machine learning
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We’ve probably all been there: You’ve been poking around your phone for an hour, deep in some sort of Google research rabbit hole. You finally find a link that almost certainly has the info you’ve been looking for. You tap it… aaaand it’s a 50-page PDF. Now you get to pinch and zoom your way through a document that’s clearly not meant for a screen that fits in your hand.
Given that the file format is approaching its 30th birthday, it makes sense that PDFs aren’t exactly built for modern mobile devices. But neither PDFs nor smartphones are going away anytime soon, so Adobe has been working on a way to make them play nicely together.
This morning Adobe is launching a feature it calls “Liquid Mode.” Liquid Mode taps Adobe’s AI engine, Sensei, to analyze a PDF and automatically rebuild it for mobile devices. It uses machine learning to chew through the PDF and try to work out what’s what — like the font changes that indicate a new section is starting, or how data is being displayed in a table — and reflow it all for smaller screens.
After a few months of quiet testing, Liquid Mode is being publicly rolled out in Adobe’s Acrobat Reader app for iOS and Android today, with plans to bring it to desktops later. Adobe CTO Abhay Parasnis also tells me they’ve been working on an API that’ll allow similar functionality to be rolled into non-Adobe apps down the road.
When you open a PDF in Acrobat Reader, the app will try to determine if it’ll work with Liquid Mode; if so, the Liquid Mode button lights up. Tap the button and the file is sent to Adobe’s Document Cloud for processing. Once complete, users can tweak to their liking things like the font size and line spacing. Liquid Mode will use the headers/structure it detects to build a tappable table of contents where none existed before, allowing you to quickly hop from section to section. The whole thing is non-destructive, so nothing actually changes about the original PDF. Step back out of Liquid Mode and you’re back at the original, unmodified PDF.
Image Credits: Adobe
We first heard about Adobe’s efforts here earlier this year; in an Extra Crunch interview back in January, Parasnis outlined Adobe’s plans to bring AI and machine learning into just about everything the company does. Parasnis tells me that Liquid Mode is just the first step in giving Sensei an understanding of documents. Later, he notes, they want users to be able to hand Sensei a 30-page PDF and have it return a summary just a few pages long.
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Unsurprisingly, Teams has become a major focus for Microsoft during the COVID-19 pandemic, so it’s no surprise that the company is using its annual Ignite IT conference to announce a number of new features for the service.
Today’s announcements follow the launch of features like Together Mode and dynamic view earlier this summer.
Together Mode, which puts cutouts of meeting participants in different settings, is getting a bit of an update today with the launch of new scenes: auditoriums, coffee shops and conference rooms. Like before, the presenter chooses the scene, but what’s new now is that Microsoft is also using machine learning to ensure that participants are automatically centered in their virtual chairs, making the whole scene look just a little bit more natural (and despite what Microsoft’s research shows, I can never help but think that this all looks a bit goofy, maybe because it reminds me of the opening credits of The Muppet Show).
Also new in Teams is custom layouts, which allow presenters to customize how their presentations — and their own video feeds — appear. With this, a presenter can superimpose her own video image over the presentation, for example.
Breakout rooms, a feature that is getting a lot of use in Zoom these days, is now also coming to Teams. Microsoft calls it the most requested feature in Teams and, like in similar products, it allows meeting organizers to split participants into smaller groups — and the meeting organizer can then go from room to room. Unsurprisingly, this feature is especially popular with teachers, though companies, too, often use it to facilitate brainstorming sessions, for example.
After exhausting all your brainstorming power in those breakout rooms and finishing up your meeting, Teams can now also send you an automatic recap of a meeting that includes a recording, transcript, shared files and more. These recaps will automatically appear on your Outlook calendar. In the future, Microsoft will also enable the ability to automatically store these recordings on SharePoint.
For companies that regularly host large meetings, Microsoft will launch support for up to 1,000 participants in the near future. Attendees in these meetings will get the full Teams experience, Microsoft promises. Later, Microsoft will also enable view-only meetings for up to 20,000 participants. Both of these features will become available as part of a new “Advanced Communications” plan, which is probably no surprise, given how much bandwidth and compute power it will likely take to manage a 1,000-person meeting.
Microsoft also made two hardware announcements related to Teams today. The first is the launch of what it calls “Microsoft Teams panels,” which are essentially small tablets that businesses can put outside of their meeting rooms for wayfinding. One cool feature here — especially as businesses start planning their post-pandemic office strategy — is that these devices will be able to use information from the cameras in the room to count how many people are attending a meeting in person and then show remaining room capacity, for example.
The company also today announced that the giant Surface Hub 2S 85-inch model will be available in January 2021.
And there is more. Microsoft is also launching new Teams features for front-line workers to help schedule shifts, alert workers when they are using Teams off-shift and praise badges that enable organizations to recognize workers (though those workers would probably prefer hard cash over a digital badge).
Also new is an integration between Teams and RealWear head-mounted devices for remote collaboration and a new Walkie Talkie app for Android.
And since digital badges aren’t usually enough to improve employee well-being, Microsoft is also adding a new set of well-being features to Teams. These provide users with personalized recommendations to help change habits and improve well-being and productivity.
That includes a new “virtual commute” feature that includes an integration with Headspace and an emotional check-in experience.
I’ve always been a fan of short and manageable commutes for getting some distance between work and home, but that’s not exactly a thing right now. Maybe Headspace works as an example, but there’s only so much Andy Puddicombe I can take. Still, I think I’ll keep my emotional check-ins to myself, though Microsoft obviously notes that it will keep all of that information private.
And while businesses now care about your emotional well-being (because it’s closely related to your productivity), managers mostly care about the work you get done. For them, Workplace Analytics is coming to Teams, giving “managers line of sight into teamwork norms like after-hours collaboration, focus time, meeting effectiveness, and cross-company connections. These will then be compared to averages among similar teams to provide managers with actionable insights.”
If that doesn’t make your manager happy, what will? Maybe a digital praise badge?
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ServiceNow today announced the latest release of its workflow automation platform. With this, the company is emphasizing a number of new solutions for specific verticals, including for telcos and financial services organizations. This focus on verticals extends the company’s previous efforts to branch out beyond the core IT management capabilities that defined its business during its early years. The company is also adding new features for making companies more resilient in the face of crises, as well as new machine learning-based tools.
Dubbed the “Paris” release, this update also marks one of the first major releases for the company since former SAP CEO Bill McDermott became its president and CEO last November.
“We are in the business of operating on purpose,” McDermott said. “And that purpose is to make the world of work work better for people. And frankly, it’s all about people. That’s all CEOs talk about all around the world. This COVID environment has put the focus on people. In today’s world, how do you get people to achieve missions across the enterprise? […] Businesses are changing how they run to drive customer loyalty and employee engagement.”
He argues that at this point, “technology is no longer supporting the business, technology is the business,” but at the same time, the majority of companies aren’t prepared to meet whatever digital disruption comes their way. ServiceNow, of course, wants to position itself as the platform that can help these businesses.
“We are very fortunate at ServiceNow,” CJ Desai, ServiceNow’s chief product officer, said. “We are the critical platform for digital transformation, as our customers are thinking about transforming their companies.”
As far as the actual product updates, ServiceNow is launching a total of six new products. These include new business continuity management features with automated business impact analysis and tools for continuity plan development, as well as new hardware asset management for IT teams and legal service delivery for legal operations teams.
With specialized solutions for financial services and telco users, the company is also now bringing together some of its existing solutions with more specialized services for these customers. As ServiceNow’s Dave Wright noted, this goes well beyond just putting together existing blocks.
“The first element is actually getting familiar with the business,” he explained. “So the technology, actually building the product, isn’t that hard. That’s relatively quick. But the uniqueness when you look at all of these workflows, it’s the connection of the operations to the customer service side. Telco is a great example. You’ve got the telco network operations side, making sure that all the operational equipment is active. And then you’ve got the business service side with customer service management, looking at how the customers are getting service. Now, the interesting thing is, because we’ve got both things sitting on one platform, we can link those together really easily.”
On the machine learning side, ServiceNow made six acquisitions in the area in the last four years, Wright noted — and that is now starting to pay off. Specifically, the company is launching its new predictive intelligence workbench with this release. This new service makes it easier for process owners to detect issues, while also suggesting relevant tasks and content to agents, for example, and prioritizing incoming requests automatically. Using unsupervised learning, the system can also identify other kinds of patterns and with a number of pre-built templates, users can build their own solutions, too.
“The ServiceNow advantage has always been one architecture, one data model and one born-in-the-cloud platform that delivers workflows companies need and great experiences employees and customers expect,” said Desai. “The Now Platform Paris release provides smart experiences powered by AI, resilient operations, and the ability to optimize spend. Together, they will provide businesses with the agility they need to help them thrive in the COVID economy.”
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Transposit is a company built by engineers to help engineers, and one big way to help them is to get systems up and running faster when things go wrong — as they always will at some point. Transposit has come up with a way to build runbooks for faster disaster recovery, while using data to update them in an automated fashion.
Today, the company announced a $35 million Series B investment led by Altimeter Capital, with participation from existing investors Sutter Hill Ventures, SignalFire and Unusual Ventures. Today’s investment brings the total raised to $50.4 million, according to the company.
Company CEO Divanny Lamas and CTO and founder Tina Huang see technology issues as less an engineering problem and more as a human problem, because it’s humans who have to clean up the messes when things go wrong. Huang says forgetting the human side of things is where she thinks technology has gone astray.
“We know that the real superpower of the product is that we focus on the human and the user side of things. And as a result, we’re building an engineering culture that I think is somewhat differentiated,” Huang told TechCrunch.
Transposit is a platform that at its core helps manage APIs, connections to other programs, so it starts with a basic understanding of how various underlying technologies work together inside a company. This is essential for a tool that is trying to help engineers in a moment of panic figure out how to get back to a working state.
When it comes to disaster recovery, there are essentially two pieces: getting the systems working again, then figuring out what happened. For the first piece, the company is building data-driven runbooks. By being data-driven, they aren’t static documents. Instead, the underlying machine learning algorithms can look at how the engineers recovered and adjust accordingly.
Image Credits: Transposit
“We realized that no one was focusing on what we realize is the root problem here, which is how do I have access to the right set of data to make it easier to reconstruct that timeline, and understand what happened? We took those two pieces together, this notion that runbooks are a critical piece of how you spread knowledge and spread process, and this other piece, which is the data, is critical,” Huang said.
Today the company has 26 employees, including Huang and Lamas, who Huang brought on board from Splunk last year to be CEO. The company is somewhat unique having two women running the organization, and they are trying to build a diverse workforce as they build their company to 50 people in the next 12 months.
The current make-up is 47% female engineers, and the goal is to remain diverse as they build the company, something that Lamas admits is challenging to do. “I wish I had a magic answer, or that Tina had a magic answer. The reality is that we’re just very demanding on recruiters. And we are very insistent that we have a diverse pipeline of candidates, and are constantly looking at our numbers and looking at how we’re doing,” Lamas said.
She says being diverse actually makes it easier to recruit good candidates. “People want to work at diverse companies. And so it gives us a real edge from a kind of culture perspective, and we find that we get really amazing candidates that are just tired of the status quo. They’re tired of the old way of doing things and they want to work in a company that reflects the world that they want to live in,” she said.
The company, which launched in 2016, took a few years to build the first piece, the underlying API platform. This year it added the disaster recovery piece on top of that platform, and has been running its beta since the beginning of the summer. They hope to add additional beta customers before making it generally available later this year.
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Four years after the Great Recession, France’s newly elected socialist president François Hollande raised taxes and increased regulations on founder-led startups. The subsequent flight of entrepreneurs to places like London and Silicon Valley portrayed France as a tough place to launch a company. By 2016, France’s national statistics bureau estimated that about three million native-born citizens had moved abroad.
Those who remained fought back: The Family was an early accelerator that encouraged French entrepreneurs to adopt Silicon Valley’s startup methodology, and the 2012 creation of Bpifrance, a public investment bank, put money into the startup ecosystem system via investors. Organizers founded La French Tech to beat the drum about native startups.
When President Emmanuel Macron took office in May 2017, he scrapped the wealth tax on everything except property assets and introduced a flat 30% tax rate on capital gains. Station F, a giant startup campus funded by billionaire entrepreneur Xavier Niel on the site of a former railway station, began attracting international talent. Tony Fadell, one of the fathers of the iPod and founder of Nest Labs, moved to Paris to set up investment firm Future Shape; VivaTech was created with government backing to become one of Europe’s largest startup conference and expos.
Now, in the COVID-19 era, the government has made €4 billion available to entrepreneurs to keep the lights on. According to a recent report from VC firm Atomico, there are 11 unicorns in France, including BlaBlaCar, OVHcloud, Deezer and Veepee. More appear to be coming; last year Macron said he wanted to see “25 French unicorns by 2025.”
According to Station F, by the end of August, there had been 24 funding rounds led by international VCs and a few big transactions. Enterprise artificial intelligence and machine-learning platform Dataiku raised a $100 million Series D round, and Paris-based gaming startup Voodoo raised an undisclosed amount from Tencent Holdings.
We asked 12 Paris-based investors to comment on the state of play in their city:
What trends are you most excited about investing in, generally?
All the fintechs addressing SMBs to help them to focus more on their core business (including banks disintermediation by fintech, new infrastructures tech that are lowering the barrier to entry to nonfintech companies).
What’s your latest, most exciting investment?
77foods (plant-based bacon) — love that alternative proteins trend as well. Obviously, we need to transform our diet toward more sustainable food. It’s the next challenge for humanity.
What are you looking for in your next investment, in general?
Impact investment: Logistic companies tackling the life cycle of products to reduce their carbon footprint and green fintech that reinvent our spending and investment strategy around more sustainable products.
Which areas are either oversaturated or would be too hard to compete in at this point for a new startup? What other types of products/services are you wary or concerned about?
D2C products.
How much are you focused on investing in your local ecosystem versus other startup hubs (or everywhere) in general? More than 50%? Less?
100% investing in France as I’m managing Paris Saclay Seed Fund, a €53 million fund, investing in pre-seed and seed startups launched by graduates and researchers from the best engineering and business schools from this ecosystem.
Which industries in your city and region seem well-positioned to thrive, or not, long term? What are companies you are excited about (your portfolio or not), which founders?
Deep tech, biotech and medical devices. Paris, and France in general, has thousands of outstanding engineers that graduate each year. Researchers are more and more willing to found companies to have a true impact on our society. I do believe that the ecosystem is more and more structured to help them to build such companies.
How should investors in other cities think about the overall investment climate and opportunities in your city?
Paris is booming for sure. It’s still behind London and Berlin probably. But we are seeing more and more European VC offices opening in the city to get direct access to our ecosystem. Even in seed rounds, we start to have European VCs competing against us. It’s good — that means that our startups are moving to the next level.
Do you expect to see a surge in more founders coming from geographies outside major cities in the years to come, with startup hubs losing people due to the pandemic and lingering concerns, plus the attraction of remote work?
For sure startups will more and more push for remote organizations. It’s an amazing way to combine quality of life for employees and attracting talent. Yet I don’t think it will be the majority. Not all founders are willing/able to build a fully remote company. It’s an important cultural choice and it’s adapted to a certain type of business. I believe in more flexible organization (e.g., tech team working remotely or 1-2 days a week for any employee).
Which industry segments that you invest in look weaker or more exposed to potential shifts in consumer and business behavior because of COVID-19? What are the opportunities startups may be able to tap into during these unprecedented times?
Travel and hospitality sectors are of course hugely impacted. Yet there are opportunities for helping those incumbents to face current challenges (e.g., better customer care and services, stronger flexibility, cost reduction and process automation).
How has COVID-19 impacted your investment strategy? What are the biggest worries of the founders in your portfolio? What is your advice to startups in your portfolio right now?
Cash is king more than ever before. My only piece of advice will be to keep a good level of cash as we have a limited view on events coming ahead. It’s easy to say but much more difficult to put in practice (e.g., to what extend should I reduce my cash burn? Should I keep on investing in the product? What is the impact on the sales team?). Startups should focus only on what is mission-critical for their clients. Yet it doesn’t impact our seed investments as we invest pre-revenue and often pre-product.
What is a moment that has given you hope in the last month or so? This can be professional, personal or a mix of the two.
There is no reason to be hopeless. Crises have happened in the past. Humanity has faced other pandemics. Humans are resilient and resourceful enough to adapt to a new environment and new constraints.
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Salesforce has been adding artificial intelligence to all parts of its platform for several years now. It calls the underlying artificial intelligence layer on the Salesforce platform Einstein. Today the company announced some enhancements to its field service offerings that take advantage of this capability.
Eric Jacobson, VP of product management at Salesforce says that when COVID hit, it pretty much stopped field service in its tracks during April, but like many other parts of business, it began to pick up again later in the quarter, and people still needed to have their appliances maintained.
“Even though we’re sheltering in place, the physical world still has physical needs. Hospitals still have to maintain their equipment. Employees still need to have equipment replaced or repaired while working at home and people still need their washing machine [or other appliances] repaired,” Jacobson said.
Today’s announcements are designed in some ways for a COVID world where efficiency is more critical than ever. That means the field service tech needs to be prepared ahead of time on all of the details of the nature of the repair. He or she has to have the right parts and customers need to know when their technician will be there.
While it’s possible to do much of that in a manual fashion, adding a dose of AI helps streamline and scale that process. For starters, the company announced Dynamic Priority. Certainly humans are capable of prioritizing a list of repairs, but by letting the machine set priority based on factors like service agreement type or how critical the repair is, it can organize calls much faster, leaving dispatchers to handle other tasks.
Even before the day starts, technicians receive their schedule and, using machine learning, can determine what parts they are most likely to need in the truck for the day’s repairs. Based on the nature of the repair and the particular make and model of machine, the Einstein Recommendation Builder can help predict the parts that will be needed to minimize the number of required trips, something that is important at all times, but especially during a pandemic.
“It’s always been an inconvenience and annoyance to have somebody come back for a follow-up appointment. But now it’s not just an annoyance, it’s actually a safety consideration for you and for the technician because it’s increased exposure,” Jacobson explained.
Salesforce also wants to give the customer the same capability they are used to getting in a rideshare app, where you can track the progress of the driver to your destination. Appointment Assistant, a new app, gives customers this ability, so they know when to expect the repair person to arrive.
Finally, Salesforce has teamed with ServiceMax to offer a new capability to get the big picture view of an asset with the goal of ensuring uptime, particularly important in settings like hospitals or manufacturing. “We’ve partnered with a long-time Salesforce partner ServiceMax to create a brand new offering that takes industry best practice and builds it right in. Asset 360 builds on top of Salesforce field service and delivers those specific capabilities around asset performance insight, viewing and managing up time and managing warranty processes to really ensure availability,” he said.
As with all Salesforce announcements, the availability of these capabilities will vary as each is in various forms of development. “Dynamic Priority will be generally available in October 2020. Einstein Recommendation Builder will be in beta in October 2020. Asset 360 will be generally available in November 2020. Appointment Assistant will be in closed pilot in US in October 2020,” according to information provided by the company.
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It was the Australian bush fire that finally did it.
For 12 years Adam Hearne had worked at companies that represented some of the world’s largest sources of greenhouse gas emissions. First at Rio Tinto, one of the largest industrial miners, and then at Amazon, where he handled inbound delivery operations across the EU, Hearne was involved in ensuring that things flowed smoothly for companies whose operations spew millions of tons of carbon dioxide into the environment.
Amazon’s business alone was responsible for emitting 51.17 million metric tons of carbon dioxide last year — the equivalent of 13 coal-burning power plants, according to a report from the company.
Then, Hearne’s home country burned.
In 2019 wildfires erupted that engulfed more than 46 million acres of land, destroyed over 9,000 buildings, and killed over 400 people and untold numbers of animals — driving some species to the brink of extinction.
Hearne, along with an old friend from his business school rugby days (Roheet Shah) and computer science and machine learning experts from Imperial College of London (Yuri Oparin and Jeremiah Smith), launched CarbonChain that year. The company, now poised to graduate from the latest Y Combinator cohort, is pitching a service that can accurately account for emissions from the commodities industry — which is responsible for 50% of the world’s greenhouse gas emissions.
The company’s services are coming at the right time. Countries around the globe are poised to adopt much more stringent regulations around carbon dioxide and greenhouse gas emissions. The European Union is slowly working toward passage of sweeping new regulations on climate change that are mirrored in the region’s local economies. Even petrostates like Russia are poised to enact new climate regulations (at least according to Russian officials).
What’s missing in all of this are ways for companies to accurately track their emissions and technologies that can adequately monitor how well emissions offsets are working.
CarbonChain tackles this problem by going to the sectors that are responsible for the largest percentage of greenhouse gas emissions, Hearne said.
“The world needs hard accounting and hard numbers of what commodities companies are producing,” said Hearne in a July interview.
To ensure that emissions reductions and regulations are working, regulators need to go after oil and gas and commodities and minerals producers, according to Hearne. “Those sectors are uniform and carbon intensive and that’s how you quantify them,” he said.
CarbonChain has built models for every single asset in the supply chain for these industries, according to Hearne. The company has created digital twins of every piece of equipment used in heavy industry. If CarbonChain can’t get the information about the equipment from the companies that use it, they go to the engineering firms that built the equipment or facility for the company.
“In order to get a number that doesn’t get laughed out of the room we have to go down to the aluminum smelter that has a power station right next to it,” said Hearne. “Ninety percent of its footprint is its electrical usage.”
According to Hearne, CarbonChain’s system is so precise that it can tell users how much carbon emissions are embedded in a cup of coffee or a glass of wine (which is two pounds of carbon dioxide for imported wine, by the way).
CarbonChain is already selling its services to commodities producers and carbon traders who are operating in existing carbon trading schemes.
So far, the company has received roughly $500,000 from the U.K. government and an investment from one of its (undisclosed) commodities customers.
But CarbonChain’s technology seems to have the most rigorous methodology of any of the companies that’s purporting to do emissions monitoring. Other startups purporting to provide carbon emissions data for companies include Persefoni, which raised $3.5 million for its solution, and another Y Combinator graduate, SINAI Technologies.
If the company can actually measure the embedded emissions of materials down to a single piece of rebar, it could have huge consequences for industry broadly.
The company also slots nicely into the trend of entrepreneurs with deep industry experience building vertical solutions based on the collection of massive data sets using machine learning.
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During the COVID-19 pandemic, supply chains have suddenly become hot. Who knew that would ever happen? The race to secure PPE, ventilators and minor things like food was and still is an enormous issue. But perhaps, predictably, the world of “supply chain software” could use some updating. Most of the platforms are deployed “empty” and require the client to populate them with their own data, or “bring their own data.” The UIs can be outdated and still have to be juggled with manual and offline workflows. So startups working in this space are now attracting some timely attention.
Thus, Craft, the enterprise intelligence company, today announces it has closed a $10 million Series A financing round to build what it characterizes as a “supply chain intelligence platform.” With the new funding, Craft will expand its offices in San Francisco, London and Minsk, and grow remote teams across engineering, sales, marketing and operations in North America and Europe.
It competes with some large incumbents, such as Dun & Bradstreet, Bureau van Dijk and Thomson Reuters . These are traditional data providers focused primarily on providing financial data about public companies, rather than real-time data from data sources such as operating metrics, human capital and risk metrics.
The idea is to allow companies to monitor and optimize their supply chain and enterprise systems. The financing was led by High Alpha Capital, alongside Greycroft. Craft also has some high-flying angel investors, including Sam Palmisano, chairman of the Center for Global Enterprise and former CEO and chairman of IBM; Jim Moffatt, former CEO of Deloitte Consulting; Frederic Kerrest, executive vice chairman, COO and co-founder of Okta; and Uncork Capital, which previously led Craft’s seed financing. High Alpha partner Kristian Andersen is joining Craft’s board of directors.
The problem Craft is attacking is a lack of visibility into complex global supply chains. For obvious reasons, COVID-19 disrupted global supply chains, which tended to reveal a lot of risks, structural weaknesses across industries and a lack of intelligence about how it’s all holding together. Craft’s solution is a proprietary data platform, API and portal that integrates into existing enterprise workflows.
While many business intelligence products require clients to bring their own data, Craft’s data platform comes pre-deployed with data from thousands of financial and alternative sources, such as 300+ data points that are refreshed using both Machine Learning and human validation. Its open-to-the-web company profiles appear in 50 million search results, for instance.
Ilya Levtov, co-founder and CEO of Craft, said in a statement: “Today, we are focused on providing powerful tracking and visibility to enterprise supply chains, while our ultimate vision is to build the intelligence layer of the enterprise technology stack.”
Kristian Andersen, partner with High Alpha commented: “We have a deep conviction that supply chain management remains an underinvested and under-innovated category in enterprise software.”
In the first half of 2020, Craft claims its revenues have grown nearly threefold, with Fortune 100 companies, government and military agencies, and SMEs among its clients.
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Vertical farming technology provider iFarm has bagged a $4 million seed round, led by Gagarin Capital, an earlier investor in the startup. Other investors in the round include Matrix Capital, Impulse VC, IMI.VC and several business angels.
The Finnish startup is focused on providing software that enables others to carry out vertical farming — targeting sales at food processing companies and FMCG giants, as well as farmers, university research centers and even large corporates with their own catering needs as a result of operating large physical office footprints.
Its software as a service platform automates crop care for plants such as salad greens, cherry tomatoes and berries grown in vertical stacks. The system involves a range of technologies to monitor and automate crop care, applying computer vision and machine learning and drawing on data on “thousands” of plants collected from a distributed network of farms, per iFarm .
At this stage it’s providing technology to around 50 projects in Europe and the Middle East — covering a total of 11,000 square meters of farm. Its platform is currently able to automate care for around 120 varieties of plants, with the goal of getting to 500 by 2025 (it says 10 new crop varieties are being added each month).
“iFarm started three years ago, with three founders. The goal is to build technology… for growing tasty and healthy food that we already eat,” says co-founder and CEO Max Chizhov, who notes the business has grown to 15 employees along the way.
“We started from a greenhouse. First year just looking for technologies — which kind of technologies to use. After one year of experiments we have some pilots and now we are focused on indoor farming, vertical farming.”
Vertical farming is an urban farming technique that involves stacking plants in dense layers in a highly controlled indoor environment, using LED lighting to replace sunlight to power all-year-round agriculture.
Furthermore, iFarm notes that the fully automated approach also means there’s no need for pesticides to grow a range of edible greens, herbs, fruits, flowers and vegetables. There are some natural limits on what can be grown within such systems — taller plants and trees obviously can’t be squeezed into stacks. Deep-root vegetables also aren’t suitable, although iFarm touts baby carrots among its product portfolio.
“We focus on profitable products,” says Chizhov. “Small crops, very fast growing crops, and easy to irrigate and easy to grow in many layers. Many layers is the advantage of indoor farms.”
Photo credit: iFarm
While there are now hundreds of vertical farming startups whose business model is fixed on selling the edible produce they grow, such as to supply supermarkets and other food retailers, iFarm is purely focused on developing technologies to support automated indoor agriculture.
So it might, for instance, be eyeing the likes of Infarm, Bowery and Plenty as potential customers for its vertical farming optimization technologies.
It says its systems can be applied to vertical farms of 20 to 20,000 square meters, supporting scalability.
“Our main advantage is we know how to grow and you don’t need any special technologies to know how to grow. All of our algorithms, all of the data, is based in our software,” says Chizhov, emphasizing the software is hardware agnostic — meaning customers don’t need to use iFarm’s kit for their vertical farms but just can apply its algorithms to their own set-ups.
The company has designed various bits of vertical farm hardware it can supply, or co-develop with customers, per Chizhov, such as fertilizer units and LED lighting. But the software as a service platform isn’t locked to any specific piece of kit.
“The main thing is the software that combines optimization systems like humidity, temperature, CO2 etc; and some business separations — like why, how, when we start growing, which clients,” he says, adding: “It’s like a CRM plus an ERP system that controls all the parameters.
“In this system we use computer vision systems. We use AI for increasing taste [of the edible produce], increasing yield parameters of our growing crops. We also use drones which fly in our farms and observe all of our greens and all of our plants. We optimize all of the processes in the farm using software and some [pieces of hardware] that use the software.”
Chizhov says the seed funding will be used to gradually expand the business into new regions — with a launch into the U.S. market on the cards in two years’ time — but the main priority now is to spend on further software development.
“The main goal is [adding] new type of crops,” he notes. “Research, development, new products.”
On the competitive front, iFarm is not the only technology provider seeking to sell to the burgeoning vertical farming sector. Chizhov says there are around 10 to 15 similar agtech startups. But he contends its tech and approach has the edge over the likes of U.K.-based Intelligent Growth Solutions, Belgium’s Urban Crop Solutions, Switzerland’s Growcer, U.S. “container farms” provider Freight Farms or China’s Alesca Life, to name-check a handful of other players in the space.
“There are some companies in this market that also provide solutions but with less optimization, with less software value and with less product mix/product line,” he argues. “The main difference is the type of crops; it’s software that we provide for our clients — because you don’t need to know how to grow; you don’t need to be a specialist in your company, you just push a button. And we provide excellent services for our clients. Design, installation, operation, help to sell the final product, etc.”
Chizhov also notes iFarm has filed patents to protect some of its technologies.
Photo credit: iFarm
Mikhail Taver, GP of Gagarin Capital, who is the lead investor in iFarm’s seed round, says the startup stood out on account of having a competitive advantage in the sector. Although he also notes that the fund’s agtech strategy is focused on indoor farming rather than mainstream outdoors — which again makes iFarm a good fit.
“We do see a large potential in the sector with the [world’s] rising population. We see the increasing demand for food — it’s only going to continue. We see global warming and general sustainability issues. And iFarm seems to be able to solve most of those,” Taver told TechCrunch.
“I don’t really see much competitors able to grow things other than greens,” he added, elaborating on the competitive edge claim. “You don’t normally get proper tomatoes or edible flowers and things like that grown in vertical farms. They mainly concentrate on a couple of salads at most.
“Plus most of our competitors they focus on competing with actual farmers, whereas we’re trying to augment them. We don’t try to force them off the market — we’re trying to help them get bigger. Which is a totally different approach and it should be working better. At least that’s what I believe.”
This article was updated with a correction: We were originally given the incorrect job title for Max Chizhov; he is in fact CEO, not CBDO.
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Microsoft’s new Flight Simulator is a technological marvel that sets a new standard for the genre. But to recreate a world that feels real and alive and contains billions of buildings all in the right spots, Microsoft and Asobo Studios relied on the work of multiple partners.
One of those is the small Austrian startup Blackshark.ai from Graz that, with a team of only about 50 people, recreated every city and town around the world with the help of AI and massive computing resources in the cloud.
Ahead of the launch of the new Flight Simulator, we sat down with Blackshark co-founder and CEO Michael Putz to talk about working with Microsoft and the company’s broader vision.
Blackshark is actually a spin-off of game studio Bongfish, the maker of World of Tanks: Frontline, Motocross Madness and the Stoked snowboarding game series. As Putz told me, it was actually Stoked that set the company on the way to what would become Blackshark.
“One of the first games we did in 2007 was a snowboarding game called Stoked and S Stoked Bigger Edition, which was one of the first games having a full 360-degree mountain where you could use a helicopter to fly around and drop out, land everywhere and go down,” he explained. “The mountain itself was procedurally constructed and described — and also the placement of obstacles of vegetation, of other snowboarders and small animals had been done procedurally. Then we went more into the racing, shooting, driving genre, but we still had this idea of positional placement and descriptions in the back of our minds.”
Bongfish returned to this idea when it worked on World of Tanks, simply because of how time-consuming it is to build such a huge map where every rock is placed by hand.
Based on this experience, Bongfish started building an in-house AI team. That team used a number of machine-learning techniques to build a system that could learn from how designers build maps and then, at some point, build its own AI-created maps. The team actually ended up using this for some of its projects before Microsoft came into the picture.
“By random chance, I met someone from Microsoft who was looking for a studio to help them out on the new Flight Simulator. The core idea of the new Flight Simulator simulator was to use Bing Maps as a playing field, as a map, as a background,” Putz explained.
But Bing Maps’ photogrammetry data only yielded exact 1:1 replicas of 400 cities — for the vast majority of the planet, though, that data doesn’t exist. Microsoft and Asobo Studios needed a system for building the rest.
This is where Blackshark comes in. For Flight Simulator, the studio reconstructed 1.5 billion buildings from 2D satellite images.
Now, while Putz says he met the Microsoft team by chance, there’s a bit more to this. Back in the day, there was a Bing Maps team in Graz, which developed the first cameras and 3D versions of Bing Maps. And while Google Maps won the market, Bing Maps actually beat Google with its 3D maps. Microsoft then launched a research center in Graz and when that closed, Amazon and others came in to snap up the local talent.
“So it was easy for us to fill positions like a PhD in rooftop reconstruction,” Putz said. “I didn’t even know this existed, but this was exactly what we needed — and we found two of them.
“It’s easy to see why reconstructing a 3D building from a 2D map would be hard. Even figuring out a building’s exact outline isn’t easy.
“What we do basically in Flight Simulator is we look at areas, 2D areas and then finding out footprints of buildings, which is actually a computer vision task,” said Putz. “But if a building is obstructed by a shadow of a tree, we actually need machine learning because then it’s not clear anymore what is part of the building and what is not because of the overlap of the shadow — but then machine learning completes the remaining part of the building. That’s a super simple example.”
While Blackshark was able to rely on some other data, too, including photos, sensor data and existing map data, it has to make a determination about the height of the building and some of its characteristics based on very little information.
The obvious next problem is figuring out the height of a building. If there is existing GIS data, then that problem is easy to solve, but for most areas of the world, that data simply doesn’t exist or isn’t readily available. For those areas, the team takes the 2D image and looks for hints in the image, like shadows. To determine the height of a building based on a shadow, you need the time of day, though, and the Bing Maps images aren’t actually timestamped. For other use cases the company is working on, Blackshark has that and that makes things a lot easier. And that’s where machine learning comes in again.
“Machine learning takes a slightly different road,” noted Putz. “It also looks at the shadow, we think — because it’s a black box, we don’t really know what it’s doing. But also, if you look at a flat rooftop, like a skyscraper versus a shopping mall. Both have mostly flat rooftops, but the rooftop furniture is different on a skyscraper than on a shopping mall. This helps the AI to learn when you label it the right way.”
And then, if the system knows that the average height of a shopping mall in a given area is usually three floors, it can work with that.
One thing Blackshark is very open about is that its system will make mistakes — and if you buy Flight Simulator, you will see that there are obvious mistakes in how some of the buildings are placed. Indeed, Putz told me that he believes one of the hardest challenges in the project was to convince the company’s development partners and Microsoft to let them use this approach.
“You’re talking 1.5 billion buildings. At these numbers, you cannot do traditional Q&A anymore. And the traditional finger-pointing in like a level of Halo or something where you say ‘this pixel is not good, fix it,’ does not really work if you develop on a statistical basis like you do with AI. So it might be that 20% of the buildings are off — and it actually is the case I guess in the Flight Simulator — but there’s no other way to tackle this challenge because outsourcing to hand-model 1.5 billion buildings is, just from a logistical level and also budget level, not doable.”
Over time, that system will also improve, and because Microsoft streams a lot of the data to the game from Azure, users will surely see changes over time.
Labeling, though, is still something the team has to do simply to train the model, and that’s actually an area where Blackshark has made a lot of progress, though Putz wouldn’t say too much about it because it’s part of the company’s secret sauce and one of the main reasons why it can do all of this with just about 50 people.
“Data labels had not been a priority for our partners,” he said. “And so we used our own live labeling to basically label the entire planet by two or three guys […] It puts a very powerful tool and user interface in the hands of the data analysts. And basically, if the data analyst wants to detect a ship, he tells the learning algorithm what the ship is and then he gets immediate output of detected ships in a sample image.”
From there, the analyst can then train the algorithm to get even better at detecting a specific object like a ship, in this example, or a mall in Flight Simulator. Other geospatial analysis companies tend to focus on specific niches, Putz also noted, while the company’s tools are agnostic to the type of content being analyzed.
And that’s where Blackshark’s bigger vision comes in. Because while the company is now getting acclaim for its work with Microsoft, Blackshark also works with other companies around reconstructing city scenes for autonomous driving simulations, for example.
“Our bigger vision is a near-real-time digital twin of our planet, particularly the planet’s surface, which opens up a trillion use cases where traditional photogrammetry like a Google Earth or what Apple Maps is doing is not helping because those are just simplified for photos clued on simple geometrical structures. For this we have our cycle where we have been extracting intelligence from aerial data, which might be 2D images, but it also could be 3Dpoint counts, which are already doing another project. And then we are visualizing the semantics.”
Those semantics, which describe the building in very precise detail, have one major advantage over photogrammetry: Shadow and light information is essentially baked into the images, making it hard to relight a scene realistically. Since Blackshark knows everything about that building it is constructing, it can then also place windows and lights in those buildings, which creates the surprisingly realistic night scenes in Flight Simulator.
Point clouds, which aren’t being used in Flight Simulator, are another area Blackshark is focusing on right now. Point clouds are very hard to read for humans, especially once you get very close. Blackshark uses its AI systems to analyze point clouds to find out how many stories a building has.
“The whole company was founded on the idea that we need to have a huge advantage in technology in order to get there, and especially coming from video games, where huge productions like in Assassin’s Creed or GTA are now hitting capacity limits by having thousands of people working on it, which is very hard to scale, very hard to manage over continents and into a timely delivered product. For us, it was clear that there need to be more automated or semi-automated steps in order to do that.”
And though Blackshark found its start in the gaming field — and while it is working on this with Microsoft and Asobo Studios — it’s actually not focused on gaming but instead on things like autonomous driving and geographical analysis. Putz noted that another good example for this is Unreal Engine, which started as a game engine and is now everywhere.
“For me, having been in the games industry for a long time, it’s so encouraging to see, because when you develop games, you know how groundbreaking the technology is compared to other industries,” said Putz. “And when you look at simulators, from military simulators or industrial simulators, they always kind of look like shit compared to what we have in driving games. And the time has come that the game technologies are spreading out of the game stack and helping all those other industries. I think Blackshark is one of those examples for making this possible.”
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