Trump Launches Social Network to Rival Big Tech

Daily Crunch: October 21, 2021

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Today's Highlights

Greetings, and welcome to the Daily Crunch for October 21, 2021. The day’s news coverage was quite diverse, featuring several stories related to a specific former U.S. president.

TechCrunch provides comprehensive coverage, including numerous updates concerning cryptocurrency, product announcements from major technology companies, and a wide array of startup-related news.

Key News Updates

Crypto Focus: A significant portion of today’s reporting centered around developments in the cryptocurrency market.
Big Tech Updates: Major technology companies released product updates and made announcements.
Startup Activity: A diverse range of startup news was covered, showcasing innovation across various sectors.
Political Coverage: Several stories addressed events and news involving a particular former U.S. president.

The breadth of topics covered demonstrates the dynamic nature of the technology landscape. TechCrunch continues to deliver in-depth analysis and reporting on these crucial areas.

– Alex

TechCrunch's Top 3 Developments

This week’s leading tech news includes developments surrounding a new social media venture from a former president, a notable employee protest at a streaming giant, and adjustments to app store fees by Google.

Donald Trump's New Media Company

Former President Donald Trump is moving forward with plans to establish a media organization. This initiative encompasses the creation of a social network, alongside a video-on-demand service.

The scope of this project is ambitious, aiming to compete directly with major players like Amazon and Microsoft, as well as payment processing firm Stripe.

Netflix Walkout in Support of Trans Employees

Netflix faced internal dissent this week, as employees staged a walkout. This action was taken to demonstrate solidarity with transgender staff members.

The protest stemmed from a comedy special broadcast on the platform, which some critics characterized as promoting harmful rhetoric. Similar controversies arose previously with Spotify and the exclusive distribution of the Joe Rogan podcast.

Google Play Store Fee Reduction

Google announced a reduction in fees for subscriptions offered through the Google Play Store. The company is “lowering commissions on all subscription-based businesses” available on its platform.

This move follows ongoing debates regarding app store policies. Apple has resisted calls from developers seeking more adaptable payment structures and reduced commission rates within the App Store.

These changes reflect a broader trend of pricing adjustments within the global application marketplace landscape.

Startups and Venture Capital Updates

Today’s startup coverage begins with The Fund, a founder and operator collective, which is establishing The Fund XX. According to TechCrunch, this initiative will function as a network for female investors and entrepreneurs, focusing on pre-seed and seed-stage investments. This development warrants close attention.

Subsequently, we will examine three noteworthy developments in the cryptocurrency space, followed by a compilation of individual startup news items.

$50 Million Funding for a Crypto Card Game: Ever envisioned designing a card or board game? Did you encounter difficulties securing funding or even garnering interest from potential players? A potential solution involves leveraging the Ethereum blockchain, as demonstrated by Parallel. This sci-fi card game, built on Ethereum, has achieved a $500 million valuation following a substantial funding round.
Worldcoin’s Offer: Eyeballs in Exchange for Crypto: Sam Altman’s Worldcoin is presenting a unique proposition. The project utilizes “The Orb,” a five-pound device, to scan individuals’ eyes in exchange for its native cryptocurrency. Worldcoin operates as a Layer 2 solution on the Ethereum network.
The Rise of NFT Funds: Investment funds dedicated to Non-Fungible Tokens (NFTs) are becoming increasingly prevalent. Meta4 Capital is currently seeking $100 million in capital to acquire and trade NFTs, as reported by TechCrunch. This fund is backed by a16z, a prominent venture capital firm with significant investments in Coinbase and OpenSea, both key players in the NFT ecosystem.

Now, let’s move on to the remaining news highlights:

AirGarage: Vertical Software for Parking Management: AirGarage is developing specialized software solutions for the parking industry, having recently secured $12.5 million in funding. This exemplifies the trend of vertical software, which delivers targeted products to industries undergoing digital transformation.
Socratic Secures $3 Million for Developer Task Management: Socratic, a developer-focused task management service, has disclosed a $3 million funding round, coinciding with the public beta launch of its platform. The service aims to provide engineering leaders with greater visibility into organizational activities and empower individual contributors.
Rippling’s Success: A Second Act for Parker Conrad: Rippling, the venture founded by former Zenefits CEO Parker Conrad, has reached a $6.5 billion valuation after a new round of investment. For those unfamiliar with the Zenefits story, a detailed account is available.
Yummy’s $18 Million Boost for Latin American Deliveries: The rapid growth in venture capital funding observed in North America is not limited to this region. Yummy, a Venezuelan delivery company, has secured an additional $18 million in funding following a $4 million raise earlier this year. These funds will support the company’s expansion throughout Latin America.
FlixMobility Acquires Greyhound: FlixMobility, a German bus operator, has purchased Greyhound, the well-known U.S. bus company. Greyhound has historically faced challenges regarding operational efficiency within the United States, and this acquisition may lead to improvements under new ownership.

Insights for Founders Securing Initial Funding During a Bull Market

October 2021 presented a favorable environment for startup founders seeking their first round of funding, with a generally positive market trend.

However, readily available capital can introduce unique challenges for companies in their early stages, as highlighted by Manu Bansal, founder of Lightup.ai.

Bansal emphasizes that simply increasing financial resources does not accelerate go-to-market strategies. He notes that when valuations experience substantial growth, maintaining a focus on demonstrable results is crucial.

“Failure to exhibit clear progress will inevitably lead to repercussions,” Bansal states. “I prefer to steer clear of situations where rapid valuation increases are not supported by genuine advancement.”

It’s important to remember that sustainable growth relies on performance, not just investment.

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

Big Tech Inc.

A significant change has been implemented regarding Twitter Spaces. Previously, access to Twitter’s audio chatroom feature was restricted to users with a minimum of 600 followers; this follower requirement has now been removed.

Microsoft Surface Duo Updates

Improvements are being observed with Microsoft’s dual-screen smartphone. While the second generation Surface Duo represents a notable advancement over its predecessor, it is still considered to be undergoing further development and refinement.

Metaverse Initiatives at Facebook

Facebook continues to pursue its vision of becoming a metaverse company. In line with this strategic direction, the company is currently deploying new augmented reality (AR) experiences for use within video calls and Messenger Rooms.

Unity Gaming Services

Unity is focused on streamlining the development of games that function across multiple platforms. Their new Unity Gaming Services product aims to simplify the process for developers creating cross-platform titles, a development welcomed by PC gamers.

Apple’s COVID-19 Policy

Apple has instituted a policy requiring unvaccinated employees to undergo daily COVID-19 testing. This approach appears to be a method of encouraging vaccination without directly mandating it.

EU Regulation of Targeted Advertising

The European Union is contemplating a ban on tracking-based advertising, which has been described as “creepy.” This potential regulation, as reported by Natasha Lomas, represents a substantial development in the advertising landscape.

Key Takeaways

Twitter has opened up its Spaces feature to all users.
The Surface Duo is improving, but still has room for growth.
Facebook is actively investing in metaverse technologies.
Unity is simplifying cross-platform game development.
Apple is incentivizing vaccination through testing requirements.
The EU is considering restrictions on targeted advertising.

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