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Friday, May 7, 2021

Longevity startup Gero AI has a mobile API for quantifying health changes

{rss:content:encoded} Longevity startup Gero AI has a mobile API for quantifying health changes https://ift.tt/3tzWGO4 https://ift.tt/3eXtAmi May 07, 2021 at 10:34PM

Sensor data from smartphones and wearables can meaningfully predict an individual’s ‘biological age’ and resilience to stress, according to Gero AI.

The ‘longevity’ startup — which condenses its mission to the pithy goal of “hacking complex diseases and aging with Gero AI” — has developed an AI model to predict morbidity risk using ‘digital biomarkers’ that are based on identifying patterns in step-counter sensor data which tracks mobile users’ physical activity.

A simple measure of ‘steps’ isn’t nuanced enough on its own to predict individual health, is the contention. Gero’s AI has been trained on large amounts of biological data to spots patterns that can be linked to morbidity risk. It also measures how quickly a personal recovers from a biological stress — another biomarker that’s been linked to lifespan; i.e. the faster the body recovers from stress, the better the individual’s overall health prognosis.

A research paper Gero has had published in the peer-reviewed biomedical journal Aging explains how it trained deep neural networks to predict morbidity risk from mobile device sensor data — and was able to demonstrate that its biological age acceleration model was comparable to models based on blood test results.

Another paper, due to be published in the journal Nature Communications later this month, will go into detail on its device-derived measurement of biological resilience.

The Singapore-based startup, which has research roots in Russia — founded back in 2015 by a Russian scientist with a background in theoretical physics — has raised a total of $5 million in seed funding to date (in two tranches).

Backers come from both the biotech and the AI fields, per co-founder Peter Fedichev. Its investors include Belarus-based AI-focused early stage fund, Bulba Ventures (Yury Melnichek). On the pharma side, it has backing from some (unnamed) private individuals with links to Russian drug development firm, Valenta. (The pharma company itself is not an investor).

Fedichev is a theoretical physicist by training who, after his PhD and some ten years in academia, moved into biotech to work on molecular modelling and machine learning for drug discovery — where he got interested in the problem of ageing and decided to start the company.

As well as conducting its own biological research into longevity (studying mice and nematodes), it’s focused on developing an AI model for predicting the biological age and resilience to stress of humans — via sensor data captured by mobile devices.

“Health of course is much more than one number,” emphasizes Fedichev. “We should not have illusions about that. But if you are going to condense human health to one number then, for a lot of people, the biological age is the best number. It tells you — essentially — how toxic is your lifestyle… The more biological age you have relative to your chronological age years — that’s called biological acceleration — the more are your chances to get chronic disease, to get seasonal infectious diseases or also develop complications from those seasonal diseases.”

Gero has recently launched a (paid, for now) API, called GeroSense, that’s aimed at health and fitness apps so they can tap up its AI modelling to offer their users an individual assessment of biological age and resilience (aka recovery rate from stress back to that individual’s baseline).

Early partners are other longevity-focused companies, AgelessRx and Humanity Inc. But the idea is to get the model widely embedded into fitness apps where it will be able to send a steady stream of longitudinal activity data back to Gero, to further feed its AI’s predictive capabilities and support the wider research mission — where it hopes to progress anti-ageing drug discovery, working in partnerships with pharmaceutical companies.

The carrot for the fitness providers to embed the API is to offer their users a fun and potentially valuable feature: A personalized health measurement so they can track positive (or negative) biological changes — helping them quantify the value of whatever fitness service they’re using.

“Every health and wellness provider — maybe even a gym — can put into their app for example… and this thing can rank all their classes in the gym, all their systems in the gym, for their value for different kinds of users,” explains Fedichev.

“We developed these capabilities because we need to understand how ageing works in humans, not in mice. Once we developed it we’re using it in our sophisticated genetic research in order to find genes — we are testing them in the laboratory — but, this technology, the measurement of ageing from continuous signals like wearable devices, is a good trick on its own. So that’s why we announced this GeroSense project,” he goes on.

“Ageing is this gradual decline of your functional abilities which is bad but you can go to the gym and potentially improve them. But the problem is you’re losing this resilience. Which means that when you’re [biologically] stressed you cannot get back to the norm as quickly as possible. So we report this resilience. So when people start losing this resilience it means that they’re not robust anymore and the same level of stress as in their 20s would get them [knocked off] the rails.

“We believe this loss of resilience is one of the key ageing phenotypes because it tells you that you’re vulnerable for future diseases even before those diseases set in.”

“In-house everything is ageing. We are totally committed to ageing: Measurement and intervention,” adds Fedichev. “We want to building something like an operating system for longevity and wellness.”

Gero is also generating some revenue from two pilots with “top range” insurance companies — which Fedichev says it’s essentially running as a proof of business model at this stage. He also mentions an early pilot with Pepsi Co.

He sketches a link between how it hopes to work with insurance companies in the area of health outcomes with how Elon Musk is offering insurance products to owners of its sensor-laden Teslas, based on what it knows about how they drive — because both are putting sensor data in the driving seat, if you’ll pardon the pun. (“Essentially we are trying to do to humans what Elon Musk is trying to do to cars,” is how he puts it.)

But the nearer term plan is to raise more funding — and potentially switch to offering the API for free to really scale up the data capture potential.

Zooming out for a little context, it’s been almost a decade since Google-backed Calico launched with the moonshot mission of ‘fixing death’. Since then a small but growing field of ‘longevity’ startups has sprung up, conducting research into extending (in the first instance) human lifespan. (Ending death is, clearly, the moonshot atop the moonshot.) 

Death is still with us, of course, but the business of identifying possible drugs and therapeutics to stave off the grim reaper’s knock continues picking up pace — attracting a growing volume of investor dollars.

The trend is being fuelled by health and biological data becoming ever more plentiful and accessible, thanks to open research data initiatives and the proliferation of digital devices and services for tracking health, set alongside promising developments in the fast-evolving field of machine learning in areas like predictive healthcare and drug discovery.

Longevity has also seen a bit of an upsurge in interest in recent times as the coronavirus pandemic has concentrated minds on health and wellness, generally — and, well, mortality specifically.

Nonetheless, it remains a complex, multi-disciplinary business. Some of these biotech moonshots are focused on bioengineering and gene-editing — pushing for disease diagnosis and/or drug discovery.

Plenty are also — like Gero —  trying to use AI and big data analysis to better understand and counteract biological ageing, bringing together experts in physics, maths and biological science to hunt for biomarkers to further research aimed at combating age-related disease and deterioration.

Another recent example is AI startup Deep Longevity, which came out of stealth last summer — as a spinout from AI drug discovery startup Insilico Medicine — touting an AI ‘longevity as a service’ system which it claims can predict an individual’s biological age “significantly more accurately than conventional methods” (and which it also hopes will help scientists to unpick which “biological culprits drive aging-related diseases”, as it put it).

Gero AI is taking a different tack toward the same overarching goal — by honing in on data generated by activity sensors embedded into the everyday mobile devices people carry with them (or wear) as a proxy signal for studying their biology.

The advantage being that it doesn’t require a person to undergo regular (invasive) blood tests to get an ongoing measure of their own health. Instead our personal device can generate proxy signals for biological study passively — at vast scale and low cost. So the promise of Gero’s ‘digital biomarkers’ is they could democratize access to individual health prediction.

And while billionaires like Peter Thiel can afford to shell out for bespoke medical monitoring and interventions to try to stay one step ahead of death, such high end services simply won’t scale to the rest of us.

If its digital biomarkers live up to Gero’s claims, its approach could, at the least, help steer millions towards healthier lifestyles, while also generating rich data for longevity R&D — and to support the development of drugs that could extend human lifespan (albeit what such life-extending pills might cost is a whole other matter).

The insurance industry is naturally interested — with the potential for such tools to be used to nudge individuals towards healthier lifestyles and thereby reduce payout costs.

For individuals who are motivated to improve their health themselves, Fedichev says the issue now is it’s extremely hard for people to know exactly which lifestyle changes or interventions are best suited to their particular biology.

For example fasting has been shown in some studies to help combat biological ageing. But he notes that the approach may not be effective for everyone. The same may be true of other activities that are accepted to be generally beneficial for health (like exercise or eating or avoiding certain foods).

Again those rules of thumb may have a lot of nuance, depending on an individual’s particular biology. And scientific research is, inevitably, limited by access to funding. (Research can thus tend to focus on certain groups to the exclusion of others — e.g. men rather than women; or the young rather than middle aged.)

This is why Fedichev believes there’s a lot of value in creating a measure than can address health-related knowledge gaps at essentially no individual cost.

Gero has used longitudinal data from the UK’s biobank, one of its research partners, to verify its model’s measurements of biological age and resilience. But of course it hopes to go further — as it ingests more data. 

“Technically it’s not properly different what we are doing — it just happens that we can do it now because there are such efforts like UK biobank. Government money and also some industry sponsors money, maybe for the first time in the history of humanity, we have this situation where we have electronic medical records, genetics, wearable devices from hundreds of thousands of people, so it just became possible. It’s the convergence of several developments — technological but also what I would call ‘social technologies’ [like the UK biobank],” he tells TechCrunch.

“Imagine that for every diet, for every training routine, meditation… in order to make sure that we can actually optimize lifestyles — understand which things work, which do not [for each person] or maybe some experimental drugs which are already proved [to] extend lifespan in animals are working, maybe we can do something different.”

“When we will have 1M tracks [half a year’s worth of data on 1M individuals] we will combine that with genetics and solve ageing,” he adds, with entrepreneurial flourish. “The ambitious version of this plan is we’ll get this million tracks by the end of the year.”

Fitness and health apps are an obvious target partner for data-loving longevity researchers — but you can imagine it’ll be a mutual attraction. One side can bring the users, the other a halo of credibility comprised of deep tech and hard science.

“We expect that these [apps] will get lots of people and we will be able to analyze those people for them as a fun feature first, for their users. But in the background we will build the best model of human ageing,” Fedichev continues, predicting that scoring the effect of different fitness and wellness treatments will be “the next frontier” for wellness and health (Or, more pithily: “Wellness and health has to become digital and quantitive.”)

“What we are doing is we are bringing physicists into the analysis of human data. Since recently we have lots of biobanks, we have lots of signals — including from available devices which produce something like a few years’ long windows on the human ageing process. So it’s a dynamical system — like weather prediction or financial market predictions,” he also tells us.

“We cannot own the treatments because we cannot patent them but maybe we can own the personalization — the AI that personalized those treatments for you.”

From a startup perspective, one thing looks crystal clear: Personalization is here for the long haul.

 

Juul inventor’s Myst lands funding as institutional investors turn to China’s e-cigs

Over the past several years, institutional investors had largely shied away from China’s e-cigarette makers, an industry that was teeming with shoddy workshops and lacked regulatory oversight. But investors’ attitude is changing as China sets in motion its strictest-ever regulation on electronic cigarettes.

Myst Labs, a Chinese e-cigarette maker co-founded in 2019 by Chenyue Xing, a chemist who was part of the team at Juul that invented nicotine salts, a key ingredient in vaping, recently raised “tens of thousands of dollars” from a Series B funding round. The financing was led by its existing investor, IMO Ventures. Thomas Yao, CEO and another co-founder of Myst, is a founding partner of IMO Ventures.

In March, one of China’s top tech policy makers published a set of draft rules that would bring e-cigarettes under the same regulatory scope as traditional tobacco, which means vaping companies will need licenses for production, wholesale and retail operations in the world’s largest manufacturer and exporter of e-cigarettes.

These changes will deal a blow to small producers with poor quality control, leaving the industry with a handful of established and compliant players, Fang Wang, head of marketing at Myst, told TechCrunch.

For one, standardizing production is costly, Li said. From ceramic coils, to batteries, to fragrance, every component and ingredient of a vape will need to meet stringent requirements. E-cigarette companies will also need to pay tobacco taxes, an important source of tax revenue for the Chinese government.

The other challenge is how to lower nicotine content. Many current products on the market have a relatively high nicotine concentration at 3-5%, so if China is in line with the European Union standard of 1.7%, many small brands will be forced out of business because they lack the know-how to produce low-nicotine vapes that still satisfy users’ crave, suggested Li.

“We’ve received a lot of investor interest in the past few months. Before that, professional, institutional investors often avoided e-cigarette companies, but they are showing more willingness now as regulations take shape,” Li added.

Myst declined to list its other investors but said they include high-profile individuals involved in the e-bike sharing company Lime, Facebook and the bitcoin industry.

Most of Myst’s current sales are from China, where it has opened 600 stores and plans to reach a footprint of 1,000 stores in the next few quarters. Overseas, the startup has a retail footprint in Malaysia, Russia, Canada and the United Kingdom, where it’s selling in over 30 shopping malls and a few hospitals through its distribution partner, Ecigwizard.

The new funding will allow Myst to further expand its sales network and strengthen its research and development. The company prides itself on its product containing 1.7% nicotine, which it claims can deliver the effect of a 3% counterpart. At her lab, Xing is currently working on e-liquids with “natural tobacco contents” and without organic acids, additives that allow nicotine salts to vaporize and be absorbed.

Myst is still a relatively small player compared to China’s market dominator Relx, which went public in New York earlier this year and is applying for a license to sell in the U.S. But Yao is optimistic about Myst’s future. Vaping, he said, is one of the fastest-growing consumer categories in China. Myst’s recent sales are tripling every three months.

“In other consumer areas, you rarely see a top player commanding 60-70% of the market, so there is still a lot of room for the top 10 players to grow,” the CEO said.



https://ift.tt/eA8V8J Juul inventor’s Myst lands funding as institutional investors turn to China’s e-cigs https://ift.tt/3nVQmPp

SoftBank leads $15M round for China’s industrial robot maker Youibot

SoftBank has picked its bet in China’s flourishing industrial robotics space. Youibot, a four-year-old startup that makes autonomous mobile robots for a range of scenarios, said it has notched close to 100 million yuan ($15.47 million) in its latest funding round led by SoftBank Ventures Asia, the Seoul-based early-stage arm of the global investment behemoth.

In December, SoftBank Ventures Asia led the financing round for another Chinese robotics startup called KeenOn, which focuses on delivery and service robots.

Youibot’s previous investors BlueRun Ventures and SIG also participated in the round. The startup, based in Shenzhen where it went through SOSV’s HAX hardware accelerator program, secured three financing rounds during 2020 as businesses and investors embraced industrial automation to minimize human contact. Youibot has raised more than 200 million yuan to date.

Founded by a group of PhDs from China’s prestigious Xi’an Jiaotong University, Youibot develops solutions for factory automation and logistics management, as well as inspection and maintenance for various industries. For example, its robots can navigate around a yard of buses, inspect every tire of the vehicles and provide a detailed report for maintenance, a feature that helped it rack up Michelin’s contract.

Youibot’s “strongest suits” are in electronics manufacturing and electric power patrol, the company’s spokesperson told TechCrunch.

The startup is also seeing high growth in its semiconductor business, with customers coming from several prominent front-end wafer fabs, which use the firm’s robots for chip packaging, testing and wafer production. Youibot declined to disclose their names due to confidentiality.

Chinese clients that it named include CRRC Zhuzhou, a state-owned locomotive manufacturer; Huaneng Group, a state-owned electricity generation giant; Huawei and more. China currently comprises 80% of Youibot’s total revenues, while overseas markets are rapidly catching up. The firm’s revenues tripled last year from 2020.

Youibot plans to spend the fresh proceeds on research and development in its mobile robots and proprietary software, team building and market expansion.



https://ift.tt/eA8V8J SoftBank leads $15M round for China’s industrial robot maker Youibot https://ift.tt/3f1elsp

To buy time for a failing startup, recreate the engineering process

In non-aerobatic fixed-wing aviation, spins are an emergency. If you don’t have spin recovery training, you can easily make things worse, dramatically increasing your chances of crashing. Despite the life-and-death consequences, licensed amateur pilots in the United States are not required to train for this. Uncontrolled spins don’t happen often enough to warrant the training.

Startups can enter the equivalent of a spin as well. My startup, Kolide, entered a dangerous spin in early 2018, only a year after our Series A fundraise. We had little traction and we were quickly burning through our sizable cash reserves. We were spinning out of control, certain to hit the ground in no time.

Kolide had a lot going for it that enabled me to recover the company, but by far the most important was that we recognized we were in a spin very early, and we had enough cash remaining (and therefore sufficient time) to execute a recovery plan.

All spins start with a stall — a reduction in lift when either the aircraft is flying too slowly or the nose is pointed too high. In Kolide’s case, we were doing both.

First, we raised too much money too fast. In order to justify the post-money valuation that came with the raise, we set unattainable goals. To make matters worse, we lacked the confidence in our product and strategy, so we developed our solution with hesitancy, underspending in critical areas. As a result, we were flying too steep and too slow. We stalled.

If a stall isn’t corrected promptly, a spin can develop. Flat spins are one of the worst. Once the flat spin starts, there are a number of techniques experienced pilots should perform to recover the aircraft. Nearly all of these techniques require a critical resource, altitude — or, put another way, time.

Just like amateur pilots, startup CEOs don’t receive spin recovery training. When Kolide was spinning out of control, the vast majority of the advice I received was to cut our losses and sell the company or return the money to the investors.

At the time, I didn’t find any promising examples of companies with these same problems successfully recovering; I found only smoldering wreckage. By February 2019, my co-founders departed.

Despite this tell-tale sign of imminent demise, I was ultimately able to recover and put us on track for a great fundraise. Here’s how I recreated the engineering process.

Buying time

Kolide had a lot going for it that enabled me to recover the company, but by far the most important was that we recognized we were in a spin very early, and we had enough cash remaining (and therefore sufficient time) to execute a recovery plan. Even waiting just a few more months would have likely changed the outcome.



https://ift.tt/eA8V8J To buy time for a failing startup, recreate the engineering process https://ift.tt/3vLhDab

GajiGesa, a fintech focused on Indonesian workers, adds strategic investors and launches new app for micro-SMEs

GajiGesa, a fintech startup that provides earned wage access (EWA) and other services for workers in Indonesia, has added strategic investors to help it launch new services and expand its user base. Its new backers include OCBC NISP Ventura, the venture capital arm of one of Indonesia’s largest banks, and the founders of grab-and-go coffee chain Kopi Kenangan. GajiGesa also recently expanded beyond the enterprise space with a new employee management system for SMEs and micro-SMEs. Called GajiTim, the app is aimed at businesses with between five to 100 workers and has gained more than 50,000 active users since it was launched in mid-March.

The amount of GajiGesa’s latest funding was undisclosed. The startup, launched last year by husband-and-wife team Vidit Agrawal and Martyna Malinowska, announced a $2.5 million seed round led by Defy.vc and Quest Ventures in February. Over the last quarter, GajiGesa’s enterprise customer base has doubled to more than 60 companies, representing tens of thousands of workers.

GajiGesa is part of a new wave of startups focused on digitizing the 60 million small businesses in Indonesia. Others include digital bookkeeping apps like BukuWarung and BukuKas for very small businesses, including neighborhood stores; Moka and Jurnal for larger companies; and CrediBook, which focuses on B2B businesses.

Before starting GajiGesa, Agrawal’s experience included serving as Uber’s first employee in Asia, while Malinowska was former product lead at Standard Chartered’s SC Ventures and alternative credit-scoring platform LenddoEFL. They created GajiGesa to give workers an alternative to payday and other high-interest lenders by allowing them to access their earned wages immediately, instead of waiting for semi-monthly or monthly paychecks. (Other companies that offer similar services around the world include Square, London-based Wagestream and Gusto). Based on a recent survey, GajiGesa said more than 75% of workers at companies that use its EWA feature have stopped using informal lenders for short-term needs.

The founders of Kopi Kenangan, the grab-and-go coffee chain backed by investors like Sequoia Capital India, Alpha JWC and Horizons Ventures, have become prolific angel investors in other startups, and their network will help GajiGesa onboard more employers, Agrawal told TechCrunch. Its strategic partnership with Bank OCBC NISP, meanwhile, will help it launch more services.

GajiGesa co-founders Vidit Agrawal and Martyna Malinowska

GajiGesa co-founders Vidit Agrawal and Martyna Malinowska. Image Credits: GajiGesa

“One thing we are realizing is that a lot of employees who use the earned wage aspect of GajiGesa are expecting more kinds of products, either a loan product or an insurance product, and that’s where an opportunity arises to partner with a bank,” Agrawal told TechCrunch. About two-thirds of Indonesia’s population is “unbanked,” meaning they don’t have a bank account, so this also gives Bank OCBC NISP a chance to onboard new customers.

“Having a bank as a partner allows us to structure the right interest rate, the right size of products and create a larger impact,” said Malinowska.

GajiGesa does not charge interest rates or require collateral, as users are pre-approved by their employers. Instead, companies can decide to charge fees or offer GajiGesa as part of a benefits package. When a worker withdraws money, GajiGesa asks why they are using the Earned Wage Access feature, and presents that data to companies in an anonymized and aggregated format.

This allows employers to see what needs their work base has and potentially develop new benefits. For example, one of the top three reasons workers use EWA is to pay medical bills. “This is a strong signal to an employer that if you’re trying to retain employees, especially a blue-collar employee, even a basic insurance product might be very attractive for the family,” said Agrawal.

GajiGesa also discovered that many workers, especially in Tier 2 to Tier 3 cities, use its EWA to fund family businesses instead of taking out loans for working capital.

“A lot of families in Indonesia often have one member working in a factory with fixed salaries, and they have micro-industries at home, for example making wafers or stickers to sell in their communities or online,” said Agrawal. “They were going to loan sharks previously or private lenders for very expensive rates so they can run their business, and now the family member who is working in a factory can withdraw capital to support the family business so they don’t need to go to loan sharks.”

GajiTim was launched because the startup saw many inbound inquiries from SMEs, like restaurants, small factories and general stores, that have a lot of part-time workers. These businesses often rely on paper systems, including punch time cards, to track working hours and calculate paychecks. But this often results in disputes, so having an app that counts working hours and earned wages in real time gives workers more transparency and helps companies save time. GajiTim also has access to GajiGesa’s flagship EWA service and allows it to bring more clients onto the platform.

 



https://ift.tt/3eZoWUR GajiGesa, a fintech focused on Indonesian workers, adds strategic investors and launches new app for micro-SMEs https://ift.tt/2PUW6MQ

Tiger Global is betting that more schools are going to share future student earnings

Income-share agreements, or ISAs, are a way to bring flexibility to the often steep financial costs of higher education. The financial model allows a student to learn at zero upfront cost, and then pay any costs through a percentage of future income over time.

While the model has caught fire from a variety of trade schools and bootcamps, it’s a hard service to offer at scale. It required underwriting a risky group of people — and that costs money. Just last week, a leader in the ISA space Lambda School laid off 65 employees amid a broader restructuring.

It’s here that a startup like Blair, which graduated Y Combinator in 2019, could be of use. The startup today helps universities finance and offer income-share agreements, or ISAs, to students. The startup has two services: a capital arm (Blair Capital) for which it secured a $100 million debt facility, and a services arm (Blair Servicing) that helps manage the flow of money, which just got a new tranche of capital to expand

The company told TechCrunch that it has raised a $6.3 million round led by Tiger Global. Other investors include Rainfall and 468 Capital, along with angels such as Teachable’s Ankur Nagpal and Vouch’s Sam Hodges. The raise came on top of a $1.1 million pre-seed round, bringing Blair’s total capital raised to date at $7.4 million.

A big portion of the venture capital money will go toward doubling or tripling Blair’s San Francisco team, said CEO Mike Mahlkow. It is especially investing in engineering and product, as well as a few senior hires in finance, compliance and the service side.

The Blair founding team.

Notably, Blair’s eight person team is fully male. The lack of gender diversity, even as an early-stage startup with a handful of employees, could hurt its competitive advantage, recruiting prospects, and and performance over time. About 25 percent of the employees are LGBT and 27.5% identify as non-white.

Blair started as a tool to underwrite students with loans that would pay for college, a sum that would eventually be repaid through an income-share agreement. It was similar to an Affirm for Education, where it could help students get access with low or nonexistent upfront costs.

“The model worked very well until March last year,” Mahlkow said. “And then the debt market was fairly dead, so we needed to shift our focus to a more software-like approach.” Now, Blair focuses on building ISA-based programs for schools, and underwrites loans based on certain programs at certain schools that have historical returns.

Most companies use its servicing piece — aka an operating system for offering ISAs — but a number of companies turn to Blair to help finance the costs of offering an ISA. Either colleges and bootcamps finance the ISA themselves and put it on the balance sheet, or they sell it to a company like Blair to get the money upfront and get repaid eventually.

Blair Servicing takes a percent of money from an ISA once a student is employed post-graduation, and Blair Capital takes a base fee plus a portion for the ISA as well.

While the company did not share exact numbers, it did say it has doubled its customers since February, tripling revenue during the same time period. Of course, a bet from the ever-ravenous Tiger Global is a statement. And, unlike his new investor, Mahlkow plans to keep growth sustainable and lean. Long-term, Blair is betting that outcome-based financing could get traction in more than just a savvy startup bootcamp but in how recruiting and placement works in various industries. The startup is in talks with a sports association and large companies that are working on upskilling and reskilling their workforces. Incentives are key in edtech, and Blair speaking that language as an early-stage startup is key as the sector moves more into the spotlight.



https://ift.tt/2StT0Ah Tiger Global is betting that more schools are going to share future student earnings https://ift.tt/3bcxiaK

5 investors discuss the future of RPA after UIPath’s IPO

Robotic process automation (RPA) has certainly been getting a lot of attention in the last year, with startups, acquisitions and IPOs all coming together in a flurry of market activity. It all seemed to culminate with UiPath’s IPO last month. The company that appeared to come out of nowhere in 2017 eventually had a final private valuation of $35 billion. It then had the audacity to match that at its IPO. A few weeks later, it still has a market cap of over $38 billion in spite of the stock price fluctuating at points.

Was this some kind of peak for the technology or a flash in the pan? Probably not. While it all seemed to come together in the last year with a big increase in attention to automation in general during the pandemic, it’s a market category that has been around for some time.

RPA allows companies to automate a group of highly mundane tasks and have a machine do the work instead of a human. Think of finding an invoice amount in an email, placing the figure in a spreadsheet and sending a Slack message to Accounts Payable. You could have humans do that, or you could do it more quickly and efficiently with a machine. We’re talking mind-numbing work that is well suited to automation.

In 2019, Gartner found RPA was the fastest-growing category in enterprise software. In spite of that, the market is still surprisingly small, with IDC estimates finding it will reach just $2 billion in 2021. That’s pretty tiny for the enterprise, but it shows that there’s plenty of room for this space to grow.

We spoke to five investors to find out more about RPA, and the general consensus was that we are just getting started. While we will continue to see the players at the top of the market — like UiPath, Automation Anywhere and Blue Prism — jockeying for position with the big enterprise vendors and startups, the size and scope of the market has a lot of potential and is likely to keep growing for some time to come.

To learn about all of this, we queried the following investors:

  • Mallun Yen, founder and partner, Operator Collective
  • Jai Das, partner and president, Sapphire Ventures
  • Soma Somasegar, managing director, Madrona Venture Group
  • Laela Sturdy, general partner, CapitalG
  • Ed Sim, founder and managing partner, Boldstart Ventures

We have seen a range of RPA startups emerge in recent years, with companies like UiPath, Blue Prism and Automation Anywhere leading the way. As the space matures, where do the biggest opportunities remain?

Mallun Yen: One of the fastest-growing categories of software, RPA has been growing at over 60% in recent years, versus 13% for enterprise software generally. But we’ve barely scratched the surface. The COVID-19 pandemic forced companies to shift how they run their business, how they hire and allocate staff.

Given that the workforce will remain at least partially permanently remote, companies recognize that this shift is also permanent, and so they need to make fundamental changes to how they run their businesses. It’s simply suboptimal to hire, train and deploy remote employees to run routine processes, which are prone to, among other things, human error and boredom.

Jai Das: All the companies that you have listed are focused on automating simple repetitive tasks that are performed by humans. These are mostly data entry and data validation jobs. Most of these tasks will be automated in the next couple of years. The new opportunity lies in automating business processes that involve multiple humans and machines within complicated workflow using AI/ML.

Sometimes this is also called process mining. There have been BPM companies in the past that have tried to automate these business processes, but they required a lot of services to implement and maintain these automated processes. AI/ML is providing a way for software to replace all these services.

Soma Somasegar: For all the progress that we have seen in RPA, I think it is still early days. The global demand for RPA market size in terms of revenue was more than $2 billion this past year and is expected to cross $20 billion in the coming decade, growing at a CAGR of more than 30% over the next seven to eight years, according to analysts such as Gartner.

That’s an astounding growth rate in the coming years and is a reflection of how early we are in the RPA journey and how much more is ahead of us. A recent study by Deloitte indicates that up to 50% of the tasks in businesses performed by employees are considered mundane, administrative and labor-intensive. That is just a recipe for a ton of process automation.

There are a lot of opportunities that I see here, including process discovery and mining; process analytics; application of AI to drive effective, more complex workflow automation; and using low code/no code as a way to enable a broader set of people to be able to automate tasks, processes and workflows, to name a few.

Laela Sturdy: We’re a long way from needing to think about the space maturing. In fact, RPA adoption is still in its early infancy when you consider its immense potential. Most companies are only now just beginning to explore the numerous use cases that exist across industries. The more enterprises dip their toes into RPA, the more use cases they envision.

I expect to see market leaders like UiPath continue to innovate rapidly while expanding the breadth and depth of their end-to-end automation platforms. As the technology continues to evolve, we should expect RPA to penetrate even more deeply into the enterprise and to automate increasingly more — and more critical — business processes.

Ed Sim: Most large-scale automation projects require a significant amount of professional services to deliver on the promises, and two areas where I still see opportunity include startups that can bring more intelligence and faster time to value. Examples include process discovery, which can help companies quickly and accurately understand how their business processes work and prioritize what to automate versus just rearchitecting an existing workflow.



https://ift.tt/eA8V8J 5 investors discuss the future of RPA after UIPath’s IPO https://ift.tt/3usMaJA

Thursday, May 6, 2021

Bitski raises $19 million from a16z to become the ‘Shopify for NFTs’

For every crypto-skeptic that sees NFTs as yet another hype bubble, there’s an acolyte who sees NFTs as the key to unlocking the future of the creative web.

Bitski, an SF-based startup that builds custom NFT storefronts for brands and creators, is banking on the latter, and they have new investors betting the same. The startup tells TechCrunch they’ve raised $19 million in a Series A led by Andreessen Horowitz. The firm joins a host of creators and celebrities — including Jay-Z, MrBeast, Serena Williams and 3LAU — in backing the startup.

The NFT space has gotten awfully crowded lately, riding a wave of investor hype and billions of dollars’ worth of transactions in the past several months. While the high-dollar artwork sold by artists like Beeple and exclusive crypto communities like CryptoPunks have been hotbeds of activity, founders like those behind Bitski believe that these blockchain-backed digital goods are going to inspire a massive transformation in how artists, influencers and brands monetize their online popularity.

Bitski is aiming to allow mainstream brands and celebrities to bypass the crypto complexity of early marketplaces, hoping to give customers like early partner Adidas an on-ramp to the NFT world that’s more approachable to consumers who understand digital items but might not have fully bought into crypto. The startup sells creators a variety of subscription plans to power custom NFT storefronts that they can sell through as their own channel rather than pushing users to wide-ranging marketplaces. 

There are plenty of arguments among builders and users of NFT platforms surrounding which elements of a service should be blockchain-based and which should default to more time-honed e-commerce flows. Bitski often errs on the side of user familiarity, allowing credit card purchases on the platform, “forgot your password” functionality and user wallets hosted on Bitski’s own server hardware. They’re controversial onboarding choices that won’t satisfy crypto purists and decentralization advocates but will likely help new users get acquainted with NFTs quickly.

With the company’s Series A closed, Bitski has raised some $23.4 million to date.



https://ift.tt/eA8V8J Bitski raises $19 million from a16z to become the ‘Shopify for NFTs’ https://ift.tt/3nQ446C

Diginex launches ESG reporting platform aimed at small businesses

As ESG reporting goes up the agenda for large companies, it’s also increasingly doing so for smaller companies as well. But right now, tracking things like your company’s CO2 emissions is mainly the preserve of large corporations. Now a startup hopes to address this.

Diginex Solutions has a self-guided tool which claims to generate ESG reports six times faster than competitors, and comes in at a relatively affordable $99 per month.

The blockchain-enabled reporting tool also generates reports, giving companies the ability to demonstrate their ESG creds.

DiginexESG is certified by the GRI, an international independent standards organization, and now operates in the U.S., U.K., Luxembourg, Hong Kong, Singapore and Chile. It is currently raising venture backing largely from strategic corporate investors.

Competitors include Turnkey Group, Nasdaq OneReport, Enablon (which has raised $15 million) and World-favour.

Mark Blick, CEO at Diginex Solutions said, “The current landscape of ESG reporting is challenging for many organizations — particularly SMEs — requiring huge consultancy fees, time and resources that distracts from day-to-day activity. The DiginexESG platform quite simply takes away those challenges and does all the heavy lifting for them. It’s like DocuSign, Dropbox, TurboTax or Slack hardcoded for ESG reporting.”



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Expressable launches with millions for scalable speech therapy

Speaking isn’t simple for at least 40 million Americans, so a new Austin-based startup is scaling a solution. Expressable is a digital speech therapy company that connects patients to speech language pathologists (SLP) via telehealth services and asynchronous support, and it has raised a new $4.5 million seed round.

The early-stage startup is launching with an explicit focus on serving the approximately five million children in the United States that have a communication disorder. What might start as an occasional stutter could turn into a communication disorder over time — so the startup is looking to intervene early to get kids on a clearer path.

Launched in 2019 by married co-founders Nicholas Barbara and Leanne Sherred, Expressable has served thousands of families to date. Today, the duo announced its seed funding, co-led by Lerer Hippeau and NextView Ventures, with participation from Amplifyher Ventures. The money will be used to expand its provider network, go in-network, and focus on its edtech service.

What it does

Put simply, Expressable connects children to speech-language pathologists on a recurring basis. The therapy is done live via Zoom for Healthcare with licensed professionals that Expresssable employs full-time. Clients are matched with a therapist in their area of need, from public speaking to vocal cord paralysis. Parents are able to reach their children’s SLP through secure SMS for coordination, questions, and rescheduling throughout the week.

On top of real-time support, the virtual speech therapy provider has a suite of asynchronous services. The company is building an e-learning platform with homework assignments and lessons, prescribed by the therapist and provided via SMS, for parents to do with their children to reinforce the speech care plans.

The activities are meant to be bite-sized – used when driving to the grocery store or cooking dinner or playing in the backyard – and tailored for interaction with children. The lessons can be as simple as creating opportunities for a kid to ask for juice, or to practice two-word utterances with an imitation game.

A mock secure SMS by Expressable. Image Credits: Expressable

This unique edtech bit of Expressable leans heavily on parent involvement in the therapy process. Parental help has been shown to increase positive outcomes, but notably it could also leave low-income, working class families out of the mix. Its price, on average, is $59 per week, and that’s currently only out of pocket rather than subsidized by insurance.

“There’s a lot of content for speech language pathologists by speech language pathologists, but not a lot of content by [SLPs] for parents, written in a way that is consumable,” Barbara said. “It just felt like a huge opportunity and market gap.”

Part of Expressable’s value is that it’s better than the status quo, which surprisingly often actually amounts to nothing. According to the National Institute on Deafness and Other Communication Disorders, about 8 to 9% of children have a speech sound disorder in the country — but only half actually get treatment. What might start as an occasional stutter could turn into a communication disorder over time — so Expressable wants to intervene early to get kids on the right path.

“Public schools are the number-one provider for pediatric speech but they are unfortunately notoriously underfunded,” said Sherred. Children who are lucky enough to be eligible for school services are often provided them in a group setting, she continued, which lengthens the amount of time it takes to make progress.

Sherred witnessed the “incredibly frustrating cycle” created by gaps in school intervention first-hand as a SLP. She has spent the majority of her career in in-home health, where she would work in homes and daycares directly with children.

The majority of Expressable’s user base are children, but about 35% are adults, signaling how speech issues can continue past childhood.

Meagan Loyst, who sourced the Expressabble deal for Lerer Hippeau, is one example. Lloyst was diagnosed with a speech and voice condition in late 2020 and needed to find remote SLP therapy, which introduced her to the challenges of finding a high-quality specialized SLP.

“Before Expressable, there was no consumer-facing brand out there solving these pain points for individuals with communications disorders,” Loyst said. “It’s evident that they’re already hiring the best SLPs out there, bringing parents and education into the process to focus on better outcomes for children, and doing so in a cost-effective and convenient way through virtual care.”

Telehealth with a twist

While telehealth usage remains above pre-pandemic levels, visits are on the decline. One challenge for any digital telehealth startup, Expressable included, is how to make a convincing pitch for moving caretaking fully-virtual in a post-pandemic context.

The Expressable co-founders pointed toward consistency, both internally and externally, as a competitive advantage.

First, speech therapy is a recurring service that many patients use once a week, every month, for years. “A lot of other telemedicine plays are these quick, convenient, and direct primary care,” Barbara said. “[We are] a longer tail of treatment plan that requires a close relationship between provider and patient.”

Second, unlike many telehealth startups, Expressable has hired its specialists full-time as W-2 employees. It’s a strategic choice to help ensure to its clients that their SLP of choice is a long-term relationship. The startup has 50 W-2 SLPs currently.

“We have built a career path for SLPs and a value proposition to speech language pathologists where they can work from home, set their own hours [get] paid above the national average, and then receive benefits that may not be obviously not common if you’re working in a contractor position.”

Not relying on the traditional contractor model might be a differentiation, but it’s also a challenge. The startup will have to rapidly (and efficiently) hire SLPs for the variety of speaking conditions out there – and in order to expand into new markets, it has to go through the arduous legal process of local licensing requirements, instead of just going to a white-label solution that helps staff similar companies while offloading individual practitioner certification.

While it has ambitions to become a national practice, Expressable currently operates in 15 states, and employs SLPs that are licensed in all the states that it operates in.

Update May 6, 2021: Meagan Loyst’s name was corrected.



https://ift.tt/3nUAPja Expressable launches with millions for scalable speech therapy https://ift.tt/3b6o2Vu

Following Apple’s launch of privacy labels, Google to add a ‘safety’ section in Google Play

{rss:content:encoded} Following Apple’s launch of privacy labels, Google to add a ‘safety’ section in Google Play https://ift.tt/3tpe1cq https://ift.tt/33svs0R May 06, 2021 at 08:58PM

Months after Apple’s App Store introduced privacy labels for apps, Google announced its own mobile app marketplace, Google Play, will follow suit. The company today pre-announced its plans to introduce a new “safety” section in Google Play, rolling out next year, which will require app developers to share what sort of data their apps collect, how it’s stored, and how it’s used.

For example, developers will need to share what sort of personal information their apps collect, like users’ names or emails, and whether it collects information from the phone, like the user’s precise location, their media files or contacts. Apps will also need to explain how the app uses that information — for example, for enhancing the app’s functionality or for personalization purposes.

Developers who already adhere to specific security and privacy practices will additionally be able to highlight that in their app listing. On this front, Google says it will add new elements that detail whether the app uses security practices like data encryption; if the app follows Google’s Families policy, related to child safety; if the app’s safety section has been verified by an independent third party; whether the app needs data to function or allows users to choose whether or not share data; and whether the developer agrees to delete user data when a user uninstalls the app in question.

Apps will also be required to provide their privacy policies.

While clearly inspired by Apple’s privacy labels, there are several key differences. Apple’s labels focus on what data is being collected for tracking purposes and what’s linked to the end user. Google’s additions seem to be more about whether or not you can trust the data being collected is being handled responsibility, by allowing the developer to showcase if they follow best practices around data security, for instance. It also gives the developer a way to make a case for why it’s collecting data right on the listing page itself. (Apple’s “ask to track” pop-ups on iOS now force developers to beg inside their apps for access user data).

Another interesting addition is that Google will allow the app data labels to be independently verified. Assuming these verifications are handled by trusted names, they could help to convey to users that the disclosures aren’t lies. One early criticism of Apple’s privacy labels was that many were providing inaccurate information — and were getting away with it, too.

Google says the new features will not roll out until Q2 2022, but it wanted to announce now in order to give developers plenty of time to prepare.

Image Credits: Google

There is, of course, a lot of irony to be found in an app privacy announcement from Google.

The company was one of the longest holdouts on issuing privacy labels for its own iOS apps, as it scrambled to review (and re-review, we understand) the labels’ content and disclosures. After initially claiming its labels would roll out “soon,” many of Google’s top apps then entered a lengthy period where they received no updates at all, as they were no longer compliant with App Store policies.

It took Google months after the deadline had passed to provide labels for its top apps. And when it did, it was mocked by critics — like privacy-focused search engine DuckDuckGo — for how much data apps like Chrome and the Google app collect.

Google’s plan to add a safety section of its own to Google Play gives it a chance to shift the narrative a bit.

It’s not a privacy push, necessarily. They’re not even called privacy labels! Instead, the changes seem designed to allow app developers to better explain if you can trust their app with your data, rather than setting the expectation that the app should not be collecting data in the first place.

How well this will resonate with consumers remains to be seen. Apple has made a solid case that it’s a company that compares about user privacy, and is adding features that put users in control of their data. It’s a hard argument to fight back against — especially in an era that’s seen too many data breaches to count, careless handling of private data by tech giants, widespread government spying, and a creepy adtech industry that grew to feel entitled to user data collection without disclosure.

Google says when the changes roll out, non-compliant apps will be required to fix their violations or become subject to policy enforcement. It hasn’t yet detailed how that process will be handled, or whether it will pause app updates for apps in violation.

The company noted its own apps would be required to share this same information and a privacy policy, too.

 

Shauntel Garvey of Reach Capital will join us to judge this year’s Startup Battlefield

TechCrunch’s Startup Battlefield is one of the most popular parts of our annual TechCrunch Disrupt conference which is happening on September 21-23 this year. Now we’re very excited to reveal one of the fine people who will be judging Startup Battlefield at this year’s all-virtual event in September: Shauntel Garvey, a general partner at Reach Capital, a VC specializing in the world of education technology.

Startup Battlefield sees startups applying far and wide for a chance to pitch their ideas to a panel, and to all of us in the audience, giving the finalists a lot of exposure and a shot at winning the grand prize of $50,000. Startups: You can apply to be a part of the action here.

Edtech has seen a huge surge of interest in the last year of pandemic living, and that’s led to a pretty notable rise in education startups, more funding for education technology and a lot more attention paid to voices in edtech.

That’s because not only is edtech of huge importance to society and our economy, but those in the field have picked up a lot of learnings that apply well outside of edtech.

They know firsthand about engagement and how to get it; connecting with larger ecosystems of stakeholders; learning to work with public and private bodies; and the ins and outs of tapping into the latest innovations in areas like streaming, artificial intelligence and graphics to get the most out of a concept.

All of this makes Garvey a great person to have as a judge, someone with specific-area knowledge but very aware of how it relates to the wider challenges and opportunities in tech.

Garvey is a co-founder and general partner at Reach Capital, a Silicon Valley VC focused on the wider opportunity within the educational spectrum, backing the likes of ClassDojo, Springboard, Outschool, Handshake, Winnie and many more. Garvey herself currently sits on the boards of Riipen, FourthRev, Holberton School and Ellevation Education.

Her experience in edtech extends back years. Before Reach, she was a partner at the NewSchools Seed Fund and she has invested in more than 40 early-stage edtech companies, including Newsela, Nearpod and SchoolMint. She is also not all about edtech: Before turning to education and startups, Garvey trained and worked as a chemical engineer. We’re really looking forward to her input as a Startup Battlefield judge.

If you haven’t gotten your tickets yet, TechCrunch Disrupt is coming up around the corner, September 21-23. This will be our second year of having the conference in an all-virtual format, and we have a lot of great speakers, networking opportunities and other things planned — free of physical constraints, we can fly! — and we really hope you’ll join us.



https://ift.tt/eA8V8J Shauntel Garvey of Reach Capital will join us to judge this year’s Startup Battlefield https://ift.tt/3tqju2C

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