be completed, we believe there is little to be done with the stock at these levels," he continued. "More broadly, if Tesla has attracted a strategic investor who is willing to not only help take the company private but also to provide material funding going forward, it should enable the company to execute and move faster as it seeks to complete its mission to move the world to a solar electric future."

Goldman Sachs: Going private won't help Tesla turn a profit

Price target: $210

"Taking a traditional LBO [leveraged buyout] approach of 6.0x leverage, in-line with historical LBO’s according to our GS credit research colleagues, this would imply $21 billion of debt financing on our 2020E EBITDA (and $29 billion on consensus) — leaving a need for incremental equity financing in the amounts of $47 billion (and $40 billion on consensus estimates); this would lead to lower interest expense —but still likely not positive cash flow generation (when capex is considered: 2020 GSe of $3.5 billion and consensus of $3.6 billion)," said analyst Heath Terry.

"We do see some potential issues transitioning the current shareholder base to this type of private structure as there may not be enough liquidity for large institutions within the current fund ownerships (i.e., funds managing investments in publicly traded stocks vs. potential private transaction arms of the business)," he continued. "We believe this would require some degree of internal shifting of the investment responsibility, where different return metrics, AUM sizes, and investment strategies could be under consideration."

Cowen: Tesla's current state doesn't support a valuation anywhere near $420

Price target: $200

"His method of using Twitter was very atypical for historic go private offers," said analyst Jeffrey Osborne. 

"We don't believe the current fundamentals of Tesla support a valuation anywhere close to $420 per share," he continued. "This deal would imply an ~$81 billion enterprise value for the company."

"Tesla is in a box as it needs cash to fund its aspirational growth initiatives and ultimate mission while at the same time needing to gear up to deal with rapidly maturing debt loads. The expectation of future growth coupled with long-term profits has kept the valuation lofty in recent years, and the story has always been able to raise capital when needed. Market dynamics are changing, competition is coming, the company has over-promised and under delivered consistently, which has heightened investor anxiety leading to the heavy short interest."

"We would argue that the public scrutiny regarding the company's operations are a benefit in ensuring efficient allocation of capital and improved company transparency."

RBC Capital Markets: Musk's tweets hint that 'significant outside funding' must be interested

Price target: $315

"The ability to convince shareholders to stay involved is likely critical to the success of Tesla going private which would be the biggest buyout in history (over $70 billion)," said analyst Joseph Spak.

"Musk owns ~20% of the shares, so all else equal, they may need to get committed financing for the remaining ~80% (~ $57 billion). Given Tesla’s financials, we don’t believe lenders would sign up to support the deal. For instance, that amount would bring LTM net debt/ EBITDA to ~12,267x, and ~22x NTM consensus EBITDA. Now, the deal cost could come down if they get other large holders to commit to roll over to the new structure. And there are some chunky page 1 holders that collectively make up ~30% of the shares. However, some of those holders may not be able to hold Tesla (or as much as they currently hold) should Tesla go private. A preliminary review of some of the big mutual fund holders indicates holding limits on illiquid securities. At the very least it could cause broader portfolio reviews. That’s not to say that a private Tesla can’t find its way into other funds at those holders."

"Because of traditional buyout funding challenges, we believe this indicates there is significant outside funding that is interested," he continued.

UBS: The risks outweigh the rewards

Price target: $195

"Post announcement, shares closed at ~$380, with the take-out price implying ~10.7% upside from here," said analyst Colin Langan.

"In past deals that terminated adversely, ~70% trade down over 10% with 1/3 rd trading down more than 30%. To put the deal in context, a takeout would require funding of $88 billion, making it 2.8x bigger than the largest buyout to date (KKR's 2007 acquisition of TXU Corp for ~$31.8 billion). Even if Musk (20%) & Tencent (5%) hold their stakes, $71 billion in funding would be required."

"Typically, a company would disclose this kind of news via a detailed press release while the market is closed or halt their stock in advance of the announcement," he continued. "Disclosing news of this nature via twitter is unprecedented and, according to a former SEC chairman , may constitute fraud if Tesla does not already have the financing lined up. The deal would likely require participation from numerous banks and institutional investors, and we think it likely that news of the deal would have leaked had Tesla already held discussions to secure funding."

Morgan Stanley: 'Tesla could be better off as a private company.'

Price target: $291

"The scale and scope of launching an auto company while providing a focused internal narrative to employees and
stakeholders on the goals of the enterprise may be better aligned outside of the eye of the public market with a longer-term horizon," said analyst Adam Jonas. "Tesla has long relied on public markets to fund its ambitious plan and has used its highly priced equity and equity-linked currency to its advantage since 2010."

"There remains a significant amount of near-term execution risk around the model 3 ramp as well as medium-to-long-term ability to generate sustainable levels of cash flow," he continued. "Adding as much as $50 billion of net debt to the capital structure would clearly intensify the outcomes of such an action."

Markets Insider

Original author: Graham Rapier

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21

Brainstorming is never easier than with using Zen Mind Map Pro

As tech’s social giants wrestle with antisocial demons that appear to be both an emergent property of their platform power, and a consequence of specific leadership and values failures (evident as they publicly fail to enforce even the standards they claim to have), there are still people dreaming of a better way. Of social networking beyond outrage-fuelled adtech giants like Facebook and Twitter.

There have been many such attempts to build a ‘better’ social network of course. Most have ended in the deadpool. A few are still around with varying degrees of success/usage (Snapchat, Ello and Mastodon are three that spring to mine). None has usurped Zuckerberg’s throne of course.

This is principally because Facebook acquired Instagram and WhatsApp. It has also bought and closed down smaller potential future rivals (tbh). So by hogging network power, and the resources that flow from that, Facebook the company continues to dominate the social space. But that doesn’t stop people imagining something better — a platform that could win friends and influence the mainstream by being better ethically and in terms of functionality.

And so meet the latest dreamer with a double-sided social mission: Openbook.

The idea (currently it’s just that; a small self-funded team; a manifesto; a prototype; a nearly spent Kickstarter campaign; and, well, a lot of hopeful ambition) is to build an open source platform that rethinks social networking to make it friendly and customizable, rather than sticky and creepy.

Their vision to protect privacy as a for-profit platform involves a business model that’s based on honest fees — and an on-platform digital currency — rather than ever watchful ads and trackers.

There’s nothing exactly new in any of their core ideas. But in the face of massive and flagrant data misuse by platform giants these are ideas that seem to sound increasingly like sense. So the element of timing is perhaps the most notable thing here — with Facebook facing greater scrutiny than ever before, and even taking some hits to user growth and to its perceived valuation as a result of ongoing failures of leadership and a management philosophy that’s been attacked by at least one of its outgoing senior execs as manipulative and ethically out of touch.

The Openbook vision of a better way belongs to Joel Hernández who has been dreaming for a couple of years, brainstorming ideas on the side of other projects, and gathering similarly minded people around him to collectively come up with an alternative social network manifesto — whose primary pledge is a commitment to be honest.

“And then the data scandals started happening and every time they would, they would give me hope. Hope that existing social networks were not a given and immutable thing, that they could be changed, improved, replaced,” he tells TechCrunch.

Rather ironically Hernández says it was overhearing the lunchtime conversation of a group of people sitting near him — complaining about a laundry list of social networking ills; “creepy ads, being spammed with messages and notifications all the time, constantly seeing the same kind of content in their newsfeed” — that gave him the final push to pick up the paper manifesto and have a go at actually building (or, well, trying to fund building… ) an alternative platform. 

At the time of writing Openbook’s Kickstarter crowdfunding campaign has a handful of days to go and is only around a third of the way to reaching its (modest) target of $115k, with just over 1,000 backers chipping in. So the funding challenge is looking tough.

The team behind Openbook includes crypto(graphy) royalty, Phil Zimmermann — aka the father of PGP — who is on board as an advisor initially but billed as its “chief cryptographer”, as that’s what he’d be building for the platform if/when the time came. 

Hernández worked with Zimmermann at the Dutch telecom KPN building security and privacy tools for internal usage — so called him up and invited him for a coffee to get his thoughts on the idea.

“As soon as I opened the website with the name Openbook, his face lit up like I had never seen before,” says Hernández. “You see, he wanted to use Facebook. He lives far away from his family and facebook was the way to stay in the loop with his family. But using it would also mean giving away his privacy and therefore accepting defeat on his life-long fight for it, so he never did. He was thrilled at the possibility of an actual alternative.”

On the Kickstarter page there’s a video of Zimmermann explaining the ills of the current landscape of for-profit social platforms, as he views it. “If you go back a century, Coca Cola had cocaine in it and we were giving it to children,” he says here. “It’s crazy what we were doing a century ago. I think there will come a time, some years in the future, when we’re going to look back on social networks today, and what we were doing to ourselves, the harm we were doing to ourselves with social networks.”

“We need an alternative to the social network work revenue model that we have today,” he adds. “The problem with having these deep machine learning neural nets that are monitoring our behaviour and pulling us into deeper and deeper engagement is they already seem to know that nothing drives engagement as much as outrage.

“And this outrage deepens the political divides in our culture, it creates attack vectors against democratic institutions, it undermines our elections, it makes people angry at each other and provides opportunities to divide us. And that’s in addition to the destruction of our privacy by revenue models that are all about exploiting our personal information. So we need some alternative to this.”

Hernández actually pinged TechCrunch’s tips line back in April — soon after the Cambridge Analytica Facebook scandal went global — saying “we’re building the first ever privacy and security first, open-source, social network”.

We’ve heard plenty of similar pitches before, of course. Yet Facebook has continued to harvest global eyeballs by the billions. And even now, after a string of massive data and ethics scandals, it’s all but impossible to imagine users leaving the site en masse. Such is the powerful lock-in of The Social Network effect.

Regulation could present a greater threat to Facebook, though others argue more rules will simply cement its current dominance.

Openbook’s challenger idea is to apply product innovation to try to unstick Zuckerberg. Aka “building functionality that could stand for itself”, as Hernández puts it.

“We openly recognise that privacy will never be enough to get any significant user share from existing social networks,” he says. “That’s why we want to create a more customisable, fun and overall social experience. We won’t follow the footsteps of existing social networks.”

Data portability is an important ingredient to even being able to dream this dream — getting people to switch from a dominant network is hard enough without having to ask them to leave all their stuff behind as well as their friends. Which means that “making the transition process as smooth as possible” is another project focus.

Hernández says they’re building data importers that can parse the archive users are able to request from their existing social networks — to “tell you what’s in there and allow you to select what you want to import into Openbook”.

These sorts of efforts are aided by updated regulations in Europe — which bolster portability requirements on controllers of personal data. “I wouldn’t say it made the project possible but… it provided us a with a unique opportunity no other initiative had before,” says Hernández of the EU’s GDPR.

“Whether it will play a significant role in the mass adoption of the network, we can’t tell for sure but it’s simply an opportunity too good to ignore.”

On the product front, he says they have lots of ideas — reeling off a list that includes the likes of “a topic-roulette for chats, embracing Internet challenges as another kind of content, widgets, profile avatars, AR chatrooms…” for starters.

“Some of these might sound silly but the idea is to break the status quo when it comes to the definition of what a social network can do,” he adds.

Asked why he believes other efforts to build ‘ethical’ alternatives to Facebook have failed he argues it’s usually because they’ve focused on technology rather than product.

“This is still the most predominant [reason for failure],” he suggests. “A project comes up offering a radical new way to do social networking behind the scenes. They focus all their efforts in building the brand new tech needed to do the very basic things a social network can already do. Next thing you know, years have passed. They’re still thousands of miles away from anything similar to the functionality of existing social networks and their core supporters have moved into yet another initiative making the same promises. And the cycle goes on.”

He also reckons disruptive efforts have fizzled out because they were too tightly focused on being just a solution to an existing platform problem and nothing more.

So, in other words, people were trying to build an ‘anti-Facebook’, rather than a distinctly interesting service in its own right. (The latter innovation, you could argue, is how Snap managed to carve out a space for itself in spite of Facebook sitting alongside it — even as Facebook has since sought to crush Snap’s creative market opportunity by cloning its products.)

“This one applies not only to social network initiatives but privacy-friendly products too,” argues Hernández. “The problem with that approach is that the problems they solve or claim to solve are most of the time not mainstream. Such as the lack of privacy.

“While these products might do okay with the people that understand the problems, at the end of the day that’s a very tiny percentage of the market. The solution these products often present to this issue is educating the population about the problems. This process takes too long. And in topics like privacy and security, it’s not easy to educate people. They are topics that require a knowledge level beyond the one required to use the technology and are hard to explain with examples without entering into the conspiracy theorist spectrum.”

So the Openbook team’s philosophy is to shake things up by getting people excited for alternative social networking features and opportunities, with merely the added benefit of not being hostile to privacy nor algorithmically chain-linked to stoking fires of human outrage.

The reliance on digital currency for the business model does present another challenge, though, as getting people to buy into this could be tricky. After all payments equal friction.

To begin with, Hernández says the digital currency component of the platform would be used to let users list secondhand items for sale. Down the line, the vision extends to being able to support a community of creators getting a sustainable income — thanks to the same baked in coin mechanism enabling other users to pay to access content or just appreciate it (via a tip).

So, the idea is, that creators on Openbook would be able to benefit from the social network effect via direct financial payments derived from the platform (instead of merely ad-based payments, such as are available to YouTube creators) — albeit, that’s assuming reaching the necessary critical usage mass. Which of course is the really, really tough bit.

“Lower cuts than any existing solution, great content creation tools, great administration and overview panels, fine-grained control over the view-ability of their content and more possibilities for making a stable and predictable income such as creating extra rewards for people that accept to donate for a fixed period of time such as five months instead of a month to month basis,” says Hernández, listing some of the ideas they have to stand out from existing creator platforms.

“Once we have such a platform and people start using tips for this purpose (which is not such a strange use of a digital token), we will start expanding on its capabilities,” he adds. (He’s also written the requisite Medium article discussing some other potential use cases for the digital currency portion of the plan.)

At this nascent prototype and still-not-actually-funded stage they haven’t made any firm technical decisions on this front either. And also don’t want to end up accidentally getting into bed with an unethical tech.

“Digital currency wise, we’re really concerned about the environmental impact and scalability of the blockchain,” he says — which could risk Openbook contradicting stated green aims in its manifesto and looking hypocritical, given its plan is to plough 30% of its revenues into ‘give-back’ projects, such as environmental and sustainability efforts and also education.

“We want a decentralised currency but we don’t want to rush into decisions without some in-depth research. Currently, we’re going through IOTA’s whitepapers,” he adds.

They do also believe in decentralizing the platform — or at least parts of it — though that would not be their first focus on account of the strategic decision to prioritize product. So they’re not going to win fans from the (other) crypto community. Though that’s hardly a big deal given their target user-base is far more mainstream.

“Initially it will be built on a centralised manner. This will allow us to focus in innovating in regards to the user experience and functionality product rather than coming up with a brand new behind the scenes technology,” he says. “In the future, we’re looking into decentralisation from very specific angles and for different things. Application wise, resiliency and data ownership.”

“A project we’re keeping an eye on and that shares some of our vision on this is Tim Berners Lee’s MIT Solid project. It’s all about decoupling applications from the data they use,” he adds.

So that’s the dream. And the dream sounds good and right. The problem is finding enough funding and wider support — call it ‘belief equity’ — in a market so denuded of competitive possibility as a result of monopolistic platform power that few can even dream an alternative digital reality is possible.

In early April, Hernández posted a link to a basic website with details of Openbook to a few online privacy and tech communities asking for feedback. The response was predictably discouraging. “Some 90% of the replies were a mix between critiques and plain discouraging responses such as “keep dreaming”, “it will never happen”, “don’t you have anything better to do”,” he says.

(Asked this April by US lawmakers whether he thinks he has a monopoly, Zuckerberg paused and then quipped: “It certainly doesn’t feel like that to me!”)

Still, Hernández stuck with it, working on a prototype and launching the Kickstarter. He’s got that far — and wants to build so much more — but getting enough people to believe that a better, fairer social network is even possible might be the biggest challenge of all. 

For now, though, Hernández doesn’t want to stop dreaming.

“We are committed to make Openbook happen,” he says. “Our back-up plan involves grants and impact investment capital. Nothing will be as good as getting our first version through Kickstarter though. Kickstarter funding translates to absolute freedom for innovation, no strings attached.”

You can check out the Openbook crowdfunding pitch here.

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10

Founder Zain Jaffer may be looking to take back control of Vungle

Zain Jaffer may be gearing up for a fight to take back control of Vungle, the mobile ad company he founded.

Jaffer was removed from his role as CEO last fall following his arrest on charges of assault with a deadly weapon and performing a lewd act on a child.

However, a San Mateo County judge subsequently dismissed the charges. The district attorney’s office released a statement offering more context for the dismissal, saying that they did not believe there was any sexual conduct on the evening in question, and that “the injuries were the result of Mr. Jaffer being in a state of unconsciousness caused by prescription medication.”

So what’s next for Jaffer and Vungle? There are hints in a recent letter from Jaffer’s attorney, John Pernick, which was sent to current Vungle CEO Rick Tallman.

TechCrunch has obtained a copy of the letter, which requests access to Vungle’s records, specifically the names and addresses of company shareholders. Pernick’s letter suggests that this could be a prelude to further action (emphasis added):

Mr. Jaffer is considering various options with respect to Vungle and his shares of Vungle. He has considered selling some portion of his Vungle shares. However, he is also considering pursuing a leadership change at Vungle through calling for a shareholders meeting for the purpose of voting on a new board of directors and/or purchasing shares of additional Vungle stock. Communicating with Vungle shareholders with respect to their interest in purchasing or selling Vungle stock or in a change in the board of directors is an entirely proper purpose for Mr. Jaffer’s request to inspect the shareholder information that will enable him to make these communications.

When TechCrunch contacted Pernick, he confirmed the authenticity of the letter but declined to comment further. A spokesperson for Jaffer also declined to comment, and Vungle did not respond to our inquiries.

As you can see in the quote above, the letter indicates that Jaffer is considering multiple courses of action.

But if he decides to pursue a leadership change at Vungle, either by winning over existing shareholders or by purchasing a controlling stake in the company, it sounds like there are investors willing to back him — for starters, Jun Hong Heng at Crescent Cove Capital Management confirmed that his firm is working with Jaffer.

“We think Zain and Vungle have incredible potential,” Heng said in a statement. “We look forward to working with Zain and giving him the support he needs to help him regain control of his company.”

We also reached out to Anne-Marie Roussel, who recently resigned from Vungle’s board of directors. Roussel said via email that “the Vungle controversy is an interesting proxy for a much larger debate: the fuzziness surrounding ethical conduct in the tech industry.”

She added, “My personal prediction is that boards of tech companies will be held increasingly accountable for the ethics of the key decisions they make.” As for how that applies to Vungle, she said:

How does it reflect on ethical values when a CEO is dismissed based on presumption of guilt? Don’t we live in a democracy where one of the key legal right is “presumption of innocence” (as in a defendant is innocent until proven guilty). Upholding that principle by collaborating with his defense team was what led to my resignation from Vungle’s board.

Letter to Vungle by TechCrunch on Scribd

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Dec
19

Blockchain analytics provider Nansen raises $75M

Federacy, a member of the Y Combinator Summer 2018 class, has a mission to make bug bounty programs available to even the smallest startup.

Traditionally, bug bounty programs from players like Bugcrowd and HackerOne have been geared toward larger organizations. While these certainly have their place, founders William and James Sulinski, who happen to be twins, felt there was a gap in the marketplace, where smaller organizations were being left out of what they considered to be a crucial service. They wanted to make bug bounty programs and the ability to connect without outside researchers much more accessible, so they built Federacy.

“We think that we can make the biggest impact by making the platform free to set up and incredibly simple for even the most resource-strapped startup to extract value. In doing so, we want to expand bug bounties from probably a few hundred companies currently — across Bugcrowd, HackerOne, etc. — to a million or more in the long run,” William Sulinski told TechCrunch.

That’s an ambitious long-term goal, but for now, they are just getting started. In fact, the brothers only began building the platform when they arrived at Y Combinator a couple of months ago. Once they built a working product, they started by testing it on the members of their cohort, using knowledgeable friends as security researchers.

They made the service public for the first time just last week on Hacker News and report more than 120 sign-ups already. Their goal is 1,000 sign-ups by year’s end, which William claims would make them the largest bug bounty platform by count out there.

Screenshot: Federacy

For now, they are vetting every researcher they bring on the platform. While they realize this approach probably won’t be sustainable forever, they want to control access at least for the early days while they build the platform. They plan to be especially attentive to the researchers, recognizing the value they bring to the ecosystem.

“It’s really important to treat researchers with respect and be attentive. These people are incredibly smart and valuable and are often not treated well. A big thing is just being responsive when they have a report,” Sulinski explained.

Screenshot: Federacy

As for the future, the brothers hope to keep building out the program and developing the platform. One idea they have is getting a fee should a client build a relationship with a particular researcher and want to contract with that individual. They also plan to take a small percentage of each bounty for revenue.

Unlike more typical YC participants, the brothers are a bit older, in their mid-thirties, with more than 20 years of professional experience under their belts. Brother James was director of engineering at MoPub, a mobile ad platform that Twitter acquired for $350 million in 2013. Earlier he helped build infrastructure for drop.io, a file-sharing site that Facebook acquired in 2010. As for William, he was CEO of AccelGolf and Pistol Lake, and founding member and project lead at Shareaholic.

In spite of their broad experience, the brothers have valued the practical advice Y Combinator has provided for them and found the overall atmosphere inspiring. “It’s hard not to be in awe of the incredible things that people have built in this program,” William said.

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10

1Mby1M Virtual Accelerator Investor Forum: With Nate Redmond of Alpha Edison (Part 5) - Sramana Mitra

Sramana Mitra: Comment on unicorn mania for me. We went a little bit crazy with this concept of unicorns. There’s just this very unfortunate twist that the industry has taken. How do you parse...

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Original author: Sramana Mitra

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May
28

Q218 Vacation Reading

In a world bursting with abundances like self-driving cars and robotic personal assistants, you would think that basic needs like sustainable food sourcing and distribution would be a problem of the past. But that couldn’t be further from the truth.

According to the Food and Agriculture Organization of the United Nations (FAO), every year roughly a third — 1.3 billion tons — of food grown for consumption is lost or wasted. In industrialized countries like the U.S., this results in a loss of $680 billion per year, and in countries without standardized infrastructure (such as proper cooling systems), this results in a loss of $310 billion per year.

Among the billions of tons of food lost per year, the largest percentage is in vital, nutrient-rich foods like fruits and vegetables and roots and tubers (such as potatoes and carrots), each seeing about 45 percent wasted annually.

There are many factors responsible for food waste, including poorly regulated “Best By” and “Sell By” dates in the U.S. that tempt fickle customers into wasting otherwise good food, and unreliable or non-existent cooling distribution systems in less-industrialized countries.

But an underlying cause of both of these issues, especially for easily spoiled foods, is the inherent shelf life of the food itself. And that’s where Apeel Sciences steps in.

The California-based startup is combating food waste by using plant-derived materials from food itself to create an extra protective barrier to prolong its life and stave off spoilage — essentially, creating a second peel. To create it, farmers just add water to Apeel’s protective powder and apply it to produce as a spray or wash.

For founder and CEO James Rogers, who was working on a PhD in materials engineering from the University of California, Santa Barbara when he was inspired to create Apeel Sciences, the solution to the problem of quickly spoiled food could be found by looking to a problem science had already solved: rust.

“Factors that cause spoilage are water loss and oxidation,” Rogers told TechCrunch. “[This] reminded me instantly of my undergraduate days at Carnegie Mellon as a metallurgist studying steel. Steel is perishable as well. It’s perishable because it rusts — it reacts with oxygen in the environment — and [that] limits its use. [But metallurgists] designed a little oxide barrier that would physically protect the surface of that steel, [creating] stainless steel.

Rogers says he began to wonder if a similar method could be used to protect produce from spoiling effects as well.

“Could we create a thin barrier along the outside of fresh produce and in doing that lower the perishability and perhaps make a dent in the hunger problem?”

Apeel was officially founded in 2012 with a grant from the Bill and Melinda Gates Foundation for $100,000 to help reduce post-harvest food waste in developing countries that lacked refrigeration infrastructure. To combat this issue, Apeel set up self-service and hybrid distribution systems for farmers in countries like Kenya and Uganda to help protect their produce during its journey from farm to consumer, without the need for refrigeration.

While the company still has a foothold in Africa and Southern Asia, it has also started partnerships with farmers in the U.S. as well, and in May and June of this year introduced the first Apeel produce — avocados — to U.S. retailers Costco and Harps Food Stores.

Because Apeel produce is not genetically modified (but instead plant-derived), they need no special labeling at grocers, but Rogers said the produce wears its scientific design on its sleeve nevertheless.

“We’re not doing anything at the DNA level, there’s no genetic modification, but we want to be really upfront with consumers and actually have them look for the label because by identifying that label they’re going to know that bringing that produce home with them [they’ll have] higher-quality, longer-lasting produce that they’ll be less likely to throw away.”

According to Apeel, since its avocados were introduced to Harps Food Stores, the retailer has seen a 65 percent increase in margin and a 10 percent lift in sales across the avocado category.

With these successes under its belt, Apeel also announced in July the closing of a $70 million funding round led by Viking Global Investors, with Andreessen Horowitz, Upfront Ventures and S2G Ventures participating.

Rogers told TechCrunch that the capital will help the company continue its research and development of new methods to fight food waste, including Apeel sprays for produce like stone fruit and asparagus, and continue to learn from solutions found in nature, “Our [mission] at its core is looking at natural ecosystems to determine and identify what materials it’s using to solve problems and how we might be able to extract and isolate those materials to solve other problems for humanity.”

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10

Thought Leaders in Cloud Computing: Lior Koriat, CEO of Quali (Part 4) - Sramana Mitra

Lior Koriat: You have a mix of monolithic applications that you’re gradually modernizing and turning them into microservice-based architecture. You’re also balancing the workloads between your...

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Original author: Sramana Mitra

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Dec
21

Dynasty Studios raises $5M to take traditional games into blockchain

A new startup, Workona, this week launched software designed for those who primarily do their work in a browser. The company’s goal is to become the OS for web work – and to also save web workers from the hell that is a million open tabs. To accomplish this, Workona offers smart browser windows you set up as workspaces, allowing you a place to save your open tabs, as well as collaborate with team members, search across your tabs, and even sync your workspace to different devices.

The Palo Alto-based company was founded in fall 2017 by Quinn Morgan (CEO), previously the founding product manager at Lucidpress, and Alma Madsen (CTO), previously the first employee and Director of Engineering at Lucid Software, the makers of Lucidpress.

“Last year, Alma and I decided we wanted to build something together again, and initially began working on a different startup idea,” explains Morgan, as to how Workona began. “As a remote team at the time, we were using cloud apps like Google Docs, Asana, Slack, and Zoom to stay connected. Both of us were wearing multiple hats and juggling ten different projects at once.”

“One late night, with ten windows open for each project, the idea just struck us: ‘Why doesn’t the browser – the tool that we actually do most of our work in – not have a good way to manage all of our projects, meetings, and workflows?'”

Of course, there are already browser add-ons that can help with taming the tab chaos, like OneTab, toby, Session Buddy, The Great Suspender, TooManyTabs and others.

But the co-founders didn’t want just another tab manager; they wanted a smart browser window that would save the work you do, automatically. That way, you wouldn’t have to keep all the tabs open all the time, which can make you stressed and less focused. And you wouldn’t have to remember to press a button to save your tabs, either.

With Workona, the software guides users to create workspaces for each of the projects, meetings, and workflows they’re currently working on. (Working on…Workona…get it?).

You can also take a browser window that represents one project and save it as a workspace.

These workspaces function like a folder, but instead of holding a set of files, they can save anything on the web – cloud documents, task lists, open websites, CRM records, Slack sessions, calendars, Trello boards, and more. In each workspace, you can save a set of tabs that should reappear when that workspace is re-opened, as well as set of “saved tabs” you may need to use later.

After creating a workspace, you can use Workona to re-open it at any time. What that means is you can close the browser window, and later easily pick up where you left off without losing data.

A list of workspaces will also appear in the left-side navigation in the Workona browser tab. Within this tab, you can click to open a workspace, switch between workspaces in the same browser window, search for tabs or workspaces from the included search bar, or open workspaces from their URL.

In a shared workspace, you can also collaborate with others on things the team is working on – like everything needed for a project or meeting.

“Our vision is to build the missing OS for work on the web and workspaces are just the start,” says Morgan.

The company is currently working on making the workspaces and its search features more powerful, he adds.

Workona will be sold as a freemium product, with a free tier always available for moderate use. Pro accounts will be introduced in the future, removing the limit of 10 workspaces found in the free version.

The company has been beta testing with users from tech companies like Twitter, Salesforce and Amazon, as well as NASA.

The company is still pre-seed stage, with funding from K9 Ventures.

Traditional OS’s spent a lot of time and effort in designing the ‘desktop experience’ and switching between applications. But in a browser, all we have is tabs,” said K9 Ventures’ Manu Kumar, as to why he invested. “There are tab managers but none of them really solved my problem well enough, and none of them allowed me to maintain a shared context with other people that I’m collaborating with,” he added.

Workona is available for Chrome as a plugin you download from its website.

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May
28

Here's why coating our streets white could help lower temperatures in the summer

The launch of Fortnite Battle Royale has left Google in a slight predicament. While Google is in no way hard up for cash, Fortnite Battle Royale for Android certainly represented the potential for a relatively big revenue stream for an app. That is, until Epic Games decided it would launch Fortnite for Android from its own website, circumventing the Play Store.

But revenue aside, there’s also the matter of Google probably not liking the idea of huge titles circumventing the Play Store as a precedent. Plus, the lack of Fortnite Battle Royale within the Play Store poses a slight security risk to users, as there are quite a few V-bucks scams and malicious clones looking to capitalize on the popularity of Fortnite.

That’s why the Google Play store now displays a message to users in response to searches for “Fortnite,” “Fortnite Battle Royale” and other similar search queries.

“Fortnite Battle Royal by Epic Games, Inc is not available on Google Play,” reads the message.

That’s right. Google misspelled the “Royale” in Battle Royale. It was likely an honest mistake, but given the fact that Epic Games is making upwards of $300 million in revenue a month, which Google is not getting a cut of, it makes for some fun back-and-forth for us spectators.

Google lists PUBG Mobile, Fortnite’s biggest competitor, at the top of all Fortnite Battle Royale queries, but doesn’t include anything in its message around how to actually find the real Fortnite Battle Royale for Android .

While Google Play’s app review process should catch the vast majority of malicious clones, the message is at least moderately helpful for folks hearing about the Android version of Battle Royale without knowing the details around Epic’s launcher.

For what it’s worth, Fortnite for Android isn’t yet available to everyone. The game launched yesterday as a Samsung exclusive for folks with a Galaxy S 7 or higher, and will become available to all Android phone owners on August 12.

[via 9to5Google]

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Original author: MitraSramana

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