The Information

Hillhouse founder Zhang Lei. Photo by Bloomberg.

Dogs (and Cats) Are Next Big Thing for China’s Hillhouse

By Yunan Zhang · May 14, 2018 10:01am PDT

Hillhouse Capital Group, one of China's most prominent venture capital and private equity firms, struck gold by investing early in today's tech giants including Tencent, Didi Chuxing and Meituan. Now it’s added a new focus: pets. The firm has acquired more than 500 veterinary clinics, including five pet hospital chains, over the... Hillhouse Capital Group, one of China's most prominent venture capital and private equity...

Ring CEO Jamie Siminoff. Photo by Flickr/Christopher Michel

How Amazon’s Latest Security Device Let People Spy on You

By Reed Albergotti · May 11, 2018 7:01am PDT · 4 comments

In January, Miami resident Jesus Echezarreta’s ex-boyfriend told him he needed to walk his dog more. Taken aback, Mr. Echezarreta asked how he would know that. It turned out it his ex was checking up on him through Mr. Echezarreta’s camera-equipped doorbell, made by Amazon-owned Ring. Ring’s software allowed people who... In January, Miami resident Jesus Echezarreta’s ex-boyfriend told him he needed to walk his...

One of 99's taxis. Photo by Thetechnews.com

How Didi Launched a Brazilian Beachhead in Uber’s Backyard

By Juro Osawa and Yunan Zhang · May 10, 2018 7:00am PDT

Two years ago, Uber, already dominant in Brazil, considered buying a small local rival called 99. But then-Uber CEO Travis Kalanick wasn’t interested. He believed Uber could crush 99 instead.That left an opening for Uber’s archrival, China’s Didi Chuxing, to establish a beachhead in Uber’s second largest market and to... Two years ago, Uber, already dominant in Brazil, considered buying a small local rival called 99....

A Walmart manager demonstrating how customers can pick up online orders. Photo by AP

Walmart and Target Take Page From Amazon’s Cloud Playbook

By Kevin McLaughlin · May 9, 2018 12:31pm PDT · 1 comment

A Walmart manager demonstrating how customers can pick up online orders. Photo by AP

Walmart and Target Take Page From Amazon’s Cloud Playbook

By Kevin McLaughlin · May 9, 2018 12:31pm PDT · 1 comment

Walmart and Target have decided that the best way to compete with Amazon in shopping is to follow its playbook in the cloud.Both companies are switching to cheap unbranded “white box” servers running open-source software for their data centers, instead of equipment made by firms like Dell or Hewlett Packard Enterprise, said a person... Walmart and Target have decided that the best way to compete with Amazon in shopping is to follow...

Photo by Silvergate Bank

Meet the San Diego Bank That Handles Most of the Cryptocurrency Industry

By Alfred Lee · May 9, 2018 7:01am PDT · 1 comment

Silvergate Bank of San Diego describes itself as a community bank, with clients that include a nearby chain of milkshake stores and a local architectural firm. But in the past year, Silvergate has taken on a new role: the go-to bank for the cryptocurrency industry.Most U.S. banks steer clear of companies involved with digital currencies, which... Silvergate Bank of San Diego describes itself as a community bank, with clients that include a...

A shot from an ABC TV station in Tempe, Arizona, after an Uber self-driving car killed a pedestrian. Photo by AP.

Uber Finds Deadly Accident Likely Caused By Software Set to Ignore Objects On Road

By Amir Efrati · May 7, 2018 9:48am PDT · 6 comments

Uber has determined that the likely cause of a fatal collision involving one of its prototype self-driving cars in Arizona in March was a problem with the software that decides how the car should react to objects it detects, according to two people briefed about the matter.The car’s sensors detected the pedestrian, who was crossing... Uber has determined that the likely cause of a fatal collision involving one of its prototype...

Lyft founders John Zimmer and Logan Green. Photo by Bloomberg.

How Lyft’s Missteps Killed Its Chances of Overtaking Uber

By Amir Efrati · May 3, 2018 7:00am PDT · 2 comments

If there were ever a time when Lyft had a chance to catch up with Uber, it was last year. A constant barrage of negative publicity, including a #deleteUber social media movement, offered Lyft a gift in terms of picking up business.But while Lyft made some gains, it still finished the year with just 30% of the market, in terms of revenue, far... If there were ever a time when Lyft had a chance to catch up with Uber, it was last year. A...

A man rides a Citibike in New York. Photo: AP

Facing Startup Competition, U.S. Bike-Share Leader Shops Itself

By Cory Weinberg and Amir Efrati · May 2, 2018 7:00am PDT

A man rides a Citibike in New York. Photo: AP

Facing Startup Competition, U.S. Bike-Share Leader Shops Itself

By Cory Weinberg and Amir Efrati · May 2, 2018 7:00am PDT

Motivate, which runs some of the biggest U.S. bike-share programs, is searching for a buyer or new capital to fend off smaller rivals, according to several people familiar with the matter. It has discussed a deal with Lyft, although an agreement likely isn’t close. The discussions come several months after Motivate failed to close a deal... Motivate, which runs some of the biggest U.S. bike-share programs, is searching for a buyer or...

An attendee at Mobile World Congress in 2016 tries on a pair of Recon's smart spectacles. Photo: Bloomberg

Inside Intel’s Failed Wearables Gambit

By Aaron Tilley · Apr 30, 2018 7:01am PDT · 2 comments

On the day Intel completed its $175 million purchase of smart-spectacle maker Recon Instruments in June 2015, Intel CEO Brian Krzanich flew to Recon’s Vancouver headquarters to welcome the 60-person company. For the next year, he showed close interest in the business, meeting frequently with Recon chief Dan Eisenhardt, even though Mr.... On the day Intel completed its $175 million purchase of smart-spectacle maker Recon Instruments...

VSCO CEO Joel Flory. Photo by Bloomberg.

Once-Hot Social Startup VSCO Finds Success With Subscriptions

By Cory Weinberg · Apr 25, 2018 10:01am PDT · 3 comments

VSCO, a hip photo-and-video-editing app popular with people younger than 25, captured attention as a startup riding the early mobile, social wave. Instagram tried to buy it at one point and VSCO later raised $70 million in venture funding. But finding a profitable business model was tougher. To cut costs, the Oakland, Calif.–based company... VSCO, a hip photo-and-video-editing app popular with people younger than 25, captured attention...

A worker preparing an Amazon package for shipment, at Amazon's fulfillment center in Kenosha, Wisconsin. Photo by Bloomberg.

Private Equity Firms Targeting Amazon Sellers

By Priya Anand · Apr 25, 2018 7:01am PDT · 1 comment

A new consolidation wave in retail is brewing: a rollup of some of the two million merchants that sell on Amazon’s platform.Small private equity firms and other investors have begun circling small businesses that sell on Amazon, looking to buy up and combine the most attractive, several brokers told The Information. Most investors are... A new consolidation wave in retail is brewing: a rollup of some of the two million merchants that...

DeepMind CEO Demis Hassabis. Photo by Bloomberg.

Deep Confusion: Tensions Lingered Within Google Over DeepMind

By Kevin McLaughlin and Jessica E. Lessin · Apr 19, 2018 7:01am PDT · 6 comments

DeepMind CEO Demis Hassabis. Photo by Bloomberg.

Deep Confusion: Tensions Lingered Within Google Over DeepMind

By Kevin McLaughlin and Jessica E. Lessin · Apr 19, 2018 7:01am PDT · 6 comments

When Google unveiled its plan to form an Alphabet holding company in 2015, it was pitched as a way to ensure Google’s blue-sky bets in areas like self-driving cars and health care could flourish under independent leadership. One business that hoped to capitalize on the new arrangement was the London-based artificial intelligence startup... When Google unveiled its plan to form an Alphabet holding company in 2015, it was pitched as a...

Intel CEO Brian Krzanich. Photo by Bloomberg

Intel Plans to Shut Down Smart Glasses Group

By Aaron Tilley · Apr 18, 2018 5:39pm PDT · 1 comment

Intel’s long-failing foray into wearables and augmented reality is officially dead.The chip giant’s new devices group will shut down, according to people familiar with the situation. The division, formed in 2013, made fitness trackers and smart glasses. Despite an investment of several hundred million dollars by Intel, including... Intel’s long-failing foray into wearables and augmented reality is officially dead.The chip...

McAfee CEO Chris Young. Photo: Bloomberg

McAfee Has Held Talks to Acquire Security Startup Endgame

By Sarah Kuranda · Apr 17, 2018 3:34pm PDT

Security giant McAfee has held talks to acquire security startup Endgame, according to multiple people familiar with the matter. A deal would help McAfee expand its technology to protect computers and other devices on corporate networks from cybersecurity threats. The talks were taking place as recently as two weeks ago, said one of the people... Security giant McAfee has held talks to acquire security startup Endgame, according to multiple...

Netflix CEO Reed Hastings speaking in Tokyo in 2016. Photo: Bloomberg

Netflix, Long an AWS Customer, Tests Waters on Google Cloud

By Kevin McLaughlin · Apr 17, 2018 7:01am PDT · 6 comments

Netflix, one of Amazon Web Services’ biggest customers, is expanding its use of Google Cloud, one of AWS’s biggest rivals, according to two people with knowledge of the matter. The move, which hasn’t previously been reported, could portend a shift in the balance of power in the cloud computing market.Netflix is using Google... Netflix, one of Amazon Web Services’ biggest customers, is expanding its use of Google...

Cybereason CEO Lior Div. Photo by Bloomberg.

Fake Hire, Staff Departures Roil SoftBank-Backed Security Startup

By Sarah Kuranda · Apr 12, 2018 7:01am PDT

Cybereason CEO Lior Div. Photo by Bloomberg.

Fake Hire, Staff Departures Roil SoftBank-Backed Security Startup

By Sarah Kuranda · Apr 12, 2018 7:01am PDT

Cybereason, a Softbank-backed rising star in corporate cybersecurity, touts its ability to spot attacks on data networks. But one threat slipped past the roughly $1 billion startup’s defenses: an executive hired to run Cybereason’s human resources unit who the company says turned out to be a fraud.The incident was just the... Cybereason, a Softbank-backed rising star in corporate cybersecurity, touts its ability to spot...

Huawei CEO Richard Yu. Photo: Bloomberg

Huawei’s Advances in Chips, Patents Threaten Former Ally Qualcomm

By Juro Osawa and Aaron Tilley · Apr 3, 2018 10:00am PDT · 7 comments

Qualcomm’s China Tech Day conference in January in Beijing represented a who’s who of China’s mobile industry. Top executives from the country’s biggest handset makers showed up. But one Chinese smartphone giant, Huawei, was notably absent.Huawei, the world’s third-largest smartphone maker behind Apple and Samsung,... Qualcomm’s China Tech Day conference in January in Beijing represented a who’s who of...

Google's John Giannandrea. Photo: Bloomberg

Google’s Giannandrea Steps Aside in AI Leadership Shuffle

By Kevin McLaughlin · Apr 2, 2018 2:16pm PDT · 1 comment

John Giannandrea, senior vice president of engineering at Google and one of the company’s leading public voices on artificial intelligence issues, is stepping down from his position as head of the search and AI units, according to a person with knowledge of the change. A Google spokeswoman confirmed the move in an email. The move comes two... John Giannandrea, senior vice president of engineering at Google and one of the company’s...

Tesla CEO Elon Musk. Photo: AP

Tesla’s Musk Takes Charge of Model 3 Production as Problems Persist

By Amir Efrati · Apr 2, 2018 12:51pm PDT · 2 comments

Tesla’s struggles to manufacture its flagship Model 3 electric sedan reached a boiling point last week, prompting CEO Elon Musk to take direct control of the division producing the vehicles, according to two people briefed on the matter.The move came after Tesla failed to hit its goal of making about 500 Model 3 sedans per day, or 2,500... Tesla’s struggles to manufacture its flagship Model 3 electric sedan reached a boiling...

Spotify headquarters in Stockholm. Photo: AP

Anticipating Strong Public Debut, Spotify Shareholders Sit Tight

By Alfred Lee · Apr 2, 2018 7:01am PDT

Spotify headquarters in Stockholm. Photo: AP

Anticipating Strong Public Debut, Spotify Shareholders Sit Tight

By Alfred Lee · Apr 2, 2018 7:01am PDT

Spotify shareholders appeared reluctant to sell much stock last week ahead of the company’s public listing, say investors and brokers, suggesting the price will jump when shares begin trading on Tuesday.The music streaming service was still allowing private trades last week, a highly unusual move so close to a public listing. But investors... Spotify shareholders appeared reluctant to sell much stock last week ahead of the company’s...