Wednesday, 31 July 2019

Dreading 10x engineers, virtual beings, the fate of Netflix, and Salesforce’s acquisition

The dreaded 10x, or, how to handle exceptional employees

The reality (myth?) is that there are engineers who are ten times more productive than other engineers (some would argue 100x, but okay). Jon Evans, who is CTO at HappyFunCorp, dives into the strengths and weaknesses of these vaunted people and how to manage them and their relationships with other team members.

The anti-10x squad raises many important and valid — frankly, obvious and inarguable — points. Go down that Twitter thread and you’ll find that 10x engineers are identified as: people who eschew meetings, work alone, rarely look at documentation, don’t write much themselves, are poor mentors, and view process, meetings, or training as reasons to abandon their employer. In short, they are unbelievably terrible team members.

Is software a field like the arts, or sports, in which exceptional performers can exist? Sure. Absolutely. Software is Extremistan, not Mediocristan, as Nassim Taleb puts it.

A guide to Virtual Beings and how they impact our world

If your 10x engineers are too annoying to deal with, maybe consider just getting virtual beings instead. The inaugural Virtual Beings Summit was held recently in San Francisco, a conference designed to bring together storyline editors, virtual reality engineers, influencer marketers and more to consider the future of “virtual beings.”



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Vizio rolls out its Apple AirPlay and HomeKit integrations to its SmartCast TV platform

Ahead of Apple launching its big video streaming initiative Apple TV+ this autumn, a integration is going live today that brings Apple closer to working with third-party TV makers and making its services available on a wider array of devices. Today Vizio said it would start to roll out support for AirPlay2 and HomeKit to its SmartCast TV sets, making it possible to stream video and other media from Apple devices to its TVs and control the sets using Apple’s Home app and through its Siri voice assistant.

The support is coming by way of an over-the-air update to SmartCast 3.0, the system that underpins Vizio’s smart TVs. Notably, using the Apple services will not necessarily mean buying new Vizio TVs: the service is backwards compatible to TVs dating back to 2016. New sets range in prices from $259.99 to $3,499.99.

“SmartCast 3.0 is full of added value for VIZIO customers. With both AirPlay 2 and HomeKit support, users can now share movies, TV shows, music and more from their favorite apps, including the Apple TV app, directly to SmartCast TVs, and enable TV controls through the Home app and Siri,” said Bill Baxter, Chief Technology Officer, VIZIO. “We are thrilled to offer an even more compelling value proposition to our users with a smart TV experience that supports all three major voice assistants. This broad range of compatibility enables VIZIO SmartCast to seamlessly integrate into any household with Siri, Google Assistant or Alexa – giving users more ways to sit back and enjoy the entertainment they love.” Vizio still appears to be the only smart TV maker that’s offering support on its sets for all of the major voice assistants.

Vizio’s integration for Apple’s media services was first announced in January at CES, when Vizio said it would be getting actually rolled out later in the year.

The news was notable at the time for a couple of reasons. First, it underscored how Vizio was stepping up its growth efforts after a tough couple of years involving lawsuits, regulatory investigations and a failed M&A attempt.

Second, it was part of a bigger theme of Apple branching out into a wider consumer electronics ecosystem for its push into the world of TV and video. The latter still stands in stark contrast to Apple’s approach around smartphones, computers and watches, where it has spent years building hardware, operating systems and walled gardens.

That’s a story that is still playing out. The timing of the Vizio news is notable given that it’s just one day after Apple’s quarterly earnings report, where the company revealed a solid quarter that beat analyst expectations but also continued to show slowing growth, largely on the back of an ongoing decline in unit sales for the iPhone (amid a similar, bigger market trend for smarphones overall). To offset that story, Apple has been working hard to build new product categories in newer hardware areas like wearables (the Apple Watch) and smart home hubs (HomePod), and Services, which includes Apple’s efforts in areas like video and music (

Services came in at $11.455 billion — missing analysts expections but still growing 13% on a year ago. The promise — or perhaps more accurately, the hope — is that adding TV and gaming into the mix later in the year will boost that even more. This is where integrations such as the one getting announced today with Vizio will fit in: they will help expand the number of people who might be using the services, and of course the number of screens where the content can be consumed.

Vizio does not specify how many sets it currently has in the market — last number it gave me earlier in the year was “millions” — but it generally is behind Samsung, which currently leads in the smart TV category.

It notes that the service will work by way of tapping an AirPlay icon within SmartCast to be able to stream 4K and Dolby VisionTM HDR movies and TV shows from Apple TV, along with other AirPlay-compatible video apps. Mirroring (which you can also do with non-smart TVs) will also be supported. AirPlay 2 also lets users play content across multiple rooms (provided you have the sets, HomePods or other AirPlay 2 speakers installed).



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Jamf acquires Digita Security to gain native Mac security

Jamf has been widely known as an enterprise Mac deployment and management tool company, but it has been looking for ways to expand beyond those core capabilities. One thing it heard from customers was that there was a dearth of native Mac security tools. It checked that box today, announcing it has acquired Digita Security, a startup with a native Mac security suite. The two companies did not reveal the purchase price.

Digita, a two-year old startup, was founded by a team of security experts led by Patrick Wardle, whose background includes a decade as a Mac security researcher, seeking out vulnerabilities on the Mac, and time at the NSA where he honed his security research skills.

Wardle says that because of the relatively low Mac marketshare, many traditional security vendors haven’t paid close attention, which can lead to trouble. “Mac marketshare is somewhat limited, maybe around 10%. So the average company is not going to spend a lot of time and resources developing Mac-specific capabilities,” he said.

“From the hacker’s point of view, this is great news, because their backdoor implants are generally not going to be detected by traditional tools. What I’ve been working on the last few years, and then most recently at Digita Security, is creating a system that is Mac specific, that leverages Mac-specific and Apple-specific frameworks and technologies,” he added.

The Digita Suite consists of three main tools. It takes advantage of and enhances XProtect, the Mac’s built-in malware detection system with a tool called UXProtect, that provides a valuable missing front end to the tool. It also offers a Mac laptop security tool called Do Not Disturb that sends you message if someone tries to access your laptop without permission, and finally it offers a tool called Gameplan, a heuristic-based malware detection system.

Jamf plans to continue to market the Digita toolset as a set of stand-alone package for the time being, while taking advantage of the Jamf policy engine when it makes sense, according to company CEO Dean Hagar. “With Digita, we’re going to be able to bring a whole solution to our customers, In addition to leaving Digita as a solution that can be offered on its own, we will be able to complete that journey for our customers by being able to monitor and hunt for threats and apply security policy,” Hagar told TechCrunch.

The deal has closed and the five Digita Security employees are now part of the Jamf security team. Having a security tool like this in the fold could help make companies more comfortable deploying Macs by giving security teams the tools they need to monitor and defend them, which could in turn expand Mac usage in the enterprise.



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Vizio rolls out its Apple AirPlay and HomeKit integrations to its SmartCast TV platform

Ahead of Apple launching its big video streaming initiative Apple TV+ this autumn, a integration is going live today that brings Apple closer to working with third-party TV makers and making its services available on a wider array of devices. Today Vizio said it would start to roll out support for AirPlay2 and HomeKit to its SmartCast TV sets, making it possible to stream video and other media from Apple devices to its TVs and control the sets using Apple’s Home app and through its Siri voice assistant.

The support is coming by way of an over-the-air update to SmartCast 3.0, the system that underpins Vizio’s smart TVs. Notably, using the Apple services will not necessarily mean buying new Vizio TVs: the service is backwards compatible to TVs dating back to 2016. New sets range in prices from $259.99 to $3,499.99.

“SmartCast 3.0 is full of added value for VIZIO customers. With both AirPlay 2 and HomeKit support, users can now share movies, TV shows, music and more from their favorite apps, including the Apple TV app, directly to SmartCast TVs, and enable TV controls through the Home app and Siri,” said Bill Baxter, Chief Technology Officer, VIZIO. “We are thrilled to offer an even more compelling value proposition to our users with a smart TV experience that supports all three major voice assistants. This broad range of compatibility enables VIZIO SmartCast to seamlessly integrate into any household with Siri, Google Assistant or Alexa – giving users more ways to sit back and enjoy the entertainment they love.” Vizio still appears to be the only smart TV maker that’s offering support on its sets for all of the major voice assistants.

Vizio’s integration for Apple’s media services was first announced in January at CES, when Vizio said it would be getting actually rolled out later in the year.

The news was notable at the time for a couple of reasons. First, it underscored how Vizio was stepping up its growth efforts after a tough couple of years involving lawsuits, regulatory investigations and a failed M&A attempt.

Second, it was part of a bigger theme of Apple branching out into a wider consumer electronics ecosystem for its push into the world of TV and video. The latter still stands in stark contrast to Apple’s approach around smartphones, computers and watches, where it has spent years building hardware, operating systems and walled gardens.

That’s a story that is still playing out. The timing of the Vizio news is notable given that it’s just one day after Apple’s quarterly earnings report, where the company revealed a solid quarter that beat analyst expectations but also continued to show slowing growth, largely on the back of an ongoing decline in unit sales for the iPhone (amid a similar, bigger market trend for smarphones overall). To offset that story, Apple has been working hard to build new product categories in newer hardware areas like wearables (the Apple Watch) and smart home hubs (HomePod), and Services, which includes Apple’s efforts in areas like video and music (

Services came in at $11.455 billion — missing analysts expections but still growing 13% on a year ago. The promise — or perhaps more accurately, the hope — is that adding TV and gaming into the mix later in the year will boost that even more. This is where integrations such as the one getting announced today with Vizio will fit in: they will help expand the number of people who might be using the services, and of course the number of screens where the content can be consumed.

Vizio does not specify how many sets it currently has in the market — last number it gave me earlier in the year was “millions” — but it generally is behind Samsung, which currently leads in the smart TV category.

It notes that the service will work by way of tapping an AirPlay icon within SmartCast to be able to stream 4K and Dolby VisionTM HDR movies and TV shows from Apple TV, along with other AirPlay-compatible video apps. Mirroring (which you can also do with non-smart TVs) will also be supported. AirPlay 2 also lets users play content across multiple rooms (provided you have the sets, HomePods or other AirPlay 2 speakers installed).



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Tuesday, 30 July 2019

iPhones have weak quarter, but wearables are doing great

As anticipated, Apple’s hardware numbers were a mixed bag during today’s fiscal Q3 earnings report. Apple continues to shift much of its resources to services and content, including a billion-dollar push into Apple TV+. But while iPhone number were down, things weren’t all bad on the device front.

Notably, wearables are up in a big way. The category hit $5.5 billion for the quarter, up from $3.7 billion, year-over-year. The boost came in no small part due to the arrival of new AirPods, featuring wireless charging functionality, in spite of the company DOAing its AirPower charging pad.

“The wearables category is doing extremely well.” said Tim Cook on today’s earnings call. “We stuck with it when others perhaps didn’t.”

Apple CFO Luca Maestri pointed out that the revenue of the wearables division alone would make for a Fortune 200 company.

Meanwhile, iPad revenue is up 8% year-over-year, Mac revenue is up 11% and the services category it’s been putting so much focus into is up 13%.

“This was our biggest June quarter ever — driven by all-time record revenue from Services, accelerating growth from Wearables, strong performance from iPad and Mac and significant improvement in iPhone trends,” Tim Cook said in a press release tied to earnings. “These results are promising across all our geographic segments, and we’re confident about what’s ahead. The balance of calendar 2019 will be an exciting period, with major launches on all of our platforms, new services and several new products.”

The optimism around iPhone isn’t entirely universal at the moment. The quarter marked another year-over-year decline for iPhone revenues, from $29.5 billion in fiscal Q3 2018 to $25.9 billion in fiscal Q3 2019, with the category dipping below 50% of the company’s total revenue for the time period. The past several quarters have seen a decline in iPhone sales, thanks to an overall stagnation in the global market, coupled with slower than expected sales in China.

That, in turn, is the result of slowed economic growth in the country. In fact, few manufacturers have been able to buck the trend in China, save for Huawei. The embattled hardware giant has increased domestic sales through aggressive pricing strategy and an increased push for patriotic purchases as it sees political headwinds abroad.

On this evening’s call, Cook said there’s some cause for optimism when it comes to China. “I’d like to provide some color on our performance in Greater China, where we saw significant improvement compared to the first half of fiscal 2019 and return to growth and constant currency,” the exec said. “We experienced noticeably better year-over-year comparisons for our iPhone business there than we saw in the last two quarters. And we had sequential improvement in the performance of every category.”

Apple, of course, will be announcing new phones later this year, though it remains to be seen whether a new feature set will be strong enough to kickstart sales. 5G is expected to be a key driver in smartphone numbers in the year ahead, though Apple isn’t expected to offer the capability until 2020.

The company also recently agreed to purchase Intel’s modem division in an effort to build more components in house.



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Can robots find a home in the classroom?

A few years ago, investors heralded the arrival of a future with robots in the home. Robots like Jibo, Anki’s Cozmo and Mayfield Robotics’ Kuri attracted buzz and hundreds of millions of dollars in venture capital. All three companies have since shut down, prompting Kidtech expert Robin Raskin to recently ask, “Has the sheen worn off the tech toy world?”

With the demise of these robots and their makers, it’s fair to wonder if and when there will be a time when robots have a real place in our lives. But some robots are finding a home in a counterintuitive place: schools.

Because for robots to succeed, they need to find an application that integrates with human needs — solving real problems — and sustains their use. At home, the current wave of robots may provide children with a few hours of entertainment before they are tossed aside like any other new toy.

In schools, however, robots are proving that they can serve a purpose, bridging the divide between the digital and physical worlds in ways that bring to life concepts like coding. Savvy teachers are finding that robots can help to bring project-based learning alive in ways that supports development of valuable critical thinking and problem-solving skills.

It would not be the first time that K-12 schools paved the way as early adopters of technology. Forty years ago, the Apple II was widely adopted in schools first, before desktop computers colonized the home. Laptops famously gained early momentum in schools, where their light weight and portability were tightly aligned with the rise of in-class interventions and digital content. Schools were also early adopters of tablets, which, despite a few high-profile failures, are now seemingly ubiquitous in K-12 classrooms.

The rise of robotics in K-12 schools has been buoyed by not just intrigue with the potential of new gadgets, but an increased focus on computer science education. Just a decade ago, only a few states allowed computer science to count toward STEM course requirements. Today, nearly every state allows computer science courses to fulfill core graduation requirements, and 17 states require that every high school offer computer science.

The growing importance of computer science at the high school level has, in turn, trickled down to elementary and middle schools, where teachers are turning to robots as an effective way to introduce students to states’ new K-12 computer science standards. In California, the state’s board of education now suggests that schools use robots to satisfy five of its standards.

Educators are recognizing the potential of robots, not as toys, but as powerful tools for learning.

From a design level, classroom robots are fundamentally different than those at home. Learning necessitates that — instead of bite-sized, shallow experiences, robots must provide experiences that have the depth and variety needed to keep students engaged over months and years. To succeed in the classroom, they must be accompanied by thoughtful curricular content that teachers can incorporate into their instruction. Because robots are relatively expensive, teachers need robots they can reliably use for a long time.

It’s a trend that hasn’t been lost on companies like littleBits and Sphero, which are quickly pivoting to focus on a K-12 market dominated by legacy players like Lego. Wonder Workshop robots, which gained popularity through retail channels like the Apple Store and Amazon, are now being used in more than 20,000 schools across the world. Although they currently penetrate just a fraction of the K-5 classrooms in the U.S., their success is not only drawing increased interest from investors, but fueling innovations that could have implications for pernicious equity gaps that still plague STEM classrooms — and high-tech fields.

While the toy industry has long marketed its products differently to boys and girls in ways that actually reinforce stereotypes through product design and advertising, robots designed for the classroom must appeal to all students. Earlier versions of Wonder Workshop’s Dash robot, for example, rolled around on visible wheels.

During its initial user studies, the company learned students equated wheeled robots with cars and trucks. In other words, they viewed Dash as something meant for boys. So, Wonder Workshop covered up Dash’s wheels. It worked. Today, nearly 50% of participants in the company’s Wonder League Robotics Competition are girls, with many of the winning teams each year being all-girl teams.

So while the national narrative often imagines a dystopian future where robots come for our jobs, classroom robots are actually helping teachers meet the needs of increasingly diverse classrooms. They are helping students improve their executive function, creativity and ability to communicate with others.

Educators are recognizing the potential of robots, not as toys, but as powerful tools for learning. And children as young as kindergarten are using robots to better and more quickly understand mathematical concepts. Students who have the opportunity to learn from — and with — robots in the classroom today may develop a generation of robots that can play a role in our lives well into the future. They will grow up not merely as consumers of technology, but creators of it.



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iPhones have weak quarter, but wearables are doing great

As anticipated, Apple’s hardware numbers were a mixed bag during today’s Q2 earnings report. Apple continues to shift much of its resources to services and content, including a billion dollar push into Apple TV+. But while iPhone number were down, things weren’t all bad on the device front.

Notably, wearables are up in a big way. The category hit $5.5 billion for the quarter, up from $3.7 billion, year over year. The boost came in no small part to the arrival of new AirPods, featuring wireless charging functionality, in spite of the company DOAing its AirPower charging pad.

“This was our biggest June quarter ever — driven by all-time record revenue from Services, accelerating growth from Wearables, strong performance from iPad and Mac and significant improvement in iPhone trends,” Tim Cook said in a press released tied to earnings. “These results are promising across all our geographic segments, and we’re confident about what’s ahead. The balance of calendar 2019 will be an exciting period, with major launches on all of our platforms, new services and several new products.”

The optimism around iPhone isn’t entirely universal at the moment. The quarter marked another decline for the company, from $29.5 billion to $25.9 billion, with the category dipping below 50 percent of the company’s total revenue for the time period. The past several quarters have seen a decline in iPhone sales, thanks to an overall stagnation in the global market, coupled with slower than expected sales in China.

That, in turn, is the result of slowed economic growth in the country. In fact, few manufacturers have been able to buck the trend in China, save for Huawei. The embattled hardware giant has increased domestic sales through aggressive pricing strategy and an increased push for patriotic purchases as it sees political headwinds abroad.

On this evening’s call, Cook said there’s some cause for optimism when it comes to China. “I’d like to provide some color on our performance in Greater China, where we saw significant improvement compared to the first half of fiscal 2019 and return to growth and constant currency,” the exec said. “We experienced noticeably better year over year comparisons for our iPhone business there than we saw in the last two quarters. And we had sequential improvement in the performance of every category.”

Apple, of course, will be announcing new phones later this year, though, though it remains to be seen whether a new feature set will be strong enough to kickstart sales. 5G is expected to be a guy driver in smartphone numbers in the year ahead, though Apple isn’t expected offer the capability until 2020.

The company also recently agreed to purchase Intel’s modem division in an effort to build more components in house.



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Tim Cook confirms Apple Card is rolling out next month

Apple hitting its release timelines has become far from certain these days, cough cough AirPower, but the Apple Card will be hitting its summer release timeframe. CEO Tim Cook announced on the company’s quarterly earnings call that the Apple Card — which Apple has partnered with Goldman Sachs to rollout — will begin rolling out next month.

“Thousands of Apple employees are using Apple card every day in our beta test, and we plan to begin the rollout of Apple card in August,” Cook said.

Cook’s announcement confirms a Bloomberg report last week that Apple was targeting an early August rollout for the card.



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Apple’s services revenue grows 13% year-over-year

One of the constant refrains about Apple in 2019 is its shift towards services — a trend that’s reflected, once again, in its third quarter earnings release.

In fact, the release trumpets the “all-time high” for services revenue in its headline, while a statement from CEO Tim Cook describes this as “our biggest June quarter ever — driven by all-time record revenue from Services,” as well as sales of wearables, iPads, Macs and iPhones.

Apple’s services business includes its subscription products like iCloud, Apple Music and Apple News+. The category will probably grow even more in the coming months with the launch of Apple TV+ and Apple Arcade.

And the latest numbers do indeed beat last quarter’s services revenue (which also set a record), but it’s pretty close — $11.450 billion in Q2 compared to $11.455 billion in Q3. Also worth noting: Analysts had predicted Apple’s services revenue would come in at $11.68 billion, so this is a relative disappointment.

On the other hand, the growth is more impressive when you look at it year-over-year — in the same quarter last year, Apple reported services earning of $10.17 billion, so this is an increase of 13%. It also looks good compared to the direction of product revenue, which is down year-over-year, to $42.35 billion, due in part to falling iPhone sales.

 



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Apple’s revenue growth slows as iPhone sales dip

Apple just released its Q3 earnings and it had a solid June quarter, outperforming analyst expectations. The company reported $53.8 billion in revenue and $2.19 earnings per share. The company’s stock popped 3 percent on the news.

Apple’s June quarter revenue showcases just how much revenue growth has been slowing for the company. The Q3 2019 revenue of $53.8 billion just peeks above the Q3 2018 revenue of $53.3 billion.

iPhone revenue had the biggest year-over-year dip going from $29.5 billion in last year’s Q3 to just $26 billion this most recent quarter. The year-over-year decline in iPhone sales was made up for in a boost in all of the company’s other product categories including a major bump in Wearables sales which crossed $5.5 billion in Q3.

The company hasn’t been sharing device numbers for the last several quarters and has instead focused solely on revenues, a sign of both the stagnating iPhone sales and the spike in the iPhone’s average selling price.

The story for the last several quarters that Cook and Co. have been selling is the spike in Services revenue. This quarter, Services didn’t grow quite as much as analysts hoped but it still reached $11.5 billion.

One of the company’s biggest headlines this quarter came last week when the company announced it was purchasing “most of” Intel’s modem business for $1 billion. There aren’t likely to be too many near-term effects of this deal though Apple aiming to own more of its supply chain has certainly been a decades-long effort for the company.

Updating



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Inside the history of Silicon Valley labor, with Louis Hyman

As I wrote for TechCrunch recently, immigration is not an issue always associated with tech — not even when thinking about the ethics of technology, as I do here.

So when I was moved to tears a few weeks ago, on seeing footage of groups of 18 Jewish protestors link arms to block the entrances to ICE detention facilities, bearing banners reading “Never Again” in reference to the Holocaust — these mostly young women risking their physical freedom and safety to try to help the children this country’s immigration service is placing in concentration camps today, one of my first thoughts was: I can’t cover that for my TechCrunch column. It’s about ethics of course, but not about tech.

It turns out that wasn’t correct. Immigration is a tech issue. In fact, companies such as Wayfair (furniture), Amazon (web services), and Palantir (the software used to track undocumented immigrants) have borne heavy criticism for their support of and partnership with ICE’s efforts under the current administration.

And as I discussed earlier this month with Jaclyn Friedman, a leading sex ethics expert and one of the ICE protestors arrested in a major demonstration in Boston, social media technology has been instrumental in building and amplifying those protests.

But there’s more. IBM, for example, has an unfortunate and dark history of support for Nazi extermination efforts, and many recent commentators have drawn parallels between what IBM did during the Holocaust and what companies like Palantir are beginning to do now.

Dozens of protestors huddle in the rain outside Palantir HQ.

I say “companies,” plural, with intention: immigrant advocacy organization Mijente recently released news that Anduril, the company founded by Palmer Luckey and composed of Palantir veterans, now has a $13.5 million contract with the Marine corps for their autonomous surveillance “Lattice” towers at four different USMC bases, including one border base. Documents procured via the Freedom of Information Act show the Marines mention “the intrusion dilemma” in their justification for choosing Anduril.

So now it seems the kinds of surveillance tech we know are badly biased at best — facial recognition? Panopticon-style observation? Algorithms of various other kinds — will be put to work by the most powerful fighting force ever designed, for expanded intervention into our immigration system.

Will the Silicon Valley elite say “no”? To what extent will new protests emerge, where the sorts of people likely to be reading this writing might draw a line and make work more difficult for their peers at places like Anduril?

Maybe the problem, however, is that most of us think of immigration ethics as an issue that might touch on a small handful of particularly libertarian-leaning tech companies, but surely it doesn’t go beyond that, right? Can’t the average techie in San Francisco or elsewhere safely and accurately say these problems don’t actually implicate them?

Turns out that’s not right either.

Which is why I had to speak this week with Cornell University historian Louis Hyman. Hyman is a Professor at Cornell’s School of Industrial and Labor Relations, and Director of the ILR’s Institute for Workplace Studies, in New York. In our conversation, Hyman and I dig into Silicon Valley’s history with labor rights, startup work structures and the role of immigration in the US tech ecosystem. Beyond that,  I’ll let him introduce himself and his extraordinary work, below.

image1 4

Louis Hyman. (Image by Jesse Winter)

Greg Epstein: I discovered your work via a piece you wrote in the Washington Post, which drew from your 2018 book, Temp: How American Work, American Business, and the American Dream Became Temporary. In it, you wrote, “Undocumented workers have been foundational to the rise of our most vaunted hub of innovative capitalism: Silicon Valley.”

And in the book itself, you write at one point, “To understand the electronics industry is simple: every time someone says “robot,” simply picture a woman of color. Instead of self-aware robots, workers—all women, mostly immigrants, sometimes undocumented—hunched over tables with magnifying glasses assembling parts, sometimes on a factory line and sometimes on a kitchen table. Though it paid a lot of lip service to automation, Silicon Valley truly relied upon a transient workforce of workers outside of traditional labor relations.”

Can you just give us a brief introduction to the historical context behind these kinds of comments?

Louis Hyman: Sure. One of the key questions all of us ask is why is there only one Silicon Valley. There are different answers for that.



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Apple, Microsoft and Google to test new standard for patient access to digital health data

A newly released data model and draft implementation guide for providing digital access to historical health insurance claims data directly to patients could mean you have better access to this info from the devices you use everyday. Called the CARIN Blue Button API, it’s a new model developed by private sector partners including consumer organizations, insurance providers, digital health app developers and more, this new draft implementation will be in testing beginning this year, with participating companies including a number of different state-specific BlueCross/BlueShield providers, the State of Washington – and Apple, Google and Microsoft.

The news was announced today at the White House Blue Button Developers Conference in Washington D.C., and builds on the work done last year by the Centers for Medicare and Medicaid Services to launch Blue Button 2.0, a new standard aimed at providing Medicare beneficiaries in the U.S. access to all of their historical claims information in one place from whatever application they choose to use.

All of the organizations participating in the draft testing process will perform “real-world testing” of the CARIN model developed by the multi-disciplinary working group, with the aim of preparing for a broad, product launch of the data standard in 2020.

Seeing Apple, Google and Microsoft on that list along with a significant number of health care providers is a good sign, since it should mean more data portability and choice when it comes to how you access your own patient information, rather than it being decided on a platform-by-platform basis.

Apple already built a Health Records section into its own native Health app in iOS at the beginning of last year, and while it works with standards sometimes adopted by health care providers, it’s far from a universal, truly interoperable health care history feature on its own. Apple has been building partnerships with agencies and providers including Veterans’ Affairs and Aetna to flesh out its personal health data offering for users, and Microsoft has its own health records offering called HealthVault.



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Apple is hosting augmented reality art walking tours in major cities

Apple is combining two long-standing major efforts in a new push, making AR more consumer-friendly and helping portray Apple Stores as civic centers where communities can come together.

The project, called [AR]T Walk, is a walking tour through various city centers around the globe aiming to help the digital art works of artists come alive in physical spaces. The tours are taking place in Hong Kong, London, New York, Paris, San Francisco and Tokyo through mid-August.

Showcasing digital art in geo-specific locations isn’t a new concept. In 2017, Snapchat debuted a partnership with Jeff Koons in Central Park, though the company had some issues with ensuring the tech worked reliably.

People looking to take part in the AR walking tours can sign up on Apple’s site. The tours seem to last a couple of hours and involve a 1.5-mile walk. The artists behind the work are Nick Cave, Nathalie Djurberg and Hans Berg, Cao Fei, John Giorno, Carsten Höller and Pipilotti Rist.



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Google’s new version of Android Auto focuses on Assistant

Google is starting to roll out an updated version of its in-car platform Android Auto that aims to make it easier and safer for drivers to use.

The version, which was first revealed during Google I/O 2019, has a dark theme, new fonts and color accents, more opportunities to communicate with Google’s virtual assistant and the ability to fit wider display screens that are becoming more common in vehicles.

Android Auto, which launched in 2015, is not an operating system. It’s a secondary interface — or HMI layer — that sits on top of an operating system and brings the look and feel of a smartphone to the vehicle’s central screen. Rival Apple introduced its own in-car platform, Apple CarPlay, that same year.

Automakers, once hesitant to integrate Android Auto or Apple CarPlay into vehicles have come around. Today, Android Auto is available in more than 500 car models from 50 different brands, according to Android Auto product manager Rod Lopez.

Car owners with Android Auto support will start to see the new design over the next few weeks. However, updates will not be made to the standalone version of Android Auto, a smartphone app that gave users access to the platform even if their car wasn’t compatible to Android Auto. Google says it plans to “evolve” the standalone phone app from Android Auto to the Assistant’s new driving mode in the future.

Meanwhile, the in-car version features some important changes, notably more opportunities for drivers to use their voice — and not their hands — to interact with Android Auto. Users will notice the Google Assistant badge on Android Auto, that when tapped will provide information about their calendar, read the weather report or news.

3Android Auto Google Assistant Badge

Other new features include a new app launcher designed to let users access their favorite apps with fewer taps. A button on the bottom left of the screen launches this feature. Once deployed, users will see app icons with the most commonly used ones featured in the top row.

Android Auto has also improved its navigation, which is perhaps the most commonly used feature within the platform. Now, the navigation bar sits at the bottom of the display and allows users to manage multiple apps. This improvement means users won’t miss an exit or street while they’re listening to Spotify.

4Android Auto Media

The navigation feature also pops up as soon as the driver connects with Android Auto. If a route is already queued up on a phone, Android Auto will automatically populate the directions.

This latest version also has a new notification button — located on the bottom right corner — houses recent calls, messages and alerts. Drivers can tap the mic button or say ” “Hey Google” to have the Google Assistant help make calls, send messages and read notifications.

Google has also developed an operating system called Android Automotive OS that’s modeled after its open-source mobile operating system that runs on Linux. Instead of running smartphones and tablets, Google modified it so it could be used in cars. Polestar, Volvo’s standalone performance electric car brand, is going to produce a new vehicle, the Polestar  2, that has an infotainment system powered by Android Automotive OS.



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Google’s new version of Android Auto focuses on Assistant

Google is starting to roll out an updated version of its in-car platform Android Auto that aims to make it easier and safer for drivers to use.

The version, which was first revealed during Google I/O 2019, has a dark theme, new fonts and color accents, more opportunities to communicate with Google’s virtual assistant and the ability to fit wider display screens that are becoming more common in vehicles.

Android Auto, which launched in 2015, is not an operating system. It’s a secondary interface — or HMI layer — that sits on top of an operating system and brings the look and feel of a smartphone to the vehicle’s central screen. Rival Apple introduced its own in-car platform, Apple CarPlay, that same year.

Automakers, once hesitant to integrate Android Auto or Apple CarPlay into vehicles have come around. Today, Android Auto is available in more than 500 car models from 50 different brands, according to Android Auto product manager Rod Lopez.

Car owners with Android Auto support will start to see the new design over the next few weeks. However, updates will not be made to the standalone version of Android Auto, a smartphone app that gave users access to the platform even if their car wasn’t compatible to Android Auto. Google says it plans to “evolve” the standalone phone app from Android Auto to the Assistant’s new driving mode in the future.

Meanwhile, the in-car version features some important changes, notably more opportunities for drivers to use their voice — and not their hands — to interact with Android Auto. Users will notice the Google Assistant badge on Android Auto, that when tapped will provide information about their calendar, read the weather report or news.

3Android Auto Google Assistant Badge

Other new features include a new app launcher designed to let users access their favorite apps with fewer taps. A button on the bottom left of the screen launches this feature. Once deployed, users will see app icons with the most commonly used ones featured in the top row.

Android Auto has also improved its navigation, which is perhaps the most commonly used feature within the platform. Now, the navigation bar sits at the bottom of the display and allows users to manage multiple apps. This improvement means users won’t miss an exit or street while they’re listening to Spotify.

4Android Auto Media

The navigation feature also pops up as soon as the driver connects with Android Auto. If a route is already queued up on a phone, Android Auto will automatically populate the directions.

This latest version also has a new notification button — located on the bottom right corner — houses recent calls, messages and alerts. Drivers can tap the mic button or say ” “Hey Google” to have the Google Assistant help make calls, send messages and read notifications.

Google has also developed an operating system called Android Automotive OS that’s modeled after its open-source mobile operating system that runs on Linux. Instead of running smartphones and tablets, Google modified it so it could be used in cars. Polestar, Volvo’s standalone performance electric car brand, is going to produce a new vehicle, the Polestar  2, that has an infotainment system powered by Android Automotive OS.



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Wall St analyst Laura Martin on the fate of Netflix, breaking up Google, EU regulation, and a decade of more money for Hollywood

The rise of streaming video platforms like Netflix and Amazon Prime has upended traditional power balances in Hollywood and is reorganizing the way we consume films and TV series as consumers.

Following her talk at the recent Banff World Media Festival in Canada, I interviewed Laura Martin, the senior analyst covering entertainment and internet stocks at leading investment bank Needham & Company, to sort out how the pieces are moving in this chess game between content creators, streaming services, consumers, and government regulators.

We discuss why Netflix is still at risk of a downfall, the effect of EU content quotas, why Martin thinks regulators should break up Google, and why video streaming and game streaming are likely to merge into the same subscription products.

Here is the transcript of our discussion, edited for length and clarity:


Eric Peckham: There’s an optimistic case that the rise of online video streaming is a win for both consumers and content creators because it creates a vast landscape of content platforms. Onstage in Banff, you argued that the number of content platforms (and thus the number of content buyers) will in fact shrink. Why do you see it going that direction?

Laura Martin: There are 4,000 video apps on the Roku platform today (and similarly on Samsung and on Amazon Fire). What you’ll see is a consolidation in the industry as we get big players like the Walt Disney Company, AT&T, and Apple coming into the DTC business with big, deep pockets. Although we have more buyers of content today, it’s driving prices up.

It is likely that the big players are just battling out between themselves, putting smaller players out of business. Over a 10-year time frame, I expect just three or four winners, and that will bring more discipline back into the financial aspects of the business.

Peckham: What will separate the winners from the losers here?



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What Huawei didn’t say in its ‘robust’ half-year results

Monday, 29 July 2019

A guide to Virtual Beings and how they impact our world

Money from big tech companies and top VC firms is flowing into the nascent “virtual beings” space. Mixing the opportunities presented by conversational AI, generative adversarial networks, photorealistic graphics, and creative development of fictional characters, “virtual beings” envisions a near-future where characters (with personalities) that look and/or sound exactly like humans are part of our day-to-day interactions.

Last week in San Francisco, entrepreneurs, researchers, and investors convened for the first Virtual Beings Summit, where organizer and Fable Studio CEO Edward Saatchi announced a grant program. Corporates like Amazon, Apple, Google, and Microsoft are pouring resources into conversational AI technology, chip-maker Nvidia and game engines Unreal and Unity are advancing real-time ray tracing for photorealistic graphics, and in my survey of media VCs one of the most common interests was “virtual influencers”.

The term “virtual beings” gets used as a catch-all categorization of activities that overlap here. There are really three separate fields getting conflated though:

  1. Virtual Companions
  2. Humanoid Character Creation
  3. Virtual Influencers

These can overlap — there are humanoid virtual influencers for example — but they represent separate challenges, separate business opportunities, and separate societal concerns. Here’s a look at these fields, including examples from the Virtual Beings Summit, and how they collectively comprise this concept of virtual beings:

Virtual companions

Virtual companions are conversational AI that build a unique 1-to-1 relationship with us, whether to provide friendship or utility. A virtual companion has personality, gauges the personality of the user, retains memory of prior conversations, and uses all that to converse with humans like a fellow human would. They seem to exist as their own being even if we rationally understand they are not.

Virtual companions can exist across 4 formats:

  1. Physical presence (Robotics)
  2. Interactive visual media (social media, gaming, AR/VR)
  3. Text-based messaging
  4. Interactive voice

While pop culture depictions of this include Her and Ex Machina, nascent real-world examples are virtual friend bots like Hugging Face and Replika as well as voice assistants like Amazon’s Alexa and Apple’s Siri. The products currently on the market aren’t yet sophisticated conversationalists or adept at engaging with us as emotional creatures but they may not be far off from that.



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Google’s Pixel 4 smartphone will have motion control and face unlock

Google’s Pixel 4 is coming out later this year, and it’s getting the long-reveal treatment thanks to a decision this year from Google to go ahead and spill some of the beans early, rather than saving everything for one big, final unveiling closer to availability. A new video posted by Google today about the forthcoming Pixel 4 (which likely won’t actually be available until fall) shows off some features new to this generation: Motion control and face unlock.

The new “Motion Sense” feature in the Pixel 4 will detect waves of your hand and translate them into software control, including skipping songs, snoozing alarms and quieting incoming phone call alerts, with more planned features to come, according to Google. It’s based on Soli, a radar-based fine motion detection technology that Google first revealed at its I/O annual developer conference in 2016. Soli can detect very fine movements, including fingers pinched together to mimic a watch-winding motion, and it got approval from the FCC in January, hinting it would finally be arriving in production devices this year.

Pixel 4 is the first shipping device to include Soli, and Google says it’ll be available in “select Pixel countries” at launch (probably due to similar approvals requirements wherever it rolls out to consumers).

Google also teased “Face unlock,” something it has supported in Android previously — but Google is doing it very differently with the Pixel 4 than it has been handled on Android in the past. Once again, Soli is part of its implementation, turning on the face unlock sensors in the device as it detects your hand reaching to pick up the device. Google says this should mean that the phone will be unlocked by the time you’re ready to use it, as it does this all on the fly, and works from pretty much any authentication.

Face unlock will be supported for authorizing payments and logging into Android apps, as well, and all of the facial recognition processing done for face unlock will occur on the device — a privacy-oriented feature that’s similar to how Apple handles its own Face ID. In fact, Google also will be storing all the facial recognition data securely in its own dedicated on-device Titan M security chip, another move similar to Apple’s own approach.

Google made the Pixel 4 official and tweeted photos (or maybe photorealistic renders) of the new smartphone back in June, bucking the trend of keeping things unconfirmed until an official reveal closer to release. Based on this update, it seems likely we can expect to learn more about the new smartphone ahead of its availability, which is probably going to happen sometime around October, based on past behavior.



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via IFTTT

Google’s Pixel 4 smartphone will have motion control and face unlock

Google’s Pixel 4 is coming out later this year, and it’s getting the long reveal treatment thanks to a decision this year from Google to go ahead and spill some of the beans early, rather than saving everything for one big final unveiling closer to availability. A new video posted by Google today about the forthcoming Pixel 4 (which likely won’t actually be available until fall) shows off some features new to this generation: Motion control and face unlock.

The new “Motion Sense” feature in the Pixel 4 will detect waves of your hand and translate them into software control, including skipping songs, snoozing alarms and quieting incoming phone call alerts, with more planned features to come, according to Google. It’s based on Soli, a radar-based fine motion detection technology that Google first revealed at its I/O annual developer conference in 2016. Soli can detect very fine movements, including fingers pinched together to mimic a watch-winding motion, and it got approval from the FCC in January, hinting it would finally be arriving in production devices this year.

Pixel 4 is the first shipping device to include Soli, and Google says it’ll be available in “select Pixel countries” at launch (probably due to similar approvals requirements wherever it rolls out to consumers).

Google also teased “Face unlock,” something it has supported in Android previously – but Google is doing it very differently than it has been handled on Android in the past with the Pixel 4. Once again, Soli is part of its implementation, turning on the face unlock sensors in the device as it detects your hand reaching to pick up the device. Google says this should mean that the phone will be unlocked by the time you’re ready to use it, since it does this all on the fly, and works from pretty much any authentication.

Face unlock will be supported for authorizing payments and logging into Android apps, as well, and all of the facial recognition processing done for face unlock will occur on the device – a privacy-oriented feature that’s similar to how Apple handles its own Face ID. In fact, Google will also be storing all the facial recognition data securely in its own dedicated on-device Titan M security chip, another move similar to Apple’s own approach.

Google made the Pixel 4 official and tweeted photos (or maybe photorealistic renders) of the new smartphone back in June, bucking the trend of keeping things unconfirmed until an official reveal closer to release. Based on this update, it seems likely we can expect to learn more about the new smartphone ahead of its availability, which is probably going to happen sometime around October based on past behavior.



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Sunday, 28 July 2019

Report claims all three new iPhones planned for 2020 will support 5G

Apple analyst Ming-Chi Kuo — sometimes described as “the most accurate Apple analyst in the world” — has written a new note to investors saying that the three iPhones expected to launch in 2020 will feature support for 5G. In previous Kuo reports, it’s said the 2020 iPhones could be available in new sizes: a 5.4 and 6.7-inch high-end iPhones with OLED displays, along with a 6.1-inch model with an OLED display.

Previously, he predicted that only two of the three new iPhones slated for 2020 would support 5G. But with well-spec’d Androids flooding the market, he says it looks like Apple will offer 5G in all models in order to better compete. He’s also confirmed the view that Apple will be able to throw more resources into developing the 5G iPhone now that it has acquired Intel’s smartphone modem chip business.

The report, leaked to MacRumors, contains this quote:

We now believe that all three new 2H20 iPhone models will support 5G for the following reasons. (1) Apple has more resource for developing the 5G iPhone after the acquisition of Intel baseband business. (2) We expect that the prices of 5G Android smartphones will decline to $249-349 USD in 2H20. We believe that 5G Android smartphones, which will be sold at $249-349 USD, will only support Sub-6GHz. But the key is that consumers will think that 5G is the necessary function in 2H20. Therefore, iPhone models which will be sold at higher prices have to support 5G for winning more subsidies from mobile operators and consumers’ purchase intention. (3) Boosting 5G developments could benefit Apple’s AR ecosystem.

The report expects all three 2020 iPhone models to support both mmWave and Sub-6GHz spectrum (two different kinds of 5G) for the US market. Whether Apple will launch a 5G iPhone that only supports Sub-6GHz, allowing for a lower price and thus making it suitable for the Chinese market, remains unclear.

mmWave is the ‘fastest 5G’ that’s most often referred to, but as it is suited to denser, urban areas, it will not be used as much in rural or suburban areas, where mid-bands and low-bands, called sub-6GHz 5G, will be employed. All are banks are faster than 4G, with mmWave the fastest.

Apple will use modem chips from Qualcomm in its 2020 5G iPhones, while it works on its own modem chips, due in 2021.



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Report claims all three new iPhones planned for 2020 will support 5G

Apple analyst Ming-Chi Kuo — sometimes described as “the most accurate Apple analyst in the world” — has written a new note to investors saying that the three iPhones expected to launch in 2020 will feature support for 5G. In previous Kuo reports, it’s said the 2020 iPhones could be available in new sizes: a 5.4 and 6.7-inch high-end iPhones with OLED displays, along with a 6.1-inch model with an OLED display.

Previously, he predicted that only two of the three new iPhones slated for 2020 would support 5G. But with well-spec’d Androids flooding the market, he says it looks like Apple will offer 5G in all models in order to better compete. He’s also confirmed the view that Apple will be able to throw more resources into developing the 5G iPhone now that it has acquired Intel’s smartphone modem chip business.

The report, leaked to MacRumors, contains this quote:

We now believe that all three new 2H20 iPhone models will support 5G for the following reasons. (1) Apple has more resource for developing the 5G iPhone after the acquisition of Intel baseband business. (2) We expect that the prices of 5G Android smartphones will decline to $249-349 USD in 2H20. We believe that 5G Android smartphones, which will be sold at $249-349 USD, will only support Sub-6GHz. But the key is that consumers will think that 5G is the necessary function in 2H20. Therefore, iPhone models which will be sold at higher prices have to support 5G for winning more subsidies from mobile operators and consumers’ purchase intention. (3) Boosting 5G developments could benefit Apple’s AR ecosystem.

The report expects all three 2020 iPhone models to support both mmWave and Sub-6GHz spectrum (two different kinds of 5G) for the US market. Whether Apple will launch a 5G iPhone that only supports Sub-6GHz, allowing for a lower price and thus making it suitable for the Chinese market, remains unclear.

mmWave is the ‘fastest 5G’ that’s most often referred to, but as it is suited to denser, urban areas, it will not be used as much in rural or suburban areas, where mid-bands and low-bands, called sub-6GHz 5G, will be employed. All are banks are faster than 4G, with mmWave the fastest.

Apple will use modem chips from Qualcomm in its 2020 5G iPhones, while it works on its own modem chips, due in 2021.



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Week in Review: Regulation boogaloo

Hello, weekenders. This is Week-in-Review, where I give a heavy amount of analysis and/or rambling thoughts on one story while scouring the rest of the hundreds of stories that emerged on TechCrunch this week to surface my favorites for your reading pleasure.

Last week, I talked about how services like Instagram had moved beyond letting their algorithms take over the curation process as they tested minimizing key user metrics such as “like” counts on the platform.


John Taggart/Bloomberg via Getty Images

The big story

The big news stories this week intimately involved the government poking its head into the tech industry. What was clear between the two biggest stories, the DoJ approving the Sprint/T-Mobile merger and the FTC giving Facebook a $5 billion slap on the wrist, is that big tech has little to worry about its inertia being contained.

It seems the argument from Spring and T-Mobile that it was better to have three big telecom companies in the U.S. rather than two contenders and two pretenders, seems to have stuck. Similarly, Facebook seems to have done a worthy job of indicating that it will handle the complicated privacy stuff but that they’ll let the government orgs see what they’re up to.

Fundamentally, none of these orgs seem to want to harm the growth of these American tech companies and I have a tough time believing that perspective is going to magically get more toothy in some of these early antitrust investigations. The government might be making a more concerted effort to understand how these businesses are structured, but even focusing solely on something like the cloud businesses of Microsoft, Google and Amazon, I have little doubt that the government is going to spend an awfully long time in the observation phase.

The danger is erraticism and for that the worst government fear for tech isn’t a three-letter agency, it’s the Twitter ramblings of POTUS.

feedback -> @lucasmtny

Onto the rest of the week’s news.

Intel and Apple logos

(Photo: ALASTAIR PIKE,THOMAS SAMSON/AFP/Getty Images)

Trends of the week

Here are a few big news items from big companies, with green links to all the sweet, sweet added context:

  • Apple dropping $1 billion on Intel’s modem business
    Apple is snapping up a missing link in its in-house component production with the $1B purchase of most of Intel’s modem business. This follows a dramatic saga between Intel, Qualcomm and Apple over the past year, but Apple will be making its own smartphone modems the question is when they actually end up in new iPhones. Read more here.
  • Microsoft dropping $1 billion on OpenAI
    Microsoft announced this week that it is dumping $1 billion into Sam Altman’s OpenAI research group. The partnership is pretty major, but it’s just one of the interesting avenues Microsoft is using to ensure its Azure services gain notable customers. Read more here.
  • Galaxy Fold is coming back!
    After a very embarrassing soft launch, Samsung which managed to make it a several devices beyond the Note 7 before another garbage fire is trying its hand at the Galaxy Fold again and will be releasing it sometime in September. It seems like the carriers are a little dubious of the prospect and T-Mobile has already opted out of carrying it. Read more here.

darkened facebook logo

GAFA Gaffes [Facebook Edition!!]

How did the top tech companies screw up this week? This clearly needs its own section, in order of badness:

  1. Facebook gets five:
    [Facebook settles with FTC: $5 billion and new privacy guarantees]
  2. FTC isn’t quite done with Facebook:
    [Facebook says it’s under antitrust investigation by the FTC]
  3. Facebook dismissed CA warnings:
    [Facebook ignored staff warnings about sketchy Cambridge Analytica in September 2015]
  4. Facebook left kids vulnerable:
    [Facebook fails to keep Messenger Kids safety promise]

Extra Crunch

Our premium subscription service had another week of interesting deep dives. This week, my colleague Danny spoke with some top VCs about why fintech startups have been raising massive amounts of cash and he seemed to walk away with some interesting impressions.

Why fintech VC mega rounds have become so common

“…The biggest challenge that has faced fintech companies for years — really, the industry’s consistent Achilles’ heel — is the cost of acquiring a customer. Financial customer relationships are incredibly valuable, and the cost of acquiring a user for any product is among the most expensive in every major channel.

And those costs are going up…”

Here are some of our other top reads for premium subscribers.

We’re excited to announce The Station, a new TechCrunch newsletter all about mobility. Each week, in addition to curating the biggest transportation news, Kirsten Korosec will provide analysis, original reporting and insider tips. Sign up here to get The Station in your inbox beginning in August.



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