fleksy
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Kosta Eleftheriou, a co-founder of the Fleksy keyboard app later sold to Pinterest in an acqui-hire deal, has been calling attention to Apple App Store issues like fake reviews, ratings and subscription scams, as well as malicious clone apps, after his own app, FlickType, was targeted by scammers. Now, the developer is taking the next step in his App Store crusade: he’s filing a lawsuit against Apple.
The suit, which the developer claims was filed Wednesday in California Superior Court in Santa Clara county, alleges that Apple enticed developers to build applications for its App Store — the only place iOS applications can be legally sold — by claiming it’s a safe and trustworthy place, but doesn’t protect legitimate app developers against scammers profiting from their hard work.
What’s more, the suit says, Apple is disincentivized to do so because scammers are generating revenue for Apple via their use of subscriptions, which involve a revenue share with Apple.
Eleftheriou has been personally impacted by App Store scammers. He left a well-paying job at Pinterest to develop his FlickType app, an alternative swipe keyboard for Apple Watch. After its launch, the app was targeted by copycat app makers who claim their apps offer the same feature set as FlickType but instead lock users into high-priced subscriptions for their poorly designed software. They also flood their apps with fake ratings and reviews to make them appear to be a much better option when users are looking for an app in this space.
Meanwhile, FlickType sports a 3.5-star rating, as it’s often dinged for Apple Watch platform issues that are outside the developer’s control or missing features users want to call attention to. Eleftheriou engages with his app’s users, however — responding to complaints and letting users know when features they’ve requested were added or bugs have been fixed. Scammers simply buy enough 5-star reviews to keep their apps’ overall ratings higher.
In other words, Eleftheriou is doing the hard work of being an App Store developer carving out a category for swipe keyboards for the Watch, but his potential income is being shifted over to scam apps who have a falsified App Store presence.
In years past, Apple took seriously issues of app quality. It worked to clean up shady subscription apps and remove clones and spam from the App Store through regular sweeps. It even once went so far as to ban apps built using templates in an effort to raise the bar on app quality, which angered small businesses that didn’t have the resources or funds to build more professional apps. (Apple later revised its policy to be more equitable.)
But the new lawsuit alleges that Apple is now doing little to police scammers’ apps because it profits from developer misconduct. Eleftheriou also notes he has raised these issues to Apple via his company KPAW, LLC, but Apple did “next to nothing” to resolve the problem.
Eleftheriou’s story is even more complicated, though, because his app was rejected from the App Store numerous times after meeting with Apple special projects manager Randy Marsden over a possible acquisition. He tells TechCrunch numbers were discussed with Apple and his meetings had included a director and a VP, among others. Apple was considering turning FlickType into an Apple Watch feature, the lawsuit notes.
Shortly thereafter, FlickType was pulled from the App Store over App Store Review Guidelines violations, even as a competitor’s app was approved. Eleftheriou appealed for his app through Developer Relations but was given no guidance on how to prevent the same problem in the future, he said.
Over the months that followed, FlickType continued to face rejections from App Store Review. Apple’s App Store Review said that the app offered a “poor user experience,” even though tech journalists at numerous outlets had praised it, and Apple had once considering buying it. App Review also told the developer that “full keyboard apps are not appropriate for Apple Watch,” while it continued to allow competitors to publish their own keyboard apps.
Apple’s App Review team also allowed third-party apps that were running FlickType’s integratable version of the keyboard to be approved without issues. These included Watch apps like Nano for Reddit, Chirp for Twitter, WatchChat for WhatsApp and Lens for Instagram.
After Apple approved FlickType in January 2020, the company claims it had already lost over a year of revenue to competitor keyboards that were not constantly being rejected. Nevertheless, FlickType reached the App Store’s Top 10 Paid app list and generated $130,000 in its first month. As a result of its success, it was quickly targeted by scammers who launched watered-down, barely usable competitors to the app, cutting into FlickType’s revenue. FlickType’s revenue dropped to just $20,000 per month. The competitors were also using fake ratings to get their app boosted and installed by unsuspecting users.
Eleftheriou’s story was not unique, as it turned out. In recent months, he has been documenting the App Store’s multimillion-dollar scams, including those he was facing as well as others brought to his attention by developers with similar struggles. Apple, in some cases, would take action against the scammers he highlighted on social media. In other cases, it would not. And it would sometimes only take down one of the developer’s scam apps, but allow others under the same developer account to continue to operate.
The new lawsuit aims to hold Apple accountable for the issues Eleftheriou faced by asking Apple to restore his lost revenue and pay out any other damages awarded by the court.
Apple has not responded for a request for comment at this time.
A copy of the lawsuit is below. It is not yet appearing in public record searches for verification purposes. We’ll follow up to confirm when the case appears online and update accordingly.
Kpaw, LLC v. Apple, Inc by TechCrunch on Scribd
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The dev team that’s now engineering the Fleksy keyboard app has raised more than $800,000 via an equity crowdfunding route.
As we reported a year ago, the development of Fleksy’s keyboard has been taken over by the Barcelona-based startup behind an earlier keyboard app called ThingThing.
The team says their new funding raise — described as a pre-Series A round — will be put towards continued product development of the Fleksy keyboard, including the core AI engine used for next word and content prediction, plus additional features being requested by users — such as swipe to type.
Support for more languages is also planned. (Fleksy’s Android and iOS apps are currently available in 45+ languages.)
Their other big push will be for growth: Scaling the user-base via a licensing route to market in which the team pitches Android OEMs on the benefits of baking Fleksy in as the default keyboard — offering a high degree of customization, alongside a feature-set that boasts not just speedy typing but apps within apps and extensions.
The Fleksy keyboard can offer direct access to web search within the keyboard, for example, as well as access to third party apps (in an apps within apps play) — to reduce the need for full app switching.
This was the original concept behind ThingThing’s eponymous keyboard app, though the team has refocused efforts on Fleksy. And bagged their first OEMs as licensing partners.
They’ve just revealed Palm as an early partner. The veteran brand unveiled a dinky palm-sized ‘ultra-mobile’ last week. The tiny extra detail is that the device runs a custom version of the Fleksy keyboard out of the box.
With just 3.3 inches of screen to play with, the keyboard on the Palm risks being a source of stressful friction. Ergo enter Fleksy, with gesture based tricks to speed up cramped typing, plus tried and tested next-word prediction.
ThingThing CEO Olivier Plante says Palm was looking for an “out of the box optimized input method” — and more than that “high customization”.
“We’re excited to team up with ThingThing to design a custom keyboard that delivers a full keyboard typing experience for Palm’s ultra mobile form factor,” adds Dennis Miloseski, co-founder of Palm, in a statement. “Fleksy enables gestures and voice-to-text which makes typing simple and convenient for our users on the go.”
Plante says Fleksy has more OEM partnerships up its sleeve too. “We’re pending to announce new partnerships very soon and grow our user base to more than 25 million users while bringing more revenue to the medium and small OEMs desperately looking to increase their profit margins — software is the cure,” he tells TechCrunch.
ThingThing is pitching itself as a neutral player in the keyboard space, offering OEMs a highly tweakable layer where the Qwerty sits as its strategy to compete with Android’s keyboard giants: Google’s Gboard and Microsoft-owned SwiftKey.
“We changed a lot of things in Fleksy so it feels native,” says Plante, discussing the Palm integration. “We love when the keyboard feels like the brand and with Palm it’s completely a Palm keyboard to the end-user — and with stellar performance on a small screen.”
“We’ve beaten our competitor to the punch,” he adds.
That said, the tiny Palm (pictured in the feature image at the top of this post) is unlikely to pack much of a punch in marketshare terms. While Palm is a veteran — and, to nerds, almost cult — brand it’s not even a mobile tiddler in smartphone marketshare terms.
Palm’s cute micro phone is also an experimental attempt to create a new mobile device category — a sort of netbook-esque concept of an extra mobile that’s extra portable — which looks unlikely to be anything other than extremely niche. (Added to its petite size, the Palm is a Verizon exclusive.)
Even so ThingThing is talking bullishly of targeting 550M devices using its keyboard by 2020.
At this stage its user-base from pure downloads is also niche: Just over 1M active users. But Plante says it has already closed “several phone brands partnerships” — saying three are signed, with three more in the works — claiming this will make Fleksy the default input method in more than 20-30 million active users in the coming months.
He doesn’t name any names but describes these other partners as “other major phone brands”.
The plan to grow Fleksy’s user-base via licensing has attracted wider investor backing now, via the equity crowdfunding route. The team had initially been targeting ($300k). In all they’ve secured $815,119 from 446 investors.
Plante says they went down the equity crowdfunding route to spread their pitch more widely, and get more ambassadors on board — as well as to demonstrate “that we’re a user-centric/people/independen
“We are keen to work and fully customize the keyboard to the OEM tastes. We know this is key for them so they can better compete against the others on more than simply the hardware,” he says, making the ‘Fleksy for OEMs’ pitch. “Today, the market is saturated with yet another box, better camera and better screen…. the missing piece in Android ecosystem is software differences.”
Given how tight margins remain for Android makers it remains to be seen how many will bite. Though there’s a revenue share arrangement that sweetens the deal.
It is also certainly true that differentiation in the Android space is a big problem. That’s why Palm is trying its hand at a smaller form factor — in a leftfield attempt to stand out by going small.
The European Union’s recent antitrust ruling against Google’s Android OS has also opened up an opportunity for additional software customization, via unbundled Google apps. So there’s at least a chance for some new thinking and ideas to emerge in the regional Android smartphone space. And that could be good for Spain-based ThingThing.
Aside from the licensing fee, the team’s business model relies on generating revenue via affiliate links and its fleksyapps platform. ThingThing then shares revenue with OEM partners, so that’s another carrot for them — offering a services topper on their hardware margin.
Though that piece will need scale to really spin up. Hence ThingThing’s user target for Fleksy being so big and bold.
“We’re working with brands in order to bring them into any apps where you type, which unlocks brand new use cases and enables the user to share conveniently and the brand to drive mobile traffic to their service,” says Plante. “On this note, we monetize via affiliate/deep linking and operating a fleksyapps Store.”
ThingThing has also made privacy by design a major focus — which is a key way it’s hoping to make the keyboard app stand out against data-mining big tech rivals.
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We haven’t heard much from Fleksy — one of a number of custom keyboards for Android and iOS — lately, and it seems we may have an answer why: It’s been acquired by Pinterest. But it isn’t a total product acquisition. While the app will continue running (with minimal updates) for the forseeable future, half of the team will be integrated into Pinterest’s… Read More
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Software keyboard maker Fleksy raised a new $2 million round of venture funding from Digital Garage, Eniac Ventures, Middleland Capital, Highland Capital Partners and others to help it continue to power its growth, which got a big boost from the launch of iOS 8 earlier this year. The additional round will help the company fund development on both iOS and Android, however, and a new Android… Read More
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Fleksy is following up its iOS 8 software keyboard launch with a debut on two new app markets, including the Samsung GALAXY Apps store and the Amazon Appstore. In time for this new availability, it’s also launching a new Android version that adds two new languages and also brings a brand new keyboard design for wearables, as well as better emoji, improved animations and general… Read More
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Apple’s iOS 8 operating system unlocks a key system component, providing access to the software keyboard slot to third-party developers. That’s going to mean a lot of new keyboard apps popping up in the coming days, weeks and months, but some of the top players in the space are already on board. Fleksy, for instance, launched today along with iOS 8, and I got the chance to test it… Read More
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Virtual keyboard startup Fleksy has launched version 3.0 of its software today, which includes new monetization options via premium themes and content packs. The new themes complement the new design of the app, with alternate color options and a bonus theme available to Fleksy premium users free of charge, and there’s also support for over 700 new emoji for those of you who like to… Read More
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