Showing posts with label Silicon Valley. Show all posts
Showing posts with label Silicon Valley. Show all posts

Lean Hardware Strategy Lets Kickstarter Breakout Nomiku ‘In-Shore’ Manufacturing Back To The U.S.

#GNN Tech - In the 1980s, Silicon Valley’s hardware elite began outsourcing much of the semiconductor and hardware manufacturing work that gave the region its name to Asia.
But now that the economics of hardware startups have fundamentally changed with new ways to test consumer interest and get feedback through platforms like Kickstarter, some startups are finding that it’s easier to build products locally because the design-and-testing cycles are much tighter.

One example is Nomiku, an immersion circulator that lets amateur chefs use the high-brow technique of sous vide in their home kitchens. When Nomiku built its original prototypes, the trio of founders behind the company had to decamp for Shenzhen for several months to learn how to maneuver through suppliers there with hardware accelerator HXLR8R.

Now with the second version, they’re bent on manufacturing Nomikus locally with current partner Studio Fathom out of Oakland.

“We can iterate much faster here,” said co-founder Lisa Fetterman. “China is great if you have your design down pat. But if you’re creating something new that nobody’s ever seen before, you need to rapidly prototype.”

She added, “It’s surprising that it’s cheaper to do prototyping in San Francisco rather than China, and the turnaround is faster.” The manufacturing cost gap between China and the U.S. has narrowed as wages in the local industry have nearly doubled since 2008.


The shrinking cost differential has compelled other hardware companies like former Wired editor Chris Anderson’s drone startup 3D Robotics to “near-shore” production to Mexico. That, in turn, has fueled a thriving cross-border startup scene in San Diego and Tijuana where low-cost engineering talent can quickly turnaround prototypes.

Fetterman explains that While the Chinese market is great for mass producing thousands or hundreds of thousands of units of a product, it’s less great for customization and small runs.

The newest version of the Nomiku is smaller, clips to the front of a bin instead of the back, and is Wifi-connected. It also comes with a paired app for planning and sharing recipes.

Sous vide is a cooking technique where you vacuum seal food in a pack and then immerse it in a water bath at a very precise temperature. The benefit is that you’ll get food that is completely evenly cooked, instead of, say, a steak that gets overcooked just to brown the outside. It has particularly cool effects on eggs, which get done perfectly with solid whites and a runny yolk.

“When I first tasted sous vide, how could I ever go back? It’s like someone who has died, gone to heaven and come back,” Fetterman said.

The technique was re-popularized by chefs like French Laundry’s Thomas Keller a decade ago, and since then, a number of competing manufacturers like Polyscience and Anova have tried to mass-market sous vide appliances to the home cook.

Nomiku is the little guy. It was created by a husband-and-wife team named Lisa and Abe Fetterman along with an industrial designer named Wipop Suppipat. Both foodies, Lisa had worked in hospitality at high-end restaurants under chefs like Jean-Georges and Mario Batali, while Abe was a plasma physicist earning his doctorate at Princeton University.

Their love of cooking spawned this business, which they’ve backed with a bit of seed funding and nearly $600,000 from an initial Kickstarter campaign that was the most successful one in food at that time. The newest campaign here has raised north of $400,000 in about a week.

The new Nomiku will end up retailing in outlets for $249. But a pre-ordered version is available on Kickstarter for $129 over the next three weeks.

Judge rejects $324.5 million settlement over Apple, Google hiring

#GNN - NEW YORK: Four Silicon Valley companies including Apple and Google failed to persuade a U.S. judge to sign off on a $324.5 million settlement to resolve a lawsuit by tech workers, who accused the firms of conspiring to avoid poaching each other's employees.
In a ruling on Friday, U.S. District Judge Lucy Koh in San Jose, California, said the class action settlement was too low, given the strength of the case against the companies. Intel and Adobe were also part of the proposed deal.

There is "substantial and compelling evidence" that late Apple Inc co-founder Steve Jobs "was a, if not the, central figure in the alleged conspiracy," Koh wrote. The judge provided details in evidence of anecdotes involving Jobs and other Valley executives to show why she thought the workers deserved more.

Representatives for Apple and Google Inc declined to comment. Intel spokesman Chuck Mulloy said the company is disappointed Koh rejected an agreement "that was negotiated at arm's length over many months," but appreciates that Koh provided additional information on her views.

Lawyers for the workers, along with an Adobe representative, were not immediately available to comment.

In their 2011 lawsuit, the tech employees said the conspiracy had limited their job mobility and, as a result, kept a lid on salaries. The case has been closely watched because of the possibility of big damages being awarded and for the opportunity to peek into the world of some of America's elite tech firms.

The case was based largely on emails in which Apple's Jobs, former Google Chief Executive Officer Eric Schmidt and some of their rivals hatched plans to avoid poaching each other's prized engineers.

PARIS BLUES
Koh referred to one email exchange which occurred after a Google recruiter solicited an Apple employee. Schmidt told Jobs that the recruiter would be fired. Jobs then forwarded Schmidt's note to a top Apple human resources executive with a smiley face.

Koh also disclosed a 2006 exchange over Google's plans to open an engineering center in Paris. Google sought to hire three former Apple engineers for the project, but Jobs objected. Jobs wrote that his company would "strongly prefer that you not hire these guys." Google then told Jobs it had scrapped plans for the Paris center, "based on your strong preference."

The four companies agreed to settle with the workers in April shortly before trial. The plaintiffs had planned to ask for about $3 billion in damages at trial, which could have tripled to $9 billion under antitrust law.

Plaintiff attorneys argued Koh should approve the deal because the workers faced serious risks on appeal had the case gone forward. Some tech workers filed objections to the settlement, however, saying both sides should go back to the negotiating table in the hopes of obtaining a larger amount.

Daniel Girard, a lawyer for one of the objectors, said he is "very pleased that the court agreed with his position." It is unclear whether objectors would be included in any future settlement negotiations.

In her ruling, Koh repeatedly referred to a related settlement last year involving Disney and Intuit. Apple and Google workers got proportionally less in the latest deal compared to the one involving Disney, Koh wrote, even though plaintiff lawyers have "much more leverage" now than they did a year ago.

To match the earlier settlement, the latest deal "would need to total at least $380 million," Koh wrote.

The judge also said the plaintiffs had strong evidence to prove how the no-poaching deals impacted wages. In response to hiring pressure from Facebook, Google co-founder Sergey Brin announced a policy in 2007 of making counteroffers "within one hour" to any Google employee approached by the social networking company.

Google then tried to entice Facebook into a no-poaching deal, Koh wrote, but Facebook refused. The Facebook threat eventually led Google to alter its salary structure and increase all salaries by 10 percent, Koh wrote.

A further hearing in the case is scheduled for September 10.

The case is In Re: High-Tech Employee Antitrust Litigation, U.S. District Court, Northern District of California 11-cv-2509.

Google To Announce Finalists For Bay Area Impact Challenge

Tomorrow, Google will announce the 10 finalists for its Bay Area Impact Challenge, its latest effort to give back to communities in Silicon Valley and the greater Bay Area. For the next 10 days, anyone can visit the website to vote for their favorite nonprofit among the group.

According to the Bay Area Impact Challenge site, finalists were selected based on four criteria: community impact, innovation, scalability, and feasibility. Here’s the list of nonprofits that you’ll be able to vote on starting tomorrow:

Beyond 12 - “By integrating personalized coaching with intelligent technology, Beyond 12 bridges the gap between K-12 and higher education to ensure that all students succeed in college.”

Hack the Hood - “Hack the Hood provides technical training in high in-demand multimedia and tech skills to youth who will then apply their learning through real-world consulting projects with locally-owned businesses and non-profits.”

Bring Me A Book - “By providing libraries of high quality children’s books and read aloud workshops to underserved communities, Bring Me A Book inspires reading aloud to children, the most important factor in determining a child’s future success in reading.”

Health Trust – “The vision of The Health Trust is to make Silicon Valley the healthiest region in America— for everyone. Our work includes direct services, grant making and policy advocacy. It organized under three initiatives: Healthy Eating, Healthy Aging and Healthy Living. Our work also includes Destination Home, a public-private partnership galvanizing our community to end chronic homelessness in Santa Clara County.”

BUILD - “Every year in the United States, half a million young people drop out of high school. Most of these young people drop out because they’re bored. Knowing this, BUILD addresses the crisis with a four-year, hands-on entrepreneurship training and college preparation program that makes school engaging and relevant—and consequently motivates students to succeed.”

Mission Asset Fund - “When hardworking families can’t get car loans or own homes, they turn to payday lenders and check cashers to make ends meet. High cost fringe financial services trap people in a cycle of debt, preventing hardworking families from realizing their true economic potential. The solution can be found in the hidden strengths of communities across the country. People come together to lend and borrow money with each other. We connect this practice with the financial system so that borrowers can build credit and a brighter future.“

Center for Employment Opportunities - “EO offers comprehensive employment services exclusively for people with criminal records. CEO’s model is based on a highly structured program of life skill education, short-term paid transitional employment, full-time job placement and post-placement services. “

Pogo Park - “In one of the Bay Area’s toughest inner-city neighborhoods, Richmond’s Iron Triangle, we are building great parks and playgrounds. By transforming broken city parks into safe and magical play spaces, we are improving the health and well-being of thousands of at-risk children.”

Community Music Center – “Community Music Center was founded in 1921 with the mission of making music accessible to all people, regardless of their financial means.”

SubArt – “SubArt will reinvent the experience of subway riders by transforming BART and MUNI metro stations into public art galleries.”

On June 3, the company will announce the top four nonprofits, who will each receive a $500,000 grant, support from Google, and access to a co-working space. In addition, 21 other nonprofits will receive smaller grants.

The Bay Area Impact Challenge follows Google’s recent efforts to improve its image in the region. Back in March, the company committed $600,000 to approximately 700 Bay Area projects on Donors Choose, a platform where teachers can list projects that they need funding for in their classrooms. Before that, Google promised $6.8 million to the city of San Francisco to let youth between the ages of 5 and 17 ride MUNI for free for two years. All told, the company has given nearly $60 million to nonprofits in the Bay Area over the last three years.

You can see the advisors Google brought in the evaluate submissions to the challenge below: