Tech Week in Review: LivingSocial Clears Up Rumors, and More...
Feb 22, 2013, by SMSS
It looks like daily deals site, LivingSocial, is holding on for a little while longer.
According to TechCrunch, the company announced Wednesday (February 20, 2013) that they have raised $110 million in funding, which instantly got the rumor mill spinning.
CEO Tim O’Shaughnessy sent a memo out to employees clearing up rumors that this funding was an emergency round of debt financing.
He writes in his memo:
“If you’ve seen some of that misinformation, here’s the real story:
* This was not an emergency round. We received our first term sheet on December 23rd, nearly two months ago, and this has been an organized, thought-out process. * This was an equity round, not a debt infusion. * There was no re-pricing of investor shares from previous rounds. * There were no warrants issued as part of this round. * There were no “double-digit” cash dividends. (Typical of many financing rounds, including our own past rounds, there was a nominal 3% dividend for a class of shares.) * There is no “4x liquidation preference.” (Once again, typical of almost all venture rounds, there is a liquidation preference, but it slides up or down based on a key metric and gets nowhere near 4x.)”
“We are a company that does over half a billion in revenue. If we stay diligent, we hope to turn the corner to become profitable soon. Thanks to this round, we have significantly more capital to be able to be opportunistic and drive the future growth of the business.”
Do you think daily deals will make a comeback any time soon?
More than 40 companies, including Apple and Facebook, were the target of Eastern European hackers this week, Bloomberg reports.
It appears the hackers were looking for company secrets, intellectual property, and other important information.
Investigators have tracked one hacker server to the Ukraine.
Cyberbullying is a serious issue these days and even celebrities are majorly affected by it.
Case in point: Tennis ace Rebecca Marion just announced she will be quitting tennis because of social media cyberbullying.
Mashable reports the 22-year-old Canadian has suffered from depression for more than six years and noticed a significant increase due to damaging comments telling her to “go die” and worse.
She explained in a conference call:
“My depression had come way before the so-called cyberbullying,” said Marino. “Social media has also taken its toll on me.”
“I don’t think that I’m willing to sacrifice my happiness and other parts of my life for tennis,” she said. "There’s more to life than just tennis."
She has deleted her Facebook and Twitter accounts.
How do you think as a society we can help curb cyberbullying? Is it a lost cause or can we make a change before more lives are affected?
In related news, Mashable also reported on a new study which reveals that Facebook is the social media network that most affects our mood.
Mobile voice company, Rebtel, conducted the study which found that Facebook had the most positive and negative impacts on people’s moods, followed by Twitter for negative effects and YouTube for positive.
Are you surprised by these findings?