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Across the board, industries need to embrace modern workflows to keep up with the speed of startups. And out of all the various methodologies, I find the “lean methodology” to be the most intriguing of them all. It’s a unique combination of pragmatism and a higher purpose.
Lean methodology descends directly from the Toyota Production Systems (TPS), which is based on a philosophy of eliminating waste to achieve efficiency in processes. It relies heavily on the mindset of “just-in-time,” making only “what is needed when needed, and in the amount needed.” In software development, this means only developing the features your clients need, and only when they need them.
To emphasize the point and stir some creative juices, let’s look at the Japanese concepts of muda, mura and muri, and how this applies to being lean when we are building and shipping software.
Muda is the “waste” we are working to remove that is directly hurting efficiency. Waste is any activity that doesn’t create value, in the form of the products and services we offer. As every engineer knows, spending half the day in meetings is a painful waste of time.
Mura is “unevenness,” referring to any variance in the process itself or the output generated. In software development, “mura” causes unpredictability that makes it impossible to embrace a “just-in-time” mindset. If the quality of a new upcoming feature is uncertain, then additional time and resources will have to be reserved for quality assurance and bug-fixing efforts. It’s better to know upfront what you are going to get, how long it will take and what the cost will be.
Muri is “overburden,” which happens when we demand the unreasonable from our team, tools and processes. If we want to deliver a specific feature just-in-time, then we must allocate the appropriate time and resources. Giving our engineering teams too many simultaneous tasks, or failing to give them the tools necessary to succeed, will only lead to disappointment in time, quantity, quality or cost.
Diving deeper into muda — what I consider the cardinal sin of lean methodology — here are the forms of waste we should always be on the lookout for:
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For the first few months it was operating, Shelf Engine, the Seattle-based company that optimizes the process of stocking store shelves for supermarkets and groceries, didn’t have a name.
Co-founders Stefan Kalb and Bede Jordan were on a ski trip outside of Salt Lake City about four years ago when they began discussing what, exactly, could be done about the problem of food waste in the U.S.
Kalb is a serial entrepreneur whose first business was a food distribution company called Molly’s, which was sold to a company called HomeGrown back in 2019.
A graduate of Western Washington University with a degree in actuarial science, Kalb says he started his food company to make a difference in the world. While Molly’s did, indeed, promote healthy eating, the problem that Kalb and Bede, a former Microsoft engineer, are tackling at Shelf Engine may have even more of an impact.
Food waste isn’t just bad for its inefficiency in the face of a massive problem in the U.S. with food insecurity for citizens, it’s also bad for the environment.
Shelf Engine proposes to tackle the problem by providing demand forecasting for perishable food items. The idea is to wring inefficiencies out of the ordering system. Typically about a third of food gets thrown out of the bakery section and other highly perishable goods stocked on store shelves. Shelf Engine guarantees sales for the store, and any items that remain unsold the company will pay for.
Image: OstapenkoOlena/iStock
Shelf Engine gets information about how much sales a store typically sees for particular items and can then predict how much demand for a particular product there will be. The company makes money off of the arbitrage between how much it pays for goods from vendors and how much it sells to grocers.
It allows groceries to lower the food waste and have a broader variety of products on shelves for customers.
Shelf Engine initially went to market with a product that it was hoping to sell to groceries, but found more traction by becoming a marketplace and perfecting its models on how much of a particular item needs to go on store shelves.
The next item on the agenda for Bede and Kalb is to get insights into secondary sources like imperfect produce resellers or other grocery stores that work as an outlet.
The business model is already showing results at around 400 stores in the Northwest, according to Kalb, and it now has another $12 million in financing to go to market.
The funds came from Garry Tan’s Initialized and GGV (and GGV managing director Hans Tung has a seat on the company’s board). Other investors in the company include Foundation Capital, Bain Capital, 1984 and Correlation Ventures .
Kalb said the money from the round will be used to scale up the engineering team and its sales and acquisition process.
The investment in Shelf Engine is part of a wave of new technology applications coming to the grocery store, as Sunny Dhillon, a partner at Signia Ventures, wrote in a piece for TechCrunch’s Extra Crunch (membership required).
“Grocery margins will always be razor thin, and the difference between a profitable and unprofitable grocer is often just cents on the dollar,” Dhillon wrote. “Thus, as the adoption of e-grocery becomes more commonplace, retailers must not only optimize their fulfillment operations (e.g. MFCs), but also the logistics of delivery to a customer’s doorstep to ensure speed and quality (e.g. darkstores).”
Beyond Dhillon’s version of a delivery-only grocery network with mobile fulfillment centers and dark stores, there’s a lot of room for chains with existing real estate and bespoke shopping options to increase their margins on perishable goods, as well.
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During the days when Snapchat’s popularity was booming, investors thought the company would become the anchor for a new Los Angeles technology scene.
Snapchat, they hoped, would spin-off entrepreneurs and angel investors who would reinvest in the local ecosystem and create new companies that would in turn foster more wealth, establishing LA as a hub for tech talent and venture dollars on par with New York and Boston.
In the ensuing years, Los Angeles and its entrepreneurial talent pool has captured more attention from local and national investors, but it’s not Snap that’s been the source for the next generation of local founders. Instead, several former SpaceX employees have launched a raft of new companies, capturing the imagination and dollars of some of the biggest names in venture capital.
“There was a buzz, but it doesn’t quite have the depth of bench of people that investors wanted it to become,” says one longtime VC based in the City of Angels. “It was a company in LA more than it was an LA company.”
Perhaps the most successful SpaceX offshoot is Relativity Space, founded by Jordan Noone and Tim Ellis. Since Noone, a former SpaceX engineer, and Ellis, a former Blue Origin engineer, founded their company, the business has been (forgive the expression) a rocket ship. Over the past four years, Relativity href=”https://techcrunch.com/2019/10/01/relativity-a-new-star-in-the-space-race-raises-160-million-for-its-3-d-printed-rockets/”> has raised $185.7 million, received special dispensations from NASA to test its rockets at a facility in Alabama, will launch vehicles from Cape Canaveral and has signed up an early customer in Momentus, which provides satellite tug services in orbit.
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Canonical, the company behind the popular Ubuntu Linux distribution, today announced the launch of Anbox Cloud, a new platform that allows enterprises to run Android in the cloud.
On Anbox Cloud, Android becomes the guest operating system that runs containerized applications. This opens up a range of use cases, ranging from bespoke enterprise apps to cloud gaming solutions.
The result is similar to what Google does with Android apps on Chrome OS, though the implementation is quite different and is based on the LXD container manager, as well as a number of Canonical projects like Juju and MAAS for provisioning the containers and automating the deployment. “LXD containers are lightweight, resulting in at least twice the container density compared to Android emulation in virtual machines – depending on streaming quality and/or workload complexity,” the company points out in its announcements.
Anbox itself, it’s worth noting, is an open-source project that came out of Canonical and the wider Ubuntu ecosystem. Launched by Canonical engineer Simon Fels in 2017, Anbox runs the full Android system in a container, which in turn allows you to run Android application on any Linux-based platform.
What’s the point of all of this? Canonical argues that it allows enterprises to offload mobile workloads to the cloud and then stream those applications to their employees’ mobile devices. But Canonical is also betting on 5G to enable more use cases, less because of the available bandwidth but more because of the low latencies it enables.
“Driven by emerging 5G networks and edge computing, millions of users will benefit from access to ultra-rich, on-demand Android applications on a platform of their choice,” said Stephan Fabel, director of Product at Canonical, in today’s announcement. “Enterprises are now empowered to deliver high performance, high density computing to any device remotely, with reduced power consumption and in an economical manner.”
Outside of the enterprise, one of the use cases that Canonical seems to be focusing on is gaming and game streaming. A server in the cloud is generally more powerful than a smartphone, after all, though that gap is closing.
Canonical also cites app testing as another use case, given that the platform would allow developers to test apps on thousands of Android devices in parallel. Most developers, though, prefer to test their apps in real — not emulated — devices, given the fragmentation of the Android ecosystem.
Anbox Cloud can run in the public cloud, though Canonical is specifically partnering with edge computing specialist Packet to host it on the edge or on-premise. Silicon partners for the project are Ampere and Intel .
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Japanese startup FPV Robotics is leveraging drone technology to address a growing global need: inspecting aging infrastructure in an effort to avoid major issues like unexpected bridge collapses. FPV Robotics CEO and founder Masaki Komagata showed me his company’s production Waver drone, which is debuting for the first time ever at CES 2020 in Las Vegas this week.
Waver is an amphibious drone, which can fly thanks to eight rotors, and also speed along the surface of bodies of water using its floats. This dual nature makes it particularly well-suited to solving a very specific task — a problem Komagata set out specifically to solve after observing that Japan Railways (JR) needed this addressed.
This specific problem was rail bridge collapse, including damaged and destroyed bridges along the Tadami River in 2011 due to floods in Niigata and Fukushima. Many of the spans that JR relies upon for its Shinkansen and other local trains in Japan are considerably old, and beginning to show their age. That wear can be further exasperated by environmental disasters — which are occurring with greater frequency as a result of climate change.
FPV Robotics can’t magically repair this aging infrastructure or prevent natural disasters, but it can deliver on-demand, flexible monitoring and inspection at a greatly reduced cost compared to current methods. Komagata partnered with JR and with sensor company OKI on development of the Waver to custom-design it specifically for this use, which is where it got its amphibious abilities and attached multibeam sensor array.
This multibeam technology, provided by OKI, is installed on the bottom of the Waver drone and provides sonar imaging capabilities that allow the drone to accurately map the bottom of a river or seabed from the water’s surface. This information, Komagata tells me, can be used to help predict when infrastructure, including bridges and roads, might need to be replaced or reinforced, prior to any actual collapse or damage.
Waver can autonomously map a predetermined section of riverbed, moving like a Roomba across the water in segment sweeps to build the full picture. It’s also equipped with eight rotors, more than your average VTOL drone, which Komagata tells me is for added redundancy so that it can continue to operate effectively even in the unlikely event that it loses power to multiple rotors at once.
In addition to the sea and river bed inspection, the Waver can do a visual inspection of the bridge itself from up close using a more traditional camera, as well as the supporting land from which it extends. Komagata points out that this kind of multi-part inspection can require specialized boats, many hours of trained personnel time, things like temporary scaffolding for a close-up eyes-on approach and a lot more. He estimates based on studies FPV has done that their drone could reduce inspection costs to as little as 1/20th the cost of existing methods. That means it would be possible to monitor much more frequently than can be done currently, and in circumstances where risk to human inspectors on the ground might be a necessary component of using more traditional means.
Waver estimates that just taking into account bridges alone, there’s a roughly $25 million per year total addressable market, and it’s aiming to acquire around 4% of that (roughly $1 million in revenue) in 2020, and then to grow that by about $2 million per year in the next two fiscal years. It’s currently mostly bootstrapped, with 90% of the startup’s existing ¥30,700,000 ($300,000) in seed funding coming from Komagata himself. With that capital, the company has already gone from working prototype (which you can see in the GIF above) to the much more polished production version debuted at CES.
Komagata, an engineer with a focus in drone development, envisions Waver being able to address challenges with aging infrastructure not just in Japan, but globally, though FPV’s initial focus is on the market opportunity at home. Ultimately, he hopes that Waver and other drone technology FPV Robotics brings to market helps to “make the world a better place,” and addressing challenges like infrastructure inspection is definitely a good place to start.
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Hello and welcome back to Startups Weekly, a weekend newsletter that dives into the week’s noteworthy startups and venture capital news. Before I jump into today’s topic, let’s catch up a bit. Last week, I wrote about a new e-commerce startup, Pietra. Before that, I wrote about the flurry of IPO filings.
Remember, you can send me tips, suggestions and feedback to kate.clark@techcrunch.com or on Twitter @KateClarkTweets. If you don’t subscribe to Startups Weekly yet, you can do that here.
Peloton revealed its S-1 this week, taking a big step toward an IPO expected later this year. The filing was packed with interesting tidbits, including that the company, which manufacturers internet-connected stationary bikes and sells an affiliated subscription to its growing library of on-demand fitness content, is raking in more than $900 million in annual revenue. Sure, it’s not profitable, and it’s losing an increasing amount of money to sales and marketing efforts, but for a company that many people wrote off from the very beginning, it’s an impressive feat.
Despite being a hardware, media, interactive software, product design, social connection, apparel and logistics company, according to its S-1, the future of Peloton relies on its talent. Not the employees developing the bikes and software but the 29 instructors teaching its digital fitness courses. Ally Love, Alex Toussaint and the 27 other teachers have developed cult followings, fans who will happily pay Peloton’s steep $39 per month content subscription to get their daily dose of Ben or Christine.
“To create Peloton, we needed to build what we believed to be the best indoor bike on the market, recruit the best instructors in the world, and engineer a state-of-the-art software platform to tie it all together,” founder and CEO John Foley writes in the IPO prospectus. “Against prevailing conventional wisdom, and despite countless investor conference rooms full of very smart skeptics, we were determined for Peloton to build a vertically integrated platform to deliver a seamless end-to-end experience as physically rewarding and addictive as attending a live, in-studio class.”
Peloton succeeded in poaching the best of the best. The question is, can they keep them? Will competition in the fast-growing fitness technology sector swoop in and scoop Peloton’s stars?
Last week I published a long feature on the state of seed investing in the Bay Area. The TL;DR? Mega-funds are increasingly battling seed-stage investors for access to the hottest companies. As a result, seed investors are getting a little more creative about how they source deals. It’s a dog-eat-dog world out there, and everyone wants a stake in The Next Big Thing. Read the story here.

Don’t miss out on our flagship Disrupt, which takes place October 2-4. It’s the quintessential tech conference for anyone focused on early-stage startups. Join more than 10,000 attendees — including over 1,200 exhibiting startups — for three jam-packed days of programming. We’re talking four different stages with interactive workshops, Q&A sessions and interviews with some of the industry’s top tech titans, founders, investors, movers and shakers. Check out our list of speakers and the Disrupt agenda. I will be there interviewing a bunch of tech leaders, including Bastian Lehmann and Charles Hudson. Buy tickets here.
This week on Equity, TechCrunch’s venture capital-focused podcast, we had Floodgate’s Iris Choi on to discuss Peloton’s upcoming IPO. You can listen to it here. Equity drops every Friday at 6:00 am PT, so subscribe to us on Apple Podcasts, Overcast and Spotify.
We published a number of new deep dives on Extra Crunch, our paid subscription product, this week. Here’s a quick look at the top stories:
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The “10x engineer.” Shudder. Wince. I have rarely seen my Twitter feed unite against an idea so loudly, or in such harmony.
I refer of course to the thread last month by Accel India’s Shekhar Kirani, explaining “If you have a 10x engineer as part of your first few engineers, you increase the odds of your startup success significantly” and then going on to address, in his opinion, “How do you spot a 10x engineer?”
The resulting scorn was tsunami-like. The very concept of a 10x engineer seems so… five years ago. Since then, the Valley has largely come to the collective conclusion that 1) there is no such thing as a 10x engineer 2) even if there were, you wouldn’t want to hire one, because they play so poorly with others.
The anti-10x squad raises many important and valid — frankly, obvious and inarguable — points. Go down that Twitter thread and you’ll find that 10x engineers are identified as: people who eschew meetings, work alone, rarely look at documentation, don’t write much themselves, are poor mentors, and view process, meetings, or training as reasons to abandon their employer. In short, they are unbelievably terrible team members.
Is software a field like the arts, or sports, in which exceptional performers can exist? Sure. Absolutely. Software is Extremistan, not Mediocristan, as Nassim Taleb puts it.
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You can’t go to an enterprise conference these days without talking containers — and specifically the Kubernetes container management system. It’s no surprise then, that we’ll do the same at our inaugural TC Sessions: Enterprise event on September 5 in San Francisco. As we already announced last week, Kubernetes co-founder Craig McLuckie and Aparna Sinha, Google’s director of product management for Kubernetes, will join us to talk about the past, present and future of containers in the enterprise.
In addition, we can now announce that two other Kubernetes co-founders will join us: Google principal software engineer Tim Hockin, who currently works on Kubernetes and the Google Container Engine, and Microsoft distinguished engineer Brendan Burns, who was the lead engineer for Kubernetes during his time at Google.
With this, we’ll have three of the four Kubernetes co-founders onstage to talk about the five-year-old project.
Before joining the Kuberntes efforts, Hockin worked on internal Google projects like Borg and Omega, as well as the Linux kernel. On the Kubernetes project, he worked on core features and early design decisions involving networking, storage, node, multi-cluster, resource isolation and cluster sharing.
While his colleagues Craig McLuckie and Joe Beda decided to parlay their work on Kubernetes into a startup, Heptio, which they then successfully sold to VMware for about $550 million, Burns took a different route and joined the Microsoft Azure team three years ago.
I can’t think of a better group of experts to talk about the role that Kubernetes is playing in reshaping how enterprise build software.
If you want a bit of a preview, here is my conversation with McLuckie, Hockin and Microsoft’s Gabe Monroy about the history of the Kubernetes project.
Early-Bird tickets are now on sale for $249; students can grab a ticket for just $75. Book your tickets here before prices go up.
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Private rocket launch startup Rocket Lab has succeeded in launching its ‘Make It Rain’ mission, which took off yesterday from the company’s private Launch Complex 1 in New Zealand. On board Rocket Lab’s Electron rocket (its seventh to launch so far) were multiple satellites flow for various clients in a rideshare arrangement brokered by Rocket Lab client Spaceflight.
Payloads for the launch included a satellite for Spaceflight subsidiary BlackSky, which will join its existing orbital imaging constellation. There was also a CubeSat operated by the Melbourne Space Program, and two Prometheus satellites launched for the U.S. Special Operations Command.
Rocket Lab had to delay launch a couple of times earlier in the week owing to suboptimal launch conditions, but yesterday’s mission went off without a hitch at 12:30 AM EDT/4:30 PM NZST. After successfully lifting off and achieving orbit, Rocket Lab’s Electron also delayed all of its payloads to their target orbits as planned.
Later this year, Rocket Lab hopes to have a second privately owned launch complex fully constructed and operational, located in Virginia on Wallops Island. The company, founded by engineer Peter Beck, intends to be able to serve both U.S. government and commercial missions as frequently as monthly from this second launch site.
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Nearly 8,000 Amazon employees, many in prestigious engineering and design roles, have recently signed a petition calling on Jeff Bezos and the Amazon Board of Directors to dramatically shift the giant company’s approach to climate change.
By deploying a kind of corporate social disobedience such as speaking out dramatically at shareholders meetings, and by engaging in a variety of community organizing tactics, the “Amazon Employees for Climate Justice” group has quickly become a leading example of a growing trend in the tech world: tech employees banding together to take strong ethical stances in defiance of their powerful employers.
The public actions taken by these employees and groups have been covered widely by the news media. For my TechCrunch series on the ethics of technology, however, I wanted to better understand what participating actively in this campaign has been like some of the individuals involved.
How are employees in high-pressure jobs balancing their professional roles and responsibilities with being actively, publicly in defiance of their employers on a high-profile issue? How do leaders in these efforts explain the philosophy underlying their ethical stance? And how likely are their ideas to spread throughout Amazon and beyond – perhaps particularly among younger tech workers?
I recently spoke with a handful of the Amazon employees most actively involved in the Employees for Climate Justice campaign, all of whom inspired me– in similar and different ways. Below is the first of two interviews I’ll publish here. This one is with Rajit Iftikhar, a young software engineer from New York who moved to Seattle to work for Amazon after earning his Bachelor’s of Engineering in Computer Science from Cornell in 2016.
Rajit Iftikhar
Rajit struck me as a humble and precociously wise young man who could be a role model — though he seems to have little interest in singling himself out that way — for thousands of other software engineers and technologists at Amazon and beyond.
Greg Epstein: Your personal story has been key to your organizing with Amazon Employees for Climate Justice. Can you start by saying a bit about why?
Rajit Iftikhar: A lot of why I care about climate justice is informed by me having parents from another country that is going to be very adversely affected by [climate change]. Countries like Bangladesh are going to suffer some of the worst consequences from climate change, because of where the country’s located, and the fact that it doesn’t have the resources to adapt.
Bangladesh is already feeling the effects of climate crisis; it is much harder for people to live in the rural areas, [people are] being forced into the cities. Then you have the cyclones that the climate crisis is going to bring, and rising sea levels and flooding.
So, my background [emphasizes, for me] how unjust our emissions are in causing all these problems for people in other countries. And even for communities of color within our country who are going to be disproportionately impacted by the emissions that largely richer people [cause].
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