Meet Nickson, the furniture-as-a-service startup that Barack Obama’s ex-financial adviser just backed

Ever toured an apartment and fall in love with the model unit?

You’re not alone. Harvard Business School grad Cameron Johnson is a former institutional real estate investor and Greystar exec turned startup founder that realized that very often, “renters would try to rent the model apartment.”

This got him thinking. People would love to rent a model apartment in a building, and no one likes to move. This spelled opportunity in Johnson’s mind.

So in 2017, he came up with the idea of Nickson, a Dallas-based startup that fully furnishes apartments on demand.

Image Credits: CEO and founder Cameron Johnson / Nickson

“I thought ‘What if you gave people the ability to simply rent the model, or the ability to add everything in their space needs with a few clicks, similar to how a cable modem comes to your house ’ ” CEO Johnson said. “I wondered, ‘Why can’t we do that for everything else?’ ”

But Nickson doesn’t just provide furniture such as beds and sofas, it delivers all the essentials too — from extension cords to pots and pans to silverware to curtain rods. By partnering with a variety of retailers, the startup claims that it allows users “to make their new spaces move-in ready in as little as 3 hours.” 

Users take a style quiz and share apartment layout details. Nickson’s designers create an initial layout based on the dimensions of an apartment, desired functions (such as work from home) and the volume of furnishings based on a person’s lifestyle. Once the layout is complete, Nickson creates a custom design, including all furnishings and home goods. 

Upon signing up, users pay a one-time installation fee for the furniture-as-a-service offering, and then a monthly subscription charge for the duration of a lease — starting at $199 a month for a studio to $500 a month for a 3 bedroom apartment. The startup also offers concierge services such as a household supply starter kit and maid service, as an add-on to its flat monthly subscription.

Nickson is currently only live in the Dallas market, but plans to expand into other cities over the next 12 months, including expanding its beta tests in Austin and Houston. And it’s just raised a $12 million Series A to help it advance on that goal. 

A fund managed by Pendulum Opportunities LLC, a wholly owned subsidiary of Pendulum Holdings LLC, led the Series A round, which also included participation from Motley Fool Ventures, Revolution’s Rise of the Rest and Backstage Capital. 

The COVID-19 pandemic has disrupted the global supply chain, leading to delivery delays for consumers. Nickson has purchased items over time that it stores as local inventory, making it even more attractive to renters who don’t want to deal with delays and hunting down furniture and essentials, Johnson said. The convenience Nickson offers led to its user base growing 700% in 2020 compared to the year prior, he added.

Robbie Robinson, co-founder and CEO of Pendulum, said his firm was drawn to invest in Nickson due to a combination of Johnson’s “vision, secular shifts toward renting and subscription consumption and the company’s disruptive business model.” (Robinson is President Barack Obama’s former financial adviser, and recently founded Pendulum to invest $250 million in founding startups of color).

Kabir Ahmed, vice president at Pendulum, added that he believes Nickson’s model is superior to the concept of renting one-off furniture pieces in that it offers an “end-to-end, turnkey solution.”

This seamless experience is highly differentiated and offers a compelling value proposition for the consumer,” he said.

Of course, Nickson is not the only company attempting to turn the stodgy furniture rental industry on its head. Other startups offering similar services as Nickson include Oliver Space, Fernish and The Landing.

But Nickson claims that it stands out from the competition in that it “takes care of everything” beyond furniture (including artwork and toilet wand brushes) and that it can curate space and bring it all in before a renter even shows up.

“No other competitor in this space offers this level of service, detail or turnaround,” Johnson says. “You can literally arrive at your new home with a suitcase and toothbrush, and it’s ready to ‘live in.’”

#apartment, #austin, #backstage-capital, #barack-obama, #cable-modem, #ceo, #dallas, #funding, #fundings-exits, #harvard-business-school, #houston, #motley-fool-ventures, #president, #real-estate, #recent-funding, #startup, #startup-company, #startups, #venture-capital, #vice-president

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Honeywell and Cambridge Quantum form joint venture to build a new full-stack quantum business

Honeywell, which only recently announced its entry into the quantum computing race, and Cambridge Quantum Computing (CQ), which focuses on building software for quantum computers, today announced that they are combining Honeywell’s Quantum Solutions (HQS) business with Cambridge Quantum in the form of a new joint venture.

Honeywell has long partnered with CQ and invested in the company last year, too. The idea here is to combine Honeywell’s hardware expertise with CQ’s software focus to build what the two companies call “the world’s highest-performing quantum computer and a full suite of quantum software, including the first and most advanced quantum operating system.”

The merged companies (or ‘combination,’ as the companies’ press releases calls it) expect the deal to be completed in the third quarter of 2021. Honeywell Chairman and CEO Darius Adamczyk will become the chairman of the new company. CQ founder and CEO Ilyas Khan will become the CEO and current Honeywell Quantum Solutions President Tony Uttley will remain in this role at the new company.

The idea here is for Honeywell to spin off HQS and combine it with CQC to form a new company, while still playing a role in its leadership and finances. Honeywell will own a majority stake in the new company and invest between $270 and $300 million. It will also have a long-term agreement with the new company to build the ion traps at the core of its quantum hardware. CQ’s shareholders will own 45% of the new company.

Image Credits: Honeywell

“The new company will have the best talent in the industry, the world’s highest-performing quantum computer, the first and most advanced quantum operating system, and comprehensive, hardware-agnostic software that will drive the future of the quantum computing industry,” said Adamczyk. “The new company will be extremely well positioned to create value in the near-term within the quantum computing industry by offering the critical global infrastructure needed to support the sector’s explosive growth.”

The companies argue that a successful quantum business will need to be supported by large-scale investments and offer a one-stop shop for customers that combines hardware and software. By combining the two companies now, they note, they’ll be able to build on their respective leadership positions in their areas of expertise and scale their businesses while also accelerate their R&D and product roadmaps.

“Since we first announced Honeywell’s quantum business in 2018, we have heard from many investors who have been eager to invest directly in our leading technologies at the forefront of this exciting and dynamic industry – now, they will be able to do so,” Adamczyk said. “The new company will provide the best avenue for us to onboard new, diverse sources of capital at scale that will help drive rapid growth.”

CQ launched in 2014 and now has about 150 employees. The company raised a total of $72.8 million, including a $45 million round, which it announced last December. Honeywell, IBM Ventures, JSR Corporation, Serendipity Capital, Alvarium Investments and Talipot Holdings invested in this last round — which also means that IBM, which uses a different technology but, in many ways, directly competes with the new company, now owns a (small) part of it.

#ceo, #chairman, #emerging-technologies, #enterprise, #honeywell, #operating-system, #president, #quantum-computing, #tc, #technology

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In search of a new crypto deity

Hello friends, and welcome back to Week in Review!

Last week, I wrote about tech taking on Disney. This week, I’m talking about the search for a new crypto messiah.

If you’re reading this on the TechCrunch site, you can get this in your inbox from the newsletter page, and follow my tweets @lucasmtny.


The Big Thing

Elon has worn out his welcome among the crypto illuminati, and the acolytes of Bitcoin are searching out a new emperor god king.

This weekend, thousands of crypto acolytes and investors have descended on a Bitcoin-themed conference in Miami, a very real, very heavily-produced conference sporting crypto celebrities and actual celebrities all on a mission to make waves.

Even though I am not at the conference in person (panels from its main stage were live-streamed online), I have plenty of invites in my email for afterparties featuring celebrities, open bars and endless conversations on the perils of fiat. The cryptocurrency community has never been larger or richer thanks to its most fervent bull run yet, and despite a pretty noteworthy correction in the past few weeks, people believe the best is yet to come.

Despite having so much, what they still seem to be lacking is a patron saint.

For the longest bout, that was SpaceX and Tesla CEO Elon Musk who bolstered the currency by pushing Tesla to invest cash on its balance sheet into bitcoin, while also pushing for Tesla to accept bitcoin payments for its vehicles. As I’ve noted in this newsletter in the past, Musk had a tough time reconciling the sheer energy use of bitcoin’s global network with his eco warrior bravado which has seemed to lead to his mild and uneven excommunication (though I’m sure he’s welcome back at any time).

There are plenty of celebrities looking to fill his shoes — a recent endorsement gone wrong by Soulja Boy was one of the more comical instances.

Crypto has been no stranger to grift — of that even the most hardcore crypto grifters can likely agree — and I think there’s been some agreement that the only leader who can truly preach the gospel is someone who is already so rich they don’t even need more money. It’s one reason the community has offered up so much respect for Ethereum founder Vitalik Buterin who truly doesn’t seem to care too much about getting any wealthier — he donated about $1 billion worth of crypto to Covid relief efforts in India. A Musk-like cheerleader serves a different purpose though, and so the community is in search of a Good Billionaire.

The best runner-up at the moment appears to be one Jack Dorsey, and while — like Musk — he is also another double-CEO, he is quite a bit different from him in demeanor and desire for the spotlight. He was, however, a headline speaker at Miami’s Bitcoin conference.

Dorsey gathers the most headlines for his work at Twitter but it’s Square where he is pushing most of his crypto enthusiasm. Users can already use Square’s Cash App to buy Bitcoin. Minutes before going onstage Friday, Dorsey tweeted out a thread detailing that Square was interested in building its own hardware wallet that users could store cryptocurrency like bitcoin on outside of the confines of an exchange.

“Bitcoin changes absolutely everything,” Dorsey said onstage. “I don’t think there is anything more important in my lifetime to work on.”

And while the billionaire Dorsey seems like a good choice on paper — he tweets about bitcoin often, but only good tweets. He defends its environmental effects. He shows up to House misinformation hearings with a bitcoin tracker clearly visible in the background. He is also unfortunately the CEO of Twitter, a company that’s desire to reign in its more troublesome users — including one very troublesome user — has caused a rift between him and the crypto community’s very vocal libertarian sect.

Dorsey didn’t make it very far into his speech before a heckler made a scene calling him a hypocrite because of all this with a few others piping in, but like any good potential crypto king would know to do, he just waited quietly for the noise to die down.


(Photo by BRENDAN SMIALOWSKI/AFP via Getty Images)

Other things 

Here are the TechCrunch news stories that especially caught my eye this week:

Facebook’s Trump ban will last at least 2 years
In response to the Facebook Oversight Board’s recommendations that the company offer more specificity around its ban of former President Trump, the company announced Friday that it will be banning Trump from its platforms through January 2023 at least, though the company has basically given itself the ability to extend that deadline if it so desires…

Nigeria suspends Twitter
Nigeria is shutting down access to Twitter inside the country with a government official citing the “use of the platform for activities that are capable of undermining Nigeria’s corporate existence.” Twitter called the shutdown “deeply concerning.”

Stack Overflow gets acquired for $1.8 billion
Stack Overflow, one of the most-visited sites of developers across the technology industry, was acquired by Prosus. The heavy hitter investment firm is best known for owning a huge chunk of Tencent. Stack Overflow’s founders say the site will continue to operate independently under the new management.

Spotify ups its personalization
Music service Spotify launched a dedicated section this week called Only You which aims to capture some of the personalization it has been serving up in its annual Spotify Wrapped review. Highlights of the new feature include blended playlists with friends and mid-year reviews.

Supreme Court limits US hacking law in landmark case
Justices from the conservative and liberal wings joined together in a landmark ruling that put limits on what kind of conduct can be prosecuted under the controversial Computer Fraud and Abuse Act.

This one email explains Apple
Here’s a fun one, the email exchange that birthed the App Store between the late Steve Jobs and SVP of Software Engineering, Bertrand Serlet as annotated by my boss Matthew Panzarino.


illustration of money raining down

Image Credits: Bryce Durbin / TechCrunch

Extra things

Some of my favorite reads from our Extra Crunch subscription service this week:

For SaaS startups, differentiation is an iterative process
“The more you know about your target customers’ pain points with current solutions, the easier it will be to stand out. Take every opportunity to learn about the people you are aiming to serve, and which problems they want to solve the most. Analyst reports about specific sectors may be useful, but there is no better source of information than the people who, hopefully, will pay to use your solution..”

3 lessons we learned after raising $6 million from 50 investors
“…being pre-product at the time, we had to lean on our experience and our vision to drive conviction and urgency among investors. Unfortunately, it just wasn’t enough. Investors either felt that our experience was a bad fit for the space we were entering (productivity/scheduling) or that our vision wasn’t compelling enough to merit investment on the terms we wanted.

The existential cost of decelerated growth
“Just because a technology startup has a hot start, that doesn’t mean it will grow quickly forever. Most will wind up somewhere in the middle — or worse. Put simply, there is a larger number of tech companies that do fine or a little bit worse after they reach scale.”

 

Again, if you’re reading this on the TechCrunch site, you can get this in your inbox from the newsletter page, and follow my tweets @lucasmtny.

#analyst, #app-store, #bertrand-serlet, #bitcoin, #blockchain, #bryce-durbin, #ceo, #cryptocurrencies, #cryptocurrency, #digital-currencies, #elon-musk, #extra-crunch, #facebook, #india, #jack-dorsey, #king, #matthew-panzarino, #miami, #nigeria, #president, #prosus, #soulja-boy, #spacex, #spotify, #stack-overflow, #steve-jobs, #supreme-court, #svp, #tc, #technology, #tencent, #tesla, #trump, #twitter, #united-states, #vitalik-buterin, #week-in-review

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In latest big tech antitrust push, Germany’s FCO eyes Google News Showcase fine print

The Bundeskartellamt, Germany’s very active competition authority, isn’t letting the grass grow under new powers it gained this year to tackle big tech: The Federal Cartel Office (FCO) has just announced a third proceeding against Google.

The FCO’s latest competition probe looks very interesting as it’s targeting Google News Showcase — Google’s relatively recently launched product which curates a selection of third party publishers’ content to appear in story panels on Google News (and other Google properties), content for which the tech giant pays a licensing fee.

Google started cutting content licensing deals with publishers around the world for News Showcase last year, announcing a total pot of $1BN to fund the arrangements — with Germany one of the first markets where it inked deals.

However its motivation to pay publishers to licence their journalism is hardly pure.

It follows years of bitter accusations from media companies that Google is freeloading off their content. To which the tech giant routinely responded with stonewalling statements — saying it would never pay for content because that’s not how online aggregation works. It also tried to fob off the industry with a digital innovation fund (aka Google News Initiative) which distributes small grants and offers free workshops and product advice, seeking to frame publishers’ decimated business models as a failure of innovation, leaving Google’s adtech machine scot free to steamroller on.

Google’s stonewalling-plus-chicken-feeding approach worked to stave off regulatory action for a long time but eventually enough political pressure built up around the issue of media business models vs the online advertising duopoly that legislators started to make moves to try to address the power imbalance between traditional publishers and intermediating tech giants.

Most infamously in Australia, where lawmakers passed a news media bargaining code earlier this year.

Prior to its passage, both Facebook and Google, the twin targets for that law, warned the move could result in dire consequences — such as a total shut down of their products, reduced quality or even fees to use their services.

Nothing like that happened but lawmakers did agree to a last minute amendment — adding a two-month mediation period to the legislation which allows digital platforms and publishers to strike deals on their own before having to enter into forced arbitration.

Critics say that allows for the two tech giants to continue to set their own terms when dealmaking with publishers, leveraging market muscle to strike deals that may disproportionately benefit Australia’s largest media firms — and doing so without any external oversight and with no guarantees that the resulting content arrangements foster media diversity and plurality or even support quality journalism.

In the EU, lawmakers acted earlier — taking the controversial route of extending copyright to cover snippets of news content back in 2019.

Following on, France was among the first EU countries to transpose the provision into national law — and its competition watchdog quickly ordered Google to pay for news reuse back in 2020 after Google tried to wiggle out of the legislation by stopping displaying snippets in the market.

It responded to the competition authority’s order with more obfuscation, though, agreeing earlier this year to pay French publishers for linking to their content but also for their participation in News Showcase — bundling required-by-law payments (for news reuse) with content licensing deals of its own devising. And thereby making it difficult to understand the balance of mandatory payments vs commercial arrangements.

The problem with News Showcase is that these licensing arrangements are being done behind closed doors, in many cases ahead of relevant legislation and thus purely on Google’s terms — which means the initiative risks exacerbating concerns about the power imbalance between it and traditional publishers caught in a revenue bind as their business models have been massively disrupted by the switch to digital.

If Google suddenly offers some money for content, plenty of publishers might well jump — regardless of the terms. And perhaps especially because any publishers that hold out against licensing content to Google at the price it likes risk being disadvantaged by reduced visibility for their content, given Google’s dominance of the search market and content discoverability (via its ability to direct traffic to specific media properties, such as based on how prominently News Showcase content is displayed, for example).

The competition implications look clear.

But it’s still impressive that the Bundeskartellamt is spinning up an investigation into News Showcase so quickly.

The FCO said it’s acting on a complaint from Corint Media — looking at whether the announced integration of the Google News Showcase service into Google’s general search function is “likely to constitute self-preferencing or an impediment to the services offered by competing third parties”.

It also said it’s looking at whether contractual conditions include unreasonable terms (“to the detriment of the participating publishers”); and, in particular, “make it disproportionately difficult for them to enforce the ancillary copyright for press publishers introduced by the German Bundestag and Bundesrat in May 2021” — a reference to the transposed neighbouring right for news in the EU copyright reform.

So it will be examining the core issue of whether Google is trying to use News Showcase to undermine the new EU rights publishers gained under the copyright reform.

The FCO also said it wants to look at “how the conditions for access to Google’s News Showcase service are defined”.

Google launched the News Showcase in Germany on October 1 2020, with an initial 20 media companies participating — covering 50 publications. Although more have been added since.

Per the FCO, the News Showcase ‘story panels’ were initially integrated in the Google News app but can now also be found in Google News on the desktop. It also notes that Google has said the panels will soon also appear in the general Google search results — a move that will further dial up the competition dynamics around the product, given Google’s massive dominance of the search market in Europe.

Commenting on its proceeding in a statement, Andreas Mundt, president of the Bundeskartellamt, said: “Cooperating with Google can be an attractive option for publishers and other news providers and offer consumers new or improved information services. However, it must be ensured that this will not result in discrimination between individual publishers. In addition, Google’s strong position in providing access to end customers must not lead to a situation where competing services offered by publishers or other news providers are squeezed out of the market. There must be an adequate balance between the rights and obligations of the content providers participating in Google’s programme.”

Google was contacted for comment on the FCO’s action — and it sent us this statement, attributed to spokesperson, Kay Oberbeck:

“Showcase is one of many ways Google supports journalism, building on products and funds that all publishers can benefit from. Showcase is an international licensing program for news — the selection of partners is based on objective and non-discriminatory criteria, and partner content is not given preference in the ranking of our results. We will cooperate fully with the German Competition Authority and look forward to answering their questions.”

The FCO’s scrutiny of Google News Showcase, follows hard on the heels of two other Google proceedings it opened last month, one to determine whether or not the tech giant meets the threshold of Germany’s new competition powers for tackling big tech — and another examining its data processing practices. Both remain ongoing.

The competition authority has also recently opened a proceeding into Amazon’s market dominance — and is also looking to extend another recent investigation of Facebook’s Oculus business, also by determining whether the social media giant’s business meets the threshold required under the new law.

The amendment to the German Competition Act came into force in January — giving the FCO greater powers to proactively impose conditions on large digital companies who are considered to be of “paramount significance for competition across markets” in order to pre-emptively control the risk of market abuse.

That it’s taking on so many proceedings in parallel against big tech shows it’s keen not to waste any time — putting itself in a position to come, as quickly as possible, with proactive interventions to address competitive problems caused by platform giants just as soon as it determines it can legally do that.

The Bundeskartellamt also has a pioneering case against Facebook’s ‘superprofiling’ on its desk — which links privacy abuse to competition concerns and could drastically limit the tech giant’s ability to profile users. That investigation and case has been ongoing for years but was recently referred to Europe’s top court for an interpretation of key legal questions.

 

#andreas-mundt, #artificial-intelligence, #australia, #companies, #digital-media, #europe, #european-union, #facebook, #france, #germany, #google, #google-news-showcase, #media, #news-showcase, #policy, #president, #spokesperson, #websites, #world-wide-web

0

Cybersecurity unicorn Exabeam raises $200M to fuel SecOps growth

Exabeam, a late-stage startup that helps organizations detect advanced cybersecurity threats, has landed a new $200 million funding round that values the company at $2.4 billion.

The Series F growth round was led by the Owl Rock division of Blue Owl Capital, with support from existing investors Acrew Capital, Lightspeed Venture Partners and Norwest Venture Partners.

The announcement of Exabeam’s latest funding, which the company says will help it on its mission to become “the number one trusted cloud SeCops platform in the market”, coincides with the news that CEO Nir Polak, who co-founded the company in 2013, will be replaced by former ForeScout chief executive Michael DeCesare.

DeCesare is a big name in the cybersecurity space, with more than 25 years of experience leading high-growth security companies. He joined ForeScout as CEO and president in February 2015 after four years as president of McAfee, which at the time was owned by Intel. Under his leadership, ForeScout raised nearly $117 million in an upsized IPO that valued the IoT security vendor at $800 million.

Polak, meanwhile, will shift to a chairman role at Exabeam and “will continue on as an active member of the executive team and remain at the company,” according to the funding announcement.

“Nir has built an incredibly robust, diverse and inclusive culture at Exabeam, and I am committed to helping it flourish,” said DeCesare. “I’m thrilled to join Nir and the whole leadership team to help drive the company through its next phase of growth.”

Exabeam, which has now raised $390 million in six rounds of outside funding, says it expects to use the new money to fuel scale, innovate and extend the company’s leadership. “It gives us the opportunity to triple down on our R&D efforts and continue engineering the most advanced UEBA, XDR and SIEM cloud security products available today,” commented Polak.

The company adds that it has made significant investments in its partner program over the last 12 months, which now includes more than 400 reseller, distributor, systems integrator, MSSP, MDR and consulting partners globally. Exabeam also has more than 500 technology integrations with cloud network, data lake and endpoint vendors including CrowdStrike, Okta and Snowflake.

It’s clearly expecting these investments to pay off, describing its “outcome-based approach” to external security as perfectly suited to support organizations as they manage exponential amounts of data and return to the post-COVID workplace in a variety of hybrid scenarios. After all, hackers are already beginning to target employees who have started making a return to the office, and this threat is only likely to increase as more companies begin to dial back on remote working and start welcoming staff back into workplaces.

“Exabeam is poised to be the next-gen leader in the cloud security analytics, XDR and SIEM markets,” Pravin Vazirani, Blue Owl Capital’s managing director and co-head of tech investing, said in a statement. “We led this round of funding to provide the company with the resources necessary to support its sustainable, long-term growth and value creation.”

#acrew-capital, #ceo, #chairman, #cloud, #cloud-applications, #companies, #crowdstrike, #exabeam, #executive, #forescout, #funding, #intel, #leader, #lightspeed, #lightspeed-venture-partners, #mcafee, #norwest-venture-partners, #okta, #president, #security, #software

0

Indivisible is training an army of volunteers to neutralize political misinformation

The grassroots Democratic organization Indivisible is launching its own team of stealth fact-checkers to push back against misinformation — an experiment in what it might look like to train up a political messaging infantry and send them out into the information trenches.

Called the “Truth Brigade,” the corps of volunteers will learn best practices for countering popular misleading narratives on the right. They’ll coordinate with the organization on a biweekly basis to unleash a wave of progressive messaging that aims to drown out political misinformation and boost Biden’s legislative agenda in the process.

Considering the scope of the misinformation that remains even after social media’s big January 6 cleanup, the project will certainly have its work cut out for it.

“This is an effort to empower volunteers to step into a gap that is being created by very irresponsible behavior by the social media platforms,” Indivisible co-founder and co-executive director Leah Greenberg told TechCrunch. “It is absolutely frustrating that we’re in this position of trying to combat something that they ultimately have a responsibility to address.”

Greenberg co-founded Indivisible with her husband following the 2016 election. The organization grew out of the viral success the pair had when they and two other former House staffers published a handbook to Congressional activism. The guide took off in the flurry of “resist”-era activism on the left calling on Americans to push back on Trump and his agenda.

Indivisible’s Truth Brigade project blossomed out of a pilot program in Colorado spearheaded by Jody Rein, a senior organizer concerned about what she was seeing in her state. Since that pilot began last fall, the program has grown into 2,500 volunteers across 45 states.

The messaging will largely center around Biden’s ambitious legislative packages: the American Rescue plan, the voting rights bill HR1 and the forthcoming infrastructure package. Rather than debunking political misinformation about those bills directly, the volunteer team will push back with personalized messages promoting the legislation and dispelling false claims within their existing social spheres on Facebook and Twitter.

The coordinated networks at Indivisible will cross-promote those pieces of semi-organic content using tactics parallel to what a lot of disinformation campaigns do to send their own content soaring (In the case of groups that make overt efforts to conceal their origins, Facebook calls this “coordinated inauthentic behavior.”) Since the posts are part of a volunteer push and not targeted advertising, they won’t be labeled, though some might contain hashtags that connect them back to the Truth Brigade campaign.

Volunteers are trained to serve up progressive narratives in a “truth sandwich” that’s careful to not amplify the misinformation it’s meant to push back against. For Indivisible, training volunteers to avoid giving political misinformation even more oxygen is a big part of the effort.

“What we know is that actually spreads disinformation and does the work of some of these bad actors for them,” Greenberg said. “We are trying to get folks to respond not by engaging in that fight — that’s really doing their work for them — but by trying to advance the kind of narrative that we actually want people to buy into.”

She cites the social media outrage cycle perpetuated by Georgia Rep. Marjorie Taylor Greene as a harbinger of what Democrats will again be up against in 2022. Taylor Greene is best known for endorsing QAnon, getting yanked off of her Congressional committee assignments and comparing mask requirements to the Holocaust — comments that inspired some Republicans to call for her ouster from the party.

Political figures like Greene regularly rile up the left with outlandish claims and easily debunked conspiracies. Greenberg believes that political figures like Greene who regularly rile up the online left suck up a lot of energy that could be better spent resisting the urge to rage-retweet and spreading progressive political messages.

“It’s not enough to just fact check [and] it’s not enough to just respond, because then fundamentally we’re operating from a defensive place,” Greenberg said.

“We want to be proactively spreading positive messages that people can really believe in and grab onto and that will inoculate them from some of this.”

For Indivisible, the project is a long-term experiment that could pave the way for a new kind of online grassroots political campaign beyond targeted advertising — one that hopes to boost the signal in a sea of noise.

#articles, #biden, #disinformation, #energy, #government, #misinformation, #operating-systems, #policy, #president, #social-media, #social-media-platforms, #tc, #trump, #twitter

0

Facebook changes misinfo rules to allow posts claiming Covid-19 is man-made

Facebook made a few noteworthy changes to its misinformation policies this week, including the news that the company will now allow claims that Covid was created by humans — a theory that contradicts the previously prevailing assumption that humans picked up the virus naturally from animals.

“In light of ongoing investigations into the origin of COVID-19 and in consultation with public health experts, we will no longer remove the claim that COVID-19 is man-made from our apps,” a Facebook spokesperson told TechCrunch. “We’re continuing to work with health experts to keep pace with the evolving nature of the pandemic and regularly update our policies as new facts and trends emerge.”

The company is adjusting its rules about pandemic misinformation in light of international investigations legitimating the theory that the virus could have escaped from a lab. While that theory clearly has enough credibility to be investigated at this point, it is often interwoven with demonstrably false misinformation about fake cures, 5G towers causing Covid and most recently the false claim that the AstraZeneca vaccine implants recipients with a bluetooth chip.

Earlier this week, President Biden ordered a multi-agency intelligence report evaluating if the virus could have accidentally leaked out of a lab in Wuhan, China. Biden called this possibility one of two “likely scenarios.”

“… Shortly after I became President, in March, I had my National Security Advisor task the Intelligence Community to prepare a report on their most up-to-date analysis of the origins of COVID-19, including whether it emerged from human contact with an infected animal or from a laboratory accident,” Biden said in an official White House statement, adding that there isn’t sufficient evidence to make a final determination.

Claims that the virus was man-made or lab-made have circulated widely since the pandemic’s earliest days, even as the scientific community largely maintained that the virus probably made the jump from an infected animal to a human via natural means. But many questions remain about the origins of the virus and the U.S. has yet to rule out the possibility that the virus emerged from a Chinese lab — a scenario that would be a bombshell for international relations.

Prior to the Covid policy change, Facebook announced that it would finally implement harsher punishments against individuals who repeatedly peddle misinformation. The company will now throttle the News Feed reach of all posts from accounts that are found to habitually share known misinformation, restrictions it previously put in place for Pages, Groups, Instagram accounts and websites that repeatedly break the same rules.

#astrazeneca, #biden, #china, #covid-19, #facebook, #government, #misinformation, #president, #social, #tc, #united-states, #white-house

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Only 3 startup demo booths left at TC Sessions: Mobility 2021

Listen up mobility mavericks. TC Sessions: Mobility 2021 is right around the corner of your calendar (June 9). If you want to place your ground-breaking, edge-cutting, envelope-pushing (no extra charge for clichés) early-stage startup in front of the world’s leading mobility movers, shakers and makers you gotta hustle. You have just one week left to buy one of our remaining three Startup Exhibitor Packages.

Here’s what the $380 package includes, plus a few suggestions on ways to take full advantage of the virtual platform’s capabilities and boost the opportunity factor. Note: Exhibitors must be pre-Series A, early-stage startups in the mobility field.

  • Virtual booth space
  • Lead generation
  • 4 conference passes
  • Full event access
  • Videos on-demand
  • Breakout sessions
  • Networking with CrunchMatch

Hopin, our virtual platform, lets you tap into your creativity. Include a product walk-through video — complete with links to your website and social media accounts — at your virtual booth. But get this. Your booth also includes live stream capability. Make the most of that opportunity. Share your screen, host a live demo or a product tutorial and moderate the chat area.

Maybe you’d like to host and live stream your own Q&A session. Go for it. Or why not establish yourself as a subject matter expert? Choose your topic and combine your virtual booth and CrunchMatch, our AI-powered networking platform, to send invitations to the people you want to impress and get the conversation started. And of course, you can always schedule 1:1 video calls.

Since you’ll have four event passes, you and your team can tend to booth business and take in a range of presentations. Here are just two examples of what’s in store. Check out the event agenda and plan your schedule now.

Supercharging Self-Driving Super Vision: Few startups were as prescient as Scale AI when it came to anticipating the need for massive sets of tagged data for use in AI. Co-founder and CEO Alex Wang also made a great bet on addressing the needs of lidar sensing companies early on, which has made the company instrumental in deploying AV networks. We’ll hear about what it takes to make sense of sensor data in driverless cars and look at where the industry is headed.

AVs: Past, Present and Future: TechCrunch Mobility will talk to two pioneers, and competitors, who are leading the charge to commercialize autonomous vehicles. Karl Iagnemma, president of the $4 billion Hyundai-Aptiv joint venture known as Motional, and Chris Urmson, the co-founder and CEO of Aurora, will discuss — and maybe even debate — the best approach to AV development and deployment, swap stories of the earliest days of the industry and provide a few forecasts of what’s to come.

TC Sessions: Mobility 2021 takes place on June 9, but you have just one week left to reserve your virtual demo booth. Grab this opportunity and get your startup in front of the industry’s top movers and makers.

Is your company interested in sponsoring or exhibiting at TC Sessions: Mobility 2021? Contact our sponsorship sales team by filling out this form.

#alex-wang, #aptiv, #artificial-intelligence, #aurora, #automation, #av, #chris-urmson, #consumer-electronics-show, #economy, #entrepreneurship, #hyundai, #karl-iagnemma, #president, #private-equity, #robotics, #science-and-technology, #self-driving-car, #startup-company, #tc, #tc-sessions-mobility-2021, #techcrunch, #technology

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White House teams up with dating apps to give vaccinated users free perks

With vaccination rates slowing in the U.S., the White House is getting creative about getting shots in arms. Beyond protecting yourself and others from from a deadly disease, the latest incentive to get vaccinated could help you find love (or get laid).

The White House COVID-19 response team announced Friday that a number of popular dating apps would offer new perks for users who get vaccinated, with Tinder, Bumble, Hinge, Match, OkCupid, BLK, Chispa, Plenty of Fish and Badoo all participating in the promotional push. The White House hopes to make inroads with the 50 million users across those dating apps where they’re already spending time.

On Tinder, anyone who adds a sticker to their profile promoting their vaccination status between June 2 and July 4 will be gifted a free Super Like. (Proof of vaccination isn’t necessary, but really, you should get vaccinated if it’s available where you live.) Tinder and other apps will also add vaccination site resources from Vaccine.gov to help people figure out where they can get the shot nearby.

“Nothing like fireworks to signal a new spark and a new start for those looking to meet new people IRL this summer,” Tinder CEO Jim Lanzone said.

According to OkCupid, getting vaccinated might help with that. The company found that people who displayed their vaccination status were 14 percent more likely to find a match. On OkCupid, vaccinated users will get a free boost, a perk that promotes their profile to potential matches. The other apps participating in the White House initiative are handing out their own premium perks to give users a competitive edge.

The effort is part of a push by the White House to get 70 percent of adults vaccinated by the Fourth of July. To reach more Americans, the Biden administration has also coordinated with popular entertainment companies like NASCAR and country music channel CMT to promote vaccination.

“Social distancing and dating were always a bit of a challenging combination,” White House Senior COVID Advisor Andy Slavitt said during a press event Friday. He characterized the vaccine push through dating apps as those companies “responding to the president’s call to action” rather than calling it an official partnership.

“We have finally found the one thing that makes use all more attractive,” Slavitt said. “A vaccination.”

#4th-of-july, #biden-administration, #ceo, #disease, #iac, #jim-lanzone, #okcupid, #president, #social, #social-software, #software, #tc, #tinder, #united-states, #vaccination, #vaccine, #white-house

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AI-powered Jerry raises $28M to help you save money on car insurance

When Art Agrawal was growing up in India, a car ride was a rare treat, and car ownership was a dream. When he moved to the U.S. and bought his first car, he was shocked by how much it cost and how difficult it was to maintain a car.

In 2012, he co-founded a company called YourMechanic that provides on-demand automotive mobile maintenance and repair services. Over the years, the challenge of helping consumers more easily find car insurance was in the back of his mind. So in 2017, he teamed up with Lina Zhang and  Musawir Shah to found Jerry, a mobile-first car ownership “super app.” The Palo Alto-based startup launched an AI/ML-powered car insurance comparison service in January 2019. It has quietly since amassed nearly 1 million customers across the United States as a licensed insurance broker.

“Today as a consumer, you have to go to multiple different places to deal with different things,” Argawal said. “Jerry is out to change that.”

And now today, Jerry is announcing that it has raised more than $57 million in funding, including a new $28 million Series B round led by Goodwater Capital. A group of angel investors also participated in the round include Greenlight president Johnson Cook and Greenlight CEO Timothy Sheehan; Tekion CEO Jay Vijayan; Jon McNeill, CEO of DVx Ventures and former president of Tesla and ex-COO of Lyft; Brandon Krieg, CEO of Stash and Ed Robinson, co-founder and president of Stash.

CEO Argawal says Jerry is different from other auto-related marketplaces out there in that it aims to help consumers with various aspects of car ownership (from repair to maintenance to insurance to warranties), rather than just one. Although for now it is mostly focused on insurance, it plans to use its new capital to move into other categories of car ownership.

The company also believes it is set apart from competitors in that it doesn’t refer a consumer to an insurance carrier’s site so that they still have to do the work of signing up with them separately, for example. Rather, Jerry uses automation to give consumers customized quotes from more than 45 insurance carriers “in 45 seconds.” The consumers can then sign on to the new carrier via Jerry, which would even cancel former policies on their behalf.

Image Credits: Jerry

“With Jerry, you can complete the whole transaction in our app,” Argawal said. “We don’t send you to another site. You don’t have to fill out a bunch of forms. You just give us some information, and we’ll instantly provide you with quotes.”

Its customers save on average about $800 a year on car insurance, the company claims. Jerry also offers a similar offering for home insurance but its focus is on car ownership.

The company must be doing something right. In 2020, Jerry saw its revenue surge by “10x.”

For some context, Jerry sold a few million dollars of insurance in 2019, according to Argawal. This year, he said, the company is on track to do “two to four times” more than last year’s numbers.

“There’s no other automated way to compare and buy car insurance, because all the APIs are not easily accessible,” he said. “What we have done is we have automated the end to end journey for the consumer using our infrastructure, which will only scale over time.”

Jerry makes recurring revenue from earning a percentage of the premium when a consumer purchases a policy on its site. So it’s partnered with carriers such as Progressive, Lemonade and Root to make that happen.

“A lot of the marketplaces are lead-gen. A very small percent of their revenue is reoccurring,” Argawal said. “For us, it’s 100% of our revenues.”

Down the line, Jerry wants to become a carrier itself, but is realistic in that it will take time to get licensed in all 50 states, so it expects those relationships to continue for some time.

Goodwater Capital’s Chi-Hua Chien notes that the insurance space has historically been a very challenging category from a customer experience perspective.

“They took something that has historically been painful, intimidating and difficult for the customer and made it effortless,” he told TechCrunch. “That experience will more broadly over time apply to comparison shopping and maintenance, too.”

Chien said he was also drawn to the category itself.

“This is a competitive category because 100% of drivers need to have auto insurance 100% of the time,” he said. “That’s a large market that’s not going to go away. And since Jerry is powered by AI, it will only serve customers better over time, and just grow faster.”

#apps, #artificial-intelligence, #auto-insurance, #car-insurance, #car-ownership, #ceo, #chi-hua-chien, #coo, #economy, #finance, #funding, #fundings-exits, #goodwater-capital, #greenlight, #india, #insurance, #insurtech, #jay-vijayan, #jerry, #jon-mcneill, #lyft, #money, #palo-alto, #president, #recent-funding, #startup, #startups, #stash, #tc, #tekion, #tesla, #united-states, #venture-capital

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For Trump and Facebook, judgment day is around the corner

Facebook unceremoniously confiscated Trump’s biggest social media megaphone months ago, but the former president might be poised to snatch it back.

Facebook’s Oversight Board, an external Supreme Court-like policy decision making group, will either restore Trump’s Facebook privileges or banish him forever on Wednesday. Whatever happens, it’s a huge moment for Facebook’s nascent experiment in outsourcing hard content moderation calls to an elite group of global thinkers, academics and political figures and allowing them to set precedents that could shape the world’s biggest social networks for years to come.

Facebook CEO Mark Zuckerberg announced Trump’s suspension from Facebook in the immediate aftermath of the Capitol attack. It was initially a temporary suspension, but two weeks later Facebook said that the decision would be sent to the Oversight Board. “We believe the risks of allowing the President to continue to use our service during this period are simply too great,” Facebook CEO Mark Zuckerberg wrote in January.

Facebook’s VP of Global Affairs Nick Clegg, a former British politician, expressed hope that the board would back the company’s own conclusions, calling Trump’s suspension an “unprecedented set of events which called for unprecedented action.”

Trump inflamed tensions and incited violence on January 6, but that incident wasn’t without precedent. In the aftermath of the murder of George Floyd, an unarmed Black man killed by Minneapolis police, President Trump ominously declared on social media “when the looting starts, the shooting starts,” a threat of imminent violence with racist roots that Facebook declined to take action against, prompting internal protests at the company.

The former president skirted or crossed the line with Facebook any number of times over his four years in office, but the platform stood steadfastly behind a maxim that all speech was good speech, even as other social networks grew more squeamish.

In a dramatic address in late 2019, Zuckerberg evoked Martin Luther King Jr. as he defended Facebook’s anything goes approach. “In times of social turmoil, our impulse is often to pull back on free expression,” Zuckerberg said. “We want the progress that comes from free expression, but not the tension.” King’s daughter strenuously objected.

A little over a year later, with all of Facebook’s peers doing the same and Trump leaving office, Zuckerberg would shrink back from his grand free speech declarations.

In 2019 and well into 2020, Facebook was still a roiling hotbed of misinformation, conspiracies and extremism. The social network hosted thousands of armed militias organizing for violence and a sea of content amplifying QAnon, which moved from a fringe belief on the margins to a mainstream political phenomenon through Facebook.

Those same forces would converge at the U.S. Capitol on January 6 for a day of violence that Facebook executives characterized as spontaneous, even though it had been festering openly on the platform for months.

 

How the Oversight Board works

Facebook’s Oversight Board began reviewing its first cases last October. Facebook can refer cases to the board, like it did with Trump, but users can also appeal to the board to overturn policy decisions that affect them after they exhaust the normal Facebook or Instagram appeals process. A five member subset of its 20 total members evaluate whether content should be allowed to remain on the platform and then reach a decision, which the full board must approve by a majority vote. Initially, the Oversight Board was only empowered to reinstate content removed on Facebook and Instagram, but in mid-April began accepting requests to review controversial content that stayed up.

Last month, the Oversight Board replaced departing member Pamela Karlan, a Stanford professor and voting rights scholar critical of Trump, who left to join the Biden administration. Karlan’s replacement, PEN America CEO Susan Nossel, wrote an op-ed in the LA Times in late January arguing that extending a permanent ban on Trump “may feel good” but that decision would ultimately set a dangerous precedent. Nossel joined the board too late to participate in the Trump decision.

The Oversight Board’s earliest batch of decisions leaned in the direction of restoring content that’s been taken down — not upholding its removal. While the board’s other decisions are likely to touch on the full spectrum of frustration people have with Facebook’s content moderation preferences, they come with far less baggage than the Trump decision. In one instance, the Oversight Board voted to restore an image of a woman’s nipples used in the context of a breast cancer post. In another, the board decided that a quote from a famous Nazi didn’t merit removal because it wasn’t an endorsement of Nazi ideology. In all cases, the Oversight Board can issue policy recommendations, but Facebook isn’t obligated to implement them — just the decisions.

Befitting its DNA of global activists, political figures and academics, the Oversight Board’s might have ambitions well beyond one social network. Earlier this year, Oversight Board co-chair and former Prime Minister of Denmark Helle Thorning-Schmidt declared that other social media companies would be “welcome to join” the project, which is branded in a conspicuously Facebook-less way. (The group calls itself the “Oversight Board” though everyone calls it the “Facebook Oversight Board.”)

“For the first time in history, we actually have content moderation being done outside one of the big social media platforms,” Thorning-Schmidt declared, grandly. “That in itself… I don’t hesitate to call it historic.”

Facebook’s decision to outsource some major policy decisions is indeed an experimental one, but that experiment is just getting started. The Trump case will give Facebook’s miniaturized Supreme Court an opportunity to send a message, though whether the takeaway is that it’s powerful enough to keep a world leader muzzled or independent enough to strike out from its parent and reverse the biggest social media policy decision ever made remains to be seen.

If Trump comes back, the company can shrug its shoulders and shirk another PR firestorm, content that its experiment in external content moderation is legitimized. If the board doubles down on banishing Trump, Facebook will rest easy knowing that someone else can take the blowback this round in its most controversial content call to date. For Facebook, for once, it’s a win-win situation.

 

#biden-administration, #ceo, #computing, #donald-trump, #elite, #facebook, #george-floyd, #king, #mark-zuckerberg, #nick-clegg, #oversight-board, #president, #schmidt, #social, #social-media, #social-media-platforms, #social-network, #social-networks, #software, #stanford, #supreme-court, #tc, #trump, #world-wide-web

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Biden’s labor secretary thinks many gig workers should be reclassified as employees

Biden Labor Secretary Marty Walsh charged into the white hot issue of the gig economy Thursday, asserting that many people working without benefits in the gig economy should be classified as employees instead.

In an interview with Reuters, Walsh said that the Department of Labor is “looking at” the gig economy, hinting that worker reclassification could be a priority in the Biden administration.

“… In a lot of cases gig workers should be classified as employees,” Walsh said. “In some cases they are treated respectfully and in some cases they are not and I think it has to be consistent across the board.”

Walsh also said that the labor department would be talking to companies that benefit from gig workers to ensure that non-employees at those companies have the same benefits that an “average employee” in the U.S. would have.

“These companies are making profits and revenue and I’m not [going to] begrudge anyone for that because that’s what we are about in America… but we also want to make sure that success trickles down to the worker,” Walsh said.

Walsh’s comments aren’t backed by federal action, yet anyway, but they still made major waves among tech companies that leverage non-employee labor. Uber and Lyft stock dipped on the news Thursday, along with Doordash.

In the interview, Walsh also touched on pandemic-related concerns about gig workers who lack unemployment insurance and health care through their employers. The federal government has picked up the slack during the pandemic with two major bills granting gig workers some benefits, but otherwise they’re largely without a safety net.

Reforming labor laws has been a tenet of Biden’s platform for some time and the president has been very vocal about bolstering worker protections and supporting organized labor. One section of then President-elect Biden’s transition site was devoted to expanding worker protections, calling the misclassification of employees as contract workers an “epidemic.”

Biden echoed his previous support for labor unions during a joint address to Congress Wednesday night, touting the Protecting the Right to Organize Act — legislation that would protect workers looking to form or join unions. That bill would also expand federal whistleblower protections.

“The middle class built this country,” Biden said. “And unions build the middle class.”

#america, #biden, #biden-administration, #congress, #department-of-labor, #economy, #employment, #federal-government, #gig-economy, #gig-workers, #government, #labor, #president, #secretary, #tc, #temporary-work, #united-states

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Biden proposes ARPA-H, a health research agency to ‘end cancer’ modeled after DARPA

In a joint address to Congress last night, President Biden updated the nation on vaccination efforts and outlined his administration’s ambitious goals.

Biden’s first 100 days have been characterized by sweeping legislative packages that could lift millions of Americans out of poverty and slow the clock on the climate crisis, but during his first joint address to Congress, the president highlighted another smaller plan that’s no less ambitious: to “end cancer as we know it.”

“I can think of no more worthy investment,” Biden said Wednesday night. “I know of nothing that is more bipartisan…. It’s within our power to do it.”

The comments weren’t out of the blue. Earlier this month, the White House released a budget request for $6.5 billion to launch a new government agency for breakthrough health research. The proposed health agency would be called ARPA-H and would live within the NIH. The initial focus would be on cancer, diabetes and Alzheimer’s but the agency would also pursue other “transformational innovation” that could remake health research.

The $6.5 billion investment is a piece of the full $51 billion NIH budget. But some critics believe that ARPA-H should sit under the Department of Health and Human Services rather than being nested under NIH. 

ARPA-H would be modeled after the Defense Advanced Research Projects Agency (DARPA), which develops moonshot-like tech for defense applications. DARPA’s goals often sound more like science fiction than science, but the agency contributed to or created a number of now ubiquitous technologies, including a predecessor to GPS and most famously ARPANET, the computer network that grew into the modern internet.

Unlike more conservative, incremental research teams, DARPA aggressively pursues major scientific advances in a way that shares more in common with Silicon Valley than it does with other governmental agencies. Biden believes that using the DARPA model on cutting edge health research would keep the U.S. from lagging behind in biotech.

“China and other countries are closing in fast,” Biden said during the address. “We have to develop and dominate the products and technologies of the future: advanced batteries, biotechnology, computer chips, and clean energy.”

#arpanet, #biden, #biotechnology, #cancer, #congress, #darpa, #diabetes, #government, #health, #joe-biden, #life-sciences, #national-institute-of-health, #national-institutes-of-health, #president, #tc, #united-states, #white-house

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Alchemy raises $80M at a $505M valuation to be the ‘AWS for blockchain’

Blockchain developer platform Alchemy announced today it has raised $80 million in a Series B round of funding led by Coatue and Addition, Lee Fixel’s new fund. The company previously raised a total of $15.5 million, so the latest financing brings its total raised to $95.5 million since it launched in 2017.

The latest round caught our attention for a few reasons.

First, the company, which describes itself as the backend technology behind the blockchain industry, went from public launch to a $505 million valuation in a matter of just eight months. During that time, Alchemy says it powered over $30 billion in transactions for tens of millions of users all over the world. Second, the startup says it also already powering the majority of the NFT industry.

And finally, its investors in the round include a high-profile mix of institutions and individuals such as DFJ Growth, K5 Global, the Chainsmokers, actor Jared Leto and the Glazer family (owners of the Tampa Bay Buccaneers and Manchester United). They joined existing backers including Yahoo co-founder and former CEO Jerry Yang, Pantera Capital, Coinbase, SignalFire, Samsung, Stanford University, Google chairman and Stanford University President John L. Hennessy, Charles Schwab, LinkedIn co-founder Reid Hoffman and others.

Sources with inside knowledge of Alchemy’s operations tell TechCrunch that the company has already grown its business more than eightfold since it signed the Series B term sheet. They also said Alchemy had over $300 million of investor demand wanting to enter the round and is being inbounded to do another financing at “many times” the current valuation.

TechCrunch talked with Alchemy co-founders Nikil Viswanathan (CEO) and Joe Lau (CTO) about the raise and their passion for the startup’s mission was clear. As is its explosive growth.

“We realized that in order for space to thrive and build to its full potential, we needed to build a developer platform layer for blockchain,” Viswanathan told TechCrunch.

Alchemy’s goal is to be the starting place for developers considering to build a product on top of a blockchain or mainstream blockchain applications. Its developer platform aims to remove the complexity and costs of building infrastructure while improving applications through “necessary” developer tools.

The startup powers a range of transactions across nearly every blockchain vertical, including financial institutions, exchanges, billion-dollar decentralized finance projects and multinational organizations such as UNICEF. It has also quickly become the technology behind every major NFT platform, including Makersplace, OpenSea, Nifty Gateway, SuperRare and CryptoPunks.  

“Every time you open DoorDash, you’re using Amazon’s infrastructure,” Lau said. “Every time you interact with an NFT, you’re using Alchemy. It’s being powered by Alchemy underneath the hood.”

While the pair would not provide hard revenue figures, the company – which operates as a SaaS business – says it increased its revenue by 600% in 2020.

For inside players, Alchemy’s efforts are paving the way for the whole industry. 

“The cryptoeconomy is innovating faster than any technological movement that came before it, and Alchemy has been a key driver of that,” said Coinbase President and COO Emilie Choi. “Alchemy enables developers to build the rich ecosystem of applications necessary for mainstream blockchain adoption.”

Pantera Capital’s Paul Veradittakit describes Alchemy as “the Amazon Web Services (AWS) of the blockchain industry” that is “enabling the vision of a decentralized web.”

“While in Web 2.0, Microsoft, Apple and AWS are three of the most valuable companies in the world because they are the developer platform powering the computer and internet industries, Alchemy is primed to do the same for the blockchain,” he said.

The company believes the comparison to AWS is fair, noting that: “Just as AWS provides the platform that powers Uber, Netflix and much of the technology industry, Alchemy powers infrastructure for many large players in the blockchain industry.”

Alchemy plans to use its new capital to expand its developer platform to new blockchains, fuel global expansion and to open new offices in the U.S. and globally. The startup is based in San Francisco and is planning to open an office in New York.  

“We are going to use the funds to support new chains with our developer platform,” Viswanathan said. “We also expect to 5x the team this year.”

But to be clear, Alchemy prides itself on being lean and mean.

“We just went from 14 to 22 employees,” Lau said. “We have intentionally wanted to keep the team as small as possible.”

The blockchain space has been the subject of increased investor interest as of late.

In March, BlockFi, which describes itself a financial services company for crypto market investors, announced it had closed on a massive $350 million Series D funding that valued it at $3 billion. Also last month, Chainalysis, a blockchain analysis company, revealed the close of $100 million in Series D financing, which doubled its valuation to over $2 billion.

#alchemy, #amazon, #amazon-web-services, #apple, #articles, #bank, #bitcoin, #blockchain, #ceo, #chairman, #charles-schwab, #co-founder, #coinbase, #computing, #cryptocurrencies, #cryptocurrency, #cto, #decentralization, #dfj-growth, #doordash, #driver, #emilie-choi, #funding, #fundings-exits, #google, #jared-leto, #jerry-yang, #linkedin, #manchester-united, #microsoft, #netflix, #new-york, #nikil-viswanathan, #pantera-capital, #president, #recent-funding, #reid-hoffman, #saas, #samsung, #san-francisco, #stanford-university, #startup, #startups, #tc, #technology, #uber, #united-states, #venture-capital, #yahoo

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Crypto market takes a dive with Bitcoin leading the way

Cryptocurrency prices continued to tumble Friday with Bitcoin leading the charge, with prices for the internet currency dipping below $50,000 for the first time since early March.

Bitcoin is down roughly 20% week-over-week, around 30% from its all-time-high of nearly $65,000 early last week. The market cap of the coin has dipped below $1 trillion. The tumble has been less severe for Ethereum which hit an all-time-high just yesterday but has since dropped 13% as the broader market has crawled back.

Plenty of altcoins have also taken a beating. Dogecoin erased the breakneck gains of the week and then some, nearly halving its price after a meteoric climb last weekend. XRP is down 35% week-over-week, Stellar is down 30% and Polkadot is down 25% since last week.

Overall, Coinmarketcap estimates the global crypto market has shrunk around 10% in the past 24 hours.

Crypto prices have been on a tear for the past several months, but the past week has been the clearest sign of a correction to climbing prices, though many see news of President Biden’s adjustment to the hikes on the capital gains tax as the most apparent reason for the market’s slide as investors cash out hoping their gains won’t be reached by a retroactive application of the rules.

Coinbase, which went public last week via direct listing, shaved about 10% off its share price this week, but was largely unaffected Friday in intraday trading.

Bitcoin prices (7 days). Chart via CoinMarketCap

#biden, #bitcoin, #coinbase, #cryptocurrencies, #cryptocurrency, #cryptography, #currency, #dogecoin, #ethereum, #president

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Longevity startup Longevica plans to launch supplements based on long-term research

A biotech company, that has spent 11 years researching supplements to increase human longevity, plans to launch its supplements later this year. Longevica says it has attracted a total of $13 million from investors including, Alexander Chikunov, a longevity investor, who is also president of the company.

Longevica says it created a biotechnology platform for longevity after researching the life-span of laboratory mice. It now aims to produce medicines, dietary supplements, and food products.

The longevity space is a growing sector for tech startups. Google backed the launch of Calico in the space. Late last year Humanity Inc. raised $2.5 million in a round led by Boston fund One Way Ventures for its longevity company that will leverage AI to maximize people’s healthspan.

Longevica’s CEO Aynar Abdrakhmanov, backing up his company’s aim to tap the desire for people to live longer, said: “According to the WHO, by 2050, 2 billion people will be 60+ years old. By 2026, the sales of services and products for this audience will be around $27 trillion… By comparison, it was only $17 trillion in 2019.”

According to CB Insights, life-extension startups raised a record total of $800 million in 2018 alone. And there are some high-profile investors in the space.

PayPal co-founder Peter Thiel invested in Unity Biotechnology, which is developing drugs to treat diseases that accompany aging, has also raised significant funding.
 And Ethereum founder Vitalik Buterin invested $2.4 million worth of Ether into the nonprofit SENS Research foundation, where famed longevity research Aubrey de Grey is chief science officer, to develop rejuvenation biotechnologies.

Longevica is basing its platform on the work of scientist Alexey Ryazanov, who holds 10 US patents in the space, and a long-time researcher into the regulation of protein biosynthesis cells.

Chikunov said: “I gathered scientists known in this field to discuss their approaches to the problem. Then Alexey Ryazanov proposed the innovative idea of large-scale screening of all known pharmacological substances on long-lived mice in order to find those that prolong life.”

Under the leadership of Ryazanov, Longevica says it used 20,000 long-lived female mice and 1,033 drugs representing compounds from 62 pharmacological classes, to find five substances that statistically significantly increased longevity by 16-22%: Inulin, Pentetic Acid, Clofibrate, Proscillaridin A, D-Valine.

From this work, they formed a view about the elimination of certain heavy metals from the body and improve the body’s ability to remove toxins.

#articles, #artificial-intelligence, #biotechnology, #ceo, #co-founder, #ethereum, #europe, #food, #google, #humanity-inc, #one-way-ventures, #paypal, #peter-thiel, #population, #president, #sens-research-foundation, #tc, #united-states, #vitalik-buterin, #world-health-organization

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As ExxonMobil asks for handouts, startups get to work on carbon capture and sequestration

Earlier this week, ExxonMobil, a company among the largest producers of greenhouse gas emissions and a longtime leader in the corporate fight against climate change regulations, called for a massive $100 billion project (backed in part by the government) to sequester hundreds of millions of metric tons of carbon dioxide in geologic formations off the Gulf of Mexico.

The gall of Exxon’s flag-planting request is matched only by the grit from startup companies that are already working on carbon capture and storage or carbon utilization projects and announced significant milestones along their own path to commercialization even as Exxon was asking for handouts.

These are companies like Charm Industrial, which just completed the first pilot test of its technology through a contract with Stripe. That pilot project saw the company remove 416 tons of carbon dioxide equivalent from the atmosphere. That’s a small fraction of the hundred million tons Exxon thinks could be captured in its hypothetical sequestration project located off the Gulf Coast, but the difference between Exxon’s proposal and Charm’s sequestration project is that Charm has actually managed to already sequester the carbon.

The company’s technology, verified by outside observers like Shopify, Microsoft, CarbonPlan, CarbonDirect and others, converts biomass into an oil-like substance and then injects that goop underground — permanently sequestering the carbon dioxide, the company said.

Eventually, Charm would use its bio-based oil equivalent to produce “green hydrogen” and replace pumped or fracked hydrocarbons in industries that may still require combustible fuel for their operations.

While Charm is converting biomass into an oil-equivalent and pumping it back underground, other companies like CarbonCure, Blue Planet, Solidia, Forterra, CarbiCrete and Brimstone Energy are capturing carbon dioxide and fixing it in building materials. 

“The easy way to think about CarbonCure we have a mission to reduce 500 million tons per year by 2030. On the innovation side of things we really pioneered this area of science using CO2 in a value-added, hyper low-cost way in the value chain,” said CarbonCure founder and chief executive Rob Niven. “We look at CO2 as a value added input into making concrete production. It has to raise profits.”

Niven stresses that CarbonCure, which recently won one half of the $20 million carbon capture XPrize alongside CarbonBuilt, is not a hypothetical solution for carbon dioxide removal. The company already has 330 plants operating around the world capturing carbon dioxide emissions and sequestering them in building materials.

Applications for carbon utilization are important to reduce the emissions footprints of industry, but for nations to achieve their climate objectives, the world needs to move to dramatically reduce its reliance on emissions spewing energy sources and simultaneously permanently draw down massive amounts of greenhouse gases that are already in the atmosphere.

It’s why the ExxonMobil call for a massive project to explore the permanent sequestration of carbon dioxide isn’t wrong, necessarily, just questionable coming from the source.

The U.S. Department of Energy does think that the Gulf Coast has geological formations that can store 500 billion metric tons of carbon dioxide (which the company says is more than 130 years of the country’s total industrial and power generation emissions). But in ExxonMobil’s calculation that’s a reason to continue with business-as-usual (actually with more government subsidies for its business).

Here’s how the company’s top executives explained it in the pages of The Wall Street Journal:

The Houston CCS Innovation Zone concept would require the “whole of government” approach to the climate challenge that President Biden has championed. Based on our experience with projects of this scale, we estimate the approach could generate tens of thousands of new jobs needed to make and install the equipment to capture the CO2 and transport it via a pipeline for storage. Such a project would also protect thousands of existing jobs in industries seeking to reduce emissions. In short, large-scale CCS would reduce emissions while protecting the economy.

These oil industry executives are playing into a false narrative that the switch to renewable energy and a greener economy will cost the U.S. jobs. It’s a fact that oil industry jobs will be erased, but those jobs will be replaced by other opportunities, according to research published in Scientific American.

“With the more aggressive $60 carbon tax, U.S. employment would still exceed the reference-case forecast, but the increase would be less than that of the $25 tax,” write authors Marilyn Brown and Majid Ahmadi. “The higher tax causes much larger supply-side job losses, but they are still smaller than the gains in energy-efficiency jobs motivated by higher energy prices. Overall, 35 million job years would be created between 2020 and 2050, with net job increases in almost all regions.”

ExxonMobil and the other oil majors definitely have a role to play in the new energy economy that’s being built worldwide, but the leading American oil companies are not going to be able to rest on their laurels or continue operating with a business-as-usual mindset. These companies run the risk of going the way of big coal — slowly sliding into obsolescence and potentially taking thousands of jobs and local economies down with them.

To avoid that, carbon sequestration is a part of the solution, but it’s one of many arrows in the quiver that oil companies need to deploy if they’re going to continue operating and adding value to shareholders. In other words, it’s not the last 130 years of emissions that ExxonMobil should be focused on, it’s the next 130 years that aim to be increasingly zero-emission.

#articles, #biden, #carbon-sequestration, #co2, #exxon, #exxonmobil, #greenhouse-gas-emissions, #gulf-coast, #gulf-of-mexico, #leader, #microsoft, #nature, #oil, #president, #renewable-energy, #shopify, #tc, #the-wall-street-journal, #u-s-department-of-energy, #united-states, #wall-street-journal

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Altman brothers lead B2B payment startup Routable’s $30M Series B

We all know the COVID-19 pandemic has accelerated digital adoption in a number of areas, particularly in the financial services space. Within financial services, there are few spaces hotter than B2B payments.

With a $120 trillion market size, it’s no surprise that an increasing number of fintechs focused on digitizing payments have been attracting investor interest. The latest is Routable, which has nabbed $30 million in a Series B raise that included participation from a slew of high-profile angel investors.

Unlike most raises, Routable didn’t raise the capital from a bunch of VC firms. Sam Altman, CEO of OpenAI and former president of Y Combinator, and Jack Altman, CEO of Lattice, led the round. (The pair are brothers, in case you didn’t know.)

SoftBank-backed unicorn Flexport also participated, along with a number of angel investors, including Instacart co-founder Max Mullen, Airbnb co-founder Joe Gebbia, Box co-founder and CEO Aaron Levie, Salesforce founder and CEO Marc Benioff (who also started TIME Ventures),  DoorDash’s Gokul Rajaram, early Stripe employee turned angel Lachy Groom and Behance founder Scott Belsky.

The Series B comes just over eight months after Routable came out of stealth with a $12 million Series A.

CEO Omri Mor and CTO Tom Harel founded Routable in 2017 after previously working at marketplaces and recognizing the need for better internal tools for scaling business payments. They went through a Y Combinator batch and embarked on a process of interviewing hundreds of CFOs and finance leaders.

The pair found that the majority of the business payment tools that were out there were built for large companies with a low volume of business payments. 

After running enough customer development we identified a huge scramble to solve high-volume business payments, and that’s what we double down on,” Mor told TechCrunch. 

Routable’s mission is simple: to automate bill payment and invoicing processes (also known as accounts payables and accounts receivables), so that businesses can focus on scaling their core product offerings without worrying about payments.

“A business payment is more like moving a bill through Congress, where a consumer payment is more like a tweet,” Mor said. “We automate every step from purchase order to reconciliation and by extending an API, companies don’t have to build their own inner integration. We handle it, while helping them move their money faster.”

Since its August 2020 raise, Routable has seen its revenue grow by 380%, according to Mor. And last month alone, the company tripled its amount of new customers compared to the month prior. Customers include Snackpass, Ticketmaster and Re-Max, among others.

“We’ve been beating every quarter expectation for the past 18 months,” he told TechCrunch.

The company started out focused on the startup and SMB customer, but based on demand and feedback, is expanding into the enterprise space as well.

It has established integrations with QuickBooks, NetSuite and Xero and is looking to invest moving forward in integrating with Oracle, Microsoft Dynamics Workday and SAP. 

“A lot of our investment moving forward is to be able to bring that same level of automation and ease of use that we do for SMB and mid-market customers to the enterprise world,” Mor told TechCrunch.

Lead investor Sam Altman is in favor of that approach, noting that the recent booms in the gig and creator economies are leading to a big spike in the volume of both payments and payees.

“With the addition of enterprise capabilities, we think this can lead to an enormous business,” he said. 

The round brings Routable’s total raised to $46 million. The company has headquarters in San Francisco and Seattle with primarily a remote team. 

Sam Altman also told me that he was drawn to Routable after having experienced the pain of high-volume business payments himself and working with many startup founders who had experienced the same problem.

He was also impressed with the company’s engineering-forward approach.

“They can offer the best service by being embedded in a company’s flow of funds instead of the usual approach of just being an interface for moving money,” Altman said. 

With regard to the other investors, Mor said the decision to partner with founders of a number of prominent tech companies was intentional so that Routable could benefit from their “deep enterprise and high-growth experience.”

As mentioned above, the B2B payments space is white-hot. Earlier this year, Melio, which provides a platform for SMBs to pay other companies electronically using bank transfers, debit cards or credit — along with the option of cutting paper checks for recipients if that is what the recipients request — closed on $110 million in funding at a $1.3 billion valuation.

#aaron-levie, #airbnb, #altman, #b2b, #behance, #doordash, #finance, #financial-services, #flexport, #funding, #fundings-exits, #gokul-rajaram, #instacart, #jack-altman, #joe-gebbia, #lachy-groom, #lattice, #marc-benioff, #netsuite, #open-ai, #oracle, #payments, #president, #recent-funding, #routable, #salesforce, #sam-altman, #san-francisco, #scott-belsky, #seattle, #startups, #venture-capital, #y-combinator

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Triller owner gets a new CEO with acquisition of Amplify.AI; also acquires live streaming service FITE TV

Would be TikTok competitor Triller, operated by parent company TrillerNet, is gaining a new CEO, the company announced today. The short-form video app said it’s acquiring an A.I.-based customer engagement platform, Amplify.AI, whose co-founder Mahi de Silva will now become TrillerNet’s CEO. Existing CEO Mike Lu will transition to President of TrillerNet and will focus on investor relations. The company separately announced the acquisition of FITE TV, a live event and pay-per-view combat sports streaming platform.

New CEO Mahi de Silva had been closely involved with Triller before today. The company’s press release today says he’s been serving as non-executive chairman since 2016, but his LinkedIn notes the year was 2019 (which would be following Triller’s 2019 funding by Proxima Media, when the press release at the time noted he was assuming the role of “chairman.”)  These are both wrong, the company discovered when we reached out for clarity. The correct year is 2018.

Ahead of the acquisition, de Silva had been serving as CEO and co-founder to Amplify.AI since 2017, and before that was CEO of Opera Mediaworks, the marketing and advertising arm of Opera Software, and co-founder and CEO of Botworx.

Amplify.AI, which works with brands in CPG, financial services, automotive, telecom, politics, and digital media, among others, will continue to operate as a subsidiary of TrillerNet following the deal. Other team members include former RSA and Verisign executive Ram Moskowitz who helped design and develop the digital certificates for SSL and code signing; and Amplify.ai co-founder and CTO Manoj Malhotra, a pioneer in B2C SMS messaging, the company notes.

TrillerNet also today announced it’s acquiring another strategic property to help shift its business further into the direction of live events: FITE TV. This deal gives Triller more of a foothold in the live events and pay-per-view streaming market, it says. As a result, FITE, which touts 10 million users, will become the exclusive digital distributor of all Triller Fight Club boxing events going forward.

“Acquiring FITE is part of the larger Triller strategy to bring together content, creators and commerce for the first time and the only place where they truly interact,” said Triller’s Ryan Kavanaugh, the former head of movie studio Relativity Media (and controversial figure) whose Proxima Media became Triller’s majority investor in 2019. “We have invested hundreds of millions of dollars and believe we have created a better more efficient e-commerce content platform,” he added.

The acquisition follows several others TrillerNet has made to expand into live events, now that becoming a TikTok replacement in the U.S. is no longer a viable option, as the Trump ban was put on hold by the Biden administration. Triller also in March acquired live music streaming platform Verzuz, founded by Swizz Beats and Timbaland. And it operates Triller Flight Club in partnership with Snoop Dogg, as well as a streaming platform Triller TV.

While specific deal terms were not revealed, Triller told TechCrunch it’s spent $250 million in the aggregate on its acquisitions, including Halogen, Mashtraxx, Verzuz, FITE and Amplify today.

#amplify, #apps, #biden-administration, #ceo, #chairman, #co-founder, #computing, #digital-media, #executive, #financial-services, #fundings-exits, #internet-culture, #mike-lu, #opera-mediaworks, #opera-software, #president, #sms, #snoop, #software, #ssl, #tiktok, #triller, #trump, #united-states, #verisign, #video-hosting

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I can’t believe it’s not meat! Mycelium meat replacement company aims for summer launch of first products

Meati, a company turning mycelium (the structural fibers of fungi) into healthier meat replacements for consumers, is prepping for a big summer rollout.

Co-founder Tyler Huggins expects to have the first samples of its whole-cut steak and chicken products in select restaurants around the country — along with their first commercial product, a jerky strip.

For Huggins, the product launch is another step on a long road toward broad commercial adoption of functional fungi foods as a better-for-you alternative to traditional meats.

“Use this as a conversation starter. About 2 ounces of this gives you 50% of your protein; 50% of your fiber; and half of your daily zinc. There really is nothing that can compare to this product in terms of nutritionals,” Huggins said. 

And moving from meat to mushrooms is a better option for the planet.

Meati expects to turn on its pilot plant this summer and is joining a movement among mushroom fans that includes milk replacements, from Perfect Day, more meat replacements from Atlast, and leather substitutes from Ecovative and MycoWorks.

“We’re definitely all in this together,” said Huggins of the other mob of mycelium-based tech companies bringing products to market.

However, not all mycelium is created equally, Huggins said. Meati has what Huggins said was a unique way of growing its funguses (not a real word) that “keep it in its most happy state.” That means peak nutritional content and peak growth efficiency, according to the company.

For Huggins, whose parents own a bison ranch and who grew up in cattle country, the goal is not to replace a t-bone or a ribeye, but the cuts of meat and chicken that find their ways into a burrito supreme or other quick serve meat cuts.

Rendering of Meati mushroom meats in a Banh Mi. Image Credit: Meati

“Head to head with that kind of cut, we win,” Huggins said. “I’d rather pick a fight there now and buy ourselves some time. I don’t think we’re going to go super high-end to start.”

That said, the company’s cap table of investors already includes some pretty heady culinary company. Acre Venture Partners (which counts Sam Kass — President Barack Obama’s Senior Policy Advisor for Nutrition Policy, Executive Director for First Lady Michelle Obama’s Let’s Move! campaign, and an Assistant Chef in the White House — among its partnership) is an investor. So is Chicago’s fine dining temple, Alinea.

But Huggins wants Meati to be an everyday type of meat replacement product. “I want to make sure that people think this is an every day protein,” Huggins said.

Meati thinks its future meat replacements will be cost competitive with conventional beef and chicken, but to whet consumers’ appetites, the company is starting with jerky.

“Meati’s delicious jerky,” said Huggins. “It provides this blank canvas. We’ll start with these beef jerky like flavors. But I want to come out of the gate and say that we’re mycelium jerky.”

The company currently has 30 people on staff led by Huggins and fo-founder Justin Whiteley. The two men initially started working on Meati as a battery replacement. Based on their research (Huggins with mycelium and Whiteley with advanced batteries) the two men received a grant for a mycelium-based electrode for lithium ion batteries.

“We were trying to tweak the chemical composition of the mycelium to make a better battery. What we found was that we were making something nutritious and edible,” said Huggins.

Also… the battery companies didn’t want it.

Now, backed by $28 million from Acre, Prelude Ventures, Congruent Ventures and Tao Capital, Meati is ready to go to market. The company also has access to debt capital to build out its vast network of mycelium growing facilities. It’s just raised a $18 million debt round from Trinity and Silicon Valley Bank.

“Two years ago … most companies in this space … there wasn’t this ability to take on debt to put steel in the ground,” said Huggins. “It’s an exciting time to be in food tech given that you can raise VC funding and there’s this ready available market for debt financing. You’ll start seeing faster and more rapid development because of it.”

Meati co-founders Tyler Huggins and Justin Whiteley. Image Credit: Meati

#acre-venture-partners, #barack-obama, #beef, #biology, #chicago, #congruent-ventures, #ecovative-design, #food-and-drink, #food-tech, #jerky, #meat, #michelle-obama, #mycelium, #mycoworks, #prelude-ventures, #president, #silicon-valley-bank, #steel, #tc, #white-house

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Shell invests in LanzaJet to speed up deliveries of its synthetic aviation fuel

The energy giant Shell has joined a slew of strategic investors including All Nippon Airways, Suncor Energy, Mitsui, and British Airways in funding LanzaJet, the company commercializing a process to convert alcohol into jet fuel. 

A spin-off from LanzaTech, one of the last surviving climate tech startups from the first cleantech boom that’s still privately held, LanzaJet is taking a phased investment approach with its corporate backers, enabling them to invest additional capital as the company scales to larger production facilities.

Terms of the initial investment, or LanzaJet’s valuation after the commitment, were not disclosed.

LanzaJet claims that it can help the aviation industry reach net-zero emissions, something that would go a long way toward helping the world meet the emissions reductions targets set in the Paris Agreement.

“LanzaJet’s technology opens up a new and exciting pathway to produce SAF using an AtJ process and will help address the aviation sector’s urgent need for SAF. It demonstrates that the industry can move faster and deliver more when we all work together,” said Anna Mascolo, President, Shell Aviation, in a statement. “Provided industry, government and society collaborate on appropriate policy mechanisms and regulations to drive both supply and demand, aviation can achieve net-zero carbon emissions. The strategic fit with LanzaJet is exciting.”

LanzaJet is currently building an alcohol-to-jet fuel facility in Soperton, Ga. Upon completion it would be the first commercial scale plant for sustainable synthetic jet fuel with a capacity of 10 million gallons per year.

The fuel is made by using an ethanol inputs — something that Shell is very familiar with. It’s also something that the oil giant has in ready supply. Through the Raízen joint venture in Brazil, Shell has been producing bio-ethanol for over ten years.

The company expects that its sustainable fuel will be mixed with conventional fossil jet fuel to power airplanes in a lower carbon intensity way. Roughly 90% of the company’s production output will be aviation fuel, while the remaining 10% will be renewable diesel, the company said.

LanzaJet’s SAF is approved to be blended up to 50% with fossil jet fuel, the maximum allowed  by ASTM, and is a drop-in fuel that requires no modifications to engines, aircraft, and infrastructure.  Additionally, LanzaJet’s SAF delivers more than a 70% reduction in greenhouse gas emissions on a  lifecycle basis, compared to conventional fossil jet fuel. The versatility in ethanol, and a focus on low carbon, waste-based, and non-food /non-feed sources, along with ethanol’s global availability, make  LanzaJet’s technology a relevant and enduring solution for SAF. 

 

#all-nippon-airways, #articles, #biofuels, #brazil, #british-airways, #energy, #food, #georgia, #greenhouse-gas-emissions, #jet-fuel, #lanzajet, #lanzatech, #mitsui, #president, #shell, #tc

0

Biden infrastructure plan proposes spending $174B to boost America’s EV market

President Joe Biden has earmarked $174 billion from his ambitious infrastructure plan to build out domestic supply chains for electric vehicles, noting the imperative for United States automakers to “compete globally” to win a larger share of the EV market.

The funds are just one part of Biden’s plan, which calls for an ambitious $2 trillion infrastructure investment across multiple sectors. The Fact Sheet for the plan includes six references to China – one of these in reference to the size of the Chinese EV market, which is two-thirds larger than the domestic U.S. market. Chinese manufacturer Foxconn, Apple’s main supplier, said in February it was considering producing EVs at its Wisconsin plants – just weeks after tentatively agreeing to manufacture an EV for startup-turned-SPAC Fisker.

To ensure Americans actually purchase these domestically manufactured EVs, Biden also plans to establish sales rebates and tax incentives for the purchase of American-made EVs, though the size of the credit has not been released. Customers can already cash in a $7,500 federal tax credit for EVs, but it is not available to automakers that have sold more than 200,000 electric cars – people looking to purchase a Tesla, for instance, would not qualify for the credit. It’s unclear whether the new tax credit would raise or abolish the sales limit for automakers.

The plan also proposes using some of the funds to build a national EV charging network of 500,000 stations by 2030. A recent survey from Consumer Reports found that the availability of public charging stations was a major concern deterring people from looking into an EV for their next vehicle purchase.

On the transit side, Biden’s administration said the funds will also go towards replacing 50,000 diesel transit vehicles and electrifying at least 20 percent of school busses, through a new program administered by the Environmental Protection Agency.

The plan places a huge emphasis on providing good-paying jobs to American workers, but it still has a long way to go. It must be approved by Congress before becoming law.

#automotive, #battery-electric-vehicles, #charging-station, #china, #congress, #consumer-reports, #electric-car, #electric-vehicle, #electric-vehicles, #environmental-protection-agency, #foxconn, #green-vehicles, #joe-biden, #president, #transport, #transportation, #united-states, #wisconsin

0

Startups have about $1 trillion worth of reasons to love the Biden infrastructure plan

The sweeping infrastructure package put forward today by President Joe Biden comes with a price tag of roughly $2 trillion (and hefty tax hikes) but gives startups and the broader tech industry about $1 trillion worth of reasons to support it.

Tech companies have spent the past decade or more developing innovations that can be applied to old-world industries like agriculture, construction, energy, education, manufacturing and transportation and logistics. These are industries where structural impediments to technology adoption have only recently been broken down by the advent of incredibly powerful mobile devices.

Now, these industries are at the heart of the President’s plan to build back better, and the hundreds of billions of dollars that are earmarked to make America great again will, either directly or indirectly, be a huge boost to a number of startups and large tech companies whose hardware and software services will enable much of the work the Biden administration wants done.

“The climate-oriented investment in Biden’s new plan would be roughly ten times what came through ARRA,” wrote Shayle Kann, a partner with the investment firm, Energy Impact Partners. “It would present a huge opportunity for a variety of climate tech sectors, ranging from clean electricity to carbon management to vehicle electrification.”

Much of this will look and feel like a Green New Deal, but sold under a package of infrastructure modernization and service upgrades that the country desperately needs.  Indeed, it’s hard to invest in infrastructure without supporting the kind of energy efficiency and renewable development plans that are at the core of the Green New Deal, since efficiency upgrades are just a part of the new way of building and making things.

Over $700 billion of the proposed budget will go to improving resiliency against natural disasters; upgrading critical water, power, and internet infrastructure; and rehabilitating and improving public housing, federal buildings, and aging commercial and residential real estate.

Additionally there’s another roughly $400 billion in spending earmarked for boosting domestic manufacturing of critical components like semiconductors; protecting against future pandemics; and creating regional innovation hubs to promote venture capital investment and startup development intended to “support the growth of entrepreneurship in communities of color and underserved communities.”

Climate resiliency 

Given the steady drumbeat of climate disasters that hit the U.S. over the course of 2020 (and their combined estimated price tag of nearly $100 billion), it’s not surprising that the Biden plan begins with a focus on resiliency.

The first big outlay of cash outlined in the Biden plan would call for $50 billion in financing to improve, protect and invest in underserved communities most at risk from climate disasters through programs from the Federal Emergency Management Agency, Department of Housing and Urban Development, and new initiatives from the Department of Transportation. Most relevant to startups is the push to fund initiatives and technologies that can help prevent or protect against extreme wildfires; rising sea levels and hurricanes; new agriculture resource management; and “climate-smart” technologies.

As with most of Biden’s big infrastructure initiatives, there are startups tackling these issues. Companies like Cornea, Emergency Reporting, Zonehaven are trying to solve different facets of the fire problem; while flood prediction and weather monitoring startups are floating up their services too. Big data analytics, monitoring and sensing tools, and robotics are also becoming fixtures on the farm. For the President’s water efficiency and recycling programs, companies like Epic CleanTec, which has developed wastewater recycling technologies for residential and commercial buildings.

Fables of the reconstruction

Energy efficiency and building upgrades represent by far the biggest chunk of the Biden infrastructure package — totaling a whopping $400 billion of the spending package and all devoted to upgrading homes, offices, schools, veteran’s hospitals and federal buildings.

It gives extra credence to the thesis behind new climate-focused funds from Greensoil Proptech Ventures and Fifth Wall Ventures, which is raising a $200 million investment vehicle to focus on energy efficiency and climate tech solutions.

As Fifth Wall’s newest partner Greg Smithies noted last year, there’s a massive opportunity in building retrofits and startup technologies to improve efficiency.

“What excites me about this space is that there’s so much low-hanging fruit. And there’s $260 trillion worth of buildings,” Smithies said last year. “The vast majority of those are nowhere up to modern codes. We’re going to have a much bigger opportunity by focusing on some not-so-sexy stuff.”

Decarbonizing real estate can also make a huge difference in the fight against global climate change in addition to the its ability to improve quality of life and happiness for residents. “Real estate consumes 40% of all energy. The global economy happens indoors,” said Fifth Wall co-founder Brendan Wallace, in a statement. “Real estate will be the biggest spender on climate tech for no other reason than its contribution to the carbon problem.”

The Biden plan calls on Congress to enact new grant programs that award flexible funding to jurisdictions that take concrete steps to eliminate barriers to produce affordable housing. Part of that will include $40 billion to improve the infrastructure of the public housing in America.

It’s a project that startups like BlocPower are already deeply involved in supporting.

“Get the superhero masks and capes out. The Biden Harris Climate announcement is literally a plan to save the American economy and save the planet. This is Avengers Endgame in real life. We can’t undo the last five years… but we can make smart, massive investments in the climate infrastructure of the future,” wrote Donnel Baird, the chief executive and founder of BlocPower. “Committing to electrify 2 million American buildings, moving them entirely off of fossil fuels is exactly that — an investment in America leading theway towards creating a new industry creating American jobs that cannot be outsourced, and beginning to reduce the 30% of greenhouse gas emissiosn that come from buildings.”

As part of the package that directly impacts startups, there’s a proposal for a $27 billion Clean Energy and Sustainability Accelerator to mobilize private investment, according to the White House. The focus will be on distributed energy resources, retrofits of residential, commercial and municipal buildings; and clean transportation. A focus there will be on disadvantaged communities that haven’t had access to clean energy investments.

Financing the future startup nation

“From the invention of the semiconductor to the creation of the Internet, new engines of economic growth have emerged due to public investments that support research, commercialization, and strong supply chains,” the White House wrote. “President Biden is calling on Congress to make smart investments in research and development, manufacturing and regional economic development, and in workforce development to give our workers and companies the tools and training they need to compete on the global stage.”

To enable that, Biden is proposing another $480 billion in spending to boost research and development — including $50 billion for the National Science Foundation to focus on semiconductors and advanced communications technologies, energ technologies and biotechnology. Another $30 billion is designed to be targeted toward rural development; and finally the $40 billion in upgrading research infrastructure.

There’s also an initiative to create ARPA-C, a climate focused Advanced Research Projects Agency modeled on the DARPA program that gave birth to the Internet. There’s $20 billion heading toward funding climate-focused research and demonstration projects for energy storage, carbon capture and storage, hydrogen, advanced nuclear and rare earth  element separations, floating off shore wind, biofuel/bioproducts, quantum computing and electric vehicles.

The bulk of Biden’s efforts to pour money into manufacturing represents another $300 billion in potential government funding. That’s $30 billion tickets for biopreparedness and pandemic preparedness; another $50 billion in semiconductor manufacturing and research; $46 billion for federal buying power for new advanced nuclear reactors and fuel, cars, ports, pumps and clean materials.

Included in all of this is an emphasis on developing economies fairly and equally across the country — that means $20 billion in regional innovation hubs and a Community Revitalization Fund, which is designed to support innovative, community-led redevelopment efforts and $52 billion in investing in domestic manufacturers — promoting rural manufacturing and clean energy.

Finally for startups there’s a $31 billion available for programs that give small businesses access to credit, venture capital, and R&D dollars. Specifically, the proposal calls for funding for community-based small business incubators and innovation hubs to support growth in communities of color and underserved communites.

Water and power infrastructure 

America’s C- grade infrastructure has problems extending across the length and breadth of the country. It encompasses everything from crumbling roads and bridges to a lack of clean drinking water, failing sewage systems, inadequate recycling facilities, and increasing demands on power generation, transmission and distribution assets that the nation’s electricity grid is unable to meet.

“Across the country, pipes and treatment plants are aging and polluted drinking water is endangering public health. An estimated six to ten million homes still receive drinking water through lead pipes and service lines,” the White House wrote in a statement.

To address this issue, Biden’s calling for an infusion of $45 billion into the Environmental Protection Agency’s Drinking Water State Revolving Fund and Water Infrastructure Improvements for the Nation Act grants. While that kind of rip and replace project may not directly impact startups, another $66 billion earmarked for upgrades to drinking water, wastewater and stormwater systems and monitoring and managing the presence of contaminants in water will be a huge boon for the vast array of water sensing and filtration startups that have flooded the market in the past decade or more (there’s even an entire incubator dedicated to just water technologies).

The sad fact is that water infrastructure in America has largely failed to keep up in large swaths of the country, necessitating this kind of massive capital infusion.

And what’s true for water is also true increasingly true for power. Outages cost the U.S. economy upwards of $70 billion per year, according to the White House. So when analysts compare those economic losses to a potential $100 billion outlay, the math should be clear. For startups that math equals dollar signs.

Calls to build a more resilient transmission system should be music to the ears of companies like Veir, which is developing a novel technology for improving capacity on transmission lines (a project that the Biden administration explicitly calls out in its plan).

The Biden plan also includes more than money, calling for the creation of a new Grid Deployment Authority within the Department of Energy to better leverage rights-of-way along roads and railways and will support financing tools to develop new high-voltage transmission lines, the White House said.

The administration doesn’t stop there. Energy storage and renewable technologies are going to get a boost through a clutch of tax credits designed to accelerate their deployment. That includes a ten-year extension and phase down of direct-pay investment tax credits and production tax credits. The plan aslo calls for clean energy block grants and calls for the government to purchase nothing but renewable energy all day for federal buildings.

Complimenting this push for clean power and storage will be a surge in funding for waste remediation and cleanup, which is getting a $21 billion boost under Biden.

Companies like Renewell Energy, or various non-profits that are trying to plug abandoned oil wells, can play a role here. There’s also the potential to recover other mineral deposits or reuse the wastewater that comes from these wells. And here, too, investors can find early stage businesses looking for an angle. Part of the money frm the Biden plan will aim to redevelop brownfields and turn them into more sustainable businesses.

That’s where some of the indoor agriculture companies, like Plenty, Bowery Farms, AppHarvest could find additional pots of money to turn unused factory and warehouse space into working farms. Idled factories could also be transformed into hubs for energy storage and community based power generation and distribution facilities, given their position on the grid.

“President Biden’s plan also will spur targeted sustainable, economic development efforts through the Appalachian Regional Commission’s POWER grant program, Department of Energy retooling grants for idled factories (through the Section 132 program), and dedicated funding to support community-driven environmental justice efforts – such as capacity and project grants to address legacy pollution and the cumulative impacts experienced by frontline and fenceline communities,” the White House wrote.

Key to these redevelopment efforts will be the establishment of pioneer facilities that demonstrate carbon capture retrofits for large steel, cement, and chemical production facilities. But if the Biden Administration wanted to, its departments could go a step further to support lower emission manufacturing technologies like the kind companies including Heliogen, which is using solar power to generate energy for a massive mining operation, or Boston Metal, which is partnering with BMW on developing a lower emission manufacturing process for steel production.

Critical to ensuring that this money gets spent is a $25 billion commitment to finance pre-development activities, that could help smaller project developers, as Rob Day writes in Forbes.

“As I’ve written about elsewhere, local project developers are key to getting sustainability projects built where they will actually do the most good — in the communities hit hardest by both local pollution and climate change impacts. These smaller project developers have lots of expenses they must pay just to get to the point where private-sector infrastructure construction investments can come in,” Day wrote. “Everyone in sustainability policy talks about supporting entrepreneurs, but in reality much of the support is aimed at technology innovators and not these smaller project developers who would be the ones to actually roll out those technology innovations. Infrastructure investors are typically much more reticent to provide capital before projects are construction-ready.”

Building a better Internet

“Broadband internet is the new electricity. It is necessary for Americans to do their jobs, to participate equally in school learning, health care, and to stay connected,” the White House wrote. “Yet, by one definition, more than 30 million Americans live in areas where there is no broadband infrastructure that provides minimally acceptable speeds. Americans in rural areas and on tribal lands particularly lack adequate access. And, in part because the United States has some of the highest broadband prices among OECD countries, millions of Americans can’t use broadband internet even if the infrastructure exists where they live.”

The $100 billion that the Biden Administration is earmarking for broadband infrastructure includes goals to meet 100 percent high-speed broadband coverage and prioritizes support for networks owned, operated, or faffiliated with local governments, non-profits and cooperatives.

Attendant with the new cash is a shift in regulatory policy that would open up opportunities for municipally-owned or affiliated providers and rural electric co-ops from competing with prive providers and requiring internet providers to be more transparent about their pricing. This increased competition is good for hardware vendors and ultimately could create new businesses for entrepreneurs who want to become ISPs of their own.

Wander is one-such service providing high speed wireless internet in Los Angeles.

“Americans pay too much for the internet – much more than people in many other countries – and the President is committed to working with Congress to find a solution to reduce internet prices for all Americans, increase adoption in both rural and urban areas, hold providers accountable, and save taxpayer money,” the White House wrote.

 

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