el producto #238 🚀

Duolingo & Robinhood IPOs, Big tech Q2 financials, Amazon crypto, Product templates, Eureka moments, Product Hunt's venture firm, & more

🎰 The week in figures

$9B: India-based hotel booking and home rental platform Oyo is in talks to raise an undisclosed amount from Microsoft at a proposed $9B valuation; investors valued the firm at $10B in the summer of 2019, but significant shareholder SoftBank cut Oyo's valuation to $3B this year and terminated a Latin American joint venture; sources indicated Oyo would transition to Microsoft cloud services

$6.4B: PE firm Thoma Bravo to take customer survey software company Medallia ($5.33B market cap) private in a $6.4B cash deal; the price represents a 20% premium on Medallia's closing price on June 10, the last trading day before the first reports that Medallia was exploring a sale; Medallia shareholders will see $34 per share

$2B: Robinhood closed down 8% in its Nasdaq debut; trading opened at $38 and closed at $34.90; the company raised ~$2B with the offering; Robinhood had planned to reserve up to 35% of shares for retail investors, and ended up allocating 20%

$2B: Indonesia's GoTo, established through the merger of ride-hailing firm Gojek and e-commerce company PT Tokopedia, is raising $1B-$2B at a valuation of $25B-$30B; investors reportedly last valued the company at $18B; GoTo reportedly plans domestic and US public listings

$711M: Ed-tech firm PowerSchool raises $711M at IPO, selling 39.5M shares priced at $18 apiece; the offering valued the firm at $3.5B; the company's software serves districts and organizations representing 70% of K-12 students in the US and Canada

$600M: Byju's to acquire fellow Indian ed-tech firm Great Learning for $600M in cash and stock; Great Learning works with leading higher education institutions, including Stanford's Center for Professional Development and Northwestern's School for Professional Studies to offer subscription access to programs in data science, AI, cybersecurity, more

$521M: Duolingo raises $521M at IPO after pricing 5.1M shares at $102 apiece, above the final marketed range of $95M-$100M; the offering gave the Pittsburgh-based company a fully-diluted value of $4.4B-plus; Duolingo will debut on the Nasdaq Global Select Market on Wednesday, trading under ticker symbol "DUOL"

$205M: Neuralink, the brain-machine interface company co-founded by Elon Musk, raises $205M Series C; the company is developing a neural implant enabling the user to control computer systems via thought; the tech has applications for people with mobility and communication impairments

$200M: Nium, a global payments processor from in Singapore, raised a $200M Series D at a $1B+ valuation

$200M: Indian auto marketplace Droom is raising ~$200M in pre-IPO funding at a $1.2B valuation; investors valued the firm at $500M for a $30M Series E in October of 2018; Droom claims a $1.7B annual run-rate (GMV)

$200M: IoT platform Wiliot raises $200M Series C; the Tel Aviv-based company has developed a processor that runs on ambient energy, and has agreements to license the tech; going forward, the firm will offer a sensing-as-a-service product, providing software that uses AI to interpret data from the chip

$175M: Berlin-based content platform Contentful raises $175M Series F at a ~$3B valuation; the platform serves apps and sites, enabling developers to pull text and media from storage buckets via APIs; raised $335M to date

$150M: Algolia, which offers an API-based search and discovery solution, raises $150M Series D for a post-money valuation of $2.25B; 10k customers including Slack, Stripe, and Zendesk use Algolia for real-time app and site search features; the startup also offers real-time product recommendations

$105M: DC-based Class, which provides a virtual classroom system based on Zoom, raises $105M Series B at an $804M valuation; the startup targets K-12, higher education, and corporate customers; Class plans to grow its team from 200 to 300 members and to expand in the UK, Latin America, and elsewhere

$100M: Password management company 1Password raises $100M Series B at a $2B valuation; the firm offers personal and business subscriptions, and recently expanded into secrets management; 1Password also recently launched an API enabling developers to link sing-in data to security tools

$100M: AuthenticID, which provides identity protection and fraud prevention services, raises $100M; the company automates the identity proofing process, serving governments, telecommunications firms, financial service providers, and others

$71M: Homebase, which offers tools for hiring, employee scheduling, team messaging, and more, raises $71M Series C; sources indicated a valuation between $500M and $600M; the company claims 100k SMBs representing 1M employees use its platform

$60M: Digital wallet startup Eco raises $60M Series B; the company offers a fee-free wallet with rewards; raised $94.5M to date

$60M: New York City-based Squire, a platform for barbershops, raises $60M Series D at a $750M valuation; the platform manages bookings, payments, and more, serving 2k shops; the company, which employs 175, now plans to aggressively pursue M&A

$35M: Teamflow, a virtual office with audio chat based on the user's proximity to other video avatars, raises $35M Series B; the platform also supports group video calling, collaborative app use, events, more; customers include Atlassian, Netflix, and Uber


💸 Q2 financials

Amazon ($1.82T market cap) Q2 mixed: $113.08B revenue, up 27% YoY ($115.2B expected); $14.81B AWS revenue, up 37% ($14.2B expected); $15.12 EPS ($12.30 expected); Amazon projects $106B-$112B in revenue for Q3

Alphabet ($1.8T market cap) Q2 beats: $61.88B revenue, up 62% YoY ($56.16B expected); $50.44B total ad revenue, up 69%; $7B YouTube revenue, up 83%; $4.63B Google Cloud revenue ($4.4B expected); $27.26 EPS ($19.34 expected)

Apple ($2.49T market cap) FQ3 beats: $81.41B revenue, up 36% YoY ($73.3B expected); $39.57B iPhone revenue, up 49.8% ($34.01B expected); $17.48B Services revenue, up 33% ($16.33B expected); $8.76B Other Products revenue, up 40%; $8.24B Mac revenue; $7.37B iPad revenue; $1.30 EPS ($1.01 expected)

Facebook ($1.06T market cap) Q2 beats: $29.08B revenue, up 56% YoY ($27.89B expected); $497M Other revenue, which includes Oculus, up 36% ($685.5M expected); 1.91B DAU (as expected); 2.9B MAU (2.91B expected); $10.12 ARPU ($9.66 expected); $3.61 EPS (adjusted, $3.03 expected)

Microsoft ($2.18T market cap) FQ4 beats: $46.15B revenue, up 21 % YoY ($44.24B expected); $17.38B Intelligent Cloud revenue, up 30% ($16.33B expected); Azure revenue was up 51% (Microsoft doesn't break out Azure revenue); $14.69B Productivity and Business Processes revenue, up 25%; $2.17 EPS (adjusted, $1.92 expected)

Pinterest ($48.82B market cap) Q2 beats: $613M revenue, up 125% YoY ($562.1M expected); $69.4M net income; 454M MAU, down 5% QoQ (482M expected); $1.32 ARPU ($1.17 expected)

Spotify ($42.48B market cap) Q2 beats: $2.81B revenue, up 35% YoY; 365M MAU, up 22% but short of the company's guidance; 165M paid subscribers, up 20%; -$0.23 EPS (-$0.52 expected); the company expects to reach 170M-174M paid subscribers in Q3

Tesla ($633.5B market cap) Q2 beats: $11.96B revenue ($11.3B expected); $1.45 EPS (adjusted, $0.98 expected); $1.14B net income (GAAP, the company's first $1B-plus quarter); $10.21B automotive revenue (3.5% from regulatory credit sales); $801M energy revenue

Next week’s preview:

  • Lyft (Tuesday); Expected Q2 revenue: $699, +106%

  • Uber (Wednesday); Expected Q2 revenue $3.74B, +67% 


📰 What’s going on

Google plans to make Stadia infrastructure and related tools available as a white-label solution for interactive streaming services, according to a job posting for a product manager; when Google shut down the Stadia Games & Entertainment studio early this year, the company mentioned making its technology platform available to industry partners

Amazon posts a job listing for a Digital Currency and Blockchain lead; the company currently doesn't accept cryptocurrencies for payment, but a spokesperson said the firm was exploring how it could implement related innovations

Twitter ($54.8B market cap) acqui-hires Brief, a news aggregation and summarization app; terms undisclosed; the subscription app sought to provide unbiased news without algorithmically amplifying particular viewpoints; the team will join Twitter's Experience group, which works to improve conversations on Twitter

Alphabet launches Intrinsic, an "other bets" firm focused on developing software for industrial robots; Intrinsic CEO Wendy Tan White said the company would make industrial robotics more affordable, flexible, and easy to use; she also noted the team had been testing deep learning, reinforcement learning, force control, and other technologies

Facebook announces the Passthrough API, which will enable developers to use live video from the Quest 2 headset's sensors in mixed reality apps; processing happens on-device, so third-party apps don't capture or save real-world imagery; the experimental API will launch with the next Quest SDK

Walmart launches subscription access to the software it uses to let customers buy items online for in-store pick-up; the company partnered with Adobe to make a suite of tools available via subscription; the software also allows merchants to list their products on Walmart's marketplace with a few clicks

Microsoft ($2.16T market cap) acquires Seattle-based spend-management firm Suplari; terms undisclosed; Suplari uses AI to analyze procurement and spending data to reveal risk exposure, identify efficiency gaps, make recommendations for savings, more; the company's Spend Intelligence Cloud will remain available to existing users, and Microsoft will integrate the tech into Dynamics 365

Instacart to build and operate fulfillment centers for grocery stores; currently, the company pays workers to pull items from retail shelves; at new warehouse locations, robots will pick items for delivery; the company didn't disclose the size of its investment, the number of planned facilities, or potential warehouse locations

Beijing-based Didi Global ($42.78B market cap) is considering going private to appease Chinese regulators and compensate investors; the company raised $4.4B via US IPO last month and debuted on the NYSE on June 30; China's Cyberspace Administration launched a data-security investigation on July 2, then blocked the app from Chinese app stores

China issues new regulations requiring online food platforms to pay workers at least the local minimum wage, more; China's largest food delivery firm, Meituan, was already facing an investigation regarding alleged anticompetitive practices; the company's stock has fallen 50% since February. New regulations in China also prohibit ed-tech firms from earning profits, raising funds, M&A, and going public; the new rules from the State Council also apply to companies that provide tutoring services for required school curricula; the regulations also prohibit teaching foreign curricula

Cryptocurrency exchanges FTX and Binance announce reduced limits on margin trading; FTX said it would reduce available leverage from 101 times holdings to 20 times; Binance said it would also reduce available leverage to 20x, starting with new signups and eventually for existing customers

Product Hunt launches Hyper Founder Program, a new kind of venture firm + 8-week founder program, inspired by the community at Product Hunt


📚 Good reads

Side hustle templates. Product School, Coda, Mural and Notion have partnered to create a collection of side hustle templates. A good addition to their existing collection of useful Product templates

The science of eureka moments. Also known as an “Aha!” moment - the sudden clarity you feel at solving a puzzle or finally understanding a previously unfathomable concept. They don’t fully come out of the blue, and Ness Labs explains why

Don’t believe the hype. Why early hype is dangerous in consumer social, by Sarah Tavel

Feature teams vs Product teams. The risks of ignoring outcomes, and how to overcome them, by Ellen Merryweather

The China model - what the tech crackdown means, and how it can reshape the future of a more government-controlled big tech

How to sell a startup for $20M with zero paying customers. How Ryan Hoover launched and accelerated Product Hunt


Have a great weekend.

Angel


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