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At the opening of equity crowdfunding platform OurCrowdâ€
s second annual investorâ€
s summit in Jerusalem last week, CEO Jon Medved told the 2,000 assembled attendees that military software maker mPrest had just raised $20 million through OurCrowd, the largest investment ever via crowdfunding and a significant Series A round for mPrest, which built the “command and control†component to Israelâ€
s Iron Dome system. mPrest will use the new round to bring its software into the burgeoning “Internet of Things†arena – to control not just missile systems but everything from the electrical utility grid to home appliances.
mPrest was just one of dozens of startups to present at the conference. The Jerusalem Post takes a look at some of the most exciting companies who braved last weekâ€
s snowy weather to take to the stage.
When Israeli startup Consumer Physics demoâ€
d at last yearâ€
s OurCrowd Summit, the Apple Watch, with its tiny sensors to measure all manner of changes in the physical world, had just been announced. That made Consumer Physicsâ€
sales pitch that much easier: the company wants to put its SCiO molecular scanner into the next version of the iPhone or Apple Watch. The SCiO scanner uses light waves to analyze the chemical properties of everything from food to pharmaceuticals, then matches the results with an online database. Want to know whatâ€
s in that bag of Bamba or whether a certain pill is what its manufacturer claims it to be? Now you can. CEO Dror Sharon showed off the latest SCiO scanner – itâ€
s the size of a smart phone camera.
Speaking of cameras, Core Photonics aims to vastly improve the quality of the photos you take with your smart phone, inching ever closer to much more expensive DLSR cameras. Core Photonicsâ€
technology is complex, combining “computational photography†and “magnetic reluctance actuators,†but the bottom line is that the demo shown by CEO Eran Kali was so far beyond what an iPhone 6S can take today as to remind one of the difference between VHS and Blue-ray in video. Kali says we can expect to see Core Photonics integrated into phones in 2018.
Your phone is only good if you can find it. If youâ€
re prone to misplacing items, Pixie has got your covered. Pixie makes a small plastic tracking tag that you attach to your keys, your luggage, even your child. Pixieâ€
s smart phone app then guides you to the missing item using arrows, audio feedback and even an augmented reality view that superimposes where youâ€
ve left your wallet onto a moving image of your living room. “Other solutions just tell you, itâ€
s on the left side of the room, good luck,†Pixieâ€
s Amir Bassan-Eskenazi told the room to applause. The Pixie Point goes for $17.50 each (in packs of four), with the price dropping “to single digits†by 2017.
VocalZoom demonstated how its revolutionary noise filtering technology might work in a car. On stage with Honda, which announced its entrance into Israelâ€
s tech market at the conference, VocalZoom CEO Tal Bakish compared the remarkable difference in sound quality from a speakerphone with and without VocalZoomâ€
s voice recognition system, which uses lasers to detect vibrations from the speakerâ€
s vocal cords. Bakish says it works even while riding a motorcycle. VocalZoom should begin rolling with Honda and other car manufacturers by 2018.
Engie also has its sights set on the “connected car†of the future. Engieâ€
s software plugs into a carâ€
s diagnostic system, monitors when the car needs repairs – say, a brake replacement – and sends a message to your smart phone. The Engie app will then bring up a list of nearby mechanics, which you can click on to get quick service at a clear price. Itâ€
s like Uber, but for the inside of your car. Engie could be especially useful if youâ€
re on a road trip and far from your regular auto shop. www.engie.co.il
In addition to Coca-Colaâ€
s iconic Bnei Brak bottling plant, the company also runs a hi-tech operation in Israel – an accelerator called The Bridge. One of the companies that has been through the six month program is Cimagine which allows shoppers to place a 3D picture of a piece of furniture from a Cimagine-enabled website into an “augmented reality” version of, say, your living room so you can see how it will look before you take it home. What does that have to do with Coke? As Cimagineâ€
s CEO Nir Daube demonstrated, Coke can use it to show movie theaters and restaurants how Coca-Cola vending machines and tables with Coke branded umbrellas will appear there – without having to lug the equipment itself.
Jerusalem-based serial entrepreneur Bob Rosenschein is best known for Answers.com, the company he founded and subsequently sold in 2011 for $127 million. Answers.com let users ask questions and receive answers from the crowd. Curiyo does more or less the same thing with a twist: you donâ€
t have to leave the website youâ€
re on to get the information you seek. Thereâ€
s no user download required; Curiyo allows users to click or tap on a word and the information pops up in an overlay window. With Curiyo being served up on 3.75 million page views a day already – USA Today is a client – Rosenscheinâ€
s third startup may have the real answers.
In 2012, Zula came up with a great app to consolidate all of a teamâ€
s communications in one place – emails, files, video, audio. Then along came Slack, a nearly identical product that caught on like wildfire and it was “game over†for Zula, explained the companyâ€
s chief marketing officer Hilel Fuld. Zula had raised $4 million – enough money to keep going – but no longer had a market. But one component of its product suite had legs enough to stand on its own. Nine months later, ZCast was born – an iPhone app for instant podcasting. More than that, when you start your live “groupcast,†you can invite friends to join you, creating an on-the-fly talk radio show that anyone with a Twitter account can listen to.
If instant podcasting seems like fun, making it easier to move freight from door to ship to door sounds like the polar opposite. But in the deadly dull, Zvi Schreiber saw opportunity. His startup, Freightos, addresses a problem that anyone who has ever made aliyah has encountered: while you can book a plane ticket online in seconds, it takes an average of 91 hours to get a quote for sending a container from one country to another. Thatâ€
s because, when Freightos got started, some 90 percent of the systems to manage freight were handled by Excel spreadsheets and the occasional email. So in order to build what Schreiber calls the “Kayak for international freight,†with transparency, speed and fixed prices, he first had to work with the freight forwarders to put software in place to automate the quotation process. The company is four years into its mission and has raised an impressive $23 million to date.
Sidebar:Â MassChallenge brings Boston accelerator to Jerusalem
In conjunction with the OurCrowd Summit last week, a new hi-tech accelerator entered the Israeli market but, unlike similar programs that are mostly based in Tel Aviv, this one will be in Jerusalem. Bostonâ€
s MassChallenge takes the Y Combinator model of putting startups through a four-month boot camp of mentoring and networking and takes away the profit angle…for MassChallenge that is.
“We are the most startup friendly accelerator out there,†explained founder John Harthorne during a lavish launch party at Jerusalemâ€
s First Station. “We take no equity and no percentage of revenue.†The non-profit MassChallenge aims to run 100 startups through its program in the first two years and is open to anyone with a good idea – you donâ€
t even have to be from Israel. Leading companies compete for prize of NIS 1 million.
Israelâ€
s capital has seen a startup surge in recent years, with approximately 120 new startups opening every year. MassChallenge aims to double that. OurCrowd and other investors will be watching closely, looking for investment opportunities when each MassChallenge cohort graduates. If even a few of these companies stay in Jerusalem, it could have a deep impact on the cityâ€
s hi-tech ecosystem.
Galya Harish could have set up her new company anywhere.
A seasoned business professional, she has both an MBA and a law degree, passed the bar exam in Israel and in the US, served as vice president of operations and finance for hi-tech incubator JVP Studios, and worked as a brand manager for several international companies in Israel and the UK.
So when the entrepreneurial bug inevitably bit her and she decided to open her own venture, the most logical location for the 40-year-old Harish would probably have been central Tel Aviv or Herzliya, with their wealth of founders in similar situations. But the Jerusalem-born entrepreneur chose to buck the trends of the last 15 years – which has seen start-ups fleeing the capital for the Center of the country – and opened up shop as one of the inaugural tenants at PICO, a new co-working space in Jerusalemâ€
s Talpiot neighborhood.
PICO – an acronym for “people, ideas, community and opportunities†– is at the vanguard of a growing worldwide movement for entrepreneurs at the start of their business journeys to set up shop together and cut costs by sharing desks, equipment, phone lines and Internet access, all in an open-plan space. For a single entrepreneur, or even a small start-up with one or two employees, the price is appealing: PICO charges NIS 800 per month per workspace.
And if you only need to sit there a day or two a week, the price drops to as low as NIS 300.
Co-working spaces exist in the Tel Aviv area, but PICO is the first in Jerusalem. Its founder Eli Wurtman hopes itâ€
s not the last.
Wurtman sees PICO as more than just a friendly place for entrepreneurs to park their laptops and cellphones. He believes that by creating similarly welcoming environments for students and start-ups, Jerusalem can reclaim its place as the countryâ€
s creative capital.
He should know. In 1996 he cofounded DeltaThree, one of the first companies to deliver voice-over-IP calls from a regular telephone. The business grew to 300 employees and was the poster child for start-up Jerusalem, which, at the time, was home to hundreds of small to medium-sized hi-tech ventures.
But then came the second intifada and the dot.com bust of 2000.
“The industry got snapped almost overnight,†Wurtman recalls. “And with it, sadly, most of the people who were working here left Jerusalem.â€
He did, too, eventually commuting to Herzliya as a general partner for Benchmark Capital, a leading VC firm. His career thrived, he says, but “I knew I wanted to get back to Jerusalem.â€
Within the last few years, co-working spaces have started to take off big-time.
Wurtman teamed with fellow investor Isaac Hassan and began designing what he called a New York SoHo-style “loft†space in Jerusalem.
Itâ€
s clear from the moment you walk into PICO – located in a grimy, nondescript industrial building, on the same floor as the offices of the Association of Americans and Canadians in Israel (AACI) – that there has been an incredible amount of attention to detail without spending a lot of money.
“We didnâ€
t want it to feel like Har Hotzvim or Malha,†Hassan says, referring to two of Jerusalemâ€
s more popular hi-tech areas. “It needed to be functional, in sync with the area.â€
The resulting look, which was meticulously planned to appear decidedly down-rent, includes bare concrete walls and exposed piping, natural wood floors, lots of metal and glass and even a large tube in the center of the office “to bring in fresh Jerusalem air,†Hassan says. (There is air conditioning, too – Jerusalem, like Tel Aviv, can get hot during the summer.) Windows open from two sides to let in plenty of light.
“We want the space to be copied [by future co-working spaces in Jerusalem].
So we didnâ€
t spend a lot of money on things like plaster,†Wurtman says, only half joking.
He sees the Talpiot area as the center of a renewed start-up Jerusalem, calling it “the cityâ€
s garage district,†like lower Manhattan or Herzliya originally were in their respective environs. Many of the people who have been commuting from Jerusalem to Tel Aviv live near Talpiot, so itâ€
s walkable. And itâ€
s right on the new bike path that runs from the Old Railway Station in the German Colony.â€
Plus, adds Hassan, “you need to have a good coffee shop nearby, and we have [popular bakery] Lehem Shel Tomer downstairs. The smell of fresh-baked bread liberally comes up through the window of my office.â€
Also nearby is the private studio of Bezalel industrial design faculty head Haim Parnas, adding an artistic vibe to the neighborhood.
There is room for 18 entrepreneurs to sit in PICOâ€
s central shared space. Use of a large conference room is included in the price, and there are couches for more casual working and conversation.
Occupancy rate since PICO opened at the beginning of this year has ranged from 40 percent to 60%, and Wurtman says it is already breaking even.
There are also six private offices, where Wurtman, Hassan and several other more established investors sit.
Thatâ€
s part of the design, too. The vision is that the entrepreneurs can feel free to ask business questions of the more experienced professionals, as well as the other way around: It gives Wurtman and Hassan the opportunity to identify potential investments up close.
Harish says the ability to brainstorm easily with the PICO partners and other entrepreneurs is a key reason she chose to start there.
Her company, Wear My Prayer, creates custom jewelry with a written prayer inside.
“People unconsciously touch their necklaces all during the day,†she explains. “Each time they touch it, thereâ€
s a meaning to it. They may think about what note is inside, what the message is.â€
Harish describes a problem she had with the Wear My Prayer website.
“We were getting a large bounce rate,†she says, referring to when visitors surf away without buying anything. “So we called an impromptu meeting, and everyone in the office came over to look at the page and make suggestions as to where the problem was.â€
She admits that itâ€
s not easy being an entrepreneur in Jerusalem, far from most of her start-up peers. “But the fact that there is something like PICO changes things. People come here and theyâ€
re surprised. They say that theyâ€
d expect this in Tel Aviv or New York, not in Jerusalem.â€
Harish, who has several part-time employees, says that even when her company gets big enough and needs to “graduate†from PICO, she plans to find a space close by and visit at least once a week.
Sean Lewin is also renting shared space at PICO. A recent graduate of the Jerusalem College of Technology, the fast-talking 23-year-old made quite a splash when he raised over $30,000 on the Kickstarter “crowd funding†website to build an LED light for the iPhone that indicates when a message, email or text has arrived.
The light fits into the phoneâ€
s headphone jack and changes color and blinking frequency depending on the type of message. Itâ€
s something that BlackBerry users have had for years but that former Apple CEO Steve Jobs summarily banned from the iPhone.
Lewin – who has business partners in Italy, the UK and the US – had been working at home, but found he was not being productive enough.
“I find I can be more focused and concentrated here,†he says, despite the noise from other people. “And if I have a question, I can ask my mates. If Iâ€
m building an Excel spreadsheet, I can speak to a VC. Thatâ€
s not something I could get in my own living room. Thereâ€
s just a good vibe here.â€
He also enjoys the free beer.
“I usually stay until 7 or 8 p.m.,†he says with a smile.
The beer is available at what is perhaps the most striking element of the PICO design: a blue neon-lit bar and kitchen, which is stocked with all-youcan- drink soft drinks and brew. This plays a role in the regular networking events PICO hosts.
Indeed, PICO buzzes after hours often as much as during the day. A series of intimate lectures have taken place at night; so far, the founders of hi-tech darlings Waze and Fiverr have spoken to a young, invitation-only crowd of no more than 30. Executives from Bira Shapira, a Jerusalem-area microbrewery, have also come to speak.
And city council member Rachel Azaria, head of the Yerushalmim faction, brought her whole team to hold one of its weekly meetings at PICO.
Hassan has been active in outreach, too: one notable partnership is with Siftech, an initiative that the Hebrew Universityâ€
s student union founded last year to promote Jerusalem as a place to stay after getting oneâ€
s degree. Ten student start-ups have participated in Siftechâ€
s four-month intensive technological entrepreneurship workshop. PICO offered a couple of months of free rent to the top two winners of Siftechâ€
s most recent competition.
PICO also has close ties with Ruah Hadasha (New Spirit), another student organization promoting Jerusalem.
Clearly, having one cool place to work wonâ€
t solve all of Jerusalemâ€
s problems with retaining the tens of thousands of college students who study in the city every year (including more than half of all art students in the country). Overall employment options and the availability of affordable housing top graduatesâ€
concerns.
But, insists Wurtman, “we have the opportunity to be a force of change.
Thereâ€
s an energy thatâ€
s required to change the working reality of a city; to give it more of an aspirational nature.
If there were 10 more places like PICO, more entrepreneurs would come out of their basements and stay.â€
Adds Hassan, “Entrepreneurs are special people. They can change industries. Itâ€
s not just about PICO, itâ€
s about changing the underlying aspect of the city.â€
This article appeared originally on The Jerusalem Post.
]]>(Hello Doctor co-founders, from left, Ziv Meltzer, Maayan Cohen and Eran Keisar.)
When Maayan Cohenâ€
s partner was diagnosed with a cancerous brain tumor, she was suddenly thrust into a world of specialists, tests, recommendations and paperwork. It was overwhelming for the then 25-year-old Tel Aviv University biochemistry graduate, who was working as a senior analyst at Tel Aviv Strategic Consulting.
Midway through what would stretch into a two-year ordeal, Cohen realized there might be a better way of managing the process.
Her new mobile app, Hello Doctor, launched for Apple devices in August. The app allows patients and their case managers (like Cohen) to digitize and organize all the paperwork they currently carry in a binder. Results from blood tests, ER visits, surgeries, CT scans and more can be organized into “smart lists.â€
Patients can then easily call up the right records and never succumb to what Cohen says is the case managerâ€
s greatest nightmare: missing the one document your doctor needs to decide on the spot if you should go for more chemo, surgery or an alternative treatment … and your few minutes of precious face time are up and itâ€
s on to the next patient.
The idea of patients carrying their medical records with them in electronic form is nothing new. More than a decade ago, technologies putting patient data on a chip embedded into their HMO card or on a USB thumb drive abounded, but they never gained traction. Cohen isnâ€
t surprised.
“The execution wasnâ€
t connected to reality,†she says. “Doctors wonâ€
t take the risk of putting a USB key into their computer. And many are techno-phobic even with websites. You canâ€
t ask a senior oncologist in a top hospital to go to your personal medical portal and enter your password. Most doctors want you to bring in a paper copy.â€
Tablet computers, however, are another matter. “We havenâ€
t heard any objections to patients bringing in their records on an iPad,†Cohen continues. “85 percent of US doctors own a tablet. Theyâ€
re not afraid of them. Rather, it saves them time. And perhaps most important, it doesnâ€
t force the doctor to open his or her computer.â€
Free for patients
There are several ways to get records into Hello Doctor. You can use the camera in your iPad to take a picture of a document. Or, if itâ€
s already on your computer, you can copy it to Hello Doctor using the Dropbox file transfer application. Exporting test results directly from an HMOâ€
s patient portal is in the pipeline.
Another feature, which Hello Doctor users have requested thatâ€
s also in development, is the ability to take notes using the app. “Itâ€
s our most requested feature,†Cohen says. The idea is to allow patients to write down questions about a test result or medication dosage, for example, right on the appropriate electronic record.
Once data is input into Hello Doctor, itâ€
s stored locally on the patientâ€
s iPad. “In another two months, weâ€
ll release a version that will back up that information on the cloud and that will synch it to another device, such as the patientâ€
s iPhone,†Cohen says. All data will be transferred using the industry-standard SSL security protocol.
The backup and synchronization is key. If your iPad is stolen, your data is gone (just as if you lose your physical paperwork). Once the synch is in place, users will be able to instruct Hello Doctor to delete all the data from their mobile device via a Web interface. The app always requires a password, in order to keep your records as private as possible.
Still, some data does get sent beyond your iPad and the cloud. That forms the basis of the companyâ€
s business model. In the same way that Google scans your Gmail messages for keywords to serve up ads, Hello Doctor will look through your records (“anonymously and aggregated,†Cohen insists) to check on how a patient is responding to specific treatments – for example, is a particular medication causing nausea or vomiting? Hello Doctor will then sell that data to pharmaceutical companies “so they can make better decisions about future drug development,†Cohen says.
This is par for the course in the Internet age. Facebook is free because it owns your data and can provide it in the same non-identifiable way to advertisers. Hello Doctorâ€
s success will hinge, in part, on whether users find enough value in the app to ignore any concerns about whatâ€
s being done with their records behind the scenes.
“Itâ€
s a win-win model,†Cohen stresses. “Patients donâ€
t have to pay anything, they get a full integrated solution that will grow over time, and it helps pharmaceutical companies build better drugs.â€
Cohen started Hello Doctor with two Israeli co-founders, Eran Keisar and Ziv Meltzer. The company has a staff of eight and works in Tel Aviv.
Hello Doctor competes most directly with Microsoftâ€
s HealthVault, which is available for the Web and tablet devices, including the iPhone. A variety of other mobile apps allow you to input emergency information such as your allergies, which vaccinations youâ€
ve taken and emergency contacts, but donâ€
t sport the broader vision Cohen and her team have for Hello Doctor.
As for Cohenâ€
s partner, thereâ€
s good news at the end of this story: After multiple surgeries and rounds of radiation and chemotherapy, he is now “100% cancer free,†Cohen says.
This article appeared originally on Israel21c.
]]>
Tomer Neu-Ner was driving home from the hospital with his wife and newborn son. As always, parking was tight near Neu-Nerâ€
s central Tel Aviv apartment.
“I was a nervous new father,†he says. “I didnâ€
t want to leave my baby in the car more than even a minute longer than I had to.†So he stopped the car briefly on the sidewalk, ran upstairs, got his family settled and returned to his vehicle only to find … a NIS 500 ticket on the windshield.
That wasnâ€
t the only time Neu-Ner has battled the parking gods who have decreed that the average Tel Aviv resident will spend 24 minutes on average looking for a parking spot. But it was the wakeup call that, if Neu-Nerâ€
s new startup Parko succeeds, will transform life for curb-deprived drivers everywhere. Investors seem to agree: the new Israeli “crowd-funding” site OurCrowd recently invested in the company.
Neu-Ner teamed up with his cousin Itai David, a Technion graduate whom he describes as an “algorithm geek.†Together they created a smartphone app that almost magically senses when a parking spot will become available – even before the carâ€
s driver opens the door.
The technology is based on the same principles that have made fellow Israeli tech startup Waze such a darling of the roads, but there is no connection between the companies.
Waze informs drivers where traffic is heavy and suggests alternative routes, all without requiring any active input by users. The app uses GPS to sense when cars with the open app are slowing down and from there it extrapolates that data into traffic alerts.
Parko also uses GPS to sense the userâ€
s speed. Once the vehicle has stopped and the speed at which the phone is moving has slowed to a comfortable “walking pace,†Parko assumes the user has parked. When Parko senses the user returning in the direction of the parked car, the app sends a message to other users that a spot may soon open up.
Neu-Ner and David built the app so that it minimizes access to the phoneâ€
s GPS, a critical feature given how quickly location service usage drains a mobile deviceâ€
s battery.
A different approach
Parko is not alone in the parking alert business. The elephant in the room, as it so often is, is Google, whose OpenSpot app for Android phones does much the same thing as Parko with one pachyderm-sized difference: OpenSpot requires drivers to tap the app to alert other users that theyâ€
re leaving their parking space.
This is also an option for Parko users. However, Neu-Ner says, it is not ideal because by the time the alert hits the cloud, the space will almost always be long gone.
A very different approach is being taken by ParkSF in the San Francisco area, which involves sensors buried under the street that will alert drivers when a spot is being vacated in real time. Neu-Ner says there is talk in Tel Aviv about deploying something similar, although he believes the entirely crowd-sourced approach has more mileage, so to speak.
After Parkoâ€
s October, 2012 launch in Tel Aviv, Neu-Ner has his eyes set on Paris and New York. Statistics for both those cities put the average time someone looks for a parking space at 40 minutes, nearly double Tel Avivâ€
s.
Thereâ€
s no database to be updated before a city is ready for Parko. Itâ€
s more a matter of promotion and marketing, something thatâ€
s been tough on a shoestring budget of money from friends and family. Parko’s recently fundraising from OurCrowd should help keep keep the parking brake off.
Neu-Ner is taking the “give it away, charge later when youâ€
ve built a huge user base†approach common to startups (remember Facebook?). At that point, “location-based advertising and the sale of data will be worth so much more.†He also anticipates that freemium (paid) features and “demand-based pricing will become very interesting options for revenue models.â€
Won Israeli Mobile Challenge
The 30-year-old Neu-Ner grew up in South Africa with Israeli parents. He returned to Israel four years ago and worked as a product manager at a startup creating software for options trading on Wall Street. He has degrees in economics and math from the “old country†and, more recently, an MBA from Tel Aviv University.
While Parko users stand to benefit when they search for a spot, we wondered what kind of incentive would entice users to leave the Parko app open once they found parking. Neu-Ner has a quick answer: prizes. For example, after youâ€
ve just shared your 20th parking spot, you might get a free carwash from a Parko partner, or a coffee at a nearby Aroma.
Regardless of prizes, Parko needs a critical mass of users to function effectively. Thousands of Tel Aviv residents already know about the app, in part due to Parkoâ€
s win of the top prize at the Google-sponsored Israeli Mobile Challenge competition in June, 2012.
Israelis notoriously have a hard time saying theyâ€
re sorry, let alone that they may have goofed big time. But thatâ€
s exactly what happened in an extraordinarily candid meeting last week between Better Placeâ€
s new management team and several hundred owners of the companyâ€
s Renault Fluence 100% electric vehicles.
Not only did CEO Evan Thornley, the genial Australian who replaced Israeli founder Shai Agassi in October, concede that the company had set unrealistically aggressive expectations and that too many target dates had not been met, but his CFO, Alan Gelman, whoâ€
s also the CEO of Better Place Israel, went so far as to give out his personal cell phone number and email address. Talk about transparency.
“I know youâ€
re frustrated that we didnâ€
t fight back enough,†Thornley told the audience, referring to the blitz of negative media coverage the company received last year when Agassi was ousted, layoffs were announced, sales dried up, and cash ran dangerously low. “The truth is, what was said in the media initially was basically correct. We had to make some very big changes fast.â€
The backlash against the company, Thornley suggested, actually came about, davka, because so many people wanted Better Place to succeed. When it looked like that might not be the case, the public and the press turned. That said, Thornley assured the crowd that Better Place is beyond the crisis and now it was time “to return to the sense where people want us to win again.â€
Despite the problems, Thornley said he believes that “the business strategy of the company is fundamentally sound. Itâ€
s just that when things donâ€
t go right, itâ€
s easier to blame the strategy rather than the execution of the strategy.â€
Thornley may have spoken too fast. This morning, the Israeli press reported that Thornley has resigned, citing disagreements with Better Placeâ€
s investors over exactly that: strategy. Weâ€
ll provide an update later once we know better whatâ€
s now going on (assuming the company continues to come clean).
Despite this latest news, Thornleyâ€
s examples still make sense. He cited Better Placeâ€
s lackluster sales to date of less than 1,000 all-electric cars currently on our roads but insisted that Israelis will eventually flock to electric vehicles. Itâ€
s just that it was unrealistic to expect that theyâ€
d do that before the infrastructure was all in place, and thatâ€
s just happened now.
So while the media deemed Better Place a failure for sluggish sales, Thornley believes “we are now only at the beginning, not the end.†Current car owners should be seen for what they are: tech-savvy, risk-taking early adopters; the beta testers of the electric car industry, if you will. 2013 will be the make it or break it year, he stated, understanding the risks.
To get the word out, Better Place has hired a new Chief Marketing Officer, Peter Economides (a native English-speaker like Thornley, originally from South Africa but more recently living in Greece where heâ€
s had an even more daunting task: re-branding an entire country thatâ€
s gone nearly belly up),
Economides, who will be leading a renewed marketing campaign in Israel, has an impressive pedigree. He worked directly with Steve Jobs on the “Think Different†campaign that turned Apple around from the verge of bankruptcy in 1997. And he headed up Coca Colaâ€
s international marketing while living in New York.
“You are the heroes,†he cheered the crowed on. “Youâ€
re the people with the vision and courage and belief to say yes. This is where the ball starts rolling.â€
Economides has been at Better Place all of three weeks but he was sold in less than ten minutes, he said, when he took a ride in his first electric car on a visit to Israel. He flew back home and got in his gas-powered car. “I thought I was driving ‘yesterday,â€
†he quipped. That car, he added almost as an aside, was a Porsche.
Whatâ€
s gone wrong in Better Place version 1.0? Plenty, as Thornley, Economides and Gelman heard while fielding questions from their outspoken customer advocates. The swapping stations arenâ€
t in the right places (“the algorithm for networking planning is very different for electric cars and we didnâ€
t get it quite right,†Thornley said); the batteries themselves donâ€
t get the range initially promised (“what works in the lab is not always achieved in the fieldâ€). One owner felt Jerusalem had been abandoned (the opening of the capitalâ€
s only swapping station was delayed for months). And parking spots with power plugs and are too often filled with gas guzzlers (“we need regulatory support from the government for this,†Thornley emphasized).
It wasnâ€
t all doom and gloom. An equal number of Better Place customers took to the microphone to lavish praise on the company. Economidesâ€
driving experience was roundly acknowledged (the acceleration on an all-electric vehicle, along with the spooky silence when stopped create a driving experience thatâ€
s uniquely exhilarating), and the companyâ€
s responsive Customer Service is on a level several notches higher than anything else available in Israel. Battery swapping is as fast as promised. And Idan Ofer, chairman of the Israel Corporation and Better Placeâ€
s prime investor, even made a surprise appearance, showing his commitment to the company heâ€
s invested some $300 million in by arriving in his own Renault Fluence, which he parked in front to show off some special customizations heâ€
d added (it was all tricked out with fully leather, electric powered seats).
All this, nevertheless, begs the question: how exactly is Better Place going to make a better go of it this time around? Hereâ€
s what Thornley said last week. Whether this plan is the reason heâ€
s no longer the companyâ€
s CEO isnâ€
t clear. But his vision (and that of the management consultants who worked with the company over the past months) was simple: Better Place wants to be the electric recharging network for every electric car made. That means applying its experience in building charge spots and a smart power grid that doesnâ€
t overload when everyone plugs in at once to supply the growing number of Nissan Leafâ€
s and Chevy Voltâ€
s, even if they donâ€
t have swappable batteries.
To Israelis, that might not resonate so much because the only electric vehicles in this country are the Renault Fluenceâ€
s that Better Place sells. But in Thornleyâ€
s Australia, Better Place is already working with General Motors as the car manufacturerâ€
s “preferred charge network.
Of course, Better Place would like all the other electric vehicle makers to offer cars with swappable batteries, which Thornley said he still believes is the future of electric and the differentiating feature between Better Place and other up and comers. That will come eventually, he insisted, once a network of swap stations similar to the ones in Israel and Denmark is built out in target countries (the U.S. and China are high on the list). That poses a not insignificant chicken and egg problem, but Thornley said that, once Israel is acknowledged as a clear “proof of concept,†the economics of electric cars will ultimately win out.
“The cost of manufacturing an all electric car is much cheaper than a hybrid,†he pointed out. “Thereâ€
s only one power train versus two†as in a Toyota Prius, for example. And, he added, for many of todayâ€
s fixed battery electric cars, it would be fairly “easy to produce them in a swappable form.†Think 18-24 months for a factory to add that capability.
Better Place also wants to be more transparent with its software – so far, “a brilliant integration but a walled garden,†Thornley admitted. Why canâ€
t Better Placeâ€
s OSCAR GPS system work with Waze, for example? It should, Thornley said.
The question remains, however: can Better Place convince the world that its Israeli “beta test†country is a success that can be applied elsewhere, before the company runs out of money again? Itâ€
s an imperative, explained Saul Singer, who gave a closing talk for the evening. Singer is the co-author of Startup Nation, the best selling book about Israeli entrepreneurship that featured Better Place in its first chapter as the poster child of the scrappy Israeli startup with global ambitions.
Better Place was Israelâ€
s first attempt at tackling a problem affecting the entire world – reliance on a dwindling supply of oil – in the living laboratory of a small country, Singer said. The author envisions Israel doing the same now for other burning issues. “But Better Place has to succeed if we want to do it next for education,†he said, giving a perhaps improbable example. “The stakes for this are huge.â€
Singer then shared a personal story. His wife, he said, hates it when they have to stop the car to swap the battery. But then his kids intervene from the back seat. “â€
Why are you complaining, Imma?â€
†theyâ€
ll say. ‘Weâ€
re the pioneers.â€
Yes there are problems, but thatâ€
s the meaning of being a pioneer. We have to stick with it and win.â€
This report on Better Place originally appeared on the Israelity website.
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From ‘Facebook-like’ buttons to embedded YouTube videos and interactive chat, it’s rare to find a website these days that doesn’t beckon you to share your thoughts with everyone you’re connected to.
But for website owners, adding all that social interaction takes time and, if you’re not a programmer, copying and pasting esoteric HTML and JavaScript code into your site’s header or widget boxes can be a technically daunting task.
Wibiya from Israel is a hot start-up that aims to streamline the process. The company, which raised $2 million a few months back from Primera Capital and counts as one of its seed investors the ubiquitous Israeli angel and Internet guru Yossi Vardi, has built a popular toolbar that consolidates dozens of social media functions into a single space-saving strip at the bottom of your website. Wibiya’s aim is to make adding new apps and functionality as easy as a one-click install.
Among the useful Web functions that Wibiya incorporates are the ability to instantly “like” a company’s fan page on Facebook and write on its Wall without leaving the website you’re looking at; see how many other people are online and looking at the same page you are; translate the site into one of more than 40 languages; and chat with your social media friends directly from within the Wibiya bar.
Taking a cue from Apple, Wibiya has created its own app ecosystem, allowing third party developers to add their Web products to the toolbar at no cost. This has led to an eclectic range of functionality built by enthusiastic supporters that Wibiya co-founder and CEO Dror Cedar never expected.
For example, there’s an app that allows website owners to pop-up targeted messages filtered to the specific person visiting. This could be based on the page a visitor is currently viewing (say, a message about the Middle East peace process) or could kick in only after a user has been on at least five pages of the site.
Another popular app automatically turns all links on a website into “affiliate ads.” If a visitor to the site buys a product via that link, the website publisher keeps 70 percent of the revenue. Amazon is one of 25,000 merchants included in the program.
Want to raise money? Wibiya has apps for that, too. One puts a link on the toolbar to your organization’s Causes page on Facebook; another allows visitors to use PayPal to make donations a snap.
Wibiya is on the verge of releasing a developer website with an open API (Application Programming Interface) to make it even easier for developers to build Wibiya-compatible apps, Cedar says.
For publishers, Wibiya provides detailed analytics showing, for example, how many clicks the toolbar is receiving or how many Twitter updates have been tweeted via the Wibiya service. The toolbar itself is tiny – only 17K. And it plays nicely with all the leading blogging platforms, including WordPress, Blogger and Ning.
Since the toolbar is free to both third party developers and publishers, how does Wibiya intend to make money? “We work with high end publishers including Philly.com, Playboy and even the (confectionery vendor) Jellybelly.com on either a revenue-share model or one that’s based on performance,” Cedar explains. “We deal with them directly to build a tailor-made solution.”
For everyone else – the so-called “long tail” of web publishers, as Cedar describes them – Wibiya will soon introduce premium paid packages with “for example, the ability to integrate your own advertisements into the toolbar.”
Cedar didn’t start out with the intention to build Wibiya. He and his co-founders Daniel Tal and Avi Smila were working on a travel-related product called Joongle. “If you wanted to search for a flight from Tel Aviv to New York, our toolbar would give you the top 10 websites, like Kayak and Priceline, with flights to that country,” Cedar says. “Then each time you clicked, it would do the search for you.”
But when the team showed the product, potential clients kept saying “wouldn’t it be great to have another button that would show my most recent posts, or one that displays photos,” Cedar recounts. Realizing that there was an even bigger market beyond travel, the company quickly switched gears. “After the 10th time, we said okay. The demand came from the publishers themselves. People really wanted it.”
One concern we had was whether creating yet another way to share information across the Web would cause alarm, much in the way that Facebook has taken a drumming recently for its fungible privacy policies. Moreover, will users be paranoid that Wibiya may follow them around, tracking what they’re doing on the Web?
Cedar assures us that Wibiya is just “an enabler. We don’t do anything automatically and we don’t save your information. We’re completely transparent.” Still, Wibiya may have to be more proactive in spelling things out to put visitors at their ease.
As for the name Wibiya, it’s a play on words – a “wib” is a widget bar. “We didn’t like ‘widget,’ ” Cedar says.”That implies a static component.”
Indeed, with Wibiya’s functionality, financing and future prospects, the company is anything but static.
This article originally appeared on the Israel21c website.
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Yaron Carni, lead investor
Google’s announcement last month that it was acquiring Tel Aviv-based LabPixies for a rumored $25 million caught some Israeli analysts by surprise. That’s a tidy sum for a small startup with just 12 employees that has raised less than $2 million over its four years of operation.
Yaron Carni, LabPixies’ lead investor wasn’t caught out, however. “I immediately loved the company’s products, their vitality and, of course, the team,” he said. Speaking on behalf of a handpicked group of angels including Auren Hoffman and Fabrice Grinda, Carni added “we were all deeply impressed with the character, commitment, talent and forthrightness of the founders.”
LabPixies was particularly attractive to Google due to the company’s role in developing some of the first and subsequently leading ‘gadgets’ for the iGoogle platform, Google’s alternative interactive home page. LabPixies products have garnered as many as one billion impressions a month while signing up 40 million users. One of its most popular products is ‘Flood-It,’ a game that involves dragging colored balls around the screen. “It’s very addictive,” admitted Carni.
LabPixies also builds translating programs, news and weather reports, calculators and calendars that run on other social network services including Facebook, Hi5, Yahoo and MySpace, as well as Google’s own Android mobile operating system.
However, LabPixies doesn’t make its money from the Web, but by selling mobile apps, primarily for the iPhone. Company CEO Ran Ben-Yair won’t divulge financial information, but he did tell the Israeli business journal The Marker several months back that the company has “millions of dollars in revenues.” Carni added that the company has kept costs down by staying “lean.”
Despite Google’s increasing competition with Apple in the mobile space, there’s no indication that the search engine giant will drop its support for LabPixies’ iPhone products.
Google plans to merge LabPixies into its Tel Aviv office, which according to a press release “will anchor our iGoogle efforts across Europe, the Middle East and Africa,” leveraging LabPixies’ “knowledge and expertise to help developers and improve the ecosystem overall.”
The big winners, of course, are the investors and LabPixies founders – CEO Ben-Yair, VP R&D Oded Poncz, VP business development Nir Tzemah, and creative director Udi Graff.
Investor Fabrice Grinda wrote on his blog that he was “seduced by the company. They had crazy amounts of traffic in the right countries (Western Europe and the US). Their users loved them. Moreover, their products fell squarely in a rapidly growing ecosystem: Social networks and mobile applications.”
If anything, Grinda was sorry to “sell so early. The company and team are great and the category is only becoming bigger.”
Google Israel’s managing director, Prof. Yossi Matias, is understandably bullish on high-tech in the country. “Google believes in Israeli innovation and creativity and we’ll continue to strive for collaborations with local companies and startups in the future,” hesaid .
Carni, in turn, is a big believer in Google. The deal to buy LabPixies spanned a number of months, Carni said, during which time Google was “a pleasure to work with… from the product people to the human resources professionals. They were always direct, honest and comprehensive.”
LabPixies is Google’s first acquisition in Israel. The company joins other international Internet heavyweights such as AOL, Microsoft and eBay who have invested in the local Silicon Wadi high-tech scene. Google has been active in Israel since 2005 but has never bought a company until now.
This post originally appeared on the Israel21c website.
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Gil Friedlander, Tawkon
What do you do when you suspect something’s bad for you but you just can’t stop doing it? That’s a question many cellular phone users have been asking themselves, with reports of radiation emissions from their mobile devices raising serious questions about the safety of our increasingly un-tethered society. A new Israeli startup may have the solution.
Tawkon has entered the fray with an inexpensive application for the iPhone that warns users when radiation levels have inched up too high and provides advice on how to counter the potentially negative effects.
The company says that its solution gives users the information and tools to avoid mobile phone radiation as much as possible by “mapping” their homes or offices so they’ll know where they’re exposed to significant levels of mobile phone radiation. It also supplies simple precautionary measures to minimize radiation, based on a user’s location and phone usage.
However, you won’t find this app on your iPhone any time soon, because Apple has banned it. Apple says that Tawkon is a diagnostic tool that would create confusion for iPhone owners from a usability perspective. Tawkon believes that Apple doesn’t want its customers to install an app that appears to advise them to talk less – even though its stated aim is to make it safe for them to “talk on.”
Tawkon founder and CEO Gil Friedlander is taking it in his stride. He says that his company is in discussions with Apple and that he is “optimistic and hopeful that the issue will be solved soon.” He insists that he’s not an anti-cell phone zealot. “We love our phones, too,” he says of the Tawkon team. “We won’t give them up. But we can help people use them more responsibly.”
In the meantime, the company is pressing forward with porting the application to other devices, starting with the Blackberry then expanding in the coming year to cover Google’s Android operating system and the Symbian OS used by Nokia phones.
Friedlander describes the Tawkon app as “like infrared goggles – suddenly you can see at night. We view ourselves the same way. We give users the ability to see and feel non-ionizing radiation. Once you know whether you’re in a red, orange or green zone, you have the information you need to take action.”
That action might be to move to a different location until the radiation levels drop, or to plug in a headset or use a speakerphone in your car.
Tawkon can’t actually measure a phone’s radiation – it’s just software after all – so the app relies on processing a dizzying array of factors, including your location, environmental factors such as the weather, Bluetooth functionality, how close your phone is to your body (utilizing the iPhone’s proximity sensors), antenna orientation (are you holding the phone vertically or horizontally), GPS and even the phone’s built-in compass. The app then prompts users with a vibration or tone when the radiation levels reach a dangerous threshold.
Some of the worst places to talk in terms of radiation are a room with thick concrete walls (a basement, elevator or, in Israel, the sealed room mandated from the time of the first Gulf War), and a moving vehicle (such as a train, car or bus) when the phone is switching off between cellular broadcast towers. In all these cases, the phone has to work harder to connect to a signal, hence the radiation goes up.
In some cases, the locations where radiation is highest can be surprising. “In my apartment, radiation in the washroom is high,” Friedlander says, “while the rest of the house is decent.” In 80 to 85 percent of cases, there’s “good coverage and radiation is pretty low, especially in an urban area,” reassures Friedlander.
No one knows exactly how – or even whether or not – radiation will cause serious medical problems in another 10 years, but the government isn’t taking any chances. Israel’s health ministry has recommended that children under the age of 18 shouldn’t use mobile phones at all – young people’s brain tissue is still developing. In the US and Europe, however, similar precautionary warnings have not been issued.
Friedlander and his staff of six in the Tel Aviv suburb of Herzliya have been working on the Tawkon technology for 18 months now, going live with the still unclear iPhone version earlier this month. The app will be marketed direct to consumers via the various hardware manufacturers’ app stores for just under $10 a download.
Down the road, Friedlander says, he would be “delighted to partner with cellular phone operators,” where he believes that a tool to bring real value and safety to customers would be an absolute win/win. “We are aware that it’s challenging for them,” Friedlander admits. “For many years, they’ve just not addressed the issue.”
Friedlander is originally from Canada and studied at McGill University in Montreal. Tawkon has raised money from private investors in Canada, the US and Israel. Is he looking for larger investors? Probably not. “I don’t see the company as a big venture capital play,” he says. “It’s not a very capital intensive business. We don’t require tens of millions of dollars.”
If the app sells well – and Friedlander reports that the company has received thousands of inquiries since the TechCrunch blog about technology startups broke the story of the Apple ban – a small company like Tawkon could do quite well for its owners, partners and employees. The press is certainly interested. Tawkon has been inundated with press requests, from the Washington Post in the US to Channel 2 and The Marker business and technology print and online newspaper in Israel.
With the total number of cell phones in use said to be some four billion, and of these half a billion smart phones, Friedlander is optimistic that “it’s almost like an endless market.”
Ultimately, Tawkon is not all about the money. “Most of the time, you develop and sell a technology that reduces costs for a phone operator,” Friedlander says. “We were looking for something that can make an impact on the well-being of our friends, family and community. Being able to help the user is very important. We saw a real opportunity.”
This story on Tawkon first appeared on Israel21c and has since been written about by a number of top international newspapers and magazines.
]]>Israelis love technology. They are early adapters, and relentless innovators, always looking for ways to improve their lives in every possible area.
With the country’s talent for development, it’s no surprise that some of the world’s top gadgets were designed and developed in Israel. Israel21c asked me to put together a list of the ten best. Here’s my take:
1. DiskOnKey

Dov Moran, founder of Modu (see below), previously hit the big time with his company M-Systems, which developed the very first DiskOnKey (or DiskOnChip as M-Systems originally dubbed it).
The concept is simple enough: Jam up to 64 gigabytes of data onto a tiny gadget no larger than a house key. The latest versions actually look like a key and can hook onto your key chain.
DiskOnKeys were part of the “one-two sucker punch” that killed the venerable floppy disk (the other being cheap recordable CD-ROMs and later DVDs). Aside from being a reliable way to transfer data from computer to computer, disk-on-keys are now finding new life, expanding the storage space of the latest portable craze, the NetBook.
In 2005, PC World named the DiskOnKey one of the world’s top 10 gadgets in the last 50 years. In 2006, international powerhouse SanDisk purchased M-Systems for $1.6 billion.
2. Powermat

How many power cables do you have running under your office desk for all your computers, hard drives, modems, routers, etc.? How about those kitchen appliances and their connections to the sockets? Wouldn’t it be great to get rid of the clutter?
That’s what Powermat promises to do. The Israeli company’s technology lets you embed a power grid in just about anything – from a desk to a kitchen counter. Then, with a wireless receiver hidden inside a device, there’s no need for plugs anymore. Just position the device or appliance near a power “hotspot” and away it goes.
In a demo on the company’s website, a salesperson goes so far as to pour water all over a “Powermatted” kitchen counter – with no burn-outs or electrocutions. Other demonstrations show iPods and Blackberries charging when simply placed on a table.
The company is a joint venture between Michigan-based HoMedics and Israel’s Powermat. The first products will be available in time for this winter’s shopping season.
3. Epilady

The story of this gadget is fraught with intrigue. We’re talking about a hair removal product invented in Israel that now has copycat versions worldwide. The original Epilady “epilator” was released in 1986. It had a rotating spring that worked by catching hair and pulling it out. It isn’t pleasant but, according to women, it works.
Newer versions have more of a tweezer action. Either way, the result is not unlike a waxing treatment, except that you can do it yourself at home, for a fraction of the cost. An Epilady treatment lasts up to four weeks.
Epilady was the first but has been surpassed by international brands including Braun and Remington (Epilady sued Remington over patent infringement but lost). Still, the company has sold 28 million units over a 23-year career and now sports 13 different models from the “Traveler” to the youth-marketed “Epigirl.”
Ironically, when the first Epilady came out in Israel it was given the “American” sounding name “Nice and Easy” while the company used the “Epilady” moniker overseas.
4. Modu

Modu looks something like a cell phone and something like an MP3 player, but isn’t really like anything you’ve ever seen before. Essentially, Modu is a tiny device with cellular capabilities that can be slipped into any number of “jackets” to give it a specific functionality. One jacket transforms Modu into a full MP3 player, in another it’s a camera. The plan is to create a mini-economy around Modu accessories.
Our favorite Modu jackets: Modu Executive (looks like a Blackberry); Modu Love (a stylish cell phone with a big heart); Modu Kids (imagine a cute green Nintendo DS); Modu Boombox (a little phone with big, built-in bass-enhanced speakers); and the Modu Bicycle Mate (that snaps onto your handlebars).
The company is facing increasing competition from Apple, Nokia, Palm and others, which may be why, despite raising nearly $130 million since its launch in 2007, Modu recently laid off 80 employees. Still, the news isn’t all bad. Just a week before the layoffs Modu announced the launch of a touch screen jacket using Google’s Android mobile operating system.
5. Boxee

Boxee isn’t exactly a gadget. It’s software that’s intended to be integrated into other companies’ gadgets as their Internet media operating system. If it were just a TV playback system, Boxee wouldn’t be so hot; after all Microsoft and Apple have similar solutions. But Boxee excels at playing all types of video, audio and even image files. YouTube, NetFlix, Flickr and Pandora are all built in. And Boxee also plays well on the Xbox.
There are also a bunch of nifty social networking features that allow you to share what you’re watching with friends or tweet in real time.
Boxee announced recently that it is coming out with its own standalone hardware – the “Boxee Box.” In the meantime, you can install it on any computer you have – absolutely free. We installed Boxee on the laptop we have connected to our television and we love it.
6. Eye-Fi

Here’s an idea that’s so obvious it’s a wonder no one else thought of it. You’re at a family event, your child says his or her first words and you have the good fortune to capture the moment with your digital camera. You want to share it with the world but to do that you’d have to get back to your house, plug the camera into your computer via a USB cord, upload it, and then post it to Facebook or your blog.
With Eye-Fi you can upload those photos wirelessly from anywhere. The company sells a standard SD card (that you need to run your camera, anyway) that has built-in WiFi connectivity. That means that anywhere there’s a hotspot (which these days is just about everywhere) you can upload your photos to one of 25 sites that you specify in advance through the Eye-Fi software.
The Eye-Fi works with all the top cameras, from Canon to Kodak. The company was founded in 2005 and two of its four founders, Yuval Koren and Ziv Gillat, are Israeli.
But we have to ask: Is there still a market for a wireless SD card? Anyone with an iPhone already has the ability to wirelessly upload pictures – and even video – immediately. The answer: Standalone cameras with higher resolution than a phone-cum-camera haven’t gone the way of the dinosaurs yet, nor is there any reason to think that they will, which means Eye-Fi has plenty of visibility ahead.
7. MobileEye

Speaking of visibility, another Israeli high-tech company, MobileEye, combines a tiny digital camera with sophisticated algorithms to help drivers navigate their vehicles more safely.
Consider the lane departure warning system. When a driver starts drifting out of a lane or doesn’t use the turn signals, the system rings an alert. The MobileEye application is so sophisticated that it can even sense when a driver is “about” to change lanes inadvertently.
Fused with the car’s steering system, MobileEye takes the camera that much further. Other applications include a forward collision warning, traffic sign recognition and pedestrian detection.
MobileEye has been around since 1999 and has deals with GM, BMW and Volvo, among others. The company maintains R&D in Jerusalem but is now headquartered in The Netherlands.
8. Ctera

Israeli company Ctera makes a small gadget that connects to a USB hard drive, transforming it into a cloud-based offsite storage system.
It’s a two-step process. First, data is backed up from your main computer to the external drive. Next, it’s sent to servers “in the cloud.” The result is that your computer isn’t constantly sending data to the Internet and slowing down processing speed. With this gadget multiple computers can now be connected to a USB drive that used to be tethered to just a single machine.
Ctera’s “Cloud Plug” is small enough to fit in an envelope which can be mailed from an ISP (Internet Service Provider) to its customers. ISPs like the device because it gives them a way to monetize all the online backup traffic they’re losing to third party services. Ctera also sells the gadget direct to the public for $199. Given that it’s not a question of if, but when, your hard disk will die, cloud storage has a rosy future. Ctera aims to be in the thick of it.
9. Easy-2-Pick

Airplane travel is stressful. There are the security checks, uncomfortable seats, tasteless meals and then, of course, there’s the fact that you’re hurtling through the air at breakneck speeds in a tin box. But perhaps the worst party of all is waiting for your luggage. You never know when it’s coming up the conveyor belt. You grab a bag only to discover that it belongs to someone else. Wouldn’t it be great if you could just sit back and wait for your luggage to alert you when it’s arrives?
That’s the idea behind a simple device from Easy-2-Pick, a small Israeli company founded by two American Express travel agents. The gadget has two components. One piece attaches to the luggage, the other fits in your pocket. The range between the two pieces is only 15 meters, so the alert only sounds (it also lights up and vibrates) when your luggage is close by.
The Easy-2-Pick system was red hot when we first wrote about it last year. It seems to have floundered since then as the inventors search for distributors. Still, it’s a wonderful idea and we hope it succeeds. Imagine the same technology being applied to your keys… or your car, when you can’t remember where you parked.
10. Medical imaging via cell phone
In the Western world, we take for granted high-tech tools for physicians and hospitals such as the hand held ultrasound wand that displays the heartbeat of a fetus or detects a tumor. But how would you use that same device in a remote village in Africa where there isnâ€
t even any electricity?
Boris Rubinsky, a professor at the Hebrew University in Jerusalem, has come up with a novel concept: blend the wand with a cell phone. The phone powers the medical imaging device, then transmits the resulting data to a central processing facility – perhaps even in Israel – where itâ€
s turned into an image which can then be messaged back to the village physicianâ€
s phone
The entire process is not unlike the trend in medicine in recent years where X-rays taken in the US are sent to Israeli radiologists for review and then returned via the Internet – saving money and time (itâ€
s daytime in Israel, while itâ€
s still night in the US when radiologists may not be so readily available).
Rubinskyâ€
s life saving gadget is still just in the prototype stage but it has a promising future (and Rubinsky has the patents to back it up). Next in line: Rubinsky is working on a gadget that will extract small amounts of electricity from potatoes – just enough to charge a cell phone in those same far flung third world villages.
The courts have ruled that the service is legal, but it still leaves a muddled taste in my mouth. Iâ€
m talking about Free.co.il, a popular Israeli auction site that works more like the Lotto than eBay.
You canâ€
t help but be drawn in by Free.co.ilâ€
s home page which promises a Sony Playstation for NIS 99 ($26), a MacBook Air for NIS 299 ($79), and even a brand new Mazda 3 for a steal at only NIS 899 ($237). Who wouldnâ€
t want to play with deals like these?
At first, it would be hard to distinguish Free.co.il from a traditional eBay-style auction site: you place your bids on items for sale and the highest bidder within the auctionâ€
s time frame wins. Unlike eBay, though, you have to pay for your bids. The cost of each bid varies; for the MacBook, itâ€
s NIS 20 (about $5). Itâ€
s higher for bigger ticket items.
So, letâ€
s say you bid 20 times to win that MacBook. Youâ€
ll pay NIS 20 x 20 or NIS 400 ($105). Then you pay the price of the unit, plus shipping of NIS 75 ($20) – written in tiny letters on a separate page you have to click to see. Your total cost: NIS 774 ($206). Thatâ€
s still way less than the retail price of NIS 8,899 ($2,400) at Appleâ€
s Tel Aviv outlet, but itâ€
s not the NIS 299 that was initially advertised.
And what if you donâ€
t win? Then you lose the NIS 400 entirely. Thatâ€
s how Free.co.il can offer such low prices.
Still, if you place your bids right (and there is a whole section on “bidding strategies†on the site), and youâ€
re willing to stick with it and spend hours aggressively placing last minute bets, you will win eventually (hopefully for an item you actually want). So, even if you wind up spending NIS 2,000 bidding on several items before winning one thatâ€
s valued at NIS 10,000, youâ€
re still getting the product at an 80% discount.
Thereâ€
s one other trick Free.co.il has up its digital sleeve. If two people bid the same amount, both bids are canceled. That means that the highest “unique†bid wins. You can see whoâ€
s placing what bids, their initials and even where they live, but not the amount theyâ€
re spending. So you never really know if your bid is being burned or not.
Free.co.il is entirely in Hebrew, but thereâ€
s a thriving market of overseas competitors. Is this a good business? Investors seem to think so. One of Free.co.ilâ€
s rivals, Swoopo, has raised an astonishing $14 million. Another – BigDeal – has a $4 million war chest and some Silicon Valley luminaries at the helm.
Itâ€
s certainly compelling – who wouldnâ€
t want an iPhone at a tenth of the retail price – though I donâ€
t think Iâ€
d have the stomach for it (I usually chicken out and click the “Buy it Now†button on eBay). And it peeves me that Free.co.il buries those hefty shipping fees in hard-to-find small print – it makes me wonder what else are they hiding.
But if youâ€
re willing to play by the rules, and you enjoy the thrill of the game, Free.co.il could be the 21st century version of “The Price is Right.†All we need now is our own Israeli version of Bob Barker.
This article originally appeared on the Israelity blog.
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Jeff Pulver in Tel Aviv
Jeff Pulver is a galavanting kind of guy. The one time founder of voice-over-IP telephony company Vonage, Pulver has in recent years traveled the globe hosting hi-tech networking “breakfasts†that attract hundreds of attendees
On Sunday, Pulver was back in town with a combined breakfast and conference focused on “the state of now.â€
Dubbed the “140 Characters Conference†(thatâ€
s the number of characters youâ€
re allowed to type into the Twitter “Whatâ€
s happening?†box), some 250 social media “characters†gathered at Tel Avivâ€
s Afeka College of Engineering to listen attentively to a whopping four dozen presenters who spoke either in panel discussions or alone in 10 minute increments (a large clock counted down the minutes and, other than a few misbehavers, the time was scrupulously observed).
Among the presenters were Alon Nir, the entrepreneur behind “TweetYourPrayers†which allows petitioners to tweet notes that Nir physically places in the cracks of the Western Wall. Nir started the project as a hobby. By the summer, he had thousands of notes and had to enlist an army of volunteers (recruited via Twitter of course) to roll the print outs and cart them to Jerusalem. Find him on Twitter at @thekotel.
A highlight for Israeli music fans was the appearance on stage of rockers Yoni Bloch and Ivri Lider who talked about how they use Twitter to get closer to their fans. Bloch, a self-confessed nerd, initially found fame by posting his songs to an Israeli MySpace-clone and was flabbergasted when, several years ago – long before the advent of Twitter – he sold out a live show just by announcing it online.
Comedians Charley Warady and Benji Lovitt talked about how they use social media to try out punch lines for their jokes (“can you be funny in 140 characters?†asked one audience member).
On a more serious note, David Saranga discussed how the Israeli consulate in New York took to Twitter to counter negative reports coming out of Gaza during Januaryâ€
s Operation Cast Lead. He also pointed out one of the more effective campaigns to reposition Israel in the mind of the world: the 2007 infamous “Girls of the IDF†bikini photo spread in Maxim magazine.
The strangest use of Twitter discussed? Simultaneous tweeting while watching TV. While I find it hard to understand how one can actually enjoy a program while tapping away on a Blackberry or iPhone keyboard, veteran media consultant Dror Gill suggested that interactive media can actually restore some of the social cohesion thatâ€
s been lost in the modern world where families rarely sit down together to watch the contemporary equivalent of All in the Family.
Twittering away, he said, is akin to kibbutzing together in the family room…even if your fellow schmoozers are thousands of miles away.
To back up that point of global interconnectedness, host Pulver announced at the dayâ€
s conclusion that 6,464 people from around the world had tuned in to watch the conference live via the Internet and that for much of the day, this intimate little get together, tucked away in an off the beaten track corner of Tel Aviv, had been ranked in Twitterâ€
s Top 10 “trending topics.â€
See for yourself. Search for #140conf on Twitter.
This article originally appeared on the Israelity blog.
]]>My colleague and friend Jay Bailey has launched RapidFire Video, a new company that creates simple but effective “intro” videos for startups and more established companies. The basic idea is that a straightforward, lightly animated short can quickly convey a company’s message without requiring a huge upfront expense. Think of it as a calling card for your site. Here’s an example:
But the real opportunity, Jay says, is to attach your video intro to an email you’re sending to follow up with a potential customer or partner you just met at a networking meeting. RapidFire videos are small – no more than a couple of MB – which makes them appropriate for posting to YouTube or Facebook as well as via email.
Jay has a very fun style – he chooses often irreverent graphics that make you smile. I’m thinking of having him create a video calling card for Blum Interactive Media. He says the price of a RapidFire video can be as much as 3/4 off the price of a big Flash design house. And he offers a nice discount for referrals – so if you use him, tell him I sent you.
So far there are videos for Ruder Finn PR, Answers.com, Fring and Bite2Eat.
]]>As the 16 “social entrepreneurs†took to the stage last Thursday to present their 15-second “elevator pitch,†I was filled with anticipation. What would the next generation of hi-tech founders come up with?
Here were some of Israel’s best and brightest, hand selected by the Presentense organization which aims to arm young people who want to do good with solid business skills and knowledge.
And at first glance, the strategy has paid off handsomely. The participants in the Presentense “launch night†were confident and personable. The first ever publicly presented elevator pitches on their would-be companies – from subjects as diverse as fostering peace in the Middle East to making prayer more accessible – were polished and presentable; none would have been out of place in a corporate board room.
After the on-stage performance, each Presentense “fellow†manned a table equipped with a laptop, business cards and printed collateral material for the 500 or so guests to peruse and pocket.
As I weaved between the entrepreneurs’ pitches, I found myself enthralled by the creativity…but confused by the business models behind many of these pre-seed startups. Itâ€
s not that Presentense didnâ€
t prepare its participants properly; itâ€
s more the nature of social change-focused non-profits which have lofty goals but that all too often rely on philanthropy not profits.
But Iâ€
m feeling up to the challenge. So let me here present some of the projects that most stood out for me, and letâ€
s brainstorm together on how each could, if not actually generate enough revenue to make its founders rich, at least sustain itself as a social entrepreneurial success.
CreaTV
As a media guy, I found CreaTV fascinating – a marketplace of sorts matching up amateur movie makers with professionals to develop quality products for YouTube or broadcast television. CreaTV is targeting the Israeli market initially and will reach out to students at Israel cinema schools. Founder Elad Kimelman describes himself as an “enthusiastic Zionist†who believes that Jewish-produced media can help bind together the Israeli and Diaspora Jewish communities.
Kimelman hopes that the company will generate projects that receive funding from Israeli production companies; CreaTV would then take a cut. Thatâ€
s not a bad idea, but unless there are a lot of financed productions, itâ€
s hard to see how the site will sustain itself in the interim. YouTube is drowning under bandwidth costs and parent Google still hasnâ€
t figured out how to sufficiently monetize the site.
A Vimeo model, where CreaTV charges for video storage above a certain monthly file size and bandwidth limit might work (although rumors are that Vimeo is in financial trouble). CreaTV could also adopt the approach of recruitment classifieds, charging a fee when a match is made. But that seems to go against the companyâ€
s do-good goal of fostering partnerships.
MediaMidrash
MediaMidrash is another media startup that I liked a lot. Founders Russel Neiss, a librarian, and Charlie Schwartz, a rabbinic student at JTS, dream of creating a site where all of the Jewish videos in the world could be uploaded for teachers to use in school classes. Moreover, teachers could include curriculum to enhance the videos (from both the videomakers themselves and independent instructors who find the videos useful).
My first job back 20 years ago was as the at the San Francisco Bureau of Jewish Educationâ€
s media department. I was in charge of taking orders from teachers and sending out films, VHS tapes and even filmstrips (remember those?) I would have loved a computerized database like MediaMidrash.
Again the question: how will this make money? I spoke with Neiss who said it was a low cost operation and that he could run it while keeping his day job. I pointed out that, if MediaMidrash takes off, bandwidth and storage costs will quickly outstrip a volunteer job. The companyâ€
s documentation talks about offering premium services such as creating custom video and course material, staff training and websites.
In general, I think this “freemium†model – where you give away most of the content for free and upsell paid services – is the way to go. But creating new video and course content will require specialized staff – whether in-house or outsourced – and the mark-up in order to keep the company going (and pay its founders) may prove prohibitive to Jewish day schools already suffering in a post-Madoff era. Let’s hope that’s not the case.
JewTo
Jewto.com is a great name that founder Melissa Berg somehow snagged – finding a short and catchy URL like that is almost unheard of these days. Berg wants to create a mashup of Craigslist-like classifieds with a global guide to Jewish resources. Think every kosher restaurant in the world and mezuzas for sale.
Berg talked to me about hiring staff to write about all things Jewish in your city, but a more scalable model would be ape Yelp, the popular U.S. reviews and rankings site, where regular readers like you and me write the reviews of restaurants, dentists, bars, beauty salons and more. No need to pay when users contribute for the fame and glory.
Jewto can then upsell premium placement – such as your restaurant at the top of the listings (clearly marked as sponsored of course) – along with tools such as table booking, menu listings and take out. Yelp also sells display advertising – so should Jewto.
Berg should also look into partnering with fellow Israeli startup Bite 2Eat for the restaurant booking functionality as well a to look into whether Yelp or a similar site licenses its engine to third parties.
Jewto is a huge project but the business model – if done right (and it will need VC financing to pull off) – has real potential.
Peula
Did you ever receive crappy service from a store or government office? Wanted to complain but didnâ€
t know how? Peula.com is here to help. The company is building a system to automate letter writing and to gather support from similarly minded aggrieved individuals online. Peula then sends your complaint on the right person.
Peulaâ€
s secret sauce is that when the target of your complaint responds, the reply is sent to all of the people listed on your e-complaint which means the responsible partyâ€
s response is tracked publicly.
Peula hopes this will differentiate it from its already formidable competition. In Israel, thereâ€
s atzuma.co.il, tluna.co.il, and shout.co.il. In the U.S. and U.K., companies like PlanetFeedback and HowtoComplain, and even the Better Business Bureau provide similar services – all for free.
Since the competition doesnâ€
t charge, neither can Peula. Ads and sponsorships on the site are the companyâ€
s main business prospects. Allowing users to print letters for a fee, as founder Romi Shamai suggested to me, doesnâ€
t make a lot of sense – users could too easily just copy and paste. There are probably additional added value tools Peula could add that I havenâ€
t thought of yet.
The Open Siddur Project
Perhaps my favorite entrepreneur of the evening was Aharon Varady who is trying to create an online siddur (prayer book) with versions and commentaries from every source imaginable – from Rashi to Jewish Renewal plus user-contributed content. Spiritual seekers could then mix and match how they want to pray and print out their own personal siddur. “Imagine if the first siddur presented to a day school student was actually crafted by that student over the course of a year while being introduced to the liturgy in class,†Varady says.
As someone who struggles with prayer myself, I would love to have a site like Open Siddur. Varady is committed to “keeping this resource completely free.†So how to make money? Varady hopes to charge for printed copies through partnerships with print-on-demand printers.
But what would keep someone from simply generating their on their home printer? Those of us in the Internet publishing business have all learned the hard way that users wonâ€
t pay for content online. The print-on-demand model could work, but since each siddur would be customized for the individual, the volume would be low and as a result any partnership revenue from the POD guys would be similarly small.
Selling services around the siddur project – Jewish designers, calligraphers, scholars and even freelance editors – and taking a cut might be a better direction.
The Israel-Asia Center
The Israel-Asia Center seems to be the most mature project in the 2009 Presentense fellows program. The company already has a working website – a news magazine focused on “promoting partnerships between Israel, the Jewish people and Asia, with a strong focus on China.â€
The management team includes an Israeli professor in China, and founder Rebecca Zeffert, a PR specialist and Chinese Studies graduate. Theyâ€
re backed by a 20-member volunteer team in Israel, China, the U.S. and India. The company also has an impressive advisory board.
The Israel-Asia Centerâ€
s business model also makes sense: use the website as a platform for selling services – course syllabi on Israel-China relations, speaking engagements, briefings and exchange programs.
Given the growth of China as the worldâ€
s second largest economy and Israelâ€
s already existing ties with the Asian giant, I give a hearty thumbs up to Zeffert and crew.
There were a bunch of other entrepreneurs at the event that I didnâ€
t get a chance to talk with. Will they all succeed? Certainly not. Do they deserve to? Absolutely. Do I have all the answers? Not a chance. But this is just a start; some friendly advice, and I have no doubt these fledgling startups will receive plenty more.
What do you think? Which directions would you point these worthwhile endeavors. Drop me a line or leave a comment on the blog.
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