Market Analysis & Industry News

MoPub has released an analysis that forecasts mobile ad rates will fall by 24% from $0.76, compared to $0.58 as a result of Apple’s prohibition of UDIDs and the impact on ad tracking. link

ComScore released Android tablet market share data indicating the Kindle Fire has 54.4% share, the Galaxy Tab has 15.4% share and the Xoom is at 7%. In two months, the Kindle Fire has won a majority market share marking the first ecosystem in which a non-Google powered market place has dominant share in a sector. link

Good Technology reports 90% of device activations are iOS devices in a subset of their customers, indicating the iOS ecosystem is making significant strides in the enterprise. link

Former TiVo executives released a study on changes in cable viewership in homes with Netflix. In homes with Netflix, Nickelodeon suffers 11% ratings drops for particular shows and 6% channel-wide. Less popular channels like AMC witnessed ratings increases as a result of Netflix. link

Product Releases

Google has released Google Drive, a Dropbox competitor, with 5GB of free storage and $5/month for $100GB. link Dropbox has matched the free storage offer since Google Drive’s launch. link Google Drive was immediately blocked in China, by the government to room for Baidu and others. link

PayNearMe, a service that allows customers to pay online services with cash at a nearby 7-11, has launched a mobile app that no longer requires a receipt. link Separately, Walmart launched cash for online transactions this week. link

Aol launched a TV network called Aol On that powers 14 channels to 57M customers. The content will be delivered on demand and will compete directly with Hulu. link

Company Announcements

Facebook updated its S-1 with Q1 results. Revenue in Q1 reached $872M, down from $943M in Q4’11 but up from $637M Q1’11. link

Apple announced a tremendous quarter with 35M iPhones sold, 12M iPads sold. 67M iPads have been sold to date. iCloud reported 125M users. iTunes revenue increased to 25% to $1.9B. link. According to NPD, 33% of US homes have at least one Apple product and the average Apple home has 2.4 devices. One in four iPad purchases are made by first-time Apple owners. link

Image credit: asymco

Zynga revenue increased to $321M (+32% y/y) and posted a loss of $85.4M due to compensation expenses. Net of stock expenses, the company would have reported $47M in net income. Monthly users increased to 3.5M (+25%) but average bookings per user is fell by one cent to $0.051. link

Instagram for Android notches 10m downloads in 22 days. Instagram’s user base totals 50m. link

NPD forecasts smart phone shipment value will reach $219B this year with Apple and Samsung each commanding 25% share. Apple and Samsung were the only two manufacturers to increase market share in Q4. link

Tor Books, an imprint of MacMillan books, is the first publishing house to abandon DRM on its eBooks. Rumors are circulating that 2 other major publishing houses may pursue the same path. link

WordPress, the open source blogging platform,  projects $45M in revenue in 2012 according to the CEO. link

A leaked Spotify recruitment deck revealed the service has 18M users. link In January, the company revealed it has 3M paying subscribers, about 30% of its active user base. link This implies 50% of users are inactive on the service and 16% convert to paid.

YouTube Is 27% Of Mobile Video Traffic In N. America, Netflix Just 2%|YouTube Is 27% Of Mobile Video Traffic In N. America, Netflix Just 2% | TechCrunch link

Square announced the company is processing $5B in annualized payment volume, up 25% in 2 months. link

IBM has selected Cloudera as its commercial Hadoop distribution partner of choice. link


IBM has acquired Vivisimo, an enterprise search company, for an undisclosed amount. link

VMware bought Cetas, a Hadoop analytics company founded by Paul Maritz, for an undisclosed amount.  link

Intuit purchased Demandforce, a provider of SaaS scheduling and marketing software for SMBs, for $424M. link


Company Description Investment Investors
SendHub SendHub provides simple messaging solutions that enable businesses, educators, healthcare workers, and others to send texts to individuals and groups of any size. 2.0 Menlo Ventures; Social Leverage, LLC; Misty Bronze Investments Limited; Kapor Capital; 500 Startups
DoubleDutch, Inc. DoubleDutch, Inc. provides mobile, cloud-based, geosocial applications for events and enterprise workgroups 2.0 FLOODGATE; Bullpen Capital
Ditto.com Inc. Ditto.com provides a visual mechanism to search the web using pictures instead of text. 3.0 August Capital
Locu, Inc. Locu, Inc. develops a repository of real-time small-business data 4.0 General Catalyst Partners; SV Angel; Lowercase Capital; Lightbank LLC; Quotidian Ventures
Ark.com, Inc. Ark.com operates a people search service. 4.2 Charles River Ventures; Greylock Partners; CrossLink Capital, Inc.; salesforce.com, inc (NYSE:CRM); Intel Capital; IT-Farm Corporation; Tencent Holdings Ltd. (SEHK:700); Argent Ventures, LLC; Felicis Ventures LLC; Transmedia Capital LLC; Andreessen Horowitz; SV Angel; Lightbank LLC
Freshdesk, Inc. Freshdesk, Inc. provides a customer support solution 5.0 Accel Management Co, Inc.; Tiger Global Management LLC
Citrus Lane, Inc. Citrus Lane, Inc. operates as an e-commerce company that helps parents to discover baby products and share information 5.1 Greylock Partners; GGV Capital
Metamarkets Group, Inc. Metamarkets Group, Inc. provides big data analytics as a service. 15.0 Khosla Ventures; True Ventures; IA Ventures
Liazon Corporation Liazon Corporation provides consumer-centric employee benefit services to small business employers in the United States. 18.2 Bessemer Venture Partners; Rand Capital SBIC, L.P; Beacon Bioventures; Bain Capital Ventures
ParAccel, Inc. ParAccel, Inc. provides analytic database solutions and services. 20.0 Amazon.com Inc. (NasdaqGS:AMZN); Bay Partners, LLC; Menlo Ventures; Mohr Davidow Ventures; Walden International; Tao Venture Capital Partners
SingleHop, Inc. SingleHop, Inc. provides dedicated server and cloud hosting services 27.5 Battery Ventures; American Chartered Bank
The Chernin Group, LLC The Chernin Group, LLC, through its subsidiaries, produces feature films and television programs. 200.0 Providence Equity Partners LLC