Category: UNCATEGORIZED

12 Nov 2020

President-elect Joseph Biden reportedly plucks Revolution’s Ron Klain as new chief of staff

President-elect Joseph Biden has plucked Ron Klain, a longtime colleague and confidant and the current executive vice president of the venture capital firm Revolution, as his White House chief of staff, reports The New York Times. 

Klain was Biden’s chief of staff for two years during the Obama administration and left his post as chief of staff in 2011 to join Revolution, the firm founded by former AOL chief executive and founder Steve Case. Revolution did not immediately respond to a request for comment.

If Klain makes his second entrance into the White House, Biden will be bringing on a chief of staff he’s known for more than 35 years. The duo first worked together in 1989, when the president-elect was a senator and Klain was a newly graduated law student from Harvard Law School. He most recently worked as the White House Ebola Response coordinator from October 2014 to February 2015, and helped as a debate advisor to President Obama and President Clinton, as well as nominees Al Gore, John Kerry and Hillary Clinton.

Klain’s appointment could pacify some of the presumed tension that could occur between startups and the government under the Biden-Harris administration. Biden has been vocal about pursuing aggressive regulation on the tech industry, which could negatively impact behemoths like Google, Apple and Facebook. Klain has spoken up (in TechCrunch!) about how regulatory hurdles could hinder key innovation in startup-land. Klain also helped lead efforts for Higher Ground Labs, an incubator and accelerator focused on politically-focused (and Democrat-loved) startups. While that likely wouldn’t impact Big Tech, it doesn’t hurt that, reportedly, one of Biden’s closest confidants will have a soft spot for startups.

 

 

12 Nov 2020

Rivian electric pickup will debut with three editions, with a cheaper one to follow

Rivian is opening up pre-orders for three editions of its upcoming electric pickup truck and SUV that start as low as $67,500 and with a battery range of more than 300 miles. However, more options will follow, including a base version that will have a smaller range of at least 250 miles and a price below $67,000.

Information on the three editions and their accompanying equipment packages, paint options and pricing is just a few of the numerous details released Wednesday on Rivian’s website. Perhaps one of the more notable tidbits include the addition of cheaper base version of the pickup and SUV, the official inclusion of the camp kitchen accessory and confirmation that a battery pack capable of more than 400 miles will be offered at some point in the future.

Rivian, which has attracted investment from the likes of Ford, Amazon, funds managed by BlackRock, T. Rowe Price and Associates and Cox Automotive, is aiming to become the first to bring an EV pickup truck to market. But it’s facing competition from legacy automakers such as GM as well as Tesla, which says it will start production of its futuristic looking Cybertruck in late 2021. Ford is also planning to bring an all-electric F-150 pickup truck to market in 2022.

rivian interior gif

Image Credits: Rivian

Deliveries of the first and, so far, most expensive version of the pickup truck called the Launch edition will begin in June 2021. The Launch edition of the RT1 truck will start at $75,000 (that’s before federal tax incentives are applied) and be able to travel more than 300 miles on the standard battery. The Launch edition will also have a special paint color called “Launch Green” along with other special badging and 20-inch all-terrain or 22-inch sport wheel upgrades included.

Tho other packages — the Adventure and Explore — will be offered for the RT1 truck and the R1S SUV. All of these versions will have more than 300 miles of range. The big differences come in the finishes. The Launch and Adventure editions, for instance, come standard with an off-road upgrade with reinforced underbody shield, dual front bumper tow hooks and air compressor as well as “compass yellow” interior accents, 100% recycled microfiber headliner and “Chilewich floor mats.”

The various pickup truck editions range between $75,000 and $67,500 in price. The R1S SUV prices range between $77,500 and $70,000. And all of these editions will arrive in the marketplace at different times between June 2021 and into January 2022.

Customers who place pre-orders now, which requires a $1,000 deposit, will have access to a configurator November 16. Everyone else will have access to the configurator, which allows customers to pick the paint color, equipment package and other details, on November 23.

The bigger 400-plus mile battery will come to the pickup truck first, starting in January 2022, according to Rivian. A longer range R1S SUV with both five- and seven-passenger seating will be announced following start of production, the company said on its website.

Rivian specs

 

12 Nov 2020

Study: London and SF have become Impact Tech hubs, with 280% increase in VC in 5 years

New research has found that San Francisco and London have become two of the world’s leading hubs for VC investment into tech solutions which address one or more of the 17 UN’s Sustainable Development Goals (SDG), more commonly referred to as ‘Impact Tech’. They are followed by Paris, Berlin, Stockholm, Shanghai and Beijing.

Tech solutions for such pressing issues as the climate crisis and social inequality has seen a 280% increase in global VC investment from 2015 to 2020, while investment in this space more than doubled in both cities over the past five years. The report was put together by London & Partners and Dealroom as part of this week’s Silicon Valley Comes to the UK virtual event. Over 5,000 startups were surveyed to create the data.

According to the research, VC investment into London-based impact tech start-ups has grown by almost 800% (7.8 times) since 2015, compared to 3.1 times in Europe as a whole. 2020 is set to be a record year for London’s impact tech companies, which have received $1.2bn in VC investment from January to October, already matching 2019 levels. London’s impact firms have also secured 429 deals between 2015 and 2020, more than any other city globally.
 
San Francisco’s impact based tech companies have also shown strong growth over the past five years, with the data revealing that VC investment into its impact tech companies has almost tripled (2.8 times) from 2015 to 2020. So far this year, SF-based impact tech companies attracted $1.7bn of VC investment in 2020 – more than any other city globally. At a national level, the United States received more VC funding for impact tech companies than any other country in the past five years, with investors pumping $35.8bn into US firms since 2015, double the amount invested into China ($16.8bn) and the United Kingdom ($6.1bn).
 
The research also found that UK capital has produced 241 impact start-ups since 2006, with 95 companies founded in San Francisco. In London, ‘impact unicorns’ include Octopus Energy (green energy), Arrival (zero-emission, public transportation vehicles) and Gousto (food) and Babylon Health (AI healthtech).

Climate change and clean energy solutions have attracted the most interest from investors in both cities, making up over 50% of overall VC investment over the last five years. Funding rounds including at least one North American investor made up $234m of VC investment so far this year in London, up from $85m in 2018, and equating to a fifth of all VC investment into London’s impact startups.
 
Funding rounds for London impact companies involving North American investors in 2020 include a $118m growth equity round into Arrival by Blackrock, an $80m Series B round for COMPASS Pathways and a $25m Series C funding for Tractable.

Meanwhile, Impact startups are crossing the pond in both directions. Arrival is now operating in Los Angeles, while Octopus Energy launched in the US market in September after closing a $360m funding round in April and acquiring Silicon Valley-based startup Evolve Energy. And San Francisco-based Allbirds, the sustainable shoe retailer, opened its first European flagship store in London in July 2018.

Commenting, Janet Coyle, managing director for business, London & Partners said: “San Francisco and London are two of the world’s top hubs for innovation and technology. But today’s figures also show that they are leading the way in creating purpose-driven companies striving to tackle some of the most pressing environmental and social challenges.”

11 Nov 2020

Rivian is making its hands-free driver assistance system standard in “every vehicle” it builds

Electric automaker Rivian will makes its hands-free driver assistance system standard in every vehicle it builds, including its first two vehicles — the RT1 pickup truck and R1S SUV — that are coming to market in 2021.

Details about the system, which is branded as Driver+, was just one of numerous new bits of information released Wednesday on its website, including prices and specs on its R1T pickup truck and R1S SUV.

Rivian said the driver assistance system will automatically steer, adjust speed and change lanes on command. The capabilities of the system that Rivian describes suggests it is a Level 2 system as designated by SAE International. Level 2 means the system can perform two or more parts of the driving task under supervision of the driver. To support this level of driving, the system will be powered by two redundant compute platforms, 12 ultrasonic sensors, 10 exterior cameras, five radars and high-precision GPS. This essentially gives the vehicle 360-camera and radar visibility. It’s robust suite of hardware that exceeds what Tesla uses for its driver assistance system. The hardware suite is similar to GM’s hands-free Super Cruise system with the exception that Rivian appears to have more cameras.

Rivian is also placing driver-monitoring system that includes a cabin-facing camera in its vehicles to ensure that drivers keep their eyes on the road when the system is engaged. Initially, the hands-free system will only be available on select highways and then expand over time — improvements achieved via over-the-air software updates — to include a broader geographic area and more road types. This is similar to GM’s approach with its hands-free Super Cruise system, which was initially limited to certain divided highways and eventually expanded.

While there are a number of automakers with Level 2 systems, they vary in capability. GM’s hands-free Super Cruise and Tesla’s Autopilot systems are considered some of the most capable and easy to use, per a recent Consumer Reports evaluation of driver assistance systems. However, Tesla’s system scored lower overall because it lacks a driver monitoring system that makes sure the driver is alert and paying attention to the road.

11 Nov 2020

Daily Crunch: Google Photos will end free, unlimited storage

Google changes its storage policy, Facebook extends its political ad ban and Ring doorbells are recalled. This is your Daily Crunch for November 11, 2020.

The big story: Google Photos will end free, unlimited storage

Google is changing its storage policies for free accounts in a way that could have a big impact on anyone regularly using Google Photos.

Currently, Google Photos allows users to store unlimited images (and HD video) as long as they’re under 16 megapixels. Starting on June 1, 2021, new photos and videos will all count toward the 15 gigabytes of free storage that the company offers to anyone with a free Google account.

Google says it will take the average user three years to reach 15 gigabytes — at which point they’ll either need to delete some photos or pay for a Google One account. Also on June 1: Docs, Sheets, Slides, Drawings, Forms and Jamboard files will start counting toward your storage total as well.

The tech giants

Facebook extends its temporary ban on political ads for another month — The company says the temporary ban will continue for at least another month.

ByteDance asks federal appeals court to vacate US order forcing it to sell TikTok — TikTok’s parent company says it remains committed to a negotiated solution and will only try to stop the government from forcing a sale “if discussions reach an impasse.”

Ring doorbells recalled over fire threat — The recall comes in the wake of 23 reports of fire and eight reports of minor burns.

Startups, funding and venture capital

SentinelOne, an AI-based endpoint security firm, confirms $267M raise on a $3.1B valuation — SentinelOne’s Singularity monitors and secures laptops, phones and other network-connected devices and services.

E-commerce startup Heroes raises $65M in equity and debt to become the Thrasio of Europe — The company has a strategy of acquiring and scaling high-performing Amazon businesses.

Seedcamp raises £78M for its fifth fund — This new fund increases the amount of capital the firm will invest in pre-seed and seed-stage companies.

Advice and analysis from Extra Crunch

Dear Sophie: What does Biden’s win mean for tech immigration? — Attorney Sophie Alcorn looks at the presidential election’s impact on U.S. immigration and immigration reform.

Greylock’s Asheem Chandna on ‘shifting left’ in cybersecurity and the future of enterprise startups — Enterprise software is changing faster this year than it has in a decade.

Square and PayPal earnings bring good (and bad) news for fintech startups — Square’s earnings give us a window into consumer payment activity, card usage, stock purchases and more.

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

Everything else

Honda to mass-produce Level 3 autonomous cars by March — Honda claims it will be the first automaker to mass-produce vehicles with autonomous capabilities that meet SAE Level 3 standards.

Data audit of UK political parties finds laundry list of failings — The audit claims parties are failing to come clean with voters about how they’re being invisibly profiled and targeted.

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.

11 Nov 2020

RIP Google Music, one of the company’s last examples of generosity

Google Music is dead, and with it one of the few remaining connections I have to the company that doesn’t feel like a gun to my head. The service, now merged haphazardly with YouTube Music, recalled the early days of Google, when they sometimes just made cool internet things. It made it nearly a decade, though — pretty impressive for a one of their products.

I’ll just say it up front: I’m a lifelong music pirate. Oh yes, I’ve reformed in recent years, but I’ve got a huge library of tracks that I’ve cultivated for decades and don’t plan to abandon any time soon (likewise you can pry Winamp from my cold, dead hands). So when Google announced back in 2011 I could stream it all to myself for free, it sounded too good to be true.

And indeed it was a relic of the old Google, which was quite simply all about taking things that are difficult to do yourself (find things online, set up a new email address, collaborate on a spreadsheet) and make them easier.

Google Music — as we’ll call it despite it having gone through several branding changes before the final indignity of being merged into another, worse service as a presumably short-lived tab — was not first to the music-streaming or downloading world by a long shot, but its promise of being able to upload your old music files and access them anywhere as if they were emails or documents was a surprisingly generous one.

Generous not just in that it was providing server space for 20,000 songs (!) for free and the infrastructure for serving those songs where you went, but in its acknowledgement of other models of owning media. It didn’t judge you for having 20,000 MP3s — they weren’t subjected to some kind of legitimacy check, and they didn’t report you to the RIAA for having them, though they certainly could have.

No, Google Music’s free media locker was the company, or at least a quorum of the product team, announcing that they get it: not everyone does everything the same way, and not everyone is ready to embrace whatever business model tech companies decide makes sense. (Notably it has shifted several times more since then.)

Though my perennial work frenemy at the time MG Siegler was not impressed with the beta, I vigorously defended it, noting that Google was starting simple and looking forward rather then trying to beat Apple at their own game. Plus, secretly, I was feverishly uploading a hundred gigs of music I’d gotten from Audiogalaxy, Napster, and SoulSeek. Here, I thought, was a bridge between my antiquarian habits and the cutting edge of tech.

Since then, like the resentfully loving owner of a junker, over the years I’ve been frustrated by Google Music in the ways that only one who truly relies on something can be. The app became essential to me even as its ever-changing and confusing interface confounded me. As Google’s media strategy and offerings fluctuated and blurred, my uploaded music sat there quietly, doing the same thing it did at launch: hosting my music files. Whatever it did in addition to that, it still let me access the glitchy, 128kbps version of The Bends I downloaded in 2001. I also had the security of knowing if my many drives died in a fire, I could at least recover my precious MP3s.

Whether I’d ripped it myself, pirated it in college, bought it on Bandcamp, or got it from a code inside the vinyl I bought at a show, it worked on Google Music. It integrated all my music in a truly all-accepting cloud player, and for that reason, I loved it in spite of its flaws and total lack of hipness.

Now, in deference to the explosion of YouTube’s popularity as a music platform — which more  than anything else really is due to a new type of laziness and platform agnosticism peculiar to the next generation — Google Music exists as a sort of ghost of itself within the YouTube Music app, itself an evolution of a couple other failed music strategies.

Perhaps Google felt that the optics of obsoleting a service and cutting off millions of users from something useful and beloved were not worth risking — after doing exactly that with Reader (RIP).

So (after culling the users who forgot they had accounts) they settled on the next best thing, which was making Google Music suck. Buried inside the new app, the music I uploaded has undergone a regression: intermingled and mixed, poorly organized, unable to be searched through, and at every occasion presented as the worse option, the uploaded library function seems to have been hidden away and hobbled.

The ugly and reliable Music Manager, which has run in the background on my Windows PCs for years, is dead, and adding new music is done by manually dragging the files onto the YouTube Music tab. Complaining about having to move my fingers a few inches when I get a new album seems a bit pampered, so I’ll just say that it’s telling that Google chose to make the user do the work when the whole service was built around preventing exactly that kind of work from having to be done.

I suppose I’m an exception to the usual Google and YouTube user, and as I’ve been careful to show the company for the last 20 years or so, there’s no money to be made from me. Yet as soon as I understood that Google was going to make it hard for me to do what I had been doing with them for a decade, I decided I was willing to pay for it. Now I pay Plex for a service Google decided was below them, and incidentally it’s way better. (Come to think of it, I started paying for Feedly after Google killed Reader, too.)

In a way I’m thankful. The idea of divorcing myself entirely from Google’s ecosystem isn’t a realistic one for me, though I do it where I can (though having moved to iOS, the cure sometimes seems worse than the disease). One of the tattered bindings holding me to Google was the music thing. And while I do plan to take up a hundred gigabytes on one of their databases somewhere for as long as I possibly can, I’m glad the company admitted that what they were giving me didn’t make sense for them any more. It means one less reason that what Google has to give makes sense for me.

Every service from Google now, especially with those new, bad logos, feels less like it’s offering a solution to a problem and more like it’s just another form of leverage for the company. We were spoiled by the old, weird Google that did things like Books because they could, throwing it in the teeth of the publishers, or Wave, an experiment in interactivity that in many ways is still ahead of its time. They did things because they hadn’t been done, and now they do things because they can’t let you leave.

So, RIP Google Music. You were good while you lasted, but ultimately what you did best was show me that we deserved better, and we weren’t going to get it by waiting around for Google to return to its roots.

11 Nov 2020

Twitter brings its Stories feature, Fleets, to Japan

Twitter’s own version of Stories, which it calls “Fleets,” have arrived in Japan. The new feature allows users to post ephemeral content that automatically disappears after 24 hours. Though Fleets previously launched in Brazil, India, Italy, and South Korea, Japan is notably Twitter’s second largest market, with some estimated 51.9 million users.

It’s also second in terms of revenues, led by advertising. In Q3 2020, Japan generated $132.4 million in revenue, coming in second behind the U.S.’s $512.6 million.

Twitter can be experimental when it comes to new features — it even once developed a new way to manage threads with a public prototype, coded alongside user feedback. But not all the features it dabbles with make it to launch.

However, the further expansion of Fleets to Japan signals Twitter’s interest in the product hasn’t diminished over time. It seems it’s now only a matter of time before Fleets arrive in Twitter largest market, the U.S.

That said, the U.S. may be the hardest market for Fleets to crack, as here, many users are concerned about how all social media apps are starting to look alike.

Whatever feature becomes a breakout success on one platform soon finds its way to all the others. In the early days, we saw this trend with the “feed” format, modeled after Facebook’s News Feed. The Stories format, popularized by Snapchat, came next. And now apps like Instagram and Snapchat are ripping off TikTok with their own short-form video features.

The result is that apps are losing focus on what makes them unique.

Twitter, for what it’s worth, has historically been slow to copy from other social networks. In fact, it’s one of the last to embrace Stories — a feature that’s now even on LinkedIn, of all places.

Plus, in Twitter’s case, the Stories feature may end up serving a different purpose than on other networks.

Instead of offering users a way to post content of lesser quality — posts that didn’t deserve the a more prominent spot in the feed, that is — Fleets may encourage users who haven’t felt comfortable with the platform’s more public nature to begin posting for the first time. Or, at least, it could push users to increase their content output and engagement.

Twitter’s Fleets work much like Stories on other platforms. With a tap on the “+” (plus) button, users can post text, photos, GIFs or videos. Meanwhile, viewers use gestures to navigate through the Fleets posted by others. The Stories sit at the top of the app’s home screen, also like on other platforms.

Twitter tells TechCrunch all users in Japan should have Fleets available on their accounts over the  days, but couldn’t share a timeframe for a U.S. launch.

11 Nov 2020

Ring doorbells recalled over fire threat

Amazon -owned Ring devices have long been under scrutiny of privacy advocates. Now the brand is dealing with another issue entirely, as the U.S. Consumer Product Safety Commission (CPSC) has posted a recall notice for its second-generation doorbell. Some 350,00 units in the U.S. and 8,700 in Canada are being recalled over fire and burn concerns. The devices were on sale through Amazon’s sites and retail locations.

The recall comes in the wake of 23 reports of fire and eight reports of minor burns related to the model. According to the CPSC, the issue relates specifically to the use of incorrect screws during the smart doorbell’s installation. Ring says the issue should not impact users, so long as they only use the screws included with the system. Incorrect use, on the other hand, could directly damage the doorbell’s battery, leading to the aforementioned issue, which, in turn, can cause bodily harm or property damage.

The commission’s site lists the specific details for units impacted by the news and adds that Amazon is voluntarily conducting the recall. Per the CPSC, “Consumers should immediately stop installing the recalled video doorbells and contact Ring for revised installation instructions.”

After purchasing Ring in 2018, the brand has been a source of controversy for both privacy and security concerns. In September, the company promised to add end-to-end encryption for videos captured with the devices.

11 Nov 2020

Join us for a live Q&A with Bessemer’s Byron Deeter next Tuesday at 3 p.m ET, noon PT

The Extra Crunch Live series rolls along with a big new installment next week as Jordan Crook and Alex Wilhelm will welcome Bessemer Venture PartnersByron Deeter to the conversation.

Deeter is an obvious addition to the collection of investors, founders and tech luminaries that TechCrunch has interviewed so far in the Live series — for a taste, here’s a look at our discussion with Unusual Ventures’ John Vrionis and Sarah Leary, and our chat with Plaid co-founder Zach Perret.

Why talk to a Bessemer partner in the current moment? The firm is well-known for its investments into SaaS and cloud companies, a key startup cohort that has performed well. Recent days have shaken that narrative as Q4 races to the halfway mark, with public investors seeming to rotate into other equities, punishing software firms that had been the market’s favored bet for most of the year.

We’ll dig into what’s changing on the private side of that coin, looking to understand today’s software venture capital dynamics, and what Deeter sees happening in 2021.

But there’s more to Bessemer’s active portfolio than SaaS. The venture group has also dropped dollars into Discord, which is seeing both revenue and usage explode, and Betterment, which plays in the active fintech savings and investing space. There’s lots to get into.

If you are an Extra Crunch Live veteran — you rock star, you! — or a brand-new participant — make sure your Extra Crunch membership is live! — bring a question or two as we’ll try to work in a few from the audience as we go.

Chat with you next Tuesday afternoon! (Oh, and you can now pre-submit questions down below, which is a great improvement over the old system which only allowed for live submissions!)

Details

11 Nov 2020

Join us for a live Q&A with Bessemer’s Byron Deeter next Tuesday at 3 p.m ET, noon PT

The Extra Crunch Live series rolls along with a big new installment next week as Jordan Crook and Alex Wilhelm will welcome Bessemer Venture PartnersByron Deeter to the conversation.

Deeter is an obvious addition to the collection of investors, founders and tech luminaries that TechCrunch has interviewed so far in the Live series — for a taste, here’s a look at our discussion with Unusual Ventures’ John Vrionis and Sarah Leary, and our chat with Plaid co-founder Zach Perret.

Why talk to a Bessemer partner in the current moment? The firm is well-known for its investments into SaaS and cloud companies, a key startup cohort that has performed well. Recent days have shaken that narrative as Q4 races to the halfway mark, with public investors seeming to rotate into other equities, punishing software firms that had been the market’s favored bet for most of the year.

We’ll dig into what’s changing on the private side of that coin, looking to understand today’s software venture capital dynamics, and what Deeter sees happening in 2021.

But there’s more to Bessemer’s active portfolio than SaaS. The venture group has also dropped dollars into Discord, which is seeing both revenue and usage explode, and Betterment, which plays in the active fintech savings and investing space. There’s lots to get into.

If you are an Extra Crunch Live veteran — you rock star, you! — or a brand-new participant — make sure your Extra Crunch membership is live! — bring a question or two as we’ll try to work in a few from the audience as we go.

Chat with you next Tuesday afternoon! (Oh, and you can now pre-submit questions down below, which is a great improvement over the old system which only allowed for live submissions!)

Details