Tag Archives: Blog

News: Lollipop AI launches online grocery marketplace where you can build your own recipes

As I’ve taken to online grocery shopping over the pandemic, I’ve always wondered why supermarkets didn’t offer simple ‘recipe’ features that would have automatically collected items for a homemade meal. It seemed an opportunity missed. But it is missed no more. Lollipop AI, the new British online grocery marketplace, is launching its public beta today

As I’ve taken to online grocery shopping over the pandemic, I’ve always wondered why supermarkets didn’t offer simple ‘recipe’ features that would have automatically collected items for a homemade meal. It seemed an opportunity missed. But it is missed no more.

Lollipop AI, the new British online grocery marketplace, is launching its public beta today to do that, and it’s been created by a serial UK entrepreneur who was there at the start of successful UK startups Osper, Monzo and Curve.

Founder and CEO Tom Foster-Carter has envisaged a platform allowing people to build meal plans from recipes, assembling the ingredients automatically into their shopping baskets, and suggesting remaining household essentials. He says the Lollipop could well help with health goals, improve culinary skills and minimize food waste. Built as a marketplace, it will be partnering with Sainsbury’s and BBC Good Food with more partners, and fulfillment will be completed by retail partners. The business model will be taking a small commission from retail partners, allowing selected advertising, e.g. from CPG brand owners.

The site will be free to use, while a premium tier is planned. The first 10K beta testers to sign up to the waitlist will be offered access to premium features “for life,” says the startup, which will offer prices at the same rate as normal supermarkets.

Foster-Carter, who had the idea after having a baby and realizing he was spending hours trying to use a normal supermarket, says the approach will save several hours a week for the average household. (We will briefly note the fact that a man had to create a site like this after doing the weekly shop…). Lollipop claims 80% of households spend over an hour a week meal-planning and online grocery shopping.

Lollipop MealPlanner

Lollipop MealPlanner

The founding team includes former employees of Monzo, Farmdrop, Amazon, Sainsbury’s and HelloFresh, such as cofounders Chris Parsons and Ib Warnerbring.

Although Foster-Carter is coy about how much he has raised for this approach, he says he has raised a pre-seed round backed by JamJar Investments, Speedinvest, and a “raft of grocery/technology big hitters” including Ian Marsh (former UK GM of HelloFresh) and former leadership and founders of online grocers in the U.K. and abroad plus ‘super angels’ Charles Songhurst and Ed Lando.

In particular, the site is likely to appeal to people looking to lose weight, as meal planning would be simpler and may even have an impact on recipe-box startups.

Lollipop is not alone in its ambitions. Jupiter.co in the U.S. bills itself as “groceries on autopilot”; Jow is recipe-led shopping, as is Side Chef; while Cooklist is a meal-planner + cooking support, also in the U.S.

Foster-Carter told me: “It’s a marketplace so we could partner with traditional supermarkets (Sainbury’s, Tescos, Waitrose etc) + online retailers (Ocado, Amazon), direct to farm / organic (Riverford, Farmdrop), mission-led single component (Oddbox, Milk & More, etc); recipe boxes (Gousto, Hello Fresh, Mindful Chef etc); and rapid delivery (Gorillas, Getir, Weezy, etc).

“This is just the start… The plan is to be the single place you go to for all your food needs – we’ll enable you to order your Deliveroo or restaurant kit (e.g. Dishpatch) from us. Groceries are delivered by our partners, and then when it’s time to cook you’ll be able to use a cooking companion app (due out next month). In the future you’ll be able to improve your cooking skills through Lollipop.”

Few players have nailed the ability to buy a lot of items (50-100+) really fast, not even Amazon – this might be Lollipop’s USP, if it can crack it.

News: MWC 2021 day two: Is this thing on?

Listen, it’s probably not the best sign when a show feels like it’s running out of steam on its first day. Mobile World Congress’ opening salvo was headlined by Samsung in an event that touched on some partnerships and spent equal time teasing an upcoming event where it will actually launch some hardware. It’s hard

Listen, it’s probably not the best sign when a show feels like it’s running out of steam on its first day. Mobile World Congress’ opening salvo was headlined by Samsung in an event that touched on some partnerships and spent equal time teasing an upcoming event where it will actually launch some hardware. It’s hard to get too down on the GSMA, and I really ought to preface all of these by reiterating that – even in a normal year – running an event is hard as hell. Canceling its flagship show last year had to be gut-wrenching, and deciding to go forward with this one must have also been – albeit for dramatically different reasons?

It’s not like the show didn’t come with some wins. What’s that? Elon Musk videoed in? That’s a pretty massive get by any measure, with all of the standard “whatever you think about the guy” preambles. Love him or hate, you’ve heard about him and probably have extremely strong feelings about the dude, one way or another.

The High Priest of Dogeking beamed in to talk SpaceX StarLink. “To be totally frank, we are losing money on that terminal right now,” Musk said in the interview. “That terminal costs us more than $1,000, so obviously I’m subsidizing the cost of the terminal.” Good thing he’s got deep pockets.

He promised a new version of the company’s satellite next year, “which will be significantly more capable.”

Huawei thus far has focused much more on networking than consumer – it’s important to caveat this by adding that MWC is as much, if not more, a networking show, in spite of all of the press that tends to focus on consumer device launches. The company launched a bunch of 5G networking hardware, including several MIMO products.

Speaking of networks, I totally forgot to include this bit from TechCrunch parent co (you know, for now). Verizon trotted out a bunch of robots with 5G branding. The company was making a point about the importance of cellular for future robotics communication.

Here’s CSO Rima Qureshi, quoted by Reuters, “5G will make it possible for robots to connect with other robots and devices of all kinds in a way that simply wasn’t possible before.”

Image Credits: Huawei

Let’s be honest, though, mostly robots make for cool stage fodder. From what I can tell, the Boston Dynamics-esque quadruped was this bot from Ghost Robotics, which Verizon also trotted out (well, it trotted itself out, I suppose) at CES in January:

Given the choice, would I have put on an in-person event in Barcelona in the summer of 2021? No. Nuh-uh. No way. Did the GSMA feel like they had a choice financially or otherwise? That’s a much more difficult question to answer. When you’re a company that runs on events and partnerships, even canceling a single big show is a shock to the system.

I’m going back and forth on whether I’ll be doing any more of these roundups as the show progresses through Thursday. Definitely if some more interesting stuff shows up, or if there’s like video of Elon hoverboarding through the sparsely populated convention center halls or something. But I’m not holding my breath.

Read more about Mobile World Congress 2021 on TechCrunch

 

News: Daily Crunch: Language-learning app Duolingo translates strong revenues into IPO filing

Hello friends and welcome to Daily Crunch, bringing you the most important startup, tech and venture capital news in a single package.

To get a roundup of TechCrunch’s biggest and most important stories delivered to your inbox every day at 3 p.m. PDT, subscribe here.

Hello and welcome to Daily Crunch for June 29, 2021. Have you ever wanted to ditch civilization and move to the woods, but still be able to work? We have good news if that’s you. Below you’ll find lots more, including Facebook’s latest product offering and how one startup wants to save bees. Enjoy! — Alex

The TechCrunch Top 3

  • Duolingo is going public! Well-known edtech unicorn Duolingo is going public. TechCrunch has an overview of the IPO and a deeper dive into the company’s business health. Based on traffic to our coverage on the matter since last night, ya’ll are really into learning languages. Also make sure to check out the Duolingo EC-1.
  • Facebook launches newsletters: Say hello to Bulletin, Facebook’s new newsletter service. Competing with Substack, Twitter’s Revu and other services, Facebook signed up a Boomer-friendly list of initial authors including Malcolm Gladwell. The social giant has a history of testing in-house versions of products that are successful externally. We’ll have to wait and see if Bulletin manages to survive on its own merit.
  • SpaceX plans to spend billions on Starlink: According to Elon Musk, SpaceX is losing money on early Starlink connector kits. Starlink is the space company’s low-orbit satellite network that could bring about global internet connectivity. Per TechCrunch reporting of Musk’s comments, “SpaceX’s overall investment in the project could be between $5 billion-$10 billion initially and as much as $30 billion over time.” For the sake of freelancers everywhere, let’s hope the tech shakes out to match the investment.

Startups/VC

Up top today in our roundup of recent startup news is Beeflow. We’re putting it at the top of the list because (1) It’s about bees and (2) It’s called Beeflow. What’s not to love? Per Jordan Crook, the startup may have an answer to the decimation of the global bee population. And it might make money to boot.

Now, the rest of the news:

And I would be remiss to not mention that I covered venture capital rounds this morning from co-op and Arrows, along with news regarding Acceleprise’s rebrand.

How VCs can get the most out of co-investing alongside LPs

In a recent private equity survey, 80% of respondents said their co-investments with people outside traditional VC firms outperformed their PE fund investments.

Alternative investors are highly motivated, and because they’re seeking higher returns than are generally available in public markets, they are less daunted by risk. In return, they benefit from less expensive fee structures and develop close ties with VCs, enlarging the talent pool as they build investment skills.

These relationships have direct benefits for VCs as well, such as more flexibility with diversification and consolidated decision-making power.

“With the right deal structure, deal selection and deal investigation, co-investors can significantly increase their returns,” says C5 Capital Managing Partner William Kilmer, who wrote an Extra Crunch post for VCs considering an alternative path.

(Extra Crunch is our membership program, which helps founders and startup teams get ahead. You can sign up here.)

Big Tech Inc.

Turning from the smaller upstarts to the megagiants, it’s been a good week to be a Big Tech company. Facebook crossed the $1 trillion market cap threshold, though it dipped back under the magic number this afternoon. Here’s what else is going on from the Bigs:

  • Shopify cuts its cut to 0%: Shopify will charge zero for developers’ first million in revenue that they make on its application marketplace. The move fits into a larger trend of app stores lowering their cuts as Apple fights tooth and nail to avoid doing the same with its own application emporium. The Shopify news is probably more aimed at e-commerce rival Amazon than Apple, but the move still gently undercuts Cupertino’s argument that it deserves around a third of all commerce that happens on iOS.
  • AI developers are coming: News out today from Microsoft’s GitHub product is notable, with the sub-org announcing an AI-powered tool that “suggests code as you type.” GitHub teamed up with OpenAI to build the tool. For beginners, the coding service could prove to be super freaking neat.

TechCrunch Experts: Growth Marketing

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Image Credits: SEAN GLADWELL (opens in a new window) / Getty Images

TechCrunch wants you to recommend growth marketers who have expertise in SEO, social, content writing and more! If you’re a growth marketer, pass this survey along to your clients; we’d like to hear about why they loved working with you.

If you’re curious about how these surveys are shaping our coverage, check out this interview Extra Crunch Managing Editor Eric Eldon did with Scott Tong, “The pandemic showed why product and brand design need to sit together.”

News: Rimac Automobili founder Mate Rimac shares lessons from bootstrapping an EV company

“They didn’t want to touch Croatia, like ‘Where the hell is that?’ It was quite a ride.”

Mate Rimac’s founder story has the makings of automotive folklore. He started Rimac Automobili in his garage in 2009 as a literal one-person operation that has grown to a company with more than 1,000 employees, supply contracts with automakers like Porsche and a new electric hypercar moving into production.

What might not be known is how close the company came to failing. “It has been such a wild ride,” Mate Rimac said during an interview at at the virtual TC Sessions: Mobility 2021 event. “The first seven years, we were like out of money and technically bankrupt all the time.”

The founder and CEO of Croatian electric hypercar and components developer Rimac Automobili joined TechCrunch on our virtual stage to talk about the company’s new Nevera vehicle, his interest in electric robotaxis and the prospect of an acquisition of Bugatti. Throughout the interview, he gave a candid account of some of the company’s lowest points, how he and the company survived and what other founders can learn from his experience.

“It was quite a ride.”

Today, Rimac Automobili is a household name in Croatia with plans to grow even larger. Rimac is currently building a headquarters and technology campus on a 49-acre site that is slated to be completed in 2023. It was a far more solitary experience the first few years of Rimac Automobili’s existence. Even when it gained recognition, the company came close to failing numerous times, Rimac said in the interview.

It has been such a wild ride. And like the first seven years, we were like out of money and technically bankrupt all the time.

We had situations where I can’t even start to explain what we survived. I set out this company 12 years ago, I was alone for two years. The first employee joined me in 2011. So it was really built from a garage.

News: If you pay an emotional labor fee, Postdates will get your stuff from your ex

Yesterday, the team behind the parody Amazon Dating delivered us Postdates. It’s like Postmates, but for getting your stuff back from your ex. Postdates looks like the actual Postmates website – you can select a type of relationship (“casually dated,” “lived together,” “one night stand,” etc.) like it’s a type of restaurant. Then, you can

Yesterday, the team behind the parody Amazon Dating delivered us Postdates. It’s like Postmates, but for getting your stuff back from your ex.

Postdates looks like the actual Postmates website – you can select a type of relationship (“casually dated,” “lived together,” “one night stand,” etc.) like it’s a type of restaurant. Then, you can choose from preset items to retrieve (concert tickets if you were friendzoned, family heirlooms if you were divorced) or add a custom item. Delivery starts at $25 in LA and $30 in NY, along with an additional emotional labor fee of $3.99. Yes, you can actually use this service if you’re in one of these two cities, but Postdates isn’t here to stay — it’s a pop-up business. Or, as Postdates “founder” Ani Acopian puts it, “It’s kind of like watching a ‘Black Mirror’ episode, but it’s your real life.”

You might remember Elon Musk’s failed comedy start-up/”intergalactic media empire” Thud, which aimed to create immersive digital experiences that blurred the lines between what’s real and fake. Or, you might not remember Thud, since it failed spectacularly and wasn’t very funny. Postdates struck the satire gold that Elon Musk dreamed of with Thud, only they did it without $2 million dollars in funding from one of the richest men in the world.

TechCrunch talked to conceptual artist Ani Acopian, producer Suzy Shinn, and product developer Brian Wagner to get the low-down on just how legit Postdates is.

TechCrunch: Why Postdates? How did the idea come about?

Suzy Shinn: At the start of quarantine when everything was falling apart, Ani and I made ScrubHub, like PornHub for hand washing. We raised $50,000 for charity.

Ani Acopian: I think we had this creative juice inside of us that we wanted to find an outlet for.

SS: Then, we had the Postdates idea, and we actually tried to get investors and artists to fund it, because we were like… This is going to cost something, we want to make it real and actually function. No one wanted anything to do with it, because they were like, “What’s the return?”

AA: And we were like, “Well, the return is that it’s a vibe.”

SS: No one wanted anything to do with us funding-wise, so we built it ourselves.

TC: So, you can actually use this?

AA: Yeah, we partnered with two local courier companies, Gourmet Runner in LA and Airpals in New York. We wanted to make sure we work with people that treat their workers right.

SS: You can put in a request, and the ex has to consent obviously and be like, “Yeah, I have this stuff for you, I’ll put it outside,” and our couriers have Postdates bags that we give to them. But legitimately, you can use it in both of those cities as long as you’re not sending a cat, or a child, or alcohol, or drugs, or something that won’t fit in a bag.

AA: We spent a lot of time on the workflow to make sure no addresses are shared, that everyone’s consenting to be involved, and we’re trying to keep it no-contact, so we’re asking people to put stuff on their door handle. You’re not charged until your ex accepts the order.

TC: You just launched yesterday, but have people actually been using the service so far?

Brian Wagner: We had some people who would post a screenshot in response to Ani’s tweet and be like, “Oh snap, I actually got Postdated by my ex!”

SS: There’s about 30 to 40 pending requests, and we’ve gotten a handful that just as of this morning have been delivered successfully.

TC: Do you think this could be a viable business?

AA: Not everything needs to be a viable business. I would actually be… not surprised, but upset if this actually became a thing, because I don’t think the world needs that level of stuff, but I think we’re pretty much already there. All you can do is hold the mirror up.

TC: As satire, what are you trying to say with Postdates?

SS: I think in the tech world, it seems like all of these tech startups get crazy amounts of funding, and they spend so much money, and they take themselves so seriously. The three of us, with the help of our friends, were able to do this, and we didn’t need $13 million in funding or five years. But we were staying up until like 5 AM, and we were like, “Can we hire someone to help us?” but we were like, “No, we can’t pay.”

BW: Especially with the rise of the gig economy, we’ve seen some positives and some pretty serious negatives, especially during quarantine. It helps people get the things that they need, but also, a lot of workers aren’t being paid fairly and don’t have health insurance. So there’s a sentiment a lot more often now that a lot of tech is redistributing labor, and you’re just paying for people to be moved around. So in a way, we’re sort of like… We’ve redistributed emotional labor here.

TC: There’s an emotional labor tax on the site, yeah.

BW: There’s a bit of poking fun of that, saying how far will we go in terms of actually moving labor along for money. Will people pay for someone else to deal with the emotional handling of a situation?

i wasn’t having much luck with dating apps so i partnered with @amazon to make a better one 👀💘https://t.co/ticxR7j7CO

— ani (@aniacopian) February 4, 2020

TC: How did Postdates build upon Amazon Dating?

AA: We’ve made two parody sites now, and we wanted to take that to the next level and make it experiential. It’s kind of like watching a Black Mirror episode, but it’s your real life.

SS: What is the literal price you will pay not to see someone? This is a real thing that happens all the time — my friends will be like, “I broke up with my girlfriend, I need you to go get my stuff,” and I’m like, “I don’t want to go get your stuff.”

AA: I don’t think we should outsource it, though.

TC: So you don’t think we should outsource it, but also, you made Postdates.

AA: I think that’s the whole…

TC: That’s the joke.

AA: Yeah.

TC: What does it say about startup culture to make a product that you don’t think should exist?

SS: Startups are so, so serious, there’s no humor in it, and they think it’s going to last forever. Well, we’re doing the opposite.  We’re going to make this last a couple of weeks for a limited time only, and then we’re gonna take it away. But we would love to keep doing these, making something where art meets tech meets entertainment.

BW: Companies and experiences can just be fun. They don’t have to be a billion dollar idea, they don’t have to be something that’s going to go on Shark Tank. Imagine us entering Shark Tank…

News: GM’s newest startup aims squarely at the commercial EV market

In the next few years, you’ll more likely see an electric delivery van dropping off your packages than an electric car in your neighbor’s driveway.

Ford and GM’s century-old battle for market share is no longer restricted to gas- and diesel-powered passenger car, truck and SUV sales. The hottest market in the next decade is commercial and electric.

In this new race, the two companies are taking different strategies as they square off against each other — along with a growing list of EV startups — to win over as many delivery and fleet-vehicle customers as possible.

GM’s weapon is BrightDrop, a new startup incubated and launched at CES 2021 by Chairman and CEO Mary Barra. The venture boasts an ecosystem of EV hardware and logistical software products aimed squarely at fleet and delivery companies. GM’s interest in the space is far from merely exploratory; it anticipates that the market for delivery, including food and parcels in the United States, will be more than $850 billion by 2025.

For fleet managers, it comes down to the numbers on a spreadsheet, and thanks to incentives and lower maintenance costs associated with EVs, vans that run on electrons instead of dead dinosaurs make financial sense.

“Folks on the commercial side don’t really care about the technology — they care about the economics,” Brett Smith, director of technology at research firm CAR, told TechCrunch.

Electric vehicles might be more ecologically sound than traditional gas- or diesel-powered vehicles, but for fleet managers, it comes down to the numbers on a spreadsheet, and thanks to incentives and lower maintenance costs associated with EVs, vans that run on electrons instead of dead dinosaurs make financial sense.

News: Facebook’s newsletter platform Bulletin is now live

The cool new thing on Facebook is for Mark Zuckerberg to drop product news in live audio rooms. So today, Zuckerberg took to his brand’s Clubhouse competitor to announce its next new thing: Bulletin, a newsletter platform. Bulletin is built on a separate platform from Facebook — on its website, the FAQ states that this is

The cool new thing on Facebook is for Mark Zuckerberg to drop product news in live audio rooms. So today, Zuckerberg took to his brand’s Clubhouse competitor to announce its next new thing: Bulletin, a newsletter platform.

Bulletin is built on a separate platform from Facebook — on its website, the FAQ states that this is to “enable creators to grow their audience in ways that are not exclusively dependent on the Facebook platform.” You don’t need a Facebook account to subscribe to a newsletter, but Bulletin relies on Facebook’s infrastructure, including the use of Facebook Pay to purchase premium subscriptions and join subscriber-only groups and live audio rooms.

Competitors like Substack take a “hands-off” approach to content moderation, allowing anyone to start a newsletter. But every writer currently on Facebook’s Bulletin was hand-picked to contribute. Still, Substack has received scrutiny for subsidizing anti-trans rhetoric through its controversial Substack Pro program, which commissioned particular writers to write on Substack. So, Bulletin won’t be immune to the issues that plague Substack despite its heavily curated model.

The initial slate of writers on Bulletin includes Malcom Gladwell, Mitch Albom, Erin Andrews and Tan France — the FAQ also notes that its beta program is U.S.-centric, with only two international writers at the moment (“We will look to include more international creators after our beta program launch,” Bulletin says.) Facebook is paying its writers up front for their contributions, and so far, doesn’t plan to take a cut of their profits. If writers choose to move off the platform, they will have the ability to take their subscriber lists with them.

News: How VCs can get the most out of co-investing alongside LPs

Nontraditional investors, which include anyone outside of traditional VC firms investing in venture capital deals, are increasingly making their presence felt in the investing community.

William Kilmer
Contributor

William Kilmer is managing partner with C5 Capital, a venture capital fund investing in the secure data ecosystem. He was formerly an operating partner at Mercato Growth Partners and served as CEO and chairman of PublicEngines (acquired by Motorola), and Avinti (merged with M86 Security) and served as chief marketing officer/chief strategy officer of M86 Security (acquired by Trustwave).

It has rarely been easier for people looking to invest. Nontraditional investors, which include anyone outside of traditional VC firms investing in venture capital deals, are increasingly making their presence felt in the investing community.

McKinsey found that the value of co-investment deals has more than doubled to $104 billion from 2012 to 2018. And by some counts, there are as many as 1,600 “nontraditional” investors helping to fund venture capital deals in 2021.

The primary motivator for nontraditional investors is seeking better returns, and investing alongside VC funds is a great way to achieve that. A recent Preqin study shows co-investing funds significantly outperform traditional funds.

Research shows that 80% of investors found their co-investments outperforming private equity fund investments, with 46% outperforming by a margin of more than 5%. Investors also benefit from a generally less expensive fee structure compared to traditional private equity or VC funds.

When evaluating deals, keep in mind that most companies are not going to be the next tech unicorn, so set realistic views on exits.

Co-investors can also profit by sharing the investment risk, which benefits all investors and builds loyalty and trust. And because this kind of investing requires a hands-on approach, investors get the chance to work closely with top sponsors — the general partners (GPs) — to foster deeper relationships and gain a better understanding of the GPs’ investment strategies and deal review processes. For new investors, building these relationships is essential for strengthening their own investment skills in the long run.

Why VCs love alternative investors

Alternative investors aren’t the only ones who benefit from co-investing, it’s also a boon for GPs. They gain a broader array of funding options by partnering with alternative investors, and they can leverage their own capital more effectively with prospective investments.

VCs have other benefits too: While co-investing LPs remain passive in the business, the VC can use that voting power to preserve investor rights and consolidate decision-making. It also allows them to put more money to work in any company while staying within diversification limits.

News: The engineering daring that led to the first Chinese personal computer

China is one of the world’s wealthiest digital economies today, with a hardware supply chain that is unrivaled and a panoply of prominent and massively profitable companies like Alibaba, Tencent and ByteDance taking a leading role in the world. Yet, all of this cutting-edge innovation rests on a forty-year-old solution to one of the great

China is one of the world’s wealthiest digital economies today, with a hardware supply chain that is unrivaled and a panoply of prominent and massively profitable companies like Alibaba, Tencent and ByteDance taking a leading role in the world. Yet, all of this cutting-edge innovation rests on a forty-year-old solution to one of the great computing challenges: the development of Chinese word processing.

Beginning in the early 1980s, China dramatically expanded its computing purchases from the United States and the West, importing just 600 foreign-built microcomputers in the year 1980, as compared to 130,000 in 1985. Companies in the United States, Japan, and Europe clamored to get in on this “buying binge,” as one observer called it.

There was a major problem, however, both for potential Chinese computer users and Western manufacturers: no Western-built personal computer, printer, monitor, operating system, program, or otherwise was capable of handling Chinese character input or output—not in the early and mid-1980s, anyway, and certainly not “out of the box.” Without some major overhauls, mass-manufactured personal computers were effectively useless for anyone wanting to operate in Chinese.

One of the most important reasons was the problem of memory—specifically the memory required for Chinese fonts. At the advent of Latin alphabetic computing, Western engineers and designers determined that a font for English could be built upon a 5-by-7 bitmap grid—requiring only 5 bytes of memory per symbol. Although far from aesthetically pleasing, this grid offered sufficient resolution to render the letters of the Latin alphabet legibly on a computer terminal or a paper printout. Storing the 95 printable characters of US ASCII required just 475 bytes of memory—a tiny fraction of, for example, the Apple II’s then 48K of motherboard memory. 

To achieve comparable, bare-minimum legibility for Chinese characters, the 5-by-7 grid was far too small. When designing a bitmap font for Chinese, engineers had no choice but to increase the size of the Latin alphabetic grid geometrically, from 5-by-7 pixels to upwards of 16-by-16 pixels or larger, or at least 32 bytes of memory per Chinese character. The total memory required to store just the bitmaps (in either simplified or traditional form, but not both, and with no accompanying metadata) would equal approximately 256K for the 8,000 most commonly used Chinese characters, or four times the total capacity of most off-the-shelf personal computers in the early 1980s. All this, even before accounting for the RAM requirements for the operating system and application software.

Draft bitmaps from the Sinotype III Chinese font, prepared prior to digitization. Courtesy of Louis Rosenblum Papers, Stanford University Special Collections.

Such is the context for one of the great engineering histories of modern computing, a tale of entrepreneurial daring and engineering ingenuity that provides a unique look into the global development of the digital revolution.

This is the first of two articles on TechCrunch in which I examine the Sinotype III, an experimental machine which was among the first personal computers to handle Chinese-language input and output. Built atop a store-bought Apple II—but outfitted with a custom-programmed word processor and operating system—Sinotype III served as a “proof of concept” which demonstrated how one could “translate” Western-manufactured computers into Chinese, and thereby open up a vast new marketplace.

In this first part, I will examine the profound technical challenges around computer memory, fonts, and operating systems faced by the creators of Sinotype III, and how they devised novel solutions to overcome them.

The chutzpah of a newly minted graduate who had no immediate job prospects”

Our story begins with the Graphic Arts Research Foundation (GARF)—the organization where, arguably, Chinese computing was born. The Ideographic Composing Machine, also known as the Sinotype, was invented in the late 1950s by MIT electrical engineer, Samuel Hawks Caldwell with GARF funding. Following his untimely death in 1960, the project came to a standstill. During the 1960s and 1970s, the Sinotype project was kept alive by a number of different parties, including the Itek Corporation, RCA, and finally, GARF once again.

Keyboard of Sinotype I, designed by Samuel Caldwell in the late 1950s. Courtesy of Louis Rosenblum Papers, Stanford University Special Collections.

Sinotype’s homecoming was thanks in large part to one man: Louis Rosenblum. Born in 1921 in New York City, he was yet another member of the MIT family, graduating in 1942 with an undergraduate degree in Applied Math. Studying under Harold Edgerton, the world-renowned professor of Electrical Engineering (and who shot the famous “milk drop coronet” photo in in the 1930s), Rosenblum took a job at Polaroid immediately following graduation, working with Edwin Land on a variety of projects, including the development of instant photography. In 1954, he moved to Photon—where he worked on photocomposition of non-Latin writing systems. Deeply familiar with the late Caldwell’s pioneering work on Sinotype, Rosenblum effectively adopted the project, and revived it when he joined GARF as a consultant in the mid-1970s.

Diagram showing configuration of Sinotype II system, running on a Nova 1200 CPU. Courtesy of Louis Rosenblum Papers, Stanford University Special Collections.

GARF continued to work on the Sinotype project well into the early 1980s, by which point it had developed an advisory board featuring a host of renowned scholars, as well as those with deep China experience. Harvard linguist Susumo Kuno came on board; as did Richard Solomon, known for his pivotal role in Richard Nixon’s visit to the PRC in 1972 and then head of the Social Science Department at the RAND Corporation.

As stellar as this brain trust was, however, GARF’s major breakthrough on the Sinotype project—the leap from a minicomputer-based system (Sinotype II) to one based on a microcomputer (Sinotype III)—was catalyzed by a college student whose only experience at GARF to date was a brief, two-week gig working on data management for the Sinotype II project in 1979. He was Bruce Rosenblum, Louis Rosenblum’s son.

Bruce Rosenblum using the Sinotype III system. Courtesy of Louis Rosenblum Papers, Stanford University Special Collections.

As an undergraduate at the University of Pennsylvania and an aspiring photojournalist, Bruce was balancing his time between coursework and his role as Photo Editor for the independent student-run newspaper Daily Pennsylvanian. The paper was remarkably advanced in terms of the equipment it ran, as well as the deep expertise of the students in charge.

By the fall of Bruce’s junior year, the paper’s existing typesetting equipment (two Compugraphic typesetters) were on their last legs and needed to be replaced. Along with three of his student colleagues at the paper, Bruce assisted in the process of researching potential replacements, eventually settling on a combined $125,000 contract with two companies: Mycro-Tek in Wichita, Kansas, and Compugraphic, in Wilmington, Massachusetts.

As for the Sinotype project—one that Bruce was well aware of, thanks to his father, but with which he had no involvement—a pivotal moment came in early May 1981. Bruce had just completed his final exams, and stopped by the offices of the paper. His colleague Eric Jacobs was there, hard at work on a TRS-80 Model II personal computer from Radio Shack. Jacobs was contemplating how this microcomputer might be used to run the newspaper’s business operations. Bruce observed for perhaps thirty minutes, before heading on with his day. 

Those thirty minutes stuck with him, however. “It was the first time I’d ever seen anyone work on a microcomputer,” Bruce recalled by email to me, “and those few minutes were the inspiration that triggered the whole Sinotype III project and eventually my career in computers.”

Later that same week, Bruce made a somewhat off-the-cuff remark in a phone call with his father. Referencing the immense cost of the Data General hardware GARF was then using to build Sinotype II, Bruce remarked that someone could probably program something equivalent or better on a microcomputer for a fraction of the cost—perhaps with as little as $10,000 worth of hardware, as compared to the more-than $100,000 price tag for the equipment GARF was currently funding.

His father was intrigued. Louis asked Bruce if he himself might be up to the task of programming such a machine. Bruce boasted no formal training in computer science, although he had worked intensively with computers in high school, and taught himself both PDP-8 assembly language and BASIC. “Sure,” he responded to his father’s query with “the chutzpah of a newly minted graduate who had no immediate job prospects.”

During his world tour, Bruce Rosenblum continued to work on the Sinotype III project, including on notepaper from New Delhi. Courtesy of Louis Rosenblum Papers, Stanford University Special Collections.

In June 1981, Bruce had a formal meeting in New York with Bill Garth, Prescott Low, and his father Louis, to present his Sinotype III proposal. Bruce dressed for the part, arriving in a three-piece suit. In Bruce’s formal proposal, he cited a total of $7,500 in hardware costs, with an additional $5,000 for programming fees. The plan promised a Chinese word processor, running on an Apple II, delivered in approximately four months’ time. If this worked, it would reduce the cost of such a machine by an order of magnitude.

Bruce got the job and went on to program Sinotype III from June to November 1981, balancing time between this and his full-time job as a tour guide for the National Park Service at Independence Hall in Philadelphia. During daytime breaks he would write out assembly code by hand, transcribing it at night. When Labor Day in 1981 came, and Bruce’s tour guide job ended, he dedicated two months straight to finishing the code, and delivered it to GARF.

Memory hacking 

The first problem that GARF and the Rosenblums faced was that of computer memory. Developers of early Chinese personal computers explored every available option in their effort to juice as much memory as possible out of their systems. We will explore two strategies in particular, sometimes employed in isolation, but often in concert: Adaptive Memory and Chinese Character Cards.

The Sinotype III system comprised five components: a Sanyo DM5012CM 12-inch monitor; an Epson MX-70 printer; a Corvus 10 MB “Rigid Disk Storage” for storing the Chinese character bitmap database and their corresponding “descriptor codes”; an Apple Disk Drive “for storage of text files”; and the Apple II itself.

Out of the box, the Apple II came with 32K of RAM, extensible to 48K on the motherboard. “We maxed that out even before the Apple II left the store,” Bruce Rosenblum remarked by email to me. 48K of memory was still far too little for his purposes, however, and so Bruce opted for what, at the time, was a fully standard modification, commonly employed by so-called “power users” of the era: namely, to insert an additional 16K memory card in Slot 0, thereby bringing the total available memory to 64K. 

Even this was too little, however. “I needed more RAM to store a full encoding system,” he said, “and also the 16-by-16 bitmaps for the 100 most frequent ideographs.”

He began to explore a “mod” of the Apple II that few if any others had tried before. “Somehow,” he said, “I figured out I could put a second 16k board in slot 2 of the Apple II, and that gave me a total of 80k.” “Completely non-standard,” he continued, “but it worked with off-the-shelf components.”

This modification pushed the machine past its own limitations, however. The 6502 microprocessor on the Apple II was only capable of accessing 64K of memory directly—meaning that, even with the additional 16K Bruce had managed to bootstrap in with the second memory board, there was simply no built-in way for the Apple II to simultaneously access these additional addresses in memory. So “non-standard” was this mod that, when he told an Apple engineer about it during one of his many conversations, the Apple rep was shocked—he had never heard of, or thought of, doing such a thing. 

To enable the Apple II to access 80K of memory, rather than just 64K, Bruce dispensed with the out-of-the-box operating system and programmed his own in assembly language. Key to his custom-designed program was the possibility of “selecting between two banks of 16K that overlap each other.” In other words, although only 64K worth of memory locations would be accessible at any one instant, by rapidly oscillating between the two memory expansion cards, he could in effect trick the computer into accessing both at speeds that, from the perspective of the user, would have been negligible. That squeezed 25 percent more memory out of the system, enabling the inclusion of perhaps as many as 400 more Chinese characters in on-board memory.

Bruce delivered the final code to GARF the week before Thanksgiving, and then set out on a world backpacking tour that would take him across Europe and Asia. From this point on, development of Sinotype III would be largely in the hands of Louis Rosenblum and GARF, although Bruce continued to serve as a consultant, exchanging frequent correspondence with his father from wherever in Europe, China, India, or elsewhere he found himself at the moment.

Speeding toward real-time Chinese typing

Even with his ingenious mod, however, Louis and Bruce estimated that a mere 600 to 1000 Chinese characters would be able to fit in on-board memory. When accounting for the size of Sinotype III’s operating system, program applications, and the memory requirements of each Chinese character, the vast majority of Chinese characters in the machine’s lexicon would need to be stored somewhere else, whether on floppy disks, an external hard drive, or via some other hardware solution. 

Sinotype III Computer Monitor. Courtesy of Louis Rosenblum Papers, Stanford University Special Collections.

Early on, Bruce briefly contemplated using PROM (Programmable Read-Only Memory) chips—but this idea quickly revealed itself to be a dead end. Circa 1981 and 1982, the largest PROM chips on the market maxed out at 2K of memory, which translated into a mere 28 to 51 Chinese characters. In order to store 7,000 Chinese characters in this fashion, then, Bruce would have needed either 138 or 250 PROM chips. “That’s a lot of chips,” he remarked.

Bruce then considered the possibility of storing characters on floppy disks. This, too, proved unworkable, not only because of the large number of disks it would have required, but also the slow access and retrieval speeds involved in fetching character bitmaps from floppy drive storage. GARF opted instead for a third solution: to outfit Sinotype III with an external hard drive, which at the time was an almost unheard-of microcomputer accessory. In order to overcome the profound memory limitations, GARF would store thousands of lower-frequency Chinese characters “off-site” in the system’s external hard drive: a 10 MB Corvus “Rigid Disk Storage.”

This had negative implications for the operating speed of Sinotype III, however. Within the space-time continuum of computing, in which most operations take place at blazing sub-second speeds, hard drives were cumbersome beasts. Particularly at this time, they relied on rigid magnetic disks—“platters”—that rotated within the device, not unlike a record player. The contents of various “tracks” were read by a head, similar to how the grooves on a record are read by the needle. Retrieval speeds depended upon the location of the head, and the particular rotational position of the disk at the moment of the retrieval request. Not unlike arriving at the stop to find that the bus has just departed, one had no option except to wait until the bus came back around again.

In concrete terms, retrieval times for Chinese characters stored on the hard drive were 10 times slower than those stored in RAM. Specifically, the retrieval time for those Chinese characters stored in RAM could be achieved in approximately 100 milliseconds per character—a unit of time imperceptible by human cognition. As for the characters stored in external storage, however, the input of any of these characters required as much as a full second to access and retrieve—a unit of time well within the threshold of human perception.

A one-second input time would have proven devastatingly slow within the context of mid-1980s personal computing, where users in English-language contexts were quickly becoming accustomed to real-time typing. In addition, one second is, obviously, ten times as long as 100 milliseconds, meaning that the average user would be able to feel this differential each and every time he or she wished to input lower-frequency characters.

In order to mitigate this problem, Louis Rosenblum hit upon an idea which he referred to as “adaptive temporary storage.” Sinotype III would be able to adjust the set of characters stored in RAM depending upon what the user had recently inputted. Upon initial boot, Sinotype III’s on-board RAM would be outfitted only with a predetermined set of high-frequency characters. The inputting of any hard-drive-based infrequent character would take up to one second, as noted above. However, “as each of the less frequent ideographs is keyboarded,” he explained in a letter at the time, “its code and dot matrix pattern will be noted in the random access memory.” In other words, such characters would be temporarily copied from the hard drive to on-board RAM cache, thereby reducing subsequent retrieval times.

Internal GARF document showing Sinotype III character database and metadata. Courtesy of Louis Rosenblum Papers, Stanford University Special Collections.

Chinese-on-a-Chip

Even with recourse to toggling and adaptive memory, there remained many thousands of characters that fell beyond the limits of such strategies. While high-frequency Chinese characters accounted for a large percentage of overall usage, the production of any kind of technical or specialist content would have certainly brought the user repeatedly into the “off-site” repository of Chinese characters. More of these “low-frequency” characters needed to be brought “on-site” if the experience of Chinese computing was ever going to approach the same feeling of instantaneity enjoyed by English-language counterparts. 

Engineers in the late 1970s and early 1980s began to explore a different hardware solution, referred to as “Chinese Character Cards” (Hanka), “Chinese Cards” (Zhongwenka), “Chinese Character Generators,” “Chinese Font Generators” (Hanzi zimo fashengqi) or, as one article delightfully referred to them, “Chinese-on-a-Chip.” Much like memory cards and graphic cards, “Chinese character cards” were designed to be installed directly into motherboard expansion slots. Hardwired into these cards were thousands of Chinese bitmaps and input encodings. In effect, they served the same role as an external hard drive, but at far faster speeds and with more reliable performance. 

“Chinese-on-a-chip” cards were not the focus of research at GARF. Rather, they grew out of the earlier era of custom-designed Chinese systems, all prior to the personal computing revolution. These included systems such as the Ideographix IPX, by Chan Yeh, and the Olympia 1011, which were outfitted with microprocessors whose sole purpose was the generation of character bitmaps and the storage of input descriptors. On the Olympia 1011 Chinese word processor—basically a single-purpose electric Chinese typewriter—one of the three Intel 8085 processors was dedicated exclusively to Chinese character generation.

During the early 1980s, such character generators were commoditized and turned into saleable products themselves. No longer did one need to buy a full-fledged word processor, such as the Olympia 1011, to gain access to this kind of on-board character generator. Instead, one could purchase a “Chinese Character Card” and then install it on one’s personal computer of choice. 

Among the earliest centers of Chinese computing to focus on Chinese Character Cards was Tsinghua University, where researchers developed an early card capable of storing approximately 6,000 Chinese bitmap patterns in 32-by-32 dot matrix format. By the mid- and late-1980s, there were dozens of different “Hanka” on the market, manufactured and marketed by companies across Japan, China, Taiwan, Hong Kong, the United States and elsewhere.

By the mid- and late-1980s, the “Chinese-on-a-chip” approach became so important and common that practically all computers boasting Chinese or Japanese-language capabilities featured a character generator card of one sort or another.

Thus, from the 1950s with Caldwell’s Sinotype to the duo father-son Rosenblum team and GARF around Sinotype III in the 1980s, solving the memory problems associated with Chinese characters was the linchpin to opening the Chinese market to computing. Hacking computers with more memory, creating adaptive memory algorithms for prioritizing characters, and building dedicated hardware bridged the problem and initiated the computer revolution in China.

Yet, the next step was how to expand beyond the computer itself to everything that might connect to it. In part two of this series, coming up shortly on TechCrunch, our discussion will continue with a deep-dive into the challenges of designing and programming early computer monitors, printers, and other peripherals capable of handling Chinese text output. 

News: Zomato’s $100 million investment to turn Grofers into a unicorn

Indian food delivery giant Zomato, which is working to explore the public markets later this year, has reached an agreement to invest $100 million in online grocer Grofers for about 10% stake in the seven-year-old startup, according to a source and multiple others familiar with the matter. The proposed investment values Grofers, which counts SoftBank

Indian food delivery giant Zomato, which is working to explore the public markets later this year, has reached an agreement to invest $100 million in online grocer Grofers for about 10% stake in the seven-year-old startup, according to a source and multiple others familiar with the matter.

The proposed investment values Grofers, which counts SoftBank as its largest investor, at over $1 billion. (Indian regulator, the Competition Commission of India, needs to approve the investment.) Zomato’s proposed investment is part of a broader round, in which others including Tiger Global and SoftBank Vision Fund 2 are expected to chip in some capital. Zomato said it had no comment.

The leadership teams at Grofers and Zomato have long been close friends and began exploring this investment earlier this year. Both the firms are also open to the idea of Zomato acquiring a majority stake in Grofers in the coming quarters, though a decision hasn’t been reached and won’t be fully explored until Zomato becomes a publicly traded company, the source told TechCrunch.

Zomato, which acquired Uber’s Indian food delivery business early last year, has told some of its major investors that it envisions a future where the Gurgaon-based firm has expanded much beyond the food delivery category, the source said, requesting anonymity as the talks are private.

Grofers operates an online grocery delivery service in India. The startup has witnessed a sharp surge in its popularity in the past year as several Indian states enforced strict lockdown restrictions to contain the spread of the virus. The startup competes with BigBasket, which recently sold its majority stake to Indian conglomerate Tata Group.

The Indian online grocery market has seen a new player emerge in the past one year, Reliance Industries, India’s most valuable firm. Reliance, which operates the largest retail chain in India, last year launched JioMart.

“JioMart’s growth is a testament to its already loyal customer base, 80% of whom are repeat shoppers. JioMart New commerce’s aim is to transform and grow the small merchant ecosystem, so our merchant partners prosper. Over the past year, over 300,000 merchant or shopkeeper partners across 150 cities were enabled and empowered to transform their businesses both physically and digitally,” said Mukesh Ambani, the chairman of Reliance Industries, earlier this month.

In a note to clients earlier this year, Bank of America analysts estimated that the online grocery delivery market could be worth $12 billion in India by 2023.

“Competition is high in the sector with large verticals like BigBasket/Grofers and horizontal like Amazon/Flipkart trying to convert the unorganized market to organized one. Till recently the No 1 player in the space was BigBasket, with it hitting $1 billion annualized GMV & selling over 300,000 orders every day. Reliance Industries also threw its hat with the company launching its JioMart app in May-20 across 200 cites,” they wrote.

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