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Market Analysis & Industry News

50% of US mobile subscribers use smart phones according to a March Nielsen study. Android has 48% share to Apple’s 32%. Smartphone use skews toward the 25 to 34 user base with 66% penetration. link

According to a study by FreeWheel, the XBox 360 and the iPad each generate about 28% of professional web video views on non-PC/Mac devices, underscoring the strength the gaming consoles have on the living room.  link

The FTC has imposed a 20 year privacy assessment on MySpace after the regulatory body found the company in breach of its privacy policy. MySpace was actively providing advertisers with personally identifiable information among other user data which the company actively provided to advertisers. link

A recent report found 452 crowdfunding platforms are in operation. In the past year, $1.5B has been raised on these platforms across 1M campaigns (about $1500 per campaign). There  are three different types of platforms: equity, debt and donation. Donation platforms are the largest with $680M raised. Debt platforms are in second place at $550M. Equity raises totaled $270M but had the highest average yield with 80% of campaigns raising more than $25k.   link

The Chinese venture capital market is contracting rapidly. Deal volume fell 40% y/y and dollars invested fell 56%, as the broader Chinese economy slows. link

Kindle sales are slowing according to the E-Ink supplier to Amazon’s black and white Kindle. Some financial models forecast a 75% drop in q/q sales from 7M to 1.8M. link

Forrester forecasts tablets will grow at a 48% CAGR and reach 375M sold by 2016. The average life of a tablet is 3 years in their model. link

Video game sales fell 42% y/y according to NPD, after falling 35% in March and 20% in February. link

Product Releases

Facebook announced App Center, a cross platform HTML5 application store that will feature free and paid applications, in a move that will position the company to compete directly with Apple and Google. Facebook Credits will be the major payment mechanism. link

Adobe launched Creative Cloud, a SaaS version of their immensely successful Creative Suite. For between $30 to $75 per month, users may access any of the CS toos.  link

Google has begun to integrate Google Plus into GMail in its continued effort to drive activity on its young social network. In addition the company released a new iOS application to wide design acclaim. link

Mobile payments company Dwolla has released a settlements platform to compete with ACH. The new platform doesn’t charge fees for clearing payments and the company has 12 financial institutions using the platform. link

Apple will deploy OpenSteetMap in its iOS6 release, replacing Google’s mapping tools. link

Company Announcements

GroupOn announced 170M GroupOns sold, 33M active customers and 250,000 merchants. 30% of GroupOn transactions now occur on mobile devices, up from 25% 4 months ago.  link

Box announced 11M users of its enterprise storage platform. link

78M US Facebook users spent on average 441 minutes per month on the mobile site, compared to 391 minutes on the web in April, according to comScore, marking the first time mobile usage exceeded web. link

Google Play has surpassed 15B downloads on its app store compared to 25B for the iTunes store. link

Storm8, the mobile gaming company, announced 300M downloads across 100M unique devices. link

More video is uploaded to YouTube in one month than the 3 major US TV networks created in 60 years. link

Pandora announced 150M US users, 100M of which use the service on mobile devices. Pandora has recorded an 87% increase in hours of music y/y.  link

Talent

Scott Thompson will resign his CEO post at Yahoo after an activist shareholder revealed Thompson had misrepresented his academic credentials. link

Liquidity

LegalZoom filed for an IPO with $156M in ttm revenue (+37% y/y) and $12M in net income. The company has served 2M customers. link

Financings

Company Description Investment Investors
Echoecho Media, Inc. Echoecho Media, Inc. provides a location-based mobile application for finding friends in the world. 0.75 PROfounders Capital; Bullpen Capital
Senzari, Inc. Senzari, Inc. offers a web-based radio service offering personalized music recommendations. 1.0 500 Startups
Flint Mobile, Inc. Flint Mobile operates a mobile payment platform. 3.0 Storm Ventures Inc.; True Ventures
Stipple, Inc. Stipple, Inc. enables publishers to label, share, and monetize the content in the photos on their Websites or blogs. 5.0 Kleiner, Perkins, Caufield & Byers; Thomvest Ventures, Inc.; Parkview Ventures LLC; FLOODGATE; Quest Venture Partners LLC; Relevance Capital
Drawbridge, Inc. Drawbridge, Inc. offers mobile advertising solutions. 6.5 Kleiner, Perkins, Caufield & Byers; Sequoia Capital
Future Simple Inc. Future Simple Inc. offers PipeJump, a CRM and sales tracking application to take control over sales, as well as manage and track contacts, leads, and sales. 6.8 Index Ventures; OCA Venture Partners, LLC; Chicagoland Entrepreneurial Center, Investment Arm; The Social+Capital Partnership
Base Base operates a cross-platform CRM service targeted to SMBs. 6.8 Index Ventures; OCA Venture Partners, LLC; Chicagoland Entrepreneurial Center, Investment Arm; The Social+Capital Partnership
Mixpanel, Inc. Mixpanel, Inc. provides an API based real-time analytics service for companies to understand how users interact with Web applications. 10.25 Andreessen Horowitz
Adaptly, Inc. Adaptly, Inc., a social media advertisement buying company, provides a buying platform in various social networks for agencies to provide social Web advertising. 10.5 Valhalla Partners; Time Warner Investments; First Round Capital
Belly Inc. Belly Inc. operates a loyalty and rewards platform for small and medium sized businesses. 12.03 Andreessen Horowitz
OcuSpec Inc. OcuSpec Inc. develops motion controlled technology. OcuSpec Inc. is based in San Francisco, California. 12.75 Highland Capital Partners; The Founders Fund; SOSventures; Andreessen Horowitz
Elemental Technologies, Inc. Elemental Technologies, Inc. designs and develops video processing solutions. 13.0 Norwest Venture Partners; Voyager Capital; General Catalyst Partners; Steamboat Ventures, LLC
session M, Inc. session M, Inc. develops a mobile application tool that drives advertising engagement. 20.0 Charles River Ventures; Highland Capital Partners; Kleiner, Perkins, Caufield & Byers
RichRelevance, Inc. RichRelevance, Inc. provides personalized product recommendation solutions for the eCommerce sites. 20.0 Draper Fisher Jurvetson; Greylock Partners; CrossLink Capital, Inc.; Tugboat Ventures
Coupa Software Incorporated Coupa Software Incorporated provides on-demand solutions that control and streamline purchasing and expense management in large and small organizations globally. 22.0 Battery Ventures; El Dorado Ventures; Mohr Davidow Ventures; BlueRun Ventures; CrossLink Capital, Inc.
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2 thoughts on “Weekly Tech News for May 14, 2012

  1. Wow that was unusual. I just wrote an extremely long comment but after I
    clicked submit my comment didn’t appear. Grrrr… well I’m not writing all that over again.
    Anyway, just wanted to say wonderful blog!

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