The Briefing by Martin Peers, Jessica Lessin and the team at The Information

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The Briefing

By Martin Peers, Jessica Lessin and the team at The Information

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Recent Editions

Facebook chief operating officer Sheryl Sandberg has been pitching Atlas. Photo by Bloomberg.

Wary of Facebook, Publishers Wait on Atlas

By Tom Dotan and Eric Newcomer · Oct 7, 2014 7:01am PDT

As Sheryl Sandberg, Facebook’s chief operating officer, took the stage last Monday to unveil the revamped version of its ad-buying platform Atlas, she announced what is widely considered the first credible threat to Google’s display ad dominance. But something was missing: major publishers that Facebook ultimately wants to list... As Sheryl Sandberg, Facebook’s chief operating officer, took the stage last Monday to...

Modest Proposals

How the Sharing Economy Threatens the Traditional Economy

By Sam Lessin · Oct 6, 2014 10:01am PDT · 3 comments

For centuries, technology has been making it easier to make more goods more cheaply, driving up ownership and consumption of everything from TVs to toys. But we’re entering a different era. Technologies that enable us to summon everything from a car to hiking equipment on demand are making access to goods, not the production of them, more... For centuries, technology has been making it easier to make more goods more cheaply, driving up...

Netflix CEO Reed Hastings in Germany last month. Photo by Associated Press.

Media Companies: Beware of Netflix’s Global Ambitions

By Martin Peers · Oct 6, 2014 7:01am PDT

Anyone in the entertainment business tracking Netflix’s recent spate of global programming deals might want to consider comments made by cable pioneer John Malone last year. Talking about the need for cable operators to work together to build a national online video outlet, he noted that Netflix’s national presence across the U.S.... Anyone in the entertainment business tracking Netflix’s recent spate of global programming...

Please PayPal, Do Something Crazy

By Jessica E. Lessin · Oct 3, 2014 10:02am PDT · 1 comment

Please PayPal, Do Something Crazy

By Jessica E. Lessin · Oct 3, 2014 10:02am PDT · 1 comment

Ebay and PayPal finally announced their breakup this week, and so the online payments juggernaut will have the chance to chart its own destiny. And when it does next year, I have some advice: Do something most people in Silicon Valley think is crazy. Become a bank. Getting an official bank charter (or procuring one by buying a small bank) would... Ebay and PayPal finally announced their breakup this week, and so the online payments juggernaut...

Cyanogen co-founders Steve Kondik, left, and Kirt McMaster. Photo by Cyanogen.

Cyanogen Spurns Google Acquisition Interest, Seeks $1 Billion Valuation

By Amir Efrati · Oct 2, 2014 11:23am PDT

A startup that distributes smartphone software based on Google’s Android mobile operating system recently drew attention from Google’s rivals, including Microsoft, Amazon and Yahoo. Now it’s gotten Google’s attention, too. The Palo Alto- and Seattle-based company, called Cyanogen, is discussing a Series C round of... A startup that distributes smartphone software based on Google’s Android mobile operating...

Photo by Bloomberg.

For Developers, Headaches from Apple’s New Location Warnings

By Eric Newcomer · Oct 2, 2014 7:01am PDT

Before Apple pushed out its iOS 8 update, developers at fitness app RunKeeper faced a tough choice. Unless they changed their app, people would be asked if the app could track their location even when they weren't using it—which could prompt them to opt out. “It sounds like a confusing and almost nefarious thing,” says Max... Before Apple pushed out its iOS 8 update, developers at fitness app RunKeeper faced a tough...

Roku CEO Anthony Wood. Photo by Bloomberg.

Once a Pioneer, Roku Boxed In by Competitors

By Martin Peers · Oct 1, 2014 7:00am PDT · 2 comments

This should be Roku’s time. As online video streaming takes off, the first device used to stream Netflix to TVs and the one with the biggest market penetration should be at its peak. But while Roku proudly trumpets that it has sold 10 million devices in the U.S. since launch in 2008, it increasingly looks to be the tallest midget in the... This should be Roku’s time. As online video streaming takes off, the first device used to...

Illustration by Matt Vascellaro

Evernote Declares War on Microsoft Office, Lends Hand to News

By Amir Efrati · Sep 30, 2014 3:29pm PDT

Illustration by Matt Vascellaro

Q&A

Evernote Declares War on Microsoft Office, Lends Hand to News

By Amir Efrati · Sep 30, 2014 3:29pm PDT

Evernote CEO Phil Libin says his seven-year-old startup is coming out of “stealth mode” Thursday at the company’s fourth annual conference for partners and software developers. The service, which lets people save notes and other digital media to retrieve later, often gets lumped in with file-storage startups Dropbox and Box. Mr. Libin wants to... Evernote CEO Phil Libin says his seven-year-old startup is coming out of “stealth mode” Thursday...

Twitter CEO Dick Costolo. Photo by Bloomberg.

With ‘Fabric,’ Twitter Aims to Win Back Developers

By Amir Efrati · Sep 30, 2014 10:09am PDT · 2 comments

Twitter is preparing a push to mend fences with app developers, with the hopes of embedding itself into more mobile apps and collecting deeper data on mobile users. The company plans to unveil a new app development platform called “Twitter Fabric” that contains tools for developers to help people sign up for their apps more easily,... Twitter is preparing a push to mend fences with app developers, with the hopes of embedding...

Apple's iTunes boss Eddy Cue. Photo by Bloomberg.

Apple’s Download Problem

By Tom Dotan · Sep 30, 2014 7:00am PDT

When Apple rolled out its iTunes movie store in 2006, the online video landscape looked far different than it does today. Netflix was still a DVD-by-mail service in a fierce battle with Blockbuster. Amazon was years away from linking its nascent video product with a Prime membership. Much has changed in digital video since then—except for... When Apple rolled out its iTunes movie store in 2006, the online video landscape looked far...

California Governor Jerry Brown. Photo by Bloomberg.

Tech Industry, Meet California Regulation

By Eric Newcomer · Sep 29, 2014 10:30am PDT

A few months ago, a little-remarked on privacy bill easily passed the California Senate. The law, proposed by California State Senator Mark DeSaulnier, would have heavily restricted online marketing and data brokers. The industry kicked into gear. Lobbyists flooded the State Assembly which was set to vote next on the bill. Its legislators... A few months ago, a little-remarked on privacy bill easily passed the California Senate....

Graphic by Sam Lessin.

The Second Coming of Non-Consensus Currencies

By Sam Lessin · Sep 29, 2014 6:50am PDT · 4 comments

Graphic by Sam Lessin.

Modest Proposals

The Second Coming of Non-Consensus Currencies

By Sam Lessin · Sep 29, 2014 6:50am PDT · 4 comments

Currencies are based on consensus. For a currency to have value, a consensus must form around what it is, who has it and what it is worth relative to other things in the world. This is the case with currencies like the Dollar or Euro, where the consensus emerges from government fiat, or gold, silver or platinum, where the consensus is... Currencies are based on consensus. For a currency to have value, a consensus must form...

The Question Entrepreneurs Should Ask Themselves

By Jessica E. Lessin · Sep 26, 2014 11:59am PDT · 2 comments

Every week, someone in Silicon Valley writes an essay (or rant) questioning the sanity of investors who are pouring money into tech companies at higher and higher valuations. I have a different question: What about the sanity of entrepreneurs who are raising more money at ever higher valuations? Sure, a juicy valuation is hard to turn down;... Every week, someone in Silicon Valley writes an essay (or rant) questioning the sanity of...

Illustration by Matt Vascellaro

Google’s Confidential Android Contracts Show Rising Requirements

By Amir Efrati · Sep 26, 2014 7:25am PDT · 1 comment

Google for years has tweaked its search engine to promote other revenue-generating Google Web services in the search results, much to the dismay of some rival Web companies. Now, there is new evidence Google is following the same playbook with its Android mobile operating system, which has become a key vehicle to distribute its... Google for years has tweaked its search engine to promote other revenue-generating Google Web...

Time Warner CEO Jeff Bewkes, left, at the Consumer Electronics Show. Photo by Bloomberg.

Media Companies Are In Denial Over Streaming

By Martin Peers · Sep 25, 2014 7:05am PDT · 5 comments

It’s the $100 billion question: How much viewership has Netflix and Amazon siphoned from traditional TV networks? Until now there’s been no public data available to help answer the question. But earlier this month Time Warner CEO Jeff Bewkes gave something of a clue when he estimated during an investor conference that 5 percent of... It’s the $100 billion question: How much viewership has Netflix and Amazon siphoned from...

Priceonomics founder Rohin Dhar. Illustration by Matt Vascellaro.

A Media Business Model Built by Geeks

By Eric Newcomer · Sep 24, 2014 11:39am PDT

Priceonomics founder Rohin Dhar. Illustration by Matt Vascellaro.

Q&A

A Media Business Model Built by Geeks

By Eric Newcomer · Sep 24, 2014 11:39am PDT

There are media companies, technology companies and media companies that want investors to think they are technology companies. Then there’s Priceonomics, a Y Combinator-backed San Francisco-based company that raised $1.5 million in seed funding way back in 2012. While Priceonomics came barreling out of YC eager to build a big technology... There are media companies, technology companies and media companies that want investors to think...

The Apple Watch. Photo by Bloomberg.

Apple Employees, Partners Expected Watch This Year

By Amir Efrati and Jessica E. Lessin · Sep 24, 2014 7:07am PDT

In the weeks since Apple’s big watch announcement, Apple executives have shed some light on the product’s development, discussing its conception three years ago and the bevy of watch and design experts they consulted. One fact they’ve omitted: Employees and partners were, until recently, expecting it to launch this year. ... In the weeks since Apple’s big watch announcement, Apple executives have shed some light on...

Ron Johnson in an Apple Store. Photo by Associated Press.

Former Apple Exec, J.C. Penney CEO to Launch Delivery Startup

By Jessica E. Lessin · Sep 23, 2014 12:45pm PDT · 1 comment

The godfather of Apple’s retail stores is trying to reinvent shopping again, this time by getting rid of stores. Ron Johnson, who left Apple in 2011 for a controversial stint as the CEO of J.C. Penney, is launching a high-end, on-demand delivery service for gadgets, according to several people who have talked to him about it. And he has... The godfather of Apple’s retail stores is trying to reinvent shopping again, this time by...

Photo by Bloomberg.

Netflix, Amazon Stuck in Old TV Model

By Tom Dotan · Sep 23, 2014 7:03am PDT · 2 comments

Netflix, Amazon.com and the rest of the so-called “over-the-top” television services have changed the way people consume video. But these companies have done little to change the way original shows are developed and funded, despite rhetoric to the contrary. And as these new-era networks grow in scale and ambition—and costs... Netflix, Amazon.com and the rest of the so-called “over-the-top” television services...

Illustration by Matt Vascellaro.

U.S. and Chinese Internet Sectors are Diverging

By Jessica E. Lessin · Sep 22, 2014 11:02am PDT

Illustration by Matt Vascellaro.

U.S. and Chinese Internet Sectors are Diverging

By Jessica E. Lessin · Sep 22, 2014 11:02am PDT

To understand China’s Internet sector, start by thinking of the services you know and love in the U.S. Then change all their names, combine four of them into one, drop any fees and reduce the number of ads. Substitute Google and Apple with Tencent and Alibaba. Picture a typical IKEA-clad startup office, then add a row of beds for the long... To understand China’s Internet sector, start by thinking of the services you know and love...