LearnUp, A Startup Aimed At Boosting Job Prospects For Entry-Level Workers, Partners With Old Navy

When Alexis Ringwald exited her last energy startup, the U.S. labor market was still in the long hangover after the Great Recession. The country’s unemployment was about double what it is today and millions of had lost their jobs in the wake of the financial crisis and housing crash.

So Ringwald went on a long listening tour over six months. She visited unemployment centers throughout Silicon Valley, talking to people looking for work. She went into the heart of Central California, where some communities had unemployment rates that were close to 40 percent.

“What I found is that people apply incessantly to a lot of places,” she said. “But they never hear back. They’re always unqualified. There’s no clear pathway into a job.”

Moreover, she found that three-fourths of the jobs available in the labor market don’t require a college degree. So Ringwald wanted to create something that would help most job seekers, not just ones with college degrees or good social ties into upwardly mobile jobs.

She started looking at how entry-level employers hire and filter out candidates.

Out of that came LearnUp, a training platform that helps entry-level candidates learn some basic skills before they apply.

One of their early partners was Staples. LearnUp provides a batch of three- or 10-minute learning modules containing questions about things like office equipment and copying machines. Candidates go through this one-hour training and learn a little bit about the position before interviewing. It also helps employers filter out candidates who are more motivated or who have taken the time to go through a training.

Now LearnUp has scored another big partnership with Gap’s Old Navy brand, that it says will help it reach more than 200,000 job candidates. Old Navy will use the LearnUp platform to prepare workers for jobs at its 350 stores across the United States.

They’re building an initiative called ‘LearnUp the Ladder,’ which will provide free online education for anyone wanting to learn entry-level and management skills in retail.

“I think the only thing we can continue to do with the changing job market is keep training workers and having them acquire new skills at the pace at which work is changing, whether that’s in retail or banking,” Ringwald said.

LearnUp is backed by $1.9 million in funding from NEA, Greylock, SV Angel and others.



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Facebook Open-Sources Infer To Help Developers Identify Bugs Before They’re Shipped

Facebook today announced that it is open sourcing Infer, a static program analyzer the company uses to find bugs in mobile code before it’s shipped. Internally, the company uses this tool to analyze the Facebook apps for Android and iOS, Facebook Messenger, Instagram and others.

Facebook says that Infer helps it find hundreds of potential bugs every month by scanning code for issues like null pointer access, as well as resource and memory leaks — the kinds of issues that can easily cause app crashes.

fbinfer

Facebook is obviously known for shipping code as fast as it can. While it can fix bugs on the web just as fast as it releases code, though, that’s simply not an option with mobile apps where users — for the most part — have to download an update to get the fix.

While Facebook mostly uses Infer to look at Android Java Code and iOS Objective-C projects, there is no reason why developers couldn’t use the same tool to also look at any other C and Java code. Indeed, Facebook says it’s also looking at expanding the places (and maybe languages) where Infer can be used.

At Facebook, Infer runs automatically whenever a developer checks in code modifications to the source code of one of the company’s main apps, and the tool then writes comments into the code when it finds issues.

You can read about all of the technical details of how this tool works in Facebook’s blog post, but it’s worth mentioning that Infer uses a concept called “separation logic” to find these issues. That has nothing to do with conscious uncoupling. It’s a theory that allows the analyzer to look at small parts of the application storage instead of the whole application. Using this, Infer can analyze most code changes in under 10 minutes. To speed things up even more, Infer also only looks at the parts of the code that have changed between runs. Without these techniques, this kind of static analysis would be almost impossible.

Infer is now available here.

Featured Image: Barney Moss/Flickr UNDER A CC BY 2.0 LICENSE

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Uber Creates A Mobile Game To Help Drivers Navigate San Francisco 

Ever had an Uber driver that didn’t know where they were going? It’s a pretty frustrating experience, and there are plenty of Uber customers voicing their opinions about the problem on social media. So Uber has created a mobile game for iOS to help drivers figure out how to maneuver through city streets, starting with San Francisco.

Called UberDRIVE, the game is meant to give players a sense of a typical day as an Uber driver. It works like this – You open up the game and see a bunch of characters you will work with throughout your day. Players pick up and drop off various passengers and identify markers around SF by tapping on an interactive map.

Players earn points throughout the game as they accept trip requests in dispatch zones and take more efficient routes. The more points a player earns, the more chances they have to unlock better cars and new areas of the city.

A character named Miss Emily encourages players as they move up in the game. (side note: I was told Miss Emily is based on a real character named Emily Weslosky who currently works as a driver operations manager at Uber).

Uber has also embedded some fun facts about certain city landmarks and included a trivia mode so players can test their knowledge of a few SF destinations.

The game started as a side project about a year ago. Senior product manager Mike Truong, who had worked in gaming before with Loud Crow and Electronic Arts building games like Need for Speed and Good Night Moon, came up with the idea for a game as a way to help struggling drivers who were new to the city.

unnamed-3

Anecdotally, it seems like there are a lot of new drivers lately. At least in my experience I’ve noticed most of my drivers still fiddling with the navigation system or telling me they are new. While we don’t have current numbers from Uber, the company did release data on a blog post back in January that said about 12 percent – or 40,000 – of Uber’s drivers were new.

Uber doesn’t make this game mandatory for drivers to play, but perhaps it will help new drivers get the know the city a bit better and provide a better experience for riders.

unnamed

But there’s another use for UberDRIVE – it can also be used as a recruiting tool for potential drivers. As players move up in the game a prompt comes up asking them if they would like to sign up to become a driver. The screening process begins directly in the game if the player pushes the button.

“UberDRIVE was designed as a fun and engaging resource for our driver partners to hone their navigation skills if they choose to. It’s also a great way for prospective drivers to experience firsthand what it’s like to drive with Uber,” an Uber blog post about the new mobile game reads.

Uber is known for trying a lot of different ways to market the product, but campaigns have mainly centered around delivery (food, kittens). Though Uber spokespeople said Uber is not getting into the gaming business, this is a very different experiment for the ride hailing service. Will drivers play? Will it bring in new, young, fresh-faced recruits? Who knows.

I have to add in here an odd experience I had on my way to Uber HQ to check out this new game that very much has to do with this story. My Uber driver Roger was a San Francisco native with four years of Uber driving experience navigating the over-abundance of one-way streets with no left turns of San Francisco. He knew the best, safest and most efficient route to take me, despite what Uber’s map told him to do. It was delightful. So delightful and so perfectly coincidental to this story that it made me wonder if Uber planted the guy. Uber spokespeople laughed and insisted he was not a plant.

Maybe it just happened. But it was strange. Whatever the reason, I hope this game will provide more drivers like that.

UberDRIVE is available for anyone in the U.S. to download for free in the App Store starting today.



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HomeSuite Raises $2.3M To Provide Corporate Housing A Quarter At A Time

HomeSuite locations

For people seeking something that falls between short-term rentals and year-long leases, it can be tricky to secure a lease.

Let’s say you’re a professor guest-teaching at a small public college for a single semester, or a family suddenly uprooted because a parent received an awesome job opportunity in Silicon Valley. You could pay a ton to stay in an Airbnb for an extended amount of time, or try to secure a lease for far fewer months than most landlords would prefer. If you’re lucky, Craigslist will point you to someone willing to work out a sub-lease that works for your circumstances.

HomeSuite CEO David Adams wants to give people in those situations an easy way to stay somewhere nice for the duration of their visit or acclimation to a new city. His startup focuses on finding furnished and corporate housing for users, who typically sign up for leases of four to five months.

Officially launched in January, Adams says the long-term goal for HomeSuite is to broaden the appeal of short-term housing. Instead of committing to living in a single place for a year or more, Adams says people should be able to “try out” different parts of a city, and by providing furnished homes with hotel-like services, HomeSuite is reducing the amount of work its users would have to put into moving in and out of a unit.

To get from here to there, the startup is constantly bringing new units into its system. To ensure quality (and make sure no one pulls a fast one and tries to get them to sell a sub-lease), HomeSuite interviews every landlord and confirms that every unit does in fact come fully furnished — including things like linens and kitchen utensils — and secures leases for less than a year.

HomeSuite makes money from a user committing to a unit. When a person agrees to sign a lease, the startup takes a percentage of the first payment ranging from five to ten percent, with the cut decreasing on more expensive units.

After mostly bootstrapped testing in 2014, HomeSuite raised $2.3 million from Battery Ventures, Foundation Capital, and Bessemer, among others. Adams says the team is “following demand” as it adds units, with most expansion taking place in Palo Alto, Mountain View, and the “central corridor” of San Francisco, cutting from the Mission through the Financial District.

Featured Image: HomeSuite

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New Mobile Game Developer Ministry Raises €1.8M Seed To Build A Dream Games Team

Ministry, a new mobile game developer based in Helsinki has raised €1.8M in funding from Index Ventures, Initial Capital, Sunstone Capital and Proxy Ventures, among others.

To put that in context, Index backed Supercell; Initial backed Supercell and Super Evil Mega Corporation; Sunstone has backed multiple games companies; and Proxy was founded by the creators of Supercell and Peak. Other investors include investor Henric Suuronen, co-founder of Nonstop Games, the Singapore-based mobile games company recently acquired by King.

So €1.8 million may not sound like a lot in the scheme of things, but the wider background is that this is the most high-profile backing any Nordic games company has ever gotten at seed stage since Supercell.

Teppo Soininen, CEO and Co-Founder of Ministry, says he wants to”build a company where the best game developers of the industry can simply focus on creating great games and cutting-edge technology, without distractions.”

Soininen is also a key shareholder in Umbra Software, which is used in games such as Destiny, Call of Duty: Advanced Warfare, and Witcher 3.

The Ministry team also already looking like a who’s who of Games. It includes Sami March, a games artist and graphic designer who worked at Red Lynx, Grey Area and Digital Chocolate, and Teemu Harju, a software engineer previously with Nokia, Grand Cru and Grey Area. Petri Kero, CTO of Ministry, was previously the founder of drawElements, a company acquired by Google.

It is interesting to see Index Ventures and Initial Capital investing in Ministry straight after exiting Supercell, which of course was co-founded by Aapo Bovellan, the founding partner of Proxy Ventures who is also investing in Ministry. Obviously Finns can’t get enough of making games.

But more seriously, if you include Rovio, the talent that is now assembled in Helsinki has snow made it a world-class cluster of games startups.



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Skype To Upgrade Its Touch App Users To Windows Desktop App Next Month

Skype says this morning that it will next month discontinue its Windows “modern” application and instead make the Windows desktop application the main Skype app for Windows users. In case you’re not familiar with the lingo, “modern”-  or as they were previously known, “metro” – style apps were touch-friendly apps introduced with Windows 8. They’re also the only apps that run on Windows RT devices, so the transition over to the Windows desktop version of Skype will not affect that subset of Windows users.

However, other PC customers using the modern app will be updated starting on July 7th to the Windows desktop application, says Skype.

The company introduced a modern version of Skype built for Windows 8 several years ago, right around the time that the “metro design” user interface was being rebranded as “modern design,” following a trademark dispute with a German retailer. In fact, Skype’s introductory blog post was one of the first places that the company referred to the app’s design by its new name – “modern design.”

  1. im-with-share-file-open-menu

    Desktop app

  2. modern-client

    Modern app

Some Windows 8 computers were able to run both modern and desktop apps, which led to consumer confusion. The company hints at this problem subtly, noting that, with the upcoming release of Windows 10 for PCs, it “made sense” to offer one Skype application which is optimized for keyboard and mouse as well as touch, instead of “two separate applications performing the same function.”

Users can choose to update to the desktop app ahead of the July 7th deadline by downloading it for themselves from the Skype website. Your contacts and conversations from the last 30 days will be available after making the transition, Skype says.

The company also notes that it will begin rolling out Skype as a built-in feature in messaging, calling and video functions in Windows 10 later this year, and will be looking for user feedback at that time. “This way if you want to quickly make a call or send a message you can use task based apps, and for those of you power users who like the advantages of the all in one app, you can pick what’s right for you,” the blog post states.



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Vettery Raises $1.7M And Officially Launches Its Job Marketplace

As hiring top-tier tech talent becomes increasingly competitive, New York City startup Vettery is offering an alternative to the traditional recruiting process.

Although Vettery is officially launching the marketplace today, a beta version has already been up and running for a couple of months, and the company has already worked with well-known local companies like Jet, Casper, Etsy, Blue Apron and Percolate.

In the launch release, ed-tech startup CourseHorse says it saw 74 percent interview acceptance rate from the candidates it approached, and it hired its “ideal candidate” within 30 days. CourseHorse CEO Nihal Parthasarathi describes the service as “simple, straightforward and transparent.”

Vettery co-founders Brett Adcock and Adam Goldstein (pictured above) both come from the hedge fund world, Goldstein said they moved into recruiting after they saw “a lack of innovation.” He acknowledged that there are other companies, like LinkedIn, trying to address different aspects of the hiring process, but they haven’t really replaced paid recruiters.

“The paid services out there are broken,” Goldstein said. “Recruiting is very slow and not very transparent.”

Vettery says more than 80,000 people have already submitted their applications. The company’s talent scouts use a “proprietary scorecard” to evaluate those applications, ultimately accepting less than 5 percent. Goldstein said that everyone who’s accepted has a phone conversation with Vettery’s scouts (“We really want to connect with them”), those scouts work with job candidates to create full profiles. Employers can then browse the marketplace and request interviews with the candidates who seem like the best fit.

Oh, and if you accept a job, Vettery will pay you $2,000.

Goldstein emphasized the importance of the marketplace approach, which he described as a way to “give the power back to the employers.” Rather than having much of the process hidden by a recruiting agency, the marketplace allows employers to see the full pool of candidates for themselves (after the initial vetting), and they can tell pretty quickly whether their outreach methods are effective.

For a tech (or at least tech-enabled) startup, doing an live phone call seems kind of old-fashioned, but Goldstein said that at Vettery, “we really want to connect” with the candidates.

“I don’t see how you can really get to know who a candidate and know what are your key differentiators until after you’ve had that conversation,” he said.

There are fun touches, too, like a weekly countdown clock encouraging employers to approach candidates before its too late, and personalized perks, like Casper mattresses and Brilliant Bicycles, for users who accept offers.

Vettery will remain focused on the East Coast, at least for the near future. The company already works with employers in both tech and finance, and Goldstein said he’s noticed that “the tech clients have been asking to hire more business people and the business clients have been asking to hire more tech people.”

The company is also announcing that it has raised $1.7 million in seed funding from undisclosed angel investors.

Featured Image: Vettery

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“Free” Shows Which Friends Are Available To Hang Out

Sick of lonely nights at home browsing feeds? Free tells you which friends are…free…and let’s you ask if anyone wants to meet up without making you look desperate. Launching today on iOS, Free lets you announce plans or that you’re flexible, and group chat to organize your congregation. It’s like a green dot online status indicator for your real-life availability.

Free was co-founded by Path’s Danny Trinh, a true man-about-town with insights from his ex-employer’s missteps. “It was so frustrating. We were working on a core utility that everybody already had a behavior pattern for elsewhere” Trinh tells me.

But instead of another photo sharer or Facebook clone, he’s raised $1.9 million from top seed funds like Social+Capital, True, Lowercase, First Round, and SV Angel to fill an emptiness in our lives. Free adds transparency to spontaneity so we know when we could spend time together.

You can check out a quick demo video of Free below:

Gathering with a few pals can turn a meal, weekend, post-work drink, or late night chill out into something memorable. While Foursquare, Facebook Nearby Friends, Plancast, and many more have tried and failed, Free nails the nuances necessary to get us out of our shells.

Reaching Out

I’ve thought a lot about these nuances myself. Why are people scared to say they’re not doing anything? Who do you notify when someone’s available? How do you keep people from feeling ignored? That’s because a year ago I advised a startup called Signal trying to do the exact same thing as Free. After frustrations on these key points, the founder moved on to another project and Signal is possibly permanent stasis. Yet Free seems to have figured them out with subtle language and clever design tricks.

press-phone

Trinh left Path a year and a half ago to start Free. He had realized “I could sit on the couch and browse feeds for hours and it kinda made me sad.” But blindly reaching out to friends to see if they wanted to hangout seemed dorky. That type of communication didn’t fit with the “Success Theater” of Facebook that he’d read about in a New York Times piece by Jenna Wortham. We hide the uncool parts of our lives and only share what will get plenty of likes. He needed to build a new app that didn’t bruise our egos when we desire connection.

“Steve Jobs said the computer is the bicycle for the mind” Trinh tells me. “I wanted social bicycle, the thing that made the manual, tedious process of finding friends and getting them together way more efficient.” So Trinh poached an old colleague from Digg, Kelvin Kakugawa, away from his job at Goldman Sachs and they started relentlessly iterating on the idea for Free. After several scrapped versions, today it’s ready for the public.

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Path co-founders Kevin Kakugawa and Danny Trinh (from left)

How To Get Free

The core of Free is a cartoony status composer that lets you say that you’re Going Out, Flexible, or Busy. You can also add some text, a location, time frame, or tag friends to suggest what you might do together. These statuses go into Free’s feed that you can quickly flick through to all your friends’ plans, and disappear the next morning.

Free Screenshots

If you say you’re Going Out or Flexible, a push notification will go to friends in your current city that you added through your phone contacts or Twitter. If you want to do something more private, you can choose to notify just a subset of your friends, or mute the status so people don’t get pinged and will only see it in the Free feed. Anyone who’s Busy won’t be bothered so they don’t get FOMO.

Using the term “Flexible” is an extraordinarily smart move. It can mean you’re not doing anything, but doesn’t seem nearly as embarrassing to broadcast.

Friends can respond to your Free status in a private message thread. If they can’t join you, Free lets them choose from a few pre-populated decline messages like “Miss you” or “Hang soon!” This avoids people being met with silence when they post a status, which coud deter them in the future.

Everyone who says they can join gets placed into a group chat thread where they can organize meet up plans, heart each other’s messages, drop a location pin, send a photo with an emoji sticker stuck on top, or record a few-second video that’s turned into a cute auto-looping GIF.

Free’s biggest challenge will be opening up this behavior pattern of announcing your availability, and tearing us away from text messaging and apps like Facebook Messenger. Teaching people something new is never easy, but the rewards of real-world interaction with people you care about could be enough to get us over the hump.

Free is never going to replace the texting giants, but it doesn’t have to. “Free is at the top of the funnel”, Trinh explains. “The hardest part about texting is not knowing who to text. If you chat in Messenger after finding people on Free, that’s fine. We’ve already delivered our utility.”

If Free can gain network effect, though, it could change the course of our social lives.



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Oculus Rift Special Event Live Blog

We’ll be at Dogpatch Studios in SF to check out the latest from Oculus, which is most likely going to share some details regarding its upcoming consumer Rift headset launch (set for early 2016). Hopefully we’ll get a lot more specific on release timeline and price, as well as final hardware design. Stay tuned as we reveal all below!



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U.K. Review Backs Mass Surveillance But Wants Judges To Sign Warrants

A long-awaited independent review of U.K. government surveillance capabilities, conducted by QC David Anderson and published today, has recommended that interception warrants should be signed off by the judiciary, rather than government ministers.

And while the review generally supports U.K. intelligence agencies having bulk interception and data retention (aka mass surveillance) capabilities — which stands in contrast to the U.S. Senate’s recent rowing back on this front in the USA Freedom Act — Anderson stresses these powers should be “subject to strict additional safeguards”, such as having judges sign off interception warrants.

The review recommends a new body, called the Independent Surveillance and Intelligence Commission (ISIC), be set up to judicially authorize all interception warrants.

Other safeguards recommended in the report are tighter definitions of the purposes for which data is sought — with Anderson specifying it should be “defined by operations or mission purposes” (as opposed to fishing expeditions); and the introduction of a new form of “bulk warrant” to limit the acquisition of data captured via mass surveillance to comms metadata.

The 300+-page report also calls for a new legislative framework to cover investigatory powers — mirroring calls earlier this year from the U.K. parliament’s Intelligence and Security Committee, which also recommended there be a new single act of parliament to govern domestic spy agencies.

“A comprehensive and comprehensible new law should be drafted from scratch, replacing the multitude of current powers and providing for clear limits and safeguards on any intrusive power that it may be necessary for public authorities to use,” says Anderson’s report.

“The opportunity now exists to take a system characterised by confusion, suspicion
and incessant legal challenge, and transform it into a world-class framework for the
regulation of strong and vital powers. I hope that opportunity will be taken,” it adds.

Last month the UK government confirmed a new Investigatory Powers Bill will be put forward in the current parliament, which will include provisions to “modernize” the law in this area. How exactly that will be done is unclear at this point; a draft version of the bill has not yet been published — likely because the government was waiting for Anderson’s review to be delivered. So it remains to be seen which of his recommendations filter into the forthcoming legislation. But ripping up RIPA and starting again is clear consensus.

For the review Anderson was asked to consider various issues associated with surveillance — including national security threats, current and future, plus the capabilities required to combat them; safeguards to protect privacy; challenges posed by changing technologies; issues relating to transparency and oversight; and the effectiveness of existing legislation — including its proportionality — and the case for new or amending legislation. On the latter point his recommendations are unequivocal that a clean slate is indeed required.

He sets out his five principles on which the report is based as:

  • Minimise no-go areas
  • Limited powers
  • Rights compliance
  • Clarity
  • Unified approach

Snoopers’ charter needs justifying

Last year the U.K. government failed in an attempt to introduce more expansive surveillance powers — such as logging websites visited and retaining the contents of messages sent via social media services (the so-called Snoopers’ Charter, aka the Communications Data Bill). But it’s lining up for another expansion attempt in the forthcoming Investigatory Powers Bill — arguing this is necessary to plug what it dubs “capability gaps” in domestic intelligence gathering.

Anderson’s report specifically addresses the proposed measures set out in the Communications Data Bill. And while he’s supportive of IP matching, which has been brought in via another piece of legislation (the Counter Terrorism and Security Act 2015), he expresses strong reservations about the other powers the government was keen to push through (retaining browsing logs and third party comms data) — even if, in keeping with his principle of ‘minimizing no-go areas’, he does not explicitly reject further expansion of surveillance capabilities.

Anderson writes (emphasis mine):

The compulsory retention of records of user interaction with the internet (web logs or similar) would be useful for attributing communications to individual devices, identifying use of communications sites and gathering intelligence or evidence on web browsing activity. But if any proposal is to be brought forward, a detailed operational case needs to be made out, and a rigorous assessment conducted of the lawfulness, likely effectiveness, intrusiveness and cost of requiring such data to be retained.

There should be no question of progressing proposals for the compulsory retention of third party data before a compelling operational case for it has been made out (as it has not been to date) and the legal and technical issues have been fully bottomed out.

Elsewhere, in a section on transparency, he also urges greater openness in the operations of covert powers:

Whilst the operation of covert powers is and must remain secret, public authorities, ISIC and the IPT [Investigatory Powers Tribunal; the court overseeing domestic intelligence agencies] should all be as open as possible in their work. Intrusive capabilities should be avowed. Public authorities should consider how they can better inform Parliament and the public about why they need their powers, how they interpret those powers, the broad way in which those powers are used and why additional capabilities may be required.

Commenting on the report in a statement, Anderson added: “Modern communications networks can be used by the unscrupulous for purposes ranging from cyber-attack, terrorism and espionage to fraud, kidnap and child sexual exploitation.  A successful response to these threats depends on entrusting public bodies with the powers they need to identify and follow suspects in a borderless online world. But trust requires verification.Each intrusive power must be shown to be necessary, clearly spelled out in law, limited in accordance with international human rights standards and subject to demanding and visible safeguards.

“The current law is fragmented, obscure, under constant challenge and variable in the protections that it affords the innocent.  It is time for a clean slate.  This Report aims to help Parliament achieve a world-class framework for the regulation of these strong and vital powers.”

Responding to the report, civil liberties organization Liberty welcomed Anderson’s call to fundamentally overhaul surveillance legislation. It also supports his call for judicial review of interception warrants.

However the organization expressed disappointment that the review supports the continued practice of mass surveillance — noting this position goes against the grain within the wider European context. It is currently helping to bring a legal challenge against the U.K. government for sanctioning mass surveillance.

Liberty writes:

The report offers six Agency case studies in an attempt at justifying mass interception. However, with the vague and limited information provided, it is impossible to assess whether the security outcomes could have been achieved by using the wealth of targeted and operation-led intrusive surveillance powers at the Agencies’ disposal.

While Liberty does not dispute the use and value of intrusive surveillance powers per se, we believe that the mass speculative interception of communications and data retention are unlawful, unnecessary and disproportionate. Liberty is currently challenging the lawfulness of mass interception in the European Court of Human Rights, and is representing MPs Tom Watson and David Davis in their legal challenge to DRIPA.

Anderson’s report can be read in full here.

Featured Image: Kesu/Shutterstock

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Sextronauts Want Your Help Funding The First Porno Shot In Space

Another day, another attempt to shoot a crowdfunded pornographic film in space for three million dollars. PornHub has created an Indiegogo page to help support their effort to film the first porn in space, the aptly titled SEXPLORATION. The plan is to send actors and, presumably, a camera crew into space where they will film the procreative act.

The plan is a perfect storm of modern tropes: Porn! Space! Crowdfunding! Porn! But it also sounds pretty cool and if they do end up raising over three million dollars I suspect it will be one of the biggest-budget porn shoots in history. Write the creators:

Without great explorers and adventurers, the world as we know it would be a completely different place. Be it by the discovery of new lands or even by way of industrial and cultural innovation, great minds and brave souls have forever changed the way that we see and experience the world. Columbus, Gallileo, Da Vinci, Edison and Ford, among others, have all physically and culturally helped shape the planet that we currently call home. Recently, however, the focus has been shifting over and out to what lies beyond the Earth’s atmosphere. Some are contemplating colonizing Mars while others are promising elevators into space by 2050. One way or another, there are many elements about life in space that need careful consideration and research…especially sex. As such, Pornhub is teaming up with top ranking adult studio Digital Playground in joining the ranks of Armstrong and Gagarin by pioneering a one of a kind mission to defy gravity, make history, and push the boundaries of intergalactic “Sexploration” by filming the first ever sextape in space. In doing so, we will not only be changing the face of the adult industry, we will also be chronicling how a core component of human life operates while in orbit.

If the movie doesn’t get funded you’ll get your cash back and, according to PornHub’s researchers, sex in space is possible so the mission won’t be a dud.

The campaign seems to be moving along at quite a clip but I suspect that the non-anonymous nature of Indiegogo’s pledge system may scare some folks off from purchasing a $1 “Certificate of Endorsement” or a $150,000 pledge that gets you a sextronaut spacesuit complete with used underwear. Furthermore if I worked at NASA I’d be slightly concerned. As Elon Musk knows, the future of space exploration now seems to be in the hands of the private sector – in some cases quite literally.



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Time Spent In Apps Up 63 Percent Over Past Two Years, But Apps Used Monthly Show Little Change

Today’s app stores each may host well over a million apps, but consumers only use roughly 26 or 27 of these per month, according to new data from Nielsen out today. However, the time they spend engaging with those apps is increasing – up 63 percent over the past two years, the study found.

In the fourth quarter of 2012, consumers spent 23 hours and two minutes per month engaging with apps. That climbed to 37 hours and 28 minutes in the fourth quarter of 2014.

In other words, for those apps that make it into the lucky two dozen-plus per month that actually get used, then they’re likely being used fairly heavily.

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This is not the first time Nielsen has suggested that there’s an upper limit to how many apps consumers can use on a monthly basis. The firm reported last summer that the number of apps seeing monthly use has only slightly increased over the years. On average, consumers used 23.3 apps per month in 2011, 26.5 apps in 2012 and 26.8 apps in 2013.

The most recent numbers for Q4 2014 are broken down by gender: men use 27.2 apps per month compared with 26.3 apps per month for women. Or, on average, consumers today use 26.7 apps per month.

The data is collected with permission from U.S. smartphone users by way of a background app on Android, and on iOS, Nielsen logs data as iOS traffic is routed through a proxy. Its panel distribution is 58 percent Android and 42 percent iOS users, and is collected from a sizable group of 5,000 panelists across various demographic groups, races and ethnicities.

Another notable finding relates to how the different races and ethnicities engage with apps. The firm found that African-Americans use the most apps per month (30.3), but they’re also the most heavily engaged users, spending nearly 43 hours per month in apps. Hispanics, meanwhile, spend 41 hours and 31 minutes per month across 27.9 apps on average. Asian-Americans spend 27 hours and 14 minutes per month, while white non-Hispanic users spend 35 hours and 25 minutes per month in apps.

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Nielsen says the “entertainment” category of apps is driving the most usage. However, it defines this group of apps rather broadly, saying that entertainment apps can be mobile games or even apps where users check the weather or sports scores.

That being said, this group of apps saw a 13 percent increase in unique audience year-over-year as of fourth-quarter 2014. And that audience is spend nearly three hours more on apps over the same period – up 26 percent from the prior year.

The gaming subcategory, unsurprisingly, saw the most usage, with 76 percent of entertainment apps users playing at least one game in Q4 2014, and time spent increase by 1:35 per month to 10:02. Music was the second most popular subcategory, followed by video and movies.

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Yet, despite the growth of the app marketplaces themselves, which has introduced a ever-expanding selection of apps to choose from, app makers are still having to fight each other to be one of the small handful of apps that get used regularly. While some apps, like Facebook, are always in this short list, others, like games, are played then disposed of, freeing up space for a new title to snag a spot.

The disposable nature of gaming apps has also begun to spread to the wider App Store in recent months, where some titles – think Yo, or that brief MyIdol craze – are wildly popular for months, weeks or sometimes only days, before being forgotten on back screens.

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Watch Oculus VR’s Special Rift Event Live Here At 10 AM PT

Oculus is hosting a special, pre-E3 press event today in San Francisco, and the festivities kick off at 10 AM PT. The stream above will provide live video from the show starting at that time, so you can follow along with all the announcements.

This is probably going to be the day Oculus takes a lot of the remaining mystery out of its much-anticipated consumer launch, which is happening early in 2016. We could get a specific release date, for instance, as well as a look at the final consumer design, and maybe a final price tag.

Stay tuned, as there’s probably lots more to learn at the event, including possibly the initial content lineup. We’ll be there live, too, bringing you the news as it happens.



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Startups Are Hard In 100 Different Ways

The most important part of your startup is your brain. If your brain is not okay, then you are not okay and your startup will also not be okay.

As a founder, your brain’s most common state will be stressed out. Anxiety, worry and sleeplessness are expected. This is because you are trying to do something big with limited resources and time. You and your investors (if you’re fortunate enough to have them) both have extreme expectations for you: that you will create a world-changing company worth billions of dollars.

resources-expectations

As a startup founder, you may feel like you don’t have the resources required to meet the expectation of building a revolutionary company (resources can be interpreted broadly as time, energy, talent, luck and money).

There will always be another milestone that is further out and harder to reach. Living in a chronic place of stress, however, is not sustainable and you will burn out. How do you cope with this?

Understand That Startups Are Hard Even If You Succeed

If you were planning to climb Mount Kilimanjaro you’d train and prepare, sometimes for years, and you’d bring along a robust support team, because you would know that it was going to be incredibly hard.

Most of the time, however, I don’t think this insight is commonly shared. We kind of skip right past personally understanding — like deeply getting on a visceral level — that startups can be impossibly hard. As a consequence, we don’t really have the right expectations. We imagine it will be easier and it ends up being much harder.

What’s more, Jessica Livingston of Y Combinator once said “Startups are an entirely new level of hard because they contain so many different varieties of hard.” VCs have funded math wizards, rocket scientists, triathletes, Rhodes Scholars, etc. All of these people are used to succeeding. But guess what? They fail at startups. Why? Because succeeding at a startup is fundamentally different from succeeding in work or graduate school.

In addition to requiring a certain degree of “sticktoitness” and dedication, startups are also hard in other, unexpected ways. This includes tolerance for ambiguity, co-founder stress, managing all sorts of people, lack of sleep, pressure from many different directions and loneliness.

So how do you reconcile all of this? Here’s a tip: Imagine you’re chatting with a friend who is trying to get published. Imagine if she said, “Almost no one is successful. Ninety percent of the people never get published. It can be a lot of hard work with no real promise. I’m worried I’m going to fail.”

What would you think of her odds of success? How would you help her get oriented to the reality of what she’s up against? Tell yourself these same things. Be your own friend and comforter.

The Success Of Your Startup Is Beyond Your Control

Many startups do not fail due to lack of effort, lack of intelligence or even lack of money. Rather, again and again, we see companies with tens of millions in funding, run by the brightest, most driven young minds in the world, and they still manage to fail, usually due to elements outside of their control. Plain old bad luck.

Vinod Khosla said:

“In my decades of encouraging entrepreneurs and innovation, I have learned that an entrepreneur probably only controls approximately 30 to 40-percent of the factors that affect their success. Competitors and environmental circumstances often make up the rest.”

You only control 30-40 percent of the variables that impact success. Stew on that for a minute.

Stephen Covey created this diagram to illustrate what we worry about versus what we can actually control. Our worries are our “Circle of Concern.” Our influence over those concerns are our “Circle of Influence” (Irvine, 2009).

circles

In terms of your startup, it can be helpful to break things down into those that you can fully control, things you can have some control over, and things that you don’t have any control over (Irvine, 2009):

Things you can 100% control: burn rate and how much you choose to work.

Things you have some control over: people you hire; growth rate; retention; and revenue.

Things you have no control over: competitors; technology shifts; personal crises that impact your employees.

Spend less time worrying about things you can’t control and more time being proactive about the things you can. It can be a great relief to have permission to look at reality and say “We will try our best, but there will always be variables beyond our control.”

Make Process Goals, Not Product Goals

With a better understanding of what is and what is not in our control, it’s important to shift focus from product goals to process goals. For example, saying “I’m going to work very hard each day, I’m going to run experiments, track and analyze data, and consult with experts to increase my growth rate.” These are all steps or processes that I can take.

However, saying “we have to grow 40 percent month over month” is a product goal. I’d like to say that, but I don’t have control over all the variables to make that happen. Of course, we will all continue to make product goals, but we need to learn to step back and recognize that actual progress is tied more to deliberate steps than it is to fretting about whether or not we are going to hit a particular product goal that we do not have full control over reaching.

Ultimately, a startup is a leap of faith. You can build a great team, get traction, work with great investors, listen to users and solve problems, but, even still, it might not get you the outcome you want. On some level, that has to be okay, because that is the empirical reality. This is why it is so important to work on something that you really care about — work that is personally meaningful to you — because, then, even if you fail to become a unicorn, you still succeed in other ways.

And remember that your startup, which you are so engrossed in today is just one chapter of your life, one part of your narrative. Yes, you are a founder, but you are also a partner, son or daughter, friend and student. And you always have the power to decide what your startup’s success or failure will mean in the greater story of your life.

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Product Hunt Levels Up With A Gaming Category

Product Hunt, the platform for upvoting the top tech products, is making its first expansion outside of tech into gaming and has pulled in game publication Polygon co-founder Russ Frushtick to head up the new category.

The Product Hunt Games section will look similar to the main list of the top tech products of the day on the Product Hunt, but filled with new gaming products that users can upvote to show support, instead.

The addition is a long-time coming for Product Hunt and an important next step as it continues to grow beyond the tech industry without losing its core audience of tech product enthusiasts.

But this isn’t the first we’ve heard of this idea. Product Hunt has been teasing out the gaming category the past few months, adding a Games Digest newsletter and hinting for a while now that it would be adding categories beyond tech.

It already made that leap in a way with music. We wrote about the launch of Snoop Dogg’s latest album on Product Hunt – a noticeable split from its regular tech product vertical. The rap superstar even did a Reddit-style AMA with fans on the site.

But while music, fashion, movies and other categories had been tossed about as possible additions to Product Hunt in the future, games were a more natural next step for the platform to break into, according to founder Ryan Hoover. He believes there’s a lot of cross-over in tech and gaming demographics, and the two are an obvious fit.

“We’ve already been seeing games posted on Product Hunt for several months now,” Hoover told TechCrunch.

Although there’s a lot of support for music on the platform with 45 different user-generated music collections and about 279 music-related products on Product Hunt, Hoover pointed out that music discovery is already a very crowded space.

“The music scene I don’t think it’s the easiest one for us to explore right now because it’s already dominated by Spotify, Apple just launched its streaming service. There’s certainly a big opportunity but music as the next category I don’t think is the right category for us,” Hoover said.

He said gaming was a category that more closely aligned with the Product Hunt community and tech in general. He has a point. There are 31 gaming collections on Product Hunt, but a whopping 758 gaming products on the platform and 4601 people listed under games vs. 493 people listed under music.

The category is also a comfortable one for Hoover. He worked at PlayHaven and InstantAction before setting off on his own to build Product Hunt, so he’s been involved in the gaming world for a while.

“There’s this explosion in creation of gaming, especially in different categories within gaming. Mobile is helping with that. But everyone is publishing from one seventeen-year-old kid to big companies. As there’s more being created I think we have an obligation to curate that and find the best stuff” Hoover said.

This idea of independent game creation is what fascinates him the most about this new category on the platform.

The gaming addition has been slowly rolled out to individual gaming enthusiasts in the Product Hunt community over the last couple of months, but is now available for anyone who wants to use it to discover new games using the URL producthunt.com/games.

“As you know, since the beginning, we’ve involved the PH community, sharing early mockups and asking for feedback,” Hoover said. His team used mockups created through web and mobile prototyping platform InVision, to get a sense of what sort of design would work for this community.

Product Hunt has so far been pretty good about testing ideas out with small numbers of its core community to see what works. But it still faces the same challenge that other curation sites have before. Digg lost its core audience by trying to venture out into other areas. Pinterest didn’t hit its stride until it started marketing to a more select category of mom bloggers interested in fashion and DIY.

Hoover knows there’s a challenge ahead and said he’s relying particularly on design inspiration from other sites that have made that cross-category bridge. But he’s also experimenting with how Product Hunt will evolve as he adds new categories to the site.

“Where Product Hunt starts to look different is and frankly it’s the unknown for is is what ProductHunt.com will look like. What is the single feed that you view and how do you experience Product Hunt when you have potentially movies, music, books, gaming, tech altogether in one experience. That’s new,” Hoover said.

There are very few sites that have successfully created something across various categories and not lost the core audience in the process. Although Reddit and Tumblr have both been able to do this to varying degrees. It will be interesting to see how Product Hunt continues to evolve as a platform while venturing out into new categories and curating a more distinct list of categories in the future.

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Former Ad Exec David Jones Launches $350 Million “Brandtech” Group

Former advertising executive and mad men wunderkind, David Jones, is launching a new $350 million investment and development firm focused on “brand tech”. After all, since software is eating the world, it was only a matter of time before advertising (perhaps the world’s second oldest profession?) started eating software.

What is a “brandtech”-focused investment and development firm, you ask? Well, Jones has an answer. Jones’ semi-eponymous You & Mr Jones will provide insights to bridge the gap between brands and technology. Given that most tech-based advertising solutions are one step above those “Punch The Monkey” banners that they used to feature on Livejournal pages, it’s clear that the space could use a little help. Is Jones the guy to do it?

Well, the firm’s announcement of its launch hits all the right buzz words, commenting on the dramatic growth in mobile, a “tech revolution” which has produced “massive amounts of content”.

These truisms are paired against corporate ships whose technology policies are basically unmoored and rudderless and sinking faster than the Titanic.

The group will use its $350 million (raised from undisclosed sources), to acquire companies that create user- and machine-generated content (as if what we have now wasn’t bad enough); creative, brand and content strategy; social media marketing; programmatic media buying; multi-channel networks; and real-time measurement analytics.

Jones has also launched You & Mr Jones Brandtech Ventures, a San Francisco-based venture firm to basically fund companies that make your browsing experience sub par. A holding company and investment firm, the company has already acquired Mofilm, a provider of “creative crowdsourcing”, and has invested in Pixlee, a content management system, and Mashable, which, admittedly, is kind of a great site.



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Detour, Andrew Mason’s Audio Tour App, Goes Global And Expands To 6 More Cities

As the summer travel season goes into full swing, a travel app that hopes to give you a new way of experiencing physical spaces is growing. Detour — an immersive city guide app constructed around GPS-triggered audio and smart, witty narratives — is expanding beyond its existing footprint of San Francisco and Austin to cover New York and five international cities: Barcelona, Berlin, London, Marrakech and Paris.

As with the current selection of guides, downloading the app will be free, and users can then purchase individual tours — $5 each in the U.S. and $8 in Europe and Marrakech — or sign up for a subscription with unlimited guides for $20/year.

The move comes as Detour, notably founded by Groupon co-founder and former CEO Andrew Mason, continues to work on its bigger ambition as a business: a platform for anyone to create an immersive guide for a particular place. Mason tells me that the aim is to have a private beta of the platform open by the end of this year, with a broader expansion in 2016.

Since Detour’s launch almost a year ago, the startup has been straddling two sides of its business. The first of these has been on the content creation side. Specifically, it’s been building out its catalog of guides in its home market of San Francisco, where Detour is currently adding new tours at the rate of one each month, employing a team of sound and tech engineers as well as radio producers to craft the guides.

It’s that team of people working on the SF content that are also helping lay the bedrock for the second side of the business: the platform for making future guides.

The challenge, as Mason describes it, is that producing audio guides takes days and sometimes weeks, not only sourcing content but also recording and coding it to progress based on your location. So Detour is trying to figure out a way of using technology to make that process faster and easier. The result would be that Detour could crowdsource content for its app, but it would also mean more ideas for what gets produced in the first place.

Part of this has been inspired by people’s responses to Detour since launch, Mason says. “People have been writing in and offering ideas to us completely outside the bounds of what we are offering,” he says. “We would be doing a disservice if we were only allowing ourselves to create Detours.”

A few pieces of the puzzle have already been put into place.

For example, Detour has created a tool to transcribe a piece of audio and then let you edit the actual audio file by editing that written transcription (which frankly sounds very cool and useful for more than just Detour if you’ve ever gone through the task of editing audio).

Another piece of code that Detour has built lets a producer program music or other recorded sound under a spoken narrative by writing it into that transcription. Behind your notation, Detour automatically shapes the audio to sit under the spoken voice.

To be clear, however, Detour doesn’t see itself as in that same category of startups that create instant videos out of a piece of text, or instant articles out of press releases.

“There is no outcome where talented people aren’t still required to make Detours, but we’d like to reduce the technical requirement needed to do it,” Mason says. This is part of the reason for employing a staff to create a lot of the content in house today, he explains. “We are trying to understand what happens in their brains.”

Within that context, Mason describes the newest additions as “previews” of what Detour may offer in the future. The New York content is actually based on audio “essays” created by Soundwalk (“audio tours for people who don’t normally take audio tours”) some time ago.

“Soundwalk has been making low tech but high qualty outdoor audio walks,” Mason notes. Detour essentially reissued some of the older walks, having run them through the Detour platform to add group listening and location triggers. “We gave them the platform they always deserved,” he added.

The walks in European cities and Marrakech, meanwhile, were also created out of house, albeit by a close associate of Mason’s. Aaron With, a former Groupon employee that Mason actually credits with thinking up the company’s name, created the guides working with local producers in each city. These are still in the irreverent style of what Detour has created in SF — one walk in London’s Westminster, for example, is led by a fictitious, whiskey-swilling government bureaucrat called Henry Adeane (very close to home for me; my husband is a senior civil servant). But for now don’t expect the same pace of adding new guides in these cities as Detour has done in San Francisco.

The content part of the equation is just one of the many hurdles Detour still faces. Another is around the technical aspects of the service. Right now, using the GPS to essentially propel a user through a tour is very draining to the battery — some tours can take up to 30% of your battery life. Mason says they’re constantly working on ways of reducing that — such as being more selective about GPS engagement and optimizations in how maps are rendered, as well as distributing battery load when in a group — but that there is still some way to go here.

“This is a concern as it is for anybody trying to build mobile experiences, espcially since we’re sending people out to the wild and we need to make sure the battery lasts.”

He says that in an ideal situation you are not actually using your phone all that much and concentrating instead on what is around you, although that can’t always be controlled. “In the beginning we decided detour should be a phone in pocket experience and the entire experience is through your headphones. And when people do keep their phone in their pocket that takes care of largest battery drain. The people who have the worst experiencees are those who are Instagramming or playing Angry Birds at the same time.”

Another is the fact that for now the app is still only on iOS. Needing to add an Android app has been one of Mason’s brutal awakenings, he says. “Android is more important than we thought it would be, which i hate.” Detour has found that roughly one third of people in a would-be group will be using an Android handset. “So if you have a group of three or more, chances are they can’t take a Detour together. You are only as strong as your weakest link.”Android is coming later this year, he says hopefully.

When Ryan first wrote about Detour last year, he described the app as a “content-centric” approach to travel guides, more of a story telling experience than a fact-based travel guide: think “This American Life” personalised to a specific location, with the narration moving along as you do. In that regard, it may be hard to think of how Detour correlates to Mason’s previous entrepreneurial endeavor, sometimes mocked for some of its less high-minded offerings.

But there is less of a tenuous connection between Groupon and Detour than you might think. One of the mainstays of the Groupon catalog of deals are “experiences,” selling not just products and beauty sessions, but parachuting trips, boat cruises and other activities that are about discovery and fun. When you think about it, a new activity is also what Detour is trying to bring to users, albeit with a more interactive, constant companion style.

That also brings to mind also where Detour has competition, but maybe also where it might have some opportunities longer term as a business: there are a lot of companies out there already in the travel and leisure sector focussing on apps for getting around and discovering cities, from biggies like TripAdvisor and Rough Guides through to VC-backed startups like Peek and Dojo and long-tail efforts that may not look slick but are full of information.

Detour tries to set itself apart from the others in part because it’s more than just information; it attempts to take that detail and put it into an immersive media experience.

“It’s not just about information and experience,” Mason says. “It’s about helping people walk in someone else’s shoes and form a deeper connection to people who identify with a place.”

Indeed, he doesn’t see any of these other location-based or travel businesses as competition for what Detour is trying to do. “We see Oculus as the competition,” he says. “Our job is to make the real world more interesting again.”



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Amazon Ebook Contracts Face EU Antitrust Probe

The European Commission has opened a formal investigation into Amazon’s ebook distribution practices.  Initially, the EC’s investigation will focus on the largest markets for ebooks in the European Economic Area, namely ebooks in English and German. Amazon remains the largest distributor of ebooks in Europe.

Specifically, the EC said today it intends to investigate certain clauses contained in Amazon’s contracts with publishers that it says appear to shield the business from competition by requiring Amazon is given —

  • the right to be informed of more favourable or alternative terms offered to its competitors; and/or
  • the right to terms and conditions at least as good as those offered to its competitors.

The EC’s concern is these clauses are stifling competition in the sector and reducing choice for consumers. If it confirms a finding that Amazon’s contracts are limiting competition the EC notes that could constitute a violation of EU antitrust rules. Although at this point it’s just opening the investigation — so no judgement has been made yet.

Commenting on the action in a statement, EU competition commissioner Margrethe Vestager said: “Amazon has developed a successful business that offers consumers a comprehensive service, including for e-books. Our investigation does not call that into question. However, it is my duty to make sure that Amazon’s arrangements with publishers are not harmful to consumers, by preventing other e-book distributors from innovating and competing effectively with Amazon. Our investigation will show if such concerns are justified.”

In a statement provided to TechCrunch, an Amazon spokesperson added: “Amazon is confident that our agreements with publishers are legal and in the best interests of readers.  We look forward to demonstrating this to the Commission as we cooperate fully during this process.”

There’s no set timeframe for EC antitrust investigations — with the complexity of the case and how co-operative (or otherwise) those being investigated are determining how long proceedings last.

It’s not the first ebooks-related investigation the Commission has opened. In 2011 it looked into the ebook retail pricing set by Apple and five international publishing houses (Penguin Random House, Hachette Livres, Simon & Schuster, HarperCollins and Georg von Holtzbrinck Verlagsgruppe), with concerns the group were colluding to fix pricing. This led to the companies making changes, in December 2012 and July 2013, which addressed the Commission’s concerns.

Vestager is currently also investigating Google on antitrust grounds, stepping up action in a long-running investigation into Google’s price comparison service, Google Shopping, by launching a formal Statement of Objections this April.



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Menlo Ventures Brings On Matt Murphy

Matt Murphy, who left his role as a general partner at Kleiner Perkins Caufield & Byers earlier this year, is joining Menlo Ventures as a managing director.

Murphy will be focusing on enterprise infrastructure and mobile first apps that apply to either consumer or the enterprise. In terms of the “mobile first apps” part, he pointed to applications like Slack and DocuSign as some examples of enterprise apps that center around bringing an employee’s workflow to mobile devices that fit that description, as well as Shazam on the consumer side.

That focus is an area where Murphy has some experience. At Kleiner Perkins, he led the firm’s iFund, which started in 2007 and became a $200 million fund. During that time Kleiner Perkins invested in companies like Shazam and Shopkick, which was acquired for $200 million by SK Telecom in September last year. Murphy also made investments in several companies that have gone public, like AutoNavi and Aerohive Networks.

As soon as Murphy left Kleiner Perkins, the calls started coming in. But Menlo Ventures’ Mark Siegel had frequently worked with Murphy — both sit on the board of Pernixdata, for example. Even then, Murphy had beaten Menlo Ventures to a number deals during his time at Kleiner Perkins, including on investments like one in Puppet Labs, Siegel said. Murphy and Siegel have an extensive history as well, which helped Menlo Ventures seal the deal.

Murphy’s timing is also good, as Menlo Ventures closed a new $400 million fund in April. When asked about why he left Kleiner Perkins, he said he told the firm he “wanted change, wanted a new environment, and to see what that would be like — the criteria of that being something smaller.”

Smaller indeed: Murphy will be the firm’s seventh partner.

“I didn’t want to spend my entire venture career at one size a firm in one place,” Murphy said. “I’d seen a lot of my peers go off and start other firms, and I thought about that, but I didn’t feel like the world needed yet another venture firm. On top of that, I looked around and said ‘if I thought of a handful of people in the venture business, where are they?’. Mark and [Menlo Ventures Managing Director] Venky [Ganesan] were certainly two of those and they were both at one firm.”

Murphy’s relationship with Siegel goes back more than two decades, he said, when the two went to business school at Stanford. Murphy knew Ganesan when he was a managing director at Globespan Capital Partners. Murphy, who is 48, comes in at a time when Menlo Ventures is going through a transition as a younger group of partners comes in to run the firm.

“I think we’ve already talked publicly about the fact that we’ve gone through a generational transition where a founder and a couple older partners are on their way [out],” Siegel said. “This is their last fund, we have a new generation taking over, it was appealing to him to be part of this next generation of the firm and be part of the leadership team.”

Menlo Ventures has certainly had a lot of recent success, which no doubt piqued Murphy’s interest. The firm invested in Uber in the company’s $32 million Series B round, and also has investments in Roku, Betterment and Warby Parker.

And beyond all that, Siegel said that one of Murphy’s strongest points was that he was a good cultural fit for the firm — which, given the size, is a pretty big priority for one like Menlo Ventures. Siegel described the group’s dynamic as “collegial,” focused on collaboration and research across the entire firm.

“Someone has to come in and sort of fit in with that way of doing things,” Siegel said. “There’s no question, it’s not for everyone, but it’s worked really well for us. When you work in a small partnership, there aren’t a lot of buffers. You have to really get a long with those people. You have to have a shared vision, a shared working style, a shared way of interfacing with the rest of the partners that’s consistent.”

Murphy starts at the firm on July 1.

Featured Image: Menlo Ventures

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Personali, A Service That Works To Optimize Discounts Online, Raises $12M

Personali, an online service that retailers can use to adjust prices and discounts in real time, said it has raised $12 million in a round led by Norwest Venture Partners.

Retailers can integrate Personali code into their online commerce presence. When a customer visits a page, the retailer will check with the rules that Personali has created for a specific product, which is based on things like consumer behavior, inventory, shelf life and profit margin. If it determines if it can have a better chance at closing a sale, that customer will be offered some kind of an incentive like a discount.

That, in theory, leads to a greater number of sales for an online retailer while still retaining a healthy profit margin on a sale. CEO Noam Javits said if the margin is below 10%, then an incentive isn’t offered. But if it nears something like 20%, an incentive is applied as a fraction of that profit margin. If a 20% discount is offered on the product, that only removes 4 percentage points from the profit margin while helping ensure an additional sale, he said.

That process has led to about $200 million in incremental additional sales for the retailers Personali works with in the past year and a half, Javits said.

“The consumer is an active participant in naming their own price, selecting incentives, personalizing their budget,” Javits said. “It happens on the product page. We change the pricing element on the real time, and the customer satisfaction level is skyrocketing.”

The process is not entirely unheard of: retailers like Amazon are even experimenting with tools that let customers make their own bids on products instead of having to pay a direct list price, for example.

One of Personali’s partners is Sears, which despite being one of the oldest brands that seems to be less and less relevant every day to a younger generation still has around $5 billion in annual sales. Javits said the company has also brought on 6 of the top 50 e-commerce sites in the U.S., though he would not specify which ones.

The latest deal brings Personali, which is about three years old, to about $15 million in funding.



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Former Kleiner Kid Matt Murphy Heads To Menlo Ventures

Matt Murphy, formerly of Kleiner Perkins, is joining Menlo Ventures. The latter firm is currently investing a new $400 million fund.

Murphy led Kleiner’s investment into Aerohive Networks, which is currently public, and has been involved with Egnyte, a firm that is looking to go public next year. Kleiner has become best known recently for gender bias suit filed by former denizen Ellen Pao.

Given Murphy’s former employment at a venture firm of current note, especially in the legal context, I caught up with him on the phone to dig into his new role. According to Murphy, he was attracted to his new by having already known the team, and generally speaking, Menlo having fund size and cadence that match his prior investment patterns.

That sounds like standard boilerplate, and it must be to some category, but Murphy was emphatic in his excitement to work with Menlo Ventures. The current venture market, akin to the tech blogger market, is hot at the moment, with movement between firms.

Murphy told TechCrunch that while he will maintain a focus on enterprise-facing investments, he may spend more time on consumer-facing startups.

It’s a rich moment in the market, and it will be interesting to see what hits Murphy can bring home to his new team.

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Reddit Bans Five Harassing Subreddits, Its Trolls Respond Exactly As You’d Expect

Reddit, the hugely popular online community know as the ‘front page of the internet’, has dropped the hammer on five groups on its site judged to be in violation of its policy against harassing users.

They include r/fatpeoplehate, a subreddit that — as the name suggests — was a place for comments about fat people, and is the largest of the five with over 5,000 subscribers. The others include r/hamplanethatred (3,071 subscribers), r/transfags (149), r/neofag (1239) and r/shitniggerssay (219).

“Our goal is to enable as many people as possible to have authentic conversations and share ideas and content on an open platform. We want as little involvement as possible in managing these interactions but will be involved when needed to protect privacy and free expression, and to prevent harassment,” Reddit said in an announcement.

“It is not easy to balance these values, especially as the Internet evolves. We are learning and hopefully improving as we move forward,” the blog post further explained.

Feign astonishment for a moment. A vocal part of the Reddit community is — unsurprisingly for anyone who knows anything about the site — furious about the ban on these groups.

Their response? To flood the site with content that harasses Reddit CEO Ellen Pao. Many are also threatening to leave the community in response to the ‘censorship’.

Screenshot 2015-06-11 15.39.39

Reddit is representative of many different kinds of views and interests, right from harmless fun like cats, parenting, cooking and travel, to more sensitive topics such as race, sexuality and more.

The site’s worst trolls are notorious for making parts of Reddit an utter cesspool of vitriol. Yet, though Reddit does its best to allow free speech, there is clearly a line that needs to be drawn. The problem — in my eyes, at least — appears to be a selective enforcement of this line: some vulgar subreddits are shuttered while others live on. That makes bans seem arbitrary in nature, and thus provokes this kind of reaction.

If Reddit’s most extreme members did leave, that might not be such a bad thing after all, but it would represent a very different site. But then we have seen outrage over “censorship” with the site in the past, so it remains to be seen how this episode will play out over the long term.

“While we do not always agree with the content and views expressed on the site, we do protect the right of people to express their views and encourage actual conversations according to the rules of reddit,” Reddit said.

Screenshot 2015-06-11 16.03.00

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Google’s New Sidewalk Labs Project Will Use Tech To Improve Life In Urban Areas

Google is best known for internet search and services but the company also runs a host of other projects that use technology to solve other kinds of problems. The latest of these — known as ‘moon shots’ — is Sidewalk Labs, a company dedicated to improving life in cities and urban areas.

Led by former Bloomberg CEO Dan Doctoroff, New York-based Sidewalk Labs is focused on tackling issues like cost of living, transportation, energy usage and more.

“New technologies are already transforming commerce, media and access to information. However, while there are apps to tell people about traffic conditions, or the prices of available apartments, the biggest challenges that cities face — such as making transportation more efficient and lowering the cost of living, reducing energy usage and helping government operate more efficiently have, so far, been more difficult to address,” the company said in an announcement.

Google CEO Larry Page said that the company’s investment in Sidewalk Labs is relatively modest, but he is optimistic that it can address urban living issues in a more rounded way.

“Every time I talk with Dan I feel an amazing sense of opportunity because of all the ways technology can help transform cities to be more livable, flexible and vibrant,” Page said in a Google+ post. “It’s an area where I hope we can really improve people’s lives, similar to Google[x] and [healthcare-focused] Calico.”

At this point it isn’t entirely clear how Sidewalk Labs will operate or exactly what kind of technology it will produce. Doctoroff — formerly Deputy Mayor of Economic Development and Rebuilding for the City of New York — said only that it “will play a major role in developing technology products, platforms and advanced infrastructure that can be implemented at scale in cities around the world.”



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Messaging App Firm Line Launches Paid-For Music Streaming Service In Japan

Now is the time to launch music services, it seems. Popular messaging app Line began testing music streaming when it launched a $2 per month service in Thailand in May, and today it has introduced a larger service in its native Japan.

Like Apple’s new service, Line Music does not have a free tier, instead it is dual priced. For 500 JPY (around $4) per month, users can enjoy 20 hours of music streaming from the service and its 1.5 million song catalogue. Those wanting unlimited access can pay 1,000 JPY (approximately $8) per month.

Students pay slightly less for each tier, 300 JPY ($2.50) and 600 JPY ($5) respectively, and Line is offering two months of free usage to early users.

Like the service in Thailand, Line Music customers can share tracks with friends inside chats or via their social network-like Timeline feature. The service also allows users to follow artists who are on Line — the service is popular among musicians — while artists can also provide track lists and playlists.

A Line representative told TechCrunch that the service will “expand step by step,” but for now the company has nothing to share on global launches. It did say, however, that it plans to introduce a web-based version to allow customers to listen from a PC.

Line, which has 205 million monthly active users — half of whom are located in Japan, Thailand and Taiwan — has been planning a music service for some time after partnering with two domestic labels in December 2014. Nonetheless, the launch of this new service is interesting for a couple of reasons.

Firstly, digital music has not yet been a success in Japan. Physical sales still dominate in the country — thanks to conservative record labels — so Spotify and others are not present in Japan. That means Line is having to pioneer this industry by itself — no easy task — however more than half of the population uses the service each month, which gives it the kind of distribution needed to at least have a shot at success.

In addition, this music service is part of Line’s push to diversify its revenue beyond games and stickers, and also to provide new services. It also offers a payments service, an Uber rival in Japan, and it is piloting a YouTube-like TV service and shopping feature, which it hopes will develop into a grocery-delivery service, in Southeast Asia.

Line Music isn’t its only venture into streaming, however. Last month, MixRadio, the music service Line acquired from Microsoft, finally became available for iOS and Android. Line confirmed, however, that the service will be run separately to Line Music.



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Breathalyzers, Selfies And Body Sweat? A Wallet Password Replacement Showdown

If you hate typing long passwords into super small screens, I have good news: smart people are trying to fix the problem. Yes, the whole rigmarole of creating a word that has at least one capital letter, one number and one special character could soon be history.

For the mobile payment industry, this is exciting news because people won’t use mobile wallets if they have to enter a complicated password before every single purchase. At the same time, without strong enough security in front of mobile payments, fraud and hacking will ruin the party.

Instead of using passwords, it’s likely that we will soon use bio-signatures to approve purchases. Apple went for the good old fingerprint with Apple Pay and Touch ID, but is that the only option? No. Breathalyzers, selfies and, yes, body sweat are actually options, too. But are these possibilities really as slick as they sound?

Well, body sweat technically is, but to pass judgment, we have to talk through the implications of each technology. Thanks to Google Glass and Amazon Fire Phone some overhyped technologies, we know that even the loftiest of value propositions backed by billions of dollars can still face plant on reality. The contenders in the password showdown are no exceptions. 

Selfie Payments

Why type a password when you can take a selfie of your smiling face instead? With Alipay’s new facial-recognition technology, you will be able to pay for a latte and (presumably) tell Facebook all in one tap. As I’m sure you already know, everyone on social media is dying to know what you drank for breakfast.

And while I’m sure marketers would love to mark every one of your transactions with a beaming selfie, is that what consumers want? Does a trip to the grocery store with your kids put you in a selfie mood? Do you really want to Kardashianize your latest CVS or Walgreens purchase?

I think the last thing America’s image needs is Facebook and Twitter feeds chock-full of checkout selfies. Eventually, hackers will figure out how to take your picture and 3D print your face to spoof the technology. Personally, I don’t want to replace ‘password reset’ with plastic surgery.

Breathalyzer Security

In 2013, Swiss scientists found that every individual has a unique “breathprint.” Surely blowing air is easier than typing passwords. So soon enough, someone will create a breathalyzer that can distinguish one person from another.

Passwords aren’t forever, but your body parts hopefully are.

Combing BAC breathalyzers with password detectors isn’t far-fetched. One company is already trying to read hydration levels and breathe quality from a breathalyzer that attaches to smartphones. The password could become one of many breath-based bio-signatures captured from a single device. Unlike your face and body parts, breath is quite hard to steal. Perhaps people will brush their teeth with a bit more dedication if they have to blow breathe at a cashier several times per day.

Retina Scan

Want to feel like you’re a character in Golden Eye, Mission: Impossible or Minority Report? Well, get ready to hold a smartphone camera to your eyes. ZTE’s Grand S3 smartphone is ready for you, and others will surely follow.

While feeling like a secret agent is nice, let’s remember that you’re going to look more like a James Bond villain than 007 after an identity theft. If hackers can spoof your eye scan, with or without the gruesome robbery, there is no good fix. 

Sweat It Out

According to a recent article from Outside Magazine, your sweat is chockfull of biometric data that tech companies want. From hydration levels and electrolyte balance to lactate threshold and glucose, sweat has a lot to say. It seems inevitable that someone will come up with a “sweatprint” soon enough, so why not let your IoT sweat whiffer tell Jamba Juice they can sell you that smoothie?

Sweatprints would be good PR for sweat, which has been notoriously underappreciated. Even if sweating is a bit less sexy than a retina scan, like with breath, it is bit tricky to steal a permanent copy.

Sweating for swag would be easy in hot, humid environments, but if, like me, you spent the winter in New England, you know this is impractical during winter. Bostonians will be none too happy if they have to do push-ups and jumping jacks just to buy a beer. CrossFitters, on the other hand…

NFC Chips Under Your Skin

In November 2014, Dutch entrepreneur Martijn Wismeijer became the first man to embed NFC chips in his hands. One hand holds his contact information, and the other contains the private key to his bitcoin wallet. Now, he can exchange bitcoins with an Obi Wan Kenobi-like wave of the hand. Maybe this is the payment security you were looking for?

While paying like a Jedi and never forgetting your wallet are nice perks, convincing people to suffer through the painful, unnecessary injection is going to be a tough sell. For rightfully wary consumers, it seem like a step in the direction of GPS implants and Big Brother-type applications. It’s not as if anyone is currently tracking the location their smartphones. 

Fingerprints

Giving a fingerprint used to signify that you made a poor life decision. How about we rebrand fingerprints as a good way to approve payments? If Apple Pay believes in it, shouldn’t we?

In a smartphone world, the convenience is hard to beat. People supposedly use their smartphone an average 221 times per day – adding a few transactions to the stack is only natural.

Yes, you might have to ask your tech-savvy Millennial child to set up fingerprint profiles because you can’t figure it out. Yes, criminals might scrape your fingerprints from elevator buttons, ATM machines and touchscreen kiosks. And yes, like your eyes, your fingerprints are difficult to change. I don’t think we’ve put our finger on the ultimate password solution just yet.

Think Long Term

Passwords aren’t forever, but your body parts hopefully are. This means that the great risk of bio- security is that once hackers obtain your fingerprint or learn to spoof your selfie, your bio-signatures can’t secure anything, and there is no simple way to fix that. Though many of us have nearly 50 different written passwords to keep track of (thankfully there’s an app for that), they remain the most adaptable way to protect accounts, payments and our digital world.

Of the above options, breathalyzer security is particularly interesting because it’s extremely hard to steal and replicate breath without the “owner” knowing. With breathprint breathalyzers attached or built into smartphones, we could all pay with a puff, and never type a password again.

I like the idea of one-puff payments, but any of these could win the showdown. I’m glad the smart people will figure it out.

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In The Information Debate, Openness and Privacy Are The Same Thing

We’ve been framing the debate between openness and privacy the wrong way.

Rather than positioning privacy and openness as opposing forces, the fact is they’re different sides of the same coin – and equally important. This might seem simple, but it might also be the key to moving things forward around this crucial debate.

Open data advocates often suggest that openness should be the default for all human knowledge. We should share, re-use and compare data freely and in doing so reap the benefits of innovation, cost savings and increased citizen participation — to name a just a few gains.

And although it might sound a little utopian, the promise is being realized in many corners of the world.

A study by Deloitte for the UK’s Department of Business, Innovation and Skills estimated the annual value of time saved to customers through Transport for London’s open data (e.g. access to real time travel information) at up to £58 million.

In the U.S., the National Oceanic and Atmospheric Administration (NOAA) decided nearly three decades ago to release their data sets to the public. That decision resulted in a burst of innovation, including forecasts, mobile applications, websites, research and a multi-billion dollar weather industry. If NOAA stopped the flow of open data, weather.com and a host of weather applications would cease to exist.

But as we all know, even if we accept all the possible benefits of open data, concerns about privacy, especially personal information, still exist as a counter weight to the open data evangelists. People worry that the path of openness could lead to an Orwellian world where all our information is shared with everyone, permanently.

There is a way to turn the conversation from the face-value clash between openness and privacy to how they can be complementary forces. Gus Hosein, CEO of Privacy International, has explained that privacy is “the governing framework to control access to, collection and usage of information.” Basically, privacy laws enable knowledge and control of data about citizens and their surroundings.

Even if we accept all the possible benefits of open data, concerns about privacy, especially personal information, still exist as a counter weight to the open data evangelists.

This is strikingly similar to the argument that open data increases service delivery efficiency and personalization. Openness and privacy both share the same impulse: I want to be in control of my life, I want to know and choose whether a hospital or school is a good hospital or school and be in control of my choice of services.

Another strong thread in conversations around open data is that transparency should be proportionate to power. This makes sense on one level and seems simple enough: Politicians should be held accountable which means a heightened level of transparency.

But who is ‘powerful’, how do you define ‘power’ and who is in charge of defining this?

Politicians have chosen to run for public office and submit themselves to public scrutiny, but what about the CEO of a listed company, the leader of a charity, the anonymous owner of a Cayman-islands’ registered corporation? In practice, it is very difficult to apply the ‘transparency is proportionate to power’ rule outside democratic politics.

We need to stop making a binary distinction between freedom of information laws and data protection; between open data policies and privacy policies. We need one single policy framework that controls as well as encourages the use ‘open’ data.

The closest we get is with so-called PEPs (politically exposed persons) databases: Individuals who are the close family and kin, and close business associates of politicians. But even that defines power as derivative from political power, and not commercial, social or other forms of power.

And what about personal data?  Should personal data ever be open?

Omidyar Network asked this question to 200 guests at a convention on openness and privacy last year. The audience was split down the middle: 50% thought personal data could never be open data. 50% thought that it should, and that foregoing the opportunity to release it would block the promise of economic gains, better services and other benefits. Open data experts, including the 1,000 who attended a recent meeting in Ottawa, ultimately disagree on this fundamental issue.

Herein lies the challenge. Many of us, including the general public, are uncomfortable with open personal data, even despite the gains it can bring.

Swedes have access to all and any tax records. Americans have access to public lists of federal politicians convicted of crimes, whereas Germans fought strenuously against such data collection. How does all this add up into a set of more or less coherent global norms so citizens know what to expect?

It’s easy to understand why advocates of open data and privacy rally to different ideological flags.

Yet, consider the fact that you want privacy for exactly the same reason you want openness. Because you want to know whether the information held by the government on a given problem, or indeed on you, is true and verifiable. Like openness and ‘open by default’, privacy is a principle that cuts across all forms of data release. It is fundamentally the same thing.

Privacy permits me to share selectively, and grant people access but with limitations.

We need to include privacy groups in those open data conversations. They need to be alongside us, thrashing out data revolution principles.

If we shift our thinking on open data and privacy from one of competing interests to one of a single inextricably linked, albeit complex, issue then we can find a path that enables us to cut a way through the jungle.

We need to include privacy groups in those open data conversations. They need to be alongside us, thrashing out data revolution principles. Issues like the International Open Data Charter – which are central to the new Sustainable Development Goals – need us to build consensus.

We need to agree whether and how open data can include personal information. And we need to stop making a binary distinction between freedom of information laws and data protection; between open data policies and privacy policies. We need one single policy framework that controls as well as encourages the use ‘open’ data.

This approach will not remove the tensions between the competing camps, but it might allow us to work toward common objectives that further each perspective’s work rather than leave us in a stalemate.

The discussions we now have are the lifeblood of both the openness and privacy movements –what, when and how should information be shared. A new frame of reference for the debate may shine a light on a constructive path forward.

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