Jack Dorsey Steps Down as Twitter CEO - Daily Crunch

Daily Crunch: November 29, 2021

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Greetings, and welcome to Daily Crunch for November 29, 2021. It is Monday, marking our return, as well as yours, and the news cycle is once again in full swing.

Any expectation of a quiet period following Thanksgiving and before the full holiday season will prove unfounded. As indicated in the subject line, a substantial amount of information requires coverage.

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TechCrunch's Top 3 Updates

Jack Dorsey has stepped down from his position as CEO of Twitter. The announcement came this morning, with Dorsey relinquishing his leadership role to the company’s current Chief Technology Officer.

Twitter Leadership Change

TechCrunch analysts suggest that the appointment of Parag Agrawal as the new CEO could positively influence Twitter’s future initiatives, particularly those related to cryptocurrency.

Clearview AI Faces UK Scrutiny

The United Kingdom has issued a notice to Clearview AI, a facial recognition technology company. This "provisional notice" requires the company to cease processing data belonging to UK citizens.

Furthermore, Clearview AI has been directed to delete any existing data it currently holds on individuals within the UK, and is facing a financial penalty.

E-commerce Growth Trends

Recent data from “Black Friday” indicates a potential slowdown in digital spending compared to 2020. This observation has prompted questions about the overall growth trajectory of the e-commerce sector.

TechCrunch investigated a series of recent earnings reports from various e-commerce businesses, reinforcing the possibility that the rate of growth in the online retail market may be decelerating.

Startups/VC

Positive social networking is being explored by Alms, a startup focused on creating a platform centered around self-improvement challenges. Users can participate in these challenges and then share their progress with their network of friends.

Yassir is aiming to establish itself as the leading super app in North Africa. Backed by a $30 million Series A funding round, the company offers a range of services, including ride-hailing and delivery.

Foundry Lab's Innovative Approach

Foundry Lab, which recently secured $8 million in funding and publicly launched, is developing a unique solution. Rather than attempting to rephrase their description, here's a direct quote from Rebecca Bellan, outlining their work:

YallaMarket is pursuing the idea that rapid commerce represents a worldwide trend. Despite the crowded quick delivery market in the U.K., the company believes this model can also succeed in the Middle East.

The company has raised a few million dollars to date and is one to watch.

Multi-Cloud Management

If cloud computing is beneficial, could a multi-cloud approach be even more so? Upbound has developed a tool to assist businesses in managing their operations across multiple cloud platforms. This addresses the concern of vendor lock-in, as companies seek to avoid dependence on a single provider.

Upbound recently raised $60 million in funding.

Significant Funding Rounds

Thought Machine, a B2B cloud banking provider, has achieved unicorn status with a $200 million funding round. This milestone marks a significant achievement for the company.

Slice, an Indian credit card startup, has also reached unicorn status. Additionally, Mr Yum, a mobile ordering service, secured $65 million in funding, demonstrating that a memorable name isn't always essential for success.

Further announcements today included funding rounds for FJDynamics and Motorway.

There were even more startup funding announcements today, but this concludes our overview.

Product-Led Growth and Signal Substitution Syndrome: A Comprehensive View

Gathering data for the purpose of optimizing B2B marketing efforts presents significant challenges.

Kerry Cunningham, a senior principal at the account engagement platform 6sense, notes that marketing professionals frequently perceive each new data source regarding prospective customers – each signal type – as a replacement for previous sources that proved ineffective.

Understanding Signal Substitution

This tendency, termed “signal substitution syndrome,” can hinder a holistic understanding of the buyer’s journey. Instead of integrating various signals, teams often prioritize the newest data point, discarding potentially valuable insights from earlier sources.

The Role of Product-Led Growth

Adopting a product-led growth (PLG) strategy enables organizations to view their users themselves as valuable signals.

Cunningham explains that users can be analyzed in the same way as traditional signals, such as completed form-fill leads, website traffic that has been de-anonymized, or individuals who visited a company’s exhibition booth.

Leveraging User Behavior as a Signal

By focusing on how users interact with the product, businesses can gain direct insights into their needs and interests. This approach moves beyond relying solely on demographic data or marketing-qualified leads.

Benefits of a PLG Approach

• Improved understanding of customer behavior.
• More accurate identification of high-potential prospects.
• Enhanced marketing and sales alignment.
• Greater efficiency in resource allocation.

Essentially, a PLG mindset reframes the perception of users from simply being potential customers to being active sources of data that inform the entire marketing and sales process.

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Big Tech Inc.

A former Facebook employee, who released numerous internal documents, is scheduled to appear before Congress.

The testimony will focus on Section 230, a U.S. law governing content moderation and online speech hosting.

It is anticipated that lawmakers will pose detailed and significant inquiries during the session.

AWS and Robotics

Amazon Web Services (AWS) is expanding its services beyond traditional cloud computing.

A new initiative, RoboRunner, aims to enhance the collaborative capabilities of robot fleets.

Notably, AWS, alongside Azure, also provides “ground station as a service” solutions for companies operating satellites.

Recent Major Transactions

Francisco Partners is divesting a portion of its portfolio, Quest Software, to Clearlake Capital.

This transaction is valued at $5.4 billion, representing a substantial increase from the price Francisco Partners initially paid for the “legacy security vendor” in 2012.

The sale involves a significant transfer of capital between these investment firms.

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