Google Nest Cam & Doorbell: New Designs & Improved Chip Revealed

TechCrunch Daily Roundup: August 5, 2021

A daily digest of TechCrunch’s most significant and impactful stories is delivered to inboxes each day at 3 p.m. PDT. Interested readers can subscribe here to receive this service.

Welcome to Extra Crunch

Greetings, and welcome to the August 5, 2021 edition of Extra Crunch. The recent fluctuations in Robinhood’s stock price serve as a reminder that market gains are often followed by corrections.

The stock experienced a notable increase yesterday, only to witness a substantial decline today. This volatility underscores the inherent risks associated with market investments.

Today's Headlines

Despite market uncertainties, several key developments have emerged from Apple, Facebook, numerous startups, and the drone industry.

Disrupt Ticket Reminder

Please note that tomorrow represents the final opportunity to secure early-bird pricing for tickets to TechCrunch Disrupt. Don't miss out on this chance!

New Newsletter Launch: This Week in Apps

TechCrunch is pleased to announce the launch of a new newsletter, This Week in Apps, authored by Sarah Perez.

Launching this Saturday, August 7, the newsletter will provide comprehensive coverage of all things related to the app ecosystem. Readers can sign up here to stay informed.

— Alex

TechCrunch's Leading Three Stories

Here's a summary of the top three tech news items covered by TechCrunch today, presented for quick understanding.

Apple's New iPhone Scanning Feature

Apple is preparing to implement a system for scanning iPhones to detect abusive content related to children. This initiative presents a challenge to the company’s established commitment to user privacy.

The proposed system will operate directly on devices. It will aim to identify instances of users uploading known child sexual abuse material to iCloud. Images will not be decrypted until a specific threshold is reached.

A series of verification checks will be conducted to confirm the content's nature before any action is taken. This multi-layered approach is designed to balance safety with privacy concerns.

Strategic Market Exit for Startups

Following reports that Deliveroo may withdraw from the Spanish market, TechCrunch investigated the circumstances under which a startup should concede a market to its rivals.

Insights were gathered from several venture capitalists to address this question. The consensus suggests that startups aiming to achieve unicorn status should focus on securing leading positions – gold and silver – rather than settling for bronze.

Prioritizing markets where strong competitive advantages can be established is crucial for long-term success and achieving substantial growth.

Facebook's Privacy Settings Overhaul

Facebook has recently redesigned its privacy settings, a change that has drawn criticism from TechCrunch’s Devin Coldeway.

Coldeway argues that Facebook has intentionally obscured the “privacy settings” by dispersing them throughout other categories. This makes it more difficult for users to locate and manage their privacy preferences.

Given these changes, it is advisable for all Facebook users to review their privacy configurations on the social media platform. The process may now require more time and effort.

Startups and Venture Capital Updates

A compelling collection of startup news is presented below. We begin with a recent report on drone technology from Brian Heater. His investigation focuses on the application of drones within warehouse environments, a fitting setting given the minimal disruption from operational sounds and the prevalence of barcode-labeled, vertically stacked inventory.

Now, let's proceed with our regular summary:

• Quora+ Subscriptions Launched: Quora is introducing a subscription service, Quora+, priced at $5 monthly. This allows content creators to monetize their expertise by restricting access to select answers.
• The Need for a Subscription Hub: A centralized platform for managing digital content subscriptions is urgently needed. The current reliance on password managers is cumbersome and inefficient. A solution to this problem would be highly valuable.
• Allocations Secures $4M in Funding: Allocations has developed technology to streamline the creation and management of small private equity funds and SPVs. This includes automating administrative tasks like paperwork and capital calls. The company anticipates a growth in the number of smaller PE funds, aligning with the increasing trend of solo GPs.
• Astra Targets Commercial Launch: Space launch company Astra is scheduled for its first commercial launch on August 27th. Despite challenges faced by established players like Boeing, Astra’s pursuit of innovation in the launch sector is a positive development.
• OffLimits Raises $2.3M for Healthy Cereal: OffLimits is addressing the demand for healthier breakfast options in the United States. Their cereal is formulated to be nutritious, organic, vegan, and gluten-free, offering a potentially healthier alternative to traditional sugary cereals.
• Reskilling Initiatives in Latin America: TechCrunch’s Natasha Mascarenhas highlights two companies, Coderhouse and Crehana, focused on reskilling programs in Latin America. The reskilling market, aimed at upskilling existing workers, is experiencing significant growth, and Latin America is emerging as a key region for edtech innovation.
• Cent Raises $3M for NFT Solutions: Cent, the platform that facilitated the sale of Jack Dorsey’s first tweet as an NFT, has secured $3 million in funding. This investment demonstrates continued venture capital interest in NFTs and the broader cryptoeconomy.

TechCrunch’s Ron Miller recently reported on Bluecore’s $125 million Series E funding round. This investment has elevated the e-commerce personalization platform to unicorn status.

I inquired with Miller regarding his coverage of this round. His response provides insight into the decision-making process.

This offers a glimpse into the reporting process!

Constructing a High-Performing Founding Team for Your Startup

The process of building a startup team presents a greater challenge than assembling even ten pieces of IKEA furniture, and the potential consequences are significantly more substantial.

Given that the vast majority of startups – around 90% – ultimately fail, and those that succeed typically require an average of six years to reach an initial public offering (IPO), founders must exercise meticulous judgment when selecting members for the founding team.

Does possessing exceptional engineering skills automatically qualify an individual as a valuable addition? Or could it prove detrimental? Should the individual responsible for product development be strongly opinionated, or prioritize collaborative teamwork? Furthermore, is the role of CEO best suited to your own capabilities?

Sudheesh Nair, CEO of ThoughtSpot, has offered insights into the creation of a resilient leadership team, and has compiled a detailed checklist for entrepreneurs engaged in team formation. His primary recommendation?

While investors generally favor founder-CEOs, and founders frequently possess the necessary attributes for this position, not all individuals are equally adept at fulfilling the role, and crucially, not everyone desires it.

(Extra Crunch is a membership program designed to empower founders and startup teams. Registration is available here.)

Big Tech Inc.

Recent developments across several major technology companies are shaping the landscape of social media, automotive technology, and smart home devices.

Twitter Spaces Enhancements

Twitter Spaces has introduced a new feature allowing for co-hosting of live audio conversations. Users can now invite up to two co-hosts to assist in managing their Spaces sessions, alongside a host and a maximum of ten speakers.

However, the potential for overcrowding within these sessions raises concerns about maintaining a focused and productive discussion.

Qualcomm’s Bid for Veoneer

Qualcomm has made a revised offer to acquire Veoneer, a Swedish automotive technology company, for $4.6 billion. This bid surpasses a previous offer of $800 million from Magna International.

The acquisition is driven by Veoneer’s expertise in developing “advanced driver assistance systems, decision-making vehicle hardware and software,” reflecting Qualcomm’s long-term investment in self-driving technology.

Automakers Seek Government Funding

Automakers are requesting additional financial support from the U.S. government to facilitate the transition to electric vehicles. They are advocating for the “timely deployment” of policies outlined in the Build Back Better Plan.

This request includes funding for both consumer incentives and the expansion of a national electric vehicle charging network.

Despite recent profitability, such as that experienced by GM, questions arise regarding the necessity of government assistance when companies possess substantial capital resources.

Google Updates Nest Product Line

Google has announced updates to its Nest lineup, encompassing new cameras and doorbells. This refresh introduces updated hardware designs.

Nest, as a hardware division within the predominantly software-focused Google, continues to develop and refine its smart home offerings.

The newly released hardware is aesthetically appealing and demonstrates Google’s ongoing commitment to the smart home market.

TechCrunch Seeks Growth Marketing Professionals

TechCrunch is currently soliciting recommendations for accomplished growth marketers.

Specialized skills in areas like SEO, social media marketing, and content creation are highly valued.

Growth Marketer Recommendations Requested

Are you a growth marketing specialist? Please share this survey with your clients.

TechCrunch is interested in gathering feedback regarding positive client experiences and the reasons behind them.

Insights into Growth Marketing Roles

Further context on the evolving landscape of growth marketing is available through a recent interview.

Miranda Halpern spoke with Ward van Gasteren, the founder of Grow with Ward, exploring the distinctions between a growth hacker and a digital marketer in the article, “Which person should you hire: A growth hacker or a digital marketer?”

• The interview provides valuable perspectives on selecting the right marketing professional.
• It clarifies the differing skill sets and focuses of each role.

TechCrunch’s coverage is being directly informed by the results of these surveys.