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Donald Trump this week signed an extension of last year’s national emergency declaration aimed at barring commercial trade with certain foreign telecom companies. The extension comes nearly a year to the day after the first order, this time extending things through May of 2021.

Per the original language, the order invokes the International Emergency Economic Powers Act to “deal with the threat posed by the unrestricted acquisition or use in the United States of information and communications technology… supplied by persons owned by, controlled by, or subject to the jurisdiction or direction of foreign adversaries.”

Specifically, it’s aimed at Chinese companies like Huawei and ZTE, against which the administration has levied all manner of national security complaints. Chief among them are accusations of government-tied spying and violations of sanctions against countries like North Korea and Iran.

Huawei has been especially hard hit, as the ban restricts the manufacturer’s use of Google app — a massive blow to its software ecosystem. Numbers from analyst firm Canalys earlier this month note than the company’s shipments have declined by 35% in markets outside of its native China. It’s true that the market was already on rocky ground for all manufacturers even before the COVID-19 pandemic, but Huawei’s plummet is four times that of Apple’s in non-China markets, per the firm.

The company has been working on its own in-house alternatives to key Google apps. In the meantime, however, Huawei is going to have to rely on sales of older devices, while shipping new flagships without the necessary apps.


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Ebanx, the newly minted Brazilian financial services unicorn, expects to process $ 2 billion in payments by the end of the year and is looking to expand its offerings into domestic payments as it grows.

Since its launch in 2012, Ebanx has primarily focused on helping international merchants sell locally in Brazil. The Brazilian business accounts for nearly 90% of the company’s revenue, but as it expands into other markets the company is also broadening its suite of services.

The company moved into local payment processing in Brazil in April of this year, and recently closed on a new financing round from previous investors FTV and Endeavor Catalyst that values the company north of $ 1 billion, according to chief executive Alphonse Voigt. 

The money will be used to continue an aggressive hiring push in new markets and the launch of the company’s local payment services in other geographies, beginning with Colombia in the new year.

As credit cards penetrate the Latin American market, approval rates for local companies are increasing, which represents an attractive new source of revenue, Voigt says.

In addition to the local payment processing, Ebanx recently announced that it became a payment partner for the Uber Pay ecosystem in Latin America and would start processing cash voucher and bank transfer payments for Uber in Brazil and across Latin America. The company also inked deals with Coursera, Scribd, Trip.com and Shopify throughout Latin America. Finally, the company partnered with Mastercard on an initiative to increase electronic payments in the Brazilian state of Parana.


TechCrunch

SpaceX CEO Elon Musk delivered an update about Starship, the company’s nest generation spacecraft, which is being designed for full, “rapid reusability.” Musk discussed the technology behind the design of Starship, which has evolved somewhat through testing and development after its original introduction in 2017.

Among the updates detailed, Musk articulated how Starship will be used to make humans interplanetary, including its use of in-space refilling of propellant, by docking with tanker Starships already in orbit to transfer fuel. This is necessary for the spacecraft to get enough propellant on board post-launch to make the trip to the Moon or Mars from Earth – especially since it’ll be carrying as much as 100 tons of cargo on board to deliver to these other space-based bodies.

Elon Musk

These will include supplies for building bases on planetary surfaces, as well as up to 100 passengers on long-haul planet-to-planet flights.

Those are still very long-term goals, however, and Musk also went into detail about development of the current generation of Starship prototypes, as well as the planned future Starships that will go to orbit, and carry their first passengers.

The Starship Mk1, Mk2 and the forthcoming Mk3 and Mk4 orbital testers will all feature a fin design that will orient the vehicles so they can re-enter Earth’s atmosphere flat on their ‘bellies,’ coming in horizontal to increase drag and reduce velocity before performing a sort of flip maneuver to swing past vertical and then pendulum back to vertical for touch-down. In simulation, as shown at the event, it looks like it’ll be incredible to watch, since it looks more unwieldy than the current landing process for Falcon boosters, even if it’s still just as controlled.

SpaceX Starship Mk1 29

The front fins on the Starship prototype will help orient it for re-entry, a key component of reuse.

Musk also shared a look at the design planned for Super Heavy, the booster that will be used to propel Starship to orbit. This liquid-oxygen powered rocket, which is about 1.5 times the height of the Starship itself, will have 37 Raptor engines on board (the Starship will have only six) and will also feature six landing legs and deployable grid fins for its own return trip back to Earth.

In terms of testing and development timelines, Musk said that the Starship Mk1 he presented the plan in front of at Boca Chica should have its first test flight in just one to two months. That will be a flight to a sub-orbital altitude of just under 70,000 feet. The prototype spacecraft is already equipped with the three Raptor engines it will use for that flight.

Next, Starship Mk2, which is currently being built in Cape Canaveral, Florida, at another SpaceX facility, will attempt a similar high altitude test. Musk explained that both these families will continue to compete with each other internally and build Starship prototypes and rockets simultaneously. Mk3 will begin construction at Boca Chica beginning next month, and Mk4 will follow in Florida soon after. Musk said that the next Starship test flight after the sub-orbital trip for Mk1 might be an orbital launch with the full Super Heavy booster and Mk3.

Elon Musk 1

Musk said that SpaceX will be “building both ships and boosters here [at Boca Chica] and a the Cape as fast as we can,” and that they’ve already been improving both the design and the manufacture of the sections for the spacecraft “exponentially” as a result of the competition.

The Mk1 features welded panels to make up the rings you can see in the detail photograph of the prototype below, for instance, but Mk3 and Mk4 will use full sheets of stainless steel that cover the whole diameter of the spacecraft, welded with a single weld. There was one such ring on site at the event, which indicates SpaceX is already well on its way to making this work.

This rapid prototyping will enable SpaceX to build and fly Mk2 in two months, Mk3 in three months, Mk4 in four months and so on. Musk added that either Mk3 or Mk5 will be that orbital test, and that they want to be able to get that done in less than six months. He added that eventually, crewed missions aboard Starship will take place from both Boca Chica and the Cape, and that the facilities will be focused only on producing Starships until Mk4 is complete, at which point they’ll begin developing the Super Heavy booster.

Starship Mk1 night

In total, Musk said that SpaceX will need 100 of its Raptor rocket engines between now and its first orbital flight. At its current pace, he said, SpaceX is producing one every eight days – but they should increase that output to one every two days within a few months, and are targeting production of one per day for early in Q1 2019.

Because of their aggressive construction and testing cycle, and because, Musk said, the intent is to achieve rapid reusability to the point where you could “fly the booster 20 times a day” and “fly the [starship] three or four times a day,” the company should theoretically be able to prove viability very quickly. Musk said he’s optimistic that they could be flying people on test flights of Starship as early as next year as a result.

Part of its rapid reusability comes from the heat shield design that SpaceX has devised for Starship, which includes a stainless steel finish on one half of the spacecraft, with ceramic tiles used on the bottom where the heat is most intense during re-entry. Musk said that both of these are highly resistant to the stresses of reentry and conducive to frequent reuse, without incurring tremendous cost – unlike their initial concept, which used carbon fibre in place of stainless steel.

Musk is known for suggesting timelines that don’t quite match up with reality, but Starship’s early tests haven’t been so far behind his predictions thus far.


TechCrunch

Entrepreneur First (EF), the London-headquartered “talent investor” that recruits and backs individuals pre-team and pre-idea to enable them to found startups, has announced its plans to expand to Canada.

It marks the first time EF has entered North America. Along with London, EF currently operates in Berlin, Paris, Singapore, Hong Kong and Bangalore.

The new Canadian outpost, due to launch in early 2020, will be in Toronto and follows EF’s $ 115 million first closing of a new fund in February.

At the time of the fund announcement, the talent investor/company builder said it would use the capital to continue scaling globally — specifically, enabling it to back more than 2,200 individuals who join its various programs over the next three years.

This, we were told, should amount to around 300-plus venture-backed companies being created, three times the number of startups EF has helped create since being founded by McKinsey colleagues Matt Clifford and Alice Bentinck all the way back in 2011. Clearly, setting up shop in Toronto is part of the plan to achieve this.

Often – mistakingly – described as an accelerator, EF stands out from the many other startup programmes because of the way it backs individuals “pre-team, pre-idea”. This means that participants typically find their co-founder and found their respective companies on the programme, and that these startup may never have seen the light of day without EF.

It’s a new type of venture model that appears to be working so far — measured both in terms of exits and follow on funding — although question marks remain with regards to how scalable it can be, given that what works in one city and ecosystem with one set of EF staff may not be entirely replicable in another. Or, as one VC put it to me, “there’s only one Matt and Alice”.

With that said, others, such as Greylock partner and co-founder of LinkedIn Reid Hoffman, are convinced EF can scale. Greylock is an investor in EF and Hoffman previously told TechCrunch he can see there being between 20-50 cities “where Entrepreneur First is integral to creating a set of interesting tech companies in those areas.”

Cue a statement from Matt Clifford: “By launching a programme in a third continent, we’re a step closer to achieving our goal of giving the world’s most ambitious individuals the tools to build a company wherever they happen to be… Toronto is one of the fastest growing tech ecosystems in North America in terms of capital and talent, and the city represents a great opportunity for EF to encourage the next generation of ambitious founders.”


TechCrunch

Neuralink, the Elon Musk-led startup that the multi-entrepreneur founded in 2017, is working on technology that’s based around ‘threads’ which it says can be implanted in human brains with much less potential impact to the surrounding brain tissue vs. what’s currently used for today’s brain-computer interfaces. “Most people don’t realize, we can solve that with a chip,” Musk said to kick off Neuralink’s event, talking about some of the brain disorders and issues the company hopes to solve.

Musk also said that long-term Neuralink really is about figuring out a way to “achieve a sort of symbiosis with artificial intelligence.” “This is not a mandatory thing,” he added. “This is something you can choose to have if you want.”

For now, however, the aim is medical and the plan is to use a robot that Neuralink has created that operates somewhat like a “sewing machine” to implant this threads, which are incredibly thin I(like, between 4 and 6 μm, which means about one-third the diameter of the thinnest human hair), deep within a person’s brain tissue, where it will be capable of performing both read and write operations at very high data volume.

All of this sounds incredibly far-fetched, and to some extent it still is: Neuralink’s scientists told The New York Times in a briefing on Monday that the company has a “long way to go” before it can get anywhere near offering a commercial service. The main reason for breaking cover and talking more freely about what they’re working on, the paper reported, is that they’ll be better able to work out in the open and publish papers, which is definitely an easier mode of operation for something that requires as much connection with the academic and research community as this.

Neuralink1

Neuralink co-founder and president Max Hodak told the NYT that he’s optimistic Neuralink’s tech could theoretically see use somewhat soon in medical use, including potential applications enabling amputees to regain mobility via use of prosthetics and reversing vision, hearing or other sensory deficiencies. It’s hoping to actually begin working with human test subjects as early as next year, in fact, including via possible collaboration with neurosurgeons at Stanford and other institutions.

The current incarnation of Neuralink’s tech would involve drilling actual holes into a subject’s skull in order to insert the ultra thin threads, but future iterations will shift to using lasers instead to create tiny holes that are much less invasive and essentially not felt by a patient, Hodak told the paper. Working on humans next year with something that meets this description for a relatively new company might seem improbable, but Neuralink did demonstrate its technology used on a laboratory rat this week, with performance levels that exceed today’s systems in terms of data transfer. The data from the rat was gathered via a USB-C port in its head, and it provided about 10x more what the best current sensors can offer, according to Bloomberg.

Neurlalink’s advances vs. current BCI methods also include the combined thinness and flexibility of the ‘threads’ used, but one scientist wondered about their longevity when exposed to the brain, which contains a salt mix fluid that can damage and ultimately degrade plastics over time. The plan is also that the times electrodes implanted in the brain will be able to communicate wirelessly with chips outside the brain, providing real time monitoring with unprecedented freedom of motion, without any external wires or connections.

Elon Musk is bankrolling the majority of this endeavour as well as acting as its CEO, with $ 100 million of the $ 158 million its raised so far coming from the SpaceX and Tesla CEO. It has 90 employees thus far, and still seems to be hiring aggressively based on its minimal website (which basically only contains job ads). Elon Musk also noted at the outset of today’s presentation that the main reason for the event was in fact to recruit new talent.


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Popular short-form video app TikTok has been slowly ramping up its advertising strategy this year as it increases its focus on monetization. However, the company still generates a smaller of its revenue from in-app purchases — and that number hit a high of $ 9 million in May, according to a report from Sensor Tower. That represents 500% year-over-year growth from the $ 1.5 million spent in May 2018, and 22% growth from April’s $ 7.4 million.

Arguably, TikTok’s hasn’t put much emphasis on its in-app purchase strategy. For now, the Beijing-based app owned by ByteDance is more heavily focused on driving user growth. It knows that putting some of its best features behind a paywall could potentially limit user adoption and engagement — especially as TikTok looks for growth in emerging markets like India, where it recently said it has 200 million users, 120 million who are monthly actives.

In India, the app overtook Facebook as the most downloaded social networking app in the first quarter of the year, and is now looking to pull in more advertisers. The Economic Times recently reported brands like Pepsi, Snapdeal, Myntra, Shaadi.com, and Shopclues have signed on to advertise.

Meanwhile, Indian users only accounted for half a percent of in-app purchases — just around $ 45,000, said Sensor Tower.

The lack of spending points to how little TikTok has focused on virtual goods. Instead of offering its video effects or filters for purchase, TikTok’s coins are used for buying gifts which can be sent to live streamers to show support.

Despite TikTok’s inattention to its virtual goods strategy, iOS users in China spent $ 5.9 million, of the total $ 9 million spent on in-app purchases in May, accounting for nearly 65% of purchases. In the U.S., both iOS and Android users spent a combined nearly $ 2 million, or 22%, of the app’s gross revenue.

TikTok’s installs are continuing to climb, Sensor Tower also noted.

In May, around 56 million users worldwide installed the app for the first time — a 27% increase over April. However, new installs were down by 21% from January’s 70.8 million. To some extent, India’s brief ban on the app impacted these figures — the app likely lost a potential 15 million new users in April, Sensor Tower had earlier estimated.

To date, TikTok has seen 1.2 billion installs, up from a billion at the end of last year. This figure doesn’t equate to active user numbers, however. On that front, TikTok said last summer it has 500 million monthly actives, and hasn’t publicly shared an updated number since. Life-to-date user spending is currently at $ 97.4 million, with the app expected to pass the $ 100 million milestone this month, the new report said.


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