June 16 2023 - Friday Roundup

👋Happy Friday everyone. Pretty light roundup this morning. Go enjoy the weekend everyone, I'll see you all on Monday!

Adobe posted strong earnings, reporting a 10% increase in sales to $4.82 billion, surpassing analysts' expectations and raising its full-year revenue and profit outlooks, citing optimism about the demand for its software driven by generative AI features. The company expects sales to reach around $19.3 billion for the fiscal year, up from the previous forecast of $19.2 billion, while adjusted profit is projected to be as much as $15.75 per share. Adobe is adding generative AI features to its products, including legal assurance against copyright claims, and recently unveiled enterprise-level subscriptions for these tools. The company also raised its revenue projection for its Digital Media unit, which includes Photoshop and other creative software. Adobe's shares rose about 4% in extended trading following the announcement.

Major music publishers, including Sony Music Group and Universal Music Publishing Group, are suing Twitter for copyright infringement. The National Music Publishers' Association has filed a lawsuit in federal court, accusing Twitter of knowingly allowing users to post music without permission and profiting from copyright infringement. The suit seeks statutory damages of up to $150,000 for approximately 1,700 songs, totaling around $250 million. Unlike other social media platforms, Twitter has not secured licensing agreements with music rights holders. The complaint alleges that Twitter has failed to take down infringing material and stop repeat infringers, despite receiving formal notices. The internal affairs of Twitter have been described as in disarray since Musk's takeover, with a significant reduction in the workforce causing disruption and leaving teams understaffed. Twitter has not yet commented on the lawsuit.

Alphabet is selling its Google Domains business and its assets to Squarespace for approximately $180 million. The assets being acquired include 10 million domains hosted on Google Domains. Squarespace will honor Google Domains customers' renewal prices for at least 12 months and become the exclusive domains provider for customers who purchase a domain from Google along with their Workspace subscription. The deal is expected to close in the third quarter.

• Amazon is partnering with Hexa, a Tel-Aviv based 3D visualization platform, to add 3D product shots to its product pages. Hexa uses AI to convert existing 2D product shots into interactive 3D models that can be deployed on websites, social media, and in AR applications. Users can control the models with their cursor, inspecting the assets from any angle. Hexa provides storage, management, distribution, and analysis of the models. Amazon merchants can upload their product identification numbers into Hexa's CMS, and the system automatically converts their image library into high-fidelity 3D models. Hexa has already secured clients such as Macy's, Logitech, and Crate & Barrel. The company recently raised $20.5 million in funding and plans to expand its operations.

• A new IPA report reveals that three-quarters of consumers believe brands should disclose their use of generative AI to produce content. The report, based on a survey of over 2,000 adults, highlights a level of consumer distrust towards AI and emphasizes the need for careful regulation of its use. In the current survey, 74% of respondents believe brands should disclose their use of AI, and 75% would like to be notified if they are not interacting with a real person.
• TikTok has achieved a significant milestone by becoming the first app to exceed $1 billion in consumer spending within a single quarter in Q1 2023. The popular social media video app surpassed competitors like Tencent's Honor of Kings and YouTube in terms of consumer spend during this period. TikTok's success is noteworthy as it outperformed traditional mobile games, which have historically dominated one-time spends and purchases. Unlike apps such as Netflix and YouTube that rely on subscriptions for revenue, TikTok primarily generates income through one-time purchases made to support favorite creators. TikTok has also been expanding its offerings, including the recent addition of mini-games, to provide users with more engaging activities beyond its signature short video format.
• Instagram is expanding its broadcast channels feature globally, allowing users to send one-way messages to their followers. The feature, similar to Telegram, had previously been limited to select creators. With broadcast channels, followers can react and vote in polls but cannot respond directly. Mark Zuckerberg announced the global rollout and has been using the feature on his own channel to share updates and announcements. Meta also recently introduced channels to WhatsApp, with plans to bring them to Facebook and Messenger in the future.

• Mercedes-Benz is testing a beta program that integrates ChatGPT into its in-car voice assistant. The beta program will be available for select vehicles in the US for three months, effectively allowing drivers to hold natural conversations on any topic while driving, facilitating tasks such as booking movie tickets or restaurant reservations.
• The US Justice Department has announced that it will investigate the merger between the PGA Tour and the Saudi-backed LIV Golf league over antitrust concerns. The announcement comes after the surprise announcement last week that the two rivals plan to merge, and makes it less likely that the merger will take effect any time soon. The Senate is also investigating the merger and its potential risks posed by a foreign government entity assuming control over an "American institution".
• Spotify has teamed up with Convicts and Vocabulary to launch the 'Spotify for Podcasters' campaign, promoting the platform as a way for creators to launch their original content with new capabilities including free hosting, recording and editing tools, monetization, video uploading, and data analytical features. Convicts led the creative ideation and production while Vocabulary developed the brand identity and design system.

• Peacock has struck a multi-year naming rights deal with AEG, the owner of the Microsoft Theater in downtown LA, which will be renamed Peacock Theater, effective July 11. The open-air plaza next to it will be known as Peacock Place, replacing XBOX Plaza. The deal includes LED marquee advertising for Peacock's series and special events at the sports and entertainment district L.A. Live.
• Uber is introducing full-length video ads on its ride-hailing app, Uber Eats, and Drizly. The ads will be displayed while users wait for their drivers, during trips, and after placing orders. The move is part of Uber's ad sales growth strategy, which has seen an 80% increase in its active advertiser base. The company has been selling static display ads on Uber Eats since 2019 and started offering ads on its ride-hailing app last year. Uber plans to use customer data to target users during their app interactions, allowing for cross-promotion of its services. However, these new ad products may pose reputational risks and raise privacy concerns among users. Uber users can opt out of certain targeted ads, but not advertising altogether. The company aims to achieve $1 billion in ad revenue by 2024.

• Twitch is introducing a new program called "Partner Plus" that offers streamers a 70% share of their subscription revenues, up to the first $100,000 earned annually. Currently, most partnered streamers receive a 50% share. While Twitch had previously negotiated 70/30 deals with some top streamers, those deals were eventually capped at $100,000. The Partner Plus program aims to give more streamers access to the higher revenue split. To qualify for the program, streamers must maintain at least 350 recurring paid subscriptions for three consecutive months. The program will launch on October 1st, and streamers who meet the criteria in July, August, and September will be enrolled in October. This announcement comes after Twitch faced backlash for its new ad rules, which were later reversed due to community outrage.
• Epic has released a new tool called MetaHuman Animator that allows users of the Unreal Engine to capture an actor's facial performance using a simple device like an iPhone and apply it to a hyperrealistic "MetaHuman" character. The tool promises fast results, with the animation being produced locally using GPU hardware and available in minutes. Epic highlights the efficiency and creative possibilities of the tool, emphasizing that it allows studios to experiment and explore new directions quickly. The system can apply facial animation to a MetaHuman character with just a few clicks, and it can even animate the character's tongue based on the audio of the performance. The tool is compatible with iPhone 12 and newer models and can also be used with existing vertical stereo head-mounted camera systems for enhanced fidelity.

• Inside the studio where Marvel superhero shoes are made
• Thousands of Reddit communities remain dark as protest continues
• Why So Many People Care About Formula 1 (and How You Can Too)
• Ex-Apple staff have founded nearly 600 successful startups
• TikTok’s Upside-Down Puff Pastry Hack Is Actually Pretty Good
• Mobile dominates total gamers in America
• MNTN unveils generative AI-powered video editing platform
• Platige Image Showcases the Potential of Motion Capture
• Wes Anderson’s next Roald Dahl adaptation will be a short film for Netflix
• Illumination denies that they’re working on a Legend Of Zelda movie
• Cava Stock Skyrockets In IPO
• Shipt hires Meta exec as first chief growth officer
• Microsoft is no longer making Xbox One games

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