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Flymachine raises $21 million to build a virtual concerts platform for a post-pandemic world
As concerts and live events return to the physical world stateside, many in the tech industry have wondered whether some of the pandemic-era opportunities around virtualizing these events are lost for the time being.
San Francisco-based Flymachine is aiming to seek out the holy grail of the digital music industry, finding a way to capture some of the magic of live concerts and performances in a livestreamed setting. The startup hopes that pandemic-era consumer habits around video chat socialization combined with an industry in need of digital diversification can push their flavor of virtual concerts into the lives of music fans.
The startup’s ambitions aren’t cheap, Flymachine tells TechCrunch it has raised $21 million in investor funding to bankroll its plans. The funding has been led by Greycroft Partners and SignalFire, with additional participation from Primary Venture Partners, Contour Venture Partners, Red Sea Ventures and Silicon Valley Bank.
The virtual concert industry didn’t have as big of a lockdown moment as some hoped for. Spotify experimented with virtual events. Meanwhile, startups like Wave raised huge bouts of VC funding to turn real performers into digital avatars in a bid to create more digital-native concerts. And while some smaller artists embraced shows over Zoom or worked with startups like Oda, which created live concert subscriptions, there were few mainstream hits among bigger acts.
To make Flymachine’s brand of virtual concerts a thing, the startup isn’t trying to convert potential in-person attendees of a show into virtual participants, instead hoping to create an attractive experience for the folks who would normally have to skip the show. Whether those virtual attendees were too far from a venue, couldn’t get a babysitter for the night or just aren’t jazzed about a mosh pit scene anymore, Flymachine is hoping there are enough potential attendees on the bubble to sustain the startup as they try to blur the lines between “a night in and a night out,” CEO Andrew Dreskin says.
The startup’s strategy centers on building up partnerships with name brand concert venues around the U.S. — Bowery Ballroom in New York City, Bimbo’s 365 Club in San Francisco, The Crocodile in Seattle, Marathon Music Works in Nashville and Teragram Ballroom in Los Angeles, among them — and livestreaming some of the shows at those venues to at-home audiences. Flymachine’s team has deep roots in the music industry; Dreskin founded Ticketfly (acquired by Pandora) while co-founder Rick Farman is also the co-founder of Superfly, which puts on the Bonnaroo and Outside Lands music festivals.
Image Credits: Flymachine
In terms of actual experience — and I had the chance to experience one of the shows (pictured above) before writing this — Flymachine has done their best to recreate the experience of shouting over the tunes to talk with your buddies nearby. In Flymachine’s world this is attending the show in a “private room” with your other friends livestreaming in video chat bubbles from their homes. It’s well done and doesn’t distract too much from the actual concert, but you can adjust the sound levels of your friends and the music when the time calls for it.
Flymachine’s platform launch earlier this year, arriving as many Americans have been vaccinated and many concert-goers are preparing to return to normal, might have been considered a bit late to the moment, but the founding team sees a long-term opportunity that COVID only further highlighted.
“We weren’t in a mad dash to get the product out the door while people were sequestered in their homes because we knew this would be part of the fabric of society going forward,” Dreskin tells TechCrunch.
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Facebook officially launches Live Audio Rooms and podcasts in the US
In April, Facebook announced a series of planned investments in new audio products, including a Clubhouse live audio competitor as well as new support for podcasts. Today, Facebook is officially rolling out these products with the launch of Live Audio Rooms in the U.S. on iOS, starting with public figures and select Facebook Groups, and the debut of an initial set of U.S. podcast partners.
The company tells us Live Audio Rooms will become available to any verified public figure or creator in the U.S. who’s in good standing with Facebook and is using either a profile or the new Facebook Pages experience on iOS. For Facebook Groups, the feature is launching with “dozens of groups,” we’re told.
Both products will become more broadly available in the weeks and months ahead, as more people, podcasts and Groups are brought on board. Meanwhile, 100% of Facebook users in the U.S. will be able to listen to Live Audio Rooms and podcasts as of this week.
Image Credits: Facebook
Much like Clubhouse or similar audio apps, Facebook’s Live Audio Rooms offer a standard set of features.
The event’s hosts appear in rounded profile icons at the top of the screen, while the listeners appear in the bottom half of the screen, as smaller icons. The active speaker is indicated with a glowing ring. If verified, a check appears next to their name, as well.
There are also options for enabling live captions, a “raise hand” tool to request to speak and tools to share the room with others on Facebook through things like News Feed or Group posts.
Image Credits: Facebook
Facebook does things a little differently than others in some places. For instance, hosts are able to invite people to join them as a speaker in advance of the session, or they can choose listeners during the stream to join them. In each session, there can be up to 50 speakers and there’s no limit on the number of listeners, Facebook says.
During the session, users will be notified when friends or followers join the chat, too.
While listening, users can “Like” or react to the content as it streams using the “Thumbs Up” button at the bottom of the screen, which connects you to Facebook’s set of emoji reactions. And with today’s official launch, listeners can also now show support to the public figure of the Live Audio Room by sending “Stars.” These Stars can be purchased during the conversation and used at any time, similar to how they work with other Facebook Live content.
By sending Stars, the listener is bumped up to the “Front Row,” a special section that highlights the people who sent the Stars. This allows the event’s hosts to easily recognize their supporters and even give them a shout out during the event, if they choose.
Image Credits: Facebook
Another new feature allows hosts to select a nonprofit or fundraiser to support during their conversation, and listeners and speakers can directly donate. A progress bar will show how much has been raised during the show.
Image Credits: Facebook
Meanwhile, for Facebook Groups, admins can control whether moderators, group members or other admins can create a Live Audio Room. Both members and visitors can listen to the rooms in public groups, but in private groups, the rooms are limited to Group members.
Facebook users are alerted to all the new Live Audio Rooms via the News Feed and Notifications, and can sign up to be reminded when a room they’re interested in goes Live. Live Audio Rooms will also be discoverable within Facebook Groups, where available.
Image Credits: Facebook
Among the initial set of early adopters for Facebook Live Audio Rooms are Grammy-nominated electronic music artist TOKiMONSTA; American football quarterback Russell Wilson; organizer, producer and independent journalist Rosa Clemente; streamer and digital entertainer Omareloff; and social entrepreneur Amanda Nguyen. Others planned for the near future include D Smoke, Kehlani, Reggie Watts and Lisa Morales Duke, as well as Dr. Jess, Bobby Berk, Tina Knowles-Lawson, Joe Budden (notably Spotify’s first big podcast star who it lost last year) and DeRay Mckesson.
Image Credits: Facebook
Facebook Groups trying the new format include Dance Accepts Everyone, Vegan Soul Food, Meditation Matters, Pow Wow Nation, OctoNation – The Largest Octopus Fan Club! and Space Hipsters.
Image Credits: Facebook
Alongside the launch of Live Audio Rooms, Facebook is also beginning to roll out its planned podcast support with a few select creators. These include Joe Budden of The Joe Budden Podcast; “Jess Hilarious” of Carefully Reckless from The Black Effect Podcast Network and iHeartRadio; Keltie Knight, Becca Tobin and Jac Vanek of The LadyGang; and Nicaila Matthews Okome of Side Hustle Pro. Facebook will open up to other podcasters this summer.
Image Credits: Facebook
To be clear, this new podcasts service is different from the recently launched music and podcasts player in partnership with Spotify, which lets users share content from Spotify to the social network. The new feature instead involves podcasts that are streamed via public RSS feeds directly on Facebook, not delivered by Spotify. However, the miniplayer for podcasts on Facebook will look like the miniplayer for the Spotify listening integration (also known as Project Boombox), and they will behave similarly. But they are not the same.
The new podcast listening experience lets users listen to podcasts as they browse Facebook, either in a miniplayer or full-screen player with playback options, and even if the phone’s display is turned off. This makes Facebook, in a way, a native podcast streaming app because it allows people to listen to audio without needing another service — like Spotify or Apple Podcasts, for example.
Facebook had earlier said there are more than 170 Facebook users who are connected to a Page for a podcast, demonstrating user interest in podcasts on its social network.
Image Credits: Facebook
With the launch of the Facebook Podcast service, the company is asking podcast creators to give it permission to cache their content on Facebook’s servers, which we’re told is being done to ensure the content doesn’t violate Facebook’s Community Standards. However, because the podcasts are still being streamed via RSS feeds, they will be represented in the metrics provided by a podcaster’s hosting provider.
Last week, Facebook emailed podcast page owners details on how to set up their show on Facebook, noting they can link their podcast’s RSS feed to automatically generate News Feed posts for their episodes. These are also featured on a “podcasts” tab on their Page. According to Facebook’s Podcast Terms of Service, creators are granting Facebook the right to create “derivative works,” which likely refers to an upcoming clips feature.
Facebook says later this summer it will add the ability to create and share short clips from a podcast, along with other features, like captions. Longer-term, it will create social experiences around podcasts, as well. It’s also working with creators to develop and launch its new product, Soundbites, which are short-form, creative audio clips. This will launch later in 2021.
Image Credits: Facebook
Other audio products in the works include a central listening destination and background audio listening for videos.
Facebook says this new destination will be a place where all the different audio formats across Facebook are available, not just podcasts, and will help users find new things and people to listen to. More details on this project will become available later this summer.
Prior to today, Facebook quietly tested Live Audio Rooms in Taiwan and internally with Facebook employees Those tests will continue. Last week, Facebook CEO Mark Zuckerberg hosted the first trial of the new service in the U.S., where he was joined by other Facebook execs and a few Facebook Gaming creators.
Zuckerberg has been bullish on the potential for audio across the social networking platform. He even appeared on Clubhouse a couple of times to discuss the topic ahead of announcing what is, essentially, Facebook’s own Clubhouse competitor.
“I think the areas where I’m most excited about it on Facebook are basically in the large number of communities and groups that exist,” Zuckerberg had told Platformer, at the time of the original announcement. “I think that you already have these communities that are organized around interests, and allowing people to come together and have rooms where they can talk is — I think it’d be a very useful thing,” he added.
Facebook expects to expand its audio products globally in the months ahead.
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Spotify launches its live audio app and Clubhouse rival, Spotify Greenroom
In March, Spotify announced it was acquiring the company behind the sports-focused audio app Locker Room to help speed its entry into the live audio market. Today, the company is making good on that deal with the launch of Spotify Greenroom, a new mobile app that allows Spotify users worldwide to join or host live audio rooms, and optionally turn those conversations into podcasts. It’s also announcing a Creator Fund that will help fuel the new app with more content in the future.
The Spotify Greenroom app itself is based on Locker Room’s existing code. In fact, Spotify tells us, current Locker Room users will see their app update to become the rebranded and redesigned Greenroom experience, starting today.
Where Locker Room had used a white-and-reddish orange color scheme, the new Greenroom app looks very much like an offshoot from Spotify, having adopted the same color palette, font and iconography.
To join the new app, Spotify users will sign in with their current Spotify account information. They’ll then be walked through an onboarding experience designed to connect them with their interests.
Image Credits: Spotify
For the time being, the process of finding audio programs to listen to relies primarily on users joining groups inside the app. That’s much like how Locker Room had operated, where its users would find and follow favorite sports teams. However, Greenroom’s groups are more general interest now, as it’s no longer only tied to sports.
In time, Spotify tells us the plan is for Greenroom to leverage Spotify’s personalization technology to better connect users to content they would want to hear. For example, it could send out notifications to users if a podcaster you already followed on Spotify went live on Spotify Greenroom. Or it could leverage its understanding of what sort of podcasts and music you listen to in order to make targeted recommendations. These are longer-term plans, however.
As for Spotify Greenroom’s feature set, it’s largely on par with other live audio offerings — including those from Clubhouse, Twitter (Spaces) and Facebook (Live Audio Rooms). Speakers in the room appear at the top of the screen as rounded profile icons, while listeners appear below as smaller icons. There are mute options, moderation controls and the ability to bring listeners onstage during the live audio session. Rooms can host up to 1,000 people, and Spotify expects to scale up that number later on.
Image Credits: Spotify
Listeners can also virtually applaud speakers by giving them “gems” in the app — a feature that came over from Locker Room, too. The number of gems a speaker earned displays next to their profile image during a session. For now, there’s no monetary value associated with the gems, but that seems an obvious next step as Greenroom today offers no form of monetization.
It’s worth noting there are a few key differentiators between Spotify Greenroom and similar live audio apps. For starters, it offers a live text chat feature that the host can turn on or off whenever they choose. Hosts can also request the audio file of their live audio session after it wraps, which they can then edit to turn into a podcast episode.
Perhaps most importantly is that the live audio sessions are being recorded by Spotify itself. The company says this is for moderation purposes, which is a challenge for live audio platforms. If a user reports something in a Greenroom audio room, Spotify can go back to look into the matter, to determine what sort of actions may need to be taken. Moderation is an area Clubhouse has struggled with, as its users have sometimes encountered toxicity and abuse in the app in real time, including in troubling areas like racism and misogyny. Recently, Clubhouse said it had to shut down a number of rooms for antisemitism and hate speech, as well. (Clubhouse says it now records a temporary encrypted buffer of the audio in a room while the room is live for the purpose of supporting incident investigations — a system that has been in place for months.)
Spotify says the moderation of Spotify Greenroom will be handled by its existing content moderation team. Of course, how quickly Spotify will be able react to boot users or shut down live audio rooms that are in violation of its Code of Conduct remains to be seen.
While the app launching today is focused on user-generated live audio content, Spotify has larger plans for Greenroom. Later this summer, the company plans to make announcements around programmed content — something it says is a huge priority — alongside the launch of other new features. This will include programming related to music, culture and entertainment, in addition to the sports content for which Locker Room was known.
Image Credits: Spotify
The company also says it will be marketing Spotify Greenroom to artists through its Spotify for Artists channels, in hopes of seeding the app with more music-focused content. And it confirmed that monetization options for creators will come further down the road, too, but isn’t talking about what those may look like in specific detail for the moment.
In addition, Spotify is today announcing the Spotify Creator Fund, which will help audio creators in the U.S. generate revenue for their work. The company, however, declined to share any details on this front, either — like the size of the fund, how much creators would receive, time frame for distributions, selection criteria or other factors. Instead, it’s only offering a sign-up form for those who may be interested in hearing more about this opportunity in the future. That may make it difficult for creators to weigh their options, when there are now so many.
Spotify Greenroom is live today on both iOS and Android across 135 markets around the world. That’s not quite the global footprint of Spotify itself, though, which is available in 178 markets. It’s also only available in the English language for the time being, with plans to expand as it grows.
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Spotify rolls out new personalized experiences and playlists, including a mid-year review and a blended mix with a friend
Spotify today is expanding its investment in personalization features with the launch of a dedicated in-app experience called Only You, which focuses on your favorite music and how you listen. The experience is similar to Spotify’s popular annual review, Spotify Wrapped, as it highlights the artists, songs, genres and other aspects of your music listening experience that are important to you, which can then be shared across social media, just as Wrapped is. The company is also today debuting Blend, a new way to create a personalized playlist with a friend.
The Only You hub will live alongside the existing Made for You hub on the Search page inside the Spotify app. In Made for You, you’ll find your other personalized playlists like Discover Weekly, Release Radar, Daily Mixes and others, like Your Time Capsule or Summer Rewind, for example, as well as the more recently added trio of playlist sets, Spotify Mixes.
From now through the end of the month, Only You will be a separate hub in the Spotify app, but it will ultimately be relocated to live inside the Made for You hub.
Image Credits: Spotify
The new Only You experience, meanwhile, will help you discover new trends beyond what you might see in your personalized playlists. This includes “Your Audio Birth Chart,” where the sun is the top artist you listened to over the last six months, rising is your most recent discovery and the moon is an artist you listen to that shows your emotional side; “Your Dream Dinner Party,” where you pick three favorite artists for a custom, frequently updated Spotify Mix featuring favorite songs and fresh picks; and “Your Artist Pairs,” which features unique pairings you’ve listened to recently, like those spanning genres.
It also will contain other personalized insights like the different time periods of music you’ve enjoyed, the music or podcasts you listen to at what time of day and your favorite music genres and podcast topics.
For example, your “Song Year” will show how you’ve traveled through different periods of time, based on the tracks you listened to throughout the year. The first year that will pop up here is the year you’ve streamed the most, while the second year that appears will represent the earlier release year that you’ve listened to. The third year is the most recent song year that’s been streamed.
To gather all this data, Only You looks at your Spotify in-app listening experience over the last six months (December 2020 – May 2021). Users must have streamed 30 tracks across five different artists over the past six months in order to be eligible for the new experience. Spotify says the data isn’t being used for ad targeting purposes. (And despite astrology’s connection to birth months and years, the “Your Audio Birth Chart” isn’t asking for users’ birth year to create this experience.)
Image Credits: Spotify
Another key part of the Only You campaign is the launch of Blend, currently in beta.
This feature will sit on the “Made for Two” shelf within the Only You hub, allowing you to invite any other Spotify user to create a playlist with you. Using similar mixing technology that powers Spotify’s Family Mix and Duo Mix in their respective plans, Blend lets you invite any other Spotify user (free user or paid subscriber) to merge their musical tastes with yours to create a curated playlist featuring songs you both like.
This playlist is updated daily and will grow with users over time as their listening habits change, Spotify says.
Because it works with free accounts, Blend could encourage more users to try Spotify so they can create a playlist with a significant other, best friend, family member or others, even if they’re not on a shared plan.
Image Credits: Spotify
Both the Only You experience and Blend build on technology Spotify had already developed to power other features, like Wrapped and various multi-user blended mixes, rather than creating something entirely new. But the bigger message Spotify wants to convey here is that it’s far ahead of competitors when it comes to personalization features. Even if rivals are duping its playlists, it wants to be the forerunner when it comes to personalized music.
Of course, that’s not always the case. The newer Spotify Mixes, for instance, were a lot like a feature Pandora had launched years prior, which created custom playlists across a number of attributes, including genre and mood. But where Spotify succeeds is its continual release of new personalization features, as it works to make its app customized to the end user. By doing so, the switching costs increase — that is, users will find it harder to jump to rival services due to how many custom playlists they may have on hand.
Spotify will begin heavily marketing the launch of Only You with a number of top artists by creating sets of stats for various fandoms, including those for Harry Styles, Selena Gomez, Lil Nas X, Doja Cat, Justin Bieber, SZA and others. The campaign will run through June 30.
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How one founder made the most of Y Combinator in a pandemic year
This week, we welcome guest Hana Mohan to our podcast Found. Hana is the co-founder and CEO of MagicBell, a new startup she created with Josue Montano that recently graduated from Y Combinator’s Winter 2021 cohort. MagicBell is a full-featured plug-and-play notifications inbox aimed at developers who want to build one into their own product, but don’t want to have to build one from scratch.
Hana’s experience as an entrepreneur spans multiple companies, including her last one, which she grew to significant success in terms of annual revenue. She’s also a proud transgender woman, who underwent her transition mid-way through her existing history as a founder and entrepreneur. Hana talks to us about the challenges she faced taking on her transition in an industry where the focus is often exclusively on how hard you’re hustling and what you’re building next, and about her origin story as a founder coming from an environment where there weren’t necessarily many examples with similar life experience to look to for inspiration.
During our chat, Hana also shared lots of insight into YC, and what it provides founders, as well as perspective on what it was like going through the program during a global pandemic in a remote context. Finally, she offers some great context on finding your first investors and customers as a distributed team.
We loved talking to Hana, and we hope you love the episode. You can subscribe to Found in Apple Podcasts, on Spotify, on Google Podcasts or in your podcast app of choice. Definitely leave us a review and let us know what you think, or send us direct feedback either on Twitter or via email. Come back next week for yet another great conversation with a founder all about their own one-of-a-kind startup journey.
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Facebook introduces a new miniplayer that streams Spotify from the Facebook app
Facebook announced last week an expanded partnership with streaming music service Spotify that would bring a new way to listen to music or podcasts directly within Facebook’s app, which it called Project Boombox. Today, the companies are rolling out this integration via a new “miniplayer” experience that will allow Facebook users to stream from Spotify through the Facebook app on iOS or Android. The feature will be available to both free Spotify users and Premium subscribers.
The miniplayer itself is an extension of the social sharing option already supported within Spotify’s app. Now, when Spotify users are listening to content they want to share to Facebook, they’ll be able to tap the existing “Share” menu (the three-dot menu at the upper right of the screen) and then tap either “Facebook” or “Facebook News Feed.”
When a user posts an individual track or podcast episode to Facebook through this sharing feature, the post will now display in a new miniplayer that allows other people who come across their post to also play the content as they continue to scroll, or reshare it. (Cue MySpace vibes!)
Spotify’s paid subscribers will be able to access full playback, the company says. Free users, meanwhile, will be able to hear the full shared track, not a clip. But afterwards, they’ll continue to listen to ad-supported content on Shuffle mode, just as they would in Spotify’s own app.
One important thing to note here about how all this works is that the integration allows the music or podcast content to actually play from within the Spotify app. When a user presses play on the miniplayer, an app switch takes place so the user can log into Spotify. The miniplayer activates and controls the launch and playback in the Spotify app — which is how the playback is able continue even as the user scrolls on Facebook or if they minimize the Facebook app altogether.
This setup means users will need to have the Spotify mobile app installed on their phone and a Spotify account for the miniplayer to work. For first-time Spotify users, they’ll have to sign up for a free account in order to listen to the music shared via the miniplayer.
Spotify notes that it’s not possible to sign up for a paid account through the mini-player experience itself, so there’s no revenue share with Facebook on new subscriptions. (Users have to download the Spotify app and sign up for Paid accounts from there if they want to upgrade.)
The partnership allows Spotify to leverage Facebook’s reach to gain distribution and to drive both sign-ups and repeat usage of its app just as the COVID bump to subscriber growth may be wearing off. However, it’s still responsible for the royalties paid on streams, just as it was before, the company told TechCrunch, because its app is the one actually doing the streaming. It’s also fully in charge of the music catalog and audio ads that play alongside the content.
For Facebook, this deal means it now has a valuable tool to keep users spending time on its site — a metric that has been declining over the years, reports have indicated.
Spotify and Facebook have a long history of working together on music efforts. Facebook back in 2011 had been planning an update that would allow music subscription users to engage with music directly on Facebook, much like this. But those plans were later dialed back, possibly over music rights’ or technical issues. Spotify had also been one of the first media partners on Facebook’s ticker, which would show you in real time what friends were up to on Facebook and other services. And Spotify had once offered Facebook Login as the default for its mobile app. Today, as it has for years, Spotify users on the desktop can see what their Facebook friends are streaming on its app, thanks to social networking integrations.
The timing for this renewed and extended partnership is interesting. Now, both Facebook and Spotify have a mutual enemy with Apple, whose privacy-focused changes are impacting Facebook’s ad business and whose investments in Apple Music and Podcasts are a threat to Spotify. As Facebook’s own music efforts in more recent years have shifted toward partnership efforts — like music video integrations enabled by music label agreements — it makes sense that it would turn to a partner like Spotify to power a new streaming feature that supports Facebook’s broader efforts around monetizable tools and services aimed at the creator economy.
The miniplayer feature had been tested in non-U.S. markets, Mexico and Thailand, ahead of its broader global launch today.
In addition to the U.S., the integration is fully rolling out to users in Argentina, Australia, Bolivia, Brazil, Canada, Chile, Colombia, Costa Rica, Dominican Republic, Ecuador, El Salvador, Guatemala, Honduras, Indonesia, Israel, Japan, Malaysia, Mexico, New Zealand, Nicaragua, Panama, Paraguay, Peru, South Africa, Thailand and Uruguay.
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Sales scheduling platform Chili Piper raises $33M Series B funding led by Tiger Global
Chili Piper, which has a sophisticated SaaS appointment scheduling platform for sales teams, has raised a $33 million B round led by Tiger Global. Existing investors Base10 Partners and Gradient Ventures (Google’s AI-focused VC) also participated. This brings the company’s total financing to $54 million. The company will use the capital raised to accelerate product development. The previous $18 million A round was led by Base10 and Google’s Gradient Ventures nine months ago.
It’s main competitor is Calendly, started 2 1/2 years previously, which recently achieved a $3 billion valuation.
Launched in 2016, Chili Piper’s software for B2B revenue teams is designed to convert leads into attended meetings. Sales teams can also use it to book demos, increase inbound conversion rates, eliminate manual lead routing and streamline critical processes around meetings. It’s used by Intuit, Twilio, Forrester, Spotify and Gong.
Chili Piper has a number of different tools for businesses to schedule and calendar accountments, but its key USP is in its use by “inbound SDR Sales Development Representatives (SDR)”, who are responsible for qualifying inbound sales leads. It’s particularly useful in scheduling calls when customers hit websites and ask for a salesperson to call them back.
Nicolas Vandenberghe, CEO, and co-founder of Chili Piper said: “When we started we sold the house and decided to grow the company ourselves. So all the way until 2019 we bootstrapped. Tiger gave us a valuation that we expected to get at the end of this year, which will help us accelerate things much faster, so we couldn’t refuse it.”
Alina Vandenberghe, CPO and co-founder said: “We’re proud to have so many customers scheduling meetings and optimizing their calendars with Chili Piper’s Instant Booker.”
The husband-and-wife-founded company was fully remote from day one, with 93 employees in 81 cities and 21 countries, long before the pandemic hit.
John Curtius, partner at Tiger Global said: “When we met Nicolas and Alina, we were fired up by their product vision and focus on customer happiness.”
TJ Nahigian, managing partner at Base10 Partners, added: “We originally invested in Chili Piper because we knew customers needed ways to add fire to how they connected with inbound leads. We’ve been absolutely blown away with the progress over the past year, 2020 has been a step-change for this company as business went remote.”
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Spotify stays quiet about launch of its voice command ‘Hey Spotify’ on mobile
In 2019, Spotify began testing a hardware device for automobile owners it lovingly dubbed “Car Thing,” which allowed Spotify Premium users to play music and podcasts using voice commands that began with “Hey, Spotify.” Last year, Spotify began developing a similar voice integration into its mobile app. Now, access to the “Hey Spotify” voice feature is rolling out more broadly.
Spotify chose not to officially announce the new addition, despite numerous reports indicating the voice option was showing up for many people in their Spotify app, leading to some user confusion about availability.
One early report by GSM Arena, for example, indicated Android users had been sent a push notification that alerted them to the feature. The notification advised users to “Just enable your mic and say ‘Hey Spotify, Play my Favorite Songs.” When tapped, the notification launched Spotify’s new voice interface where users are pushed to first give the app permission to use the microphone in order to be able to verbally request the music they want to hear.
Image Credits: GSM Arena (opens in a new window)
Several outlets soon reported the feature had launched to Android users, which is only partially true.
As it turns out, the feature is making its way to iOS devices, as well. When we launched the Spotify app here on an iPhone running iOS 14.5, for instance, we found the same feature had indeed gone live. You just tap on the microphone button by the search box to get to the voice experience. We asked around and found that other iPhone users on various versions of the iOS operating system also had the feature, including free users, Premium subscribers and Premium Family Plan subscribers.
The screen that appears suggests in big, bold text that you could be saying “Hey Spotify, play…” followed by a random artist’s name. It also presents a big green button at the bottom to turn on “Hey Spotify.”
Once enabled, you can ask for artists, albums, songs and playlists by name, as well as control playback with commands like stop, pause, skip this song, go back and others. Spotify confirms the command with a robotic-sounding male voice by default. (You can swap to a female voice in Settings, if you prefer.)
Image Credits: Spotify screenshot iOS
This screen also alerts users that when the app hears the “Hey Spotify” voice command, it sends the user’s voice data and other information to Spotify. There’s a link to Spotify policy regarding its use of voice data, which further explains that Spotify will collect recordings and transcripts of what you say along with information about the content it returned to you. The company says it may continue to use this data to improve the feature, develop new voice features and target users with relevant advertising. It may also share your information with service providers, like cloud storage providers.
The policy looks to be the same as the one that was used along with Spotify’s voice-enabled ads, launched last year, so it doesn’t seem to have been updated to fully reflect the changes enabled with the launch of “Hey Spotify.” However, it does indicate that, like other voice assistants, Spotify doesn’t just continuously record — it waits until users say the wake words.
Given the “Hey Spotify” voice command’s origins with “Car Thing,” there’s been speculation that the mobile rollout is a signal that the company is poised to launch its own hardware to the wider public in the near future. There’s already some indication that may be true — MacRumors recently reported finding references and photos to Car Thing and its various mounts inside the Spotify app’s code. This follows Car Thing’s reveal in FCC filings back in January of this year, which had also stoked rumors that the device was soon to launch.
Spotify was reached for comment this morning, but has yet been unable to provide any answers about the feature’s launch despite a day’s wait. Instead, we were told that they “unfortunately do not have any additional news to share at this time.” That further suggests some larger projects could be tied to this otherwise more minor feature’s launch.
Though today’s consumers are wary of tech companies’ data collection methods — and particularly their use of voice data after all three tech giants confessed to poor practices on this front — there’s still a use case for voice commands, particularly from an accessibility standpoint and, for drivers, from a safety standpoint.
And although you can direct your voice assistant on your phone (or via CarPlay or Android Auto, if available) to play content from Spotify, some may find it useful to be able to speak to Spotify directly — especially since Apple doesn’t allow Spotify to be set as a default music service. You can only train Siri to launch Spotify as your preferred service.
If, however, you have second thoughts about using the “Hey Spotify” feature after enabling it, you can turn it off under “Voice Interactions” in the app’s settings.
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Nonobvious acquisitions are on my 2021 bingo board
At the end of 2020, I argued that edtech needs to think bigger in order to stay relevant after the pandemic. I urged founders to think less about how to bundle and unbundle lecture experience, and more about how to replace outdated systems and methods with new, tech-powered solutions. In other words, don’t simply put engaging content on a screen, but innovate on what that screen looks like, tracks and offers.
A few months into 2021, the exit environment in edtech…feels like it’s doing exactly that. The same startups that hit billion and multi-billion valuations during the pandemic are scooping up new talent to broaden their service offerings.
Ruben Harris, the founder of Career Karma, a platform that matches aspiring coding professionals to bootcamps, put together a massive report recently with his team to talk about the pandemic’s impact on the bootcamp market.
James Gallagher, the author of the report, tells me:
It is important to note that the full potential of bootcamps has not yet been realised. We are now seeing more exploration of niches like technology sales which provide gateways into new careers in tech for people who otherwise may not have been able to acquire training. To scale such models, new businesses will need venture capital.
He went on to explain how a notable acquisition from 2020 was K12 scooping up Galvanize, “which would give K12 exposure into corporate training and the coding bootcamp space, a market outside of K12’s focus at the moment.”
To me this report signal two things: the financial interest in boot camps isn’t simply stemming from other bootcamps (although that is happening), but it’s surprising partnerships. Leaving this subsector, we see creative acquisitions such as a Roblox for edtech buying a language learning tool, and a startup known for flashcards scooping up a tech tutoring service.
- How is edtech spending its extra capital
- Byju’s in talks to acquire US-based reading platform, Epic
- The tech-powered wave of smart, not slow, tutoring sessions
Readers should know by this point that I love a nonobvious acquisition (except when this almost happened), so if you have any more tips on coming deals in edtech, please Signal me or direct message me on Twitter.
I’ll end with this: Successful startup founders are innately ambitious, finding opportunity in moonshots and convincing others that the odds are in their favor. However, the ceiling for what defines ambition heightens almost everyday. What used to be a win is now a nonnegotiable, and a feat is only a feat until your competitor hits the exact same milestone.
Acquisitions are one way to scoop up competition and synergistic talent, but it’s what happens next that matters the most.
In the rest of this newsletter, we will talk about Clubhouse competitors, how a homegrown experiment became one of the fastest growing companies in fitness tech and a cool-down in public markets (?!). As always, you can get this newsletter in your inbox each Saturday morning, so subscribe here to join the cool kids.
Clubhouse might create billions in value, but could capture none of it
Remember when everyone was buzzing around about building Stories? That’s so pre-pandemic. A number of companies recently announced plans to build their own versions of Clubhouse, after the buzzy app unearthed the consumer love for audio.
Here’s what to know: It might be easier to start guessing who isn’t building a Clubhouse clone at this point. Our predictions are already starting, but jokes aside, the rise in clones could mean that Clubhouse might have to make a run for its pre-monetized money (cough, cough, Twitter spaces). It doesn’t matter if a startup is first in unlocking a key insight, all that matters is who executes that key insight the best.
- Facebook’s Clubhouse rival looks a lot like Clubhouse right now
- Discord is launching new Clubhouse-like channels for audio events
- LinkedIn confirms it’s working on a Clubhouse rival, too
- Swell launches its app for asynchronous voice conversations
- Slack wants to be more than a text-based messaging platform
- Twitter Spaces arrives on Android ahead of Clubhouse
- Spotify is getting into live audio because of course it is
- Career Karma built audio rooms
- China’s Clubhouse clones via Protocol
Image Credits: Getty Images
A strong unicorn, literally
Tonal, a fitness tech startup, became a unicorn this week after raising a new tranche of capital.
Here’s what to know: The new status underscores market growth for at-home fitness solutions. And while we don’t have a Tonal S-1 yet, we do have a Tonal EC-1. EC-1’s are TechCrunch’s riff on an S-1, and are essentially a deep dive into a company.
Reporter JP Mangalindan wrote thousands and thousands of words about Tonal, from its origin story to business model, its focus on communities and its biggest hurdles ahead.
- How a homegrown experiment became one of the fastest-growing companies in fitness tech
- Millions of dollars and 3.5 years, and it all came down to this
- Building online communities for fun, profit and product
- Can Tonal become the luxury fitness market champion?
Image Credits: Nigel Sussman
Initial public o….no
You’ve probably had a better week than Compass, Deliveroo and Kaltura. The three companies all had different events that illustrate a potential damper on the part that has been the public markets.
Here’s what to know: Compass cut its shares and lowered pricing of said shares, Deliveroo had a rough debut as a delivery company on the public markets, and Kaltura postponed its IPO after valuation demand didn’t hit expectations.
In other news, though:
- Coursera prices IPO at top end of its range in boon to edtech valuations
- Coinbase to direct list on April 14th, provide financial update on April 6th
- UiPath’s IPO filing suggests robotic process automation is booming
Photo Taken In Arizona, United States. Image Credits: Jure Batagelj / 500px / Getty Images
Around TechCrunch
Thanks to everyone who tuned in to TechCrunch Early Stage! If you enjoyed the event (or missed it), don’t worry: Disrupt is almost here.
- Buy a pass to Disrupt 2021 and get a free Extra Crunch membership
- And I want to give a shout-out to two newsletters that I hope you read each week along with Startups Weekly: This Week in Apps and The Exchange.
Across the week
Seen on TechCrunch
How startups can go passwordless, thanks to zero trust
Tips for founders thinking about doing a remote accelerator
US iPhone users spent an average of $138 on apps in 2020, will grow to $180 in 2021
Niantic CEO shares teaser image of AR glasses device
The Weeknd will sell an unreleased song and visual art via NFT auction
Seen on Extra Crunch
Embedded procurement will make every company its own marketplace
5 mistakes creators make building new games on Roblox
E-commerce roll-ups are the next wave of disruption in consumer packaged goods
How our SaaS startup improved net revenue retention by more than 30 points in two quarters
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Clubhouse will create billions in value and capture none of it
Hello and welcome back to Equity, TechCrunch’s venture capital-focused podcast, where we unpack the numbers behind the headlines.
Natasha and Danny and Alex and Grace were all here to chat through the week’s biggest tech happenings. It was a busy week on the IPO front, Danny was buried in getting the Tonal EC-1 out, and Natasha took some time off. But the host trio managed to prep and record a show that was honestly a kick to record, and we think, a pleasure to listen to!
So, for your morning walk, here’s what we have for you:
- The Substack conversation: Does the new $65 million check make sense? What is Substack? Does it have a moat? Why is Natasha’s URL so much better than Alex’s?
- Cameo raised $100 million and none of us really have a bone to pick with that. Danny actually argues in favor of it.
- The Clubhouse conversation: Does every single product need to feature live audio? The answer appears to be yes, oddly enough. Discord comes up along with Spotify, as does LinkedIn. And somehow, Microsoft Excel and Miami?
- TechCrunch scooped that Pipe is raising more money at a huge new valuation, and we argue about what a derivative really is.
- Harlem Capital raises $134 million for its new fund.
- MaC VC raises $103 million for its new fund.
It was a mix of laughs, ‘aha’ moments and honest conversations about how complex ambition in startups should be. One listener the other day mentioned to us that the pandemic made it harder to carve out time for podcasts, since listening was often reserved for commutes. We get it, and in true scrappy fashion, we’re curious how you’ve adapted to remote work and podcasts. Let us know how you tune into Equity via Twitter and remember that we’re thankful for your ears!
Equity drops every Monday at 7:00 a.m. PST, Wednesday, and Friday at 6:00 AM PST, so subscribe to us on Apple Podcasts, Overcast, Spotify and all the casts!
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