Year: 2020

13 Aug 2020

Moka, the HR tool for Arm and Shopee in China, closes $43M Series B

Investors are betting on the automation of human resources management in China. We reported last year that Moka, one of the key players in the space, secured roughly $27 million for its Series B led by Hillhouse Capital. This week, the startup announced closing a Series B+ at over 100 million yuan ($14.4 million), lifting its total raise for the B round to 300 million yuan ($43.2 million).

The startup declined to disclose its investors in the latest round, saying the proceeds will go towards recruitment, product innovation and business expansion. GGV Capital invested in its Series A round.

Chinese investors have in recent years shifted more attention to enterprise-facing products as the consumer tech market becomes crammed. Moka makes software to aid HR managers’ day-to-day operations, from posting job openings, discovering potential candidates, to managing current staff. For instance, Moka will alert the HR manager when employees update their resumes, a sign that they could be sniffing out new opportunities.

Moka’s newly appointed CEO Li Guoxing, a former engineer at Facebook

As the new round closed, Moka also appointed its co-founder Li Guoxing as its new chief executive officer. The five-year-old Beijing-based startup was founded by Li, a Facebook veteran, and Zhao Oulun, who was previously the CEO of the company. Zhao worked at the car-sharing service Turo in San Francisco before returning to China.

The new CEO claimed that Moka acquires users at two-third of the industry average cost, with subscription renewal rate for its software-as-a-service hovering above 100%. “The future of business competition definitely lies in the fight for talent,” he said. “So hiring will surely become a company strategy in the future.”

As of June, Moka had accumulated over 700 paid clients, from tech giants like Xiaomi, Didi, Arm China, Shopee, Alibaba, to fast-food giants Burger King and McDonald’s. Its team of 300 staff operates out of five major cities in China.

13 Aug 2020

How China’s ACRCloud detects copyrighted music in short videos

Music is front and center in the rise of TikTok and other short-video apps. It’s not just the video platforms that are harvesting the fruit of their surging popularity. Music rights holders are also prepared to extract money from the millions of songs found in snappy user-generated videos.

To detect copyrighted content, record labels and publishers summon a technology called audio fingerprinting, a tool pioneered by now Apple-owned Shazam. ACRCloud, a five-year-old startup based in Beijing and Düsseldorf, competes with the likes of Audible Magic and Nielsen-owned Gracenote to provide that service. It can quickly match a target song’s “fingerprint” or ID — key acoustic features like the tempo and tones of a piece — with a reference database of millions of tracks.

The audio fingerprint, or digital summary of an audio signal (Source: ACRCloud)

ACRCloud helps monitor copyright usage for some of the largest music labels in the West, names of which the company cannot disclose because the partnerships are confidential. The record labels apply the startup’s automated content recognition (hence its name ACRCloud) algorithms to monitor works present in radio and TV programs, user-generated content on platforms like YouTube and TikTok, or whichever service that should be paying the copyright holders.

It’s not just the publishers and labels that keep tabs on their intellectual property. For compliance purposes, broadcasters and UGC services also proactively track the music that gets played through their channels.

In the nascent short-video industry, big labels normally charge an astronomical flat fee from UGC platforms, ACRCloud co-founder Tony Li said, and the rate is often disproportionately larger than the cost of actual usage. To cut down expenses, several major Chinese short video apps recently began using ACRCloud’s acoustic algorithms to log what tunes users insert in their videos.

On the other hand, many small copyright holders and labels hardly earn any royalties because they lack a system that can automatically match music usage to royalties.

That’s where content identification can play a role. “UGC platforms use an audio fingerprinting service to generate royalty reports, making music usage more transparent to both UGC platforms and rights owners,” Li told TechCrunch.

UGC services can face huge fines if they are found plagiarizing. Earlier this year, a group of music publishers and songwriters reportedly threatened to sue TikTok over copyright infringement. It’s unsurprising to see TikTok’s parent company ByteDance doubling down on music licensing and even developing its own artists to be less dependent on big labels.

The other obvious use case of acoustic fingerprinting is song recognition, a technology pioneered by Shazam, where Li worked from 2012 to 2014 to help the company expand to China. Phone makers like Huawei, Xiaomi and Vivo have integrated ACRCloud’s music recognition technology into their devices.

Li has always been in the space of audio technology. Aside from his stint with Shazam in China, the entrepreneur also previously worked on Huawei’s ringtone business in African markets. Li has never raised outside funding for ACRCloud and has kept the team small, with only 10 employees.

12 Aug 2020

ByteDance in talks with India’s Reliance for investment in TikTok

Chinese giant ByteDance is engaging with India’s Reliance Industries Limited, the parent firm of telecom giant Jio Platforms, for investment in TikTok’s India operations in a move to potentially save the short form video app’s fate in its biggest market by users, two people familiar with the matter told TechCrunch.

The two companies began conversations late last month and have yet to reach a deal, the sources said. TikTok’s business in India, where it had amassed over 200 million users before it was banned in late June, is being valued at more than $3 billion, one of the sources said. ByteDance did not respond to a request for comment.

An investment in TikTok could help the oil-to-retails giant Reliance, the most valuable firm in India, make deeper connections with consumers. Even as Jio Platforms has amassed nearly 400 million users in India in the less than four years, its consumer-facing apps have struggled to replicate that appeal.

Since late April this year, Indian giant’s digital venture has raised about $20 billion from 13 high-profile investors including Facebook and Google.

The preliminary talks between the two companies comes as ByteDance struggles to retain employees in the country. A handful of high-level executives at the company including a policy head and Helo’s India head have left the company in recent weeks.

This is a developing story…

12 Aug 2020

Minted.com CEO Mariam Naficy shares ‘the biggest surprise about entrepreneurship’

At TechCrunch Early Stage, Minted CEO and serial founder Mariam Naficy got into the weeds with us on some of the topics founders don’t often discuss. What’s the difference between expectations and reality when it comes to entrepreneurialism? How do you split responsibilities between co-founders? What’s the key to being great at hiring?

We also talked about some of the harder parts of being a leader, including how to handle layoffs and what to do with an employee who likes to rock the boat.

Minted is an e-commerce platform that connects indie designers with customers for products like stationary, art and home goods. The company has raised nearly $300 million and generates hundreds of millions in revenue. And it’s not Naficy’s first stint as a founder: she previously co-founded Eve, which she eventually sold for $100 million+, according to reports.

We covered a lot of ground in the interview, including some questions from the audience, which you can check out in the video below. You’ll also find a lightly edited transcript of the conversation.

The most surprising part of being an entrepreneur

I didn’t realize what was, I think, one of the biggest differences, which is how much, if you are successful, you become a leader of people, whether you are a reluctant leader of people or an enthusiastic leader of people. If you’re successful, your company will inevitably grow and you end up, believe it or not, being a role model for people. People actually look at you and they emulate your behavior and that is not something that I expected.

I thought I was just going to be making products and selling products. I just didn’t think that it was gonna be such a people job — a management job, a talent development job, a leadership job — and that people would care when you walked in the building every day whether you said hello to them in the morning. They would actually notice whether you said “hi” or not to them at the coffee bar when you’re half asleep. What you do every minute actually matters. Every minute of the day. So I think that’s probably the biggest surprise about entrepreneurship.

Being a sole founder versus starting out with a co-founder

12 Aug 2020

Daily Crunch: Uber CEO says CA shutdown may be necessary

Uber’s CEO pushes back against a potential reclassification of drivers, a former COO sues Pinterest and Microsoft reveals details about the Surface Duo. This is your Daily Crunch for August 12, 2020.

The big story: Uber CEO says CA shutdown could be necessary

Uber CEO Dara Khosrowshahi appeared on MSNBC today and claimed that if a recent California court ruling reclassifying drivers as full-time employees is not overturned, the company might have to suspend services in that state for several months.

“It’s hard to believe we’ll be able to switch our model to full-time employment quickly,” Khosrowshahi said.

In a recent New York Times op-ed, the chief executive argued that making drivers full-time employees would make things worse for both drivers and riders. Instead, he advocated for other legislative solutions like requiring gig economy companies to create benefits funds for their workers.

The tech giants

Former COO sues Pinterest, accusing it of gender discrimination, retaliation and wrongful termination — Françoise Brougher, who says she was abruptly fired from the company in April, is suing the company to hold it “accountable for discrimination, retaliation, and wrongful termination in violation of the Fair Employment and Housing Act (FEHA), and the Labor Code.”

Microsoft’s dual-screen Surface Duo arrives September 10 for $1,399 — Microsoft’s dual-screen mobile device took an important step closer to reality, with a release date and price.

Square’s Cash App tests new feature allowing users to borrow up to $200 — You’ll be expected to pay the loan back in four weeks, along with a flat fee of 5%.

Startups, funding and venture capital

Court dismisses Genius lawsuit over lyrics-scraping by Google — The lawsuit, filed in December, accused Google of violating Genius’s terms of use and unjustly enriching itself by scraping lyrics on the site to be displayed on searches for songs.

Gong raises another $200M on $2.2B valuation — Gong CEO Amit Bendov says his company is trying to create a category he described as “revenue intelligence.”

Personal training sessions come to ClassPass — These personal training sessions will be virtual and follow the same UX flow as ClassPass’s recently introduced virtual classes.

Advice and analysis from Extra Crunch

Does ??? illustrate the power of meme culture in fundraising? — The cryptic effort was a statement on how FOMO and hype culture dominate venture capital conversation.

Dear Sophie: How can we sponsor H-1B transfers and extensions? — A startup asks about job applicants who need to get their H-1B visas renewed.

(Reminder: Extra Crunch is our subscription membership program, which aims to democratize information about startups. You can sign up here.)

Everything else

Sarah Cooper, known for her impressions of Donald Trump on TikTok, just landed a Netflix deal — Titled “Sarah Cooper: Everything’s Fine,” the production will be directed by Natasha Lyonne and executive produced by the Maya Rudolph.

Save with group discounts to TC Sessions: Mobility 2020 — If you’re tech-obsessed about the future of moving people, products and packages around the world, you do not want to miss TC Sessions: Mobility 2020 on October 6-7.

The Daily Crunch is TechCrunch’s roundup of our biggest and most important stories. If you’d like to get this delivered to your inbox every day at around 3pm Pacific, you can subscribe here.

12 Aug 2020

Digitizing Burning Man

For decades, Burning Man has represented an escape from the current reality. An event for free-er spirits to rethink new age ideals inside a stateless entity where art, music and partying reign supreme on the desert plains.

Over the years, the Bay Area-founded event has dealt with an internal clash as the gathering has grown larger and attracted a heavy presence from Silicon Valley’s wealthy tech class, with tales of turnkey experiences, air-conditioned camps, helicopters and lobster dinners. Now, under the shadow of a historic pandemic, the organization behind the massive, iconic event is desperately working to stick to its roots while avoiding financial ruin as it pivots the 2020 festival to a digital format with the pro bono help of some of its tech industry attendees.

With just a few weeks before the event is set to kick off, the organization is bringing together a group of technologists with backgrounds in virtual reality, blockchain, hypnotism and immersive theatre to create a web of hacked-together social products that they hope will capture the atmosphere of Burning Man.

Going virtual is an unprecedented move for an event that’s mere existence already seems to defy precedent.

Burning Man is held in late August every year inside Nevada’s Black Rock Desert. For nine days, the attendees, who refer to themselves as Burners, fill up the desolate landscape with massive art installations, stages and camps. Attendance has been climbing over the past several decades, to the point that the federal government got involved, creating a more than 170-page report arguing why the event’s attendance should be capped. More than 78,000 people attended in 2019.

It’s an escape from society in a shared social experience that doesn’t seem to be replicable elsewhere.

The Multiverse

Steven Blumenfeld became the CTO of Burning Man days before the org’s leaders publicly announced that, due to the COVID-19 pandemic, the physical event was being abruptly canceled and the team was going all-in on a virtual gathering. Though the serial CTO expected the position to largely involve crusty tasks maintaining the event’s media infrastructure, he soon was pressed to rethink the front-end of a sprawling event that’s decades old and steeped in lore.

“My first inclination is, ‘Great! Let’s go build a big 3D VR world blah blah blah… So then I spent the first two weeks looking at what I had for staff, what I had for time frame, and what we could actually do,” Blumenfeld says. “There was just no way. And you know, I actually still wanted to do it. I wanted a challenge… but the reality was it just wasn’t going to happen.”

Burning Man is a massive undertaking, with a particularly deep emotional hold inside San Francisco, where it was first held in 1986, and by extension Silicon Valley. It isn’t all that surprising that when the Burning Man Project announced the event was making the move to a digital format, there was a rapid influx of community input to help decipher what an on-the-grid virtual Burning Man might look like.

“We had 14,000 people tell us they wanted to contribute in some way to a virtual Black Rock City,” said Kim Cook, the org’s director of art and civic engagement. “Some of them said what they wanted to contribute was love; so that’s cool. We also had around a thousand of them say they wanted to do developer-type work.”

Some of the groups that reached out to the Burning Man Project were companies that were willing to build a Burning Man experience but wanted official branding present. Despite a precarious financial position, Burning Man’s organizers declined help from these sponsors, citing the org’s adherence to “de-commodification” — a desire to prevent corporate infiltration of the event, eschewing advertising, branded stages and corporate partnerships.

Turning away from the professional studios, Blumenfeld and others settled on a network of small indie teams filled with Burners that were willing to develop the official digital experiences for the event on their own time.

A new moment for social networking

Eight projects eventually emerged as official “recognized universes,” each taking drastically different approaches to what a virtual Burning Man should look like. While some focus their efforts on virtual reality, others add social layers to video chat or build 3D environments on top of existing platforms like Second Life or Microsoft’s AltspaceVR .

During the pandemic, revamped developer conferences and trade shows have been able to port keynote addresses or panels to a Zoom format fairly seamlessly, but there are plenty of elements of the Burning Man experience that the teams involved realize might be impossible to replicate with online platforms. The developers creating the event’s virtual worlds are determined to rethink the conventions of online social networking to ensure that Burners make new friends this year.

“The sense of awe and scale is tricky,” says Ed Cooke, who is building one of the official apps. “One way of explaining Burning Man is that it’s a state of mind that you access as a side effect of all the things that happen on the way there.”

Cooke, a London startup founder who also boasts the title of Grand Memory Master, earned for — among other things — memorizing the order of 10 decks of cards in less than an hour, has been building SparkleVerse with his friend Chris Adams, whose daytime gig is as a senior software manager at Airbnb.

Their web app, which pairs a 2D map interface with video chat windows, is primarily focused on advancing how shared context can facilitate and better frame social relationships.

Amid quarantine, the pair tells TechCrunch they have been creating deeply complicated video chat parties for their friends. One example is a moon-themed party where they created a clickable map of the lunar surface that guided the 200 attendees through 16 separate virtual spaces with their own themes. Before the party kicked off, the hosts walked people through the “experience of traveling to the moon” by guiding them through the effects of zero gravity and instructing them to play along with experiencing it. Another hot tub-themed party invited guests to jump into their bath tub before firing up Zoom.

Cooke and Adams are leaning on some of these mechanics to create a Burning Man theme, hoping that taking cues from immersive theatre will enable people to commit more deeply to the experience. The acts of driving, losing your phone connection and growing tired and hungry on the way to the physical event add to a “spaciousness in your consciousness” that allows people to act more freely, Cooke says. He wants participants to replicate these experiences by taking steps outside their normal life in the run-up to the event, whether that’s sitting through an obscenely long video chat session to simulate a drive to the desert or setting up a tent in their living room, or cutting off their water line and avoiding showers during the nine days.

“All of this is embedding you further and further into this distant context, miles away from your normal life, where effectively in the course of this, you’re just becoming a radically less boring person,” Cooke explains in a nine-minute video outlining the platform.

Many of the apps are building on the idea of how spatial interfaces can feed greater social context and make it easier to approach people and make new friends.

Another official app, Build-a-Burn, takes the idea of a stylized 2D interface for video chat even further with a sketched-out grayscale map of Black Rock City that users can navigate little stick figures across. As a user moves through different camps and their avatars get physically close to each other, new video chat screens fade in and users can gain the experience of venturing into a new social bubble.

A screenshot of Build-a-Burn

While Build-a-Burn and SparkleVerse are leaning more heavily on video chat, other experiences hope that creating massive 3D landscapes that match the scale of the real-world event will help people get into the spirit of the event.

Other than Burn2, which is wholly contained within the Second Life platform, most of the 3D-centric apps integrate some level of virtual reality support. Projects that support VR headsets include The Infinite Playa, The Bridge Experience, MysticVerse, BRCvr (which taps into Microsoft’s AltspaceVR platform) and Multiverse.

Each of the VR experiences will also allow users to join on mobile or desktop, an effort to ensure that the apps are more widely accessible.


Over on Extra Crunch, read about how a new generation of chat apps are leaning on game-like interfaces


Multiverse creator Faryar Ghazanfari, who runs an AR startup and previously worked on Tesla’s legal team, says that the motivations for building his app were a bit on the selfish side, telling TechCrunch that he became “extremely sad” after the physical event’s cancellation and felt the need to help build a place where he could reunite with his own camp.

Screenshot from a demo of Multiverse.

Ghazanfari tells TechCrunch he feels a responsibility in creating the environment that other Burners will experience; he says his chief concern is capturing the event’s complexity. Compared to the other apps, Multiverse focuses primarily on providing a photorealistic 3D playground where avatars can zoom around.

“As Burners, we don’t think of Burning Man as just a music festival or art festival; it is much more than that. Burning Man is a social experiment of creating a community out of a shared struggle,” Ghazanfari says.

Each of the Burning Man-approved apps seem to engage with evoking that shared struggle differently, which appears to be the most looming challenge of moving this event to a virtual format. While the apps hope to bring elements of the physical event into their virtual spaces, the creators also seem to realize that aiming to compete with attendees’ past memories is unwise. It’s a challenge that has been faced by dozens of startups in the virtual reality space over the past several years.

“I think the main challenge is taking something that exists in reality and then porting it into a different platform,” said Adam Arrigo, CEO of Wave, a venture-backed startup that initially launched a VR app for music concerts but has since shifted focus to mobile and desktop experiences. “When you’re in these digital spaces, the agency that you have as a user and the experiences you can create are so different than something that could exist, even at a concert.”

Financial uncertainty

Perhaps the biggest unknown, as the organization readies for Burning Man’s August 30 start date, is that nobody really has any idea how many people are going to show up. While Blumenfeld pointed me to suggestions the entire digital event could attract up to 30,000 people over its nine-day run, Ghazanfari hopes that hundreds of thousands or millions of users will come into the fold of his experience.

Another point of contention internally is how exactly the groups plan to monetize these digital experiences.

In 2020, the standard ticket price for Burning Man was $475. The organization postponed the “main sale” of tickets prior to this year’s physical event’s cancellation, but they had already sold tens of thousands of tickets. Ticket holders will have the option of being refunded, but the organization has encouraged those who “have the means” to consider making a full or partial donation of the ticket price instead.

In 2018, Burning Man cost $44 million for the organization to produce, according to tax documents. The Burning Man Project reported about $43 million in ticket sales from that event, with other donations and revenue streams bringing the nonprofit’s total revenue for that fiscal year to about $46 million. In a blog post, the event’s organizers noted that though the group had event insurance, they were not covered for a cancellation caused by a pandemic. Burning Man Project says it has $10 million in cash reserves, but that it anticipates draining through that funding by the end of the year to stay afloat. The organization is listed as having received a loan from the federal government’s Paycheck Protection Program for between $2-5 million.

While some like Ghazanfari are pushing to make their experiences free to access with the option of giving a donation later, others expressed desire for a single digital ticket that would give attendees access to all eight digital experiences. Cooke says users will need to pay a $50 entrance fee to access the SparkleVerse.

The disparate nature of the experience being built this year — with some being shipped as native apps, others in HTML5 and others inside existing tech platforms — meant that a unified ticketing platform just wouldn’t work, Blumenfeld told TechCrunch. Not all of the developers were thrilled with this outcome, which they fear could fracture attendance at events on certain platforms. The biggest concern seemed to be ensuring that all of this effort pays off in some way for the organization so that they can continue to host the Burning Man event post-pandemic.

“One of the biggest reasons we’re all doing this is to help Burning Man survive, because the Burning Man organization unfortunately was really badly hit because of COVID,” Ghazanfari says. “The organization is in kind of a precarious situation financially.”

The organization has attracted criticism in recent years for the event’s inclusiveness. Some of the developers acknowledge that planning for a nine-day trip to the middle of the desert can be daunting and prohibitively expensive for people that want to join the community, and they hope that this year’s shift to a digital format will open up the event to more people and that these apps can be a less intimidating way for skeptics to get a taste of the community.

Thinking of the future

None of the developers behind the digital experiences are being paid for their efforts building these apps. However, the Burning Man Project has given at least some of them perpetual licenses to continue operating these digital platforms with the Burning Man name and an option to monetize, though a percentage of proceeds will be kicked back to the organization.

While getting this event across the finish line by the end of the month is daunting enough, the Burning Man Project is also trying to consider how its rapid learnings will apply to next year, though they hope that the physical event returns for 2021.

Blumenfeld says he plans to spend the next year working on the background infrastructure so that items like gating and ticketing functions for a virtual Burning Man can all be centralized.

While having eight distinct experiences this year could complicate the goal of getting one big group together, developers concerned about troubleshooting their new apps or having a sudden influx of virtual Burners overwhelm their infrastructures view multiple entry points to the festival as a necessary logistical move. Organizers hope the diversity of options will keep things interesting for attendees.

“I think we’ve got a good mix, and part of it is, we want to learn,” Blumenfeld says. “What we’re trying very hard to avoid is being in Zoom meeting hell.”

Whether users are connecting via video chat or as avatars inside a large virtual world, the developers building Burning Man’s virtual experiences believe they are operating on the cutting edge of virtual interaction and that they are rethinking elements of modern social networking to create a virtual Burning Man where people will be able to form new social bonds.

“I’ve fallen in love with this idea that at some point in the future, some Ph.D. student in 300 years time is going to write a thesis on the first online Burning Man, because it does feel like an extraordinary moment of avant garde imagineering for what the future of human online interaction looks like,” Cooke tells TechCrunch.

12 Aug 2020

Labster lands new cash to bring its virtual reality science lab software to Asia

You could Zoom call into your science class, or you could conduct a lab experiment in virtual reality. During the coronavirus pandemic, the latter has never felt more full of potential.

The global need for learning solutions beyond Zoom is precisely why Labster, a Copenhagen-based startup that helps individuals engage in STEM lab scenarios using virtual reality, is growing rapidly. Since March, the usage of Labster’s VR product has increased 15X.

On the heels of this unprecedented momentum, Labster joins a chorus of edtech startups raising right now, and announced it has brought on $9 million in equity venture funding. The round was led by GGV, with participation from existing investors Owl Ventures, Balderton and Northzone.

“COVID-19 has been a great awareness builder of Labster, opening teachers’ eyes to the good sides of online learning as opposed to Zoom-only learning, which is largely failing,” CEO and co-founder Michael Jensen told TechCrunch.

Labster sells its e-learning solution to support and enhance in-person courses. Based on the subscription an institution chooses, participants can get differing degrees of access to a virtual laboratory. Imagine a range of experiments, from understanding bacterial growth and isolation to exploring the biodiversity of an exoplanet. Along with each simulation, Labster offers 3D animations for certain concepts, re-plays of simulations, quiz questions and a virtual learning assistant.

Photo credit: Labster.

While the majority of Labster’s customers are private institutions, the company landed a deal with all of California’s community colleges during the pandemic. The partnership added 2.1 million students to Labster’s customer base, which Jensen said has been bolstered by a broader growth in annual license deals and partnerships.

With GGV on board, Labster is looking to strengthen position in Asia. Breaking into new markets often requires a strategic investor with eyes on the ground on how that market works, thinks and, most importantly, learns. Asian markets are specifically lucrative for edtech companies because consumer spend is higher compared to the North American market.

Jenny Lee, a Shanghai-based partner with GGV, will take a board seat at Labster.

Lee has expressed interest in how automation, virtual and AI-based teachers can help bridge the gap between K-12 markets and lack of good-quality teachers everywhere.

Jensen said that the capital will also be used to bolster the company’s mobile offering, since Asian markets have high mobile usage compared to North American and European markets.

The round is significantly smaller than Labster’s previous $21 million Series B, closed in April of 2019. And it contrasts sharply to the momentum that has benefited edtech companies like MasterClass, Coursera and, reportedly, Udemy into raising nine-figure rounds.

So naturally, I asked Jensen: why the conservative raise?

Jensen says that the $9 million check was a strategic growth check to bring on GGV (all existing investors in Labster also participated in the round). Since being founded in 2012, the company has been relatively conservative in raising cash. To date, inclusive of this round, Labster has raised $40 million in venture capital.

He argues the new money, thus, is offensive capital instead of defensive capital. It’s a strategic check to open a global door.

This isn’t the first time an edtech company has raised a smaller round than expected during the coronavirus pandemic. In April, edtech unicorn Duolingo raised a short $10 million to expand into Asia and bring on General Atlantic as an investor to expand into global markets.

Duolingo, however, is cash-flow positive. Jensen did not comment on if Labster has turned a profit, but adds that it was a “significant up round” that brought the company’s valuation to above $100 million.

“Our primary objectives continue to be rapid growth and global impact, not profits,” he told TechCrunch.

12 Aug 2020

Lyft shares get small bump after reporting 61% Q2 revenue decline

Today after the bell, Lyft reported its second-quarter financial performance. The American ride-hailing company’s results helped illustrate just how much the economy has changed in the wake of COVID-19 and its resulting disruptions to life, travel and work.

Uber’s own results, which were shared last week, provided hints of what was coming for Lyft. The upshot: a sharply reduced ride-hailing business.

In the second quarter, Lyft reported revenue of $339.3 million and earnings per share of negative $1.41. Analysts had anticipated the company reporting revenues of $336.77 million, and a per-share loss of $0.99, according to Yahoo Finance averages.

In after-hours trading, the company’s shares are up more than 4%.

Compared to its year-ago results, Lyft’s quarter was a mess. Revenue fell from $867.3 million, or 61%, in the quarter, and its adjusted net loss in Q2 came to $265.8 million, worse than its year-ago adjusted net loss of $197.3 million. Adjusted EBITDA slipped from a $204.1 million loss in Q2 2019 to a deficit of $280.3 million in the company’s most recent quarter.

Notably, Lyft did improve its GAAP net loss compared to the year-ago period, though the company has stressed other profitability metrics in recent quarters.

Why are Lyft shares higher in after-hours trading? Because investors knew that Lyft’s quarter was a write-off. What they were looking for instead was a return-to-form, and a note on how much cash the company had on hand at the end of the period. Up top, Lyft answered both questions, saying that it wrapped Q2 with “with $2.8 billion of unrestricted cash, cash equivalents and short-term investments,” and that “monthly rideshare rides in July were up 78% compared to April.”

That’s enough for the company to get a jolt from the public markets, despite Lyft’s operating cash flow for the first two quarters of 2020 coming to a stunning -$958.6 million.

This is a developing story, more in a moment.

12 Aug 2020

Sarah Cooper — known for her impressions of Donald Trump on TikTok — just landed a Netflix deal

For writer-comedian Sarah Cooper, the pandemic hasn’t been so terrible. In fact, by making the best of a terrible situation — in this case, opening a TikTok account earlier this year, and proceeding to lip sync to the often-bizarre ramblings of Donald Trump — she has become an outlet for a country that has often found itself asking while watching a Trump presser: “Is this real, what I’m seeing?”

Now, in addition to the millions of online followers she has amassed since March, Cooper — a Jamaican American who once worked at Google — has landed a Netflix comedy special.

Titled “Sarah Cooper: Everything’s Fine,” the writer and producer Natasha Lyonne is set to direct the production, and it will be executive produced by the comic-actor Maya Rudolph (who will herself be increasingly busy, reprising her role on “Saturday Night Live” as Senator Kamala Harris).

It’s just the latest — and biggest — feather in the cap of Cooper, who lives in New York with a husband whom she has kiddingly described as running out of patience with her Trump schtick. He “has to hear Donald Trump’s voice over and over again,” as she told Vanity Fair this summer. “I think he’s probably going to jump out the window at some point.”

Cooper also recently signed with the talent agency WME, appeared on “The Tonight Show” with Jimmy Fallon in June, and yesterday, even guest-hosted the storied show.

According to that VF interview, Cooper’s other TV ambitions include writing a show about an overly confident boss who “fucks up all over the place and still somehow fails up.”

It isn’t clear if this Netflix special scratches that itch, but no doubt plenty of Trump detractors — and some supporters — will be keeping an eye out to see what it does feature.

Netflix isn’t sharing much yet, but it says the production will be a variety special whose various vignettes deal “with issues of politics, race, gender, class, and other light subjects.”

12 Aug 2020

India’s first private space launch startup Skyroot succeeds with upper stage engine fire test

The private space launch industry has expanded significantly since the debut of SpaceX, but some markets, like India, are just now getting the regulatory support to clear the way for private players to participate. Now that those barriers are coming down, however, private launch startup Skyroot is leaping ahead on its way to becoming the first private space launch vehicle maker in the country, making significant technical progress with a new, successful upper stage engine burn test.

Skyroot was founded two years ago by a team that includes rocket engineers who previously worked at the Indian Space Research Organization (ISRO), including CEO and co-founder Pawan Kumar Chandana. The startup has raised $4.3 million to date, including from space and defence contractor Solar Industries, and it’s currently going through the funding process again in hopes of securing another $15 million by 2021.

On the technical side, Skyroot is currently focused on developing its very first launch vehicle, the ‘Vikram-I,” which is in the process of being manufactured and is on track for its first launch sometime around December 2021. This successful test fire of the upper stage engine, which is nickname ‘Raman’ after Indian physicist and Nobel prize winner C.V. Raman, is an important step in validating this key component, which will handle the final insertion of any payload satellites into their target orbit once Vikram-I is operational.

This is also a key step for Skyroot’s overall rocket building technology, since it represents full qualification of its 3D-printed propellant injector, which the company says reduces the mass of the engine by 50 percent, and drops the components required in its construction, as well as its lead time for manufacturing by 80 percent.

Next up for Skyroot are test fires of two full stages of its rocket under development, to take place over the course of the next six months. The company is also concurrently already at work on Vikram-2 and Vikram-3, next-generation launch vehicles that are set to follow in terms of availability sometime around 2022-2023, and offer cost-competitiveness with existing, larger rideshare rockets already available form private companies including SpaceX .