Year: 2019

02 Feb 2019

Austin in January: Cash rich and maturing

2019 has been good to the Austin startup scene so far.

Combined, Austin startups have raised $240.3 million in January. That’s not much less than the nearly $300 million raised in all of Q4 2018. And since the beginning of the year, the Texas capital has seen a number of double-digit funding rounds and a nearly quarter of a billion dollar acquisition.

Out of 10 known rounds, six were for $10 million or over. In recent years, Austin has historically been known for having more early-stage companies that raised more seed and Series A rounds. But if this month is any indication, its venture scene is maturing.

Just today, RigUp — an on-demand staffing platform for the oil and gas industry — announced it has secured $60 million in a Series C round. The financing was raised at a $300 million post-money valuation, according to Axios. Founders Fund led the round, which also included participation from existing backers Bedrock Capital and Quantum Energy Partners.

Also of interest is who has been investing in the city. Silicon Valley-based Bessemer Venture Partners put money into at least two of the 10 rounds: legal tech software provider DISCO’s $83 million Series E and ScaleFactor’s $30 million Series B. So, Austin startups are definitely attracting money outside of the local venture ecosystem.

Paul O’Brien, CEO of Austin-based MediaTech Ventures, believes the past few weeks provide validation for venture capitalists who have invested in the area.

“The timing is right on the mark. Just a few years into the nascent local startup scene, we witnessed the growth and enthusiasm of local mentorship and angel investment, and years later, the presence of sophisticated startup programs like Techstars, Mass Challenge and Founder Institute… and now, as if on schedule for investors, we’re seeing substantial outcomes,” he told Crunchbase News. “What’s most exciting about being a part of the local startup community is experiencing that this is really just the beginning.”

Here’s a quick rundown of some of the other big deals that were announced in Austin this month:

  • On January 3, AlertMedia closed on a $25 million Series C. The company has created a cloud-based mass notification system that aims to streamline notifications across devices and platforms.
  • Pensa Systems announced a $5 million Series A toward its mission of making retail more efficient with the use of drones.
  • On January 17, as mentioned above, back office automation startup ScaleFactor closed on a $30 million Series B led by Bessemer. The company told me at the time it saw 700 percent customer growth from 2017 to 2018, and its headcount grew by four times during the same period.
  • Dosh, maker of a cashback app, on January 22 closed on a $20 million Series B.
  • On January 23, Cision, a public relations software company, acquired Austin-based TrendKite, a media monitoring company that leverages AI, for $225 million. TrendKite will continue to be based in the Texas capital and will keep its name, according to this Austin Business Journal piece. And, its CEO Erik Huddleston, becomes president of publicly traded, Chicago-based Cision.
  • And, on January 24, Houston transplant DISCO revealed it had raised $83 million. Now, with more than $133 million in VC raised to date, DISCO says it has raised “more than any other enterprise legal tech company.”

With such a great month, Austin now has a lot of pressure to continue the momentum for the rest of the year.

Featured image credit: Mary Ann Azevedo

02 Feb 2019

Facebook warned over privacy risks of merging messaging platforms

Facebook’s lead data protection regulator in Europe has asked the company for an “urgent briefing” regarding plans to integrate the underlying infrastructure of its three social messaging platforms.

In a statement posted to its website late last week the Irish Data Protection Commission writes: “Previous proposals to share data between Facebook companies have given rise to significant data protection concerns and the Irish DPC will be seeking early assurances that all such concerns will be fully taken into account by Facebook in further developing this proposal.”

Last week the New York Times broke the news that Facebook intends to unify the backend infrastructure of its three separate products, couching it as Facebook founder Mark Zuckerberg asserting control over acquisitions whose founders have since left the building.

Instagram founders, Kevin Systrom and Mike Krieger, left Facebook last year, as a result of rising tensions over reduced independence, according to our sources.

While WhatsApp’s founders left Facebook earlier, with Brian Acton departing in late 2017 and Jan Koum sticking it out until spring 2018. The pair reportedly clashed with Facebook execs over user privacy and differences over how to monetize the end-to-end encrypted platform.

Acton later said Facebook had coached him to tell European regulators assessing whether to approve the 2014 merger that it would be “really difficult” for the company to combine WhatsApp and Facebook user data.

In the event, Facebook went on to link accounts across the two platforms just two years after the acquisition closed. It was later hit with a $122M penalty from the European Commission for providing “incorrect or misleading” information at the time of the merger. Though Facebook claimed it had made unintentional “errors” in the 2014 filing.

A further couple of years on and Facebook has now graduated to seeking full platform unification of separate messaging products.

“We want to build the best messaging experiences we can; and people want messaging to be fast, simple, reliable and private,” a spokesperson told us when we asked for a response to the NYT report. “We’re working on making more of our messaging products end-to-end encrypted and considering ways to make it easier to reach friends and family across networks.”

“As you would expect, there is a lot of discussion and debate as we begin the long process of figuring out all the details of how this will work,” the spokesperson added, confirming the substance of the NYT report.

There certainly would be a lot of detail to be worked out. Not least the feasibility of legally merging user data across distinct products in Europe, where a controversial 2016 privacy u-turn by WhatsApp — when it suddenly announced it would after all share user data with parent company Facebook (despite previously saying it would never do so), including sharing data for marketing purposes — triggered swift regulatory intervention.

Facebook was forced to suspend marketing-related data flows in Europe. Though it has continued sharing data between WhatsApp and Facebook for security and business intelligence purposes, leading to the French data watchdog to issue a formal notice at the end of 2017 warning the latter transfers also lack a legal basis.

A court in Hamburg, Germany, also officially banned Facebook from using WhatsApp user data for its own purposes.

Early last year, following an investigation into the data-sharing u-turn, the UK’s data watchdog obtained an undertaking from WhatsApp that it would not share personal data with Facebook until the two services could do so in a way that’s compliant with the region’s strict privacy framework, the General Data Protection Regulation (GDPR).

Facebook only avoided a fine from the UK regulator because it froze data flows after the regulatory intervention. But the company clearly remains on watch — and any fresh moves to further integrate the platforms would trigger instant scrutiny, evidenced by the shot across the bows from the DPC in Ireland (Facebook’s international HQ is based in the country).

The 2016 WhatsApp-Facebook privacy u-turn also occurred prior to Europe’s GDPR coming into force. And the updated privacy framework includes a regime of substantially larger maximum fines for any violations.

Under the regulation watchdogs also have the power to ban companies from processing data. Which, in the case of a revenue-rich data-mining giant like Facebook, could be a far more potent disincentive than even a billion dollar fine.

We’ve reached out to Facebook for comment on the Irish DPC’s statement and will update this report with any response.

Here’s the full statement from the Irish watchdog:

While we understand that Facebook’s proposal to integrate the Facebook, WhatsApp and Instagram platforms is at a very early conceptual stage of development, the Irish DPC has asked Facebook Ireland for an urgent briefing on what is being proposed. The Irish DPC will be very closely scrutinising Facebook’s plans as they develop, particularly insofar as they involve the sharing and merging of personal data between different Facebook companies. Previous proposals to share data between Facebook companies have given rise to significant data protection concerns and the Irish DPC will be seeking early assurances that all such concerns will be fully taken into account by Facebook in further developing this proposal. It must be emphasised that ultimately the proposed integration can only occur in the EU if it is capable of meeting all of the requirements of the GDPR.

Facebook may be hoping that extending end-to-end encryption to Instagram as part of its planned integration effort, per the NYT report, could offer a technical route to stop any privacy regulators’ hammers from falling.

Though use of e2e encryption still does not shield metadata from being harvested. And metadata offers a rich source of inferences about individuals which, under EU law, would certainly constitute personal data. So even with robust encryption across the board of Instagram, Facebook and WhatsApp the unified messaging platforms could still collectively leak plenty of personal data to their data-mining parent.

Facebook’s apps are also not open source. So even WhatsApp, which uses the respected Signal Protocol for its e2e encryption, remains under its control — with no ability for external audits to verify exactly what happens to data inside the app (such as checking what data gets sent back to Facebook). Users still have to trust Facebook’s implementation but regulators might demand actual proof of bona fide messaging privacy.

Nonetheless, the push by Facebook to integrate separate messaging products onto a single unified platform could be a defensive strategy — intended to throw dust in the face of antitrust regulators as political scrutiny of its market position and power continues to crank up. Though it would certainly be an aggressive defence to more tightly knit separate platforms together.

But if the risk Facebook is trying to shrink is being forced, by competition regulators, to sell off one or two of its messaging platforms it may feel it has nothing to lose by making it technically harder to break its business apart.

At the time of the acquisitions of Instagram and WhatsApp Facebook promised autonomy to their founders. Zuckerberg has since changed his view, according to the NYT — believing integrating all three will increase the utility of each and thus provide a disincentive for users to abandon each service.

It may also be a hedge against any one of the three messaging platforms decreasing in popularity by furnishing the business with internal levers it can throw to try to artifically juice activity across a less popular app by encouraging cross-platform usage.

And given the staggering size of the Facebook messaging empire, which globally sprawls to 2.5BN+ humans, user resistance to centralized manipulation via having their buttons pushed to increase cross-platform engagement across Facebook’s business may be futile without regulatory intervention.

02 Feb 2019

Startups Weekly: Even Gwyneth Paltrow had a hard time raising VC

I spent the week in Malibu attending Upfront Ventures’ annual Upfront Summit, which brings together the likes of Hollywood, Silicon Valley and Washington, DC’s elite for a two-day networking session of sorts. Cameron Diaz was there for some reason, and Natalie Portman made an appearance. Stacey Abrams had a powerful Q&A session with Lisa Borders, the president and CEO of Time’s Up. Of course, Gwyneth Paltrow was there to talk up Goop, her venture-funded commerce and content engine.

“I had no idea what I was getting into but I am so fulfilled and on fire from this job,” Paltrow said onstage at the summit… “It’s a very different life than I used to have but I feel very lucky that I made this leap.” Speaking with Frederic Court, the founder of Felix Capital, Paltrow shed light on her fundraising process.

“When I set out to raise my Series A, it was very difficult,” she said. “It’s great to be Gwyneth Paltrow when you’re raising money because people take the meeting, but then you get a lot more rejections than you would if they didn’t want to take a selfie … People, understandably, were dubious about [this business]. It becomes easier when you have a thriving business and your unit economics looks good.”

In other news…

1. Joseph Gordon-Levitt is an entrepreneur, too

The actor stopped by the summit to promote his startup, HitRecord . I talked to him about his $6.4 million round and grand plans for the artist-collaboration platform.

  1. Deals of the week

Backed by GV, Sequoia, Floodgate and more, Clover Health confirmed to TechCrunch this week that it’s brought in another round of capital led by Greenoaks. The $500 million round is a vote of confidence for the business, which has experienced its fair share of well-publicized hiccups. More on that here. Plus, Clutter, the startup that provides on-demand moving and storage services, is raising at least $200 million from SoftBank, sources tell TechCrunch. The round is a big deal for the LA tech ecosystem, which, aside from Snap and Bird, has birthed few venture-backed unicorns.

  1. The Pinterest IPO is really, actually happening

Pinterest, the nine-year-old visual search engine, has hired Goldman Sachs and JPMorgan Chase as lead underwriters for an IPO that’s planned for later this year. With $700 million in 2018 revenue, the company has raised some $1.5 billion at a $12 billion valuation from Goldman Sachs Investment Partners, Valiant Capital Partners, Wellington Management, Andreessen Horowitz, Bessemer Venture Partners and more.

  1. Fundraising efforts

Kleiner Perkins went “back to the future” this week with the announcement of a $600 million fund. The firm’s 18th fund, it will invest at the seed, Series A and Series B stages. TCV, a backer of Peloton and Airbnb, closed a whopping $3 billion vehicle to invest in consumer internet, IT infrastructure and services startups. Partech has doubled its Africa VC fund to $143 million and opened a Nairobi office to complement its Dakar practice. And Sapphire Ventures has set aside $115 million for sports and entertainment bets.

  1. Sam Altman has a new idea

The co-founder of Y Combinator will throw a sort of annual weekend getaway for nerds in picturesque Boulder, Colo. Called the YC 120, it will bring toget her 120 people for a couple of days in April to create connections. Read TechCrunch’s Connie Loizos’ interview with Altman here.

  1. Hims gets unicorn status

Consumer wellness business Hims has raised $100 million in an ongoing round at a $1 billion pre-money valuation. A growth-stage investor has led the round, with participation from existing investors (which include Forerunner Ventures, Founders Fund, Redpoint Ventures, SV Angel, 8VC and Maverick Capital) . Our sources declined to name the lead investor but said it was a “super big fund” that isn’t SoftBank and that hasn’t previously invested in Hims.

  1. a16z bets on VR — again

Five years after Andreessen Horowitz backed Oculus, it’s leading a $68 million Series A funding in Sandbox VR. TechCrunch’s Lucas Matney talked to a16z’s Andrew Chen and Floodgate’s Mike Maples about what sets Sandbox apart.

Here’s your weekly reminder to send me tips, suggestions and more to kate.clark@techcrunch.com or @KateClarkTweets

  1. More startup cash:

  1. An update on the Munchery fiasco

In a new class-action lawsuit, a former Munchery facilities worker is claiming the startup owes him and 250 other employees 60 days’ wages. On top of that, another former employee says the CEO, James Beriker, was largely absent and is to blame for Munchery’s downfall. If you haven’t been keeping up on Munchery’s abrupt shutdown, here’s some good background.

  1. Scooter consolidation

Consolidation in the micromobility space has arrived — in Brazil, at least. Not long after Y Combinator-backed Grin merged its electric scooter business with Brazil-based Ride, it’s completing another merger, this time with Yellow, the bike-share startup based in Brazil that has also expressed its ambitions to get into electric scooters.

  1. Listen to me talk

If you enjoy this newsletter, be sure to check out TechCrunch’s venture-focused podcast, Equity. In this week’s episode, available here, Crunchbase editor-in-chief Alex Wilhelm, TechCrunch’s Silicon Valley editor Connie Loizos and Jeff Clavier of Uncork Capital chat about $100 million rounds, Stripe’s mega valuation and Pinterest’s highly anticipated IPO.

02 Feb 2019

Japan’s “Society 5.0” initiative is a roadmap for today’s entrepreneurs

Japan, still suffering the consequences of its ‘Lost Decade’ of economic stagnation, is eyeing a transformation more radical than any the industrialized world has ever seen.

Boldly identified as “Society 5.0” Japan describes its initiative as a purposeful effort to create a new social contract and economic model by fully incorporating the technological innovations of the fourth industrial revolution. It envisions embedding these innovations into every corner of its ageing society. Underpinning this effort is a mandate for sustainability, bound tightly to the new United Nations global goals, the SDG’s. Japan wants to create, in its own words, a ‘super-smart’ society, and one that will serve as a roadmap for the rest of the world.

Japan hosts its first ever G20 summit in 2019 and this grand initiative will be on the agenda at the official B20 (Business 20) summit headed by the chairman of Hitachi .

Components of Society 5.0 and its implications for the US

Society 5.0 addresses a number of key pillars: infrastructure, finance tech, healthcare, logistics, and of course AI. The markets being grown in Japan are impressive. In robotics they predict $87 billion in investments and the IoT market is poised to hit $6 Billion in 2019

This means we are behind. We have not put enough focus on what AI can do not only for industry, but what it can do to move society forward and solve many of our most pervasive problems.

It isn’t just a problem of lack of investment by the United States government. Just this past September the Department of Defense announced a commitment of  $2 billion over the next five years toward new programs advancing artificial intelligence. This issue lies in the lack of a complete partnership between the United States Government and the private sector. But, why is Japan in the lead?

Full Fledged Embrace of AI and Cutting Edge Technology

Along with $1.44 billion from the government for AI funding, the Innovation Network Corp. of Japan is reorganizing to focus on AI and big data. They are projected to grow to $4 billion and operate to at least 2034. Much like in Britain and France, the government has made it a point to team with the private sector to move all of society forward.

Fresh Ideas to address Persistent Societal Problems

Along with the governmental and private partnership, Society 5.0 harnesses AI to address problems that continue to plague society. They are looking at how AI can help with the trappings of an aging population, pollution, and most importantly, how create such a sweeping initiate that is also agile enough to adjust to constant change of society everyday.

The goal of the work being done at Hitachi now on Society 5.0 is to create a Human-Centered Society. Technologies and innovations need to be leveraged to aid humans and our advancement, not to replace us in anyway.

How do American Technologists Close the Gap and partner with Japan?

First, in Silicon valley and beyond, American technologists and entrepreneurs must create a partnership between themselves and the U.S. government. Only when working together can we reach our full potential.

Take the British government as a model. This past April they announced a that it had put together “an AI deal worth more than £1 billion” that includes public and private funding.

France sees the opportunity and is betting on AI as well. This past spring President Emmanuel Macron announced an AI plan that includes $1.6 billion in funding, new research centers, data-sharing initiatives. The road has been clearly mapped for the U.S., just follow the path.

Next, American technologists and entrepreneurs must focus on certain industries and their ability to improve society in its entirety. There are 4 major industries technologists and entrepreneurs can focus on, and disrupt by modeling Japan’s Society 5.0 ideas and approach.

Healthcare

Japan’s society is more heavily weighted towards people over 60 than the rest of the world. In turn, more healthcare is needed to support people for a longer period of time as people live longer.

American technologists and entrepreneurs can capitalize by investing in and developing cognitive AI technologies that will greatly lessen the time needed to complete administrative tasks to allowing medical professionals to concentrate more on actually providing healthcare.

A UK  report suggests approximately 10% of NHS operational expenses could be saved through AI and automation. If this can be mirrored and then improved in the US the rising cost of healthcare, and declining public health can be tackled simultaneously.

Mobility

While the population in urban centers is growing, rural areas are being left with diminished access to everyday needs like, transportation, stores, hospitals, and community centers.
Continue to invest and develop autonomous vehicles, drones and single-driver cargo truck convoys. Access to basic everyday needs will not be a given for those residing far from urban centers. Here lies another dual opportunity for technologists and entrepreneurs, service those in need while simultaneously moving tech and society forward.

Infrastructure

28 percent of major U.S. roads are rated “poor” or in need of a complete rebuild. AI and other technologies such as robots, drones, sensors and IoT will help solve these problems. How? If only 10 percent of cars in the  U.S. became self-driving, those 26 million vehicles would generate 38.4 zettabytes of data annually.  In one year that would create over eight times the volume of the world’s current data.

Not only must we increase investment in autonomous vehicles, but we must make a concerted effort to leverage the data they will produce. Technologists and entrepreneurs will have an unprecedented advantage to leverage this data to predict everything from needs of infrastructure improvements to all bridges and roads being used by the autonomous vehicles. Companies like Hitachi are the ones you should look to work with. They’re doing amazing things in infrastructure today. How can this be translated to the U.S.? That is a question for you to ask and ultimately solve.

Mass transit is far ahead in Japan as well. Japan’s maglev train set a world record speed of 375 mph. With vast expanses of the United States landscape, and the ever growing challenges of flying, the rail transport industry is ripe for the picking. Plans for the midwest and the west coast have seem to come and go. What will be the plan that actually works?

Fintech

Blockchain is a  solution that will advance security, transparency and fraud prevention in society. Cognitive AI is producing results towards the goals of Society 5.0, ether it be a cashless society or a consumer focused one. Voice prompted AI assistants are currently providing consumer support by depositing money, performing trades, mastering trading platforms, networking, and onboarding of customers. This Omni-channel integration will result in finance and banking evolving to grow around customers needs. With this evolution we will see far less needs for cash and brick and mortar banks.

In the end, data alone is just code without meaning to its user. But, when technologists and entrepreneurs implement AI to its max potential a true difference will be seen. In Society 5.0, humanity and machines will solve the greatest issues society faces in the 21st century. We must embrace what Japan is creating with Society 5.0, or we will simply become a vestige of the technological past.

 

02 Feb 2019

Apple’s long-time Siri leader reportedly no longer in charge

The man who has headed up Siri at Apple since 2012 is no longer at the helm, according to The Information. Bill Stasior remains at the company in a different role, the report states.

We’ve reached out to Apple for comment.

Stasior joined Apple to take over Siri in 2012 after being poached from Amazon’s A9 retail search team. At this in time, most of the original Siri co-founders had already left Apple and Stasior was tasked with taking on the mantle of deciding where the digital assistant should move next.

Siri has had a troubled history at Apple. Though the voice assistant arrived with a big splash, the company’s inability to iterate the product quickly left its competitors ample opportunity to leapfrog its capabilities. Something that both Amazon and Google clearly have with their Alexa and Google Assistant platforms.

This past April, Apple hired Google’s John Giannandrea to lead AI and machine learning efforts at the company, a division that includes Siri and CoreML. Giannandrea is expected to be leading the search for a new leader for the Siri team, the report says.

01 Feb 2019

Snopes and AP leave Facebook fact-checking partnership

Two of Facebook’s four fact-checking partners in the U.S. are no longer working for the program: Snopes, which recently rebuffed reports that its relationship with Facebook was strained, and the Associated Press. Both confirmed they are no longer performing fact checking for Facebook, but left open the possibility of future collaboration.

Snopes joined Facebook’s group of third-party fact checkers in 2016, at first volunteering its services and the next year accepting a lump $100,000 payment for their work. But the company said in a statement that it’s rethinking providing services like this at all:

At this time we are evaluating the ramifications and costs of providing third-party fact-checking services, and we want to determine with certainty that our efforts to aid any particular platform are a net positive for our online community, publication, and staff.

Snopes founder David Mikkelson added in a statement to TechCrunch that “we felt that the Facebook fact check partnership wasn’t working well for us as an organization.” I’ve asked Facebook for comment.

The news comes hot on the heels of a recent article in the Guardian by former Snopes employees who described the partnership as being “in disarray.”

But the Snopes founder strongly disagreed with that characterization, and the suggestion that Facebook had been interfering with or otherwise unduly influencing the fact-checking program. Mikkelson described the work as “literally just data entry,” and said that Facebook never told them what they should check, with a handful of exceptions like bringing high-profile hoaxes to checkers’ attention during the 2018 election.

In fact, Mikkelson said the main problem was a lack of engagement from Facebook. The tools, he said, were rudimentary, and checkers were limited in the number of articles they could evaluate. Meanwhile, the effect of the fact-checking program was poorly communicated both to partners and users. Was it working? How well? In what way? What changes are being made, if any, to the algorithms and systems involved?

In comments to Poynter, Snopes VP of operations Danny Green said the process needed to be improved:

With a manual system and a closed system — it’s impossible to keep on top of that stuff… It doesn’t seem like we’re striving to make third-party fact checking more practical for publishers — it seems like we’re striving to make it easier for Facebook. At some point, we need to put our foot down and say, ‘No. You need to build an API.’

This surely formed at least part of the reason why Snopes declined to renew its yearly contract with Facebook. It seems to be a coincidence that the announcement came shortly after yet another bad week for the latter; the contracts seem to be for calendar years so the decision not to rejoin would have been made some time ago.

It’s not the only U.S. fact checker leaving the partnership. The Associated Press confirmed to TechCrunch that it too is “not currently doing fact-checking work for Facebook.” In a statement, the news organization said that it “constantly evaluates how to best deploy its fact-checking resources, and that includes ongoing conversations with Facebook about opportunities to do important fact-checking work on its platform.”

Update: The AP representative contacted TechCrunch to say that although it is not doing fact checking work for the program, it is not leaving it altogether. I’ve asked for clarification on this point, and adjusted the wording in the post to reflect it.

Politifact confirmed it is staying with the program; I’ve also asked Factcheck.org (the fourth U.S. fact-checker) and the AFP, which is a partner in multiple countries. I’ll update this post if I hear back.

01 Feb 2019

This light-powered 3D printer materializes objects all at once

3D printing has changed the way people approach hardware design, but most printers share a basic limitation: they essentially build objects layer by layer, generally from the bottom up. This new system from UC Berkeley, however, builds them all at once more or less by projecting a video through a jar of light-sensitive resin.

The device, which its creators call the replicator (but shouldn’t, because that’s a Makerbot trademark), is mechanically quite simple. It’s hard to explain it better than Berkeley’s Hayden Taylor, who led the research:

Basically, you’ve got an off-the-shelf video projector, which I literally brought in from home, and then you plug it into a laptop and use it to project a series of computed images, while a motor turns a cylinder that has a 3D-printing resin in it.

Obviously there are a lot of subtleties to it — how you formulate the resin, and, above all, how you compute the images that are going to be projected, but the barrier to creating a very simple version of this tool is not that high.

Using light to print isn’t new — many devices out there use lasers or other forms of emitted light to cause material to harden in desired patterns. But they still do things one thin layer at a time. Researchers did demonstrate a “holographic” printing method a bit like this using intersecting beams of light, but it’s much more complex. (In fact Berkeley worked with Lawrence Livermore on this project.)

In Taylor’s device, the object to be recreated is scanned first in such a way that it can be divided into slices, a bit like a CT scanner — which is in fact the technology that sparked the team’s imagination in the first place.

By projecting light into the resin as it revolves, the material for the entire object is resolved more or less at once, or at least over a series of brief revolutions rather then hundreds or thousands of individual drawing movements.

This has a number of benefits besides speed. Objects come out smooth — if a bit crude in this prototype stage — and they can have features and cavities that other 3D printers struggle to create. The resin can even cure around an existing object, as they demonstrate by manifesting a handle around a screwdriver shaft.

Naturally different materials and colors can be swapped in, and the uncured resin is totally reusable. It’ll be some time before it can be used at scale or at the level of precision traditional printers now achieve, but the advantages are compelling enough that it will almost certainly be pursued in parallel with other techniques.

The paper describing the new technique was published this week in the journal Science.

01 Feb 2019

LittleBits lays off employees as it shifts focus toward education

New York City open-source maker startup LittleBits began to lay off staff last month, TechCrunch has learned. The loss of jobs comes as the company looks to shift more focus toward the K-12 market.

Education-specific offerings have been lucrative for the company in its eight-year existence, but recent products have found the company embracing licensed products, courtesy of its involvement with Disney’s hardware accelerator.

LittleBits confirmed the layoffs as part of an internal restructuring, in a statement offered to TechCrunch.

“The true potential that littleBits provides teachers, parents, and the children is far beyond your standard ‘off the shelf’ gift or toy. In order to have the greatest impact in shaping the next generation of Changemakers, we are prioritizing our business around the K-12 education market,” the company says. “As you can imagine, the education market’s needs are vastly different than that of retail. Given this, we had to re-shape our internal structure, which ultimately led to a reduction in staff.”

It has yet to offer a specific number, but TechCrunch believes the number to be around 15. Not huge in the grand scheme of things, but no doubt a hit to a staff of this size, which numbered around 100, after its acquisition of DIY Co, last summer. That acquisition, LittleBits’ first, will no doubt play a role in the restructuring, going forward.

It’s hard not to see echoes of the difficult decision Sphero made roughly this time last year. The robotics startup went all-in on licensed Disney brands like Star Wars and Marvel, but ultimately pivoted to an education-only focus, after a disappointing holiday season. Education, on the other hand, can prove a lucrative and stable path forward, as schools and districts tend to buy products in bulk. 

Another thing both Sphero and LittleBits have in common is a knack for truly innovative tech products that could do extremely well in the educational space with the right positioning.

01 Feb 2019

LittleBits lays off employees as it shifts focus toward education

New York City open-source maker startup LittleBits began to lay off staff last month, TechCrunch has learned. The loss of jobs comes as the company looks to shift more focus toward the K-12 market.

Education-specific offerings have been lucrative for the company in its eight-year existence, but recent products have found the company embracing licensed products, courtesy of its involvement with Disney’s hardware accelerator.

LittleBits confirmed the layoffs as part of an internal restructuring, in a statement offered to TechCrunch.

“The true potential that littleBits provides teachers, parents, and the children is far beyond your standard ‘off the shelf’ gift or toy. In order to have the greatest impact in shaping the next generation of Changemakers, we are prioritizing our business around the K-12 education market,” the company says. “As you can imagine, the education market’s needs are vastly different than that of retail. Given this, we had to re-shape our internal structure, which ultimately led to a reduction in staff.”

It has yet to offer a specific number, but TechCrunch believes the number to be around 15. Not huge in the grand scheme of things, but no doubt a hit to a staff of this size, which numbered around 100, after its acquisition of DIY Co, last summer. That acquisition, LittleBits’ first, will no doubt play a role in the restructuring, going forward.

It’s hard not to see echoes of the difficult decision Sphero made roughly this time last year. The robotics startup went all-in on licensed Disney brands like Star Wars and Marvel, but ultimately pivoted to an education-only focus, after a disappointing holiday season. Education, on the other hand, can prove a lucrative and stable path forward, as schools and districts tend to buy products in bulk. 

Another thing both Sphero and LittleBits have in common is a knack for truly innovative tech products that could do extremely well in the educational space with the right positioning.

01 Feb 2019

Twitter bug makes it look like random retweets are appearing in your timeline

A number of Twitter users have been complaining that tweets that were retweeted by people they don’t follow are now showing in their timeline. The issue, thankfully, is not related to a new Twitter algorithm or recommendation system, as some had feared. Instead, the company confirmed that a bug affecting Android users was mislabeling the “social proof” tag on Retweets.

This is the part of the Retweet that tells you who, among the people you already do follow, had retweeted the post in question.

The company says that the social proof label is wrong, so the Android users were seeing tweets that looked like they had been retweeted by someone they don’t know.

Above: some example complaints

Twitter says the Retweets that showed up were actually tweeted by someone the people did knew, but their social proof label was wrong which made them seem out of place. Its engineers are aware of the problem and working to fix this now. The bug has been live for a few days, Twitter also confirmed.

The company’s @TwitterSupport account had not yet replied to those asking about this problem, which may have led to some user confusion.

After all, Twitter has been known to put what some consider extraneous information in the timeline – like posts that show you when many people you follow have now all followed another Twitter user, or posts that tell you that several people have shared the same link, for example. But even in those cases, that was in-network activity – not something like putting random retweets in your main feed.

Until the bug is fixed, Twitter users who don’t like the content of the seemingly random retweets can tap on the down arrow on the right side of the tweet to tell Twitter it wants to see less content like this.