Toucan raises $3M to teach you new languages as you browse the web

Toucan has developed a Chrome browser extension designed for anyone who wants to learn a new language but hasn’t found the motivation or the time.

Once installed, the extension scans the text of any (English-language) website you’re visiting and will automatically translate some of the words into the language that you’re trying to learn. If you mouse over the word, you’ll see original English word. Think of it as a browser-based version of language flashcards.

The startup was founded by CEO Taylor Nieman, CTO Shaun Merritt and CPO Brandon Dietz. Today, it’s announcing that it has raised $3 million in seed funding led by GSV Ventures, with participation from Amplifyher Ventures, Wonder Ventures, Golden Ventures, Halogen Ventures, Vitalize Ventures and strategic angel investors.

Nieman’s past roles include business development roles at Headspace (where Dietz was a senior product manager), startup studio Science and car leasing startup Fair.com (where Merritt was an iOS developer). She told me that one thing she learned from across all those experiences is “habit formation — how hard it actually to do anything that steals people’s time.”

Dietz made a similar point, arguing that while language learning software like Rosetta Stone and Duolingo has had its share of success, “It’s just such a high ask to get people to change their behavior and go to this one website,” particularly on a daily basis.

So Toucan is designed to help users learn a new language (it currently supports Spanish, French, Italian, German and Portuguese) while they browse the web as they normally would, without having to change their behavior.

Toucan screenshot

Image Credits: Toucan

Nieman said the extension can be used to solidify and expand your vocabulary as you take digital or in-person classes. Or if you’re not taking classes, you can still use Toucan on its own, and it can help you achieve (as Dietz put it) “that magic moment of realizing you know a few words in other people’s languages.”

To ensure accuracy, the company works with teams of translators, including college professors and students, while also employing natural language processing to understand the context in which words are appearing. Users can also report words that are incorrectly translated.

And Toucan is experimenting with fun ways to promote itself, including the ability to “own” a word, so that for a week, your name appears anytime a word is translated by Toucan. In fact, the Toucan team has gifted me the word “writer,” — but since ownership is currently free, I guess it’s not a bribe?

Eventually, the company could charge people and businesses to own (a.k.a. sponsor) certain words. In addition, users can sign up for a premium subscription that gives them access to additional vocabulary. Dietz suggested that Toucan will continue exploring different business models, but he said the team is committed to “accessible” education and will keep “a large chunk” of the offering free.

Looking ahead, Toucan is planning to add new languages and to launch browser extensions for Firefox and Safari. And eventually, Nieman said the startup could apply the same approach to other subjects, “history or science or math or general knowledge.”


Source: Tech Crunch

Five more reasons you should attend Disrupt 2020

There are just a few days until we kick off five days of Disrupt 2020. (September 14-18). It’s time to dig in, dig deep and do whatever it takes to discover hidden opportunities. Disrupt is a vehicle for success for all who are playing the startup game. Buy your pass and drive it like you stole it.

If it’s reassurance you need, we’ve got you covered. Here are five more reasons to attend Disrupt 2020.

 

1. Hone essential founder skills at the Extra Crunch stage

Every early-stage startup founder needs to master a daunting slate of business skills. Truth be told, building a successful startup is a never-ending learning curve. Head to the Extra Crunch Stage for real-world tips from experts in marketing, business development and investing. They’ll cover topics like how to craft a pitch deck, how to raise your first dollars or how to iterate your product.

“I like Disrupt’s approach. It combines demos with educational components that help you learn new trends and tactics. It’s more like a tech summit.” — Daniel Lloreda, general partner at H20 Capital Innovation.

2. Insight from world-class speakers on the Disrupt stage

Disrupt features the best and brightest minds and makers. They span the tech, investment and entertainment industries to deliver their experience, advice and inspiration in one-on-one interviews and moderated panels discussions.

  • CRISPR in the post-COVID Era: What has the global COVID-19 pandemic changed about the biotech industry in general, and CRISPR in particular? Dr. Jennifer Doudna, who co-discovered the revolutionary CRISPR-Cas9 gene editing technology, joins us to discuss the immediate and lasting implications of the novel coronavirus and transformations in genetic science.
  • Cuckoo for CoCo: Conan O’Brien is one of the most recognizable faces on television. But his company, Team CoCo Digital, is hoping you recognize his voice just as much. With podcasting on the rise over the past few years, hear from O’Brien on what it takes to dominate the audio landscape.
  • Startup Battlefield Pitch Competition: The OG of startup pitch competitions. Seen in HBO’s show, Silicon Valley. Launchpad for more than 900 companies including Vurb, Dropbox, GetAround, Mint, Yammer, Fitbit. Here are our international startup champions hitting the stage next week – which one do you think will go home with the ultimate bragging rights and $100k in cool equity-free cash?

3. Global coverage with programming convenient to your time zone

The virtual nature of Disrupt 2020 equals a global scope — and our biggest Disrupt ever. Anyone from anywhere can participate, and the event agenda includes time zone-friendly programming for attendees in Europe and Asia.

4. Multiple ways to expand your social graph

Don’t underestimate the benefits that come from meeting people outside of your social graph. Inspiration and ideas cut across industries, and you never know who you’ll meet at Disrupt — and where those connections might lead. There will be plenty of ways to make those connections at Disrupt 2020. With curated meetings on CrunchMatch and randomized virtual meetings and chat functionality on Hopin you will not run out of opportunities to promote your business and meet your networking goals.

“Disrupt was a great place to look for potential partners beyond our blockchain world. We got to meet and collaborate with founders in complimentary technologies like IoT and AI. Building those relationships will help all of us provide customers with better solutions. It’s a win-win.” — Joel Neidig, founder of SIMBA Chain.

5. Different access levels, more affordable prices

We recently re-launched the Disrupt Digital Pass that gives you an entry-level look into Disrupt 2020. Just want to peruse Startup Alley or pop into some Breakout Sessions? This pass is for you and at $45 for a limited time it’s a steal. Or if you are looking for the full Disrupt 2020 experience, grab a Disrupt Digital Pro Pass where you’ll be able to get live and video-on-demand access to both stages, curated matchmaking with CrunchMatch plus a complementary Extra Crunch subscription (a $99 value).

Disrupt 2020 takes place September 14-18. Buy your pass today, dig deep and discover the people, tools and advice that can help your business thrive.

( function() {
var func = function() {
var iframe = document.getElementById(‘wpcom-iframe-bc5e644f85a11b970469253c6a947a65’)
if ( iframe ) {
iframe.onload = function() {
iframe.contentWindow.postMessage( {
‘msg_type’: ‘poll_size’,
‘frame_id’: ‘wpcom-iframe-bc5e644f85a11b970469253c6a947a65’
}, “https://tcprotectedembed.com” );
}
}

// Autosize iframe
var funcSizeResponse = function( e ) {

var origin = document.createElement( ‘a’ );
origin.href = e.origin;

// Verify message origin
if ( ‘tcprotectedembed.com’ !== origin.host )
return;

// Verify message is in a format we expect
if ( ‘object’ !== typeof e.data || undefined === e.data.msg_type )
return;

switch ( e.data.msg_type ) {
case ‘poll_size:response’:
var iframe = document.getElementById( e.data._request.frame_id );

if ( iframe && ” === iframe.width )
iframe.width = ‘100%’;
if ( iframe && ” === iframe.height )
iframe.height = parseInt( e.data.height );

return;
default:
return;
}
}

if ( ‘function’ === typeof window.addEventListener ) {
window.addEventListener( ‘message’, funcSizeResponse, false );
} else if ( ‘function’ === typeof window.attachEvent ) {
window.attachEvent( ‘onmessage’, funcSizeResponse );
}
}
if (document.readyState === ‘complete’) { func.apply(); /* compat for infinite scroll */ }
else if ( document.addEventListener ) { document.addEventListener( ‘DOMContentLoaded’, func, false ); }
else if ( document.attachEvent ) { document.attachEvent( ‘onreadystatechange’, func ); }
} )();


Source: Tech Crunch

$3M Breakthrough Prize goes to scientist designing molecules to fight COVID-19

The Breakthrough Prize Foundation announced $21.75 million in awards today for a variety of scientific achievements. One in particular is a tech/science crossover: A $3M award to David Baker, whose work over the last 20 years has helped validate the idea that computers can help us understand and create complex molecules like proteins — and the latest such molecule may lead to new treatments for COVID-19.

Baker is the head of the Institute for Protein Design at the University of Washington, and for two decades has helped explore and define the field of computer-aided molecular biology. His lab developed the Rosetta software for modeling the immensely complicated folding and other interactions of proteins, and also the FoldIT distributed computing network for spreading the task around to eager citizen scientists.

As Bakers says: “We could wait another million years for the protein we need to evolve, or we could design it ourselves.”

The prize is specifically for “For developing technology that allowed the design of proteins never seen before in nature, including novel proteins that have the potential for therapeutic intervention in human diseases.” This acknowledges Baker and his colleagues’ role in the technology as a whole, but his latest work may prove his most widely consequential: a bespoke molecule made specifically to blunt the sharp spikes of the novel coronavirus.

It’s the molecular equivalent to putting a scabbard on a sword. The only problem is that the sword doesn’t come with the scabbard — you have to make it yourself. And that’s a lot more complicated than it sounds, since there are so many factors in how the amino acids, atoms and bonds interact between the two. Fortunately that’s exactly the problem Baker and his team have been building a platform to solve.

A rendering of a molecule created to bind to a coronavirus spike protein.

The red molecule is the minibinder, attached to the blue coronavirus protein. Image Credits: David Baker / UW

“We have developed general design methods for creating proteins from scratch that are complementary in shape and chemical properties to arbitrary target sites,” Baker told TechCrunch. “We simply pointed these at the virus spike!”

The “de novo” proteins created and tested by the team bind strongly to the spike protein and don’t let go — hence their name, “hyperstable minibinders.” It’s no miracle cure, but it could be the start for a therapeutic approach that disables the virus’s method of spreading — once it’s been properly tested, of course.

“The designed protein described in the Science paper published today is looking very promising,” Baker said. “We are doing pre-clinical experiments to determine whether it could be an effective drug as is or needs to be modified.”

He also noted that “FoldIT players and Rosetta@home participants have been making important contributions to our anti-COVID efforts,” so good job if you’ve been donating computer cycles to the project.

You can see the many other prizes awarded this year, in topics such as Mathematics and Fundamental Physics, at the foundation’s news post here.

The Breakthrough Prize Foundation was originally born from the efforts (and coffers) of Yuri and Julia Milner, and the prize for Life Sciences is co-sponsored by Sergey Brin, Priscilla Chan and Mark Zuckerberg, Pony Ma and Anne Wojcicki.


Source: Tech Crunch

Imran Khan’s Verishop adds “Verified Shops”, a way for up-and-coming brands to set up shop in its “digital mall”

Verishop, the Los Angeles online retailer founded by former Snap executive Imran Khan, launched a little over a year ago to change the way people shopped online. Now the company is launching a new initiative called “Verified Shops” which looks to change the way that up-and-coming retail brands can sell their wares. 

As direct-to-consumer and upstart brands look for new ways to sell, they’re increasingly turning to online partners to grow their businesses. Chiefly, the concern is that some retailers have been overrun with counterfeit products or unauthorized sellers that undercut pricing and dilute the brand’s value with knock-off products, the company observed.

So Khan set out to change the selling experience for these new companies that want to have a better way to communicate with their potential customers… a way to really tell their story online.

“We started with the big brands,” Khan said. “[Now] we’re launching ‘Verified Shop’ where any DTC brands can sell on our platform. They have to get through an approval process and verify that you’re a real direct to consumer brand you can  sell on the platform.”

That pitch appealed to retailers like David Manshoory, the founder of the popular cosmetics brand, Alleyoop.

“Right now we don’t work with any other ecommerce retailers,” said Manshoory. “Verishop was the first online only retail partners, because they’ve got a really large audience of customers that are in our demographic.”

The year-old cosmetics brand went with Verishop because the number of retailers and types of sellers on the platform “seemed very curated”, according to Manshoory. “There are brands in there that we recognized and respected.”

The revenue share program that Verishop has created for the newer, smaller consumer brands that join the platform is also straightforward, Manshoory said. Brands in the Verified Shops channel only pay when they make a sale  and it’s just 10 percent to 15 percent, depending on the category, according to the company. 

“Because they’re not buying inventory upfront they take a lower cut… which was a reason why i was attracted to it,” said the cosmetics company founder. “We can get started right off the bat once the integration is up… we have full control over our store.”

Verishop also managed to win over other online direct-to-consumer darlings like Greats (which was recenty acquired by Steve Madden), Dagne Dover, Athletic Propulsion Labs, Judy, and The Ridge.

“Ecommerce still starts in 1990,” said Khan of the traditional shopping experience. “It’s a search-based experience that’s phenomenal if you know what you’re looking for.” However, as brands proliferate and consumers look to identify with particular brands and brand stories more closely, the question becomes how to find those new companies that are selling the types of products that resonate with particular shoppers.

It’s the question that Verishop has set out to solve and the company is hoping that Verified Shops can be the onramp for the newest consumer brands to reach a millennial audience. Think of it as an online mall where a curated shopping ecosystem exists for each brand to develop its own digital storefront and tell its own story.

“Right now we sell fashion and home and beauty, but longterm why can’t you buy a car?” Khan asked. “It’s this virtual mall or virtual shopping strip that you can walk through and discover and learn and hang out. We let the brands tell the story and let the consumers discover the stories.”

Unlike other attempts to create a front end digital storefront experience for brands, Khan said that Verishop is differentiated by its focus on a backend ecommerce infrastructure and logistics capabilities that other virtual malls can’t match.

Brands can apply to appear on Verishop and once they’re selected as verified shops they’ll have the chance to tap into a customer base that’s mostly comprised of Gen Z and millennial shoppers.


Source: Tech Crunch

Google says it’s eliminating Autocomplete suggestions that target candidates or voting

Ahead of the U.S. presidential election, Google says it’s taken a number of steps to improve the quality of information that it highlights across its various search and news products.

Google executives outlined these changes at an online press event today, as well as in a blog post. The biggest change seems to be in its policies around Autocomplete, the feature where Google suggests a search based on what you’ve typed so far.

The company says that it will now remove any Autocomplete predictions that seem to endorse or oppose a candidate or a political party, or that make a claim about voting or the electoral process. That would mean eliminating predictions like “you can vote by phone,” “you can’t vote by phone” or anything suggesting that you donate to a party or candidate.

At the same time, Google emphasized that this only applies to Autocomplete. Users will still be able to search for information around voting or candidates — you just won’t see those queries automatically, and it should become much harder for a candidate or party to use Autocomplete to drive users to make a desirable search.

David Graff, Google’s senior director of global policy and standards, said this is merely an extension of the company’s existing policies, and “not so much a completely new policy or philosophical approach.”

He added, “We’re acutely aware that with this upcoming election … people have strong opinions and given the backdrop of COVID, there’s a lot of questions about voting information and how that might play out against the backdrop of the pandemic.”

Graff also described this as a “conservative” approach, one in which some innocuous suggestions will probably be eliminated so that Google doesn’t risk allowing misinformation around the election from sneaking in.

Pandu Nayak, who heads Google’s search quality team, also said this policy will leave the vast majority of Autocomplete suggestions “completely untouched.”

“They get an outsized discussion around them, of course, but they’re actually a very small fraction of Autocompletes,” he said.

The other changes and progress that Google is highlighting today include the formation of an Intelligence Desk, a team of analysts that monitors the news and identifies “potential information threats”; the fact that Google can now identify breaking news moments in just a few minutes, compared to 40 minutes a few years ago; new programs designed to prevent vandalism on Wikipedia from sneaking onto the Knowledge Graph panels that appear alongside search results; and fact check labels in Google Images.


Source: Tech Crunch

Recorded music revenue is up on streaming growth, as physical sales plummet

With touring ground to a halt for the foreseeable future, 2020 has become the most difficult year for musicians in recent memory. One’s ability to survive on music depends on a variety of factors, of course, including things like audience, reach and how their fans access their output.

The world of recorded music has been a mixed bag throughout the pandemic. New industry figures from the Recording Industry Association of America out this week show that revenue for recorded music is actually up for the first half of 2020, owing, unsurprisingly, to the growth of music streaming.

With vastly more people stuck inside seeking novel methods of entertainment, paid subscriptions (Spotify, Apple Music, et al.) are up 24% year-over-year. Revenues on streaming music are up 12% overall, hitting $2.4 billion for the first half of the year. The figured has been hampered by an overall drop in ad sales that certainly isn’t limited to the music industry. That has had a sizable impact on services like YouTube, Vevo and Spotify’s free tier.

Physical sales of CDs and vinyl took a massive hit to an already rocky foundation, down 23% for that time period. Streaming now makes up 85% of all revenue in the U.S., with physical sales only commanding 7% — just slightly higher than the 6% made by digital downloads. It’s a troubling figure, given the difficulty many more independent artists have faced in monetizing streaming.

Spotify CEO Daniel Ek faced backlash from the industry for comments surrounding streaming revenue. “There is a narrative fallacy here, combined with the fact that, obviously, some artists that used to do well in the past may not do well in this future landscape, where you can’t record music once every three to four years and think that’s going to be enough,” the executive said in a recent interview.

The comments came as many musicians have struggled to keep their heads above water during a sustained touring hiatus. They also come as the streaming service has continued to pump money into acquisitions in an attempt to build out its podcasting presence.


Source: Tech Crunch

Ola is facing a drivers’ legal challenge over data access rights and algorithmic management

Two ride hailing drivers are taking India-based Ola to court in the Netherlands in another test case targeted at algorithmic management of gig workers.

The case, which is being supported by the App Drivers & Couriers Union (ADCU) union and others, is similar to one filed by drivers against Uber in July, also in a Netherlands court.

The drivers in both cases are asking for their personal data to be ported to their union’s data trust so it can be used for collective bargaining purposes. They say the companies haven’t provided all the requested data — and Uber, for example, has sought to suggest EU privacy rights prevent it from handing over more information.

Both cases reference European data access rights under the General Data Protection Regulation (GDPR) — including protections for individuals who are subject to significant legal or equivalent effects as a result of wholly automated processing.

In the Ola challenge, the ADCU says the drivers received only partial data in response to requests for their information under GDPR — such as not receiving date-stamped GPS data.

Another complaint is the lack of ratings data at the trip level which they say Ola blocked — meaning they have no way to challenge unfair or discriminatory ratings.

The drivers argue “huge gaps” in the data provided reduces their ability to meaningfully analyse their own performance.

They also allege that Ola’s data protection policy suggests a high degree of driver surveillance and performance management at the same time as the company denies basic worker rights — as drivers are classified as self employed.

“Ola give tantalising detail on level of surveillance and control over workers. Fraud probability scores for drivers for example. Admit that performance factors go into dispatch decision,” an ADCU spokesperson told us.

Gig platforms in Europe have faced a number of legal challenges over the classification of workers as they have scaled in the region. These latest cases are interesting in how the plaintiffs are going after the platforms’ algorithmic management as a means of illustrating the degree of worker control.

In a press release announcing the suit, the ADCU points to a safety feature Ola introduced in London earlier this year known as ‘Guardian’ which the company says uses artificial intelligence and machine learning to analyze ‘millions of data points’ ‘in real time to automatically detect irregular trip activity’ — saying Ola has “provided no information on the driver personal data processed in such risk profiling despite disclosing that it calculates a ‘fraud probability score’ for each driver”.

The plaintiffs argue transparency that over such systems is essential — pointing to the potential for them to impact driver earnings. One of the drivers bringing the case reports having his pay docked after Ola’s algorithm deemed the trips ‘invalid’ (incorrectly, as he tells it).

When the driver tried to appeal, Ola told him the process is automated and has no manual intervention — asserting that the deductions were correct and could not be reversed.

Yet Article 22 of the GDPR affords EU data subjects the right to contest automated decision making with significant legal or similar effects on them — including the right to human review of a decision. So it’s another interesting test of the extent of legal protections provided by the regulation.

Commenting on the suit in a statement, Yaseen Aslam, president of ADCU said: “Ola could choose to use its technology for good to ensure drivers are well paid, protected and treated with dignity at work. Instead Ola has taken advantage of its position of platform power to exploit and impoverish its workforce. It’s time for drivers to take back control and build collective power. The first step is to demand access to their own data at work.”

We’ve reached out to Ola for comment on the challenge.

The plaintiffs say they will ask the district court in Amsterdam to make an order that Ola immediately comply with EU data protection law and be fined €2,000 for each day it does not do so.

They note that action has been taken in the Netherlands because Ola Netherlands BV, the corporate entity that controls the platform and driver data, is based in Amsterdam.


Source: Tech Crunch

Iron Ox raises $20 million for its robotic farms

Bay Area-based Iron Ox today announced a $20 million Series B. The funding, led by Pathbreaker Venture and family office firms, brings the robotics company’s total funding up to $45 million to date. A number of other investors also took part in the round, including Crosslink Capital, Amplify Partners, ENIAC Ventures, R7 Partners, Tuesday Ventures, At One Ventures and Y Combinator.

Founded in 2015, Iron Ox has become one of the more prominent names in the world of agricultural robotics. In 2018, the company announced its first indoor farm, growing a slew of leafy green vegetables in hydroponic boxes.

Today they announced the addition of a Gilroy, California-based farm with 10,000 square feet of growing area. The location has already begun delivering vegetables to a number of retailers and restaurants across the state, including some big names like Whole Foods and smaller operations like Bianchini’s Market, which operates two locations in California. Today’s plans entail a nation-wide expansion in delivery for next year.

Image Credits: Iron Ox

“We have made it our mission to address food security by developing autonomous greenhouses that grow a variety of local and consistently delicious food for everyone,” co-founder and CEO Brandon Alexander said in a release. “Today, we’re thrilled to announce the successful operation of our Gilroy farm as well as our consumer brand, and our plans to complete additional sunlight-enabled, out-of-state facilities in 2021.”

The appeal of robotic farming is pretty straightforward, addressing labor shortages and supply chain issues. In the era of COVID-19, some of those problems have become even more pressing, with additional concerns surrounding the potential for transmission. It’s no surprise, then, that the company was able to nearly double previous raises in an era when investors are eyeing any and all robotics and automation.

That the company has a proven model makes things all the more appealing.


Source: Tech Crunch

Motorola gives its foldable Razr another go with the addition of a 5G model

Last year’s Motorola Razr reboot should have been a slam-dunk. An iconic name attached to a cutting-edge form factor — what could possible go wrong? A lot, turns out, especially in the world of foldables, where nothing seems to go according to plan. Some questionable design choices gave rise to a poorly reviewed device that continued the trend of foldable stumbles.

This week, however, the reboot is back. And this time, it’s, well, refined. In a blog post announcing the launch of the “New Razr With 5G,” the Lenovo-owned brand is quick to note that, “We’ve heard from consumers that they feel tethered to their devices and want a way to stay connected while still living in the moment.” To put a finer point on it, here’s a quote offered to TechCrunch from a spokesperson:

We’re confident in our foldable system, which is why we retained much of the same technology from the first iteration of Razr. While evolving Razr’s design to include 5G, we focused on areas to make mechanical refinements, based on direct consumer feedback.

In other words, the new Razr is the device that consumer feedback built. Now with 5G. It’s in keeping with the new version of the Galaxy Fold that Samsung recently launched. As many in the industry anticipated, the initial round of foldable devices would bump up against many of the issues commonly attributed to first-generation devices. Here that means an update to things like the hinge, which drew some heat from reviews the first time around.

There’s also an improved camera — another issue with the original. This time out, it’s a quad pixel 48-megapixel sensor with improved low-light shots and faster autofocus. There’s also a 20-megapixel one inside the device. The battery — another pain point on the original — has been upgraded slightly, from 2,510mAh to 2,800mAh. The company says it’s an “all day” battery, though the demands of 5G might have something to say about that. I suspect the demands of thinness really presented a brick wall when it comes to maxing out battery capacity.

The 5G comes courtesy of the Snapdragon 765G processor. That maintains the original’s inclusion of a mid-range processor (710 last time out), but this time Qualcomm has included next-gen wireless in an attempt to speed up adoption. At $1,400, it’s $100 less expensive than the original, but it’s certainly still pricey enough to make a middling processor a definite headscratcher. It’s true you’re paying for the foldable screen here, of course, but at that price, everything really ought to be the latest and greatest.

The new New Razr will be available in the fall.


Source: Tech Crunch

Lidar startup Ouster raises $42M in push to grow sales, diversify products

Lidar startup Ouster has spent the past several years expanding and improving its line of sensors as it jostles for a piece of the crowded and competitive market place. Now, Ouster says it has raised $42 million, fresh capital that will be used to fund product development and ramp up sales.

In short: Ouster is keeping the fight alive and there are signs that the San Francisco-based startup is making progress despite some headwinds. The $42 million Series B round didn’t feature any new investors — existing backers Cox Automotive, Fontinalis Partners and Tao Capital Partners all participated — and it was less than its previous raise of $60 million. Ouster, like many others, also reduced its workforce by 10% due to COVID-19, the company confirmed.

However, it’s worth noting that Ouster managed to close the round in the midst of COVID-19 and has continued to increase sales, even as its San Francisco-based manufacturing facility was shuttered temporarily due to a COVID-related government shutdown. The business grew enough to avoid further layoffs and to fully pay all employees and temp workers, according to the company. Ouster has raised $140 million to date.

Ouster wouldn’t share specific revenue numbers, but the company said its 12-month revenue has grown 62%, with third-quarter bookings up 209% year-over-year — a stat that makes sense, considering its business model and the expansion of its product line.

Lidar measures distance using laser light to generate highly accurate 3D maps of the world around the car. Lidar is considered by most in the automated vehicle technology industry a key sensor required to safely deploy robotaxis and other autonomous vehicles (with perhaps the exception of Elon Musk and a few others).

Ouster is taking a different technological and business approach than many of its competitors.

The company’s lasers and photodetectors are printed onto two chips using a standard process to produce integrated circuits (known as CMOS to those in the know). Ouster says this allows it to ditch the more common practice of stacking discrete components on top of each other to reach the desired resolution. Ouster argues that its approach results in a less complex sensor that is more reliable and cheaper.

“Ouster’s digital lidar architecture gives us fundamental advantages that are winning over customers in every market we serve. Digital CMOS technology is the future of lidar and Ouster was the first to invent, build, patent, and commercialize digital lidar. Once our customers experience the resolution and reliability of these sensors at an affordable price, there’s no turning back to legacy analog lidar,” Ouster CEO Angus Pacala said in a statement.

In January, Ouster launched its second-generation lidar product line, which includes three different 128-beam sensors to be used for different purposes, including one designed for navigating urban environments and warehouses. The other two sensors include a mid-range model with a 120-meter range and a 45-degree field of view, and a long-range lidar sensor with a more than 200-meter range for high-speed vehicle automation. All three products are currently shipping to customers and are available in 50 different configurations, according to Ouster.

The company’s business model is also slightly different than many others. Instead of targeting automakers or companies trying to commercialize robotaxis, Ouster has cast a wider net to diversify its business. The company is selling its lidar sensors to robotics, drones, mapping, defense, building security, mining and agriculture companies. The company launched in January its second-generation lidar sensors, which included three new 128-beam models that have different applications. The second-generation line is an improvement from its previous 64-beam models, with better resolution.

The strategy has appeared to pay off. Ouster has doubled its customer base since March 2019, according to the company. Today, Ouster says it has 800 customers across 15 markets, including Konecranes, Postmates, Ike, May Mobility, Kodiak Robotics, Coast Autonomous, the U.S. Army, NASA, Stanford University and MIT. Some of that growth has come from sales to Chinese automation companies such as idriverplus, WhaleAI, Hongjing Drive and qCraft.

Despite the growth, Ouster needs the capital to scale, as designing, manufacturing and selling lidar sensors is an expensive undertaking. Ouster has opened offices in Paris, Hamburg, Frankfurt, Hong Kong and Suzhou to expand global sales and customer service capabilities. It also has two manufacturing facilities. Its San Francisco facility, which opened in March 2019, is primarily used to introduce new products. Production volumes are lower at this facility. Once the product is validated, they’re transferred to Ouster’s contract manufacturer Benchmark in Southeast Asia.

Benchmark is now producing hundreds to thousands of second-generation sensors per month, according to Ouster.


Source: Tech Crunch