Sources: Email security company Tessian is closing in on a $40M round led by Sequoia Capital

Continuing a trend that VCs here in London tell me is seeing an increasing amount of deal-flow in Europe attract the interest of top-tier Silicon Valley venture capital firms, TechCrunch has learned that email security provider Tessian is the latest to raise from across the pond.

According to multiple sources, the London-based company has closed a Series B round led by Sequoia Capital. I understand that the deal could be announced within a matter of weeks, and that the round size is in the region of $40 million. Tessian declined to comment.

Founded in 2013 by three engineering graduates from Imperial College — Tim Sadler, Tom Adams and Ed Bishop — Tessian is deploying machine learning to improve email security. Once installed on a company’s email systems, the machine learning tech analyses an enterprise’s email networks to understand normal and abnormal email sending patterns and behaviours.

Tessian then attempts to detect anomalies in outgoing emails and warns users about potential mistakes, such as a wrongly intended recipient, or nefarious employee activity, before an email is sent. More recently, the startup has begun addressing in-bound email, too. This includes preventing phishing attempts or spotting when emails have been spoofed.

Meanwhile, Tessian (formerly called CheckRecipient) raised $13 million in Series A funding just 7 months ago in a round led by London’s Balderton Capital. The company’s other investors include Accel, Amadeus Capital Partners, Crane, LocalGlobe, Winton Ventures, and Walking Ventures.


Source: Tech Crunch

Behold, Slack’s new logo

New year, new you, new Slack. The popular workplace chat service’s resolution clearly involved a bit of a facelift, starting with a new logo. A redesigned version of the familiar grid logo launched this week, and appears to have rolled out on most major platforms.

Slack did the customary thing of explaining the hell out of the new design over of its blog. There’s all of the usual stuff there, about maintaining the spirit while moderning thing up a bit. The company also calls the design “simpler,” which is certainly up for debate. That’s fair enough from the standpoint of the color scheme, but try drawing this one from memory. It’s considerably tougher that the old tic-tac-toe version.

 

The new logo does away with the tilted hashtag/pound symbol of overlapping translucent colors in favor of a symmetrical arrangement of rounded rectangles and pins. The multiplying colors have been pared down to four (light blue, magenta, green and yellow) and the whole effect is reminiscent of a video game console or hospital.

“It uses a simpler color palette and, we believe, is more refined, but still contains the spirit of the original,” the company writes. “It’s an evolution, and one that can scale easily, and work better, in many more places.”

Created by Michael Bierut at the New York firm, Pentagram Design, the new logo marks the first major redesign since the company was launched (in fact, the original apparently predates Slack’s official launch). “The updated palette features four primary colors, more manageable than the original’s eleven, which suffered against any background color other than white,” the firm writes in its own post. “These have been optimized to look better on screen, and the identity also retains Slack’s distinctive aubergine purple as an accent color.”

The new design does potentially open up another issue:

Unintentional, obviously, and the orientation of the above negative space addition is the ancient symbol that was later mirrored and coopted by the worst people, ever. As a number of designers have noted, well, these things can happen, though the association and “once you’ve seen it, you can’t unsee it” effect could eventually prove the new logo’s ultimate undoing.


Source: Tech Crunch

Lance Amstrong just wrote his first check as VC

Lance Armstrong revealed last month that an early investment in Uber — courtesy of a $100,000 check that he funneled into the company in 2009 through Lowercase Capital —  “saved” his family from financial ruin. This was after evidence surfaced in 2012 that he used performance-enhancing drugs, and he was stripped not only of his seven consecutive Tour de France titles but also lost the many lucrative endorsement deals he enjoyed at the time.

Armstrong, talking with CNBC in December, declined to say how big a return that Uber investment has produced, but it seemingly gave him a taste for the riches that venture capital can produce when the stars align. To wit, Armstrong just founded his own venture fund, Next Ventures, to back startups in the sports, fitness, nutrition and wellness markets, and it today announced is first investment.

That portfolio company: Carlsbad, Ca.-based PowerDot, a 2.5-year-old maker of an app-based, smart muscle stimulation device that sends electrical pulses to contract tender soft tissue, helping runners and other athletes recover from their workouts.

We weren’t able to talk with Armstrong — a public relations spokesperson for the firm said he isn’t prepared to speak in detail about it yet — but last month, he spoke candidly about his past actions continuing to haunt him, including years of lying to the public and race organizers, as well as his “bullying,” which he called “terrible,” adding: “It was the way I acted; that was my undoing.”

In fact, Armstrong, who has been banned from cycling from life, said that as he has begun reaching out for meetings, not everyone is eager to take his calls. As he told CNBC’s Andrew Ross Sorkin, “You have to assume that’s what they’re thinking: ‘I don’t want this association; I don’t trust this guy.”

Armstrong seems to be getting by in the meantime. Just this week, Architectural Digest took readers on a tour through Armstrong’s contemporary Aspen home and his art collection. Armstrong purchased the 6,000-square-foot home a decade ago. He and his family now live in Colorado full-time.


Source: Tech Crunch

Robots learn to grab and scramble with new levels of agility

Robots are amazing things, but outside of their specific domains they are incredibly limited. So flexibility — not physical, but mental — is a constant area of research. A trio of new robotic setups demonstrate ways they can evolve to accommodate novel situations: using both “hands,” getting up after a fall, and understanding visual instructions they’ve never seen before.

The robots, all developed independently, are gathered together today in a special issue of the journal Science Robotics dedicated to learning. Each shows an interesting new way in which robots can improve their interactions with the real world.

On the other hand…

First there is the question of using the right tool for a job. As humans with multi-purpose grippers on the ends of our arms, we’re pretty experienced with this. We understand from a lifetime of touching stuff that we need to use this grip to pick this up, we need to use tools for that, this will be light, that heavy, and so on.

Robots, of course, have no inherent knowledge of this, which can make things difficult; it may not understand that it can’t pick up something of a given size, shape, or texture. A new system from Berkeley roboticists acts as a rudimentary decision-making process, classifying objects as able to be grabbed either by an ordinary pincer grip or with a suction cup grip.

A robot, wielding both simultaneously, decides on the fly (using depth-based imagery) what items to grab and with which tool; the result is extremely high reliability even on piles of objects it’s never seen before.

It’s done with a neural network that consumed millions of data points on items, arrangements, and attempts to grab them. If you attempted to pick up a teddy bear with a suction cup and it didn’t work the first ten thousand times, would you keep on trying? This system learned to make that kind of determination, and as you can imagine such a thing is potentially very important for tasks like warehouse picking for which robots are being groomed.

Interestingly, because of the “black box” nature of complex neural networks, it’s difficult to tell what exactly Dex-Net 4.0 is actually basing its choices on, although there are some obvious preferences, explained Berkeley’s  Ken Goldberg in an email.

“We can try to infer some intuition but the two networks are inscrutable in that we can’t extract understandable ‘policies,’ ” he wrote. “We empirically find that smooth planar surfaces away from edges generally score well on the suction model and pairs of antipodal points generally score well for the gripper.”

Now that reliability and versatility are high, the next step is speed; Goldberg said that the team is “working on an exciting new approach” to reduce computation time for the network, to be documented, no doubt, in a future paper.

ANYmal’s new tricks

Quadrupedal robots are already flexible in that they can handle all kinds of terrain confidently, even recovering from slips (and of course cruel kicks). But when they fall, they fall hard. And generally speaking they don’t get up.

The way these robots have their legs configured makes it difficult to do things in anything other than an upright position. But ANYmal, a robot developed by ETH Zurich (and which you may recall from its little trip to the sewer recently), has a more versatile setup that gives its legs extra degrees of freedom.

What could you do with that extra movement? All kinds of things. But it’s incredibly difficult to figure out the exact best way for the robot to move in order to maximize speed or stability. So why not use a simulation to test thousands of ANYmals trying different things at once, and use the results from that in the real world?

This simulation-based learning doesn’t always work, because it isn’t possible right now to accurately simulate all the physics involved. But it can produce extremely novel behaviors or streamline ones humans thought were already optimal.

At any rate that’s what the researchers did here, and not only did they arrive at a faster trot for the bot (above), but taught it an amazing new trick: getting up from a fall. Any fall. Watch this:

It’s extraordinary that the robot has come up with essentially a single technique to get on its feet from nearly any likely fall position, as long as it has room and the use of all its legs. Remember, people didn’t design this — the simulation and evolutionary algorithms came up with it by trying thousands of different behaviors over and over and keeping the ones that worked.

Ikea assembly is the killer app

Let’s say you were given three bowls, with red and green balls in the center one. Then you’re given this on a sheet of paper:

As a human with a brain, you take this paper for instructions, and you understand that the green and red circles represent balls of those colors, and that red ones need to go to the left, while green ones go to the right.

This is one of those things where humans apply vast amounts of knowledge and intuitive understanding without even realizing it. How did you choose to decide the circles represent the balls? Because of the shape? Then why don’t the arrows refer to “real” arrows? How do you know how far to go to the right or left? How do you know the paper even refers to these items at all? All questions you would resolve in a fraction of a second, and any of which might stump a robot.

Researchers have taken some baby steps towards being able to connect abstract representations like the above with the real world, a task that involves a significant amount of what amounts to a sort of machine creativity or imagination.

Making the connection between a green dot on a white background in a diagram and a greenish roundish thing on a black background in the real world isn’t obvious, but the “visual cognitive computer” created by Miguel Lázaro-Gredilla and his colleagues at Vicarious AI seems to be doing pretty well at it.

It’s still very primitive, of course, but in theory it’s the same toolset that one uses to, for example, assemble a piece of Ikea furniture: look at an abstract representation, connect it to real-world objects, then manipulate those objects according to the instructions. We’re years away from that, but it wasn’t long ago that we were years away from a robot getting up from a fall or deciding a suction cup or pincer would work better to pick something up.

The papers and videos demonstrating all the concepts above should be available at the Science Robotics site.


Source: Tech Crunch

Apple reportedly looking to subsidize Watch with Medicare plans

If nothing else, the addition of ECG/EKG reinforced Apple’s commitment to evolving the Watch into a serious medical device. The company has long looked to bring its best-selling wearable to various health insurance platforms, and, according to a new report, it’s reaching out to multiple private Medicare plans in hopes of subsidizing the product.

If Medicare companies bite, the move would make the $279+ tracker much more successful for older users. Along with electrocardiograph functionality, last year’s Series 4 also features fall detection, an addition that could make it even more appealing to the elderly and healthcare providers.

The new report cites at least three providers that have been in discussions with the company. We’ve reached out to Apple for comment, but I wouldn’t hold my breath on hearing back until the ink is dry on those deals. For Apple, however, such a partnership would help increase the target audience for a product that’s been a rare bright spot in the wearable category.

Apple’s not alone in the serious health push, of course. Fitbit has also been aggressively pursuing the space. Today the company announced its inclusion in the National Institutes of Health’s new All of Us health initiative.


Source: Tech Crunch

Microsoft continues to build government security credentials ahead of JEDI decision

While the DoD is in the process of reviewing the $10 billion JEDI cloud contract RFPs (assuming the work continues during the government shutdown), Microsoft continues to build up its federal government security bona fides, regardless.

Today the company announced it has achieved the highest level of federal government clearance for the Outlook mobile app, allowing US Government Community Cloud (GCC) High and Department of Defense employees to use the mobile app. This is on top of FedRamp compliance, the company achieved last year.

“To meet the high level of government security and compliance requirements, we updated the Outlook mobile architecture so that it establishes a direct connection between the Outlook mobile app and the compliant Exchange Online backend services using a native Microsoft sync technology and removes middle tier services,” the company wrote in a blog post announcing the update.

The update will allows these highly security-conscious employees to access some of the more recent updates to Outlook Mobile such as the ability to add a comment when canceling an event.

This is in line with government security updates the company made last year. While none of these changes are specifically designed to help win the $10 billion JEDI cloud contract, they certainly help make a case for Microsoft from a technology standpoint

As Microsoft corporate vice president for Azure, Julia White stated in a blog post last year, which we covered, “Moving forward, we are simplifying our approach to regulatory compliance for federal agencies, so that our government customers can gain access to innovation more rapidly,” White wrote at the time. The Outlook Mobile release is clearly in line with that.

Today’s announcement comes after the Pentagon announced just last week that it has awarded Microsoft a separate large contract for $1.7 billion. This involves providing Microsoft Enterprise Services for the Department of Defense (DoD), Coast Guard and the intelligence community, according to a statement from DoD.

All of this comes ahead of decision on the massive $10 billion, winner-take-all cloud contract. Final RFPs were submitted in October and the DoD is expected to make a decision in April. The process has not been without controversy with Oracle and IBM submitting a formal protests even before the RFP deadline — and more recently, Oracle filing a lawsuit alleging the contract terms violate federal procurement laws. Oracle has been particularly concerned that the contract was designed to favor Amazon, a point the DoD has repeatedly denied.


Source: Tech Crunch

Opendoor competitor Knock raises $400M

Home trade-in platform Knock has brought in a $400 million investment to accelerate a national expansion and double its 100-person headcount.

Foundry Group has led the Series B funding round in New York-based Knock, with participation from Company Ventures and existing investors RRE Ventures, Corazon Capital, WTI and FJ Labs . Knock co-founder and chief executive officer Sean Black declined to disclose the startup’s valuation.

Founded in 2015, Knock helps its customers find a new home, then buys it for them outright in cash. That way home-buyers — who are often in the process of selling an old home and purchasing a new home at the same time — are able to move into their new home before listing their old one. Knock doesn’t purchase your old home but it does help with repairs in hopes of getting its customers the most value out of the sale. Ultimately, Knock receives a 3 percent commission from both the buyer and the seller of the original home.

“We are trying to make it as easy to trade in your house as it is to trade in your car,” Black told TechCrunch.

Knock is led by founding team members of Trulia, a platform for real estate listings, including Black and co-founder and chief operating officer Jamie Glenn. The pair wanted to build an end-to-end market place where people could trade in their homes at a reduced cost, with less stress and uncertainty.

“Good luck finding anyone who’s bought or sold a home and said they had a great experience doing it,” Black said. “It’s something people just hate and dread. We can make it better and faster and transparent and stress-free.”

The investment in Knock comes amid consistent year-over-year growth in venture capital deals for real estate technology companies. According to PitchBook, deal count in the sector has been increasing since 2010, with 351 deals closing in 2018 — a record for the space. Capital invested looks to be leveling out, with $5 billion funneled into global real estate tech startups in 2017 and $4.65 billion invested last year.

“We are at that part of the evolution cycle of the internet; the low-hanging fruit has been taken,” Black explained. “[Real estate] is so inefficient. Mostly consumers have no idea what is going on. They have no sense of control or empowerment. I just think it’s ripe for disruption.”

SoftBank is responsible for the largest deals in the space as an investor in Knock’s biggest competitors. The Vision Fund has deployed capital to both Compass and Opendoor in rounds that valued the companies at $4.4 billion and north of $2 billion, respectively. Katerra, a construction tech startup also backed by the Vision Fund, is said to be raising an additional $700 million from the prolific Japanese investor at a more than $4 billion valuation, per a recent report from The Information.

Knock previously raised a $32 million Series A in January 2017 in a round led by RRE Ventures, and is currently active in Atlanta, Charlotte, Raleigh-Durham, Dallas and Fort Worth.


Source: Tech Crunch

Roku explains why it allowed Infowars on its platform

Roku has just made a bad decision with regard to its growing advertising business by associating its brand with the toxic conspiracy theorist, Alex Jones. As Digiday first reported this morning, Roku has chosen to add the Infowars live show hosted by Jones to the Roku platform as a supported channel, much to the disgust of customers now hammering the company on its social media platforms.

The company, apparently, is opting for the “we’re a neutral platform” defense in the matter, despite the fact that most major platforms have backed away from this stance with regard to Jones.

Apple, Facebook, Spotify, YouTube, Twitter, Periscope, Stitcher, Pinterest, LinkedIn, and even YouPorn have removed Infowars from their respective platforms.

The decision to allow the channel comes at a time when Jones and Infowars are in the headlines again because of a recent update in the legal battle between the Sandy Hook families and the Infowars program. The families are suing the conspiracy theorist for spreading the false claim that the school shooting was an elaborate hoax, and that Infowars peddled these stories to stoke fear and sell more products like survivalist gear and gun paraphernalia, The New York Times reports.

A judge has ordered Infowars to turn over internal documents to the families that relate to its business plan or marketing strategies, the shooting itself, crisis actors, or mass shootings in general.

Roku’s decision to allow the channel at all is a poor one not only in terms of taking a moral stance on complicated matters (if you’re of the mindset that’s something companies should do) – it seems to go against Roku’s own policy that bans content which is “unlawful, incites illegal activities or violates third-party rights.”

This is the same general premise that saw Infowars banned everywhere else.

Because of Jones’ claims, the Sandy Hook families have received death threats and have been continually harassed, even offline. Jones has also promoted other theories that led to violence, like Pizzagate.

Roku’s position, seemingly, is that the channel hasn’t done any bad stuff yet on its platform, never mind its past.

Many Roku customers on social media are threatening to boycott. A search for terms including “roku,” “boycott,” and others related to the news are picking up speed on Twitter, the #boycottroku hashtag has just now re-appeared, as well. (It was used previously by customers protesting the NRA channel.)

Given Amazon Fire TV and Roku’s tight race and Roku’s hunt for ad revenue through newer initiatives like its Roku Channel, a boycott could have material impact. (It looks like Amazon picked the right day to launch its updated Fire TV Stick with the new Alexa remote. At $40, it’s not going to be hard for consumers to switch streamers, if it comes to that. A search for “infowars” in Amazon Fire TV apps is not currently returning results, if you’re curious.)

Roku has become one of the top streaming media device makers in the U.S. and globally, recently having reached nearly 24 million registered users. Digiday notes that it’s projected to generate $293 million in advertising in 2018, per eMarketer, putting it just behind Hulu.

Apparently, Roku believes it can distance itself from the content it hosts on its platform.

That’s not a good look for advertisers, however, many who won’t want their brand appearing anywhere near Infowars. And because Roku runs ads right on its homescreen, that means advertisers’ content can actually sit directly beside the Infowars channel icon, if not in the program itself.

For example:

It may also make advertisers hesitant to work with Roku on other initiatives because it shows a lack of understanding over how to manage brand safety, or because they fear a consumer backlash.

Roku’s full statement is below:

Our streaming platform allows our customers to choose from thousands of entertainment, news and special interest channels, representing a wide range of topics and viewpoints. Customers choose and control which channels they download or watch, and parents can set a pin to prevent channels from being downloaded. While the vast majority of all streaming on our platform is mainstream entertainment, voices on all sides of an issue or cause are free to operate a channel. We do not curate or censor based on viewpoint.

We are not promoting or being paid to distribute InfoWars. We do not have a commercial relationship with the InfoWars.

While open to many voices, we have policies that prohibit the publication of content that is unlawful, incites illegal activities or violates third-party rights, among other things. If we determine a channel violates these policies, it will be removed. To our knowledge, InfoWars is not currently in violation of these content policies.

UPDATE, 1/15/19, 2:43 PM ET: 

Following Roku’s statement about its decision, Josh Koskoff, the Koskoff, Koskoff & Bieder attorney representing several Sandy Hook families suing Jones after his repeated claims that the Sandy Hook massacre was a hoax, has released a statement as well:

Roku’s shocking decision to carry Infowars and provide a platform for Alex Jones is an insult to the memory of the 26 children and educators killed at Sandy Hook. Worse, it interferes with families’ efforts to prevent people like Jones from profiting off innocent victims whose lives have been turned upside down by unspeakable loss. We call on Roku to realize this and immediately pull the program. Until then, the families will be switching to alternate streaming providers that know the difference between authentic – if provocative – opinions and a lying opportunist seeking to make money by any means possible. There is no amount of anticipated revenue that could possibly justify Roku’s calculated decision.


Source: Tech Crunch

Getaround early investor sues car-sharing startup for $1.79 million

Getaround is getting around the courthouse. One of the car-sharing startup’s early investors, Geoffrey Shmigelsky, is suing the company, alleging fraud and unfair conduct.

“Our client supported Getaround and Mr. Zaid from the very start, only to be swindled out of $1.785 million that went straight into the pockets of Mr. Zaid’s family and friends, as we allege,” Gaw | Poe LLP Partner Samuel Song said in a statement. “Our client deserved better than this from a person he had supported and trusted for years, and we’ll do what it takes to get what rightfully belongs to him.”

Getaround, however, says “these claims are totally unfounded and we’re looking to get the case dismissed,” Getaround Director of Marketing Communications Jacqueline Tanzella told TechCrunch over the phone.

Specifically, the lawsuit alleges Getaround executives tricked Shmigelsky into selling his shares to their friends and family for $1.79 million less “than what they knew they were worth.” Early last year, investors became interested in purchasing Shmigelsky’s shares, the lawsuit states. But because Getaround is still a private company with scarce public financial information, “they struggled to value Plaintiff’s shares.” That’s when Shmigelsky said he asked Getaround CEO Sam Zaid for the information.

The lawsuit alleges:

Mr. Zaid saw an opportunity and agreed to help. Getaround had a contractual right of refusal to purchase any shares Plaintiff tried to sell, under the same terms and conditions of any sales agreement that Plaintiff entered into with a prospective buyer. Thus, Mr. Zaid was in a position to provide information designed to drive down the value of Plaintiff’s shares, and if Plaintiff agreed to a transaction at a lower price, Mr. Zaid could cause Getaround to exercise its right of first refusal to buy Plaintiff’s shares at a large discount off its true value. Moreover, since Getaround also had the right to assign its right of first refusal to whoever it wanted, Mr. Zaid could cause Getaround to exercise its right to purchase Plaintiff’s shares (at a discounted price) and then gift that opportunity to Mr. Zaid’s friends and family.

Based on the information Zaid and Getaround CFO Adam Kosmicki provided him, Shmigelsky alleges he sold 300,000 shares at $1.80 per share. He also alleges Zaid and Kosmicki concealed the information that Getaround was on the verge of closing an $18 million funding round priced at $7.75 per share. After allegedly invoking its right of refusal, Getaround bought back Shmigelsky’s shares at $1.80 per share.

But since those deals were not yet finalized and still in discussions, Tanzella said, “we were legally bound not to disclose anything that wasn’t complete and to fruition.”

Getaround then allegedly allowed Zaid and Getaround CTO Elliot Kroo’s family and friends to buy those shares for $540,000. Had that stake been valued at $7.75 per share, Shmigelsky would’ve made $2.33 million.

“It’s a really unfortunate situation,” Tanzella said. “I know the team did the best they could.”

Getaround also pointed out that the company helped facilitate the sale of Shmigelsky’s shares on the secondary market five times.

“This complaint seems to be driven by seller’s remorse,” Tanzella said.

Shmigelsky seeks no less than $1.79 million for compensatory and special damages. Getaround, however, does “plan on having this fully dismissed in court,” Tanzella said.

You can read the full complaint below.


Source: Tech Crunch

AWS makes another acquisition grabbing TSO Logic

AWS has been on a mini shopping spree since the first of the year. First it picked off Israeli disaster recovery startup CloudEndure last week. This week, it was TSO Logic, a Vancouver startup that helps companies make the most efficient use of cloud resources.

The companies did not share the purchase price.

Amazon confirmed the purchase by email and referred to the statement on the TSO Logic website from CEO Aaron Rallo. “We are very pleased to share the news that TSO Logic will be joining the AWS family,” Rallo wrote in the statement.

The company takes data about workloads and applications and helps customers find the most efficient place to run them by measuring requirements like resource needs against cost to find the right balance at any given time.

They can even balance workloads between public and private clouds, which could come in handy with Amazon’s new Outposts product, announced in November at AWS re:Invent, that enables companies to run AWS workloads on-prem, as well as in the cloud.

TSO Logic is part of a growing body of startups who use data to find ways to optimize cloud workloads, sometimes even using spot instances to move workloads to cheaper cloud options to save customers money.

As companies move increasing numbers of workloads to the cloud, it becomes more difficult to understand, manage and control costs. Tools like TSO Logic are designed to help customers  make more efficient use of cloud resources.

Microsoft bought Cloudyn, a startup that provides a similar service, in 2017. As the large cloud infrastructure vendors jockey for position, these types of services offerings should become more commonplace, and it’s far easier for companies like Microsoft and Amazon to simply open up the checkbook than it is to build it themselves.

An Amazon spokesperson indicated that the company will remain in place in Vancouver and all of the TSO Logic employees have been offered positions with Amazon.


Source: Tech Crunch