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Category: Retail & eCommerce

eCommerce, Online Retail & Retail News

  • YouTube TV Bringing 4K Video, Unlimited Streams, Offline Viewing

    YouTube TV Bringing 4K Video, Unlimited Streams, Offline Viewing

    YouTube TV is adding some big new features, including 4K video, unlimited concurrent streams and offline viewing.

    YouTube TV is one of the premier TV streaming services. The service is often compared with Hulu + Live TV, with the two duking it out for the top spot. One of YouTube TV’s biggest advantages is the power of Google behind it. As a result, the service has features, such as unlimited DVR space, that other services struggle to compete with.

    The service is preparing to add additional features that will widen the gap even more.

    “After just a few years, YouTube TV now has more than 3 million paid subscribers, 85+ networks, and offers unlimited DVR,” writes Neal Mohan, Chief Product Officer, YouTube. “Sports fans can even enjoy their favorite games with the ability to view key plays, hide spoilers, and check out real-time stats. And there’s more to come, including a new add-on option that lets viewers watch available shows in 4K or download them to their DVR to watch later offline. Plus, this option will add unlimited concurrent streams at home, so the whole family can enjoy YouTube TV on different screens at once.

    With a starting price of $64.99, one of the most expensive options on the market, it remains to be seen if customers will want to pay more for another add-on package. 4K content and unlimited streams, however, may be enough to get customers to bite.

  • Roku Looks to Expand Into Original Content

    Roku Looks to Expand Into Original Content

    Roku is expanding into original content, moving beyond merely streaming content, according to a recent job listing.

    Roku has been manufacturing digital media players for over a decade. The company’s software also serves as the basis for a number of smart TVs, and Roku has its own channel where it plays licensed content.

    Many streaming services, however, have been expanding aggressively into original content. Netflix, Hulu and Apple TV+ have all seen significant success producing their own shows and movies, and Roku apparently wants in on the action.

    In a job posting on LinkedIn, the company is looking for “a Lead Production Attorney to work on its expanding slate of original content. The position reports directly to Vice President of Business and Legal Affairs, Programming & Distribution.”

    There is little additional information on Roku’s plans, but the company did purchase Quibi’s content library when that service shuttered. Hiring a Lead Production Attorney is the next logical step, putting the pieces in place to capitalize on its purchase.

  • Five-Star Review? Maybe Not as Amazon Grapples With Fake Reviews Industry

    Five-Star Review? Maybe Not as Amazon Grapples With Fake Reviews Industry

    Amazon is grappling with an entire industry aimed at providing fake reviews and gaming the system, according to new research.

    Which? is a UK-based company that reviews products and services and helps consumers make educated choices. The company has investigated the state of Amazon reviews and found that fake reviews are being sold in bulk.

    Customers rely on Amazon reviews to make decisions about their purchases. Even when customers ultimately end up purchasing elsewhere, Amazon product reviews often still impact customers’ decisions. Unfortunately, many of those reviews may be fake, according to Which?.

    “More people are shopping online than ever before due to the coronavirus crisis – yet our latest research shows that Amazon is facing an uphill struggle against a relentless and widespread fake reviews industry geared towards misleading consumers,” Natalie Hitchins, Head of Home Products and Services at Which?, said.

    Some companies charge as little as £5 per review, while others charge more, up to £8,000 for 1,000 reviews. Many of the companies provided incentives and rewards programs, along with guidelines to help their armies of reviews avoid detection by Amazon.

    All the sites Which? signed up to gave advice for how to write reviews so as not to arouse Amazon’s suspicion, and in many cases had criteria for reviewers to meet to qualify for rewards. These included leaving reviews that were at least two sentences long, posting an accompanying image or video and not posting reviews until at least four days after receiving a product. Some sites also had no return policies – as returned products are monitored by Amazon and high return rates can affect the chance of an Amazon’s Choice endorsement.

    Which? is calling on regulators to take action against these kind of schemes, in the interest of protecting customers that rely on such reviews to make informed decisions. The company is also calling on tech firms, such as Google and Facebook, to crack down on these companies, as many of them use search and social media platforms to gain reviewers.

    “The regulator must crack down on bad actors and hold sites to account if they fail to keep their users safe. If it is unable to do so, the government must urgently strengthen online consumer protections,” Hitchins added.

    “Amazon, and other online platforms, must do more to proactively prevent fake reviews infiltrating their sites so that consumers can trust the integrity of their reviews.”

    It remains to be seen what, if any, action will be taken. in the meantime, savvy purchasers would do well to take Amazon’s reviews with a grain of salt.

  • Homeland Security Investing Fake N95 Mask Scam

    Homeland Security Investing Fake N95 Mask Scam

    As if the pandemic is not bad enough, the Department of Homeland Security (DHS) is investigating a scam involving fake N95 masks.

    Effective masks are one of the principle ways to combat the coronavirus and prevent its spread. While important for the population at large, masks are especially vital for front-line health workers who are exposed to the virus on a daily basis. N95 masks are particularly important to health workers, as they provide a higher level of protection than a basic face mask.

    Unfortunately, companies are selling counterfeit N95 masks to hospitals and frontline workers. The counterfeits, purporting to be 3M masks, are becoming more difficult to detect, putting health and frontline workers at risk.

    “They’re not coming from authorized distributors,” said Kevin Rhodes, 3M’s vice president and deputy general counsel, according to the Associated Press. “They’re coming from companies really just coming into existence.”

    “These products are not tested to see if they make the N95 standards,” Rhodes added “They’re not interested in testing them. They’re interested in making as many as they can as cheaply as possible.”

    To help combat the counterfeits, 3M has published guidelines to help individuals and companies identify fakes.

  • Pandemic Reinvention Is Real For SMBs, Says Bill.com CEO

    Pandemic Reinvention Is Real For SMBs, Says Bill.com CEO

    “I believe SMBs deserve innovation,” says Bill.com CEO and founder Rene Lacarte. “That innovation that we focus on is around the digital processes that are lacking in the back office of SMBs. We’ve seen it in part with the pandemic showing that there’s a need for being digital and to be able to run your business from anywhere. It’s a requirement now. The pandemic reinvention is real and something that we think is going to stick around.”

    Rene Lacarte, CEO of Bill.com, says that the pandemic reinvention is real for small and medium-sized businesses and that they need to innovate and digitize the back office:

    SMBs Deserve Innovation

    At the core of why I started the company is that I believe SMBs deserve innovation. That innovation that we focus on that I really believe is missing out there is around the digital processes that are lacking. We digitize the back office. Then we connect that back office to the banking system so money can move, to the accounting system so records can be reported, and to the accounting firms that they’re involved with.

    All of that connection creates a connective tissue that operates and automates the financial operations. Because of that it’s driving demand, it’s driving opportunity, and it’s driving growth across our existing customers as well as the new customers coming in. That’s how we do it. That’s how we bring the back office into the back pocket.

    Pandemic Reinvention Is Real For SMBs

    Nobody gets into business to actually do the back office. I grew up in small businesses. My parents had small businesses. My grandparents had small businesses. A lot of our friends had small businesses. This was always the bane of existence. This is what people had to do on Friday night. Who wants to do this on a Friday night? That’s what people are doing when they’re trying to run their business from their back pocket when they don’t have the tools. They have to do it at night at home.

    We take care of that. We automate the processes. That’s what’s driving the demand, it’s the opportunity. We’ve seen it in part with the pandemic showing that there’s a need for being digital. This opportunity to be able to run your business from anywhere is a requirement now. The pandemic reinvention is real and something that we think is going to stick around.

    Pandemic Reinvention Is Real For SMBs, Says Bill.com CEO Rene Lacarte
  • Investors Urging Amazon to Stop Pressuring Workers On Unionization

    Investors Urging Amazon to Stop Pressuring Workers On Unionization

    Investors are reportedly urging Amazon to stop pressuring workers amid the first-ever vote on unionization by the company’s workers.

    Amazon is notoriously anti-union, even going so far as to hire Pinkerton detectives to monitor and impede unionization efforts. The company has also been accused of illegally firing individuals who supported organizing. Most recently, Amazon has made waves with employees, pressuring workers in Bessemer, Alabama to vote against unionization.

    According to The Financial Times, via Bloomberg, some of Amazon’s investors have had enough, urging the company to stop interfering with unionization efforts. The group is made up of more than 70 investors, collectively holding some $20 billion of the company’s shares. The comptrollers for the state of New York and New York City, BMO Global Asset Management, Sweden-based Folksam and Ohman Fonder, as well as the Church of England Pensions Board are just a few of the investors in question.

    “As these workers seek to organize with [the union] for health, safety, and protection, Amazon’s investors are watching,” New York City comptroller Scott Stringer said, according to the FT. “There is power in their unity and power in labour, and they have my full support as they fight for a safe, fair workplace.”

    The investor backlash is just the latest setback Amazon has faced, due to its dealings with employees. The company recently settled a case with the FTC over stealing some $62 million in tips from its Flex drivers. If the company doesn’t make some major changes, it will likely continue to face fallout and backlash from employees, lawmakers and investors alike.

  • Video: Amazon’s New Electric Vans Quietly Delivering

    Video: Amazon’s New Electric Vans Quietly Delivering

    Amazon has just launched their first electric Rivian delivery vans on the road in Los Angeles. Customers will begin seeing the custom electric delivery vehicles in up to 15 additional cities in 2021. The company plans to have a 10,000 electric delivery fleet operating on the road in the United States and Europe by 2022.

    “We’re loving the enthusiasm from customers so far—from the photos we see online to the car fans who stop our drivers for a first-hand look at the vehicle,” said Ross Rachey, Director of Amazon’s Global Fleet and Products. “From what we’ve seen, this is one of the fastest modern commercial electrification programs, and we’re incredibly proud of that.”

    Ross Rachey, Director of Amazon’s Global Fleet, outlines the company’s electric delivery plans:

    “We are reimagining sustainable delivery,” says Ross Rachey, Director of Amazon’s Global Fleet. “Climate change doesn’t allow us to sit back and be passive. We can’t wait. This vehicle went from sketch, to design, to on-road testing with customer deliveries in just over a year. And we’ll build on that momentum heading into full-scale production.”

    “Amazon made a commitment to be net-zero carbon by 2040,” notes Rachey. “Electrifying our fleet is going to help us get there. We’ve relied on Rivian’s automotive expertise. We’ve listened to our drivers. We’ve created something that’s at the leading edge of safety technology, that’s better for our drivers, better for the planet, and unlike anything that’s out on the road today. We’ve reset expectations for electric delivery vehicles. And we’re just getting started.”

    Amazon partnered with Rivian, leveraging its customizable skateboard platform to create a first-of-its-kind all-electric delivery vehicle. “Rivian’s purpose is to deliver products that the world didn’t already have, to redefine expectations through the application of technology and innovation,” said RJ Scaringe, Rivian Founder and CEO. “This milestone is one example of how Rivian and Amazon are working toward the world of 2040, and we hope it inspires other companies to fundamentally change the way that they operate.”

    The current fleet of vehicles was built at Rivian’s studio in Plymouth, Michigan, and can drive up to 150 miles on a single charge according to the company. Amazon has installed thousands of electric vehicle charging stations at its delivery stations across North America and Europe.

    Amazon explains it’s ambitious goals:

    Along with custom electric delivery vehicles, Amazon is exploring new technologies, alternative fuels, and delivery methods that deliver packages to customers in a more sustainable way. Amazon currently operates thousands of electric vehicles worldwide and is redesigning its delivery stations to service electric vehicles—ranging from the electrical design to the physical layout. Last year, Amazon delivered more than 20 million packages to customers in electric delivery vehicles across North America and Europe and will continue building on that momentum in 2021.

  • Amazon Goes Full-Court Press Against Alabama Warehouse Union Efforts

    Amazon Goes Full-Court Press Against Alabama Warehouse Union Efforts

    Amazon is pulling out all the stops in its efforts to dissuade Alabama warehouse workers from unionizing, even campaigning in the restroom.

    Workers at Amazon’s Bessemer, Alabama warehouse made headlines several weeks ago when the National Labor Relations Board (NLRB) scheduled a vote for workers to decide on unionization. Amazon is notoriously anti-union, even hiring Pinkerton detectives to monitor and thwart efforts. The company has been accused of illegally firing individuals who advocated for better working conditions and supported organizing.

    Amazon is not letting up its anti-union efforts, according to The Washington Post, putting so much pressure on employees ahead of the vote that some feel they’re being harassed. The company is even putting fliers on the inside of bathroom stall doors with the message: “Where will your dues go?”

    “They got right in your face when you’re using the stall,” said Darryl Richardson, a pro-union worker. Another pro-union worker, who remained anonymous due to fear of retaliation, said: “I feel like I’m getting harassed.”

    Amazon is already on thin ice when it comes to employee relations. The company just settled for nearly $62 million for stealing tips from Flex drivers. It’s not hard to imaging the company’s full-court press in Bessemer backfiring, driving more employees to vote in favor of unionization. Should the vote pass, it will likely be the first of many, serving as a template for workers around the country.

  • Jeff Bezos Stepping Down As CEO, Will Transition to Executive Chair

    Jeff Bezos Stepping Down As CEO, Will Transition to Executive Chair

    In a surprise announcement, Amazon has said CEO Jeff Bezos is stepping down and transitioning to the role of Executive Chair in Q3 ‘21.

    Jeff Bezos is the founder of Amazon and has been inextricably linked with the company ever since. He’s guided it from an online bookstore to the e-commerce and cloud computing behemoth it currently is. In turn, the company has helped drive Bezos’ personal worth, making him one of the richest people in the world, only eclipsed by Tesla’s Elon Musk in January 2021.

    After nearly three decades at the helm of Amazon, Bezos is taking a step back.

    “Amazon is what it is because of invention. We do crazy things together and then make them normal. We pioneered customer reviews, 1-Click, personalized recommendations, Prime’s insanely-fast shipping, Just Walk Out shopping, the Climate Pledge, Kindle, Alexa, marketplace, infrastructure cloud computing, Career Choice, and much more,” said Jeff Bezos, Amazon founder and CEO. “If you do it right, a few years after a surprising invention, the new thing has become normal. People yawn. That yawn is the greatest compliment an inventor can receive. When you look at our financial results, what you’re actually seeing are the long-run cumulative results of invention. Right now I see Amazon at its most inventive ever, making it an optimal time for this transition.”

    The company says Andy Jassy will become the new Chief Executive Officer.

    Given that Bezos owns aerospace company Blue Origin, as well as The Washington Post, he certainly has enough to keep him busy outside of Amazon. However, given his statement’s emphasis on surprising inventions, one can’t help but wonder if he will focus on his other businesses, or if he plans on a second act.

  • Dinner and a Drink — Uber Buying Alcohol Delivery Service Drizly

    Dinner and a Drink — Uber Buying Alcohol Delivery Service Drizly

    Uber is acquiring alcohol delivery startup Drizly, in a deal worth $1.1 billion.

    Drizly is the nation’s leading alcohol delivery service, operating in over 1,400 cities around the country. The company’s reach is an impressive accomplishment given the patchwork of alcohol laws and regulations among various states.

    Uber sees an opportunity to round out its food delivery service, offering the full dining experience in-home.

    “Wherever you want to go and whatever you need to get, our goal at Uber is to make people’s lives a little bit easier. That’s why we’ve been branching into new categories like groceries, prescriptions and, now, alcohol. Cory and his amazing team have built Drizly into an incredible success story, profitably growing gross bookings more than 300 percent year-over-year. By bringing Drizly into the Uber family, we can accelerate that trajectory by exposing Drizly to the Uber audience and expanding its geographic presence into our global footprint in the years ahead,” said Uber CEO Dara Khosrowshahi.

    “Drizly has spent the last 8 years building the infrastructure, technology, and partnerships to bring the consumer a shopping experience they deserve. It’s a proud day for the Drizly team as we recognize what we’ve accomplished to date but also with the humility that much remains to be done to fulfill our vision. With this in mind, we are thrilled to join a world-class Uber team whose platform will accelerate Drizly on its mission to be there when it matters—committed to life’s moments and the people who create them,” said Drizly co-founder and CEO Cory Rellas.

    The deal is expected to close in the first half of 2021.

  • Amazon Stiffs Drivers $62 Million in Tips

    Amazon Stiffs Drivers $62 Million in Tips

    The Federal Trade Commission (FTC) has announced Amazon is settling to the tune of $61.7 million for tips it withheld from drivers.

    As part fo the Amazon Flex program, drivers were promised $18–25 per hour for making deliveries. In addition, ads recruiting Flex drivers routinely said: “You will receive 100% of the tips you earn while delivering with Amazon Flex.”

    Amazon also assured customers that any tips they gave would go straight to drivers. There’s only one problem: Amazon didn’t pay its drivers the tips from customers, pocketing nearly $62 million.

    “Rather than passing along 100 percent of customers’ tips to drivers, as it had promised to do, Amazon used the money itself,” said Daniel Kaufman, Acting Director of the FTC’s Bureau of Consumer Protection. “Our action today returns to drivers the tens of millions of dollars in tips that Amazon misappropriated, and requires Amazon to get drivers’ permission before changing its treatment of tips in the future.”

    “This theft did not go unnoticed by Amazon’s drivers, many of whom expressed anger and confusion to the company,” said FTC Commissioner Rohit Chopra. “But, rather than coming clean, Amazon took elaborate steps to mislead its drivers and conceal its theft, sending them canned responses that repeated the company’s lies. The complaint charges that Amazon executives chose not to alter the practice, instead viewing drivers’ complaints as a ‘PR risk,’ which they sought to contain through deception.”

    To make matters worse, in 2016, Amazon lowered the hourly rate they were paying drivers without notifying them. Instead, Amazon used the tips it had been withholding as a fund to maintain the $18-25 per hour rate, making drivers think they were receiving the same hourly rate.

    In essence, Amazon was ‘robbing Peter to pay Paul,’ stealing from drivers tips to cover for the fact that it had lowered drivers hourly rates without telling them. Amazon only stopped this behavior after it became aware of the FTC’s investigation in 2019.

    The $61.7 million settlement will be used by the FTC to compensate those drivers who were impacted. Amazon is also “prohibited from making any changes to how a driver’s tips are used as compensation without first obtaining the driver’s express informed consent.”

    For a company already accused of illegally firing workers for trying to organize unions, and using Pinkerton detectives to monitor workers and thwart unionization efforts, it’s little wonder that Amazon employees continue working to unionize.

    Amazon’s behavior in this matter is reprehensible, and represents a new low for corporate/worker relations.

  • Google Backs Out of Game-Making, Shuts Down Stadia Game Studios

    Google Backs Out of Game-Making, Shuts Down Stadia Game Studios

    Google is backing away from making games for its Stadia gaming platform, shutting down the involved studios.

    Google Stadia is a cloud gaming platform, allowing gamers to play on a variety of devices. Because its a cloud platform, users don’t have to invest in heavy-duty gaming equipment to play, relying on the platform to stream the game’s content to them.

    To help the service gain widespread adoption, Google initially invested in its own in-house studios to develop games for the service. It appears the cost has the company reconsidering, as it is ending its own development efforts.

    Phil Harrison, Google Stadia Vice President and GM, broke the news in a blog post:

    In 2021, we’re expanding our efforts to help game developers and publishers take advantage of our platform technology and deliver games directly to their players. We see an important opportunity to work with partners seeking a gaming solution all built on Stadia’s advanced technical infrastructure and platform tools. We believe this is the best path to building Stadia into a long-term, sustainable business that helps grow the industry.

    Creating best-in-class games from the ground up takes many years and significant investment, and the cost is going up exponentially. Given our focus on building on the proven technology of Stadia as well as deepening our business partnerships, we’ve decided that we will not be investing further in bringing exclusive content from our internal development team SG&E, beyond any near-term planned games. With the increased focus on using our technology platform for industry partners, Jade Raymond has decided to leave Google to pursue other opportunities. We greatly appreciate Jade’s contribution to Stadia and wish her the best of luck in her future endeavors. Over the coming months, most of the SG&E team will be moving on to new roles. We’re committed to working with this talented team to find new roles and support them.

    Harrison emphasizes that Google is committed to the platform and cloud gaming, and will continue to work with third-party game developers. It simply won’t be creating its own in-house games anymore.

  • SolarWinds Attack More Widespread, 30% Of Victims Did Not Use Software

    SolarWinds Attack More Widespread, 30% Of Victims Did Not Use Software

    A troubling detail has come to light as part of the SolarWinds investigation, namely that 30% of victims didn’t use the software in question.

    The SolarWinds attack was one of the worst cybersecurity breaches in US history. Hackers compromised SolarWinds’ Orion IT software, injecting a trojan that allowed them to target companies and organizations using the software. The attack was what is known as a supply chain attack, as it compromised legitimate software in the supply chain, before it could be distributed.

    According to new information, however, it appears the hackers behind the attack were not relying solely on SolarWinds software since roughly 30% of victims weren’t using it.

    The hackers “gained access to their targets in a variety of ways. This adversary has been creative,” Brandon Wales, acting director of the Cybersecurity and Infrastructure Security Agency, told The Wall Street Journal. “It is absolutely correct that this campaign should not be thought of as the SolarWinds campaign.”

    The revelation casts a new light on the attack, and the ingenuity the hackers demonstrated, as well as the threat they pose.

  • SolarWinds Hack Was Supply Chain Attack, Says Datadog CEO

    SolarWinds Hack Was Supply Chain Attack, Says Datadog CEO

    “What’s interesting here about the SolarWinds hack, in particular, is that it’s what’s called a supply chain attack,” says Datadog CEO Olivier Pomel. “This means the attack was made on the code that was shipped to the SolarWinds customer. Then there is this new notion in security called shifting left. By left, it means is closer to the developer and earlier in the development process.”

    Datadog CEO Olivier Pomel discusses how the SolarWinds hack signals an increased focus by hackers to target software earlier in its development:

    The SolarWinds hack was definitely a very big one. It’s not especially surprising to see new important hacks like this one but definitely a very impactful one. What it makes very clear is that there’s going to be even more of an arms race when it comes to security. It’s not surprising companies are transforming. They’re having more and more of their activity that is happening online is happening in software. So there’s much more that can be done by attacking that software.

    What we do is we gather as many signals as possible across observability and monitoring. This is the way we come from and across security. What’s interesting here about the SolarWinds hack, in particular, is that it’s what’s called a supply chain attack. This means the attack was made on the code that was shipped to the SolarWinds customer. Then there is this new notion in security called shifting left. By left, it means is closer to the developer and earlier in the development process.

    There’s something really interesting there when it relates to us (Datadog) in how we can solve the problem for our customers by bringing security earlier into the development process and tied in more to the operations and the development of the application. That’s definitely something that we’re investing in and something that we think is going to be a big area of investment for customers in the future.

    SolarWinds Hack Was Supply Chain Attack, Says Datadog CEO Olivier Pomel
  • Sling TV Raises Prices, Adds DVR Storage

    Sling TV Raises Prices, Adds DVR Storage

    One of the best deals in streaming is getting a bit more expensive, as Sling TV is announcing a price hike combined with larger DVR options.

    Streaming TV services have been raising prices across the board. YouTube TV announced increases in July, Hulu in November and fuboTV announced a pricing bump when it struck a deal to carry Disney’s catalog. In fact, price increases among streaming providers have become so common that T-Mobile specifically advertised “no exploding plans” when it unveiled its TVision streaming service.

    Long considered one of the cheapest streaming options available, Sling TV is joining the ranks of its competitors in raising prices. The company has announced that new customers will be charged $35 for either the Sling Orange or Sling Blue plans, up $5/mo over previous pricing. When bundled together, the two packages will cost $50 per month, also an increase of $5.

    Many of the company’s various extra packages are also increasing $1 or $2 per month. Existing customers will not seen any price increases through July 2021, as part of the company’s 1-Year Price Guarantee.

    “Unfortunately, we are forced to raise prices because the television networks keep charging us more, but we fight hard to get the best deal for our customers. The proof of our commitment is apparent, as SLING TV is still the best deal in the market, keeping our prices much lower than cable and other live streaming services. SLING TV customers can rest assured that we’ll continue to offer the best combination of live news, sports and entertainment cable channels at the best value,” said Michael Schwimmer, group president, SLING TV.

    Fortunately, the company is also addressing one of its biggest pain points, namely the size of its included DVR service. Previously Sling only offered 10 GB for free, with 50 GB available for $5 extra. With other services starting at 100 GB and going up to 1,000 GB, or even unlimited, Sling’s DVR options were anemic, to put it mildly. With the new plans, all customers will now have 50 GB of DVR storage for free, with $5 bringing that up to 200 GB.

    “A robust DVR feature is a must-have for a premium entertainment experience — customers have told us they want more, and we delivered,” said Schwimmer. “By more than quadrupling DVR for all customers at no charge, SLING TV continues to provide the best value for pay-TV in the industry.”

  • Vimeo Raises $300 Million In Equity, Valued At $5.7 Billion

    Vimeo Raises $300 Million In Equity, Valued At $5.7 Billion

    Vimeo has raised $300 million in equity, raising its valuation to some $5.7 billion as it prepares to become independent.

    IAC announced in December its plans to spin Vimeo off as an independent, publicly traded company. As a video hosting platform, and YouTube’s prime competitor, Vimeo has experienced significant growth. In fact, the company saw 57% year-over-year revenue growth in December.

    As Vimeo prepares to go public, the new funding will provide the capital it needs to continue its growth and innovation.

    “As the world embraces video like never before, Vimeo is in an incredibly strong position to help more businesses take advantage of this powerful medium,” said Anjali Sud, CEO, Vimeo. “We have built an industry-leading solution that the market needs, and we intend to move swiftly to bring our professional-quality tools to millions more users.”

    “Vimeo is the quintessential IAC success story,” said Joey Levin, CEO, IAC. “With patience, discipline, and ambition, Vimeo has transformed from a tiny seed to a large global enterprise making its mark on the world, and Anjali Sud is an exceptional leader.”

  • Google Search May Pull Out Of Australia Over News Content

    Google Search May Pull Out Of Australia Over News Content

    Google has taken the extraordinary step of threatening to pull its search engine out of Australia if it’s forced to pay for news content.

    Google has long been at odds with news publishers. Many have tried to get the company to pay for news, but the company has made it a practice to link to and use news content without paying. Google has always claimed that news publishers benefit far more than it does from the arrangement.

    In spite of that, the company has begun caving to pressure. France has ordered Google to pay for news and the company recently set aside $1 billion to help fund partnerships with publishers.

    Google seems unwilling to give into Australia’s demands, however, according to ABC News. According to the report, Google has said it will pull its search engine if Australia moves ahead with its plans to force the company to pay.

    “If this version of the code were to become law, it would give us no real choice but to stop making Google search available in Australia,” Mel Silva, the managing director of Google Australia and New Zealand, told a Senate inquiry. “And that would be a bad outcome not only for us, but also for the Australian people, media diversity, and the small businesses who use our products every day.”

    That stance did not go over well with the government, with Australian Prime Minister Scott Morrison saying “we don’t respond to threats.”

    It remains to be seen how things will eventually shake out, but it’s not looking good for Google Australia either way.

  • Amazon Offers Support For President Biden’s Vaccination Plans

    Amazon Offers Support For President Biden’s Vaccination Plans

    Amazon has congratulated President Biden and Vice President Harris on their inauguration and offered its support in ramping up the vaccine rollout.

    One of President Biden’s biggest challenges will be significantly increase the pace of the country’s vaccination efforts. In an open letter, Amazon’s Dave Clark, CEO, Worldwide Consumer, made it clear the company is ready to assist.

    We have an agreement in place with a licensed third-party occupational health care provider to administer vaccines on-site at our Amazon facilities. We are prepared to move quickly once vaccines are available. Additionally, we are prepared to leverage our operations, information technology, and communications capabilities and expertise to assist your administration’s vaccination efforts. Our scale allows us to make a meaningful impact immediately in the fight against COVID-19, and we stand ready to assist you in this effort.

    Clark also makes the case that Amazon’s workers, many of whom are considered essential workers, should be among the first vaccinated.

    There is no word yet on whether the new administration will take Clack up on the offer, but it’s a safe bet no options are off the table.

  • Bad News For Spotify As Citi Says Podcast Bet Not Paying Off

    Bad News For Spotify As Citi Says Podcast Bet Not Paying Off

    Citi analysts don’t believe Spotify’s big podcasting bet is paying off, according to a note they sent to investors.

    Spotify has invested heavily in the podcast market, acquiring companies Anchor, Gimlet Media and Parcast. The company has also inked high profile, exclusive deals, such as for The Joe Rogan Experience. Spotify obviously is concerned with diversifying its business from its core streaming music service, especially given the pressure it is facing from Apple, Pandora and others.

    The only problem? Citi analysts don’t believe Spotify’s efforts are paying off, according to CNBC.

    “The cadence of Premium gross additions (through 3Q20) and app download data (through 4Q20) do not show any material benefit from recent podcast investments (that began in 2019),” the analysts wrote.

    Citi has downgraded Spotify from neutral to sell, leading to a drop of 6.5% of the company’s stock.

  • Amazon Warehouse Workers Voting On Unionization

    Amazon Warehouse Workers Voting On Unionization

    Amazon warehouse workers are preparing to vote on whether to form the company’s first union.

    Amazon is famously opposed to its employees unionizing. The company has gone to extreme measures, even hiring Pinkerton detectives to monitor efforts. The National Labor Relations Board (NLRB) accused Amazon of threatening, suspending and terminating employees for trying to organize.

    It appears Amazon’s efforts have not been successful, however, as employees at the company’s warehouse in Bessemer, Alabama are moving forward with plans to vote on unionization. The NLRB has scheduled the vote for February 8 through March 29, and will involve approximately 6,000 employees.

    It remains to be seen if the vote will pass. If it does, however, it would be a big step forward for unionization efforts within one of the biggest companies in the US.

  • Consumer Groups Take Amazon to Task Over Prime Cancellation Process

    Consumer Groups Take Amazon to Task Over Prime Cancellation Process

    Amazon is coming under fire from consumer groups for how it handles Prime cancellation.

    Amazon Prime is a wildly popular service the online giant offers, providing expedited shipping, steaming services, ebooks, groceries, gaming and more. Given everything the service offers, it’s $119 per year fee is a good deal, especially compared to other streaming services.

    When customers do want to cancel, however, Amazon doesn’t make it easy, running them through multiple prompts and warnings. This has caught the attention of consumer groups in both the US and the EU, according to The Seattle Times.

    A Norwegian customer rights group has filed a legal complaint against Amazon, citing the company’s cancellation policy.

    “It should be as easy to end a subscription as it was to subscribe in the first place,” said Finn Lützow-Holm Myrstad, director of digital policy for the Norwegian Consumer Council. “This practice not only betrays the expectations and trust of consumers but breaches European law.”

    Groups in other EU countries have expressed support, sharing similar concerns. Even in the US, the Public Citizen consumer group has asked the Federal Trade Commission to investigate Amazon’s policy.

    “Amazon should treat customers with respect instead of trying to undermine their autonomy and fight their decisions,” said Burcu Kilic, Public Citizen’s director of digital rights program.

    It remains to be seen if regulators will do anything about Amazon’s Prime cancellation, but the scrutiny is further evidence of the increased pressure Big Tech is under.