Author: azeeadmin

U.S. pharmaceutical giant ExecuPharm has become the latest victim of data-stealing ransomware.

ExecuPharm said in a letter to the Vermont attorney general’s office that it was hit by a ransomware attack on March 13, and warned that Social Security numbers, financial information, driver’s licenses and passport numbers, and other sensitive data may have been accessed.

But TechCrunch has now learned that the ransomware group behind the attack has published the data stolen from the company’s servers.

It’s an increasingly popular tactic used by ransomware groups, which not only encrypts a victim’s files but also exfiltrates the data and threatens to publish the data if a ransom isn’t paid. This new technique was first used by Maze, a ransomware group that first started hitting targets in December. Since then, a number of new and emerging groups, including DoppelPaymer and Sodinokibi have adopted the same approach.

The data was posted to a site on the dark web associated with the CLOP ransomware group. The site contains a vast cache of data, including thousands of emails, financial and accounting records, user documents and database backups, stolen from ExecuPharm’s systems.

When reached, a company executive confirmed to TechCrunch that CLOP was behind the attack.

“ExecuPharm immediately launched an investigation, alerted federal and local law enforcement authorities, retained leading cybersecurity firms to investigate the nature and scope of the incident, and notified all potentially impacted parties,” said ExecuPharm operations chief David Granese.

Since the outbreak of COVID-19, some of the ransomware groups have shown mercy on medical facilities that they have pledged not to attack during the pandemic. CLOP said it too would not attack hospitals, nursing homes or charities, but said ExecuPharm would not qualify, saying that commercial pharmaceutical companies “are the only ones who benefit from the current pandemic.”

Unlike some strains of ransomware, there is no known decryption tool for CLOP. Maastricht University found out the hard way after it was attacked last year. The Dutch university paid out close to $220,000 worth of cryptocurrency to decrypt its hundreds of servers.

The FBI has previously warned against paying the ransom.

Bluetooth-powered lost item finder Tile is expanding on its two-year old partnership with strategic investor Comcast to help customers find misplaced items around their home. The two companies had first announced their intention to partner in early 2018 and later that year introduced a way for Comcast users to locate lost items using their Xfinity X1 Voice Remote. Now, Comcast is adding more set-top boxes and xFi Gateways into the mix as access points.

The companies announced today that select Comcast X1 and Flex set-top boxes as well as xFi Gateways will be able to work as extensions to the Tile network. Specifically, this includes the newer Xfinity devices like the xFi Advanced Gateway, and Xi5, Xi6, and XG1v4 devices, Tile tells us.

What this means Comcast’s boxes can supplement or even take the place of the Tile mobile app in terms of being an access point used to look for a lost Tile device, when an item goes missing.

This could be useful for those who don’t have the Tile app installed on their phone, whose phone is not within easy reach or has run out of battery, as well as for those those who just want the added convenience of having another way to search for their lost item.

Previously, Comcast Xfinity customers could use their X1 voice remote to see a Tile’s last-known location on the screen. Now, not only can Comcast users ring their Tile directly, the Flex set-top boxes and xFi Gateways can also work as finding extenders in the home.

Tile devices themselves come in a variety of form factors, including keychain or luggage dongles like Mate and the more powerful Pro, a Slim device ideal for wallets, and Tile Sticker for anything else — like laptops, bikes, tools, cameras, and more. In the home, Tile devices are often used to find small items like car keys, purses, or even a child’s favorite toy that’s always getting misplaced.

Alongside the support for Comcast boxes, the companies also updated the existing X1 remote functionality to include a new feature to directly ring missing items. Now, customers can say things like “Xfinity Home, find my keys” to have the Tile make its distinctive ringing sound so the lost item can be found.

“The average person spends about 15 minutes a day looking for lost items,” said Tile CEO CJ Prober, in a statement about the expanded partnership with Comcast. “We’ve been working with Comcast to alleviate this daily disruption. By allowing Comcast Xfinity customers to use their xFI Gateways and X1 and Flex set-top boxes as finding extenders, the Tile network becomes stronger and ensures users will quickly and easily find lost or misplaced items, bringing convenience to their daily routine,” he said.

Tile claims to now locate some 6 million items daily across 195 countries worldwide, with a 90% success rate in finding lost items. To date, it has sold 26 million Tile devices.

However the company is preparing to face steep competition. Apple has effectively confirmed its plans to release a Tile competitor called Air Tags that are more deeply integrated into its iOS operating system and have special privileges that aren’t offered to third-party apps. Tile has gone on the offensive about Apple’s plans, arguing to Congress that Apple’s behavior is anti-competitive and needs regulation.

This month, Tile told a congressional panel that Apple has failed to live up to promises aimed at resolving their dispute, noting Apple did not reinstate the “Always Allow” background permission. This permission would allow Tile to compete on a more even playing field with Apple’s own “Find My” app, which doesn’t have to continually remind users that it’s using their location data like third-party apps do. Tile also spoke about how Apple planned to allow its own Air Tags to use UWB (ultra-wideband) for better location finding, but not open that up to competitors like Tile.

The fight for regulation will be a long-term battle. In the more immediate future, Tile’s partnerships are how it will continue to grow its customer base and device usage.

In total, Tile now works with over 20 partners across audio, travel, smart home and PC categories.

 

 

A stay-at-home order for seven San Francisco Bay Area counties will be extended through the end of May due to the COVID-19 pandemic, a decision that affects 7 million residents and thousands of businesses.

The Public Health Officers of the Counties of Alameda, Contra Costa, Marin, San Francisco, San Mateo, and Santa Clara as well as the City of Berkeley said in a joint statement issued Monday that it will issue revised shelter-in-place orders later this week. The new order will ease some specific restrictions for what the health officers from the seven counties described as a “small number of number of lower-risk activities.”

The stay-at-home orders were set to expire May 3. Details regarding this next phase will be shared later in the week, along with the updated order.

The seven counties are home to thousands of startups and technology companies that includes Apple, Facebook, Google, Salesforce, Twitter, Tesla and Uber.

“Thanks to the collective effort and sacrifice of the 7 million residents across our jurisdictions, we have made substantial progress in slowing the spread of the novel coronavirus, ensuring our local hospitals are not overwhelmed with COVID-19 cases, and saving lives,” the health officers said in a joint statement. “At this stage of the pandemic, however, it is critical that our collective efforts continue so that we do not lose the progress we have achieved together.”

The public health officials said Monday that hospitalizations have leveled, but more work is needed to safely re-open communities and warned that “prematurely lifting restrictions could lead to a large surge in cases.”

The health officers plan to also release a set of broad indicators used to track progress in preparedness and response to COVID-19, in alignment with the framework being used by the rest of the state.

Despite all evidence to the contrary, there’s more to building a startup than raising venture capital.

Founders are finding success without overly relying on VC dollars; some are even sharing profits with their respective employees and customers without the help of traditional funding and Silicon Valley power dynamics.

As some investors slow down their funding pace, it has become clear that profitability trumps funding and venture capital can only take a startup so far when the economy tanks and outside cash streams dry up.

In the Indie.vc portfolio, profitability is its driving force. In fact, its main criterion for funding is that a startup must be on a clear path to profitability with durable fundamentals like high gross margins or the ability to start charging for a product right away, as opposed to companies that need a significant amount of upfront investment for research and development.

Profitability, Indie.vc founder Bryce Roberts tells TechCrunch, needs to be a habit, and founders need to recognize that it’s not a switch they can just turn on. Startups looking to prioritize profitability need to start out as revenue-driven businesses that replace funding milestones with profitability goals.

“Genuinely, it’s not rocket science,” he says. “Profitability isn’t this crazy, elusive thing. It’s literally more achievable than a Series A round. It’s way more achievable than a Series B round. If you look at the kind of fall-off between those rounds, most entrepreneurs would be better off finding their path to profitability and scale.”

Indie.vc, which recently announced its latest batch of investments, advises founders to make sure they have what they need to be stable and then to create and measure value, Roberts says. That value, which differs depending on the company, must be quantifiable as some metric or revenue.

To do that, Roberts says founders should adopt a mindset where they’re focused on creating revenue opportunities, rather than cost savings. Indie.vc’s model also does not prioritize hiring ahead of growth, a strategy that seems to be working for its portfolio during the pandemic.

Earlier this month, edtech unicorn Duolingo raised $10 million in new venture capital from General Atlantic, per an SEC filing. With the raise, the online language learning platform accepted its first outside investor in almost three years. General Atlantic will take a board seat at the company, per Duolingo.

The company, which was last valued at $1.5 billion, says the round has increased its valuation, but it declined to share by how much.

General Atlantic has invested in a number of edtech companies around the world, like OpenClassrooms, Ruangguru and Unacademy. Duolingo said that General Atlantic’s global platform and experience with online education in Asia would help guide its own growth, specifically pointing to its plans to scale up the Duolingo English test.

The e-learning company last raised $30 million in December at that $1.5 billion valuation. To raise a smaller sum a few months later is uncommon. Historically, that type of raise could happen for a number of reasons: a company is accepting a later investment as part of the same funding round, it needs more cash and this is an easy way to raise it or the company tried to raise a new large round and failed to secure past $10 million.

So where does the language learning unicorn fit?

In Duolingo’s case, it said the $10 million was raised because it wanted to bring a new investor on, but didn’t need a massive amount of primary capital. Duolingo says it is cash-flow positive.

In the past few weeks, Duolingo launched a new app to help children read and write, passed one million paying subscribers for Duolingo Plus and disclosed that its annual bookings run rate is $140 million. The company also recently hired its first CFO and general counsel.

“Because our business has been growing very fast and we have more than enough capital, there was limited need for us to raise more primary capital. However, over the last year, we developed a relationship with General Atlantic,” the company said in a statement to TechCrunch.

Tanzeen Syed, a managing director for General Atlantic, said that Duolingo is a “market leader in the language learning space. Syed also said Duolingo has a “profitable, efficient business model while maintaining hyper-growth characteristics.”

Another key factoid here is that along with the $10 million, there was a larger secondary transaction, which occurs when an existing stockholder sells their stock for cash or to a third party, or to the company itself while the company is still private.

In this case, an existing investor in Duolingo sold a small portion of their existing stake to allow General Atlantic to have a bigger stake in the company.

The company declined to share the size of the secondary market transaction.

In light of this new information, Duolingo’s expansion to Asia, which has a robust market of English learners, welcomed one investor and lessened the stake of another.

Based on what we know, the transaction signals that a preexisting investor in Duolingo was looking for liquidity at a time where the public markets are tightening and private markets are pausing. And at a time when companies are staying private longer than ever before, secondary transactions are hardly rare.

Sometimes, however, secondary transactions signal a lack of faith from a preexisting investor in the company’s current trajectory.

Duolingo is full steam ahead on its goal to expand across the world — and now has new cash in the bank, and a new seat on the board, to prove it.

How do you leave the place that made you? You figure out what it made you for. TechCrunch made me a part of the startup ecosystem I love. Now it’s time to put that love into action to help a new generation of entrepreneurs build their dreams and tell their stories.

So it’s “TC to VC” for me. After 8.5 years at TechCrunch and 10 in tech journalism, I’m leaving today to join the venture team at VC fund SignalFire. I’m going to be a principal investor and their head of content.

I’ll be seeking out inspiring new companies, doing deals (when I’m eventually up to speed) and providing pitch workshops based on countless interviews for TechCrunch. Thankfully, I’ll also still get to write. We’re going to find out what founders really want to learn and produce that content to help them form, evolve and grow their companies. I’m doing my signature bounce & smile with excitement.

Where to follow my writing

You’ll still be able to follow my writing as well as my journey into VC on my newsletter Moving Product at constine.substack.com as well as on Twitter: @JoshConstine. No way I could just suddenly shut up about startups! If you’re building something, you can always reach me at joshsc [at] gmail.com

On the newsletter you can read a deeper explanation for why I picked SignalFire . I also just published the first real issue of Moving Product on how quarantine is “loaning” concurrent users to startups that will help the new wave of synchronous apps snowball to sustainability, plus commentary from top product thinkers on Facebook’s new Rooms.

Why I chose SignalFire?

I was drawn to SignalFire because it’s built like the startups I love writing about: to solve a need. Entrepreneurs need tactical advantages in areas like recruiting, where they spend most of their time, and expert advice on specific problems they’re facing.

That’s why SignalFire spent six years in stealth building its recruitment prediction and market data analysis engine called Beacon. It can spot deal opportunities for SignalFire’s new $200 million seed and $300 million breakout funds while helping the portfolio hire smarter. Then SignalFire assembled more than 80 top experts, like Instagram’s founders, for its invested advisor network. Traditional funds need partners to exhaust their social capital asking for favors from friends to help their portfolio. SignalFire’s model sees its advisors share in the returns of the fund, so they’re sustainably motivated to assist.

SignalFire’s founder and CEO Chris Farmer was also willing to invest in me, figuratively. I’ve written about thousands of startups but I’ve never funded one. He and his team have offered to mentor me as I learn the art and science of investing. They also accept me for my opinionated, outspoken self. Instead of constricting my voice, the plan is to harness it to highlight new ideas and proven methods for building companies. I wrote this post on my newsletter with a deeper look at why I picked SignalFire and how its modernized approach to venture works.

What makes TechCrunch different

Of the 3,600 articles I’ve written for TechCrunch, this was the hardest.

TechCrunch gave me the platform to make an impact and the freedom to say what I believe. That’s a rare opportunity in journalism, but especially important for covering startups. TechCrunch writes about things that haven’t happened yet. There are often no objective facts by which to judge an early-stage company. Whether you decide to cover them or not, and the tone of your analysis, depends on having conviction about whether the world needs something or not, if the product is built right and if the team has what it takes.

If you rely on others’ signals about what matters, whether in the form of traction or investment, you’ll be late to the story. That means editors have to trust their writers’ intuition. At TechCrunch, that trust never wavered.

Eric Eldon, Alexia Tsotsis and Matthew Panzarino put their absolute faith in our team. That gave me a chance to write the first-ever coverage of startups like Robinhood before its seed round, and SnappyCam before it was acquired by Apple and turned into iPhone burst fire. My editors also never shied away from confrontations with the tech giants, like my investigation into Facebook paying teens for their data that caused it to shut down its Onavo tool, or my exposé on Bing suggesting child abuse imagery in search results that led it to overhaul its systems.

I’ll always be indebted to Eric Eldon, who gave a freshly graduated cybersociologist with no experience his first shot at blogging back at Inside Facebook. Editors like Alexia Tsotsis and Matthew Panzarino helped me develop a more critical voice without sterilizing my personality. And all my fellow writers over the years, including Zack Whittaker and Sarah Perez, pushed me to hustle, whether that meant pontificating on new product launches or exposing industry abuse. If my departure from journalism elicits a sigh of relief from the companies in my cross-hairs, I know I did my job. The TechCrunch business and events team have turned Disrupt into the tech industry’s reunion. I appreciate them giving me the chance to learn public speaking, from the most heartfelt moments to the cringiest. And really, I owe them the rest of my life, too, since I met my wife Andee at a Disrupt after-party.

Treating writing like a sport to be won kept me cranking all these years, and I’m grateful for Techmeme offering a scoreboard for extra motivation. I’ll unhumbly admit it’s nice to hang up my jersey while ranked No. 1. My gratitude to Jane Manchun Wong for furnishing so many scoops over the years, and to all my other sources. It’s been fun competing and collaborating with my favorite other reporters, and I know Taylor Lorenz, Casey Newton and Mike Isaac will keep a close eye on tech’s trends and travesties.

But most of all, I want to extend an enormous thank you to…you. To everyone who has read or shared my articles over the years. I woke up each day with a sense of duty to you, and felt proud to say “I fight for the user” like Tron. What makes this industry special is how the community refuses to treat it as zero-sum. We grow the pie together, and everyone knows their competitor today could be their future co-founder. That makes us willing to share and learn together. I believe no recession, correction or bubble-burst will change that. 

So I’ll leave you with a final thought that’s made my life so fulfilling: If you have the privilege or create the opportunity, turn your passion into your profession.

Specialize. Learn. Then make what you want. If you can find some niche you’re endlessly interested in, that’s growing in importance, and at least someone somewhere earns money from, you’ll become essential. Not necessarily today. But that’s the beauty of writing — it teaches you while proving to others what you’ve been taught. No matter what it is, blog about it once a week. In time you’ll become an expert, and be recognized as one. Then you’ll have the power to adapt to the future, however feels most graceful.

Keep up with my writing on my newsletter at constine.substack.com, stay in touch on Twitter, and reach out at joshsc [at] gmail.com

Properly equipped Tesla vehicles can now recognize and respond to traffic lights and stop signs thanks to a software update that the company started pushing out to owners over the weekend.

The software update had been available to sliver of Tesla owners, some of whom had posted videos of the new capability. Now, the automaker is pushing the software update (2020.12.6) to the broader fleet.

The feature isn’t available in every Tesla vehicle on the road today. The vehicles must be equipped with the most recent Hardware 3 package and the fully optioned Autopilot package that the company has marketed as “full self-driving.”

The feature called Traffic Light and Stop Sign Control is designed to allow the vehicles to recognize and respond to traffic lights and stop signs.

To be clear, Tesla vehicles are not self-driving and this feature has its limits. The feature slows properly equipped Tesla vehicles to a stop when using “traffic-aware cruise control” or “Autosteer.” The vehicle will slow for all detected traffic lights, including green, blinking yellow and off lights, according to the software release notes.

As the vehicle approaches an intersection, a notification will indicate the intention to slow down. The vehicle will then begin to slow down and stop and stop at the red line shown on the driving visualization, which is one the center display.

DragTimes tested and shared a video, which is posted below, of a beta version of the feature.

Owners must pull the Autopilot stalk once or manually press the accelerator pedal to continue through the stop line. Tesla said that the feature is designed to be conservative at first. Owners will notice that it will slowdown often and will not attempt to turn through intersections. “Over time, as we learn from the fleet, the feature will control more naturally,” the company wrote in the release notes.

Tesla warns in the release notes that “as with all Autopilot features, you must continue to pay attention and be ready to take immediate action, including braking because this feature may not stop for all traffic controls.”

The software update also improved driving visualization, which are displayed in the vehicle. Additional objects such as stop lights, stop signs and select road markings now appear on the screen. The stop sign and stop light visualizations are not a substitute for an attentive driver and will not stop the car, Tesla said in the release notes.

We weren’t alone in being impressed by Motiv. The startup helped flip the script on wearables by essentially cramming a fitness tracker’s worth of technology into a ring. This week, San Francisco ‘digital identity’ startup Proxy that it’s acquiring the company.

The company’s site is littered in buzzwords, but Proxy specializes in digital key cards — essentially providing a way to use digital devices like smartphones to access businesses and homes. An odd fit for a company that makes exercise rings, until you look at what Motiv’s been up to in recent years.

Among the additions to the tiny hardware platform are NFC payments, lost phone tracking and two-factor device authentication through gait monitoring. Whether or not Proxy ultimately has interesting in manufacturing and selling a fitness ring, there’s plenty of underlying technology here that would be of interesting to a digital identity company.

“The demand for our technology is only going to increase and we saw a clear path forward in the importance of validating one’s identity in both the physical and digital worlds,” Motiv said in a blog post. “Keys, access cards and passwords are rapidly being replaced with a biometric identity which provides greatly improved security and convenience.”

While the app will continue to be available for download (no word on how long it will continue to offer support), the deal mark the end of Motiv’s online sales, while partner retailers will burn through the rest of their stock.

Proxy, on the other hand, says it’s committed to the ring as the future of the wearables category. “With this acquisition, Proxy plans to bring digital identity signals to smart rings for the first time and revolutionize the way people use technology to interact with the world around them,” the company writes. “We believe it’s possible to ignite a paradigm shift in how people use wearables to interface with the physical world, so they can do and experience things they never have before.”

While compelling, the fitness ring hasn’t exactly taken the wearable category by storm in the past three years, as the space continues to be almost exclusively dominated by smartwatches and headphones. For those who still believe in the form factor, Motiv has had some competition recently, from companies like Oura, a ring largely built around sleep tracking. 

MIT’s Computer Science and Artificial Intelligence Lab (CSAIL) has released a video of their ongoing work using input from muscle signals to control devices. Their latest involves full and fine control of drones, using just hand and arm gestures to navigate through a series of rings. This work is impressive not just because they’re using biofeedback to control the devices, instead of optical or other kinds of gesture recognition, but also because of how specific the controls can be, setting up a range of different potential applications for this kind of remote tech.

This particular group of researchers has been looking at different applications for this tech, including its use in collaborative robotics for potential industrial applications. Drone piloting is another area that could have big benefits in terms of real-world use, especially once you start to imagine entire flocks of these taking flight with a pilot provided a view of what they can see via VR. That could be a great way to do site surveying for construction, for example, or remote equipment inspection of offshore platforms and other infrastructure that’s hard for people to reach.

Seamless robotic/human interaction is the ultimate goal of the team working on this tech, because just like how we intuit our own movements and ability to manipulate our environment most effectively, they believe the process should be as smooth when controlling and working with robots. Thinking and doing are essentially happening in parallel when we interact with our environment, but when we act through the extension of machines or remote tools, there’s often something lost in translation that results in a steep learning curve and the requirement of lots of training.

Cobotics, or the industry that focuses on building robots that can safely work alongside and in close collaboration with robots, would benefit greatly from advances that make the interaction between people and robotic equipment more natural, instinctive and ultimately, safe. MIT’s research in this area could result in future industrial robotics products that require less training and programming to operate at scale.

Amazon is piloting a new system aimed at validating the identify of third-party sellers over video conferencing, the company announced on Sunday. The technology is a part of a series of seller verification processes that Amazon uses to combat fraud on its platform, which the company claims stopped 2.5 million suspected bad actors from publishing their products to Amazon in 2019.

Earlier this year, Amazon began testing a process where seller verifications were handled in person. But due to the coronavirus outbreak and social distancing requirements, the company says it pivoted to live video conferencing in February.

The pilot program is now running in a number of markets, including the U.S., U.K., China and Japan. To date, over 1,000 sellers have attempted to register an account through the pilot experience, Amazon says.

To vet the sellers, Amazon’s team sets up a video call then checks that the individual’s ID matches the person and the documents they shared with their application. The Amazon associates also lean on third-party data sources for additional verification. In addition, the call may be used to provide the seller with information about problems with their registration and how to resolve them.

“Amazon is always innovating to improve the seller experience so honest entrepreneurs can seamlessly open a selling account and start a business, while also proactively blocking bad actors,” an Amazon spokesperson said about the new initiative. “As we practice social distancing, we are testing a process that allows us to validate prospective sellers’ identification via video conferencing. This pilot allows us to connect one-on-one with prospective sellers while making it even more difficult for fraudsters to hide,” they said.

In addition to video conferencing, Amazon also uses a proprietary machine learning system to vet sellers before they’re allowed online, it says. This system analyzes hundreds of different data point to identify potential risk, including verifying whether the account is related to another account that was previously removed from the marketplace, for example. The sellers’ applications are also reviewed by trained investigators before being approved.

Seller verification is only one way Amazon has taken on fraud, however.

The issue continues to be a serious problem across online marketplaces, where sellers hawk counterfeit items and scam consumers. Some retailers, including Nike and Birkenstock, have found the the hassles aren’t worth the risk of dealing with Amazon, as a result.

While the retailer has long been accused of avoiding issues around fraud, it’s more recently pledged to spend billions to address the problem and has inserted itself into legal battles with fraudulent sellers and counterfeiters in recent years.

For example, it  it filed three lawsuits in 2018 in partnership with fashion designer Vera Bradley and mobile accessories maker Otterbox over counterfeits. It has also sued sellers buying fake reviews and others involved in the fake review industry. 

Last year, Amazon announced an initiative called  Project Zero, which introduced a range of tools for brands to use to help Amazon fight fraud. The brands can opt to provide Amazon with their logos, trademarks and other key data, allowing the retailer to scan its billions of product listings to find suspected counterfeits more proactively.

Another tool, serialization, allows brands to include a unique code on their products during manufacturing, which can later be scanned to verify that a purchase is authentic. This tool, now known as Transparency, expanded to other markets last summer, including Europe, Canada and India.

But unlike these earlier efforts, seller verification aims to cut down on products being listed in the first place –not just removed once listings go live or stopping fraudulent products from being shipped to customers.