Tech

The Virtual Skinny: Wanna Be Starting Something

Posted by The Virtual Skinny on in Internet & Tech, Newsletter

10.20.2015

Good to Know: Did she actually say that? It’ll be hard to tell with John Oliver’s new site, definitelyrealquotes.com.  The site creates quotes that sound real and attributes them to well-known people. 

THE SKINNY

Before the Water Runs Dry … 

Could getting recruited and hired by a paying startup become increasingly difficult? Maybe.

asking for too much?

Investors are slowly backing away from tech companies looking to be publicly traded because these companies are asking for more money than investors think they’re worth. Prove it? To date, only 14% of companies that have gone public are considered tech. Once tech companies make their Wall Street debut, they start to underperform. Wall Street Journal says that 11 of 49 U.S. tech companies that have gone public since 2014 are being traded below their projected value. Just ask New York City firefighter Brian Gitman who bought hundreds of shares in online marketplace LendingClub. It didn’t work out well.

What happens when the price isn’t right?

Well, if the most legit Silicon Valley startups aren’t seeing the moolah from investors, this could spell trouble for tech companies that choose to remain privately held.  Basically, it would mean saying bye-bye to startup jobs and salaries. But, that’s worst case scenario. Other venture capitalists and startup execs aren’t letting you see them sweat. They believe everything will be just fine, especially since it’s never been cheaper to build a business, and startups are maturing faster now than they ever have.  *Fingers crossed* 

WHAT ELSE IS GOING ON? 

Don’t Come for Me Unless I Send For You … 

This past August, the New York Times (NYT) published a pretty scathing explanation of Amazon’s workplace.  Let’s just say NYT described Amazon’s corporate culture as less than inviting. For example, one employee said she once had to pull four days worth of all nighters (and that’s not even the worst anecdote). Former White House Press Secretary and Amazon’s VP of Worldwide Corporate Affairs Jay Carney just hit back in a blog post published on Medium.  Carney says the NYT didn’t follow standard journalism practices like vetting their sources and checking in with the company to get its side of the story.  He says he’s speaking up now because they followed up with the newspaper and gave it ample time to correct their mistakes. NYT editor Dean Baquet responded to Carney, and his rag isn’t backing down from their original story.  Fighting words! 

Drop It Like It’s Hot … 

Snapchat says Yahoo just doesn’t know how to relate to the kids so it’s dropping the veteran Internet company as partner for its “Discover” feature. Through “Discover,” Snapchat is trying to figure out how to deliver news to young people that won’t have them running for the hills. But, it’s partnership with Yahoo wasn’t helping namely because Katie Couric (who is basically the face of Yahoo’s news content) brought her old school reporting ways to the app.  With Yahoo out, Buzzfeed’s got next.  The Snapchat deal is only one of Yahoo’s worries.  The Internet company’s execs are abandoning ship: First, it’s Chief Development Officer Jacqueline Rese is heading to payments company Square and now its Marketing Partnerships Senior Vice President Lisa Richt is dipping out too.

THE STREETS ARE TALKIN’

 

Facebook wants to give you a heads up if it thinks you’re the target of a government-sponsored hack job.

Thumbtack, a platform that helps match you with providers like your local plumber or a tutor, is bringing in big money and just hired its new Chief Financial Officer Servaes Tholen and Katie Biber as its new General Counsel.

Making the old, new again.  Uber is trying to make sure your drivers know exactly where they’re going. The ride-hailing app is relying on Microsoft’s mapping technology, the software company’s former engineers, and Uber’s own “mapping” cars to help improve its navigation service.

Yahoo isn’t the only one struggling to catch young people’s attention. Apple Music’s paying customers are skewing older, and the company says it retained 6.5 million subscribers after its free trial ended.

YouTube’s paywall is coming soon. Get ready to fork over money if you want access to exclusive content.

Rumor has it that Netflix is bringing Gilmore Girls back …

 

The Virtual Skinny: Case of the Mondays?

Posted by The Virtual Skinny on in Internet & Tech, Newsletter

10.19.2015

Good to Know:  The new Star Wars trailer debuts today … 

THE SKINNY

Let’s keep it real … 

E-commerce company Amazon facilitates the sale of many things, but fake product reviews is not one of them.  The company is suing just over 1,000 unknown people for selling inauthentic reviews to Amazon’s U.S. merchants and manufacturers.

How did this happen? 

Looks like people took to Fiverr.com, an online marketplace where people search for minor tasks to take on in exchange for a bit of cash (we’re talking tasks that can cost as little as US$5). These freelancers offered to write fake positive reviews for merchants and manufacturers willing to pay.

On A Mission … 

Amazon is all about the customer and doesn’t appreciate efforts (no matter how big or small) that could negatively impact people’s ability to rely on product reviews while they shop on its site. The company went 007 and launched an investigation where it posed as potential clients for these fake reviewers.  Amazon has made it clear that Fiverr won’t be involved in the suit mainly because the online marketplace tries to clamp down on this sort of thing on its own site as well.  Amazon’s solely looking to go after the 1,000+ “John Does” responsible.  Trust is every-thang …

WHAT ELSE IS GOING ON?

When Someone’s word means nothing …

This past September, China’s President Xi Jinping paid a visit to President Obama. They had a nice chat and even broke bread during the White House state dinner. Promises were made by the U.S. and China to avoid “knowingly” supporting cyber theft of corporate secrets.  But, words are just words.  Software company Crowdstrike says it has reason to believe that the Chinese government is associated with about 7 cyber attacks on U.S. companies (5 tech and 2 pharmaceutical companies).  It’s alleged that the hackers are using a software program called Derusbi to steal companies’ intellectual property and their secret sauce (aka trade secrets). China’s response? Deny, deny, deny! Hua Chunying, spokeswoman for the Chinese Foreign Ministry, says China doesn’t support any of this.

Clutch Decision … 

Last Friday, Google locked down a major “W” in a case that’s been going on for a decade. Quick trip down memory lane:  In 2005, the Author’s Guild, the group repping writers, was upset by Google’s Book project. You know what we’re talking about … It’s the reason why when you search for a book, the Google machine may return a scanned version and give you access to bits and pieces of the text for your reading pleasure.  The Authors Guild thought Google was violating authors’ copyright and sued.  In the case’s recent chapter, a NY federal appeals court said that what Google is doing is totally fair under U.S. copyright law. Good news for Google because taking the “L” on this one would’ve cost the company billions of dollars.

THE STREETS ARE TALKIN’ 

The parent company of swiping left and swiping right, Match Group, is going public. The company, soon to be known on the streets (Wall Street) as ‘MTCH’, is well aware of its challenges. Namely- there are a ton of dating sites/apps so competition is tough, and successfully matched people won’t be returning to the service (or so we hope).

Competing with the best of ’em … Netflix is making good on its plans for international expansion. The service debuts in Spain, Italy, Portugal, and 13 other European countries this week.  But, Netflix’s got its work cut out for it.  Europeans already have their go-to video on demand services, and regulatory restrictions are not helping its case.

When David beat Goliath … Apple has been ordered to pay University of Wisconsin $234 million for using the school’s patented technology in iPhones and iPads without acquiring licenses to do so.

Yahoo’s Chief Development Officer Jacqueline Reses is switching teams and going over to Square.

Apparently teens are so over FB and prefer Instagram, Twitter, and Snapchat (in that order).

Speaking of teens, 18-year-old Tiffany Zhong (nickname: Tiff) is already an analyst and associate at Binary Capital, a venture capital firm.  Don’t know about you, but we’re probably going to re-evaluate our lives now …

The Virtual Skinny: What Are You Waiting For?

Posted by The Virtual Skinny on in Internet & Tech, Newsletter

10.16.2015

Good to Know: Use Yahoo Mail? No more forgetting your password and having to re-set it for the 1,567th time. Say hello to Yahoo Account Key where push notifications are all you need. 

THE SKINNY

When Double Dipping Is Ok … 

Startup incubator Y Combinator (YC) just scored a ton of cash ($700 million). It wants to throw more money at successful startups it helped build like AirBnB and Dropbox. The business term is “late stage funding.”  (Side note: If we’re talking food, double dipping is never ok … Never!). 

Back To The Topic At Hand … 

YC is calling this new fund “YC Continuity.”  By looking to invest in startups later on, YC sees this as just a natural extension of its program, especially since its startups routinely still “call home” for advice as they mature. These days, tech companies are choosing to stay private and not go public, and all types of venture capital firms are making it rain on late stage startups in Silicon Valley.  So, this looks like a good move for YC.

Ok, So?

People are excited.  Even Michael Bloomberg and Stanford University are getting in on this. But, there’s still concern that since YC will be like any other investor, fledgling YC startups won’t give it to them straight with regards to what is really going on with their business.

WHAT ELSE IS GOING ON?

No, We’re Not Together … 

Yesterday, Netflix said that it brought on only 880,000 U.S. subscribers to its service in the third quarter. Disappointing numbers, but it had a reason.  The company said new chip-enabled credit cards are to blame for the “involuntary churn” because subscribers’ payment information it had on file no longer worked.  This explanation had analysts doing head tilts. Credit card companies called B.S. Now, others like music service Spotify and online marketplace Care.com are treating Netflix like that friend you refuse to claim publicly because of their less than smart comments.  These companies said they can’t relate but are sending out payment update reminders to their users.

Finally, Some Good News … 

Uber just got a break in the United Kingdom. It won’t have to change its service for compliance with black-cab driver rules in London because a court just said that Uber’s legal.  Quick background.  Minicabs and black cabs were hating on Uber and said its app is the same thing as a taximeter, which is reserved for black cab drivers.  The cabbies basically backed the Transport for London into a corner until it brought a case against the U.S. ride-hailing app company. But, Lord Justice Ouseley, in many more words, was like “I don’t think so.”  If only other cities around the world felt the same way about Uber …

THE STREETS ARE TALKIN’

Nevada just showed fantasy sports sites (including FanDuel and DraftKings) with no gambling license the door.  It joins the ranks of other U.S. states like Louisiana, Arizona, Iowa, Louisiana, Montana and Washington that are banning these sites.

Dropbox wants its new Paper software for collabos to be the new Google Docs.

Forget London. Ireland’s growing into its own for tech & innovation. Over 1,500 tech companies call it home.

Mo’ money, mo’ problems. Payments company Square’s employees will be “rich … verrrrry rich” once the company goes public.  It’s worried employees will lose motivation and even dip out on the company all together post IPO.  Would you blame them?

French music streaming service Deezer’s got money on its brain. It’s looking to compete with the likes of Spotify and Apple Music by going public at the end of October for a targeted $345 million.

If you’re between the ages of 18 and 34, NBC Universal wants to make you laugh with Sesso, its new video on demand comedy channel for about $4/ month.

Did you know laughter is food for your soul? Because we love to laugh (and it’s Friday), check out Buzzfeed’s latest listicle of tweets about the Internet.

The Virtual Skinny: Wakey, Wakey!

Posted by The Virtual Skinny on in Internet & Tech, Newsletter

10.15.2015

Good to Know:  Restaurateur Danny Meyer wants to get rid of tipping in the U.S. 

THE SKINNY

When You Actually Just Don’t Have Time … 

Twitter’s Co-Founder and two-time CEO Jack Dorsey is about his business (or two). Dorsey just put the world on notice that he’s going public with his other company, Square – maker of … well, those small white plastic “squares” often plugged into smartphones when people want you to pay them what you owe them.

When People Are Giving Major Side Eye … 

Ok, so two things: (1) Square isn’t profitable just yet – its revenues totaled $560 million the first half of this year and losses during the same time came out to about $78 million (apparently, not great). (2) This isn’t exactly prime time for tech-related initial public offerings (IPOs) because investors seem a little over it (only 22 tech IPOs happened this 3rd quarter compared to 53 same time last year), and other companies like Chinese Internet company Alibaba have been struggling with stock prices. If you want in, Square’s stock price may start out at $18.56 per share (at the very least).

i’ve got this…

Moving forward, Square wants out of its less than profitable deal with Starbucks. Also, the company is pretty open about the fact that Dorsey will sporadically be forced to play favorites and give his other responsibilities (aka Twitter) more love. But, he still controls an impressive 24.4% of Square  so he can’t be too neglectful.  Square’s leader wants to empower your local business to accept any type of payment – cash, cards, bitcoin, etc. He also plans to commit 10% of the entire company to help artists, musicians, and local businesses in underserved areas through the Start Small Foundation.  This guy! 

What Else Is Going On?

Sometimes, It’s Good To Be Bad …

Internet companies want hackers to use their skills for good, not evil. Protecting and securing your online information is a major issue that companies (not just Internet companies) want to figure out, especially after big names like Sony Pictures, Target, Home Depot, and T-Mobile via credit agency Experian took some major hits thanks to hackers. This crafty group has even created a black market where bad guys and even governments pay top dollar for not yet widely known flaws in systems.  But, companies like Facebook, Yahoo, PayPal, etc. are luring hackers from the dark side  with monetary rewards for those who can spot vulnerabilities in a company’s system before it’s forced to say “Code Red” due to a breach.  There’s also Google’s Project Zero, which is made up of top-notch hackers to uncover bugs in Google’s system and across the entire InterWebs.

It’s Complicated …

Earlier this year, Taylor Swift rocked the music industry when she removed her entire catalog of work from streaming service Spotify.  She made very public statements about how online music services like Spotify aren’t fairly compensating artists for their work. These days, it’s Tay Tay’s world, and we’re all just living in it (No hate. No shade). Naturally, people listened. Other artists like Aloe Blacc (you know him for the “Wake Me Up” song) backed her up and even made visits to U.S. Members of Congress to air his grievances.  Turns out Spotify shouldn’t be blamed. The real culprit? America’s music licensing system:  It’s a hot mess.  Basically, many people can own different parts to a song. When a song is uploaded to a streaming service, information about who owns what isn’t included. That makes it very hard for services like Spotify to determine who is owed what. These services end up paying the record labels to settle the score, but the money doesn’t always trickle down to the artists. Ok, that’s enough …

TOLD YOU SO … 

Are you into fantasy sports websites?  Did you recently get a call from the U.S. Department of Justice (DOJ)?  If you answered “yes” to both, then you’re likely a DraftKings customer.  The U.S. Department of Justice (DOJ) and the Federal Bureau of Investigation are getting involved in fantasy sports sites FanDuel and DraftKings’ alleged insider trading drama. DOJ is putting in calls to DraftKings’ users to ask about their experience with the service. The agency wants to figure out whether fantasy sports sites are legit or just unregulated gambling.

The Streets Are Talkin’

Thanks to new chip-enabled credit cards in the U.S., Netflix says it on boarded less than a million new subscribers – way below its anticipated numbers – in the third quarter. Something about the switch to new cards caused “involuntary churn” since the old cards on file no longer worked. Analysts aren’t buying it. That’s Netflix’s story, and it’s sticking to it.  On the upside, Netflix wants to be “edgy” and is stepping up its documentary game. We also hear its film Beast of Nations is Oscar-worthy.

In the midst of layoffs this week, Twitter brought on former Googler Omid Kordestani to join the team as its Executive Chairman. Kordestani tweeted about his excitement..

Must be something in the water. LivingSocial just handed 200 employees pink slips. Daily deals are no longer working out for the company so it’s moving towards more “experience-based services” (e.g., haircuts, massages, etc.).

Who knew Amazon had a travel marketplace called Amazon Destinations? Probably explains why the company shut it down with a quickness after only six months.

LinkedIn is changing up company referrals.  The professional network just released a new product appropriately named “Referrals” to make it easier for your connections to refer you for that open position at their companies.

Female executives at GoDaddy make 4 percent less than male execs according to the company in its newly released diversity report.

Did someone say diversity? AirBnB  promises to hire someone (a “Head of Diversity”) to help the company do better.

 

 

 

 

The Virtual Skinny: Halfway There, Already

Posted by The Virtual Skinny on in Internet & Tech, Newsletter

10.14.2015

Good to Know:  Working remotely is generally a good deal unless you’re about to be canned. Yesterday, Twitter employees working remotely found out they got laid off only when they could no longer access their company e-mail.  Ouch! 

THE SKINNY

It’s Hard Out There …

Breaking into the music biz is tough. The Recording Industry Association of America (RIAA) just said “see you in court” to Aurous, a newly released music streaming service, and one of its creators Andrew Sampson.

RING THE ALARM …

Aurous came out just this week. Unlike what we’re used to with Spotify-type services, Aurous is completely free (look Ma, no ads!). Spotify-types usually negotiate and license music from record labels so you can listen to your sweet jams.  Aurous doesn’t bother. Instead, the service fancies itself an aggregator of sorts and pulls music from third-party services like Spotify, YouTube, SoundCloud, etc. The RIAA is giving Aurous major blank stares. The music industry rep says that the service is blatantly violating copyrights left and right. Plus, it says Aurous’ main sources are Russian sites notorious for offering pirated music. They want the court to shut it down and for Sampson to cough up $3 million in damages. Shots fired!

joke’s on them …

Aurous and Sampson took to Twitter to respond to the RIAA. Let’s just say, they’re not taking it that seriously. The company seems confident that the suit is rubbish, and it will be able to continue operating.  But, it should be a little worried. Turns out using those Russian sites may not bode well in court. In the meantime, Sampson is telling the music industry to be cool because he plans to create a system for them to flag infringing songs.  He even wants users to be able to tip their fave artists with virtual currency bitcoin. We shall see…

What Else Is Going On?

Pop Up Video … 

What can we say? Facebook is literally into everything.  The company announced that it’s trying its hand at video.  FB wants people to be able to save videos right from their homepage, and it’ll also offer up suggested videos based on viewing habits and give access to vids posted courtesy of your friends, celebs, companies, etc.  What’s the big deal? It’s all about the $200 billion companies are shelling out for TV ads. Naturally, FB wants some of those ad dollars and will begin sharing its ad revenue with video creators soon. For now, FB is testing the video feature only with a small group of people. But, it’s probably still safe to say, watch out YouTube,  FB’s coming for you.

Read Between the Lines … 

Fresh off the biggest tech merger ever between EMC and Dell, some people on Wall Street are getting worried about the amount of deals going on this year.  Companies joining forces have already captured $3.5 trillion in merger transactions.  Bankers are concerned that this could be signs of a weak economy. Taking a look at recent mergers, particularly the EMC/Dell collabo, many have been in efforts to cut costs and to turn around struggling companies.  These mergers are coming from a place of weakness and not strength – another cause for concern.  We should expect to see more of this trend over the course of the next year, but it could be longer due to low interest rates.  Financial analysts are saying this type of deal-making isn’t sustainable and are watching the markets.  Hold onto your hats, people!

The Streets Are Talkin’

Chinese Internet giant Alibaba is going European.  As growth slows in China, the company continues its international expansion by opening offices in Italy, France, and Germany.

Nothing like having good conversations while breaking bread with strangers.  Under the radar app, EatWith is still working to bring strangers together over a shared meal.

Staying on the food trend, UberRush, Uber’s new courier service, is launching in Chicago and San Francisco. Services aren’t limited to just food deliveries either. Flowers anyone? Also, Uber is lending its driver network for a good cause. It’s partnering with the U.S. National Center for Missing & Exploited Children to send Amber alerts to drivers.

Snapchat is trying to figure out what it wants to do in the content space and creating its own original content isn’t on the list. The company just let its ‘SnapChat Channel’ team go.

FB heard your complaints and no longer wants you to re-live those hard moments in your life. It’s now letting you filter out stuff you don’t want to be reminded of via its ‘On This Day’ feature. Once is enough, please and thank you!

Laser Razor sounded too good to be true, and Kickstarter thought the same thing.  The crowdfunding platform pulled the project after it raised $4 million. No working prototype? No funding!

Apparently, reality shows about startups are a bad idea. Cross that off your list of #LifeGoals.

 

The Virtual Skinny: Open Up!

Posted by The Virtual Skinny on in Internet & Tech, Newsletter

10.13.2015

Good to Know: “Make sure it’s something that you love so much that even if you were fired you would do it over and over and over again because you’ll build it differently” – billionaire and Theranos founder’s Elizabeth Holmes’ advice on starting a new venture.

THE SKINNY

Gotta Spend Money to Make Money … 

After months of ‘on the low’ meetings, computer company Dell said it’s buying EMC, computer data storage company, for a cool $67 billion.  Sort of a big deal.

IS it Worth it?

This is the largest tech buyout … ever (even beating out that time Facebook shocked everyone and bought messaging app WhatsApp for about $22B). Dell is willing to drop major cash and take on some insane debt to get its business back on track.  In case you haven’t noticed, many of us aren’t buying up personal computers (PCs) like we used to and sales have been declining for quite a while (14 quarters to be exact).  Big risk, big reward?

‘Cuz You Know They’ve Got Bad Blood… 

After the announcement, Hewlett-Packard (HP) piped up and said it intends to take full advantage of this time since Dell and EMC will be too preoccupied with this deal to innovate on anything. Previously rumored to be in merger talks with EMC, HP has its own issues. The company laid off thousands of employees and recently announced it’s splitting into two companies (one consumer facing and the other B2B).   Michael Dell must’ve gotten wind about what HP had to say and hit back on the issue of potentially downsizing. He says there are no plans for layoffs and added “…other companies are better at reducing headcounts than we are.” Oh, the shade of it all!

Wrap It Up … 

The deal will take effect within the next year. Michael Dell will remain the top guy for the merged companies, but EMC’s CEO Joseph Tucci is out.  He was planning to retire anyway and wanted this deal to be his legacy. Tucci will likely walk away with about $27 million . We’ll take it!

WHAT ELSE IS GOING ON?

It’s Not Personal, It’s Just Business …

Speaking of layoffs, it’ll be a tough holiday season for about 336 Twitter employees (8% of its workforce).  The company is letting them go in efforts to reduce costs as it focuses on bringing in new users.  Twitter has had trouble attracting new people to its service, mainly because they say the platform is overwhelming and hard to use. Advertisers aren’t happy with Twitter’s services either (which is a huge problem since advertising is Twitter’s main revenue source).  Newly re-minted CEO Jack Dorsey definitely has his work cut out for him. But, he’s up for the challenge and sees this as an opportunity to narrow the company’s focus and create more efficiency.

Making The World A Better Place … 

One tech startup at a time.  These days, some tech startups aren’t trying to be the next billion dollar business but are simply trying to do some good in this sometimes cold, cold world.  Wall Street Journal’s got the story and is highlighting non-profit tech orgs like Stellar.org, a nonprofit trying to help out the 2 billion unbanked people around the globe. Even reputable startup accelerator YC Combinator just opened a new research lab known as YC Research to tackle more long-term projects with a focus on social good. Organizations focusing on social impact more than profits are on the rise, and accelerators, like Google.org and BlackRock Inc.’s Fast Forward, are ready to back them.

Express Yourself …

Or not, in China and Turkey’s case.  Over the weekend, Apple had to pull its new Apple News service from China to stay clear of the Chinese government telling them what they can and cannot release over the app. And shortly after the devastating suicide bombs in Ankara, Turkey, Turkish citizens tried to turn to social networks like Twitter, but the government wasn’t having any of it.  It was later reported that Turkey’s government put out a media ban, limited people’s access to e-mail, and shut down access to Facebook and Twitter all together. This isn’t the first type the government has done this. Looks like free speech is hard to come by some times …

The Streets Are Talkin’

Stanford University says computer science is now very popular among its female students (about 218 women are enrolled in the major).  That’s what we like to hear!

Facebook continues with its plans to take over the world.  It’s latest move? Testing out the e-commerce waters.  The company is coming out with a “Shop” section and is also trying to figure out how to make it easier for you to make seamless purchases via ads.

Do you want to know what diseases you’re susceptible to? Or, how you’ll react to certain medications? Ancestry.com wants to tell you with its DNA kit. But first, it needs the go ahead from the U.S. Food & Drug Administration.

And in other head tilting news, PepsiCo wants to help market smartphones in China.

 

 

The Virtual Skinny: Hello, Weekend!

Posted by The Virtual Skinny on in Internet & Tech, Newsletter

10.9.2015

Good to Know:  It’s a long weekend (note: in the U.S., Oct.12 is Columbus Day).  No worries … We’ll be back on Tuesday, October 13! 

THE SKINNY

Pointing Fingers …

Someone hacked Uber’s system, and the ride-hailing app thinks Lyft (its U.S. nemesis) did it.

You’d Better Be Able to Back It Up … 

Someone accessed Uber’s system and downloaded up to 50,000 drivers’ names and license numbers.  Uber admits this probably all went down because an employee inadvertently made a security key code publicly available by posting it to GitHub, a website programmers use to trade code. Thanks to a Comcast IP address, Uber thinks Lyft’s Chief Technology Officer Chris Lambert is their Public Enemy #1.  The company can’t be too sure since the person’s identity is unknown.

Ok? Now What?

Uber won’t stop until it gets to the bottom of this.  Since it can’t identify the person, the company filed a “John Doe” lawsuit and got Comcast involved.  Uber convinced a federal judge to order Comcast to turn over records on the mystery subscriber.  Attorneys for the subscriber are appealing the decision to avoid any potential “embarrassment and reputational harm” that could result from a reveal.  Based on GitHub’s records, Uber’s targets could be any of four groups, including the Comcast IP address.  Investigators think the Comcast subscriber has a history of trying to scrape Uber’s website for driver data and also believe that other databases show that the IP address links to Lambert.   Lyft’s spokesperson said “no way, Jose” because Uber has no real evidence.

WHAT ELSE IS GOING ON? 

Onwards and Upwards …

Despite its legal drama with Uber, Lyft is making some important business moves.  The company is partnering with Hertz Global Holdings to rent SUVs out to potential Lyft drivers.  Stats show that over 60 million people over 25 years old in the U.S. don’t own a car.  So, car rentals may be the answer to get more drivers into Lyft’s network. The Lyft-Hertz agreement includes discounted rates for Lyft drivers. Here’s the rental price breakdown: a standard SUV – $25/day, $150/week or $540/month;  a premium SUV -$65/day, $390/week and $1,400/ month.  And in other good news for Lyft drivers, the company is launching its Express Pay service next month, which means same day payments for drivers.

Had I kNOWN … 

Earlier this week, we learned that fantasy sports websites FanDuel, Inc. and DraftKings, Inc. went into full on damage control after getting some unwanted attention, particularly from the New York State Attorney General, after news broke of potential insider trading by one of DraftKings’ employees.  Both companies banned their employees from competing in their daily contests for money and also brought in seasoned legal teams to get their houses in order.  But, as they say, things will get worse before they get better. Fantasy football player Adam Johnson who frequents both websites just filed a class action lawsuit against FanDuel and DraftKings.  Johnson says he put 100 bucks into his DraftKings account but wouldn’t have done so had he known that a company employee may not have been playing fair.  The damages Johnson is seeking have yet to be determined.

THE STREETS ARE TALKIN’

Uber is in a fighting mood. São Paulo’s  Mayor Fernando Haddad banned the service in his city recently but later came up with a proposal that would allow Uber to operate legally. The proposal involves things like Uber admitting that it’s a “black taxi,” all Uber cars must painted black, and cars must be less than 5 years old.  Not to mention, fees would apply. Uber said no thanks since it’s not a taxi service.

Price goin’ up!  Netflix’s new users will be on the hook for a dollar more in fees.  The streaming service’s price just went up to $10. No need to worry existing customers, your monthly fee will remain the same — for now.

Payment company Stripe just brought on Will Gaybrick as its new Chief Financial Officer. Gaybrick was previously an investor and software engineer with a law degree. Stay in school, kids.

Pinterest engineer Makinde Adeagbo wants to do his part to solve tech’s diversity problem. He just founded a non-profit to help connect black engineers with the resources needed to jumpstart their careers.

Next time you’re at your local KFC, Starbucks, Chili’s or Best Busy just know that using Apple Pay is an option.

Facebook’s David Marcus says messaging is the wave of the future.  Given how well things are going in Asia with other messaging apps, we could see FB Messenger grow into a full-blown business complete with peer-to-peer payments and the ability to connect directly with businesses.

The Virtual Skinny: Forget Me Not

Posted by The Virtual Skinny on in Internet & Tech, Newsletter

10.7.2015

Good to Know: Dorothy was right. There really is no place like home. Ex-NSA contractor turned whistleblower Edward Snowden is prepared to return to the good ole U-S of A to do some prison time. Snowden says he’s made this clear to the U.S. federal government and is still waiting on a response. 

THE SKINNY

put me in, coach!

This week’s alleged insider trading scandal involving fantasy sports websites FanDuel, Inc. and DraftKings, Inc. has caught the New York State Attorney General’s (AG) attention, and he wants to know what the deal is with these companies’ employees.

Have Your Cake and Eat It Too … 

At least one employee, DraftKings’ Ethan Haskell, missed the memo that you can’t do that. Haskell said he messed up recently when he prematurely released internal data regarding NFL games.  This would’ve probably been cool except we later found out that he made $350K that same week when he placed a bet on competitor site FanDuel.  Now, people want to know whether it’s fair to allow employees to participate in competitors’ services given what they know from their day jobs. Both companies denied any wrongdoing, but the NY State AG sent a letter to both companies saying that this episode has “raised[d] legal questions [of] fairness, transparency, and security.” The AG is requesting information on company employees (including Haskell) and wants answers by October 15.

Things Are About To Get Real … 

Online fantasy sports is a multi-billion dollar industry that has managed to fly under the radar and avoid regulation unlike online poker.  But, many people are starting to think that this is no bueno. Industry pros, who have made millions playing fantasy, think that the industry would benefit from oversight and just better industry practices. One pro Corey Albertson says companies should focus on hiring professional people who simply want to offer quality service rather than betting on games themselves (#ShadyShade).  U.S. Capitol Hill is watching, and some Members of Congress are outraged.  New Jersey’s Senator Bob Menendez even wants the U.S. Federal Trade Commission to launch its own investigation. Meanwhile, professional sports leagues and individual teams are watching how things unfold.

WHAT ELSE IS GOING ON? 

Going local…

European privacy advocates are happy.  U.S. companies, on the other hand, not so much. Remember the European Court of Justice decision, we told you about? No? Here’s a quick reminder.  Companies, particularly those offering cloud based services like Amazon and Google, are shelling out money to build more data centers located in Europe.  But, this will likely pay off in the long run as having more local operations could help avoid legal trouble down the road.

THE STREETS ARE TALKIN’

Microsoft announced its first ever laptop called the Surface Book. We’re talking 13.5-inch display complete with 6 million pixels and a 5-point multi-touch “precision” glass trackpad. Who’s buying?

Pandora and ticket vendor for small-scale music venues Ticketfly just finished a $450 million deal.

Reddit’s expanding with a new standalone service – a news site called UpVoted. The site will feature original stuff from its editorial team.

 

The Virtual Skinny: Making Waves

Posted by The Virtual Skinny on in Internet & Tech, Newsletter 0 Comment

3.31.2015

Good to Know:  No more lame texts.  Magisto Shot, an app related to FB messenger, wants to bring you what its founder Oren Boiman calls Video 2.0.  Basically, Boiman wants to bring back body language, facial gestures, etc. through video messages. We’re interested. 

THE SKINNY.

I’M A HUST-LAH… 

Earlier this week, Jay Z launched his new music streaming service, Tidal.  To be fair, it’s actually a re-launch.  Hova through one of his companies, Project Panther Bidco, put up $54 million to purchase Tidal from its former owner Stockholm based company Aspiro. 

Ok, And? 

We know what you’re thinking … what makes this any different from Pandora, Spotify, iHeartRadio, or other existing music streaming services?  Tidal is being marketed as offering high definition music streaming services as well as access to HD music videos and industry news courtesy of the company’s editorial team.  Unlike Spotify, there is no “free” option. Basic service will cost about $10 and premium service twice that amount at $20.  #RICH

Why Should I Consider It? 

During the Tidal press event (which according to popular opinion was a bit off), big name artists like Rihanna, Kanye West, Madonna, Daft Punk, and Beyonce (obvi) to name a few are supporters of Tidal.  It’s reported that these artists will stream exclusively on the platform.  Even Taylor Swift who caused an uproar not too long ago by pulling her entire catalog of music from Spotify wants in (1989 is still out of the question though).  Other than personal and professional relationships to lock in these artists, it looks like Tidal’s promise to pay these artists more per stream than other existing services is a good selling point for their participation.  #TIDALforALL   

Don’t Knock It Before You Try It? 

Tidal is offering a 30-day free trial.  Interested? Try it out and let us know how you feel.  Tweet us at @Briefed_me!

What Else is Going On?

In Other Music News … 

Apple and Beats are teaming up for its very own music service to rival Spotify and now Tidal. This service is in addition to its  iTunes Radio. Pricing will be on par with its competitors since Apple was unsuccessful in securing a $2 markdown from $10 to $8.  Also, on the global scene, Alibaba is making good on its promise to be the world’s largest digital empire.  The Chinese e-commerce site just secured a digital distribution deal with BMG, a German music rights group. BMG exec Hartwig Masuch sees this deal as a huge opportunity, “Internet and paricular mobile media are quickly providing an answer to the music industry’s long-time challenge of how to monetize the vast untapped potential of the Chinese market.”

Stepping Up to the Plate …

Tech industry leaders are jumping into social issues in the aftermath of Indiana’s new law.  What law? Well, ICYMI the state’s Republican Governor Mike Pence recently signed into law the Religious Freedom Restoration Act.  The issue is this new law could potentially lead to discrimination against the LGBT community. Arkansas passed a similar bill.  In a joint statement out today by many tech leaders, the group said, “To ensure no one faces discrimination and ensure everyone preserves their right to live out their faith, we call on all legislatures to add sexual orientation and gender identity as protected classes to their civil rights laws and to explicitly forbid discrimination or denial of services to anyone.”  Sidenote: Pence is rumored to be considered a 2016 presidential run.  This should be interesting …

Other Woes …

It’s that time of the year again and the tech community is not pleased.  April 1 marks the period where U.S. immigration accepts H-1B wok visa applications.  In recent years, demand has always outpaced supply when it comes to potential employees and their employers securing these visas.  This year won’t be any different.  There are 85k visas available, and the U.S. government expects to reach this cap in just five days.  Immigration reform can’t come soon enough …

The Streets Are Talkin’

Amazon is expanding its service offerings with “Home Services.”  This service will make it easier for shoppers to reach local service providers (e.g., TaskRabbit, Dish satellite-TV service, etc.).   Also, the Web company recently announced its “Dash Button,” which allows consumers to place orders for essential household items by simply pushing a button. #ThatWasEasy #MaybeTooEasy

As Heidi Klum says, “one day you’re in, next day you’re out.”  And, it looks like Meerkat is out and Periscope (Twitter’s answer to the app) is in.

The Virtual Skinny: Spring Is Springing?

Posted by The Virtual Skinny on in Internet & Tech, Newsletter

3.17.2015

Good to Know:  SxSw is in full swing, and tech companies are naturally making big announcements from Yahoo’s on-demand passwords available only in the U.S. to the premiere of “Steve Jobs: The Man in the Machine” documentary.  Too many cool things, we can’t even stand it!  

THE SKINNY.

It’s Finally Here … 

Last week, the Federal Communications Commission released its long awaited Open Internet rules.

Maybe Legal or Maybe Not? 

For weeks, we’ve all known that the 313-page Order would go into detail on three rules – no blocking, no throttling, and no paid prioritization.  In other words, Internet service providers (ISPs) may not block access to lawful, online content or services.  ISPs will also not be able to slow down Internet traffic to certain types of content.  And lastly, ISPs cannot be monetarily compensated to permit faster access to particular types of content, services, and applications.  While we’ve been expecting these rules for several weeks, the Order also raised legal uncertainties that are open to various interpretations.  One particular section under scrutiny is the “just and unreasonable” provision.

Anything You Can Do, We Can Do Better…

Well, now that the Order is out, the Republican led U.S. Congress is set to grill the Commission’s Chairman Tom Wheeler in a number of hearings this week.  Expect questions about how the Order evolved from a hybrid approach to its current state, particularly since the change happened soon after President Obama’s endorsement of Title II.  Congress thinks it can do better on net neutrality rules.  As they say, only time will tell.

What Else Is Going On This Week?

2015 = The Year of Apple?  

Last week, we predicted that April would be an Apple takeover but now this may just extend the full year.  According to media reports, Apple is planning on launching a TV streaming service this September.  The tech company is said to be in talks with Walt Disney and Fox but no so much with NBC given its current rift with Comcast, NBC’s parent company.  This streaming service is likely to drive sales of its hardware products – iPhone, iPad, Apple TV to name a few.

It’s Not All Good News … 

Though Apple Pay debuted with a bang, banks who were once singing its praises are now not so privately complaining about the service.  Banks are complaining about increased fraud rates, but industry experts say it may not be all on Apple Pay but the banks have something to do with it.   The vulnerabilities in the system seem to be happening because Apple Pay’s “onboard” system is kept deliberately simple, requiring basic credit card information.  In turn, the banks chose not to take extra security precautions nor did it require Apple to offer more detailed customer information.

Should I Post This on My FB?

The social network is clarifying its policies on what content it may remove if its deemed too sensitive (e.g., nudity, terrorism, hate speech).  In justifying this clarifications, FB’s Chief Mark Zuckerberg says the company is simply complying with “lawful government orders” to remove certain types of content.  FB also released new data on government requests to remove content, and the numbers in the latter half of 2014 decreased for the earlier part of last year among Western countries.

The Streets Are Talkin’

Are you sick of hearing about all things Apple?  Well, we promise this is that last mention for the week, but rumor has it that the company is working on a car project.  Code name – Titan.

Uber’s Chief Financial Officer Brent Callinicos is stepping down.  Nothing controversial from what we gather.  Callinicos just wants more family time with his wife and kids.

Pinterest just got a huge influx of cash.  The only scrapbooking service is now valued at $11 billion after raising $367 million in its latest round of financing.