Wij willen met u aan tafel zitten en in een openhartig gesprek uitvinden welke uitdagingen en vragen er bij u spelen om zo, gezamelijk, tot een beste oplossing te komen. Oftewel, hoe kan de techniek u ondersteunen in plaats van dat u de techniek moet ondersteunen.

Namely, an eight-and-a-half-year-old, New York-based company that sells payroll, talent management and other HR services to mid-size businesses across the U.S. via subscription software, has let go of upwards of 40% of its roughly 400 employees.

The cuts are across the board, from high-ranking staffers, including a CFO who was brought on almost exactly two years ago, and a chief security officer who has spent just the last year with the company, to its entire customer success team.

In a call earlier today, Namely CEO Larry Dunivan said the company had reduced executive pay five weeks ago, hoping to avoid layoffs, but that the coronavirus and its impact on the business made that impossible. He also shared the difficulties of running a startup right now that depends largely on small- and medium-size businesses, noting that even though Namely’s customers sign up for between one- and three-year-long contracts — they also pay an additional amount for a minimum number of employees — many of those customers are finding it difficult to fulfill those contracts at the moment.

He pointed to one client who has numerous yoga studios and who earlier this year employed 500 people but has laid off all but 15 of them in the shutdown. Said Dunivan, “We just had a stark, painful conversation and you could tell I was one of many people she was calling. [But] because I care about that relationship, I waived that minimum for some period of time so she can conserve cash.”

Which means less revenue for Namely.

It’s a situation that many startups find themselves in, of course. According to Layoffs.ai, a site that’s trying to track industry layoffs as they happen, at least 356 startups alone have now laid off 34343 employees. That’s saying nothing of the many companies and small businesses like yoga studios that don’t register as tech startups. In fact, nearly four million people filed for unemployment benefits last week alone, bringing to more than 30 million the nation’s number of unemployment claims.

While the deep cuts are understandable in the current context, they also represent one in a series of milestones at Namely that no startup wants to encounter. Though it was once among New York’s most promising businesses and accordingly raised at least $ 217 million from investors, including Matrix Partners, True Ventures, and Sequoia Capital, it has seen more than its share of transition at the top. In the most devastating development for the company until now, Namely’s board abrupt fired the company’s cofounder, Matt Straz, as its CEO in 2018.

Accused of actions “inconsistent with that which is expected of Namely leadership,” as the company told employees at the time, Straz has gone on to launch an employee benefits startup called Bennie.  But it cast a cloud over the the company (which still isn’t talking about what happened).

Soon after, the board member who led the investigation into Straz —  longtime Silicon Valley executive Elisa Steele — was appointed as Namely’s permanent CEO, which at the time helped attract $ 60 million in new funding to the company led by GGV Capital.

Yet by last summer, she had also left as CEO, a decision that she made based on family commitments says one source, and owes partly to the relationship she had established with Dunivan, he said separately. Specifically, Dunivan said that in his previous role as the interim CEO of the human resources company ThinkHR, he was consulted by Steele on business and product strategy, and that “as sometimes happens, one thing led to the other and i joined” the company in her stead. (Steele remains on the company’s board.)

Certainly, he inherited a business that no longer enjoys the sheen it once did.

As says one person with a stake in the business, “I don’t think anyone is giving up on Namely but it had a modest growth plan at the start of 2020 and that’s now been made uncertain because of [COVID-19]. I think the company is just trying to control what it can and to structure itself so it can operate more efficiently with a major drop-off in revenue.” Adds this person, “It’s like a clean sheet of paper.”

It’s an optimistic perspective and surely one that remaining employees will need to embrace, at least until the fourth quarter, which is when Dunivan estimates that businesses across the board may pick up again.

“This is an extraordinarily difficult time, but we look at the world through a fairly conservative lens and we’re making certain assumptions about how new customers will buy, how existing customers will increase or decrease headcount, and how many businesses will be closed and never to come back,” said Dunivan when we spoke earlier.

“It’s my believe that the recovery will start to show signs of life in the fourth quarter and into the first quarter, and our current looks at it through that lens,” he added. “But in the meantime, employers will be paying fewer people.”

Faced with dwindling options, Namely is now among them.


TechCrunch

As workers moved from office to home and students moved to being educated online, demand for new PCs surged in Q1, but Canalys found that shipments actually dropped 8% in spite of this, due to COVID-19 related supply chain problems.

The 8% drop was the worst since 2016 when shipments dropped 12%, according to the firm. Companies were looking to get new machines into the hands of employees who normally worked on desktop machines in the office, while parents were buying machines for children suddenly going to school online.

Rushabh Doshi, research director at Canalys says that products were flying off the shelves in Q1, but the PC makers couldn’t keep up with demand as supplies were limited due to a number of factors.

“…PC makers started 2020 with a constrained supply of Intel processors, caused by a botched transition to 10nm nodes. This was exacerbated when factories in China were unable to reopen after the Lunar New Year holidays.

“The slowdown in supply met with accelerated demand, as businesses were suddenly forced to equip a newly remote workforce, placing urgent orders for tens of thousands of PCs. Children, too, needed their own PCs, as schools closed and lessons went online,” Doshi explained in a statement.

Lenovo and HP owned the lion’s share of the PC market in Q1 with 23.9% and 21.8% share respectively. Dell was in third with 19.6%. Apple was well behind in fourth place with just 6% of worldwide market share.

Only Dell projected positive growth with a modest 1.1% annual rate. All others were projected to be negative with Apple projecting the sharpest drop at -21%.

The good news is that from a revenue perspective, at least for the short term, these companies could command higher prices due to high demand and low supply, but overall the year looks bleak for PC makers, as Canalys predicts the rest of the year will see a further drop in sales as companies cut back on purchases, and consumers also likely limit purchases with so much economic uncertainty and demand satisfied for the short term.


TechCrunch

Over 30 civil rights organizations have penned an open letter that calls on government officials to investigate Amazon Ring’s business practices and end the company’s numerous police partnerships. The letter follows a report by The Washington Post in August that detailed how over 400 police forces across the U.S. have partnered with Ring to gain access to homeowners’ camera footage.

These partnerships have already raised concerns with privacy advocates and civil liberties organizations, who claim the agreements turn neighbors into informants and subject innocent people to greater risk and surveillance.

Had the government itself installed a video network of this size and scope, it would have drawn greater scrutiny. But by quietly working with Ring behind the scenes, law enforcement gets to tap into a massive surveillance network without being directly involved in its creation.

The new letter from the civil rights groups demand that government officials put an end to these behind-the-scenes deals between Amazon and the police.

“With no oversight and accountability, Amazon’s technology creates a seamless and easily automated experience for police to request and access footage without a warrant, and then store it indefinitely,” the letter reads. “In the absence of clear civil liberties and rights-protective policies to govern the technologies and the use of their data, once collected, stored footage can be used by law enforcement to conduct facial recognition searches, target protesters exercising their First Amendment rights, teenagers for minor drug possession, or shared with other agencies like ICE or the FBI,” it says.

Additionally, the letter points out these police deals involve Amazon coaching cops on how to obtain surveillance footage without a warrant. It also notes that Ring allowed employees to share unencrypted customer videos with each other, including in offices based in Ukraine. And it raises concerns about Amazon’s potential plans to integrate facial recognition features into Ring cameras, based on patents it filed.

The groups also point to the map released by Amazon Ring, which now shows over 500 cities with Amazon-police partnerships across the U.S.

The groups’ letter is not the first to demand action.

Senator Edward J. Markey (D-Mass.) also last month wrote to Amazon to get more information about Ring and its relationships with law enforcement agencies.

But unlike Sen. Markey’s investigative letter to Amazon’s Ring, today’s letter has specific demands for action. The groups are asking mayors and city council members to require their local police departments to cancel their Ring partnerships. The groups also want local government officials to pass new surveillance oversight ordinances that will ensure police departments can’t enter into any such partnerships in the future.

And they want Congress to investigate Ring’s dealings with police more closely.

The letter itself was published online and signed by the following organizations:

Fight for the Future, Media Justice, Color of Change, Secure Justice, Demand Progress, Defending Rights & Dissent, Muslim Justice League, X-Lab, Media Mobilizing Project, Restore The Fourth, Inc., Media Alliance, Youth Art & Self Empowerment Project, Center for Human Rights and Privacy, Oakland Privacy, Justice For Muslims Collective, The Black Alliance for Just Immigration (BAJI), Nation Digital Inclusion Alliance, Project On Government Oversight, OpenMedia, Council on American-Islamic Relations-SFBA, Million Hoodies Movement for Justice, Wellstone Democratic Renewal Club, MPower Change, Mijente, Access Humboldt, RAICES, National Immigration Law Center, The Tor Project, United Church of Christ, Office of Communication Inc., the Constitutional Alliance, RootsAction.org, CREDO Action, Presente.org, American-Arab Anti-Discrimination Committee, and United We Dream.

According to Evan Greer, Deputy Director at Fight for the Future, the letter has not yet been mailed. But the plan, going forward, is to use it in local organizing when groups on the ground make deliveries to local officials in cities where the partnerships are live.

“Amazon has created the perfect end-run around our democratic process by entering into for-profit surveillance partnerships with local police departments. Police departments have easy access to surveillance networks without oversight or accountability,” said Greer. “Amazon Ring’s customers provide the company with the footage needed to build their privately owned, nationwide surveillance dragnet. We’re the ones who pay the cost – as they violate our privacy rights and civil liberties. Our elected officials are supposed to protect us, both from abusive policing practices and corporate overreach. These partnerships are a clear case of both,” Greer added.


TechCrunch

As it forecast earlier this month, Samsung reported a steep drop in its second-quarter earnings due to lower market demand for chips and smartphones. The company said its second-quarter operating profit fell 55.6% year-over-year to 6.6 trillion won (about $ 5.6 billion), on consolidated revenue of 56.13 trillion won, slightly above the guidance it issued three weeks ago.

Last quarter, Samsung also reported that its operating profit had dropped by more than half. The same issues that hit its earnings during the first quarter of this year have continued, including lower memory prices as major datacenter customers adjust their inventory, meaning they are currently buying less chips (the weak market also impacted competing semiconductor maker SK Hynix’s quarterly earnings).

Samsung reported that its chip business saw second-quarter operating profit drop 71% year-over-year to 3.4 trillion won, on consolidated revenue of 16.09 trillion won. In the second half of the year, the company expects to continue dealing with market uncertainty, but says demand for chips will increase “on strong seasonality and adoption of higher-density products.”

Meanwhile, Samsung’s mobile business reported a 42% drop in operating profit from a year ago to 1.56 trillion won, on 25.86 trillion won in consolidated revenue. The company said its smartphone shipments increased quarter-over-quarter thanks to strong sales of its budget Galaxy A series. But sales of flagship models fell, due to “weak sales momentum for the Galaxy S10 and stagnant demand for premium products.”

Samsung expects the mobile market to remain lackluster, but it will continue adding to both its flagship and mass-market lineups. It is expected to unveil the Note 10 next month and a new release date for the delayed Galaxy Fold, along with new A series models in the second half of the year.

“The company will promptly respond to the changing business environment, and step up efforts to secure profitability by enhancing efficiency across development, manufacturing and marketing operations,” Samsung said in its earnings release.

It’s not just market demand that’s impacting Samsung’s earnings. Along with other tech companies, Samsung is steeling itself for the long-term impact of a trade dispute between Japan and South Korea. Last month, Japan announced that it is placing export restrictions on some materials used in chips and smartphones. Samsung said it still has stores of those materials, but it is also looking for alternatives since it is unclear how long the dispute between the two countries may last (and it could last for a long time).


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