• June 9th, 2008

    Slide Got Theirs, Now RockYou Gets Some Too

    Back in January Slide pulled off a whopper of a financing for an effectively pre-revenue startup: $50 million, valuing the company at a cool half billion dollars. Not bad. No one was surprised to hear that arch-rival RockYou would soon close a big round of their own. And we have not been dissapointed. Today RockYou is announcing a $35 million Series C round, led by DCM. Previous investors include Sequoia Capital, Lightspeed Ventures, and First Round Capital—none of which are mentioned as participating in the current round. The company had raised just $16.5 million over two previous rounds, bringing their total to $51.5 million. RockYou is the second-most popular creator of applications on Facebook (after Slide), and says that its widgets are seen by 87.5 million people a month across the Web (compared to Slide’s 63.7 million). The company also offers OpenSocial applications that have been installed 10 million times. RockYou sells social-networking ads against the audience for its widgets. At 2.7 billion pageviews a month, that’s a lot of advertising inventory. Now it just has to figure out how to get more people to click on them. The stress between these two similar startups to compete is brutal. Sarah Lacy explained in her book how when either company would release a new feature or application, the other would race to duplicate it within hours: This has all been building to a nasty war between Slide and RockYou, with each maintaining it is larger, each ripping off the other’s products. Having an enemy has helped focus Slide, and for now, it beats RockYou on every count. CrunchBase Information RockYou Slide Information provided by CrunchBase → Read More

    April 30th, 2008

    Watercooler's SN Apps for Fans Backed by $4M

    Meet Watercooler, a startup developing social network applications for all the usual suspects – Facebook, MySpace, Bebo, Hi5, and Friendster – that allow fans to rally around their favorite sports teams and TV shows. The Mountain View-based firm raised a previously undisclosed $4M in Series A funding from Canaan Partners this past September. While it’s been developing Facebook apps since July 2007, it just recently launched a corporate website to provide a more unified front to its efforts. While you may not associate the name “Watercooler” with the more famous app developers Slide and RockYou, as well as SGN and Zynga, the company has created over 700 community-building apps. Watercooler’s installs and active users earns it the #9 spot on Adonomics top Facebook developer list. Watercooler’s apps focus on particular shows and teams, and give fans an opportunity to discuss recent events, share photos, and take quizzes. The applications can also communicate with each other, allowing for interaction between rival groups, even across the supported social networks. The company’s platform allows the company to produce these applications very quickly, each tailored to a particular show or team. CrunchBase Information Watercooler Slide RockYou Information provided by CrunchBase → Read More

    April 28th, 2008

    Blodget Says Facebook Is Only Worth $9 Billion, Hypothetically Speaking

    Putting a value on private companies is hard enough for insiders and venture capitalists who have full access to the company’s financial statements. When outsiders try to do it, even well-informed ones, it is nothing more than a guessing game. But it is nonetheless perhaps one of Silicon Valley’s favorite parlor activities. Today, Henry Blodget & Co. at Silicon Alley Insider try to peg valuations on 25 private Web companies. Facebook is at the top of the list, but it is valued at $9 billion instead of the $15 billion that Microsoft’s investment put on the company. Why? Because everyone knows that the $15 billion is too high, so SAI decided to apply a 25X multiple on Facebook’s 2008 revenue forecast of $350 million. Does that make its valuation correct? Probably not. But in the absence of any true market pricing, anyone can go ahead and make a guess. The same goes for any of the valuations on the SIA 25 list, which puts Wikipedia’s worth at $7 billion, Craigslist’s at $5 billion, Mozilla’s at $4 billion, LinkedIn’s at $1.3 billion, Ning’s at $560 million, RockYou’s at $325 million, and Spot Runner’s at $250 million. Note that three of the top five (Wikipedia, Craigslist, Mozilla) are essentially not-for-profits sitting on very valuable assets. The valuations for those three are based on what they would be worth if they were run differently with an eye towards maximizing revenues—which, of course, could impact how consumers interact with them, which in turn would impact their valuations. Another 25 startups make up the contenders list, which includes Federated Media ($245 million), Yelp ($225 million), Meebo ($220 million), Mahalo ($150 million), Digg ($125 million), Etsy ($115 million), Powerset ($80 million), and Twitter ($75 million). A full list that changes dynamically every 20 minutes, based on changes in the Nasdaq, can be found here (although, exactly how the valuations are linked to the Nasdaq is never clearly explained) Some of these valuations have more merit than others. Some have none whatsoever. For instance, SAI gets at its $125 million valuation for Digg by “splitting the difference” between a $200 million buyout rumor we reported and the $60-to-$80 million that Kara Swisher came up with. Splitting the difference between two rumors is not exactly the height of financial analysis. But what are you gonna do? At least SAI acknowledges that the list is an imperfect work in → Read More

    March 13th, 2008

    Hummer Winblad Partner Will Price Resigns To Head WidgetBox

    It’s not often a partner at a successful venture capital fund leaves to do anything except retire (although there is some evidence to the contrary). But Will Price, a general partner at Hummer Winblad Venture Partners, has resigned from his firm and, as of today, is the CEO of widget startup Widgetbox. The company has raised $14.5 million from Hummer Winblad, Sequoia Capital and Northgate Capital. Hummer Winblad has been around since 1989 and has invested $620 million of so in startups. Price feels that Widgetbox is poised to take advantage of the huge surge in widget usage. And if the AOL acquisition of Goowy and the recent Slide valuation is any indication, there’s lots of room to grow for Widgetbox. I asked Price to write a guest post telling us why he made the decision to leave a very safe and very lucrative job and enter the very unsafe and risky world of startups again. His post is below, although it can largely be summed up in this post, too. If you want to follow Price’s regular updates, his blog is here. My name is Will Price and until yesterday I served as a General Partner at Hummer Winblad Venture Partners, an early stage venture capital firm that was founded in 1989 (investments include TheKnot, Napster, HubPages, Omniture, Powersoft, Hyperion and others). While passionate about the firm and the venture industry, I am leaving Hummer Winblad today to take the CEO role at one of the startups I invested in – Widgetbox. Michael Arrington kindly offered me the chance to explain my decision to leave venture capital and to join Widgetbox as the CEO. While the detail follows, in summary the combination of my personal aspirations to return to an operating role and my passion for the widget market and the company (which I helped seed fund) made this a no-brainer move for me. My logic: The best markets and the best companies ride the tide of history. Widgets are such a market. The Web’s tide is open, distributed, standard, user-defined, and, in many ways, the most powerful force of the modern era. Widgets are not a fad, or web 2.0-hype, but fundamentally they are the unit by which users are assembling and defining their web experience. Widgets are portable applications that are user-defined, user-assembled, and consumed independent of the source of the underlying content, commerce, and application functionality. → Read More

    February 3rd, 2008

    Amid Yahoo Turmoil, AOL Makes An Acquisition

    On Monday AOL will announce the acquisition of San Diego-based Goowy, a startup founded in late 2004 and which launched, incidentally, in my living room in late 2006 (we had a TechCrunch party where Goowy, Meebo, Sphere and other startups launched). The size of the deal is not being disclosed. Their first product was a Flash-based webtop or alternative operating system. But later they went into the widget space with their YourMinis product, and that is the reason AOL has acquired them. AOL SVP of Social Media, Messaging and Homepages David Liu said this was a deal they’ve been considering for the last nine months, and that they plan to integrate Goowy’s technology into both user-facing AOL products (to widgetize them) as well as their Platform A advertising network. Expect Platform A to launch significant new advertising products in the widget space soon, Liu says. This is a significant win for Goowy founder and CEO Alex Bard, who has run a tight operation over the years. The company has just six employees and raised a single round of financing from Mark Cuban in April 2006 (the size of that round remains undisclosed, but it was almost certainly under $1 million). He says the Goowy team will remain in San Diego for at least the short term. Goowy competes with a number of startups in the widget advertising space, including Widgetbox, ClearSpring and Gigya. VideoEgg, Slide and RockYou also compete in this area. AOL has been busy acquiring promising young startups – they bought Israel-based Yedda last November as well. CrunchBase Information Goowy Widgetbox ClearSpring Gigya VideoEgg Slide RockYou Information provided by CrunchBase → Read More

    January 31st, 2008

    How Much Is a Facebook Ad Worth? Lookery "Guarantees" (Drum Roll) 12.5-Cent CPMs.

    It should come as no surprise that the ad inventory on social networks like Facebook are not worth much. A new offer by Lookery, a startup that places ads on social apps inside Facebook and Bebo, is offering a guaranteed ad rate of 12.5 cents for every thousand impressions (CPM). The promotion, which runs through April is probably close to what Lookery can get for ads it places on Facebook. Add in 2 cents per thousand impressions for serving the ads and you get to about a 15 cent CPM. That is probably a good average for the bulk of inventory on Facebook, which makes up the vast majority of Lookery’s business. This is a market-share play for Lookery. By offering a guaranteed rate, it hopes to attract enough application publishers to get to a billion impressions a month, up from 170 million in December. Lookery is smaller than the other major social-app ad networks, like Slide, RockYou, and Social Media. On social networks, more so even than on the Web in general, advertising is obviously a volume game. And Lookery is trying to catch up to the larger app ad networks, which may very well have higher average CPM rates, by taking all the low-hanging penny inventory that is out there. Find out more here. CrunchBase Information Social Media Slide RockYou Information provided by CrunchBase → Read More

    January 31st, 2008

    Meebo Turns Chat Rooms Into A Web Service

    Today, Web-based IM and chat room provider Meebo is releasing full-fledged APIs for its Meebo Rooms that will allow Websites to embed chat functionality in an automated fashion. Currently, Meebo Rooms can be embedded on sites or blogs manually by pasting in the appropriate code, which has already led to a proliferation of such widgets. There are more than 200,000 Meebo Rooms, attracting millions of visitors a month. (See our previous coverage here and here). Explains Meebo CEO Seth Sternberg: Now, the servers of our partners can say, “I want to create a room.” It automates the creation process on a server-to-server basis. Also, we will be putting advertising into these rooms. In addition to the APIs, the company is also announcing the Meebo Network, which will serve ads inside Meebo Rooms across the Web, splitting the revenues with the Websites hosting the rooms. Since each Meebo Room is formed around a particular interest, ads can be targeted. And to the extent that sites participating in the network have demographic data on their members, that can be used for ad targeting as well. Only Meebo Rooms created through the API will show ads, not the ones created manually. The launch partners joining the Meebo Network are Piczo, Revision3, RockYou, Social Project, and Tagged. Revision3, for instance, will create a Meebo room on its site where fans can watch a synchronized loop of Web TV shows while chatting. Access to the full APIs and the ad network is by invitation only at this point. Social networks could use the new APIs to automatically add chat rooms to every group page. Rock bands or movie sites could add Meebo Rooms to their sites for visiting fans. Comparisons can be made here to Userplane, a white-label chat service which was bought by AOL in 2006 and powers many of the chat rooms on MySpace. But there are subtle differences. Most notable is the fact that Meebo Rooms can spread anywhere on the Web. Anyone can grab the embed code and put it on their blog or MySpace page as I’ve done below. Notes Sternberg: A user cannot take a room off of MySpace and throw it somewhere else. We have all our rooms networked. A user can take the CBS Jericho room, and throw it on their WordPress blog. Our chat rooms are networked versus islands within Websites. It is very hard to → Read More

    January 30th, 2008

    Google, Facebook Battle For Computer Science Grads. Salaries Soar.

    Google and Facebook are fighting hard to hire this years crop of computer science graduates, we’ve heard, and ground zero is Stanford. Most of the class of 2008 already have job offers even though graduation is months away. Last year, salaries of up to $70,000 were common for the best students. This year, Facebook is said to be offering $92,000, and Google has increased some offers to $95,000 to get their share of graduates. Students with a Masters degree in Computer Science are being offered as much as $130,000 for associate product manager jobs at Google. Apparently the popular Facebook Applications class is getting a lot of attention from other startups, too. Slide and RockYou are both recruiting hard. One source says that RockYou is approaching students and telling them they aren’t hiring them, they’re “acquiring” their “companies” and will let them continue to work on their applications after graduation. That is, of course, some serious smoke blowing – any code they’ve been working on in the class is likely to be shelved by RockYou. Still, it’s a great way to recruit by making these students feel like they’re entering into some kind of an M&A transaction. Something tells me the Pitzer students who’ve enrolled in the Learning From YouTube class aren’t getting the same types of offers. If you are a CS student at Stanford or another top university, tell us what’s happening with recruiting. Update: Good comments below from students confirming these (and even higher) salaries. → Read More

    December 18th, 2007

    PlayFirst Takes $16.5 Million Series C, Inks Deal With RockYou

    Casual gaming startup PlayFirst has secured $16.5 million Series C in a round led by DCM that included original investors Mayfield Fund, Trinity Ventures and Rustic Canyon Partners. The new round brings total funding for PlayFirst to $26.5 million. San Francisco based PlayFirst was founded in 2004 and is focused on creating “shared casual game experiences around lasting original brands” that includes game play “rich in story and character.” PlayFirst titles include Wedding Dash, Chocolatier, and Dream Chronicles. Accompanying news of the funding was a new deal between PlayFirst and RockYou. Under the deal RockYou will distribute PlayFirst games through its widget and social networking service, with Wedding Dash the first title to be made available to Facebook users. PlayFirst sees the deal a way of tapping into the growing popularity of social networking sites as a gaming platform. According to PlayFirst, Wedding Dash has so far been downloaded 200 million times by users on PC, Mac, mobile and handheld platforms. CrunchBase Information PlayFirst RockYou Information provided by CrunchBase → Read More

    December 2nd, 2007

    RockYou App Slides to Top Spot on Facebook

    On Friday, RockYou took over the top spot on Facebook’s list of applications with the most active users. The application, called Super Wall, overtook Slide’s FunWall. Slide still has the No. 2, No. 3, and No. 6 Facebook apps, while RockYou only has one other app in the top ten (X Me, at No. 5). The top apps are still ruled by a few dominant names. In a press release touting that it is now better than Slide, RockYou also claims to run the biggest ad network on Facebook. But it is unclear how many of these ads are circular links to other apps. There is a lot of funny money on Facebook. Rock on. CrunchBase Information RockYou Slide Facebook Information provided by CrunchBase → Read More

    November 2nd, 2007

    First OpenSocial Application Hacked Within 45 Minutes

    It didn’t take long for someone to hack the first OpenSocial application. In fact, it took just 45 minutes. A developer who goes by the alias “theharmonyguy” and describes himself as “just an amateur” claims to have compromised the RockYou OpenSocial application on Plaxo called emote (see the Plaxo blog for details on the application). Specifically, he claims to have added a number of emoticons to Plaxo VP Marketing John McCrea’s profile within 45 minutes of it launching. In an email, McCrea said he added all of the emoticons himself and his account doesn’t appear to be hacked. But when I asked theharmonyguy to hack my Plaxo account he did, within minutes, adding four quick emoticon messages such as “michael arrington is getting my bling on” and “michael arrington is w00t” (see image to left, none of those were added by me). theharmoneyguy then added one more to McCrea’s account, which will be difficult for him to deny: theharmonyguy also pointed out specific problems with RockYou’s code, including some fairly humorous comments: Some interesting code in there. For one, the app still doesn’t seem to be live for most of us (John McCrea from Plaxo has used it somehow) – it currently loads a “Please wait” iframe that never changes. But check out these code comments: // TODO: no error checking – we’re bold… // TODO: figure out why this is necessary??? Also, the code constantly branches between Plaxo and “default,” which appears to be Orkut. In fact, there are some hardcoded names that I bet showed up in some OpenSocial screenshots somewhere: if (getContainerType() == “orkut”) { friendIds[iNumFriends] = “11285577331363942034″; friendNames[iNumFriends] = “Raymond Chan”; iNumFriends = iNumFriends + 1; friendIds[iNumFriends] = “15479081059638046412″; friendNames[iNumFriends] = “Jia Shen”; iNumFriends = iNumFriends + 1; } theharmonyguy says he’s successfully hacked Facebook applications too, including the Superpoke app, but that it is more difficult: Facebook apps are not quite this easy. The main issue I’ve found with Facebook apps is being able to access people’s app-related history; for instance, until recently, I could access the SuperPoke action feed for any user. (I could also SuperPoke any user; not sure if they’ve fixed that one. Finally, I can access all the SuperPoke actions – they haven’t fixed that one, but it’s more just for fun.) There are other apps where, last I checked, that was still an issue ( e.g. viewing anyone’s Graffiti posts). → Read More

    October 30th, 2007

    Details Revealed: Google OpenSocial To Launch Thursday

    Details emerged today on Google’s broad social networking ambitions, first reported here in late September, with a follow up earlier this week. The new project, called OpenSocial (URL will go live on Thursday), goes well beyond what we’ve previously reported. It is a set of common APIs that application developers can use to create applications that work on any social networks (called “hosts”) that choose to participate. What they haven’t done is launch yet another social network platform. As more and more of these platforms launch, developers have difficult choices to make. There are costs associated with writing and maintaining applications for these social networks. Most developers will choose one or two platforms and ignore the rest, based on a simple cost/benefit analysis. Google wants to create an easy way for developers to create an application that works on all social networks. And if they pull it off, they’ll be in the center, controlling the network. What They’re Launching OpenSocial is a set of three common APIs, defined by Google with input from partners, that allow developers to access core functions and information at social networks: Profile Information (user data) Friends Information (social graph) Activities (things that happen, News Feed type stuff) Hosts agree to accept the API calls and return appropriate data. Google won’t try to provide universal API coverage for special use cases, instead focusing on the most common uses. Specialized functions/data can be accessed from the hosts directly via their own APIs. Unlike Facebook, OpenSocial does not have its own markup language (Facebook requires use of FBML for security reasons, but it also makes code unusable outside of Facebook). Instead, developers use normal javascript and html (and can embed Flash elements). The benefit of the Google approach is that developers can use much of their existing front end code and simply tailor it slightly for OpenSocial, so creating applications is even easier than on Facebook. Applications can have full functionality on profile and/or canvas pages, subject to the specific rules of each host. Facebook, by contrast, limits most functionality to the canvas page, allowing a widget on the profile page with limited features. OpenSocial is silent when it comes to specific rules and policies of the hosts, like whether or not advertising is accepted or whether any developer can get in without applying first (the Facebook approach). Hosts set and enforce their own policies. The APIs are → Read More

    September 29th, 2007

    Facebook To Launch Friend Grouping. Competition Can Suck.

    So Facebook will finally allow users to group friends and control information flow based on friend type. For guys like Robert Scoble, who have 5,000 friends (the limit), this may be a way to finally sort through the real friends from the fans. It’s a much needed feature that people have been requesting for a long time. It also shows the steady maturity of Facebook from a college network to a full on world network, where friendships, business contacts, family and other types of relationships need to be more fully described. And this is also as much about privacy as it is about organization – users will be able to limit the information that certain friend groups receive. A few existing applications are going to be affected, like Slide’s Top Friends application, the most popular third party app on Facebook. Lots of other applications will likely need to be tweaked to work properly when this launches (so many of them access the friends list). And this will shut down at least one “startup” we’ve been tracking that was creating this exact feature as an application. At least they can quit now and stop putting good time and money after bad. Building Facebook applications is a big dice roll. If it’s too popular or too obvious of an idea (even if it hasn’t been done yet), Facebook is just as likely to compete with you as pay a few bucks and just buy you (they are probably more likely to compete with you than buy you, actually). Some developers will probably wonder if getting a cash grant from Facebook’s just-announced fbFund will lessen the likelihood of direct competition from the company. Only time will tell. Update: Wired is writing about a slew of Facebook ad networks and the almost inevitable fact that Facebook will be competing with them directly, too. We’ve covered most of these: SocialMedia, VideoEgg, Lookery, fbExchange, and RockYou. Also mentioned are Cubics and Appfuel. Lots of brave souls racing to build a business before Facebook comes in and stomps all over the scene. → Read More

    August 28th, 2007

    Slide Users Adding One Million New Widgets Daily: That's a Lot Of Widgets

    San Francisco based social network widget provider Slide has hit new highs, with reports that they are now serving over one million new widgets daily. Slide provides widget based photo slideshows that users can embed in a range of social networking sites including MySpace, Facebook, Bebo and Friendster. Slide has impeccable backing, being founded by PayPal co-founder Max Levchin and funded by Mayfield Fund, Khosla Ventures, BlueRun Ventures and Founders Fund with a rumored round of $20million in November 2006. Slide’s Facebook apps alone have a combined usage number in excess of 10 million users. comScore reports that Slide was serving 117 million unique visitors a month as of April 2007. Slide competes directly with services including RockYou, Flektor, and Photobucket. → Read More

    August 16th, 2007

    Facebook Takes Action Against "Black Hat" Apps

    Some of the most popular Facebook applications are using highly questionable tactics to spread themselves virally. Users have noticed and complained, and Facebook took action today to put stop the most egregious behavior. There are two ways application developers are breaking the rules to get new users. The first: When a user looks at an application on his/her profile the application can show something different than when other users view the profile. So a user adds an application that looks nice to them. But everyone else sees, say, a big yellow box with an advertisement that says the user wants you to add this application, too. The second and more devious scheme is being used by many of the largest application developers. They all involve some sort of notification fraud. Generally, you add an application. Then, every one of your contacts is notified that you’ve “written on their wall” or “have asked them a question,” even though you never did. To view the content the contact must add the application. They then find out there is no wall comment, or its a canned question like “is it ok to kiss on the first date?” Super Wall (RockYou, 4.5 m installs), My Questions (Slide, 6.9 m installs) and FunWall (Slide, 3.6 m installs) all do this (and users complain loudly in the comments area to the apps – see here and scroll down). Facebook Hits Back Facebook took measures today to stop these kinds of activities. The first is dealt with in the new release (1.1) of FBML, the markup language used to build Facebook applications. Developers will no longer be able to show a different profile to friends than the one the user sees him/herself: One of the key parts of the success of the design of the Facebook profile is that the user is always aware of exactly what their profile looks like to their friends who stop by to view their profile. This enables users to understand exactly how they are expressing themselves to others by simply deciding whether or not they like an application’s profile box and the content that the developer has decided to put into the box. Right now, we have made a few FBML tags available that are causing users to not trust the content in the profile box. Tags such as: fb:if-user-has-added-app, and other fb-if tags. These tags are currently being used to → Read More

    July 27th, 2007

    How Much Is A Facebook User Worth? At Least $0.30

    People aren’t wasting any time trying to figure out how to monetize all those thousands of Facebook apps that have sprung up over the last couple of months. At least three advertising experiments have launched – the most promising, by far, is RockYou. fbExchange The first out the door was FBExchange, a copycat of the LinkExchange idea from the nineties. It was created by the 30Boxes Calendar team – Narendra Rocherolle, Julie Davidson and Nick Wilder. Display others’ ads on your facebook application and build up credits, which can then be used to run your own ads on other apps. It’s a cheap and easy way to get exposure for your application, should the viral Facebook machine not create enough growth to keep you happy. See GigaOm for more. The company says they’ve booked $200k in revenue after just two weeks live. Lookery Lookery, founded by serial entrepreneur Scott Rafer, is a straight up advertising network targeted solely at Facebook applications. They say they’ll have access to deep demographic data on users and can therefore target ads to users with very specific characteristics – a woman between the ages of 20-25 in New York, for example. That theoretically will lead to much higher advertising rates. I like the idea, but Facebook itself has access to the same data and more and has had trouble selling high CPM ads at scale. Lookery needs big scale to be successful, and so will likely struggle in the early days. For now, Rafer says, they are passing 100% of revenue to content providers and will start to take a cut in a month or so when the economics support it. RockYou RockYou has been quietly testing their own idea of an advertising network – selling “users” to other applications. They’ve had a tremendous amount of success building viral applications on Facebook so far. Their Super Wall app, for example, has nearly 3 million users and is adding hundreds of thousands of new users each day. It’s basically what it says – a better “wall” where friends can leave messages. With Super Wall, people can add pictures, video and other rich media. They’re offering to promote third party applications on Super Wall, and charging on a per-user-acquired (CPA) basis. When a user is signing up for Super Wall they are asked if they’d like to also add a additional application (the advertiser). See the screen → Read More

    May 11th, 2007

    Slide Reveals Big Stats; Look Out For Newcomer Flektor

    The news earlier this week that MySpace is acquiring Photobucket for up to $300 million highlights the importance of the widget space in general, and photo/video sharing widgets in particular. Competitors like Slide and RockYou allow users to create photo slide shows with various effects and transitions, and then embed those slide shows onto MySpace pages and other profiles. These services are growing rapidly. Newcomer Flektor wants to carve out a piece of this market for itself, and we think they have to tools to compete with these more established startups. Slide Slide’s most recent financing, rumored to be in the $20 million range, is a reflection of this growth. According to Hitwise, they have grown by more than 2,000% in the last year. Slide tells us that they are delivering more than 150 million daily slide show views and that more than 200,000 new slides shows are created daily (a press release will be issued later today). Flektor The new kid on the slide show block is Flektor. It just recently came out of beta and has few users so far, but we’re hearing they are getting a lot of attention from potential acquirors. Flektor’s founders, Jason Rubin and Andy Gavin, previously co-founded game developer Naughty Dog (Crash Bandicoot and Jak Daxter), which was acquired by Sony Computer Entertainment in 2000. These guys are experts in creating attractive user interfaces, and Flektor is a generation ahead of Slide and RockYou in ease and flexibility in creating slide shows and related products. Like Photobucket’s recent offering, Flektor allows users to create slide shows using video, photos, text and effects/transitions, something Slide and RockYou have yet to release (Slide and RockYou also don’t do effects, which are like Photoshop filters – users eat this stuff up). In our testing we also found the Flektor creation wizard to be far easier to use than the current Slide and RockYou offerings. Click on the screen shot for a larger view. Slide and RockYou have valuations that prohibit speculative acquisitions. Flektor is brand new and doesn’t have the capitalization complications of the older startups. My bet (and rumors around the valley back this up) is they may be acquired in the next six months by one of the social networks, perhaps one of the up and comers looking for as many tools as possible to compete with MySpace. → Read More

    March 5th, 2007

    More Information On RockYou Financing

    More details on the RockYou financing are leaking, although we still can’t get confirmation from the company or previous investors. A source close to the company says they raised $11 million in this second round at a $50 million post money valuation, most or all from European investor Partech. The company had previously raised $1.5 million from Sequoia Capital and Lightspeed Venture Partners. We’re also hearing that Lightspeed and Sequoia participated pro rata. All outside data sources suggest RockYou is second to Slide, which raised a large round of financing late last year. However, an investor, Lightspeed partner Jeremy Liew, argues that RockYou is actually bigger than Slide in a comment to our previous post. → Read More

    March 3rd, 2007

    Big Round of Funding For RockYou

    We’re getting reports from multiple sources (but no confirmation from the company yet) that photo widget company RockYou has raised a big round of financing. The unconfirmed numbers are $10+ million at a $50+ million valuation, which is in line with what competitor Slide raised late last year. The company had previously raised $1.5 million from Sequoia Capital and Lightspeed Venture Partners. Slide is the undisputed leader in this space in terms of usage, although PhotoBucket has the most recent Flash tools that allow slide shows containing video, photos and music (look for RockYou and Slide to launch these tools promptly as well). Recent competitor FilmLoop is in the TechCrunch DeadPool after their largest investor, ComVentures, threw them under a bus. RockYou was involved in a legal dispute last year over the ownership of the original intellectual property used to create the company. Update: Lightspeed Partner Jeremy Liew has a good comment below, and also see his blog post from last month discussing his thoughts on RockYou and other widget companies. → Read More

    February 4th, 2007

    SuperBowl Ads (Not Really) From Startups

    Today’s the day – SuperBowl XLI. Hundreds of millions of people around the world will eat junk food, drink beer, and watch the best television advertising all year interrupted periodically with a football game. Six startups (Meebo, Meez, Multiply, Plaxo, RockYou and Technorati) who can’t afford the $2.5 million plus for a thirty second spot during the game got together to produce low-budget “SuperBowl” ads and put them on YouTube. Some of them are pretty entertaining. Others, not so much. We’ve embedded all of them below and have a poll to see which one you like the best. By the way, last year’s real SuperBowl ads are still up on Google Video at video.google.com/superbowl.html. I assume Google will replace those ads with SuperBowl XLI ads tomorrow. Yahoo will also be hosting the actual SuperBowl ads once the games starts at Yahoo Video. My favorite “startup” ad is Technorati, although they cheated by using footage from one of my favorite movies. Plaxo and Meebo are tied for second place. The ads and poll are below, in this order: Meebo, Meez, Multiply, Plaxo, RockYou and Technorati: → Read More

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    Crunchbase

    Funky Moves — Received £332k in Unattributed funding
    5.29.2012
    Funky Moves — Company added to CrunchBase
    5.29.2012
    Partech International — Invested in Sensee.
    5.29.2012
    Compliance11 — Acquired by Compliance11, Inc..
    11.15.2012
    Facebook — Went public with stock symbol NASDAQ:FB.
    5.18.2012
    Compliance11 — Acquired by Compliance11, Inc..
    11.15.2012
    Bolt | Peters — Acquired by Facebook for $50M.
    6.21.2012
    FounderMatchup — Acquired by CoFoundersLab.
    5.22.2012
    GlobalEnglish — Acquired by Pearson for $90M.
    5.25.2012
    Chick Approved — Acquired by Lockerz.
    5.25.2012
    Funky Moves — Received £332k in Unattributed funding
    5.29.2012
    Sensee — Received €17.5M in Unattributed funding from Partech International, Orkos Capital, and IDInvest Partners
    5.29.2012
    Rosslyn Analytics — Received Unattributed funding from IQ Capital Partners
    5.29.2012
    The Etailers — Received €400k in Unattributed funding from Caixa Capital
    5.28.2012
    OptoNova — Received Unattributed funding from Almi Invest
    5.28.2012
    Partech International — Invested in Sensee.
    5.29.2012
    IDInvest Partners — Invested in Sensee.
    5.29.2012
    Orkos Capital — Invested in Sensee.
    5.29.2012
    5.29.2012
    Caixa Capital — Invested in The Etailers.
    5.28.2012
    Facebook — Went public with stock symbol NASDAQ:FB.
    5.18.2012
    Funky Moves — Company added to CrunchBase
    5.29.2012
    Sensee — Company added to CrunchBase
    5.29.2012
    The Etailers — Company added to CrunchBase
    5.29.2012
    OptoNova — Company added to CrunchBase
    5.29.2012
    Infrafone — Company added to CrunchBase
    5.29.2012
    PocketHound — Product added to CrunchBase
    5.28.2012
    http://www.pingola.co.il/ — Product added to CrunchBase
    5.28.2012
    http://www.pingola.ru/ — Product added to CrunchBase
    5.28.2012
    AnB — Product added to CrunchBase
    5.28.2012
    CrunchBase