Jun
13

Billion Dollar Unicorns: Smartsheet Goes Public but Profits Appear Distant - Sramana Mitra

Finding the right talent is a make-or-break situation for any company — especially smaller ones, which might not have the robust tools (or pocket books) of larger companies like Google that have a complete system in place. Recruiting platform Greenhouse hopes to make that process a little bit easier, and it has caught the attention of investors.

The company said it has raised a new $50 million financing round from Riverwood Capital, bringing its total funding to $110 million. Greenhouse definitely isn’t the only company that’s starting to pick up a significant amount of funding recently by trying to crack open the process of talent acquisition and make it a little more data-driven. But as the cost and difficulty of collecting enormous amounts of data on different kinds of human activity has dropped with the emergence of new machine learning tools, the problems behind recruiting may also be one that can get a lot of help from employing the same data science rigor that powers a smart Google search result.

“Hiring tools and software in the market had been built for the previous generation, with an applicant tracking mindset to cover the basics of collecting resumes on your website,” Greenhouse CEO Daniel Chait said. “We saw that winning companies in the talent market were ones who were able to attract the right talent, identify difference makers in a sea of LinkedIn profiles, make really smart decisions in who to hire, deliver winning experiences, use data to optimize. They needed tools to accomplish those goals and much broader than the recruiting software.”

The typical consumer’s experience with Greenhouse has probably been a bunch of job listings on a website somewhere, where an employee can submit an application or additional information that the company wants. Under the hood, Greenhouse provides companies with ways to find the right funnels for their applications — whether that’s something like GlassDoor or smaller niches on the Internet with more isolated pockets of talent — and discover the right employees for the roles that are available. Data is collected on all this behavior, which in turn helps Greenhouse give better recommendations for companies as to where to find potential recruits that fit their needs.

All that has to be packaged together with a generally nice user experience, both for the typical consumer and for the companies. That can boil down to actually understanding the right questions to ask, the right requirements to post in a job listing, and also making sure the process is pretty quick for people that are applying for jobs. Greenhouse implements scorecards to help interviewers — which can turn out to be a big group, depending on the position — determine whether or not candidates are the right person for the job in a more rigorous manner. And Greenhouse also hopes to work with companies with its tools to eliminate bias in the recruiting process to produce a more diverse set of hires.

“Companies are continuing to invest in recruiting and talent acquisition software,” Chait said. “As issues of talent and hiring have become more central at the C-suite, companies continue to invest in this area. Companies are starting to see the difference between HR and talent acquisition as its own specialty. If you’re a big company that has an all-in-one HR suite, it’s all well and good to have payroll and benefits in your org chart in one place, but when it comes to hiring, it’s very dynamic.”

Greenhouse is still pretty dependent on its partners, but the startup has a wide array of companies that it works with to ensure that all the right tools are available to clients to find the right candidates. If a change is coming on LinkedIn — one of the biggest homes of candidate profiles on the planet — Greenhouse is going to work with the company to ensure that nothing breaks, Chait said. Greenhouse provides an API-driven ecosystem to ensure that its tools reach all the right spots on the Internet to help companies find the best talent.

But Greenhouse isn’t the only recruiting-driven company to attract a significant round of funding. It isn’t even the only one to do so in the last month — Hired, another recruiting platform, said it raised $30 million just weeks ago to create a sort of subscription model to help funnel the right candidates to companies. But all this interest, including Greenhouse, is a product of attempts to try to find the right talent in what might be unexpected spots powered by machine learning tools that are now getting to the point where the predictions are actually pretty good.

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Jul
12

Meero raises $45 million for its on-demand photography service

Have you ever wondered why photos on Airbnb, UberEats and your favorite hotel platform always look so good? French startup Meero has been working on a marketplace and AI-powered technology to make it easy to get good photos of products and places.

The company has raised a new $45 million round led by Alven Capital and Idinvest. Eight months ago, Meero already raised $15 million from Global Founders Capital, Aglaé Ventures, Alven Capital and White Star Capital.

“We focused on this idea because we wanted to make the web beautiful,” co-founder and CEO Thomas Rebaud told me last year. “We realized that we are all on Instagram and that photos are beautiful. But then, you go on a marketplace and photos aren’t great.”

The company first looked at the real estate market and partnered with real estate companies to optimize the photography process as much as possible.

It starts with finding a photographer. Instead of working with hundreds of photographers in hundreds of cities, Meero lets you find a photographer in over a hundred countries. Prices, contracts and processes are all standardized in order to avoid any surprise. Meero takes a cut on every transaction.

After the shooting, photographers usually have to spend hours selecting and editing the best photos. This usually takes even longer than the shooting itself.

Meero has been working on AI-powered algorithms so that you don’t have much to do. You upload your photos, and the service will automagically take care of the editing. By speeding up this process, a photographer can work on more projects. And Meero can also cut variable costs drastically — this is key when it comes to Meero’s scalability.

With today’s funding round, the startup is going to open new offices in the U.S. and somewhere in Asia. Meero will also hire more computer vision experts in France.

Meero currently has 40,000 clients and processes a new transaction every 30 seconds. Clients usually get photos within 24 hours. The company now also lets you order videos from the same platform.

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Jun
13

1Mby1M Virtual Accelerator Investor Forum: With Laurel Touby of Supernode Ventures (Part 1) - Sramana Mitra

Pointy​,​ the​ ​startup​ ​that​ offers tech to help ​bricks and mortar​ ​retailers, put their stock online so that it can be discovered via search engines, has picked up $12 million in new funding. The Series B round is led by Polaris Partners and Vulcan Capital, and brings total funding for the Irish company to $19 million.

Founded on the premise that people often resort to e-commerce behemoths like Amazon because they can’t find the same item locally, Pointy has developed a hardware and cloud software solution that makes it easy to create a bespoke website as means of making local stock discoverable online. Specifically, the ​”Pointy​ ​box”​ hardware ​gadget connects to a store’s barcode scanner and automatically puts scanned items on a Pointy-powered website for the store.

Store pages are then optimised for search engines, so that when you search for products locally — say your favourite artisan beer — a Pointy-powered result shows up and encourages you to visit the store and make a purchase. In other words, this is about helping local retailers drive more footfall, but with very little additional overhead.

Pointy CEO and co-founder Mark Cummins says the Series B round will be used by the startup to accelerate growth and build on increased uptake by U.S. retailers. It currently counts 5,500 retailers using Pointy in total, with 70 percent from the U.S, and the remaining in Canada, U.K. and Ireland. “To put the U.S. number in context, just under 1 in 200 U.S retailers is now using Pointy,” a company spokesperson tells me.

Since we last covered Pointy, it has extended its reach considerably via partnerships with Lightspeed, Clover and Square, which allows retailers using these POS systems to use the Pointy platform for free because it doesn’t require the purchase of the $499 Pointy device. The startup has also partnered with Google via the search giant’s new See What’s In Store (SWIS) program so that shoppers can discover what a store sells within Google’s search and maps pages.

“For all the hype around e-commerce and the media narrative of ‘Retail Apocalypse’, people still make the vast majority of their purchases in local stores,” adds Cummins in a statement. “But local retailers have lost out in not having their products visible online — we solve that problem for them”.

Meanwhile, Pointy’s previous backers include Draper Associates, Frontline Ventures, and notable angel investors such as Matt Mullenweg (founder of WordPress), Lars Rasmussen (co-founder of Google Maps), Taavet Hinrikus (co-founder of TransferWise), and Michael Birch (co-founder of Bebo).

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Jul
12

Medical care scheduling startup Doctolib acquires MonDocteur

What do you do when you’ve raised nearly $100 million and you want to grow as quickly as possible? In Doctolib’s case, the startup is acquiring its main competitor MonDocteur. Together, the two companies work with tens of thousands of doctors and get tens of millions of unique visitors every month.

Doctolib has developed an online scheduling platform for all sorts of doctors, from your physician next door to the hospital in the big city.

Instead of creating integrations with existing calendars and software solutions, Doctolib is replacing your doctor’s scheduling system altogether. After signing up, you can create your profile and manage your calendar from Doctolib directly.

This way, patients can look at their doctor’s calendar on Doctolib’s website and find a time slot that works for everyone. But doctors even use Doctolib for patients who call them directly as it replaces the entire calendar system.

MonDocteur started five years ago with the exact same idea in mind. Over time, the two companies have significantly grown and convinced more and more doctors. You can’t use both solutions, so each doctor had to decide between Doctolib and MonDocteur.

Here are some numbers:

MonDocteur has 150 employees, while Doctolib has 450 employees.MonDocteur works with 10,000 health professionals and Doctolib has signed up 45,000 health professionals.MonDocteur costs €106.80 per month, Doctolib costs €109 per month in France.MonDocteur gets 4 million visitors per month on its website. Doctolib now attracts 16 million visitors.

So it’s clear that MonDocteur was smaller than Doctolib, but not really an order of magnitude smaller. These two startups will form a big company after the acquisition with 600 employees. It will also lead to a huge jump in monthly recurring revenue.

It’s clear that Doctolib now has nothing to worry about in France. The startup also recently launched its service in Germany. Now, it’s all about convincing new doctors in France and Germany to join the platform. The company could also expand to new services to create new revenue streams.

For now, both MonDocteur and Doctolib will stick around. If you’ve been using one of those two sites, nothing will change. Doctors will also remain segmented between the two sites. Eventually, there will be just one service.

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Jul
11

Nurx raises $36 million and adds Chelsea Clinton to its board of directors

Telemedicine startup Nurx recently closed a $36 million funding round led by Kleiner Perkins. As part of the investment, Kleiner Perkins General Partner Noah Knauf is joining the startup’s board of directors, along with Chelsea Clinton .

With this new funding, CEO and co-founder Hans Gangeskar told TechCrunch that the startup plans to scale its clinical teams, pharmacies and geographic reach in the coming year.

“We have a new site in Miami where we have a team of nurses being on-boarded, [we’re] building out our engineering and design teams and really just [working to] increase the pace of everything that we’re doing,” Gangeskar said.

The startup launched in 2014 with the goal to make reliable access to contraceptives as easy as opening your web browser. After plugging your information into its online app, users are connected with physicians, given a prescription and Nurx prepares their product for delivery.

Since its launch, this California-based startup now operates in 17 states, and has expanded its products to include not only contraceptives (such as pills, patches, injectables and products like Nuva Ring) but the anti-HIV medication PrEP as well. Gangeskar says the company is also preparing to launch an at-home lab kit soon for HIV testing.

For Gangeskar, creating affordable access to contraceptives is a first step to changing how patients interact and receive medication from their physicians.

“Birth control is one of the fundamental functions of any health care system [so] for us its a natural place to start,” said Gangeskar.

To help advance its plans to redefine this space, Gangeskar says Nurx is excited to welcome public health veteran Chelsea Clinton to its board.

“Her experience in public health and global health from the Clinton Global Initiative has been really valuable, [particularly learning about] rolling out preventative services in large scales, because really that’s the potential of our platform — [to reach] populations that can’t be reached by the conventional medical system.”

While Washington looks to make cuts to American’s healthcare access, startups like Nurx offer a fresh perspective on this critical space.

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Jul
11

Casper opens a storefront for $25 naps

Casper is opening a storefront designed specifically for sleepy New Yorkers in need of a nap.

In The Dreamery, you can reserve nooks for 45 minutes at a time, at a cost of $25 per session. These nooks are basically giant wooden “O”s with curtains and soundproofed backing, and of course they’re stocked with Casper beds.

It’s easy to dismiss or giggle about a nap store, but it seems a lot less funny when it’s a warm afternoon and you’re having trouble keeping your eyes open at work. In fact, I will happily confess to taking advantage of the TechCrunch New York couch after a big lunch, or after a morning that started stupidly early thanks to deadlines and embargoes.

The Dreamery, of course, is a lot fancier than the office couch, as I discovered when I dropped by for a quick tour. Beyond the nooks themselves, there are also lockers to drop off your stuff, private washrooms to get cleaned up, a lounge for hanging out and drinking coffee before or after, plus additional amenities like pajamas and Headspace “sleepcasts.” (And yes, a Casper spokesperson assured me that the sheets are changed between each session.)

“The Dreamery is about making sleep and rest a part of our regular wellness routines — similar to how many people prioritize a workout class,” ​said COO Neil Parikh in a statement. ​“The concept enables us to pilot new ways of bringing better sleep to more people and to more places — whether that’s here, the workplace, airports, or beyond.”

Oh, and this new storefront is located on the same New York City block as a Casper sleep store, so it should be a pretty quick walk if you love the experience so much that you want to take a mattress home.

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Jan
01

Smart lock maker Otto suspends operations

The team at Dirt Protocol is using blockchain technology to create a new approach to verify information.

The startup doesn’t plan to launch its platform until later this year, but it announced today that it has raised $3 million in seed funding from General Catalyst, Greylock, Lightspeed, Pantera Capital, Digital Currency Group, SV Angel, Avichal Garg, Elad Gil, Fred Ehrsam, Linda Xie and others.

Founder Yin Wu previously created lockscreen startup Echo (acquired by Microsoft in 2015) and laundry startup Prim. She told me that after becoming interested in the cryptocurrency industry, she was concerned about the fear, uncertainty and doubt around coin offerings — after all, we’ve covered several ICOs where companies appear to have disappeared with people’s money.

“The market today is still unregulated, with high incentive for people to spread misinformation for personal gain,” Wu said.

Her solution? Build databases where anyone can contribute information, but where they have “skin in the game,” so there’s a financial penalty if they’re not truthful.

Dirt Protocol isn’t trying to create a single, definitive data repository, but rather to provide the tools for developers to build their own databases. Those databases might focus on things like ICOs (providing information like the team, the investors and the number of tokens in circulation), or online publishers (to help advertisers avoid bots), or professional listings and membership lists.

Dirt Protocol diagram based on Dimitri De Jonghe

There will be a single token that works across the Dirt platform. Users will need to stake tokens to add new information to databases, to challenge an entry or to vote in disputes — you’ll be penalized (by losing tokens) for adding misinformation and rewarded for weeding it out.

While that should create an economic incentive for people to not just avoid inaccuracies but also to actively remove them, it doesn’t fully address the question of determining the truth — who, ultimately, gets to decide whether an entry is accurate? Wu said Dirt will support a variety of different “governance structures,” whether that’s centralized moderation, free-for-all voting or a system where votes are weighted by reputation.

Wu also suggested that the system is designed in a way to discourage concerted misinformation campaigns. For one thing, hoaxers will probably want to target the more popular databases, but those are also the ones that should attract more active moderation. Plus, she said, “The more valuable the network, the more people are contributing information, the more expensive [it becomes to contribute].”

A recurring theme in our conversation was the advantage of a “decentralized” approach to data verification. Wu said that isn’t always the right way to go, but she said it makes sense when there’s a big platform with a centralized vetting process that works too slowly, or in situations where “you can’t trust the curator” of information, or with data sets that are just proprietary and expensive to access — while you have to buy tokens to contribute information, Wu said that Dirt Protocol data sets should be freely accessible, and “no single party owns that information and can shut off access.”

In a similar vein, she said Dirt Protocol isn’t currently focused on making money. Ultimately, the business model will probably involve some combination of giving the software away for free and charging for additional services.

“We’re focused on creating this open data set that anyone can use,” Wu said. “If we achieve that goal, I’m confident that some monetization will arise.”

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Jan
01

The Future of Silicon Valley - Sramana Mitra

In the days of Uber 1.0, the ethos seemed to be about doing all the wrong things. Now, with former Expedia CEO Dara Khosrowshahi at the helm, Uber is clearly on its way to becoming a sort of Expedia for transportation. Though, Khosrowshahi has previously likened Uber’s business to aligning more with the idea of an Amazon for transportation.

At TechCrunch Disrupt San Francisco in September, Khosrowshahi will join me to discuss Uber’s big plan to own the entire transportation experience for people, the highs and lows of his first year on the job, Uber’s upcoming initial public offering and much more.

Under Khosrowshahi’s leadership, Uber officially became a multi-modal transportation platform with its acquisition of JUMP Bikes for about $200 million, the launch of UberRENT and a public transportation partnership with Masabi.

Oh, and Uber is also working on electric scooters, as well as flying cars via its Elevate program. Just like residential and buildings have gone three-dimensional, Khosrowshahi said at a tech conference in May, “you’re going to have to build a third-dimension in terms of transportation.”

For Uber, Elevate is its “big bet” on that third-dimension of transportation, he said. The big plan with all of these modes of transportation — whether that’s bike sharing, electric scooter sharing, ride sharing, flight sharing or whatnot — is to become a multi-modal transportation service.

Under the leadership of Khosrowshahi, Uber also seems to be moving into an era where the company works with governments, instead of in spite of them. This is quite the 180 for Uber. Before the days of Khosrowshahi, Uber was reluctant to share data with cities. Now, Uber is expanding Movement, a platform that anonymizes and aggregates Uber data to map travel times, to 12 new cities across five continents. The intent is to help urban planners, local leaders and civic communities make more informed decisions.

While Khosrowshahi is making positive moves in a business direction, it’s worth noting the company is still in need of a chief financial officer, and there have been some high-level departures that have continued under his leadership. In June, for example, Uber’s chief brand officer, Bozoma Saint John, left a little after one year of joining the company.

At the time, Saint John told me that while “nothing horrible or terrible happened,” Uber’s corporate culture has not “righted itself 100 percent.” At Disrupt, Khosrowshahi and I will also discuss Uber’s corporate culture and what it’s going to take to fully recover from its 2017, which entailed reports of sexual harassment, mismanagement and a toxic work environment. Then, just this month, Uber’s chief people officer, Liane Hornsey, resigned following an internal racial discrimination investigation.

This should go without saying, but there will be a lot to discuss. In order to see him in person you’ll need to grab your passes to Disrupt SF, which runs September 5-7, are available here.

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Jul
11

Real estate platform Nestio raises $4.5 million

Real estate platform Nestio is getting new funding as it continues to expand its footprint beyond New York City into other large U.S. markets. The startup’s software gives real estate owners and managers a hub to handle things like leasing and marketing.

The round, which they announced today, was led by Camber Creek and Trinity Ventures, with participation from other real estate firms, including Rudin Ventures, Currency M, The Durst Organization, LeFrak Ventures and Torch Venture Capital. The startup has raised around $16 million to date.

Nestio is building up its unit count in new markets, including Boston, Chicago, Houston and Dallas, and is seeking to expand operations with existing customers in NYC. The startup says that it’s grown the amount of units on its platform by 250 percent in the past 12 months.

“We now have hundreds of thousands of listings on the platform that people are now managing,” Nestio CEO Caren Maio told TechCrunch. “Part of that growth is net new logos, but also expansion. So we’ve seen a lot of growth — particularly in New York — although I think the same behavior will replicate itself once we have some longevity in some of those other cities.”

The company says they will use this new capital and strategic partnerships to “deliver advanced leasing and marketing solutions even faster.”

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Jul
11

Thought Leaders in Cloud Computing: Fred Voccola, CEO of Kaseya (Part 3) - Sramana Mitra

Sramana Mitra: What’s in your technology that’s helping these 35,000 MSPs do their jobs to cater to the needs of SMBs? Fred Voccola: There are a couple of key things that MSPs require. We’ve built...

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Original author: Sramana Mitra

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Jul
11

Thursday, July 12 – 406th 1Mby1M Mentoring Roundtable for Entrepreneurs - Sramana Mitra

Entrepreneurs are invited to the 406th FREE online 1Mby1M mentoring roundtable on Thursday, July 12, 2018, at 8 a.m. PDT/11 a.m. EDT/8:30 p.m. India IST. If you are a serious entrepreneur, register...

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Original author: Maureen Kelly

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Jan
01

Catching Up On Readings: Happy New Year to All - Sramana Mitra

French startup Alan has been mostly focused on its main health insurance product — a standard package for companies of all sizes and shapes. The company is launching a second offering on this market with Alan Blue.

Companies can now choose between two levels of insurance — Alan Green and Alan Blue. Alan Green is the existing health insurance product with a new name. It still costs the same and offers the same level of coverage. Alan Blue is a higher-end product with better coverage for companies who want to retain talent using better benefits.

French employees automatically get basic coverage from the national healthcare system. But companies also need to provide a health insurance from a private company to pay for part of the health expenses. It’s a hybrid system with a strong legal framework.

This is where Alan comes along as your employer signs a deal with an insurance company to cover all their employees. Usually, insurance companies provide multiple offerings. But Alan has historically focused on a single plan.

With Alan Green, you get good coverage starting at $59 (€50) per month per employee if you’re under 36 years old. It gets more expensive if you’re over 36, and then over 45, and then over 56 years old. Plans for employees over 56 cost $100 per month (€85).

Companies have to pay at least 50 percent of those plans. The rest is deducted from your pay. Some companies also choose to pay 100 percent of everyone’s health insurance to show that they really care about their employees.

Employees can also choose to cover their spouse and kids with Alan. Plans for a second adult cost the same as plans for employees. And you can cover all your kids for a $47 flat monthly fee (€40).

While you won’t pay anything if you see a normal medial practitioner, Alan Green couldn’t necessarily cover an expensive pair of glasses or extensive dental work.

Alan Blue is a second option for companies looking for a premium health insurance product. Companies now have to decide between the two plans for the entire staff. You can’t let employees decide between one plan or the other.

Alan Blue starts at $82 per month (€70) for young employees and also gets more expensive depending on the age of the employee. While there’s only a €20 difference between the two offerings for employees under 36 years old, the price difference is higher the older you get. Similarly, you can cover all your kids for a slightly more expensive $64 flat monthly fee (€55).

For companies that choose to fully pay for health insurance, it depends if you’re willing to spend more to provide better insurance. But some companies only pay part of the health insurance package. Employees will end up paying more if their companies switch from Alan Green to Alan Blue.

“Overall, companies that are growing rapidly tend to invest a lot for their employees and switch to Alan Blue,” co-founder and CEO Jean-Charles Samuelian told me. “We already noticed that with companies in our existing clients. Some companies are also switching to Alan because they wanted something very high end before switching.”

Alan still plans to target small companies. The startup thinks that small companies are underserved by big insurance companies and tend to pay more for health insurance.

Alan Green is not going away anytime soon. Samuelian thinks you can combine Alan Green with Alan Map to find the perfect doctor around you and get fully reimbursed.

Alan Blue is already available to selected Alan customers. All companies will be able to sign up in September. You can already view all pricing and insurance details on Alan’s website.

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Jul
11

CEO Problems

July 11, 2018

Recently, I was talking to a CEO of a company I’m on the board of. We were discussing a problem in the category of something new Is fucked up in my world every day

He gave me a great idea. He apparently plays a game with his young (I think around 10 years old) daughter. When they are sitting around in the evening, she occasionally says “Daddy, give me a CEO problem.” He does, she thinks about it a little, and then gives him a solution. He suggested to me that this often helps break him out of whatever thought rut he is in given how wacky and creative the answers typically are.

Unfortunately, I don’t have a daughter (or a son). While I have two golden retrievers and I’m a practitioner of rubber duck debugging, I don’t think this works as well as what my friend is doing. Oh – and I’m not a CEO, although the list of CEO problems that I’m exposed to is pretty long.

The next time you have a CEO problem (which will likely be in the next seven minutes if you are a CEO and awake), try to think about it through the lens of a 10-year-old and see if that gives you any new ideas.

Also published on Medium.

Previous Post
Original author: Brad Feld

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Jul
11

Facial recognition startup Kairos acquires Emotion Reader

Kairos, the face recognition technology used for brand marketing, has announced the acquisition of EmotionReader.

EmotionReader is a Limerick, Ireland-based startup that uses algorithms to analyze facial expressions around video content. The startup allows brands and marketers to measure viewers emotional response to video, analyze viewer response via an analytics dashboard, and make different decisions around media spend based on viewer response.

The acquisition makes sense considering that Kairos core business is focused on facial identification for enterprise clients. Knowing who someone is, paired with how they feel about your content, is a powerful tool for brands and marketers.

The idea for Kairos started when founder Brian Brackeen was making HR time-clocking systems for Apple. People were cheating the system, so he decided to implement facial recognition to ensure that employees were actually clocking in and out when they said they were.

That premise spun out into Kairos, and Brackeen soon realized that facial identification as a service was much more powerful than any niche time clocking service.

But Brackeen is very cautious with the technology Kairos has built.

While Kairos aims to make facial recognition technology (and all the powerful insights that come with it) accessible and available to all businesses, Brackeen has been very clear about the fact that Kairos isn’t interested in selling this technology to government agencies.

Brackeen recently contributed a post right here on TechCrunch outlining the various reasons why governments aren’t ready for this type of technology. Alongside the outstanding invasion of personal privacy, there are also serious issues around bias against people of color.

From the post:

There is no place in America for facial recognition that supports false arrests and murder. In a social climate wracked with protests and angst around disproportionate prison populations and police misconduct, engaging software that is clearly not ready for civil use in law enforcement activities does not serve citizens, and will only lead to further unrest.

As part of the deal, EmotionReader CTO Dr. Stephen Moore will run Kairos’ new Singapore-based R&D center, allowing for upcoming APAC expansion.

Kairos has raised approximately $8 million from investors New World Angels, Kapor Capital, 500 Startups, Backstage Capital, Morgan Stanley, Caerus Ventures, and Florida Institute, and is now closing on its $30 million crowd sale.

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Jul
11

Timehop admits that additional personal data was compromised in breach

Timehop is admitting that additional personal information was compromised in a data breach on July 4.

The company first acknowledged the breach on Sunday, saying that users’ names, email addresses and phone numbers had been compromised. Today it said it that additional information, including date of birth and gender, was also taken.

To understand what happened, and what Timehop is doing to fix things, I spoke to CEO Matt Raoul, COO Rick Webb and the security consultant that the company hired to manage its response. (The security consultant agreed to be interviewed on-the-record on the condition that they not be named.)

To be clear, Timehop isn’t saying that there was a separate breach of its data. Instead, the team has discovered that more data was taken in the already-announced incident.

Why didn’t they figure that out sooner? In an updated version of its report (which was also emailed to customers), the company put it simply: “Because we messed up.” It goes on:

In our enthusiasm to disclose all we knew, we quite simply made our announcement before we knew everything. With the benefit of staff who had been vacationing and unavailable during the first four days of the investigation, and a new senior engineering employee, as we examined the more comprehensive audit on Monday of the actual database tables that were stolen it became clear that there was more information in the tables than we had originally disclosed. This was precisely why we had stated repeatedly that the investigation was continuing and that we would update with more information as soon as it became available.

In both the email and my interviews, the Timehop team noted that the service does not have any financial information from users, nor does it perform the kinds of detailed behavioral tracking that you might expect from an ad-supported service. The team also emphasized that users’ “memories” — namely, the older social media posts that people use Timehop to rediscover — were not compromised.

How can they be sure, particularly since some of the compromised data was overlooked in the initial announcement? Well, the breach affected one specific database, while the memories are stored separately.

“That stuff is what we cared about, that stuff was protected,” Webb said. The challenge is, “We have to make a mental note to think about everything else.”

The breach occurred when someone accessed a database in Timehop’s cloud infrastructure that was not protected by two-factor authentication, though Raoul insisted that the company was already using two-factor quite broadly — it’s just that this “fell through the cracks.”

It’s also worth noting that while 21 million accounts were affected, Timehop had varying amounts of data about different users. For example, it says that 18.6 million email addresses were compromised (down from the “up to 21 million” addresses first reported), compared to 15.5 million dates of birth. In total, the company says 3.3 million records were compromised that included names, email addresses, phone numbers and DOBs.

None of those things may seem terribly sensitive (anyone with a copy of my business card and access to Google could probably get that information about me), but the security consultant acknowledged that in the “very, very small percentage” of cases where the records included full names, email addresses, phone numbers and DOBs, “identity theft becomes more likely,” and he suggested that users take standard steps to protect themselves, including password-protecting their phones.

Meanwhile, the company says that it worked with the social media platforms to detect activity that used the compromised authorization tokens, and it has not found anything suspicious. At this point, all of the tokens have been deauthorized (requiring users to re-authorize all of their accounts), so it shouldn’t be an ongoing issue.

As for other steps Timehop is taking to prevent future breaches, the security consultant told me the company is already in the process of ensuring that two-factor authentication is adopted across the board and encrypting its databases, as well as improving the process of deploying code to address security issues.

In addition, the company has shared the IP addresses used in the attack with law enforcement, and it will be sharing its “indicators of compromise” with partners in the security community.

Everyone acknowledged that Timehop made real mistakes, both in its security and in the initial communication with customers. (As the consultant put it, “They made a schoolboy mistake by not doing two-factor authentication.”) However, they also suggested that their response was guided, in part, by the accelerated disclosure timeline required by Europe’s GDPR regulations.

The security consultant told me, “We haven’t had the time to do the fine-toothed comb kinds of things we normally want to do,” like an in-depth forensic analysis. Those things will happen, he said — but thanks to GDPR, the company needed to make the announcement before it had all the information.

And overall, the consultant said he’s been impressed by Timehop’s response.

“I think it really says a lot to their integrity that they decided to go fully public the second they knew it was a breach,” he said. “I want to point out these guys responded within 24 hours with a full-on incident response and secured their environments. That’s better than so many companies.”

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Jul
11

1Mby1M Virtual Accelerator Investor Forum: With Brij Bhasin of Rebright Partners (Part 6) - Sramana Mitra

Sramana Mitra: But the monetization is what builds businesses, right? Usage doesn’t build businesses. Brij Bhasin: How many years did Facebook build its business before it started monetizing? Sramana...

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Original author: Sramana Mitra

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Dec
31

What were your best nine Instagram photos from 2017?

Pinterest is trying to further tap its popularity as a place to plan events, this time adding ways for users to collaborate across boards that are baked directly into the app.

Group boards will have their own designated feed, where users will be able to communicate with others collaborating on that board and also get updates on new member additions or added pins. There are also the other typical social structures you’d expect on an app these days, including @-mentions or liking comments. It’s another step to get people onto Pinterest and sticking around as they look to plan events, and create more ways to make the platform more and more sticky. It’s also another quality-of-life improvement that Pinterest seems to have needed for quite some time.

It’s those kinds of events — weddings, parties and others — that propelled Pinterest initially to become one of the larger social networks in the early 2010s. The company late last year said it had more than 200 million monthly active users, which while small compared to the likes of Instagram or Facebook, serves as a hub for a different kind of user behavior than you might find on those other platforms. The majority of the content on Pinterest is high-resolution products from businesses, where people will search for or save those products as they look to plan future life events.

Pinterest has tried to position itself as one of the best ways to discover new ideas, whether that’s stumbling upon something in a primary feed or finding something through searching. Over time, it’s added more and more tools to try to get people to come back more regularly, and if it continues to improve those recommendation engines, it can continue to run that feedback loop and keep users more and more attached to the platform. Adding a sort of light social pressure from friends that are sharing ideas and looking for feedback is one way to do that, in addition to it generally being useful.

All that is good for its pitch to advertisers as well. Pinterest, in addition to trying to cater to that unique kind of user behavior, is also trying to sell itself to advertisers as a platform where they can reach potential customers through ways they wouldn’t be able to with primary advertising channels like Facebook or Google. By making the platform more sticky, it can go back to those advertisers and offer them better engagement metrics and show that users stick around and are paying closer attention to content on Pinterest, which can in turn drive that additional value to advertisers.

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Jul
11

Next Insurance, an insurtech targeting small businesses, scores $83M Series B led by Redpoint

Next Insurance, the Israeli digital insurance startup that helps small businesses get coverage, has raised a significant new funding round, adding another $83 million to its balance sheet.

The Series B round is led by Silicon Valley’s Redpoint Ventures, and will be used by the company to continue expanding across the U.S., where it now operates as a full service insurance carrier. It will also increase headcount in both its Israel and U.S. offices.

Founded in 2016 with the aim of becoming a one-stop insurance shop for micro and small business insurance needs, Next Insurance designs insurance plans for business sectors that are often overlooked by more general insurers.

Small business owners often rely on price comparison websites to figure out what kind of coverage they need and where to buy it, though that means the plans they get don’t always cover all their needs. The other option is to use a broker but that also adds another middle person.

“The complexity of the small business insurance market is very significant and this leads to a situation where even the largest insurance providers own less than 10 percent of the small business market,” founder and CEO Guy Goldstein told TechCrunch when the company raised its Series A. “This offers us huge growth potential as we aim to specialize in and become a market leader in each small business vertical”.

The small business sectors where Next Insurance offers general and professional liability insurance currently includes contractors, fitness, cleaning, beauty, therapy, entertainment, and education. It lets you buy insurance instantly at what it claims is very competitive prices and with no hidden fees. In addition, now that Next Insurance is a licensed carrier, it is able to write policies independently, with what it says is more freedom over underwriting, setting prices, and configuring policies.

Moving forward, the company plans on adding further lines of insurance, on-demand coverage, and ensuring that claims are paid within 48 hours. It is also hoping to develop more sophisticated uses of AI and machine learning to improve the customer experience and streamline the insurance purchasing process.

To that end, Goldstein says Next Insurance’s Series B is a “monumental turning point” in the company’s history, describing growth over the last two years as exponential. Hyperbole aside, the company does appear to have found market fit, as evidenced by the size of the round and how many previous backers followed on.

The Series B Round brings Next Insurance’s total funding to $131 Million in just two years. Other investors that participated in this round include Nationwide Insurance, Munich Re, American Express Ventures, Ribbit Capital, TLV Ventures, and Zeev Ventures. Elliot Geidt, Managing Director of Redpoint Ventures, will join the board of Next Insurance.

More broadly, the insurtech space is rapidly heating up in recognition that the insurance sector, both consumer and B2B, is still yet to be fully digitised, especially in a mobile-first world. In the U.S., consumer home insurance app Lemonade has been grabbing most of the headlines, not least after it raised $120 million in a round led by Softbank.

“Gone are the days of complicated, unreadable policies, exclusions that leave entrepreneurs vulnerable, and endless meetings and phone calls with insurance agents who don’t understand the nuances and needs of different classes of business,” adds Goldstein in a statement. “Small businesses are the backbone of the U.S. economy, and they deserve insurance policies that are simple to access, affordable to own, and which provide them the support and confidence they need to thrive”.

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Jun
13

Ashton Kutcher and Effie Epstein to talk Sound Ventures at Disrupt SF

A Grand View Research report published earlier this year estimates the global identity access management market to grow 14% annually over the next few years to reach $24.6 billion by 2022 driven by...

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Original author: MitraSramana

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Jul
11

1Mby1M Virtual Accelerator Investor Forum: With Rajeev Madhavan of Clear Ventures (Part 3) - Sramana Mitra

Sramana Mitra: What is your perspective on enterprise companies? In a lot of sectors, the mid-market is underserved and enterprise is over-served. Rajeev Madhavan: One of the mid-market companies...

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Original author: Sramana Mitra

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