Year: 2020

17 Aug 2020

Verizon adds free Hulu and ESPN+ to some unlimited wireless plans

Verizon and Disney announced this morning that they’re extending and expanding a partnership that gives some Verizon Wireless subscribers access to Disney’s streaming services at no addition charge.

The companies announced last fall that Verizon (which owns TechCrunch) would be offering free Disney+ to unlimited wireless customers, and on an earnings call in February, Disney’s then-CEO Bob Iger said that around 20% of Disney+ subscribers came from Verizon.

More recently, the entertainment giant said that Disney+ had more than 60.5 million subscribers as of August 3.

With today’s announcement, subscribers to Verizon’s Play More and Get More Unlimited wireless plans will get free access to not just Disney+, but also Hulu and ESPN+. (Plus, Apple Music.) Disney normally charges $12.99 when these three streaming services are purchased together as The Disney Bundle.

“The addition of The Disney Bundle to our agreement with Verizon reinforces our commitment to providing their subscribers with access to high-quality entertainment from Disney+, Hulu and ESPN+,” said Disney’s executive vice president of platform distribution Sean Breen in a statement. “We are always looking for the most advantageous ways for consumers to experience our content and we are pleased to work with Verizon so that they can provide their customers with these appealing new offers.”

 

17 Aug 2020

Apple expands its independent repair program to Mac, after US antitrust investigation examined company’s repair policies

Apple is expanding its program that provides parts, resources and training to independent repair shops to now include support for Mac computers. The repair program was first announced last fall, with the goal of making it easier for consumers to repair their out-of-warranty iPhones by allowing them to use third-party shops, including small businesses, that would now have access to official repair parts and other tools.

The program was meant to complement Apple’s existing network of over 5,000 Apple Authorized Service Providers, like Best Buy, which handle both in- and out-of-warranty repairs. To some extent, the program arose from consumer demand. Many iPhone users were turning to unauthorized repair shops for a variety of reasons — perhaps the shop was closer to their home, could fix their device more quickly, or offered more affordable repairs, for example. But this choice could result in an uneven consumer experience as the shops were locked out from using official Apple parts.

Since its U.S. launch, the independent repair shop program expanded to over 140 businesses and over 700 new locations. This summer, Apple announced the program would now expand internationally as well, to both Europe and Canada.

To date, however, the program was only focused on iPhone repairs — not Mac. Going forward, these repair shops and others that qualify will be able to access Apple-genuine tools, repair manuals, diagnostics, official parts, and other resources they need to perform common out-of-warranty repairs on Macs, too. The program is free to sign up for and the repair training is also free, Apple says.

Reuters first reported the news of the program’s expansion. Apple also confirmed the details to TechCrunch, noting that the company believes the safest and most reliable repair is one that’s handled by a trained technician using official Apple parts. The company said, too, it wants consumers to feel confident that their repairs are being done correctly.

The news of the program’s expansion is timely, given that Apple’s stance on consumers’ “right to repair” their own devices is one of the many topics under investigation by the U.S. House Antitrust Subcommittee.

The subcommittee had last month held a hearing where it asked Apple CEO Tim Cook about his company’s position on a variety of matters, like its App Store and commission structure, for example. Though not a major focus of the Congressional hearing itself, the documents collected as part of the subcommittee’s investigation into Apple included internal emails that showed how the company was conflicted about its repair program and the Right to Repair legislation, which Apple had lobbied against for years.

In one email, Apple execs weighed telling a reporter about its then-forthcoming Genuine Parts Repair program to demonstrate its commitment to more consumer-friendly repair policies, the documents revealed, In others, Apple execs discussed how repair manuals had been published without clearance, indicating a lack of a cohesive strategy around its approach to repair policies.

By further expanding its independent repair program to now include the Mac, Apple benefits from not only better serving customers by expanding access to genuine parts, but also from redirecting the focus of the antitrust investigation away from this particular topic, at least, if not the others.

 

17 Aug 2020

PopSugar co-founder says pandemic will create ‘a huge windfall’ for digital media

It’s been less than a year since Group Nine Media acquired PopSugar — but it’s been a uniquely challenging time in digital media.

Brian Sugar founded the eponymous women’s lifestyle site with his wife Lisa Sugar . Post-acquisition, he’s become president for the entirety of Group Nine (which also owns Thrillist, NowThis, The Dodo and Seeker) and also joined the company’s board.

That job probably looks very different from what he expected last fall. The company had to lay off 7% of its staff back in April, which Sugar described as “one of the worst days of my career.” At the same time, he remains confident about the online advertising business. In his view, it’s TV advertising that’s taken a “huge punch” in the face and will never recover.

“We like to think of ourselves as one of the fastest, most innovative publishers out there,” Sugar told me. “And now’s the time for us to kind of show that off.”

You can read an edited, updated and condensed transcript of our conversation below, in which I talked to Sugar about how his role has evolved, how he motivates the team during difficult times and what gets lost in the shift to remote work.

TechCrunch: Obviously, it’s been a crazy couple of months since we last talked. What does your job look like now?

Brian Sugar: Well, I feel like a data miner, searching for answers. I feel like a hackathon engineer. And I feel like a therapist. You know, we like to think of ourselves as one of the fastest, most innovative publishers out there. And now’s the time for us to kind of show that off.

[We’ve just been] looking at data on how people are consuming our content across platforms. And on our site, we’ve come up with some really interesting ideas that we’ve implemented. We’ve been having these really cool hackathon Fridays to build stuff quickly, because a lot of people feel like they have a little bit more time on their hands — because you don’t have to travel to meetings, you can get more work done. Some people feel they’re more efficient.

We’re extremely optimistic. All our brands are extremely optimistic, and so is [the whole] company.

You mentioned launching some new products to respond to how audience behavior is changing. Are there any examples?

The first one [is] the PopSugar Fitness thing. We were planning on launching a paid workout subscription service in May, but everybody was working from home [in March], and we decided to pull the launch all the way up to as fast as we can launch it. We launched it that following weekend. Since the launch in late March, over the past few months, we’ve had 200,000 people sign up, and we have 50,000 monthly active users on it.

17 Aug 2020

Hour One raises $5M Seed to generate AI-driven synthetic characters from real humans

All of the people pictured above are real, but what you are seeing are synthetically-generated versions of their real selves. And they can be programmed to say anything. Tech futurists have long warned about humans being replaced by life-like AI-driven figures, where it would be almost impossible to tell between machine and human. Indeed, there’s even a new book on this subject of ‘deep fakes’.

But that future comes a step closer today with the news that Hour One, which creates AI-driven synthetic characters based on real humans, closes a $5 million seed funding led by Galaxy Interactive (via its Galaxy EOS VC Fund), Remagine Ventures and Kindred Ventures (with participation of Amaranthine).

Hour One will use the funds to scale its AI-driven cloud platform, onboard ‘thousands’ of new characters, and expand its commercial activities.
 
Founded in 2019, Hour One develops technologies for creating high-quality digital characters based on real people. The idea is to generate production-grade video-based characters in a highly scalable and cost-effective way. The upshot of this is that what appears to be a real human could talk about any product or subject at all, to the point of infinite scale.

This was showcased at its “real or synthetic” likeness test at CES 2020, challenging people to distinguish between real and synthetic characters generated by its AI.

Oren Aharon, Hour One’s Founder and CEO said in a statement: “We believe that synthetic characters of real people will become a part of our everyday life. Our vision is that Hour One will drive the use of synthetic characters to improve the quality of communication between businesses and people across markets and use cases. By enabling each person to create their own character together with our scalable cloud platform, we will provide a variety of solutions for next-gen remote business-to-human interactions.”
 
Hour One is currently working with companies in the e-commerce, education, automotive, communication, and enterprise sectors, with expanded industry applications expected throughout 2020.

The company also showcased its “real or synthetic” likeness test at CES 2020, challenging people to distinguish between real and synthetic characters generated by its AI.

The real issue, however, is how will this technology be deployed without it being abused.

Lior Hakim, cofounder and CTO says this potential problem is dealt with via encryption technologies to secure the use and rights of the characters enabling “anyone to identify our videos as well as mark them as altered to notify the viewers”. The company also says it has an ethical policy code for how its technology is used.

Sam Englebardt, Co-Founder and Managing Director of Galaxy Interactive says the startup’s “ethics-driven approach to the creation of synthetic video” is key and that “given how challenging production with live actors has become as a result of COVID-19, now is the perfect time for businesses of all sizes to produce their content with Hour One’s synthetic characters.”

Clearly this will reduce the cost of synthetic character creation meaning any textual content could be “automatically translated into a live-action video of a person that engages an audience by speaking the text” said Eze Vidra, Co-Founder and Managing Partner at Remagine Ventures .

Speaking to TechCrunch, Business strategy lead for Hour One Natalie Monbiot, said the company has a unique ability to onboard “basically any human being and turn them into a synthetic character that’s a lifelike replica of that person. So it’s not an avatar or a version of that person. It really does look and behave like that person. You can then basically generate new content by uploading new texts. So, for example, in e-commerce, you can pick your characters and get them to present your product or do a product presentation. This means every single product SKU can have its own video presentation.”

17 Aug 2020

Lucid Motors CEO and CTO Peter Rawlinson to join TC Sessions: Mobility 2020

Lucid Motors will unveil its long anticipated all-electric luxury electric Air sedan on September 9, a vehicle that promises to have at least 517 miles on a single charge. The company has been toiling away for years now, pushing forward battery technology and raising money to fund its ambitious plans. 

Lucid is now poised to make its mark on the EV landscape. Which is why we’re excited to announce that Peter Rawlinson, the CEO and CTO of Lucid Motors will join us on our virtual stage at TC Sessions: Mobility. The virtual event will occur over two days on October 6 and October 7, and will build off of last year’s inaugural event.

Rawlinson has three decades of experience in the automotive industry that is now culminating with Lucid Motors . Prior to Lucid, Rawlinson was vice president of vehicle engineering at Tesla and chief engineer of the Model S, where he led the engineering of the Model S from a clean sheet to production readiness while building the engineering team. He was formerly head of vehicle engineering at Corus Automotive, chief engineer at Lotus Cars, and principal engineer at Jaguar Cars.

In short, Rawlinson has institutional knowledge — and probably some good stories — about what works and what doesn’t when building a car company. While on our virtual stage, Rawlinson will discuss Lucid Motors and plans for the automaker’s future as well as the electric vehicle industry and maybe some of those interesting stories from his days at Tesla, Jaguar and Lotus Cars.

In case you’re wondering, this won’t just be one long webinar. We have some technical tricks up our sleeves that will bring all of what you’d expect from our in-person events, from the informative panels and provocative one-on-one interviews to the networking and even a pitch-off session. While virtual isn’t the same as our events in the past, it has provided one massive benefit: democratizing access.

If you’re a startup or investor based in Europe, Africa, Australia, South America or another region in the U.S., you can listen in, network and connect with other participants here in Silicon Valley.

Get your tickets for TC Sessions: Mobility to hear from Bryan Salesky, along with several other fantastic speakers from Porsche, Waymo, Lyft and more. Tickets are just $145 for a limited time, with discounts for groups, students and exhibiting startups. We hope to see you there!

 

17 Aug 2020

Canalys: Google is top cloud infrastructure provider for online retailers

While Google Cloud Platform has shown some momentum in the last year, it remains a distant third behind Amazon and Microsoft in the cloud infrastructure market. But Google got some good news from Canalys today when the firm reported that GCP is the number one cloud platform provider for retailers.

Canalys didn’t provide specific numbers, but it did set overall market positions in the retail sector with Microsoft coming in second, Amazon third, followed by Alibaba and IBM in fourth and fifth respectively.

Canalys cloud infrastructure retail segment market share numbers

Image Credits: Canalys

It’s probably not a coincidence that Google went after retail. Many retailers don’t want to put their cloud presence onto AWS, as Amazon.com competes directly with these retailers. Brent Leary, founder and principal analyst at CRM Essentials, says that as such, the news doesn’t really surprise him.

“Retailers have to compete with Amazon, and I’m guessing the last thing they want to do is use AWS and help Amazon fund all their new initiatives and experiments that in some cases will be used against them,” Leary told TechCrunch. Further, he said that many retailers would also prefer to keep their customer data off of Amazon’s services.

Canalys Senior Director Alex Smith says that this Amazon effect combined with the pandemic and other technological factors has been working in Google’s favor, at least in the retail sector. “Now more than ever, retailers need a digital strategy to win in an omnichannel world, especially with Amazon’s online dominance. Digital is applied everywhere from customer experience to cost optimization, and the overall technological capability of a retailer is what will define its success,” he said.

COVID-19 has forced many retailers to close stores for extended periods of time, and when you combine that with people being more reluctant to go inside stores when they do open, retailers have had to take a crash course in eCommerce if they didn’t have a significant online presence already.

Canalys points out that Google has lured customers with its advertising and search capabilities beyond just pure infrastructure offerings, taking advantage of its other strengths to grow the market segment.

Recognizing this, Google has been making a big retail push including a big partnership with Salesforce and specific products announced at Google Cloud Next last year. As we wrote at the time of the retail offering,

The company offers eCommerce Hosting, designed specifically for online retailers, and it is offering a special premium program, so retailers get “white glove treatment with technical architecture reviews and peak season operations support…” according to the company. In other words, it wants to help these companies avoid disastrous, money-losing results when a site goes down due to demand.

What’s more, Canalys reports that Google Cloud has also been hiring aggressively and forming partnerships with big systems integrators to help grow the retail business. Retail customers include Home Depot, Kohl’s, Costco and Best Buy.

17 Aug 2020

SUSE contributes EiriniX to the Cloud Foundry Foundation

SUSE today announced that it has contributed EiriniX, a framework for building extensions for Eirini, a technology that brings support for Kubernetes-based container orchestration to the Cloud Foundry platform-as-a-service project.

About a year ago, SUSE also contributed the KubeCF project to the foundation, which itself allows the Cloud Foundry Application Runtime — the core of Cloud Foundry — to run on top of Kubernetes.

Image Credits: SUSE

“At SUSE we are developing upstream first as much as possible,” said Thomas Di Giacomo, president of Engineering and Innovation at SUSE. “So, after experiencing the value of contributing KubeCF to the Foundation earlier this year, we decided it would be beneficial to both the Cloud Foundry community and the EiriniX team to do it again. We have seen an uptick in contributions to and usage of KubeCF since it became a Foundation project, indicating that more organizations are investing developer time into the upstream. Contributing EiriniX to the Foundation is a surefire way to get the broader community involved.”

SUSE first demonstrated EiriniX a year ago. The tool implements features like the ability to SSH into a container and debug it, for example, or to use alternative logging solutions for KubeCF.

“There is significant value in contributing this project to the Foundation, as it ensures that other project teams looking for a similar solution to creating Extensions around Eirini will not reinvent the wheel,” said Chip Childers, executive director, Cloud Foundry Foundation. “Now that EiriniX exists within the Foundation, developers can take full advantage of its library of add-ons to Eirini and modify core features of Cloud Foundry. I’m excited to see all of the use cases for this project that have not yet been invented.” 

17 Aug 2020

Founders can raise funding before launching a product

It’s possible to raise VC funding even if you haven’t built a real product, according to Charles Hudson, founder and managing partner at seed-stage firm Precursor Ventures. It’s just very, very difficult.

I interviewed Hudson during TechCrunch Early Stage, our virtual event for startup founders. He gave a short talk titled “How to sell an idea when you don’t have a product,” then answered questions from me and from attendees watching at home.

Hudson said Precursor invests in about 25 startups every year and that a majority are pre-launch and pre-traction. So when he’s considering startups where there “isn’t any evidence or traction,” he and other investors are basically considering two things: How well the founder knows the industry, and how well the investors know the founder.

Of course, if you’ve already had success and you know everyone on Sand Hill Road, it might not be that hard to get that first check. But what about everyone else?

Below, I’ve quoted some highlights from Hudson’s thoughts about how to raise money pre-product. You can also watch the full presentation/conversation at the end of this post.

‘You need to have a unique and durable insight that will still be true in 12 to 18 months’

You need to have a unique and durable insight that will still be true in 12 to 18 months … The unique part is important because you still haven’t launched your product yet. And so whatever it is that you’re doing, if it’s not unique, if it’s a really obvious insight, you’ll probably have 10 or 12 competitors that are launched in the market by the time you get your product out.

17 Aug 2020

US Commerce Department updates rules to further limit Huawei’s chip access

The United States Department of Commerce this morning issued updates to a list of rules designed to restrict Huawei’s access to U.S.-based technology. The new restrictions follow a similar decree announced in May, finding the government department engaged in a game of international whack-a-mole as it looks to cut off the Chinese hardware giant’s access entirely.

“It amends our May rule and goes at the problem of Huawei trying to backfill it,” a Commerce Department official said, following the announcement. Specifically the new rules attempt to address a kind of loophole wherein Huawei was able to do business with third-parties designing chips based on technologies originating in the United States. The specific rule will arrive later today, but the move is a clear attempt to cut off Huawei from access to semiconductors — a goal Department is making no bones about.

“Huawei and its foreign affiliates have extended their efforts to obtain advanced semiconductors developed or produced from U.S. software and technology in order to fulfill the policy objectives of the Chinese Communist Party,” Commerce Secretary Wilbur Ross said rather pointedly in a statement issued this morning. “As we have restricted its access to U.S. technology, Huawei and its affiliates have worked through third parties to harness U.S. technology in a manner that undermines U.S. national security and foreign policy interests. This multi-pronged action demonstrates our continuing commitment to impede Huawei’s ability to do so.”

U.S. Secretary of State Mike Pompeo also refused to mince words in his own statement, which referred to the smartphone maker as “an arm of the Chinese Communist Party’s (CCP’s) surveillance state” and accusing it of “continuously [trying] to evade” U.S. rules.

“We will not tolerate efforts by the CCP to undermine the privacy of our citizens, our businesses’ intellectual property, or the integrity of next-generation networks worldwide,” Pompeo wrote. “We are backing up our words with actions across the U.S. Government. The Department of Justice has indicted Huawei for stealing U.S. technology, conspiracy, wire fraud, bank fraud, racketeering, and helping Iran to evade sanctions, amongst other charges.”

Huawei has yet to comment on these new regulations, but the company has consistently denied charges of spying and direct ties to the Chinese government. While it has long been a source of scrutiny for the U.S., actions against the company have greatly intensified under the Trump administration.

This latest round of rules adds to the ever-growing Entity List an additional 38 Huawei-affiliated parties from 21 countries. In an interview with Fox Business, Ross acknowledged Huawei’s continued maneuvers following the May rule, pertaining to both hardware and software — the latter likely a reference to Android and other Google-produced apps.

The rules “led them to do some evasive measures,” Ross told the business channel. “They were going through third parties. The new rule makes it clear that any use of American software or American fabrication equipment is banned and requires a license.”

17 Aug 2020

Hear how to scale to $100M ARR at Disrupt 2020

At Disrupt this year TechCrunch is digging into the $100 million annual recurring revenue (ARR) threshold. To help us explore the software revenue milestone, we’re bringing a number of CEOs that have already reached it: Egnyte’s Vineet Jain, GitLab’s Sid Sijbrandij, and Kaltura’s Michal Tsur.

Join us on the Extra Crunch stage to hear this session along with several other sessions around how founders can navigate the choppy startup waters. You can snag a ticket here.

The modern software world, often called software as a service, or SaaS, operates against a well-defined set of inflection points. These include $1 million ARR, a key moment for startups looking to raise their first Series-define round of capital, the $10 million ARR mark, at which point the same companies become hard to kill, and $100 million ARR, at which point startups can start to prep for a public offering, or regular, large capital raises from private investors.

It’s that last milestone that we want to explore. With three executives from companies that we’ve included in our series on $100 million ARR companies, we’ll dig into what they had to learn the hard way as they grew to material business scale, what went well, and what they might be able to share to startups that aspire to a similar level of success.

That we’ll be hosting the conversation during a mini-IPO wave will make it all the more exciting; these three business leaders will certainly have at least one eye on the public markets. And as we’ll have the chat in the shadow of COVID-19, we’ll learn about how the highly-valued private companies have had to adapt to a changed economic environment, and working setup.

We’ll lean into lessons, learnings, and other operational questions with the CEO of Egnyte, an enterprise content and management service provider, the CEO of GitLab, a devops company that has long had a distributed-employee model that is incredibly pertinent to the current moment, and president of Kaltura, a software company that powers online video for other companies.

Since TechCrunch started compiling a list of companies that had either reached $100 million ARR, or were on their way, we’ve collected dozens of firms to the list. The three we’re talking to are among the most interesting. At a minimum the conversation should be an interesting look into the next set of leaders in the software, and startup space. See you there.

You can read our entries from the $100 million ARR series on each firm below:

Disrupt is happening for 5 action packed days — September 14-18 — and if you want to partake in this session (or any other session on the Extra Crunch stage), you’ll need to get your Digital Pro Pass for just $345 for a limited time. Or if you are a founder, showcase your startup in Digital Startup Alley for just $445 for you PLUS another member of your team. Get your pass today!