Connect with us

Uncategorized

Thimble teaches kids STEM skills with robotics kits combined with live Zoom classes

Published

on

Parents with kids stuck learning at home during the pandemic have had to look for alternative activities to promote the hands-on learning experiences kids are missing out on due to attending class virtually. The New York-based educational technology startup Thimble aims to help address this problem by offering a subscription service for STEM-based projects that allow kids to make robotics, electronics and other tech using a combination of kits shipped to the home and live online instruction.

Thimble began back in 2016 as Kickstarter project when it raised $300,000 in 45 days to develop its STEM-based robotics and programming kits. The next year, it then began selling its kits to schools, largely in New York, for use in the classroom or in after-school programs. Over the years that followed, Thimble scaled its customer base to include around 250 schools across New York, Pennsylvania, and California, who would buy the kits and gain access to teacher training.

But the COVID-19 pandemic changed the course of Thimble’s business.

“A lot of schools were in panic mode. They were not sure what was happening, and so their spending was frozen for some time,” explains Thimble co-founder and CEO Oscar Pedroso, whose background is in education. “Even our top customers that I would call, they would just give [say], ‘hey, this is not a good time. We think we’re going to be closing schools down.”

Pedroso realized that the company would have to quickly pivot to begin selling directly to parents instead.

Image Credits: Thimble

Around April, it made the shift — effectively entering the B2C market for the first time.

The company today offers parents a subscription that allows them to receive up to 15 different STEM-focused project kits and a curriculum that includes live instruction from an educator. One kit is shipped out over the course of three months, though an accelerated program is available that ships with more frequency.

The first kit is basic electronics where kids learn how to build simple circuits, like a doorbell, kitchen timer and a music composer, for example. The kit is designed so kids can experience “quick wins” to keep their attention and whet their appetite for more projects. This leads into future kits like those offering a Wi-Fi robot, a little drone, an LED compass that lights up, and a synthesizer that lets kids become their own D.J.

Image Credits: Thimble

While any family can use the kits to help kids experience hands-on electronics and robotics, Pedroso says that about 70% of subscribers are those where the child already has a knack for doing these sorts of projects. The remaining 30% are those where the parents are looking to introduce the concepts of robotics and programming, to see if the kids show an interest. Around 40% of the students are girls.

The subscription is more expensive than some DIY projects at $59.99/per month (or $47.99/mo if paid annually), but this is because it includes live instruction in the form of weekly 1-hour Zoom classes. Thimble has part-time employees who are not just able to understand teach the material, but can do so in a way that appeals to children — by being passionate, energetic and capable of jumping in to help if they sense a child is having an issue or getting frustrated. Two of the five teachers are women. One instructor is bilingual and teaches some classes in Spanish.

During class, one teacher instructs while a second helps moderate the chat room and answer the questions that kids ask in there.

The live classes will have around 15-20 students each, but Thimble additionally offers a package for small groups that reduces class size. These could be used by homeschool “pods” or other groups.

Image Credits: Thimble

“We started hearing from pods and then micro-schools,” notes Pedroso. “Those were parents who were connected to other parents, and wanted their kids to be part of the same class. They generally required a little bit more attention and wanted some things a little more customized,” he added.

These subscriptions are more expensive at $250/month, but the cost is shared among the group of parents, which brings the price down on per-household basis. Around 10% of the total customer base is on this plan, as most customers are individual families.

Thimble also works with several community programs and nonprofits in select markets that help to subsidize the cost of the kits to make the subscriptions more affordable. These are announced, as available, through schools, newsletters, and other marketing efforts.

Since pivoting to subscriptions, Thimble has re-established a customer base and now has 1,110 paid customers. Some, however, are grandfathered in to an earlier price point, so Thimble needs to scale the business further.

In addition to the Kickstarter, Thimble has raised funds and worked on the business over the year with the help of multiple accelerators, including LearnLaunch in Boston, Halcyon in D.C., and Telluride Venture Accelerator in Colorado.

The startup, co-founded by Joel Cilli in Pittsburgh, is now around 60% closed on its seed round of $1 million, but isn’t announcing details of that at this time.

 

 

 

Continue Reading
Comments

Uncategorized

Daily Crunch: Alphabet shuts down Loon

Published

on

Alphabet pulls the plug on its internet balloon company, Apple is reportedly developing a new MacBook Air and Google threatens to pull out of Australia. This is your Daily Crunch for January 22, 2021.

The big story: Alphabet shuts down Loon

Alphabet announced that it’s shutting down Loon, the project that used balloons to bring high-speed internet to more remote parts of the world.

Loon started out under Alphabet’s experimental projects group X, before spinning out as a separate company in 2018. Despite some successful deployments, it seems that Loon was never able to find a sustainable business model.

“While we’ve found a number of willing partners along the way, we haven’t found a way to get the costs low enough to build a long-term, sustainable business,” Loon CEO Alastair Westgarth wrote in a blog post. “Developing radical new technology is inherently risky, but that doesn’t make breaking this news any easier.”

The tech giants

Apple reportedly planning thinner and lighter MacBook Air with MagSafe charging — The plan is reportedly to release the new MacBook Air as early as late 2021 or 2022.

Google threatens to close its search engine in Australia as it lobbies against digital news code — Google is dialing up its lobbying against draft legislation intended to force it to pay news publishers.

Cloudflare introduces free digital waiting rooms for any organizations distributing COVID-19 vaccines — The goal is to help health agencies and organizations tasked with rolling out COVID-19 vaccines to maintain a fair, equitable and transparent digital queue.

Startups, funding and venture capital

‘Slow dating’ app Once is acquired by Dating Group for $18M as it seeks to expand its portfolio — Once has 9 million users on its platform, with an additional 1 million users from a spin-out app called Pickable.

MotoRefi raises $10M to keep pedal on auto refinancing growth — CEO Kevin Bennett sees the opportunity to service Americans who collectively hold $1.2 trillion in auto loans.

Backed by Vint Cerf, Emortal wants to protect your digital legacy from ‘bit-rot’ —  Emortal is a startup that wants to help you organize, protect, preserve and pass on your “digital legacy” and protect it from becoming unreadable.

Advice and analysis from Extra Crunch

How VCs invested in Asia and Europe in 2020 — The unicorns are feasting.

End-to-end operators are the next generation of consumer business — VC firm Battery has tracked seismic shifts in how consumer purchasing behavior has changed over the years.

Drupal’s journey from dorm-room project to billion-dollar exit — Twenty years ago, Drupal and Acquia founder Dries Buytaert was a college student at the University of Antwerp.

(Extra Crunch is our membership program, which helps founders and startup teams get ahead. You can sign up here.)

Everything else

UK resumes privacy oversight of adtech, warns platform audits are coming — The U.K.’s data watchdog has restarted an investigation of adtech practices that, since 2018, have been subject to scores of complaints under GDPR.

Boston Globe will consider people’s requests to have articles about them anonymized — It’s reminiscent of the EU’s “right to be forgotten,” though potentially less controversial.

The Daily Crunch is TechCrunch’s roundup of our biggest and most important stories. If you’d like to get this delivered to your inbox every day at around 3pm Pacific, you can subscribe here.

Continue Reading

Uncategorized

The far right’s favorite registrar is building ‘censorship-resistant’ servers

Published

on

“The digital divide is now a matter of life and death for people who are unable to access essential healthcare information,” said UN Secretary General António Guterres in June 2020. Almost half the global population currently has no internet access, and many who do cannot freely access all information sources. 

Freedom House, which tracks internet restrictions worldwide, says the coronavirus pandemic is accelerating a dramatic decline in global internet freedom. It found that governments in at least 28 countries censored websites and social media posts in 2020 to suppress unfavorable health statistics, corruption allegations and other COVID-19-related content.

Now, U.S. company Toki is building “school-in-a-box” devices to connect up to 1 billion people across Africa and Asia, using technologies that it claims could filter content to avoid some information sources and bypass local censorship. The devices will be Wi-Fi-ready servers that run on electric power or batteries and can handle dozens of concurrent users. If no networks are available, the servers will also come pre-installed with digital libraries curated to provide “locally relevant content.” 

One of Toki’s country managers describes on LinkedIn that the devices would also run a decentralized search engine, designed to be anonymous, private and censorship-resistant. They will be donated to communities in the developing world by a U.S. nonprofit* called eRise, which was founded in 2019 to, according to its website, “focus on digital empowerment initiatives that are capital-efficient, and which improve access to content, community and commerce.”

Both Toki and eRise were founded by entrepreneur and free speech advocate Rob Monster. Monster owns domain registration company Epik, which allowed controversial social network Parler to come briefly back online last week after the site was booted from Amazon’s cloud service. Parler is just one of several platforms enabled by Epik, and Monster’s other domain and web hosting companies, that have been home to far-right content. Parler is accused of hosting users that helped to coordinate the attack on the U.S. Capitol on January 6. 

The “school-in-a-box” would contain a memory card with educational content, games, books, maps and modules related to prayers, the story of religions and “the art of being grateful.” It says the device is intended for “parents who want their kids to be smarter and curious; schools who can’t afford a computer; [and] religious places who wish to spread awareness about education and empower the society.” 

But one researcher says this effort recalls Facebook’s heavily criticized project offering free connectivity in India, which spawned accusations of bias and self-censorship. 

“We’ve seen a similar tactic by Facebook, to provide digital access points that can also serve the purpose of delivering favorable content and ensuring that these groups become dependent on your benevolence,” said Dr. Joan Donovan, director of the Technology and Social Change Research Project at the Shorenstein Center. “It becomes that much harder later on to change the power dynamics when the ideology is in the infrastructure.”

Monster has used free speech arguments to defend Epik’s working with platforms that either welcome or tolerate extreme content. The Southern Poverty Law Center, which tracks hate groups, has been reported as saying that Monster “offers services to the most disreputable horrific people on the Internet.” 

Epik spokesperson Rob Davis told TechCrunch that Epik actively works with its clients to help them moderate content, and claimed that the company has deplatformed Nazi groups and deleted those promoting genocide.

“Lawful, responsible freedom of speech is an amazing right,” said Davis. “Every [domain registrar] has groups like this but Epik is often held to a higher standard.”

In a series of posts in 2019 on a forum dedicated to domain-name trading, Monster provided more details about the Toki technology. The servers would be powered by cheap Raspberry Pi processors and run a proprietary version of Linux that would enable file sharing, peer-to-peer commerce, a digital wallet and a personalized search engine, with the option of “ignoring certain data sources.” 

“Decentralization not only means decentralization of the narrative and talking points of big tech groups like Google, Twitter and Facebook,” said Epik’s Davis. “It also means anti-censorship by empowering people with things that they didn’t know.” The spokesperson gave the example of naturopathic remedies for minor health complaints. Naturopathic remedies have not been proven to be effective against COVID-19.

Eventually, each device might come pre-loaded with a “snapshot” of the internet, said Davis, although he did not describe how the internet might be reduced to fit on a single, small physical device. The eRise website notes that content would be curated by local digital librarians that it would recruit. Davis told TechCrunch that Toki has working models of its server, is already conducting field trials and hopes to start deploying the devices to 6,000 villages in Africa in 2022 or 2023, perhaps in collaboration with an unnamed Asian telecoms company. 

The Toki devices’ selectivity, if practical, could raise its own content and censorship concerns; for example, if eRise allowed extreme content similar to that seen on Epik’s clients like Gab and Parler, or ignored scientific advice on COVID-19 or other health issues. 

Donovan said she is wary of any one-box solution. “We have to focus on decoupling information companies from service providers,” she said. “That much control can be used for political gain. Technology is politics by other means.”

*Although eRise also claims on its website to be a 501(c)(3) nonprofit, which would exempt it from some taxes and allow tax-free donations, TechCrunch could not locate it on the IRS’s database of nonprofits. Monster later admitted eRise was not a registered 501(c)(3)).

Continue Reading

Uncategorized

End-to-end operators are the next generation of consumer business

Published

on

At Battery, a central part of our consumer investing practice involves tracking the evolution of where and how consumers find and purchase goods and services. From our annual Battery Marketplace Index, we’ve seen seismic shifts in how consumer purchasing behavior has changed over the years, starting with the move to the web and, more recently, to mobile and on-demand via smartphones.

The evolution looks like this in a nutshell: In the early days, listing sites like Craigslist, Angie’s List* and Yelp effectively put the Yellow Pages online — you could find a new restaurant or plumber on the web, but the process of contacting them was largely still offline. As consumers grew more comfortable with the web, marketplaces like eBay, Etsy, Expedia and Wayfair* emerged, enabling historically offline transactions to occur online.

More recently, and spurred in large part by mobile, on-demand use cases, managed marketplaces like Uber, DoorDash, Instacart and StockX* have taken online consumer purchasing a step further. They play a greater role in the operations of the marketplace, from automatically matching demand with supply, to verifying the supply side for quality, to dynamic pricing.

The key purpose of being end-to-end is to deliver an even better value proposition to consumers relative to incumbent alternatives.

Each stage of this evolution unlocked billions of dollars in value, and many of the names listed above remain the largest consumer internet companies today.

At their core, these companies are facilitators, matching consumer demand with existing supply of a product or service. While there is no doubt these companies play a hugely valuable role in our lives, we increasingly believe that simply facilitating a transaction or service isn’t enough. Particularly in industries where supply is scarce, or in old-guard industries where innovation in the underlying product or service is slow, a digitized marketplace — even when managed — can produce underwhelming experiences for consumers.

In these instances, starting from the ground up is what is really required to deliver an optimal consumer experience. Back in 2014, Chris Dixon wrote a bit about this phenomenon in his post on “Full stack startups.” Fast forward several years, and more startups than ever are “full stack” or as we call it, “end-to-end operators.”

These businesses are fundamentally reimagining their product experience by owning the entire value chain, from end to end, thereby creating a step-functionally better experience for consumers. Owning more in the stack of operations gives these companies better control over quality, customer service, delivery, pricing and more — which gives consumers a better, faster and cheaper experience.

It’s worth noting that these end-to-end models typically require more capital to reach scale, as greater upfront investment is necessary to get them off the ground than other, more narrowly focused marketplacesBut in our experience, the additional capital required is often outweighed by the value captured from owning the entire experience.

End-to-end operators span many verticals

Many of these businesses have reached meaningful scale across industries:

All of these companies have recognized they can deliver more value to consumers by “owning” every aspect of the underlying product or service — from the bike to the workout content in Peloton’s case, or the bank account to the credit card in Chime’s case. They have reinvented and reimagined the entire consumer experience, from end to end.

What does success for end-to-end operator businesses look like?

As investors, we’ve had the privilege of meeting with many of these next-generation end-to-end operators over the years and found that those with the greatest success tend to exhibit the five key elements below:

1. Going after very large markets

The end-to-end approach makes the most sense when disrupting very large markets. In the graphic above, notice that most of these companies play in the largest, but notoriously archaic industries like banking, insurance, real estate, healthcare, etc. Incumbents in these industries are very large and entrenched, but they are legacy players, making them slow to adopt new technology. For the most part, they have failed to meet the needs of our digital-native, mobile-savvy generation and their experiences lag behind consumer expectations of today (evidenced by low, or sometimes even negative, NPS scores). Rebuilding the experience from the ground up is sometimes the only way to satisfy today’s consumers in these massive markets.

2. Step-functionally better consumer experience versus the status quo

Continue Reading

Trending