Posts from Uncategorized

Getting Feedback and Listening To It

When you are VC, you live in this protected environment. You sit in your office in a glass conference room with lovely views and entrepreneurs walk in and pitch you and you get to decide who you are going to back and who you are not. People tell you what they think you want to hear. That you are so smart. That you are so successful. They suck up to you. And it goes to your head. You believe it. I am so smart. I am so successful.

You have to get out of that mindset because it is toxic. My number one secret is the Gotham Gal who brings me down to earth every night, makes me do the dishes, walk the dog, and lose to her in backgammon. Actually I have not lost to her in backgammon in over twenty years because she used to beat me so badly that I couldn’t take it anymore.

But blogging is another helpful tool in reminding yourself that you are not all that. Marc Andreessen said as much in his excellent NY Magazine interview which was published yesterday. I loved the whole interview but I particularly loved this bit:

So how do you, Marc Andreessen, make sure that you are hearing honest feedback?

Every morning, I wake up and several dozen people have explained to me in detail how I’m an idiot on Twitter, which is actually fairly helpful.

Do they ever convince you?

They definitely keep me on my toes, and we’ll see if they’re able to convince me. I mean, part of it is, I love arguing.

No, really?

The big thing about Twitter for me is it’s just more people to argue with.

Keeping someone on his or her toes, making them rethink their beliefs, making them argue them, is as Marc says “fairly helpful.” That’s an understatement. It is very very helpful.

That’s the thing I love about the comments here at AVC. I appreciate the folks who call bullshit on me. There are many but Brandon, Andy, and Larry are common naysayers. They may come across as argumentative, but arguing is, as Marc points out, useful.

The comments are also a place where people play the suck up game. It isn’t necessary to do that and I don’t appreciate it. It makes me uneasy.

So I would like to thank the entire AVC community for being a sounding board for my ideas, for pushing back when I am off base, and for resisting the suck up whenever the urge presents itself. I appreciate it very much.

The Personal Cloud

Benedict Evans coined the term “personal cloud” in his writeup of WWDC in June. He said:

what you might call the personal cloud – the Bluetooth LE/Wifi mesh around you (such as HealthKit or HomeKit)

I like to think about what’s next.

Paul Graham said, “If you think of technology as something that’s spreading like a sort of fractal stain, almost every point on the edge represents an interesting problem.”

And in that context, the personal cloud is a particularly interesting “point on the edge” to me. It includes the following things:

1) NFC and other technologies that will turn the mobile phone into your next credit card

2) Phone to phone mesh networking like we saw with Fire Chat in Hong Kong a few weeks ago

3) Wearables like the watch, necklace, and earbud

4) Personal health data recording (HealthKit) in which your phone has a real time and historical chart of your heartbeat, blood chemistry, blood pressure, pulse, temperature, and much more.

5) Airplay and Chromecast and other technologies that will turn the mobile phone into both the next settop box and remote

I could probably go on and list another five things that fit into the personal cloud, but I will stop there.

If the first wave of the mobile phone’s impact on the tech sector was driven by applications running on the phone, the second wave will be driven by the phone connecting to other devices, including other phones.

I am particularly fascinated about what happens when our phones connect to other phones in dense environments and form meshes that don’t need the traditional Internet connectivity to power them. Mesh networks don’t just solve the problem of lack of traditional connectivity (Hong Kong), they also produce a solution to the last mile connectivity duopoly in wireline and oligopoly in wireless. In the future we may just opt out of those non-competitive markets and opt into a local mesh to get us to the Internet backbone, both in our homes and when we are out and about.

And phone to phone meshes form local “geofenced” networks that are interesting in their own right. A nice example of this is the peek feature in Yik Yak where you can see the timeline at various universities around the US. These Yik Yak peeks are not powered by mesh networking, they are just using the geolocation feature on the phone. But they could be a collection of mesh networks operating in various universities around the country. And so that example is enlightening to me.

I wanted to end this post with an image of a person walking down the street surrounded by their personal cloud and all the devices that are connected to it. But a quick image search did not produce it for me. That in and of itself is telling. That’s our future. But right now we are still in the imagining phase of it.

Feature Friday: SoundCloud Cards On Twitter Mobile

Yesterday afternoon I was in a meeting at our portfolio company SoundCloud and I got a Kik from Kirk who said “did you see the new SoundCloud cards running inside Twitter?”

When we had a break in our meeting, I replied and said “No, but I saw the buzz on the feature on Twitter” and then asked him to Kik me a Tweet I could look at on my phone.

He kik’d me this one and I played it on my phone from inside Twitter (open that link on your phone in Twitter if you want to see it in action).

The really cool thing about this new card is you can minimize the SoundCloud card (like you can minimize a video on YouTube) and then keep listening to the music while you move away from the tweet.

That’s a big deal because most SoundCloud tracks are 2-5mins long and you wouldn’t want to keep that tweet open on your phone for 2-5mins if you could avoid doing that just to hear the entire track.

Apparently this feature (called Twitter Audio) will be available to other audio partners. This is a great move for Twitter and a great thing for SoundCloud and other audio companies too.

A Great Job At CSNYC

As many of you know, CSNYC is  a non-profit I helped start a few years ago along with some colleagues. We are attempting to bring computer science education to the 1.1 million children in the NYC Public School system.

The organization is still quite small but has been growing slowly and steadily since we formed it. There are five or six people working at CSNYC depending on if you count people working on it part time.

We are doing a lot with a small crew and this year there will be over 100 public schools in NYC (high school, middle school, and even a few elementary schools) with CSNYC funded classes in them. We do this by partnering with the very best computer science programs around the country and funding them to come to NYC and train teachers and get their curriculum into classrooms.

We also do a bunch of other things and possibly the most impactful of all the things we do is community development. We run meetups and other events to bring NYC public school teachers (and other teachers too) together to talk about how they are using computer science and programming in their classrooms.

Our largest meetup, the CSNYC Education Meetup, has almost 600 teachers in it and has quadrupled in size in the past year. My great hope is it will quadruple in size again this year. Each monthly meetup has a theme, such as Careers in Computing, CS Across Disciplines, Showcase of teacher resources and student work, etc. There is a meetup today actually. It is a meetup today about Teaching the Next Generation of Tech, a symposium led by panelists from ScriptEd, TEALS, AFSE and Flatiron School. Anyone who is interested in learning more about CSNYC, the programs we fund, our teacher meeetups, or teaching computer science to K-12 students is welcome to attend.

So that is a long lead-in to this job opportunity. We have opened another job at CSNYC and this role will be dedicated to running and coordinating all of our meetups, our events, and our communications efforts, including our website and social media efforts. The job posting is here.

This is a great opportunity for the right person. You will get to meet and work with hundreds of teachers who are embracing computer science and bringing it into their schools and classrooms. The right person will enjoy meeting new people, and will be organized, web savvy, and passionate about the CSNYC mission. If you are all of that, and more, please send an email to [email protected].

And if you know someone who would be great at this job, please send an email to [email protected].

This is an important effort that is doing great work and I’m proud to have been part of making it happen. If you would like to support it financially, you can do so here.

The Coin Center

We have found that the best way to deal with policy makers and regulators when something new and threatening and dangerous looking comes around is to educate, educate, educate, educate. You can hire expensive lobbyists, you can try the “ignore and deal with it later” approach, and you can try operating in other more welcoming locations. But in our view the best approach is to take the time and effort to explain things, listen to the concerns, get the best and brightest minds involved to work things out together and come to the right answers.

It is in this spirit that a new organization called the Coin Center has launched. The Coin Center will be led by Jerry Brito who has done some of the best Bitcoin education and advocacy work in his former role at George Mason University’s Mercatus Center. So Jerry really won’t be doing anything new here. But he will be able to focus 100% of his time on this work and will have more financial and organization support to do it.

The Washington Post has a good article explaining the Coin Center and who is initially behind it.

I would like to thank Alex Morcos of Chaincode Labs and Balaji Srinivasan of Andreessen Horowitz for all the hard work they did bringing the Coin Center to life. Without their persistence, I don’t think this would have happened.

USV is proud to be a financial supporter of the Coin Center along with a handful of the most active entrepreneurs and investors in the blockchain sector. We will be reaching out broadly to everyone who has an interest in this sector in the coming months to get involved in some way. Technologies such as cryptocurrencies, bitcoin, and the blockchain are important, fundamental, and will foster innovation for decades to come. We must make sure that policy makers and regulators are well educated and informed so that they will put forward policies that will accelerate the development of these technologies, not retard them.

Doubling Down On Ridesharing

Back in February, I wrote about our investment in Sidecar. At that time, Sidecar had recently launched a marketplace model where riders can choose the drivers they want to ride with. That model has proven very popular and Sidecar’s ride volumes grew significantly after it launched. Sidecar followed up that innovation with the launch of Shared Rides this summer and is already matching thousands of shared rides every week in San Francisco.

The tech industry has grouped many different apps under the label ridesharing. The name comes from the idea that anyone can be a transportation provider by taking out their car and giving rides via an Internet network powered by mobile apps in both the driver’s and rider’s hands. That is not really how most of these networks work. In reality, what we have seen develop is a new form of a limo service powered through technology. That isn’t really ride sharing.

And to take it a step further, if there is only a single passenger in the car, that’s not really ridesharing either. True ridesharing would be me taking out my car from my garage, powering up my Sidecar driver app, and accepting rides in which as many people as possible pile into my car and I take them all where they want to go. That’s the most efficient and highest form of utilization for my car and my time and will lead to the lowest cost rides for the passengers (and the most money for the drivers).

If we really want to reduce the number of cars on the road and make ridesharing a game changer in the transportation market, we need to see a model develop where anyone can be a driver whenever they want to drive and as many people as is safe and comfortable can get in the car with the driver and get where they want to go.

That is what Sidecar is building. That is the vision they had when they started the Company, that is the vision they had when we invested last year, and that is the vision they continue to pursue.

I am very excited by the potential of Shared Rides. I don’t really see any other way that regular people who can spend a few dollars, but not tens of dollars, every day to get to work, can take advantage of ridesharing. The leaders in this market can subsidize prices and cut fees for their drivers as much as they want. But that’s not sustainable. What is sustainable is increasing the utilization of the car as much as possible. That’s Shared Rides.

At USV, we are very excited about Shared Rides and Sidecar’s commitment to rolling out Shared Rides in every market they operate in and then expanding the markets they operate in. We’ve co-led a round with our friends at Avalon and Richard Branson which the company has announced today.

Public Writing and Community Building

I realized this morning that many of the biggest changes in Startups and VC over the past ten years (2004-2014) have come about in part because of public writing and community building.

I would put the YC and 500 Startups movements in that camp, and the emergence of vibrant startup hubs in NYC, LA, and Boulder, and the juggernaut that is A16Z.

If you want to make a splash and create  something new, writing publicly and building a community around that is one important part of the playbook.

Do You Unplug

I’m working on unplugging during my six weeks off. I’m doing a decent job but I am not totally unplugged and it is possible that I won’t totally unplug.

I saw this chart in the WSJ (via Twitter) this morning:

unlug

So almost half of us don’t ever unplug.

Do you, and if so, how often?

The New Foursquare

Today our portfolio company Foursquare is launching the all new Foursquare. You can download it here.

There’s a really interesting lesson for entrepreneurs and developers in the Foursquare story. The initial product was very innovative and it brought to market the notion of checkins, being able to see where your friends were, recommendations of places by your friends instead of strangers, and a social feed based on location.

Since Foursquare launched, over 50 million people worldwide have checked into a place on Foursquare, creating over 6 billion checkins, and millions of new checkins are created every day. And yet for many, the initial Foursquare was a challenging product. Last year, the Foursquare team took a step back and analyzed why such a groundbreaking product was so challenging for so many.

This analysis told them a few important things:

1) Foursquare had to support two separate privacy models. While you probably want every Foursquare user to see your tips and recommendations, you definitely don’t want them to all know where you are. So that required two privacy models. Most users find two privacy models in one app to be quite confusing. 

2) A hard core of Foursquare users love to checkin. I am one of them. I want to database my life, the places I go, and what I see and do there. I have checked in a total of 6,342 times since I started using Foursquare.

3) Most Fourquare users don’t want to checkin. Like Twitter, where many users don’t tweet (or don’t tweet often), many Foursquare users don’t checkin. They use the app to find a place to go based on where they are and what they like to do.

So those key learnings and many more told the Foursquare team that they had two primary use cases and they needed two apps to satisfy them. Foursquare for everyone. And Swarm for those users who like to checkin. The all new Foursquare has the Twitter privacy model (default public). And the Swarm app has the Facebook privacy model (default private).

Foursquare and Swarm are an “app constellation.” They work tightly with each other if you have both of them. If you only have Foursquare, then it’s a different and lighter experience.

If you are like most people and don’t want to checkin but do want to know where to go and what to do when you are somewhere new and different or just looking for some inspiration, download the new Foursquare. It’s powered by those 6bn and growing checkins. It has incredible data based on “what they do instead of what they say” and the recommendations are great. I’ve been using the new Foursquare in tandem with Swarm for the past month and I love the combo and what each brings to my life.

Fun Friday: How Do You Take Your Coffee?

It seems like its been a while since we’ve done a Fun Friday around here. I’m not sure why that’s the case but its time to change that.

I’m sitting here in the Soho House in Berlin drinking a nice cappuccino and thinking about all the ways one can consume coffee.

image

I have one cup of coffee a day. No more because it makes me wired. No less because I’m addicted.

Because I only allow myself one a day, I’m obsessive about making it a good one.

I prefer espresso coffee and my primary drink is a Cortado which is also called a Gibraltar. Its usually a double shot of espresso with a small bit of steamed milk. Think of it as a mini Cappuccino. I generally get it in a shot glass. My favorites are at Kava in NYC’s west village, Blue Bottle Coffee in NYC and SF, and my absolute favorite is at Intelligentsia in Venice Beach California.

I do like an iced cappuccino on a hot steamy morning like we have in NYC in the summer. My favorite iced cappuccino is from Jack’s in the west village of NYC and Amagansett NY.

I have various coffee shop lists on Foursquare. This is my favorite coffee shops in Manhattan list.

So that’s how I like my coffee. How do you like yours?

Update: Wil suggests “post a selfie of you and your morning coffee in the comments”. I think that’s a great idea!