Archive | April, 2014

The price of disruption

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The price of disruption

Last week, TPG, Dragoneer Investment Group, Sequoia Capital and T. Rowe Price Group Inc. invested more than $450 million in home-rental company Airbnb. The round values Airbnb at around $10 billion, making it one of the most valuable startups in the world.

Airbnb is currently facing off with New York Attorney General Eric Schneiderman who claims the service is illegally subletting and creating pseudo-hotels. Airbnb, which has 300,000 listings in more than 190 countries, including 30,000 in New York, said that it aims to start collecting taxes from renters on behalf of hosts in New York, San Francisco and other major cities to follow city regulations.

Although major hoteliers may play down the threat of Airbnb, the fact remains that the startup has begun taking share from their industry. And with $776.40 million in total funding, Airbnb has the ammunition to battle with the powers that be and further disrupt the multibillion-dollar hospitality industry.

Are we ready for another Heartbleed?

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Are we ready for another Heartbleed?

Heartbleed, the bug that shook the Internet to its foundations, went undetected for two years until its discovery early this month. The bug is an Open SSL cryptographic library flaw that allows hackers to steal sensitive information like passwords, bank and credit card data, social security numbers and emails of just about anyone. It has affected 66% of all websites including popular sites such as, Facebook, Google, Yahoo!, Dropbox, and others. Companies have scrambled to patch their sites and advised users to change their passwords immediately as a precautionary measure. But since the Heartbleed bug has existed for two years without detection, it raises the bigger question: what can the security community do in the future to detect similar threats sooner?

The war on big data begins

Commentary

The war on big data begins

Make no mistake about it, the war on big data is officially on. Last week, Cloudera, a Hadoop company from Palo Alto, California, has raised $900m in its recent venture capital fundraising round. A whopping $740m came from Intel, while $160m came from T. Rowe Price and Google Ventures. In conjunction with the funding, Intel has now become Cloudera’s largest strategic shareholder, with an 18% stake in the company.

While $900m is a huge amount of money, the bigger news is the new partnership between Cloudera and Intel. It is interesting to note that Intel used to have its own Hadoop distribution but recently discontinued it in favour of Cloudera. According to Brian Krzanich, Intel CEO, the goal is to “build a world-class, enterprise-ready platform that everyone can build their big data solutions from.”

Together, Cloudera and Intel are a formidable partnership, with Intel leveraging Cloudera’s sophisticated Hadoop distribution, and Cloudera benefiting from Intel’s technological resources and strong sales presence in India and China. With Intel by its side, Cloudera can now compete head-on with other players such as, IBM, Oracle, SAS and Teradata, all of which have ambitions to dominate the big data sector.

Top 20 Acquisitions for April 2014

 

Deal No. Amount Paid (USD) Company Investor/Buyer Sector Deal Type
1 $19,000,000,000 WhatsApp Facebook Mobile & Apps Acquisition
2 $3,200,000,000 Nest Labs Google Hardware & Infrastructure Acquisition
3 $2,300,000,000 IBM (x86-based server business) Lenovo Hardware & Infrastructure Acquisition
4 $2,000,000,000 Oculus VR Facebook Hardware & Infrastructure Acquisition
5 $1,500,000,000 AirWatch VMWare Mobile & Apps Acquisition
6 $900,000,000 Viber Media Rakuten Mobile & Apps Acquisition
7 $804,000,000 ChinaVision Media Group Alibaba Media Acquisition
8 $523,500,000 Jobstreet Seek Transactions Acquisition
9 $500,000,000 Maker Studios The Walt Disney Company Media Acquisition
10 $260,000,000 Ticket Monster Groupon Transactions Acquisition
11 $200,000,000 LegalZoom Permira Transactions Acquisition
12 $200,000,000 Cyvera Palo Alto Networks Software & Services Acquisition
13 $165,000,000 Bash Gaming GSN Games Games Acquisition
14 $126,000,000 SK Encar Carsales.com Ecommerce Acquisition
15 $125,136,000 Klarna Consortium Transactions Acquisition
16 $120,000,000 Bright LinkedIn Transactions Acquisition
17 $100,000,000 Parature Microsoft Software & Services Acquisition
18 $100,000,000 Basis Science Intel Hardware & Infrastructure Acquisition
19 $90,700,000 Gravity AOL Marketing Acquisition
20 $80,000,000 Aviate Yahoo Mobile & Apps Acquisition

More information

  1. Facebook Buying WhatsApp For $19B, Will Keep The Messaging Service Independent (TechCrunch)
  2. Google buys Nest Labs for $3.2 billion (CNN)
  3. Lenovo agrees to buy IBM’s server business for $US2.3 billion (ARN)
  4. Facebook is buying Oculus for $2B to ‘get ready for the platform of tomorrow’ (VentureBeat)
  5. VMWare’s $1.5B AirWatch Buy All About Mobile Workplace (TechCrunch)
  6. Rakuten Acquires Viber for $900M (FinSMEs)
  7. Alibaba Pays $804M To Take Majority Stake In TV And Movie Producer ChinaVision (TechCrunch)
  8. Australia’s Seek to Buy Jobstreet in $524 Million Deal (Wall Street Journal)
  9. It’s Official: Disney Acquires Maker Studios For At Least $500M (TechCrunch)
  10. Groupon’s $260M Acquisition Of Ticket Monster From LivingSocial Has Closed (TechCrunch)
  11. The $425M LegalZoom deal is a win for VCs, but less exciting for the company or LA (PandoDaily)
  12. Palo Alto Networks Acquires Cyvera for $200M (FinSMEs)
  13. GSN’s $165M Bash Gaming Acquisition Nets 100X Return For Investors (TechCrunch)
  14. Carsales splashes $126m on SK Encar (The Australian)
  15. Klarna Raised €90M to Acquire SOFORT (FinSMEs)
  16. LinkedIn makes its biggest acquisition by paying $120m for job matching service Bright (The Next Web)
  17. Microsoft Acquires Parature for $100M (FinSMEs)
  18. Basis Goes To Intel For Around $100M (TechCrunch)
  19. Setting Its Sights On Content Personalization, AOL To Acquire Gravity For $90.7M (TechCrunch)
  20. Source: Yahoo Bought Aviate For $80M (TechCrunch)