Category: UNCATEGORIZED

03 Nov 2020

Gillmor Gang: Shaken Not Stirred

With one day to go to the election, our thoughts are with those who look forward to talking about something else. Difficult as it might be to imagine, there must be other things to work on. One thing that comes to mind is the impact of the virus on how we manage our days and nights in a digital environment. Mobile devices have already propelled much of the change, but the pandemic has accelerated the move to a hybrid distributed lifestyle.

The election has mandated our attention to the political situation in ways that have expanded early voting and legal efforts to slow it down. Regardless of the outcome, the pressure to adapt to this new collaborative workflow will intensify. People have already seen significant shifts from commuting to time switching in a home context. Podcasting, which had emerged from a hackerish geeky hobby in recent years, has morphed into a more commercial adjunct to mainstream media.

In the process, new formats such as newsletters and live streaming have attracted investment from companies including Spotify and Audible, related technologies like Otter (transcription), Substack, Medium, new bundles of services (Apple One) and cable network disrupters, Digital first publishers like The Recount may have started out as traditional takes on political commentary, but in the windup of the campaign they are reaching audiences via notifications rather than repetitive cable talking heads and panels.

This roll up of breaking notifications and user-controlled editorial access have major implications for the near future post-electuon, however long it takes to plow through legal challenges and the restaffing of whichever government is formed. Also impacted will be Congressional and antitrust attempts to regulate social media, and what I suspect will be a shift to private discussions and trend analysis. The interest groups and market makers that result from this realignment will offer exit strategies for companies like Twitter and YouTube where the risk of being broken up will be mitigated by powerful new business models for content creation and distribution.

By January 20th, a new influencer architecture based on notifications and live streaming will endow the media with tools it needs to lead the transition to safe, secure, hybrid digital/live events. Streaming will give new artists and entrepreneurs a platform to separate influence and impact from lossleader gatherings online, bolstered by association with food and tools delivery winners like Apple and Amazon. A similar synergy between tech companies and media advertising will be overt (Apple + and Prime) as well as implicit (the growth in Amazon search.and Twitch watch parties.)

COVID therapeutics such as Regeneron create a roadmap for these private groups to reorganize as CostCo-like next wave restaurants, entertainment events, and political efforts to consolidate economic power. With a combination of transparency and what could be called reverse boycotts, customers will align with products and companies who promote values-based association with stakeholders acrosss the spectrum.

Central to the relationship is providing ethical access to important data in return for clear guidelines for the use of that data at scale. If this election has been correctly assessed as signaling a massive change in the electorate, the period of deescalation from the pandemic can foster a sense of ownership of that success by the incoming majority. Notification-based entertainers such as Sarah Cooper and more mainstream projects like Matthew McConaughey’s new book, Greenlights, speak initially to the Zoom home/work crowd, and soon to the formation of new studios and networks.

Who really knows how this transformation is playing out given the terrible consequences of Trump’s impact on our country and its standing in the world. But the generation that followed the Greatest Generation is discovering it has more to it than the free love of rock and roll and following our bliss. That same generation ushered in the technology and media revolutions.

Now we’re suffering the backlash of so-called free software where our data is the real product, where Big Brother is extending power by acquihires and preemptive pivots. Yet still our democracy persists. Time to count the vote.

__________________

The Gillmor Gang — Frank Radice, Michael Markman, Keith Teare, Denis Pombriant, Brent Leary, and Steve Gillmor . Recorded live Friday, October 30, 2020.

Produced and directed by Tina Chase Gillmor @tinagillmor

@fradice, @mickeleh, @denispombriant, @kteare, @brentleary, @stevegillmor, @gillmorgang

For more, subscribe to the Gillmor Gang Newsletter and join the backchannel here on Telegram.

The Gillmor Gang on Facebook … and here’s our sister show G3 on Facebook.

03 Nov 2020

Indonesian logistics platform Logisly raises $6 million Series A to digitize truck shipments

Indonesia’s logistics industry is very fragmented, with several large providers operating alongside thousands of smaller companies. This means shippers often have to work with a variety of carriers, driving up costs and making supply chains harder to manage. Logisly, a Jakarta-based startup that describes itself as a “B2B tech-enabled logistics platform,” announced today it has raised $6 million in Series A funding to help streamline logistics in Indonesia. The round was led by Monk’s Hill Ventures.

This brings the total Logisly has raised since it was founded last year to $7 million. Its platform digitizes the process of ordering, managing and tracking trucks. First, it verifies carriers before adding them to Logisly’s platform. Then it connects clients to trucking providers, using an algorithm to aggregate supply and demand. This means companies that need to ship goods can find trucks more quickly, while carriers can reduce the number of unused space on their trucks.

Co-founder and chief executive officer Roolin Njotosetiadi told TechCrunch that about “40% of trucks are utilized in Indonesia, and the rest are either sitting idle or coming back from their hauls empty handed. All of these result in high logistics costs and late deliveries.”

He added that Logisly is “laser focused on having the largest trucking network in Indonesia, providing 100% availability of cost-efficient and reliable trucks.”

Logisly now works with more than 1,000 businesses in Indonesia in sectors like e-commerce, fast-moving consumer goods (FCG), chemicals and construction. This number includes 300 corporate shippers. Logisly’s Series A will be used on growing its network of shippers and transporters (which currently covers 40,000 trucks) and on product development.

The startup’s clients include some of the largest corporate shippers in Indonesia, including Unilever, Haier, Grab, Maersk and JD.ID, the Indonesian subsidiary of JD.com, one of China’s largest e-commerce companies.

Other venture capital-backed startups that are focused on Indonesia’s logistics industry include Shipper, which focuses on e-commerce; logistics platform Waresix; and Kargo.

02 Nov 2020

Walmart reportedly ends contract with inventory robotics startup Bossa Nova

Robotics and automation startups have seen a strong uptick in interest over the course of the pandemic. And it’s easy to see which companies have a newfound interest in automating their workforce amid a seemingly endless virus-driven shutdown. But Walmart, which has long promised to take an increasing focus on such technology, has reportedly pulled the plug on one of its highest-profile partnerships.

The mega-retailer has ended a contract with Bossa Nova Robotics, according to new reporting from The Wall Street Journal. Walmart had announced in January that it would bring the Bay Area-based startup’s inventory-scanning robots to an additional 650 locations, bringing the total up to 1,000. The move has resulted in layoffs of around 50% at the Carnegie Mellon spin-off, per the WSJ report. It’s a huge hit at a time when such technologies should be thriving.

Bossa Nova co-founder Sarjoun Skaff didn’t confirm nor deny the WSJ report, instead issuing a no comment. He did, however, weigh in on the COVID-19 pandemic and its affect on the company, seeming to confirm that some layoffs had indeed occurred. 

“I cannot comment on Walmart, however the pandemic has forced us to streamline our operations and focus on our core technologies,” Skaff said. “We have made stunning advances in AI and robotics. Our retail AI is the industry’s best and works as well on robots as with fixed cameras, and our hardware, autonomy and operations excelled in more than 500 of the world’s most challenging stores. With the board’s full support, we continue deploying this technology with our partners in retail and in other fields.”

The tumult at Bossa Nova has stretched beyond layoffs. Skaff, who was CTO took over the CEO spot in October when Stuart Pann left the position after less than nine months. Bossa Nova’s deal with Walmart was a major break for the startup, which began life in 2005 as a robotic toymaker before pivoting into something more serious. The startup’s relationship with Walmart dates back to 2017, when the chain ordered 50 robots.  Walmart’s massive order earlier was a major endorsement of Bossa Nova’s technology.

Such a change of heart would no doubt have a profound effect on the company.

Walmart apparently just wasn’t getting enough out of the deal. Bossa Nova’s robots had made their way into around 500 stores by the time the deal ended — around half of the initial proposed number. As COVID-19 has pushed more orders online, Walmart began exploring ways to use human workers to perform inventory while grabbing product for online fulfillment. Walmart’s operations as well as those at other major retailers will continue to evolve as brick-and-mortar locations reopen and customers shows signs of interest to return to the in-person shopping experience. The volatility of the pandemic still doesn’t lessen the sting or impact that Walmart’s abrupt reversal will have on Bossa Nova and its hopes for a rebound.

Meanwhile, Walmart’s robotic experiments aren’t over. The company’s Sam’s Club subsidiary recently announced it would bring Tennant’s floor scrubbing robots to all of its 599 stores. Interestingly, the company is also exploring ways for these machines to double up and perform in-store inventory checks; it’s not clear if these will be used only in Sam’s Club locations or extend to Walmart stores as well.

02 Nov 2020

Daily Crunch: Apple announces its next big event

Apple is closing out the year with another big event, Twitter details its plans to fight election-related misinformation and WeWork employees used an embarrassingly insecure printer password. This is your Daily Crunch for November 2, 2020.

The big story: Apple announces its next big event

Yes, almost everyone’s attention is locked onto tomorrow’s U.S. presidential election, but Apple is giving us an excuse to look beyond November 4 — it’s holding another big event, themed “One More Thing,” on November 10 at 10 a.m. Pacific.

What’s the one more thing? Most likely, Apple will unveil the first Macs built with the company’s ARM-based processors and also provide a release date for macOS Big Sur.

The transition to “Apple silicon” was announced earlier this year at WWDC, with Tim Cook describing it as “a historic day for the Mac.” But now we’ll actually get some product details.

The tech giants

Twitter explains how it will handle misleading tweets about the US election results — The platform says it will prioritize labeling tweets about the presidential election and any other “highly contested races” where there may be significant issues with misleading information.

Spotify will now allow artists and labels to promote tracks in your recommendations — Spotify announced today it will begin to test a new service that gives artists more of a say in how their music is discovered on the Spotify platform.

WeWork employees used an alarmingly insecure printer password — The password (“9999”, the same as the user name) was so simple that a customer guessed it.

Startups, funding and venture capital

YC-backed nonprofit VotingWorks wants to rebuild trust in election systems through open source — The startup has twin goals of improving the technology that underpins elections through more affordable and secure voting systems, as well as using modern statistical science to improve the quality and efficiency of voter audits.

Rocket Lab’s next launch will deliver 30 satellites to orbit, and a 3D-printed gnome from Gabe Newell — The gnome is a test of a new manufacturing technique, as well as a philanthropic endeavor from the gaming industry legend.

Email creation startup Stensul raises $16M — With other marketing channels paused or diminished during the pandemic, email has only become more important.

Advice and analysis from Extra Crunch

Pandemic’s impact disproportionately reduced VC funding for female founders — Bias, seed-stage bottlenecks and slow structural change continue to hold women back.

Booming edtech M&A activity brings consolidation to a fragmented sector — Edtech M&A activity is buzzier than usual.

Starling Bank founder Anne Boden says new book ‘isn’t a memoir’ — In “Banking On It,” Boden relates how she came up with the idea to found a challenger bank and the many obstacles she faced along the way.

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

Everything else

Raspberry Pi Foundation announces the cute little Raspberry Pi 400 — The Raspberry Pi 400 is a computer integrated in a compact keyboard that costs $70.

Original Content podcast: Bill Murray’s charm can’t hide the sadness of ‘On the Rocks’ — The film reunites Murray with his “Lost in Translation” director Sofia Coppola.

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.

02 Nov 2020

AWS launches its next-gen GPU instances

AWS today announced the launch of its newest GPU-equipped instances. Dubbed P4, these new instances are launching a decade after AWS launched its first set of Cluster GPU instances. This new generation is powered by Intel Cascade Lake processors and eight of NVIDIA’s A100 Tensor Core GPUs. These instances, AWS promises, offer up to 2.5x the deep learning performance of the previous generation — and training a comparable model should be about 60% cheaper with these new instances.

Image Credits: AWS

For now, there is only one size available, the p4d.12xlarge instance, in AWS slang and the eight A100 GPUs are connected over NVIDIA’s NVLink communication interface and offer support for the company’s GPUDirect interface as well.

With 320 GB of high-bandwidth GPU memory and 400 Gbps networking, this is obviously a very powerful machine. Add to that the 96 CPU cores, 1.1 TB of system memory and 8 TB of SSD storage and it’s maybe no surprise that the on-demand price is $32.77 per hour (though that price goes down to less than $20/hour for 1-year reserved instances and $11.57 for three-year reserved ones.

Image Credits: AWS

On the extreme end, you can combine 4,000 or more GPUs into an EC2 UltraCluster, as AWS calls these machines, for high-performance computing workloads at what is essentially a supercomputer-scale machine. Given the price, you’re not likely to spin up one of these clusters to train your a model for your toy app anytime soon, but AWS has already been working with a number of enterprise customers to test these instances and clusters, including Toyota Research Institute, GE Healthcare and Aon.

“At [Toyota Research Institute], we’re working to build a future where everyone has the freedom to move,” said Mike Garrison, Technical Lead, Infrastructure Engineering at TRI. “The previous generation P3 instances helped us reduce our time to train machine learning models from days to hours and we are looking forward to utilizing P4d instances, as the additional GPU memory and more efficient float formats will allow our machine learning team to train with more complex models at an even faster speed.”

02 Nov 2020

PayPal’s earnings don’t excite Wall Street, but bring good news for consumer fintech

PayPal’s stock is down in after-hours trading after reporting third-quarter earnings that beat expectations. It’s not immediately clear why PayPal is losing ground, although it could stem from retail investor having higher expectations than what analysts estimated for the high-flying company.

Despite failing to delight the investing public, it’s possible to see continued strength for the broader fintech industry in its results.

PayPal reported revenues $5.46 billion and adjusted earnings per share of $1.07 in the third quarter of 2020. Both were ahead of analyst expectations of $5.43 billion and $0.94, respectively.

Turning away from PayPal’s income statement, it detailed a wealth of fintech-specific of data to parse, including results that appear to indicate that rising consumer usage of fintech products during the pandemic is continuing. For example, the company reported what it described as the “strongest” pace of growth in its total payment volume in its history.

In numerical terms, PayPal processed $247 billion across, up 38% from the year-ago quarter, and 4 billion payments, up 30% across the same timeframe. For startups that want to facilitate consumer or business payment volume, that’s good news; their market is growing quickly.

PayPal also raised its full-year payment volume growth estimates for the year from the “high 20s” in percentage terms in its Q2 earnings to “approximately 30%” as of the end of Q3 2020, adding to the good fintech news.

Other metrics that PayPal reported were similarly bullish, including Venmo payment processing volume rising 61% compared to the year-ago period to $44 billion. That year-over-year gain was an acceleration from 52% growth in Q2, again compared to year-ago periods.

Finally, PayPal’s “payment transactions per active account on a trailing twelve month basis” grew to 40.1 from 39.2 in the second quarter. Including the Honey deal that closed earlier this year, the number jumps to 41.7.

The results imply winsome ecommerce activity and consumer fintech appetite.

It’s too soon to learn much about from PayPal’s new Venmo credit card, and its cryptocurrency efforts that bolstered the price of bitcoin recently. But core consumer affinity for fintech, viewed through the lens of PayPal’s earnings, looks strong.

Square reports later this week, giving us another look at fintech uptake, as the company processes both business payments and consumer transactions, as well as cryptocurrency purchases.

02 Nov 2020

TikTok strikes new licensing agreement with Sony Music

TikTok announced this morning it has signed new licensing agreement with Sony Music Entertainment (SME) that will allow the short-form video app to continue to offer songs from Sony Music artists for use by creators on its platform. The agreement will also see the companies partnering on efforts to promote Sony artists, TikTok said.

Deal terms were not specified. But the expanded agreement will give TikTok’s creator community access to sound clips from Sony Music’s catalog of current hits, new releases, emerging favorites, iconic classics and deep cuts, TikTok noted in its announcement.

Without going into details, the company also said it would work with Sony to support “greater levels of TikTok user personalization and creativity” and “drive new and forward-looking opportunities for fan engagement with SME’s artists and music.”

This could indicate the companies may together work on promotional efforts that extend beyond just featuring Sony’s music clips — perhaps, something like hashtag campaigns or branded effects that will enable better music discovery or fan connections.

TikTok had already struck short-term licensing deals with Universal, Sony and Warner earlier this year, reports indicated. This had allowed the labels more time to hammer out the particulars of their agreements with TikTok without having to yank their music from the platform in the interim.

According to a Billboard report, TikTok will now pay Sony a “notable increase” over its previous rights deal. TikTok has not yet announced similar expanded deals with other majors at this time.

Though TikTok ultimately had to increase its payments to labels, it’s not without negotiating power of its own. The video app brings to its side of table a proven its ability to drive tracks up the charts and even make careers for newer artists.

Nielsen last year said that no other emerging app had helped break more songs than TikTok. It then pointed to the year’s most listened to on-demand song, “Old Town Road” from Lil Nas X, as well as Ava Max’s “Sweet But Psycho” and Joji’s “Slow Dancing in the Dark,” as examples of TikTok’s marketing power.

Billboard today also noted that TikTok helped drive hits from Sony artists like Doja Cat (“Say So”) and 24kGoldn (“Mood”), and helped Sony discover new talent. Columbia, for example, signed viral TikTok artists including Lil Nas X, Powfu, StaySolidRocky, Jawsh 685, Arizona Zervas and 24kGoldn, the report said.

The new Sony deal, meanwhile, will wrap in artists like Vampire Weekend, Harry Styles, Michael Jackson and others.

Related to TikTok’s power, Spotify just today launched a new promotional marketing tool for artists that allows them to better capitalize on TikTok-driven trends. Its release came about shortly after a TikTok viral video unbelievably sent Fleetwood Mac’s classic hit “Dreams” back up the charts to hit No. 1 on both Spotify and Apple Music.

In addition to its hit-making ability, TikTok today alluded to its power in helping artists reach fans amid a pandemic when their ability to host in-person concerts is limited.

Sony, in a statement, praised TikTok’s ability to drive discovery, too.

“Short form video clips have developed into an exciting new part of the music ecosystem that contribute to the overall growth of music and the way fans experience it,” said Dennis Kooker, President, Global Digital Business and U.S. Sales for Sony Music Entertainment. “TikTok is a leader in this space and we are pleased to be partnering with them to drive music discovery, expand opportunities for creativity and support artist careers,” he added.

TikTok has been on roll in recent months, having also added music from Prince, George Michael, John Lennon, and others to its platform this year ahead of the Sony deal.

02 Nov 2020

What social networks have learned since the 2016 election

On the eve on the 2020 U.S. election, tensions are running high.

The good news? 2020 isn’t 2016. Social networks are way better prepared to handle a wide array of complex, dangerous or otherwise ambiguous Election Day scenarios.

The bad news: 2020 is its own beast, one that’s unleashed a nightmare health scenario on a divided nation that’s even more susceptible now to misinformation, hyper-partisanship and dangerous ideas moving from the fringe to the center than it was four years ago.

The U.S. was caught off guard by foreign interference in the 2016 election, but shocking a nation that’s spent the last eight months expecting a convergence of worst-case scenarios won’t be so easy.

Social platforms have braced for the 2020 election in a way they didn’t in 2016. Here’s what they’re worried about and the critical lessons from the last four years that they’ll bring to bear.

Contested election results

President Trump has repeatedly signaled that he won’t accept the results of the election in the case that he loses — a shocking threat that could imperil American democracy, but one social platforms have been tracking closely. Trump’s erratic, often rule-bending behavior on social networks in recent months has served as a kind of stress test, allowing those platforms to game out different scenarios for the election.

Facebook and Twitter in particular have laid out detailed plans about what happens if the results of the election aren’t immediately clear or if a candidate refuses to accept official results once they’re tallied.

On election night, Facebook will pin a message to the top of both Facebook and Instagram telling users that vote counting is still underway. When authoritative results are in, Facebook will change those messages to reflect the official results. Importantly, U.S. election results might not be clear on election night or for some days afterward, a potential outcome that Facebook and other social networks are bracing for.

Facebook election message

Image via Facebook

If a candidate declared victory prematurely, Facebook doesn’t say it will remove those claims, but it will pair them with its message that there’s no official result and voting is still underway.

Twitter released its plans for handling election results two months ago, explaining that it will either remove or attach a warning label to premature claims of victory before authoritative election results are in. The company also explicitly stated that it will act against any tweets “inciting unlawful conduct to prevent a peaceful transfer of power or orderly succession,” a shocking rule to have to articulate, but a necessary one in 2020.

On Monday, Twitter elaborated on its policy, saying that it would focus on labeling misleading tweets about the presidential election and other contested races. The company released a sample image of a label it would append, showing a warning stating that “this tweet is sharing inaccurate information.”

 

Last week, the company also began showing users large misinformation warnings at the top of their feeds. The messages told users that they “might encounter misleading information” about mail-in voting and also cautioned them that election results may not be immediately known.

According to Twitter, users who try to share tweets with misleading election-related misinformation will see a pop-up pointing them to vetted information and forcing them to click through a warning before sharing. Twitter also says it will act on any “disputed claims” that might cast doubt on voting, including “unverified information about election rigging, ballot tampering, vote tallying, or certification of election results.”

One other major change that many users probably already noticed is Twitter’s decision to disable retweets. Users can still retweet by clicking through a pop-up page, but Twitter made the change to encourage people to quote retweet instead. The effort to slow down the spread of misinformation was striking, and Twitter said it will stay in place through the end of election week, at least.

YouTube didn’t go into similar detail about its decision making, but the company previously said it will put an “informational” label on search results related to the election and below election-related videos. The label warns users that “results may not be final” and points them to the company’s election info hub.

Foreign disinformation

This is one area where social networks have made big strides. After Russian disinformation took root on social platforms four years ago, those companies now coordinate with one another and the government about the threats they’re seeing.

In the aftermath of 2016, Facebook eventually woke up to the idea that its platform could be leveraged to scale social ills like hate and misinformation. Its scorecard is uneven, but its actions against foreign disinformation have been robust, reducing that threat considerably.

A repeat of the same concerns from 2016 is unlikely. Facebook made aggressive efforts to find foreign coordinated disinformation campaigns across its platforms, and it publishes what it finds regularly and with little delay. But in 2020, the biggest concerns are coming from within the country — not without.

Most foreign information operations have been small so far, failing to gain much traction. Last month, Facebook removed a network of fake accounts connected to Iran. The operation was small and failed to generate much traction, but it shows that U.S. adversaries are still interested in trying out the tactic.

Misleading political ads

To address concerns around election misinformation in ads, Facebook opted for a temporary political ad blackout, starting at 12AM PT on November 4 and continuing until the company deems it safe to toggle them back on. Facebook hasn’t accepted any new political ads since October 27 and previously said it won’t accept any ads that delegitimize the results of the election. Google will also pause election-related ads after polls close Tuesday.

Facebook has made a number of big changes to political ads since 2016, when Russia bought Facebook ads to meddle with U.S. politics. Political ads on the platform are subject to more scrutiny and much more transparency now and Facebook’s ad library emerged as an exemplary tool that allows anyone to see what ads have been published, who bought them and how much they spent.

Unlike Facebook, Twitter’s way of dealing with political advertising was cutting it off entirely. The company announced the change a year ago and hasn’t looked back since. TikTok also opted to disallow political ads.

Political violence

Politically-motivated violence is a big worry this week in the U.S. — a concern that shows just how tense the situation has grown under four years of Trump. Leading into Tuesday, the president has repeatedly made false claims of voter fraud and encouraged his followers to engage in voter intimidation, a threat Facebook was clued into enough that it made a policy prohibiting “militarized” language around poll watching.

Facebook made a number of other meaningful recent changes like banning the dangerous pro-Trump conspiracy theory QAnon and militias that use the platform to organize, though those efforts have come very late in the game.

Facebook was widely criticized for its inaction around a Trump post warning “when the looting starts, the shooting starts” during racial justice protests earlier this year, but its recent posture suggests similar posts might be taken more seriously now. We’ll be watching how Facebook handles emerging threats of violence this week.

Its recent decisive moves against extremism are important, but the platform has long incubated groups that use the company’s networking and event tools to come together for potential real-world violence. Even if they aren’t allowed on the platform any longer, many of those groups got organized and then moved their networks onto alternative social networks and private channels. Still, making it more difficult to organize violence on mainstream social networks is a big step in the right direction.

Twitter also addressed the potential threat of election-related violence in advance, noting that it may add warnings or require users to remove any tweets “inciting interference with the election” or encouraging violence.

Platform policy shifts in 2020

Facebook is the biggest online arena where U.S. political life plays out. While a similar number of Americans watch videos on YouTube, Facebook is where they go to duke it over candidates, share news stories (some legitimate, some not) and generally express themselves politically. And as we’ve learned the hard way, that makes it a tinderbox, especially during elections.

Still, there are reasons to be hopeful, particularly given some very recent decisions.

While Facebook acted against foreign threats quickly after 2016, the company dragged its feet on platform changes that could be perceived as politically motivated — a hesitation that backfired by incubating dangerous extremists and allowing many kinds of misinformation, particularly on the far-right, to survive and thrive.

But in the last few months, whether it was inspired by the threat of a contested election, federal antitrust action or a possible Biden presidency, Facebook has signaled a shift to more aggressive moderation with a flurry of positive policy changes. An accompanying flurry of election-focused podcast and television ads suggests Facebook is worried about public perception too — and that’s a good thing.

Twitter’s plan for the election has been well-communicated and detailed. In 2020, the company treats its policy decisions with more transparency, communicates them in real-time and isn’t afraid to admit to mistakes. The relatively small social network plays an outsized role in publishing political content that’s amplified elsewhere so the choices it makes are critical for countering misinformation and extremism.

The companies that direct the flow of online information learned major lessons from 2016.  There’s no way to know which of those lessons will serve us on Election Day and in the days and weeks to follow, but we can hope these were the right ones.

02 Nov 2020

Alphabet’s X details Project Amber, a quest for a single biomarker for depression that fell short of its goal

Alphabet’s X (the Google-owner’s so-called ‘Moonshot Factory’) published a new blog post today about Project Amber, a project it’s been working on over the past three years – the results of which it’s now making available open source for the rest of the mental health research community to learn from, and hopefully build upon. The X project sought to identify a specific biomarker for depression – it did not accomplish that (and the researchers now believe that a single biomarker for depression and anxiety likely didn’t exist), but X is still hoping that its work on using electroencephalography (EEG) combined with machine learning to try to find one will be of benefit to others.

X’s researchers were hoping that depression, like other ailments and disorders, might have a clear biomarker that would help healthcare professionals more easily and objectively diagnose depression, which would also then hopefully make it more easily and consistency treatable. With EEG, there was some precedent, via studies done in labs using games designed specifically for the purpose, in which people with depression seemed to consistently demonstrate a lower measure of EEG activity in response to effectively ‘winning’ the games.

These studies seemed to offer a path to a potential biomarker, but in order to make them actually useful in real-world diagnostic settings, like a clinic or a public health lab, the team at X set about improving the process of EEG collection and interpretation to make it more accessible, both to users and to technicians.

What is perhaps most notable about this pursuit, and the post today that Alphabet released detailing its efforts, is that it’s essentially a story of a years-long investigation that didn’t work out – not the side of the moonshot story you typically hear from big tech companies.

In fact, this is perhaps one of the best examples yet of what critics of many of the approaches of large tech companies fail to understand – that some problems are not solvable by solutions with analogs in the world of software and engineering. The team at X sums its learning’s from the years-long research project up in three main bullet point about its user research, and each of them touch in some way on the insufficiency of a pure objective biomarker detection method (even if it had worked) particularly when it comes to mental illness. From the researchers:

  1. Mental health measurement remains an unsolved problem. Despite the availability of many mental health surveys and scales, they are not widely used, especially in primary care and counseling settings. Reasons range from burden (“I don’t have time for this”) to skepticism (“Using a scale is no better than using my clinical judgement”) to lack of trust (“I don’t think my client is filling this in truthfully” and ”I don’t want to reveal this much to my counsellor”). These findings were in line with the literature on measurement-based mental health care. Any new measurement tool would have to overcome these barriers by creating clear value for both the person with lived experience and the clinician.
  2. There is value in combining subjective and objective data. People with lived experience and clinicians both welcomed the introduction of objective metrics, but not as a replacement for subjective assessment and asking people about their experience and feelings. The combination of subjective and objective metrics was seen as especially powerful. Objective metrics might validate the subjective experience; or if the two diverge, that in itself is an interesting insight which provides the starting point for a conversation.
  3. There are multiple use cases for new measurement technology. Our initial hypothesis was that clinicians might use a “brainwave test” as a diagnostic aid. However, this concept got a lukewarm reception. Mental health experts such as psychiatrists and clinical psychologists felt confident in their ability to diagnose via clinical interview. Primary care physicians thought an EEG test could be useful, but only if it was conducted by a medical assistant before their consultation with the patient, similar to a blood pressure test. Counsellors and social workers don’t do diagnosis in their practice, so it was irrelevant to them. Some people with lived experience did not like the idea of being labelled as depressed by a machine. By contrast, there was a notably strong interest in using technology as a tool for ongoing monitoring — capturing changes in mental health state over time — to learn what happens between visits. Many clinicians asked if they could send the EEG system home so their patients and clients could repeat the test on their own. They were also very interested in EEG’s potential predictive qualities, e.g. predicting who is likely to get more depressed in future. More research is needed to determine how a tool such as EEG would be best deployed in clinical and counseling settings, including how it could be combined with other measurement technologies such as digital phenotyping.

X is making Amber’ hardware and software open-source on Github, and also issuing a ‘patent pledge’ that ensures X will not bring any legal action against users of the EEG Patents related to Amber through use of the open-sourced material. It’s unclear (though unlikely) that this would’ve been the result had Amber succeeded at finding a single biomarker for depression, but perhaps in the hands of the broader community the work the team did on rendering EEG more accessible beyond specialized testing facilities will lead to other interesting discoveries.

02 Nov 2020

NerdWallet acquires small business loan marketplace Fundera

Financial guidance company NerdWallet announced at the end of last week that it has acquired Fundera.

New York City-based Fundera was co-founded in 2013 by Jared Hecht, who previously co-founded GroupMe. It created a marketplace where small businesses could find loans, subsequently expanding into other areas like legal services, while also (like NerdWallet) offering free financial content.

“It can be the wild wild west out there for small business owners,” Hecht said in a statement. “Finding the financial products and the guidance needed to start, grow and fund their businesses can be very challenging, and most small business owners don’t have a resource or partner to support them along their journey. Bringing transparency to this process and educating, empowering and advocating for business owners is so similar to what we see NerdWallet doing in the consumer space.”

And of course, small businesses may be in particularly dire need of assistance now, given the impact of the pandemic.

According to the announcement, Fundera will operate as a subsidiary of NerdWallet, with the entire team making the transition. The goal is to help NerdWallet to expand into the small and medium business market with both content and actual financing.

“Although we offer free tools and content, we’ve never been able to fully support small business owners — that changes today,” said NerdWallet co-founder and CEO Tim Chen. “Fundera has been one of our partners for several years and their deep understanding of the SMB market, the long-standing, trusted relationships they’ve built with both lenders and business owners, and their commitment to putting the needs of small business owners first is really unique and impressive. ”

The financial terms of the acquisition were not disclosed. Fundera had raised $18.9 million in funding from investors including QED Investors, Khosla Ventures, First Round Capital and Susquehanna Growth Equity, according to Crunchbase.

This is NerdWallet’s second acquisition of 2020, having previously acquired U.K.-based Know Your Money. The company says it’s been growing and profitable for the past several years.