Monthly Archives: May 2021

News: Robinhood’s epic Q1 growth explains its fundraising boom

Each month in Robinhood’s Q1 2021 produced more PFOF revenues than its entire year-ago quarter in aggregate.

An initial analysis of Robinhood’s Q1 2021 payment for order flow (PFOF) revenues sourced from company filings shows that the free-trading unicorn had a strong start to the year. Given the raucous trading activity of the first quarter, that news is not a surprise.

The aggregate revenue data helps explain how Robinhood was able to raise as much capital as it did in the first quarter despite running into issues with its technology and the United States government; the company found itself at the center of the GameStop speculative rush, which likely led to strong trading volumes, along with what The Exchange presumes was an unwelcome level of attention from regulators.


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This morning, we’re sticking close to the company’s financial results using the lens of PFOF income, which the company said during a congressional hearing constitutes the majority of its revenues.

This particular revenue growth — or the lack thereof — is a good way to understand not only Robinhood’s own results but also its larger market. If Robinhood is seeing rapid growth and strong trading volumes, we can infer with some confidence that others in its space are enjoying a related, if not similar, level of interest.

For Public.com, eToro and others like Freetrade (as well as our own understanding), how Robinhood performed recently is key. So, let’s explore the data.

An epic Q1

Per an initial TechCrunch analysis of Robinhood’s collected PFOF disclosure data for the first quarter, including its revenues from fees related to the trading of stocks that are part of the S&P 500, stocks that are not, and options incomes, here’s how the company performed:

News: Google is opening a retail store in New York this summer

Google has explored storefronts for a while now. Here’s a pop-up in Manhattan’s SoHo district that we took a trip to some four+ years back. But the company’s own branded retail experience has been fairly limited — unsurprising, given that it has always been a software company first. This summer, however, the company is joining

Google has explored storefronts for a while now. Here’s a pop-up in Manhattan’s SoHo district that we took a trip to some four+ years back. But the company’s own branded retail experience has been fairly limited — unsurprising, given that it has always been a software company first.

This summer, however, the company is joining a growing number of tech companies that will their own retail stores. The first Google Store is opening in New York City’s Chelsea neighborhood, in the former Port Authority building that also houses the company’s NY offices.

The move follows in the footsteps of Apple and Samsung — both of whom have stores nearby (Amazon’s got its own book store, as well, but that’s further uptown near the Empire State Building).

Like the competition, the shopping experience will center on Google hardware products first — that means things like Pixel phones and various Nest home devices. Google’s product offerings are still fairly limited compared to the likes of Apple and Samsung, though the recent closing of its Fitbit acquisition should go a ways toward offering a bit more variety in its brightly lit aisles.

This year is a particularly weird time to open your first retail store. Google’s had a fair amount of retail space in Chelsea for a while now, but COVID-19 almost certainly put a damper on any plans to launch last year. Though, NYC has been pretty quick to vaccinate its massive population, with 41% of adults fully vaccinated as of earlier this month.

Still, Google is prioritizing safety here. Per a blog post:

Masks, hand sanitation and social distancing will be required in the Google Store, and we’ll clean all spaces multiple times a day. The number of guests inside will be limited to ensure our customers feel safe during their shopping experience, and easy pickup options will also be available. We will continue to closely follow the guidance of the local and national authorities to adapt our health and safety procedures as needed.

This sounds to be part of a bigger hardware push for the company, which has struggled of late — particularly in the mobile category. Google calls the first store, “an important next step in our hardware journey.”

News: Twitter to revamp user profiles with About tab, support for pronouns, ‘confirmed’ status and more

Alongside news that Twitter is relaunching its account verification system to the public, the company previewed a slate of changes that will soon come to Twitter profiles. In addition to your name, photo, banner, bio and other features available today, the new Twitter profile will include an “About” tab that appears to the left of

Alongside news that Twitter is relaunching its account verification system to the public, the company previewed a slate of changes that will soon come to Twitter profiles. In addition to your name, photo, banner, bio and other features available today, the new Twitter profile will include an “About” tab that appears to the left of the tabs for Tweets, Tweets & Replies, Media and Likes. This expansion will allow Twitter users to share more about themselves, including their pronouns, location, interests and more.

“The profile hasn’t been meaningfully updated since 2014, which is a little mind blowing, considering how much both Twitter and the world have changed since then,” said Andrea Conway, the lead designer on Twitter’s Identity & Profiles team. “Today, we don’t give people a ton of ways to express themselves and, in turn, we limit the number of signals available to understand the quality of that account, and help people determine who and what to trust on Twitter,” she says. “Additionally, from a design perspective, we’re dealing with a serious lack of space on the profile, and we really want to change that.”

Image Credits: Twitter

Twitter wants the revamped profiles to not only expand the ways users can express themselves, it also envisions the profile as a new entry point to other areas of engagement on the platform in the future. That could be areas like Topics or Spaces, or something else. Though Twitter didn’t detail this point, it’s possible that as it rolls out the new Super Follow button for creators, it may make sense for those users to have more ways to share what they’re all about rather than relying on one of those “link in bio” website builders, for instance.

Twitter also sees the potential for using the profile to increase user engagement.

“We think it’s important to know not only who an account is, and the information they’ve shared proactively, but also what an account is into — because we think that if you’re interested in an account, you might also be interested in what they’re interested in. And this space has the potential to make that a whole lot easier,” Conway adds.

In addition to allowing users to share their pronouns in the new About tab, the redesigned profile will include other fields, sections and components.

Another notable new feature will be the ability to display whether your Twitter account is confirmed. That means you’ve verified your account with Twitter via email or phone. It’s a signal that could help to invite trust — or at least keep you from being trolled by being called a “bot,” a common Twitter insult that’s often levied during heated debates. And it’s a way to “verify” your account even if you don’t qualify for the coveted blue badge — a badge people often want because if conveys some sense of legitimacy.

Other fields currently found in your profile today may move into this About tab, like your location, birthday, join date or translator badge, Twitter says. And going forward, Twitter believes this tab will allow it to be more flexible when it comes to what information people what to share and how they share it.

The company didn’t offer a time frame until the new profiles will launch, but said they would be “coming soon.”

News: Twitter opens account verification applications to the public under new guidelines

The coveted blue badge may soon be within your reach. Twitter announced today it will begin rolling out its new verification application system, which allows public figures and other accounts of high public interest to distinguish themselves with a checkmark that indicates they are who they say they are — like a government official, journalist,

The coveted blue badge may soon be within your reach. Twitter announced today it will begin rolling out its new verification application system, which allows public figures and other accounts of high public interest to distinguish themselves with a checkmark that indicates they are who they say they are — like a government official, journalist, celeb, brand or business, or other notable name.

Over the next few weeks, Twitter will begin to display the new verification application directly in the Account Setting tab to all users globally. From here, you can submit your application. You’ll then receive an emailed response in one to four weeks, depending on how many open applications are in the queue at the time.

Applications are processed by a newly expanded team at Twitter, not automated, which is why things may slow down at busy times.

If approved, you’ll receive the profile badge automatically. And if denied, you can reapply 30 days after receiving Twitter’s decision. There’s no limit on how many times you can reapply, however.

Image Credits: Twitter; image of verification application screen

The return of verification will greatly expand access to the blue badge that only around 360,000 Twitter users hold today.

The system was officially paused in 2017 as the company grappled with consumer confusion over what it meant to be verified. While the checkmark was only meant to serve as an indicator that someone’s account was authentic, many viewed badgeholders as having some sort of elevated status on Twitter’s platform.

This issue came to a head when it was discovered Twitter had verified the account belonging to Jason Keller, the person who organized the deadly white supremacist rally in Charlottesville, Virginia, even as genuinely noteworthy individuals were struggling to get their own accounts verified.

Although Twitter quietly continued to verify candidates running for public office, public officials, journalists and others in the years since, there was no longer an “official” means of requesting verification.

In late 2020, Twitter finally announced it would relaunch account verifications in early 2021 and debuted a draft of its policy for public feedback. Although Twitter is running a little behind schedule — it’s closer to mid-2021, after all — it is again reopening applications and publishing its new guidelines, which are largely unchanged from their initial publication.

Going forward, to qualify for verification, Twitter users must fit the criteria of one of the six following categories:

  • Government
  • Companies, brands and organizations
  • News organizations and journalists
  • Entertainment
  • Sports and gaming
  • Activists, organizer and other influential individuals

These categories are just the start, Twitter says. It will later expand verification to include scientists, academics and religious leaders later this summer.

To become verified, an account must first establish its authenticity by providing a photo of an official government-issued ID, or by providing an official email address relevant to the category chosen, or an official website referencing the Twitter account.

Image Credits: Twitter

Each of the specified categories then has its own sets of rules for what qualifies a person for verification.

While these are far too extensive to detail here (you can read through the full policy for that), there are a few rules worth highlighting. For example, journalists have to adhere to professional standards, like fact-checking, to qualify. Being listed in professional databases, like IMDb or Sportradar, can aid in verification for those in entertainment or gaming. And being mentioned by verified press in news articles can help brands and many individuals qualify.

The full rules are fairly detailed, and particularly when it comes to the catch-all category of “other influential individuals.” Here, Twitter has come up with a system that requires a combination of criteria related to both Twitter activity and off-site notability to be deemed noteworthy.

For example, a stable Wikipedia article, profile on Google Trends, news mentions or being listed among the leadership on an official website with “known advocacy work,” can help influential individuals qualify, along with at least one indication of being influential on Twitter itself. This includes meeting a bar for follower count or on-site activity, as defined by Twitter’s criteria.

Image Credits: Twitter

Twitter says it will hold verified accounts accountable for their tweets. In addition to having to follow the Twitter Rules like everyone else (even Trump couldn’t avoid penalty, you probably recall), verified accounts that violate rules will be stripped of their badge. This penalty may be determined on a case-by-case basis, Twitter says. An egregious violation could see the badge immediately removed, but other violations may not see the same measure taken.

Verified accounts also have to have a “complete” profile, meaning profile name, profile image and either a confirmed email or confirmed phone number. The account must be active in the last six months, as well, and can’t have a Twitter Rule violation in the last 12 months that resulted in a seven-day or 12-hour lockout.

This focus on violations as blockers to verification is meant to keep unworthy individuals from getting badged — which was an issue in the past — but it still relies on Twitter’s Trust & Safety team to do their job. And that’s been an area of concern for Twitter, where there are verified users who routinely harass others, including verified female journalists. For verification to work and be trusted, online Twitter Rule-breakers will need to feel the penalty of being un-badged.

Twitter says verification is only one way it’s changing how profiles on its platform will work.

In the future, Twitter will introduce new ways to designate other types of accounts, including “helpful” bots — the automated accounts that provide information that’s useful, like COVID-19 updates or earthquake warnings, for example; or those that use Twitter in a creative way.

Later, Twitter will tackle handling memorialized accounts. But these changes will be about adding designations, not verification.

Image Credits: Twitter; image of an automated account profile

Demand for verification has been growing over the years, particularly as the creator economy has taken shape, where high-profile individuals translate their online fame to real-world success and cash. Creators may not meet Twitter’s criteria for verification, but they’ll soon be able to add “Super Follow” buttons to their profile that will allow subscribers to pay for special access, like exclusive content or newsletters. Meanwhile, Twitter itself is reportedly working on a paid subscription program, Twitter Blue, but this is about gaining access to advanced features, like Undo Tweets and bookmark collections, not about paid access to verification.

To combat the need for everyone to feel important and trusted on Twitter, the company will also be revamping Twitter profiles. (More on that here).

In short, the new profiles will be able to display more information about who they are, including support for pronouns, what they’re interested in, and whether they’re a “confirmed” user — meaning, they’ve verified themselves via an email or phone number.

Image Credits: Twitter

Twitter says it will continue to update and audit it policies around these areas as it moves forward with public applications for verification and the other new features.

“People come to Twitter to read about what’s happening with current events, the global pandemic elections, and other government conversations happening across a variety of topics and interests,” said B Byrne, Twitter’s product lead focused on identity, speaking to reporters about the changes. “The blue verified badge gives people on Twitter more context about who they’re interacting with. They can determine if the content is trustworthy and make their own decisions regarding the sources they choose to follow, which we believe leads to healthier, more informed conversations,” he said.

News: Firefly Aerospace’s lunar lander will fly to the Moon on a SpaceX Falcon 9 in 2023

Firefly Aerospace may be developing rockets of its own, but it’s also simultaneously building Blue Ghost, its first lunar lander. Blue Ghost will hop a ride with a rocket from a different launch company — SpaceX — in 2023, the companies announced today. While Firefly Aerospace is in the process of developing its own launch

Firefly Aerospace may be developing rockets of its own, but it’s also simultaneously building Blue Ghost, its first lunar lander. Blue Ghost will hop a ride with a rocket from a different launch company — SpaceX — in 2023, the companies announced today.

While Firefly Aerospace is in the process of developing its own launch vehicles, the company is still looking forward to its first orbital flight of its Alpha rocket, which is not a rocket capable of taking large payloads to the Moon. SpaceX, meanwhile, hasn’t yet sent a Falcon 9 on a lunar mission, but it has flown a lot of successful missions, and its specs allow for Moon deliveries, with many other commercial lunar lander developers selecting the vehicle as their launch vehicle of choice.

Firefly’s Blue Ghost aims to fly in just a couple years’ time, and it’s tasked with carrying 10 payloads on behalf of NASA as part of their Commercial Lunar Payload Services (CLPS) program. NASA is using that program to award private companies missions to carry experiments to the Moon’s surface, in part as preparation for the forthcoming Artemis human Moon exploration (and, eventually, long-term habitation) missions.

SpaceX got the nod in part because the Falcon 9’s performance specs mean the Blue Ghost can conserve more of its own fuel, making it possible for the lander to take on around 150 kg (330 lbs) of cargo. Firefly, like many other CLPS providers, also intends to take up payloads alongside the NASA experiments from other commercial entities, selling off that space to make more revenue.

The first lander launching under CLPS is scheduled to fly sometime in the fourth quarter of this year, and a total of six are currently awarded and planned for tentative launches through 2023.

News: Spotify expands into the audiobooks market by partnering with Storytel

Spotify is further expanding into audiobooks — but not in the way you may think. The company today announced a new partnership with audiobooks platform, Storytel, which will allow existing Storytel subscribers to connect their account through Spotify to access their audiobooks within Spotify’s app. The partnership is the first example of what’s possible with

Spotify is further expanding into audiobooks — but not in the way you may think. The company today announced a new partnership with audiobooks platform, Storytel, which will allow existing Storytel subscribers to connect their account through Spotify to access their audiobooks within Spotify’s app. The partnership is the first example of what’s possible with Spotify’s recently introduced Open Access Platform, which aims to give creators and publishers a way to extend their reach.

The company briefly spoke about its plans for Open Access Platform during its press event, Stream On, earlier this year where it also detailed plans for paid podcast subscriptions, Spotify HiFi,  and other new features. The Open Access Platform gives a publisher or creator a new way to deliver their content to their existing subscriber base, by allowing their customers to stream the content through Spotify.

The technology supports using the creator or publisher’s existing login system and allows them to maintain direct control over their relationship with listeners. For example, a paid podcast could use the system to stream to existing subscribers. In Storytel’s case, however, the company offers audiobook content, not podcasts.

“We want everyone to have access to great stories, and today Storytel offers more than 500,000 audiobooks on a global basis across 25 markets,” said Jonas Tellander, Storytel founder and CEO, in the company’s announcement. “Partnering with Spotify make amazing audiobook experiences and exciting authorships easier than ever to access for our customers, while we will also be tapping into the opportunity of reaching new audiences who are on Spotify today, but have not yet experienced the magic of audiobooks,” he added.

A competitor to Audible, Storytel offers audiobooks in a variety of languages, including some in English, for a fixed monthly price. Its unlimited library access may make it a better deal for people who listen to more than one than one audiobook per month. Typically, Storytel customers would stream via the mobile app for iOS or Android.

The company has 1.6 million subscribers, per a Reuters report. Spotify, meanwhile, has 356 million users, including 158 million subscribers across 178 markets.

The integration itself will go live later in 2021, allowing Storytel customers to sign into their accounts then stream through Spotify by linking their accounts.

Spotify had dabbled in audiobooks before Storytel. In January this year, for example, it began testing the format with a handful of classics, like “Frankenstein,” “Jane Eyre,” “Persuasion,” and others, narrated by celebs. It had also previously offered the first “Harry Potter” book with chapters narrated by stars like Daniel Radcliffe, David Beckham, and Dakota Fanning.

More partners for the Open Access Platform will be introduced this summer, Spotify says.

News: OMG is Canada’s startup answer to the local news crisis

Local news has been battered over the past two decades. The rise of the internet shredded some of the long-held monopolies of newspapers and local TV stations on news and classified ads, while social networks like Facebook, Nextdoor, and Citizen have increasingly pulled in reader attention for neighborhood updates. Newspapers have closed, journalists have been

Local news has been battered over the past two decades. The rise of the internet shredded some of the long-held monopolies of newspapers and local TV stations on news and classified ads, while social networks like Facebook, Nextdoor, and Citizen have increasingly pulled in reader attention for neighborhood updates. Newspapers have closed, journalists have been decimated, and there are increasing numbers of “news deserts” with no coverage whatsoever.

At the same time, there is a creator revolution underway right now in online media. Audience development, community, and subscription are coming together in fresh ways that seem particularly opportune for local journalism today. Will these new sets of tools finally allow for the rebuilding of local journalism after the last era of hollowing out?

Overstory Media Group (which goes by the expressive OMG) believes precisely that the software tools and business models have been honed to dramatically change the equation for local news. Co-founded and led by Farhan Mohamed, who was formerly editor-in-chief of Vancouver-focused news site Daily Hive, the company operates 10 local news brands and has hired 30 full-time employees as it creates a sustainable and dare I say profitable approach to local media.

“I had my own email newsletter when I was a kid,” Mohamed recounts. I “saw a gap: no one is telling me what is happening around me.” To get a sense of the bootstrapped nature of the operation, he sent the newsletter through Hotmail, and he eventually migrated into the modern world of local journalism. What he found was distressing. The “user experience is terrible, stories are terrible… I don’t know how normal people do this,” he said.

He saw an opportunity in starting over with the basics of what local news means for its own community. “I come from a background of community building, rather than just the news and journalism,” he said. He felt that there was a model of using modern internet technologies to allow readers to be stakeholders in these news operations.

He ultimately linked up with Andrew Wilkinson, who runs Tiny Capital, a fund that buys tiny internet businesses and scales them up while allowing their original founders to exit. He had created a newsletter-driven publication called Capital Daily to cover the developments in Victoria, British Columbia. Very quickly, the publication started getting tens of thousands of subscribers, all for a region with just a few hundred thousand people in it.

Mohamed and Wilkinson came together to found OMG and start to scale the Capital Daily model to more publications. They built out a tech stack centered on Pico, which just closed a new $6.5 million seed round last month, and also designed growth and brand playbooks for switching on new brands.

The goal with each new brand is to get to breakeven as quickly as possible. “We have our models and projections on how long it takes to get a brand sustainable, and with each brand, we are refining that model,” Mohamed said. “Maybe it’s not 12 months to sustainability, but 10 months or even 9 months.” His goal is ambitious: he wants to get to 50 brands and 250 journalists by 2023, and “I also think we could get to 100 brands.”

While the company has what I would dub playbooks, it understands that not every brand is going to be identical. It has a basic structure for how each brand should be built and what cadence new stories need to be delivered, but it is also flexible in responding to the unique needs of each new audience it brings to the table.

For journalists, the company’s pitch is centered on stability and focus on growth. “You have editorial control, you just do what you need to,” he said. “We can help you… we know what is going to work” when it comes to building out community and growth marketing. Perhaps most valuable for journalists is the community of other reporters who are walking the same path and are confronting similar challenges as they expand their communities and subscriber bases.

While the company has been exclusively focused on Canadian brands so far, covering cities as diverse as Vancouver, Victoria, Fraser and Calgary, it also sees opportunities to export its model outside the great white north. “We’ve had conversations with people in the States, in Southeast Asia, in Europe,” Mohamed says.

Obviously at this point, a certain cynicism can enter into any analysis of local news, what with decades of misfires and overly-optimistic dreams of success amidst the rubble of legacy publishing empires. But OMG has a bit of that pop that says, this time, it might just be different.

News: Chasing hype is human nature: The tyranny of startup trends

Don’t let an imagined future state of regret drive a decision to launch or fund a new venture. Trends present real opportunities, but founders and investors should engage with caution.

Victor Echevarria
Contributor

Victor Echevarria is a partner at Jackson Square Ventures, where he invests in early-stage software businesses.

I think it’s important that we explicitly discuss something that every VC instinctively knows: The hype around a given business or category has become a form of bias for investors and founders when vetting ideas to pursue. At any point in time, you can find FOMO-flavored bad business decisions based on false market signals somewhere in tech. It’s human nature for excitement to be contagious, but treating it as a leading factor when considering a new opportunity is not a good idea.

It’s human nature for excitement to be contagious, but treating it as a leading factor when considering a new opportunity is not a good idea.

Take the 17th century tulip-mania, when, at one point, Dutch speculators drove tulip futures so high that one bulb of a particularly rare species was valued at more than a fully furnished luxury house1. We can look at this and collectively lampoon anyone who could possibly have bought into that absurd trend.

But that’s the rule with mega-hyped markets. The dot-com apocalypse was inevitable in hindsight. So was the consumer lending bubble that set off the global financial crisis. But major market catastrophes aside, newly hyped sectors in tech seem to pop up, like Moore’s Law clockwork, every year or so.

In the last 15 years, giant bonfires of cash have turned to ash financing companies in hyped up sectors like SoLoMo (I bet many people reading this have never even heard of this trend), clean tech, VR gaming, daily deals, crypto (which spawned flashy undercard entries like PotCoin, BurgerKing’s WhopperCoin, and yes, TrumpCoin), the sharing economy, scooters (in which Bird, Lime, Lyft and Uber competed around little more than the color scheme of the otherwise identical Segway Ninebots), and SPACs (through which the aforementioned white-colored scooter company is going public).

Usually, these bubbles start when a breakout company creates a discontinuity in the market — a technology that changes how we live (Apple’s iPhone), or delivers an exceptional solution to a ubiquitous pain point better and more cost effectively than before (Uber’s ride-sharing). Rational speculators look to apply lessons from these breakouts to identify other massive winners. If a few seem to take off, irrational FOMO takes over.

The hype-driven race to the bottom

The hype-driven race to the bottom. Image Credits: Victor Echevarria

What does that look like? Here’s an actual example, per data sourced from PitchBook:

  • Yelp creates a new way for local businesses to engage their customers.

News: Workrise, once known as RigUp, raises $300M at a $2.9B valuation

Workrise, which has built a workforce management platform for the skilled trades, announced today that it has raised $300 million in a Series E round led by UK-based Baillie Gifford that values the company at $2.9 billion. New investor Franklin Templeton joined existing backers including Founders Fund, Bedrock Capital, Andreessen Horowitz (a16z), Moore Strategic Ventures,

Workrise, which has built a workforce management platform for the skilled trades, announced today that it has raised $300 million in a Series E round led by UK-based Baillie Gifford that values the company at $2.9 billion.

New investor Franklin Templeton joined existing backers including Founders Fund, Bedrock Capital, Andreessen Horowitz (a16z), Moore Strategic Ventures, 137 Ventures and Brookfield Growth Partners in putting money in the round. WIth this latest financing, Workrise has now raised over $750 million.

You may know Austin-based Workrise better as its former name, RigUp. The company changed its name earlier this year to reflect a new emphasis on industries other than just oil and gas after the industry took a beating in recent years.

In 2020, Workrise laid off one-quarter of its corporate employees as the industry took an even bigger hit from the COVID-19 pandemic. It currently has over 600 employees in 25 offices.

Despite the rocky start to the year, Workrise apparently ended up rebounding. Its gross revenue has tripled since 2018, going from just under $300 million to about $900 million to close out 2020.

Workrise was founded in 2014 as a marketplace for on-demand services and skilled labor in the energy industry. In October 2019, it raised a $300 million Series D round led by Andreessen Horowitz(a16z) that valued the company at $1.9 billion.

Since then, Workrise has broadened its reach to include wind, solar, commercial construction and defense industries. In a nutshell, it connects skilled laborers with infrastructure and energy companies looking to staff and manage projects efficiently. Workrise’s online platform matches workers with over 500 companies in its network, manages payroll and benefits and provides access to training.

The company plans to use its new capital to continue to expand into new markets.

“The shift to clean energy and a redoubling of investment in infrastructure are opening up jobs that are desperately in need of filling,” said Workrise co-founder and CEO (and former energy investor) Xuan Yong in a statement. “Our platform makes it easier for skilled workers to find work and for companies to hire in-demand workers.”

Dave Bujnowski, investment manager at Baillie Gifford, points out that Workrise’s online management platform is “disrupting a sector that’s so far been slow to adopt new technologies.”

Workrise now serves more than 70 metro areas in the U.S., including Atlanta, where the company is matching trade workers with commercial construction companies, and in Broomfield, CO where the company trains and matches workers to jobs across the U.S. wind industry. 

The company also offers trade workers access to training that equips them for energy and infrastructure jobs that are on the rise. Last year, Workrise placed more than 4,500 workers, or nearly a third of all its workers placed in 2020, in renewable-energy jobs. 

Specifically, the company says in total, it placed 8,000 unique workers in jobs in 2019 with 13% in renewables. That number jumped to 15,000 in 2020.

News: Kleiner spots Spot Meetings $5M to modernize walk-and-talks for the Zoom generation

Trees, those deciduous entities you can occasionally see outdoors when not locked down or strapped down at a desktop ruminating on a video call, have long been the inspiration for fresh new ideas. Stories abound of how founders built companies while walking the foothills in Silicon Valley or around parks in San Francisco, and yet,

Trees, those deciduous entities you can occasionally see outdoors when not locked down or strapped down at a desktop ruminating on a video call, have long been the inspiration for fresh new ideas. Stories abound of how founders built companies while walking the foothills in Silicon Valley or around parks in San Francisco, and yet, we’ve managed over the past year to take movement mostly out of our remote work lives.

Chicago-based Spot Meetings wants to reinvigorate our meetings — and displace Zoom as the default meeting medium at the same time.

The product and company are just a few months old and remain in closed beta (albeit opening up a bit shortly here), and today it’s announcing $5 million in seed funding led by Ilya Fushman at Kleiner Perkins. That follows a $1.9 million pre-seed round led by Chapter One earlier this year.

CEO and co-founder Greg Caplan said that the team is looking to rebuild the meeting from the ground up for an audio-only environment. “On mobile, it needs to be abundantly simple to be very functional and understood for users so that they can actually use it on the go,” he described. In practice, that requires product development across a wide range of layers.

The product’s most notable feature today is that it has an assistant, aptly named Spot, which listens in on the call and which participants can direct commands to while speaking. For instance, saying “Spot Fetch” will pull the last 40 seconds of conversation, transcribe it, create a note in the meeting, and save it for follow-up. That prevents the multi-hand tapping required to save a note or to-do list for follow up with our current meeting products. You “don’t even need to take your phone out,” Caplan points out.

What gets more interesting is the collaboration layer the company has built into the product. Every audio meeting has a text-based scratch pad shared with all participants, allowing users to copy and paste snippets into the meeting as needed. Those notes and any information that Spot pulls in are saved into workspaces that can be referenced later. Spot also sends out emails to participants with follow-ups from these notes. If the same participants join another audio meeting later, Spot will pull in the notes from their last meeting so there is a running timeline of what’s been happening.

Spot’s product design emphasizes collaboration within an audio-focused experience. Image Credits: Spot Meetings

Obviously, transcription features are built-in, but Spot sees opportunities in offering edited transcripts of long calls where only a few minutes of snippets might be worth specifically following up on. So the product is a bit more deliberate in encouraging users to select the parts of a conversation that are relevant for their needs, rather than delivering a whole bolus of text that no one is ever actually going to read.

“Collaboration from now and the future is going to be primarily digital … in-person is forever going to be the exception and not the rule,” Caplan explained. Longer term, the company wants to add additional voice commands to the product and continue building an audio-first (and really, an audio-only) environment. Audio “very uniquely helps people focus on the conversation at hand,” he said, noting that video fatigue is a very real phenomenon today for workers. To that end, more audio features like smarter muting are coming. When a participant isn’t talking, their background noise will automatically melt away.

Before Spot Meetings, Caplan was the CEO and co-founder of Remote Year, a startup that was designing a service for company employees to take working trips overseas. I first covered it back in 2015, and it went on to raise some serious venture dollars before the pandemic hit last year and the company laid off 50% of its workforce. Caplan left as CEO in April last year, and the company was ultimately sold to Selina, which offers co-working spaces to travelers, in October.

Caplan’s co-founder who leads product and engineering at Spot Meetings is Hans Petter “HP” Eikemo. The duo met each other during the very first Remote Year cohort. “He has been a software engineer for two decades [and was] literally the first person I called,” Caplan said. The team will grow further with the new funding, and the company hopes to start opening its beta to its 6,000 waitlist users over the next 3-4 weeks.

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