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Main article: Spain

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Maniv Mobility General Partner Olaf Sakkers is coming to TC Sessions: Mobility

02:49 | 14 February

In case you haven’t heard, TC Sessions: Mobility is back for second year. This one-day event, which will be held May 14 in San Jose, promises to feature some of best and brightest engineers, policymakers, investors, entrepreneurs and innovators, all of whom are vying to be a part of this new age of transportation.

Attendees of TC Sessions: Mobility can expect interviews with founders, investors and inventors, demos of the latest tech, breakout sessions, dozens of startup exhibits and opportunities to network and recruit.

We have announced several speakers for the event, including Klaus Zellmer, the president and CEO of Porsche Cars North America, Waymo’s  href="https://techcrunch.com/2020/01/08/tc-sessions-mobility-2020-boris-sofman-of-waymo-and-nancy-sun-of-ike/">Boris Sofman, Ike Robotics co-founder and chief engineer Nancy Sun, Trucks VC general partner Reilly Brennan and Shin-pei Tsay, director of policy, cities and transportation at Uber.

And now we have another star to add to our TC Sessions: Mobility list. TechCrunch is excited to announce that Olaf Sakkers, general partner at Maniv Mobility will be joining us on stage this year. Sakkers is a founding partner at Maniv Mobility, a global fund investing in mobility.

Maniv started out with a focus on transportation and mobility-related startups in Israel, with a few in investments in the U.S. It expanded its mission to the global stage, a move buoyed by a $100 million fund that it closed last July with backing from 12 corporations, including the venture arms of Aptiv, BMW, Hyundai, Lear Corp., LG Electronics, the Renault-Nissan-Mitsubishi Alliance, Shell and Valeo.

Maniv’s portfolio includes vehicle security company Owlcam, peer-to-peer car-sharing company Turo, teleoperations startup Phantom Auto, autonomous vehicle-focused chipmaker Hailo, shared electric moped company Revel, Spain-based car subscription startup Bipi and in-vehicle software management firm Aurora Labs.

Stay tuned to see who we’ll announce next.

And … $250 Early-Bird tickets are now on sale — save $100 on tickets before prices go up on April 9; book today.

Students, you can grab your tickets for just $50 here.

If you’re an early-stage, mobility startup, make sure you grab an exhibitor package to get your startup in front of today’s leading mobility leaders. Packages come with 4 tickets each and are just $2000. Book yours here.

 


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Sony latest phone maker to pull out of MWC over coronavirus outbreak

15:02 | 10 February

Japanese electronics firm Sony is the latest phone maker to announce it’s withdrawing from the Mobile World Congress (MWC) tradeshow — citing concerns about the coronavirus outbreak.

“As we place the utmost importance on the safety and wellbeing of our customers, partners, media and employees, we have taken the difficult decision to withdraw from exhibiting and participating at MWC 2020 in Barcelona, Spain,” Sony wrote in a press release.

MWC is due to take place in Barcelona between February 24-27.

Sony said it will now run a press conference planned for the event remotely, via its official Xperia YouTube channel, at the scheduled time of 8:30am (CET) on February 24.

“Sony would like to thank everyone for their understanding and ongoing support during these challenging times,” it added.

In recent days a number of companies have announced they’re pulling out or scaling back their presence at the conference as a result of concerns about the spread of the virus — including Amazon, Ericsson, LG, NVIDIA and ZTE.

The World Health Organization dubbed the emergence and spread of the novel coronavirus a global emergency late last month.

At the time of writing the majority of infections and deaths from the virus remain in China, where the virus was first identified — in the town of Wuhan in the Hubei province.

Several Chinese tech companies, including ZTE and Xiaomi, have said they will make changes to their participation in MWC related to coronavirus concerns, such as placing limits on staff travelling from China or requiring they self isolate in the period before attending.

Yesterday the organizers of MWC, the GSMA, also announced stringent rules to try to safeguard attendees, including a ban on travellers from Hubei and a requirement that all travellers who have been in China must be able to prove they have been outside the country 14 days prior to the event.

Attendees will also be required to self-certify they have not been in contact with anyone affected. Temperature screening will also be implemented at the event.

Last year the annual mobile tech conference drew almost 110,000 attendees, from 198 countries.

“While further planning is underway, we will continue to monitor the situation and will adapt our plans according to developments and advice we receive. We are contending with a constantly evolving situation, that will require fast adaptability,” the GSMA also said.

Attendance at MWC has regularly broken 100,000 in recent years but 2020’s conference seems likely to mark a break with business as companies face pressure to rethink their travel priorities.

 


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Glovo exits the Middle East and drops two LatAm markets in latest food delivery crunch

18:00 | 21 January

The new year isn’t even a month old and the food delivery crunch is already taking big bites. Spain’s Glovo has today announced it’s exiting four markets — which it says is part of a goal of pushing for profitability by 2021.

Also today, Uber confirmed rumors late last year by announcing it’s offloading its Indian Eats business to local rival Zomato — which will see it take a 9.99% stake in the Indian startup.

In other recent news Latin America focused on-demand delivery app Rappi announced 6% staff layoffs.

On-demand food delivery apps may be great at filling the bellies of hungry consumers fast but startups in this space have yet to figure out how to deliver push-button convenience without haemorrhaging money at scale.

So the question even some investors are asking is how they can make their model profitable?

Middle East exit

The four markets Glovo is leaving are Turkey, Egypt, Uruguay and Puerto Rico.

The exits mean its app footprint is shrinking to 22 markets, still with a focus on South America, South West Europe, and Eastern Europe and Africa.

Interestingly, Glovo is here essentially saying goodbye to the Middle East — despite its recent late stage financing round being led by Abu Dhabi state investment company, Mubadala. (It told us last month that regional expansion was not part of Mubadala’s investment thesis.)

Commenting on the exits in a statement, Glovo co-founder and CEO, Oscar Pierre, said: “This has been a very tough decision to take but our strategy has always been to focus on markets where we can grow and establish ourselves among the top two delivery players while providing a first-class user experience and value for our Glovers, customers and partners.”

Last month Pierre told us the Middle East looks too competitive for Glovo to expand further.

In the event it’s opted for a full exit — given both Egypt and Turkey are being dropped (despite the latter being touted as one of Glovo’s fastest growing markets just over a year ago, at the time of its Series D).

“Leaving these four markets will help us to further strengthen our leadership position in South West and Eastern Europe, LatAm and other African markets, and reach our profitability targets by early 2021,” Pierre added.

Glovo said its app will continue to function in the four markets “for a few weeks” after today — adding that it’s offering “support and advice to couriers, customers and partners throughout this transition”.

“I want to place on record our thanks to all of our Glovers, customers and partners in the markets from which we’re withdrawing for their hard work, dedication, commitment and ongoing support,” Pierre added.

The exits sum to Glovo withdrawing from eight out of a total 306 cities.

It also said the eight cities collectively generated 1.7% of its gross sales in 2019 — so it’s signalling the move doesn’t amount to a major revenue hit.

The startup disclosed a $166M Series E raise last month — which pushed the business past a unicorn valuation. Pierre told us then that the new financing would be used to achieve profitability “as early as 2021”, foreshadowing today’s announcement of a clutch of market exits.

Glovo has said its goal is to become the leading or second delivery platform in all the markets where it operates — underlining the challenges of turning a profit in such a hyper competitive, thin margin space which also involves major logistical complexities with so many moving parts (and people) involved in each transaction.

As food delivery players reconfigure their regional footprints — via market exits and consolidation — better financed platforms will be hoping they’ll be left standing with a profitable business to shout about (and the chance to grow again by gobbling up less profitable rivals or else be consumed themselves). So something of a new race is on.

Back in November in an on-stage interview at TechCrunch Disrupt Berlin, Uber Eats and Glovo discussed the challenges of turning a profit — with Glovo co-founder Sacha Michaud telling us he expects further consolidation in the on-demand delivery space. (Though the pair claimed there had been no acquisition talks between Uber and Glovo.)

Michaud said then that Glovo is profitable on a per unit economics basis in “some countries” — but admitted it “varies a lot country by country”.

Spain and Southern Europe are the best markets for Glovo, he also told us, confirming it generates operating profit there. “Latin America will become operation profitable next year,” he predicted.

Glovo’s exit from Egypt actually marks the end of a second act in the market.

The startup first announced it was pulling the plug on Egypt in April 2019 — but returned last summer, at the behest of its investor Delivery Hero (a rival food delivery startup which has a stake in Glovo), according to Michaud’s explanation on stage.

However there was also an intervention by Egypt’s competition watchdog. And local press reported the watchdog had ordered Glovo to resume operations — accusing it and its investor of colluding to restrict competition in the market (Delivery Hero having previously acquired Egyptian food delivery rival, Otlob).

What the watchdog makes of today’s announcement of a final bow out could thus be an interesting wrinkle.

Asked about Egypt, a Glovo spokesperson told us: “Egypt has been a very complex market for us, we were sad to leave the first time and excited to return when we did so last summer. However, our strategy has always been to be among the top two delivery players in every market we enter and have a clear path to profitability. Unfortunately, in Egypt there is not a clear path to profitability.”

Whither profitability?

So what does a clear path to profitability in the on-demand delivery space look like?

Market maturity/density appears to be key, with Glovo only operating in one city apiece in the other two markets it’s leaving, Uruguay and Puerto Rico, for example — compared to hundreds across its best markets, Spain and Italy, where it’s operating out of the red.

This suggests that other markets in South America — where Glovo similarly has just a toe-hold, of a single or handful of cities, and less time on the ground, such as Honduras or Panama — could be vulnerable to further future exits as the company reconfigures to try to hit full profitability in just around a year’s time.

But there are likely lots of factors involved in making the unit economics stack up so it’s tricky to predict.

Food delivered on-demand makes up the majority of Glovo’s orders per market but its app also touts being able to deliver ‘anything’ — from groceries to pharmaceuticals to the house keys you left at home — which it claims as a differentiating factor vs rival food-delivery-only apps.

A degree of variety also looks to be a key ingredient in becoming a sustainable on-demand delivery business — as scale and cross selling appear to where the unit economics can work.

Groceries are certainly a growing focus for Glovo which has been investing in setting up networks of dark supermarkets to support fast delivery of convenience style groceries as well as ready-to-eat food — thereby expanding opportunities for cross-selling to its convenience-loving food junkies at the point of appetite-driven (but likely loss-making) lunch and dinner orders.

Last year Michaud told us that market “maturity” supports profitability. “At the end of the day the more orders we have the better the whole ecosystem works,” he said.

While Uber Eats’ general manager for Northern and Eastern Europe, Charity Safford, also pointed to “scale” as the secret sauce for still elusive profits.

“Where we start to see more and more trips happening this is definitely where we see the unit economics improving — so our job is really to figure out all of the use cases we can put into people’s hands to get that application used as much as possible,” she said.

It’s instructive that Uber is shifting towards a ‘superapp’ model — revealing its intent last year to fold previously separate lines of business, such as rides and Eats, into a single one-stop-shop app which it began rolling out last year. So it’s also able to deliver or serve an increasing number of things (and/or services).

The tech giant has also been testing subscription passes which combine access to a range of its offerings under one regular payment. While Glovo launched a ‘Prime’ monthly subscription offering unlimited deliveries of anything its couriers can bike around for a fixed monthly cost back in 2018.

When it comes to the quest for on-demand profitability all roads so seem to lead to trying to become the bit of Amazon’s business that Amazon hasn’t already built out and swiped.

 


0

Spain’s Glovo grabs $166M Series E for its ‘deliver anything’ app

11:00 | 19 December

Spain’s Glovo, an on-demand delivery app platform which operates in Europe, LatAm and Africa delivering food but also other urban conveniences from groceries to pharmaceuticals, has bagged another €150 million (~$166M) in a fast-following Series E round led by Abu Dhabi state investment company, Mubadala.

The raise follows a €150M in Series D that was announced in April, and $134M in Series C in mid 2018. The total raised since the business was founded back in 2015 is now around $488M.

The Barcelona-based startup says the latest raise has pushed its valuation past $1BN — putting it into a very exclusive Spanish unicorn club, with the likes of ride-hailing giant Cabify. (Glovo reckons it’s only the second privately held business in the country to achieve such a valuation).

Co-founder Oscar Pierre would not disclose the exact valuation investors are putting on the business now — beyond publicly acknowledging the unicorn milestone. “We’ve decided not to disclose valuation,” he said. “Even internally, all these valuation things it’s not something we care a lot about… Crossing the billion, I guess, is something worth announcing but not more details.”

Glovo’s new investor, Mubadala, is investing from a $400M fund announced earlier this year for backing European startups — which is itself backed by Japanese conglomerate, Softbank. Mubadala was also a backer of Softbank’s Vision Fund. (And the latter has made some very big bets in the on-demand delivery space, ploughing funding into DoorDash in the US and Rappi in Colombia to name two.)

Asked whether Glovo sees opportunities for expansion in the Gulf region in light of Mubadala joining its investor roster, Pierre said: “It hasn’t been part of the thesis of investment — so we’re not linking it.”

Glovo’s market focus remains fixed on three core regions where it currently operates: South America, South West Europe, and Eastern Europe and Africa — the strategy having been to target regions where competitors hadn’t already established themselves as the go-to on-demand delivery platform.

“Middle East for us it seems already a bit too competitive to go now,” he told us. “All our expansion playbook has been focused on going first to markets… [or where our competitors] were a second player. And the online food delivery market in Middle East is very developed already.

“So, never say never, but short answer is we’re not planning in the short term to launch there.”

Speaking in an on stage interview at TechCrunch Disrupt Berlin last week, Glovo’s other co-founder, Sacha Michaud, suggested the hyper competitive on-demand food delivery market is set for more consolidation in the short term. Though he said Glovo’s team will be head down “aiming for profitability” — rather than looking to go shopping for growth by buying rivals (or indeed being bagged themselves).

Pierre also told us the focus for the business in 2020 — now flush with Series E cash — will be achieving profitability. He said it’s hoping to achieve that in a little over a year’s time.

“Our plan is to use this money to go fully profitable as a company during early 2021,” he told TechCrunch. “I think that’s quite realistic. Still with a very high growth. So we’re expecting more than 2x-2.5x growth during next year.”

“Today we operate in 26 markets. And many of them are still in early stage, and they’re still in investment phase so I think first of all we’re going to use this money to take most of our countries to the positive operational profit stage,” he went on. “Our model is one where during the first 18 months you need to invest in a city — because you need to build the right capillarity, the right efficiency to start generating positive profits.”

Glovo launched its service in around eight new countries during 2019, per Pierre.

Which means there’s plenty of investment that still needs to go in to those markets over the coming year to bring them up to the required density to tilt for profitability.

So it looks likely that it will step off the gas a little on its blistering pace of growth and market expansions next year — as it puts more effort on deepening its footprint to push for the scale required to tip into positive margins.

Although Pierre also suggested there “might be a few new countries” it will ride into next year — noting, too, that it will have a larger marketing budget in 2020 vs this year.

“The rate of new cities that we’re currently launching is very high. Probably every week we keep launching at least ten cities — Italy for example has already like 60 cities launched and we think we can go to more than 200 so there’s a lot of cities still to penetrate,” he said. “We’ve had very good results in some African or Eastern European countries like Ukraine, Kazakhstan, Georgia. And there’s some similar markets that we could go to. [There are also examples] in Africa, like Ivory Coast. It’s been a great success.”

“We do expect a lot,” he added. “2019 on relative terms [growth] was very high. It was like 3.5x. It’s very hard to maintain that growth with the current size that we have but it’s still going to be very high — it’s probably going to be 2x-2.5x”

A big chunk of Series E funding will be ploughed into expanding Glovo’s engineer team — with a plan to hire around 300 additional developers by mid 2020. This will build on the circa 150 devs it already employs in Barcelona and a new tech hub it’s building out in Warsaw.

As a whole the business employs 1,500+ staff at this point — not including the thousands of self-employed couriers (who it calls ‘Glovers’) who make the deliveries — but 2020 will see it significantly grow headcount, with both up to 300 more engineers being added and potentially even more hires related to running the ‘dark stores’ it’s planning to significantly ramp up next year too.

Asked why this on-demand delivery business is so tech intensive Pierre said it’s all about eking out small gains to reduce friction and yield incremental savings by automating and optimizing platform and UX interactions which — cumulatively — make the difference for this type of thin margins business.

“Overall there’s a lot of complexity in what we do. So we deliver anything in your city in 30 minutes. And in this 30 minutes you need to co-ordinate a lot of things. A lot of things have to go well, like the restaurant or the store has to receive well information, they need to receive well the preparation time to get that ready, of course all the logistics and all the routing and the despatching of the orders with the couriers needs to work very well, and then the front end for the user — it’s an industry where there’s a lot of competition and we’re all developing better and better features. So that also has to work out very well.”

“If we had 400 engineers there’s many more specialized [product] teams that we would build,” he added. “On the other end we are by definition a super high volume, low margin business — and next year we’re talking about doing more than 100M orders, maybe close to 200M orders next year. Which means that you optimize every single order by 20 cents, which seems nothing in a €20 basket, and you’re generating €40M extra and a bit there. And most of the efficiencies — they come through tech.”

Groceries will be the other big focus for Glovo in 2020, with Pierre noting the category is it’s second biggest, after food (i.e. restaurant meal) deliveries.

Since 2018 Glovo has experimented with opening a handful of so-called ‘dark stores’ in key cities — such as Madrid and Barcelona. These are delivery-pick-up-only warehouses for convenience store style grocery shopping — be it toothpaste, snacks or soft drinks — with stores strategically sited to ensure speedy delivery across a city.

It has around seven cities with dark stores operational now, according to Pierre. The plan is to launch over 100 more of these ‘Super Glovos’ (as it calls them) in 2020 — focusing on larger cities.

“We are building our own dark stores and it’s a model that we like a lot,” he told us. “We think it works everywhere. So far we have basically been rolling it out in our biggest cities. And we’re going to keep with that focus.

“What we’re very focused on now is making sure that the biggest cities, we have enough capillarity of dark stores to guarantee super fast delivery time. And for us super fast delivery time means 15 minutes. So that’s what we’re focusing on… Before launching more cities we’re very focused on how do we guarantee this 15 minute delivery time.”

As noted above, ramping up on groceries will also add headcount to the business. Pierre confirmed the stores are staffed by employees — and said between four to five people are needed per store to work as packers and store managers. So that’s potentially another 500 staff Glovo will be adding to its books next year.

It also partners with supermarket giant Carrefour to offer full supermarket shopping on-demand via the app in select markets. But it sees dark stores as supplementary to that partnership model — playing to the push-button convenience its business encourages.

And — again with an eye on profitability — providing opportunities for cross selling to bulk up order size.

The dark store play piggybacks on convenience, using the fixed delivery fee as a lever to encourage users to add a few more staple items to an urgent shopping need, because, well, they might feel bad if they shell out to just get a bottle of mixer brought to their door. (Super Glovos stock a limited range of items (<1,000 SKUs) to help keep delivery times down.)

“There’s a lot of people that order because they need something very urgently — like for tonight, and since they’re ordering maybe four or five items I think we do a pretty good job at cross-selling and adding more,” said Pierre. “So it’s pretty basic things but that people need… tonight, tomorrow and maybe the day after that. They don’t do the big basket.

“In Super Glovo you can find things like oranges, potatoes, bananas. We have started selling some meat in some markets — like simple burgers. Actually we tested selling Impossible Burgers in Barcelona. But most of it is not perishable — like 90%.”

“We believe that the best for the user is to have both,” he added, discussing dark stores vs supermarket partnerships. “To have a very fast, 15 minute, more like convenience option and also offer them maybe one or two great retailers, like Carrefour — maybe for larger baskets or for their unique brands. I think that’s the best user experience possible.”

Beyond food, courier services will be another area of product focus for Glovo in 2020, per Pierre.

“Surprisingly enough there’s a lot of people that use us for courier,” he said.” Like I forgot my keys or just send some documents from point A to point B. This is a service where we want to improve our product a lot because it does take a lot of orders.”

But that’s just about going to be the limit. He suggested Glovo will have limited resources to fully implement some of the other stuff it’s experimenting with (or has plans to) — as it works towards its overarching vision of becoming an ‘everything app’ for urbanities. Because thin margins like plentiful orders.

For example, he said it’s currently testing its own brand on-demand scooters in Argentina.

“Our users in Buenos Aires there’s 500 scooters — yellow painted Glovo scooters in the streets — and they can use them with the same Glovo account. It’s a test for us to learn about a new industry and stuff.”

“Here in Barcelona we are looking at the possibility to sell ticketing — like last minute tickets for cinema, for theatres, for football matches,” he added. “And of course sell digital tickets not printed tickets. So we like everything that gets the user closer to their city and makes it basically easier. And we’re going to be testing things but I think not rolling out, scaling massively.

“We have a mentality of testing things. But we don’t think we’re going to have resources during 2020 to do a full rollout.”

Asked what he sees as the end game for Glovo if, as he hopes, it achieves profitability in 2021– whether it’s an IPO or exit via acquisition — Pierre said the team is focused on staying independent, however that can be achieved.

“We’re very focused on that point where we can basically decide our future. More or less investor independent. I think we can reach that,” he suggested. “And then decide what we want to do. Glovo’s one of these projects that it’s so fun and there’s so much entrepreneurship in terms of launching new services and verticals. The reality is that’s, for us, very important — and we don’t see ourselves doing anything else.

“So I think our dream would be stay as independent. Maybe IPO. It’s a tool for us to give liquidation to all our shareholders and employees. But it’s not a goal per se. We have 18 months to be profitable, depend on us, and keep having a very big impact.”

 


0

Facebook acquires Madrid-based cloud gaming startup PlayGiga

09:51 | 19 December

Facebook has acquired PlayGiga, a Madrid-based cloud gaming startup. The company confirmed the deal to CNBC today, the week after Cinco Dias reported it was in talks to buy PlayGiga for about 70 million euros ($78 million).

PlayGiga was founded in 2013 and received Series A funding from Adara Ventures, according to Crunchbase. In May, CEO Javier Polo wrote on MCV Develop that the startup has been working with telcos to create streaming game technology for 5G, which will help tech companies to reach more mobile gamers. It also developed a gaming-as-a-service platform, using Intel’s Visual Cloud platform, that will enable telcos and communication service providers to offer streaming games to their customers.

The acquisition of PlayGiga follows Facebook’s announcement last month that it has agreed to buy Beat Games, developer of popular virtual reality title Beat Saber.

Facebook is building out its gaming business, which it claims now has more than 700 million monthly users, as it diversifies its revenue sources beyond online advertising. Earlier this year, the company added its Gaming hub to Facebook’s main navigation menu after originally launching it as a standalone app. The hub includes the livestreaming service it launched last year to compete with Twitch, Instant Games and posts from gaming-related pages.

The company also began selling Oculus Quest and Rift headsets earlier this year, after acquiring Oculus for $2 billion in 2014, and recently launched Facebook Horizon, a VR universe.

 


0

Disney+ to launch in India, Southeast Asian markets next year

09:25 | 14 November

Disney plans to bring its on-demand video streaming service to India and some Southeast Asian markets as soon as the second half of next year, two sources familiar with the company’s plans told TechCrunch.

In India, the company plans to bring Disney+’s catalog to Hotstar, a popular video streaming service it owns, after the end of next year’s IPL cricket tournament in May, the people said.

Soon afterwards, the company plans to expand Hotstar with Disney+ catalog to Indonesia and Malaysia among other Southeast Asian nations, said those people on the condition of anonymity.

A spokesperson for Hotstar declined to comment.

Hotstar leads the Indian video streaming market. The service said it had more than 300 million monthly subscribers during the IPL cricket tournament and ICC World Cup earlier this year. More than 25 million users simultaneously streamed one of these matches, setting a new global record.

The international expansion of Hotstar isn’t a surprise as it has entered the U.S., Canada, and the U.K. in recent years. In an interview with TechCrunch earlier this year, Ipsita Dasgupta, president of Hotstar’s international operations, said so far the company’s international strategy has been to enter markets with “high density of Indians.”

In an earnings call for the quarter that ended in June this year, Disney CEO Robert Iger hinted that the company, which snagged Indian entertainment conglomerate Star India as part of its $71.3 billion deal with 21st Century Fox, would bring Star India-operated Hotstar to Southeast Asian markets, though he did not offer a timeline.

Disney+, currently available in the U.S, Canada, and the Netherlands, will expand to Australia and New Zealand next week, and the U.K., Germany, Italy, France and Spain on March 31, the company announced last week.

Price hike

Disney, which debut its video streaming service in the U.S. this week and has already amassed over 10 million subscribers, plans to raise the tariff of Hotstar in India, where the service currently costs $14 a year, one of the two aforementioned people said.

A screenshot of Hotstar’s homepage

The price hike will happen towards the end of the first quarter next year, just ahead of commencement of next IPL cricket tournament season, they said. The company has not decided exactly how much it intends to charge, but one of the people said that it could go as high as $30 a year.

In other Southeast Asian markets, the service is likely to cost above $30 a year as well, both of the sources said. The prices have yet to be finalized, however, they said. Even at those suggested price points, Disney would be able to undercut local rivals on price. Until recently, Netflix charged at least $7 a month in India and other Southeast Asian markets. But this year, the on-demand streaming pioneer introduced a $2.8 monthly tier in India and $4 in Malaysia.

Hotstar offers a large library of local movies and titles syndicated from Showtime, HBO, and ABC (also owned by Disney). In its current international markets, Hotstar’s catalog is limited to some local content and large library of Indian titles.

The arrival of more originals from Disney on Hotstar, which already offers a number of Disney-owned titles in India, could help the service sustain users after cricket seasons. The service’s monthly userbase plummets below 60 million in weeks following IPL tournament, according to people who have seen the internal analytics.

In recent quarters, Hotstar has also set up an office in Tsinghua Science Park in Beijing, China and hired over 60 engineers and researchers as it looks to expand its tech infrastructure to service more future users, according to job recruitment posts and other data sourced from LinkedIn.

 


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Glovo is opening a tech hub in Poland after gobbling a local food delivery rival

16:08 | 6 November

Barcelona-based on-demand delivery startup Glovo is beefing up its engineering capacity by opening a second tech hub, its first in Poland — with an initial plan to hire 40 additional engineers and have a total of 50 tech and product experts working predominantly out of its Warsaw office.

Glovo says it expects the Polish engineering hub to make up half of its technology capacity in time. It will have a main focus on developing user-facing features for its marketplace product and for partners operating on the platform, it adds.

It also has plans for further expansion of the facility down the line — and an overarching roadmap for its business of a 300-strong engineering team to support building out its on-demand service offering.

Its pitch is “everything” delivered on-demand, from fast food to groceries or pharmaceuticals, so long as it’s small and light enough to be handled by one of the couriers picking up jobs on its platform.

While there’s little doubt that fast food makes up the bulk of Glovo orders right now the startup has been trying to push into online grocery deliveries, to compete with giants like Amazon — including setting up its own warehouses capable of fulfilling orders within 20 minutes, 24 hours a day. (It calls these ‘dark supermarkets’ SuperGlovo — ‘super’ meaning ‘supermarket’ in Spanish. Though its ‘dark’ model has also attracted attention from Barcelona City Council for lacking a correct permit.)

In August Spanish media reported that Glovo had itself been shopping — picking up Polish food delivery platform, Pizza Portal, for an acquisition price-tag that’s billed as up to €35M (~$39M).

Glovo raised a $169M Series D back in April which included investment from Drake, owner of global pizza franchise Papa John’s — giving it the means and the motive to gobble smaller rivals in the food delivery space.

Poland being one of its existing markets in Europe. (Albeit Pizza Portal offers various types of fast food for delivery, not just pizza.)

In all, Glovo operates in more than 20 countries at this stage, though its densest markets of operation remain its home market of Spain and also Italy.

In Poland it operates in just eight cities — so the Pizza Portal acquisition looks intended to beef up its footprint there, with the latter slated as the largest food-service platform in the market — even as Glovo doubles down on expanding its engineering capacity by tapping up local tech talent.

At the same time, competition for on-demand delivery, and especially food delivery, remains fierce in Europe where a number of players — including the likes of Deliveroo, JustEat and Uber Eats, are battling it out for territory. And, in some instances, consuming each other to carve out a bigger share of lunch in key markets.

Where Glovo doesn’t operate in Europe highlights some of that ongoing food fight, with no offering in Germany or the UK, for instance. Its regional strategy focuses on the South and East. It has also been building up an international business, opening in markets in LatAm and the Middle East and Africa.

Scaling fast is certainly core to Glovo’s playbook, though. It says it launched in a new city every four days on average last year, while the 2015-founded startup now employs over 1,300 people in all.

Glovo founder Oscar Pierre will be joining us at TechCrunch Disrupt Berlin in December to chat about growing an on-demand delivery business — you can find out more about Disrupt conference passes here

 


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A network of ‘camgirl’ sites exposed millions of users and sex workers

17:00 | 3 November

A number of popular “camgirl” sites have exposed millions of sex workers and users after the company running the sites left the back-end database unprotected.

The sites, run by Barcelona-based VTS Media, include amateur.tv, webcampornoxxx.net, and placercams.com. Most of the sites’ users are based in Spain and Europe, but we found evidence of users across the world, including the United States.

According to Alexa traffic rankings, amateur.tv is one of the most popular in Spain.

The database, containing months-worth of daily logs of the site activities, was left without a password for weeks. Those logs included detailed records of when users logged in — including usernames and sometimes their user-agents and IP addresses, which can be used to identify users. The logs also included users’ private chat messages with other users, as well as promotional emails they were receiving from the various sites. The logs even included failed login attempts, storing usernames and passwords in plaintext. We did not test the credentials as doing so would be unlawful.

The exposed data also revealed which videos users were watching and renting, exposing kinks and private sexual preferences.

In all, the logs were detailed enough to see which users were logging in, from where, and often their email addresses or other identifiable information — which in some cases we could match to real-world identities.

Not only were users affected, the “camgirls” — who broadcast sexual content to viewers — also had some of their account information exposed.

The database was shut off last week, allowing us to publish our findings.

The “camgirl” site, which exposed millions of users’ and sex workers’ account data by failing to protect a backend database with a password. (Image: TechCrunch)

Researchers at Condition:Black, a cybersecurity and internet freedom firm, discovered the exposed database.

“This was a serious failure from a technical and compliance perspective,” said John Wethington, founder of Condition:Black. “After reviewing the sites’ data privacy policy and terms and conditions, it’s clear that users likely had no idea that their activities being monitored to this level of detail.”

“Users should always take into consideration the implications of their data leaking but especially where the implications could be life altering,” he said.

Data exposures — where companies inadvertently leave their own systems open for anyone to access — have become increasingly common in recent years. Dating sites are among those with some of the most sensitive data. Earlier this year, a group dating site 3Fun exposed over a million users’ data, allowing researchers to view users’ real-time locations without permission. These security lapses can be extremely damaging to their users, exposing private sexual encounters and preferences known only to the users themselves. The fallout following the 2016 hack of affair-focused site Ashley Madison resulted in families breaking up and several reports of suicides connected to the breach.

An email to VTS Media bounced over the weekend and could not be reached for comment.

Given both the company and its servers are located in Europe, the exposure of sexual preferences would fall under the “special categories” of GDPR rules, which require more protections. Companies can be fined up to 4% of their annual turnover for GDPR violations.

A spokesperson for the Spanish data protection authority (AEPD) did not respond to a request for comment outside business hours.


Got a tip? You can send tips securely over Signal and WhatsApp to +1 646-755-8849. You can also send PGP email with the fingerprint: 4D0E 92F2 E36A EC51 DAAE 5D97 CB8C 15FA EB6C EEA5.

 


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Github removes Tsunami Democràtic’s APK after a takedown order from Spain

13:30 | 30 October

Microsoft-owned Github has removed the APK of an app for organizing political protests in the autonomous community of Catalonia — acting on a takedown request from Spain’s military police (aka the Guardia Civil).

As we reported earlier this month supporters of independence for Catalonia have regrouped under a new banner — calling itself Tsunami Democràtic — with the aim of rebooting the political movement and campaigning for self-determination by mobilizing street protests and peaceful civil disobedience.

The group has also been developing bespoke technology tools to coordinate protest action. It’s one of these tools, the Tsunami Democràtic app, which was being hosted as an APK on Github and has now been taken down.

The app registers supporters of independence by asking them to communicate their availability and resources for taking part in local protest actions across Catalonia. Users are also asked to register for protest actions and check-in when they get there — at which point the app asks them to abide by a promise of non-violence (see point 3 in this sample screengrab):

image1 2 1

Users of the app see only upcoming protests relevant to their location and availability — making it different to the one-to-many broadcasts that Tsunami Democràtic also puts out via its channel on the Telegram messaging app.

Essentially, it’s a decentalized tool for mobilizing smaller, localized protest actions vs the largest demos which continue to be organized via Telegram broadcasts (such as a mass blockade of Barcelona airport, earlier this month).

A source with knowledge of Tsunami Democràtic previously told us the sorts of protests intended to be coordinated via the app could include actions such as go-slows to disrupt traffic on local roads and fake shopping sprees in supermarkets, with protestors abandoning carts filled with products in the store.

In a section of Github’s site detailing government takedowns the request from the Spanish state to remove the Tsunami Democràtic app sits alongside folders containing historical takedown requests from China and Russia.

“There is an ongoing investigation being carried out by the National High Court where the movement Tsunami Democràtic has been confirmed as a criminal organization driving people to commit terrorist attacks. Tsunami Democràtic’s main goal is coordinating these riots and terrorist actions by using any possible mean,” Spain’s military police write in the letter sent to Github.

We’ve reached out to Microsoft for comment on Github’s decision to remove the app APK.

In a note about government takedowns on Github’s website it writes:

From time to time, GitHub receives requests from governments to remove content that has been declared unlawful in their local jurisdiction. Although we may not always agree with those laws, we may need to block content if we receive a valid request from a government official so that our users in that jurisdiction may continue to have access to GitHub to collaborate and build software.

“GitHub does not endorse or adopt any assertion contained in the following notices,” it adds in a further caveat on the page.

The trigger for the latest wave of street demonstrations in Catalonia were lengthy jail sentences handed down to a number of Catalan political and cultural leaders by Spain’s Supreme Court earlier this month.

These were people involved in organizing an illegal independence referendum two years ago. The majority of these Catalan leaders were convicted for sedition. None were found guilty of the more serious charge of rebellion — but sentences ran as long as 13 years nonetheless.

This month Spanish judges also reissued a European arrest warrant seeking to extradite the former leader of the Catalan government, Carles Puigdemont, from Brussels to Spain to face trial.  Last year a court in Germany refused his extradition to Spain on charges of rebellion or sedition — only allowing it on lesser grounds of misuse of public funds. A charge which Spain did not pursue.

Puigdemont fled Catalonia in the wake of the failed 2017 independence bid and has remained living in exile in Brussels. He has also since been elected as an MEP but has been unable to take up his seat in the EU parliament after the Spanish state moved to block him from being recognized as a parliamentarian.

Shortly after the latest wave of pro-independence demonstrations took off in Catalonia the Tsunami Democràtic movement’s website was taken offline — also as a result of a takedown request by the Spanish state.

The website remains offline at the time of writing.

While the Tsunami Democràtic app could be accused of encouraging disruption, the charge of “terrorism” is clearly overblown. Unless your definition of terrorism extends to harnessing the power of peaceful civil resistance to generate momentum for political change. 

And while there has been unrest on the streets of Barcelona and other Catalan towns and cities this month, with fires being lit and projectiles thrown at police, there are conflicting reports about what has triggered these clashes between police and protestors — including criticism of the police response as overly aggressive vs what has been, in the main, large but peaceful crowds of pro-democracy demonstrators.

The police response on the day of the 2017 referendum was also widely condemned as violently disproportionate, with scenes of riot gear clad police officers beating up people as they tried to cast a vote.

Local press in Catalonia has reported the European Commission response to Spain’s takedown of the Tsunami Democràtic website — saying the pan-EU body said Spain has a responsibility to find “the right balance between guaranteeing freedom of expression and upholding public order and ensuring security, as well as protecting [citizens] from illegal content”.

Asked what impact the Github takedown of the Tsunami Democràtic app’s APK will have on the app, a source with knowledge of the movement suggested very little — pointing out that the APK is now being hosted on Telegram.

Similarly, the content that was available on the movement’s website is being posted to its 380,000+ subscribers on Telegram — a messaging platform that’s itself been targeted for blocks by authoritarian states in various locations around the world. (Though not, so far, in Spain.)

Another protest support tool that’s been in the works in Catalonia — a live-map for crowdsourcing information about street protests which looks similar to the HKlive.maps app used by pro-democracy campaigners in Hong Kong — is still in testing but expected to launch soon, per the source.

 


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Duffel raises $30M led by Index Ventures to disintermediate legacy travel platforms

13:11 | 28 October

Huge travel platforms that run airline booking systems like Sabre and Amadeus were invented eons ago and are so large and cumbersome that innovating with them is no easy feat. In the same way that challenger banks have come along to re-invent the banking software Starck, UK startup Duffel has done the same in the travel market, linking up airlines directly with travel agents with a 21st Century platform.

Today it’s announced a $30m Series B funding round from investors Index Ventures, and they were joined by existing investors Benchmark Capital and Blossom Capital . Its airline partners already include American Airlines, British Airways, Lufthansa Group, Aegean Airlines, Vueling, and Iberia.

Duffel will use the new funds to hire more engineers and increase its broader team. It is focusing on expanding in North America and Europe, with its first customers drawn from the US, UK, Canada, France, Germany and Spain.

Duffel enables travel agencies to plug in directly to airlines’ reservation systems via an API so that they can pull real-time flight offers, make bookings, access live seat availability, and buy extra services. This means new digital and mobile app-based travel agencies – Duffel’s target market – can bypass the long lead times and high costs associated with the legacy flight booking systems. They are then able to see live seat availability from some of the world’s biggest airlines, as well as additional offers on in-flight meals or luggage allocations.

Steve Domin, co-founder and CEO of Duffel, said: “A new breed of online agencies want to access reservation systems quickly and seamlessly. By reinventing the underwiring between online agents and airlines we can transform the world of travel booking and reduce barriers to entry for innovative new companies that are offering travelers a whole new way of creating a holiday or trip.”

In the same way that banking systems have been opened up by deregulation, the International Air Transport Association (IATA) created a new industry standard, known as New Distribution Capability (NDC), which transformed the way air products are retailed through the use of modern XML technology. The problem was, the legacy platforms didn’t take much interest. Duffel has obviously come along to take advantage of that.

Jan Hammer, partner at Index Ventures, said: “We are incredibly impressed by the Duffel team, who we have supported since the days of their seed funding. There is an opportunity here to transform the booking experience for travelers and ease many of the pain points in the industry. From the launch of budget airlines to sharing economy businesses like Airbnb, travel has changed and Duffel will provide the tools, built from the ground up, that make the next wave of innovation possible.”

Speaking to TechCrunch, Domin said: “Historically it’s been very hard to sell travel products to agencies. Integrations are hard. There is too much complexity. We are bundling it all into a very simple API and 2 hours later you can have it running on a site or a mobile app.”

“We are connecting directly to airlines’ reservation systems. If you go on a site that uses Duffel, we will forward – to the airline – the right search request, and the airline generates the offer in real-time.”

“Airlines were trying to modernize their booking systems with Amadeus and Sabre but they have not moved quickly on adapting to what the airlines wanted. When the IATA came up with its new XML platform, no-one wanted to use it. So we did.”

Is Duffel a threat to the legacy platforms? “Potentially,” he says, “but I don’t think they see it that way. They don’t see the benefit of engineering and developer experience. In a way, I hope we will be a threat but I don’t think we are right now.”

He said Duffel has future plans to expand to other products like trains and hotels.

 


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