China Limits Gaming Time for Under-18s - Daily Crunch

Daily Tech Roundup: August 30, 2021

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Tech News Highlights

Greetings, and welcome to Daily Crunch for August 30, 2021. The startup ecosystem is preparing for Y Combinator Demo Day this week. However, significant developments continue to emerge across the broader technology landscape.

This includes updates from Apple, Telegram, and ongoing antitrust matters. News from the video game industry is also featured.

TechCrunch Announcements

We begin with news from TechCrunch itself: Ryan Reynolds will be appearing at Disrupt to discuss his venture, Maximum Effort. This is anticipated to be a highly engaging session.

A substantial portion of our coverage will be dedicated to software innovations. Expect in-depth analysis and reporting on the latest advancements.

— Alex

TechCrunch's Top 3 Developments

This week saw significant movement in the technology sector, with developments spanning gaming regulations, IPO performance, and the evolving landscape of music streaming.

Gaming Restrictions in China

China has implemented strict limitations on gaming for young people, restricting playtime to just three hours per week. This substantial regulation impacts a major global gaming market.

The move is part of a broader effort by the Chinese government to exert greater control over its private sector. This includes addressing various aspects of online culture, such as fan communities.

Toast's Promising IPO

A detailed analysis of Boston-based Toast’s IPO filing was recently conducted by TechCrunch. The findings indicate strong growth since the challenges presented by the COVID-19 pandemic.

The company’s diversified business model is considered particularly robust. This success reflects positively on the vibrant Boston startup scene.

Shifting Dynamics in Music Streaming

The competition to establish unique music streaming platforms intensified this week. Apple’s acquisition of Primephonic signals a strategic move to differentiate its service.

Spotify’s recent deal to secure Joe Rogan’s podcast further exemplifies this trend. Both companies are striving to offer exclusive content in a market saturated with music availability.

Primephonic, an Amsterdam-based company specializing in classical music, will be integrated into Apple Music.

Startups & Venture Capital Updates

A comprehensive overview of recent startup activity is now available. Before diving in, it’s noteworthy that Telegram has surpassed 1 billion downloads. This milestone suggests a growing consumer interest in data privacy.

Recent Funding Rounds & Developments

Here’s a breakdown of notable events in the startup ecosystem:

• Casper's Challenges & Eight Sleep's Success: The public offering of direct-to-consumer mattress company Casper faced difficulties. However, this hasn't deterred investment in Eight Sleep, a company specializing in smart mattresses. They’ve secured $86 million in Series C funding, achieving a valuation of approximately $500 million.
• Prive Secures $1.7M for Enhanced E-commerce Subscriptions: Founded by former Uber employees, Prive is focused on improving e-commerce subscription models. Their platform aims to benefit both retailers by increasing sales and consumers through personalized recommendations.
• The Pursuit of a Personal CRM: Developing a functional personal CRM has proven challenging for many startups. Clay, a new entrant, recently raised $8 million and has developed a system designed to foster more meaningful connections with contacts, according to TechCrunch.
• Alpaca's Continued Growth in Embedded Fintech: Alpaca has consistently been featured in TechCrunch’s coverage, both for funding rounds and its API-driven approach. The company has now announced a $50 million Series B round, alongside partnerships with Plaid and expanded support for cryptocurrency trading.
• Monetizing Travel Influence with Thatch: For those who have established themselves as travel influencers, Thatch offers a platform to better monetize their recommendations. This development may indicate a continued relevance of influencer marketing.
• Ola Electric's Significant Funding Round: Ola Electric is seeking to raise between $250 million and $500 million. This substantial investment would significantly bolster their financial position. Falcon Edge Capital is reportedly leading the round, valuing Ola Electric between $2.75 billion and $3.5 billion.
• Remote Work Policies: A recent article explores why startups are poised to lead the way in defining remote work standards.

These developments highlight the dynamic nature of the startup landscape and the ongoing investment in innovative technologies and business models.

The Evolution of Amazon EC2: From Concept to Cloud Cornerstone

The launch of Amazon’s EC2 virtual computing service in August 2006 marked a pivotal moment in the advancement of cloud infrastructure.

According to enterprise journalist Ron Miller, the achievement by Amazon was truly groundbreaking.

Over the past 15 years, EC2 has empowered businesses of all scales to deploy and evaluate applications utilizing AWS’s virtualized hardware.

Ron Miller spoke with Dave Brown, VP of EC2 and the original leader of the Amazon EC2 front-end team, to explore this key technological transformation that “significantly contributed to the rise of a new wave of startups.”

(Extra Crunch is a membership program designed to support founders and startup teams in their growth. Registration is available here.)

Big Tech Inc.

Recent developments indicate significant movement within the technology sector, with major companies making strategic acquisitions and adjustments to user data policies.

ByteDance Acquires VR Hardware Startup

While Facebook currently dominates the virtual reality hardware landscape, competition is increasing. ByteDance, the parent company of TikTok, is entering the VR market through the acquisition of Pico.

Pico had previously secured $37 million in funding earlier this year. This acquisition positions ByteDance to challenge Facebook's leadership in VR technology.

The implications of this move, particularly in relation to gaming regulations within China, remain to be seen. However, it is anticipated that this will foster competition between national technology leaders in the VR space.

Instagram's Birthday Request

Instagram is now requesting users to provide their birthdates. The platform will persistently prompt for this information, with limited opportunities for postponement.

According to TechCrunch, this change is intended to “personalize your experience” on the service. This personalization is largely driven by targeted advertising.

Users concerned about data privacy may find this development unfavorable, as it involves sharing additional personal information with a Facebook product.

Ideanomics Acquires Via Motors

Ideanomics, a publicly traded mobility company, has announced the acquisition of Via Motors, an electric vehicle (EV) company.

The transaction is valued at $450 million, to be paid in company stock. Following the announcement, Ideanomics shares experienced a rise of over 5% in value.

Big Tech Employee Sentiment on Antitrust

Contrary to expectations, a significant portion of employees within large technology companies do not oppose antitrust enforcement measures.

Despite potential challenges to the current structure of the technology industry, many employees appear receptive to the ideas being discussed in Congress regarding antitrust regulations.

These regulations could impact the operations of major technology corporations, but internal sentiment suggests a degree of acceptance, even among those employed by these companies.

TechCrunch Insights: Growth Marketing Professionals

Did you have a chance to review last week’s articles focusing on growth marketing strategies? The previous coverage can be found here.

TechCrunch is currently seeking recommendations for accomplished growth marketers. Expertise in areas like SEO, social media marketing, and content creation is highly valued.

Seeking Growth Marketing Recommendations

Growth marketers are encouraged to share this survey with their clients. We aim to gather feedback regarding positive client experiences and the value provided.

• We are interested in understanding why clients appreciate the services of specific growth marketers.
• The survey focuses on expertise in SEO, social media, and content writing.
• Input from clients will help identify leading professionals in the growth marketing field.

Your participation will contribute to recognizing exceptional talent within the growth marketing community. Providing client testimonials is a valuable way to showcase successful partnerships.

Community

Image Credits: Diversion Books

Danny Crichton will be hosting a discussion on Twitter Spaces tomorrow, Tuesday, August 31st, beginning at 1 p.m. PDT/4 p.m. EDT.

He will be speaking with Azeem Azhar regarding his forthcoming book, “The Exponential Age: How Accelerating Technology is Transforming Business, Politics and Society.”

The book’s official release date is September 7, 2021.

This conversation offers an opportunity to learn more about the impacts of rapidly evolving technologies.

Listeners can expect insights into the future of business, political landscapes, and societal structures.

Don't miss this chance to engage with thought leaders on a critical topic.