<?xml version="1.0" encoding="UTF-8"?><feed
	xmlns="http://www.w3.org/2005/Atom"
	xmlns:thr="http://purl.org/syndication/thread/1.0"
	xml:lang="en-US"
	>
	<title type="text">Arik Hesseldahl | Vox</title>
	<subtitle type="text">Our world has too much noise and too little context. Vox helps you understand what matters.</subtitle>

	<updated>2016-06-21T20:25:27+00:00</updated>

	<link rel="alternate" type="text/html" href="https://www.vox.com/author/arik-hesseldahl" />
	<id>https://www.vox.com/authors/arik-hesseldahl/rss</id>
	<link rel="self" type="application/atom+xml" href="https://www.vox.com/authors/arik-hesseldahl/rss" />

	<icon>https://platform.vox.com/wp-content/uploads/sites/2/2024/08/vox_logo_rss_light_mode.png?w=150&amp;h=100&amp;crop=1</icon>
		<entry>
			
			<author>
				<name>Arik Hesseldahl</name>
			</author>
			
			<title type="html"><![CDATA[Slack is making it easier to never leave Slack]]></title>
			<link rel="alternate" type="text/html" href="https://www.vox.com/2016/6/21/11989270/slack-adds-buttons-outside-apps" />
			<id>https://www.vox.com/2016/6/21/11989270/slack-adds-buttons-outside-apps</id>
			<updated>2016-06-21T16:25:27-04:00</updated>
			<published>2016-06-21T16:07:39-04:00</published>
			<category scheme="https://www.vox.com" term="Technology" />
							<summary type="html"><![CDATA[Slack, the office workplace messaging app used by about three million people a day, took another step in its quest to become the app where you spend most of your working life. It added buttons. They&#8217;re called message buttons, and they link to tasks in third-party applications. A common example: The boss sees &#8220;approve&#8221; and [&#8230;]]]></summary>
			
							<content type="html">
											<![CDATA[

						
<figure>

<img alt="" data-caption="" data-portal-copyright="Valentina Proskurina / Shutterstock" data-has-syndication-rights="1" src="https://platform.vox.com/wp-content/uploads/sites/2/chorus/uploads/chorus_asset/file/6685925/shutterstock_134700131.jpg?quality=90&#038;strip=all&#038;crop=0,0,100,100" />
	<figcaption>
		</figcaption>
</figure>
<p>Slack, the office workplace messaging app used by about <a href="http://www.recode.net/2016/5/25/11772938/slack-usage-numbers-scale">three million people a day</a>, took another step in its quest to become the app where you spend most of your working life. It added buttons.</p>

<p>They&rsquo;re called <a href="https://slackhq.com/get-more-done-with-message-buttons-5fa5b283a59#.o4tbipxku">message buttons</a>, and they link to tasks in third-party applications. A common example: The boss sees &#8220;approve&#8221; and &#8220;deny&#8221; buttons in an automated message in their Slack feed for dealing with expense reports. In that instance, the buttons are connected to <a href="https://www.abacus.com/">Abacus</a>, a corporate expense reporting app.</p>

<p>Abacus is only one of a dozen third-party apps with buttons enabled in Slack. Others include Trello for managing projects; Kayak for travel; PagerDuty, an app for tracking and resolving unexpected problems; and Greenhouse, for approving new hires. Slack users who have those apps enabled can start using the buttons right away.</p>

<p>Slack also said the number of third-party apps it works with has grown to 500 since it <a href="http://www.recode.net/2015/12/15/11621494/slack-launches-80-million-fund-to-boost-third-party-development">launched its app directory</a> in December.</p>
<hr class="wp-block-separator" /><h2 class="wp-block-heading">Interview with Slack&#039;s Stewart Butterfield and other CEOs</h2><div class="video-container"><iframe src="https://volume.vox-cdn.com/embed/ad8f706a9?player_type=youtube&#038;loop=1&#038;placement=article&#038;tracking=article:rss" allowfullscreen frameborder="0" allow=""></iframe></div>
<p><small><em>This article originally appeared on Recode.net.</em></small></p>
						]]>
									</content>
			
					</entry>
			<entry>
			
			<author>
				<name>Arik Hesseldahl</name>
			</author>
			
			<title type="html"><![CDATA[Former Apple engineers escaped to create their own cloud startup]]></title>
			<link rel="alternate" type="text/html" href="https://www.vox.com/2016/6/21/11981416/apple-snaproute-project-mcqueen" />
			<id>https://www.vox.com/2016/6/21/11981416/apple-snaproute-project-mcqueen</id>
			<updated>2016-06-21T11:07:36-04:00</updated>
			<published>2016-06-21T11:07:35-04:00</published>
			<category scheme="https://www.vox.com" term="Apple" /><category scheme="https://www.vox.com" term="Big Tech" /><category scheme="https://www.vox.com" term="Technology" />
							<summary type="html"><![CDATA[A group of Apple networking engineers who had worked on a secret internal project to break the company&#8217;s reliance on cloud services from outside vendors has left to start a new networking startup called SnapRoute. Apple is not involved with the creation of the new company. But sources familiar with the startup&#8217;s origins say its [&#8230;]]]></summary>
			
							<content type="html">
											<![CDATA[

						
<figure>

<img alt="" data-caption="" data-portal-copyright="Silver Screen Collection/Hulton Archive/Getty Images" data-has-syndication-rights="1" src="https://platform.vox.com/wp-content/uploads/sites/2/chorus/uploads/chorus_asset/file/6680483/Screenshot%25202016-06-20%252017.28.44.png?quality=90&#038;strip=all&#038;crop=0,0,100,100" />
	<figcaption>
		</figcaption>
</figure>
<p>A group of Apple networking engineers who had worked on a secret internal project to break the company&rsquo;s reliance on cloud services from outside vendors has left to start a new networking startup called SnapRoute.</p>

<p>Apple is not involved with the creation of the new company. But sources familiar with the startup&rsquo;s origins say its founders worked on part of a project that Apple had dubbed Project McQueen.</p>

<p>The project, which <a href="http://www.recode.net/2016/3/16/11587042/google-gets-apple-to-jump-aboard-its-cloud-business-though-it-may-not">Recode first described in March</a> and <a href="http://venturebeat.com/2016/03/17/apple-cloud-project-mcqueen/">VentureBeat later elaborated upon</a>, took its name from actor Steve McQueen&rsquo;s 1963 film &ldquo;<a href="https://www.youtube.com/watch?v=xkwmIDx9RwQ">The Great Escape</a>.&rdquo;</p>

<p>Its goal was to end to a rarely-acknowledged fact about Apple&rsquo;s iCloud service: It relies heavily on outside vendors, including Amazon Web Services, Microsoft&rsquo;s Azure and Google Cloud. (Apple first disclosed its reliance on AWS and Azure in a <a href="http://images.apple.com/iphone/business/docs/iOS_Security_Feb14.pdf">2014 paper</a>.) The McQueen team&rsquo;s assignment was to develop and design new equipment and software that would allow Apple to rely on its own internal cloud services and wean itself off AWS, Azure and Google.</p>

<p>One group of Apple network engineers led by <a href="https://www.linkedin.com/in/jasondforrester?authType=NAME_SEARCH&amp;authToken=a1NK&amp;locale=en_US&amp;srchid=21722651466454966911&amp;srchindex=6&amp;srchtotal=48&amp;trk=vsrp_people_res_name&amp;trkInfo=VSRPsearchId%3A21722651466454966911%2CVSRPtargetId%3A1884716%2CVSRPcmpt%3Aprimary%2CVSRPnm%3Atrue%2CauthType%3ANAME_SEARCH">Jason Forrester</a>, now SnapRoute&rsquo;s CEO, was detailed to a skunkworks effort to, as one source familiar with the assignment put it, &ldquo;build something they couldn&rsquo;t get from any existing networking vendor&rdquo; &mdash; software that was powerful enough to meet Apple&rsquo;s industrial-grade networking needs, but also flexible enough to allow frequent on-the-fly changes to respond to shifting demands.</p>

<p>As the work progressed, Forrester and his team chafed at their hidden role in the behemoth project. &ldquo;Slowly, our desires to share our ideas with the world began to overshadow the thrill of working for Apple,&rdquo; he wrote. They left their jobs last year and started SnapRoute.</p>

<p>SnapRoute makes software that helps companies manage their cloud systems, whether those systems are internal or external. Right now, if a company is overwhelmed with a sudden demand, such as a suddenly popular new app bringing in unprecedented numbers of photo uploads, it&rsquo;s expensive and slow to change how the network works. SnapRoute&rsquo;s software makes that switch quicker and cheaper.</p>

<p>The 20-person startup emerged from stealth mode last week with $4.5 million in venture capital investments led by Lightspeed Ventures. It&rsquo;s one of a handful of startups focused on what has come to be called software-defined networking. Others include Cumulus Networks and Big Switch Networks.</p>

<p>Apple declined to comment, and SnapRoute declined to comment on any connection to the McQueen project inside Apple.</p>

<p>However, in a <a href="http://www.snaproute.com/our-story/">post on SnapRoute&rsquo;s website</a>, Forrester describes how over four years the demands on Apple&rsquo;s network intensified, sometimes causing service outages.</p>

<p>&ldquo;When I arrived in 2011, Apple had two data centers, mostly handling internal traffic and doling out songs and apps from the iTunes Music Store,&rdquo; he wrote. &ldquo;By the time we left, Apple had several more data centers stuffed with an incredible amount of network devices to handle billions of Siri and Map queries, iMessages and cloud services.&rdquo;</p>

<p>The scale of the demand on its data centers from hundreds of millions of iPhone, iPad and Mac users on the iCloud service led to problems that Apple and the companies selling it networking gear hadn&rsquo;t anticipated. Those problems were a contributing factor that led to the Project McQueen research efforts.</p>

<p>One early success: Facebook&rsquo;s <a href="http://www.opencompute.org/">Open Compute Project</a> said last week that it has <a href="https://code.facebook.com/posts/1287741934623491/growing-the-wedge-wedge-100-community/">adopted</a> some SnapRoute-developed software called <a href="https://opensnaproute.github.io/docs/index.html">FlexSwitch</a> as an option on its OpenSwitch operating system.</p>

<p><small><em>This article originally appeared on Recode.net.</em></small></p>
						]]>
									</content>
			
					</entry>
			<entry>
			
			<author>
				<name>Arik Hesseldahl</name>
			</author>
			
			<title type="html"><![CDATA[There’s a brand new world supercomputing champion. And yes, it’s in China.]]></title>
			<link rel="alternate" type="text/html" href="https://www.vox.com/2016/6/20/11975572/supercomputing-champion-china" />
			<id>https://www.vox.com/2016/6/20/11975572/supercomputing-champion-china</id>
			<updated>2016-06-20T10:22:58-04:00</updated>
			<published>2016-06-20T09:46:35-04:00</published>
			<category scheme="https://www.vox.com" term="Technology" />
							<summary type="html"><![CDATA[A new world champion in the realm of supercomputing has unseated the juggernaut that has held it since 2013. Sunway TaihuLight is three times more powerful than the previous champ,&#160;Tianhe-2, according to the latest edition of the twice-a-year list of the world&#8217;s top 500 supercomputers put out by researchers in the U.S. and Germany. The [&#8230;]]]></summary>
			
							<content type="html">
											<![CDATA[

						
<figure>

<img alt="" data-caption="" data-portal-copyright="Via Top500 List" data-has-syndication-rights="1" src="https://platform.vox.com/wp-content/uploads/sites/2/chorus/uploads/chorus_asset/file/6676157/Sunway-TaihuLight.jpg?quality=90&#038;strip=all&#038;crop=0,0,100,100" />
	<figcaption>
		</figcaption>
</figure>
<p>A new world champion in the realm of supercomputing has unseated the juggernaut that has held it since 2013.</p>

<p>Sunway TaihuLight is three times more powerful than <a href="http://www.recode.net/2015/11/16/11620694/the-worlds-top-supercomputer-is-where-yup-still-china">the previous champ,&nbsp;Tianhe-2</a>, according to the latest edition of the twice-a-year list of the world&rsquo;s <a href="http://top500.org/news/new-chinese-supercomputer-named-worlds-fastest-system-on-latest-top500-list/">top 500 supercomputers</a> put out by researchers in the U.S. and Germany.</p>

<p>The new machine can perform more than 93 petaflops per second, besting Tianhe-2, which maxed out at about 34 petaflops. A flop is short for a &ldquo;floating point operation,&rdquo; a type of math problem, and the prefix &ldquo;peta&rdquo; refers to a <a href="https://en.wikipedia.org/wiki/Quadrillion">quadrillion</a> of them. The system is running at China&rsquo;s National Supercomputing Center in Wuxi, about two hours west of Shanghai.</p>

<p>Sunway TaihuLight&rsquo;s other claim to fame: Its chips are also made in China. Its primary computing engine is a chip called&nbsp;<a href="https://en.wikipedia.org/wiki/ShenWei">ShenWei</a> that boasts 16 cores and can produce 140 gigaflops per second (or billions of flops). Tianhe-2 was built primarily using chips made by Intel, the U.S.-based semiconductor giant. The U.S. government has imposed an embargo on the sale of high-end processors like high-end versions of Intel&rsquo;s Xeon chips to China&rsquo;s supercomputing organizations, arguing that they might be used in nuclear weapons research.</p>

<p>The most powerful system in the U.S., and the third most-powerful system in the world, is Titan, a machine built by the supercomputing company Cray that is running at the U.S. Department of Energy&rsquo;s Oak Ridge National Laboratory in Tennessee. It&rsquo;s capable of nearly 18 petaflops per second. <a href="http://allthingsd.com/20121112/american-made-titan-tops-world-supercomputing-list/">It topped the list back in 2012</a>.</p>

<p>Overall, the U.S. still dominated the top 10 positions on the list, with four. American-made chips from Intel and Advanced Micro Devices were used in more than 93 percent of the the systems on the list. And U.S.-based Hewlett-Packard Enterprise built 127 of them.</p>

<p>The top 500 list has been compiled twice a year since 1993 by a team of researchers at Lawrence Berkeley National Laboratory, the University of Tennessee and ISC Group, a research firm in Germany.</p>

<p><small><em>This article originally appeared on Recode.net.</em></small></p>
						]]>
									</content>
			
					</entry>
			<entry>
			
			<author>
				<name>Arik Hesseldahl</name>
			</author>
			
			<title type="html"><![CDATA[Was the hack against the DNC an elaborate anti-Trump attack ad? Let’s talk about that.]]></title>
			<link rel="alternate" type="text/html" href="https://www.vox.com/2016/6/16/11952378/hackers-democratic-staged-trump-russia" />
			<id>https://www.vox.com/2016/6/16/11952378/hackers-democratic-staged-trump-russia</id>
			<updated>2016-06-16T14:50:41-04:00</updated>
			<published>2016-06-16T08:32:48-04:00</published>
			<category scheme="https://www.vox.com" term="Technology" />
							<summary type="html"><![CDATA[Attacks against the computer networks of presidential campaigns and political parties by hackers operating out of Russia and China have become a traditional staple of election season, going back at least as far as 2008. They&#8217;ve struck again in 2016, gaining access to the network of the Democratic National Committee and releasing a detailed opposition [&#8230;]]]></summary>
			
							<content type="html">
											<![CDATA[

						
<figure>

<img alt="" data-caption="" data-portal-copyright="Tomohiro Ohsumi/Getty Images" data-has-syndication-rights="1" src="https://platform.vox.com/wp-content/uploads/sites/2/chorus/uploads/chorus_asset/file/6658531/540060084.jpg?quality=90&#038;strip=all&#038;crop=0,0,100,100" />
	<figcaption>
		</figcaption>
</figure>
<p>Attacks against the computer networks of presidential campaigns and political parties by hackers operating out of Russia and China have become a traditional staple of election season, going back at least as far as 2008.</p>

<p>They&rsquo;ve struck again in 2016, <a href="https://www.washingtonpost.com/world/national-security/russian-government-hackers-penetrated-dnc-stole-opposition-research-on-trump/2016/06/14/cf006cb4-316e-11e6-8ff7-7b6c1998b7a0_story.html">gaining access</a> to the network of the Democratic National Committee and releasing a <a href="http://www.recode.net/2016/6/15/11949066/leaked-dnc-opposition-research-donald-trump">detailed opposition research document</a> on the Republican Party&rsquo;s presumptive nominee Donald Trump.</p>

<p>The basic theory behind these hacking attacks is simple: Governments of other countries <a href="http://www.recode.net/2016/6/14/11933526/russian-hackers-dnc-donald-trump">want dirt that will be useful</a> in dealing with the person who might be America&rsquo;s next president.</p>

<p>Having read the table of contents of the leaked document and some of the coverage about it, I&rsquo;m struck by a few things.</p>

<p>First, if you&#8217;ve paid any attention to the Trump campaign since the beginning, the document contains no meaningfully new revelations. It is, more or less, a collection of highlights drawn from negative stories about Trump&#8217;s business dealings, the lawsuits over Trump University, his treatment of and attitudes toward women, incendiary quotes from speeches and so on, all pulled together in a readable package.</p>

<p>Second, if anyone at the DNC had been thinking strategically, they would have anticipated &mdash; or, in fact, assumed &mdash; that a hack would come. That in mind, it would be smart to leave a certain amount of seemingly sensitive information vulnerable to be &#8220;found&#8221; by the attackers.</p>

<p>Let&rsquo;s game the theory out a bit. If you know the hackers are coming, you know they&#8217;re going to be looking for data to steal. You can also use the opportunity to <a href="http://www.nytimes.com/2013/01/31/technology/chinese-hackers-infiltrate-new-york-times-computers.html">study the attackers&#8217; methods</a> and tricks, which is what the the New York Times did in 2013 when hackers from China breached its network.</p>

<p>Then, you can report the attack as a crime to the FBI, which it unquestionably is. That makes it a national news story. Then you wait.</p>

<p>We had only to wait about 24 hours after the first reports of the hacks before the headline-grabbing opposition document showed up on file-sharing networks, then on <a href="http://gawker.com/this-looks-like-the-dncs-hacked-trump-oppo-file-1782040426">Gawker</a> and <a href="http://www.thesmokinggun.com/documents/crime/dnc-hacker-leaks-trump-oppo-report-647293">The Smoking Gun</a> for everyone to read.</p>

<p>Next, everyone who&#8217;s interested clicks through to read it to see if there are any juicy new revelations. In the process, they re-read all the negative things they&#8217;ve ever heard about Donald Trump, remember a few things they forgot and maybe learn about a few they didn&rsquo;t know.</p>

<p>The document essentially becomes an elaborately staged 237-page attack advertisement. Smart, right? Even Trump himself <a href="http://www.cnn.com/2016/06/15/politics/dnc-hack-donald-trump/index.html">believes a version of this theory</a>.</p>

<p>Meanwhile, following the advice and counsel of seasoned security professionals, the DNC and/or the Hillary Clinton campaign have locked down their truly sensitive documents on encrypted hard drives and limited their access to a few very senior campaign or party operatives who use multi-factor authentication.</p>

<p>That&rsquo;s what I&rsquo;d like to imagine happened. I&#8217;m probably giving them too much credit for being creative. The professionals running the operations of our political campaigns can&#8217;t really be so dumb as to have left their most important information so readily unprotected, could they? Really?</p>

<p>Examples elsewhere aren&rsquo;t encouraging. When Sony Pictures Entertainment was attacked by hackers working on behalf of North Korea, its network <a href="http://recode.net/2014/12/12/sony-pictures-knew-of-gaps-in-computer-network-before-hack-attack/?_ga=1.170296483.248003439.1381607154">suffered from serious deficiencies</a> that its own auditor had found and identified. You can <a href="http://www.recode.net/2015/4/16/11561584/wikileaks-publishes-archive-of-documents-stolen-in-sony-attack">read the emails </a>of its most senior executives on <a href="https://wikileaks.org/sony/emails/">Wikileaks</a>. Its CEO now says he <a href="http://www.recode.net/2016/2/18/11588024/life-after-a-hack-sony-entertainment-boss-lyntons-newfound-love-for">loves his fax machine</a>.</p>

<p>The U.S. Government&rsquo;s Office of Personnel Management was attacked by <a href="http://www.recode.net/2015/6/19/11563730/fireeye-identifies-chinese-group-behind-federal-hack">hackers in China</a> and personal information on <a href="http://www.recode.net/2015/6/11/11563500/hackers-took-info-on-every-current-federal-government-worker">millions of federal employees</a>, past and present, was taken. It served as the starkest proof yet that outside the national security establishment, <a href="http://www.recode.net/2015/6/23/11563798/why-the-federal-government-sucks-at-cybersecurity">the Federal government sucks at cyber security</a>.</p>

<p>Yes, really. When it comes to securing their computers, like so many others, they probably are exactly that dumb.</p>
<hr class="wp-block-separator" /><h2 class="wp-block-heading">Jeff Bezos on Donald Trump and the media</h2><div class="video-container"><iframe src="https://volume.vox-cdn.com/embed/539442c48?player_type=youtube&#038;loop=1&#038;placement=article&#038;tracking=article:rss" allowfullscreen frameborder="0" allow=""></iframe></div>
<p><small><em>This article originally appeared on Recode.net.</em></small></p>
						]]>
									</content>
			
					</entry>
			<entry>
			
			<author>
				<name>Arik Hesseldahl</name>
			</author>
			
			<title type="html"><![CDATA[Dropbox is now cash-flow positive, so there’s no rush to go public]]></title>
			<link rel="alternate" type="text/html" href="https://www.vox.com/2016/6/14/11937132/dropbox-cash-flow-positive" />
			<id>https://www.vox.com/2016/6/14/11937132/dropbox-cash-flow-positive</id>
			<updated>2016-06-15T09:45:08-04:00</updated>
			<published>2016-06-14T16:57:28-04:00</published>
			<category scheme="https://www.vox.com" term="Technology" />
							<summary type="html"><![CDATA[Dropbox, the cloud-based service used by more than 500 million people for storing and sharing their data, has reached cash-flow positive stage, its CEO, Drew Houston, said today. Speaking at the Bloomberg Technology Conference in San Francisco, Houston said the financial milestone means that &#8220;instead of being funded by your investors, you&#8217;re funded by your [&#8230;]]]></summary>
			
							<content type="html">
											<![CDATA[

						
<figure>

<img alt="" data-caption="Dropbox CEO Drew Houston with the actress Kate Hudson at last year’s Breakthrough Prize event | Steve Jennings / Getty" data-portal-copyright="Steve Jennings / Getty" data-has-syndication-rights="1" src="https://platform.vox.com/wp-content/uploads/sites/2/chorus/uploads/chorus_asset/file/6649973/496362848.jpg?quality=90&#038;strip=all&#038;crop=0,0,100,100" />
	<figcaption>
	Dropbox CEO Drew Houston with the actress Kate Hudson at last year’s Breakthrough Prize event | Steve Jennings / Getty	</figcaption>
</figure>
<p>Dropbox, the cloud-based service used by more than 500 million people for storing and sharing their data, has reached cash-flow positive stage, its CEO, Drew Houston, said today.</p>

<p>Speaking at the Bloomberg Technology Conference in San Francisco, Houston said the financial milestone means that &#8220;instead of being funded by your investors, you&#8217;re funded by your customers,&rdquo; and that the company can now control its own destiny.</p>

<p>It doesn&rsquo;t mean that Dropbox, which is privately held but valued at about $10 billion, is profitable &mdash; just that the money coming in is sufficient to preclude the need to go back to investors for more cash to fund operations. It <a href="http://www.recode.net/2014/2/24/11623878/dropbox-round-finalized-350m-at-10b-valuation">last raised money in 2014</a>: $350 million in a round led by BlackRock,&nbsp;Fidelity and T. Rowe Price.</p>

<p>Houston said he&rsquo;s in no hurry to raise more: &ldquo;[Being] cash-flow positive is really important because cash is oxygen and if you keep having to go to investors to fill up your scuba tank, then you can run out.&rdquo;</p>

<p>Dropbox has appeared to be in a bit of trouble in recent months as investors have marked down the value of their holdings in it. Also late last year it <a href="http://cash%20is%20oxygen%20and%20if%20you%20keep%20having%20to%20go%20to%20investors%20to%20fill%20up%20your%20scuba%20tank,%20then%20you%20can%20run%20out">shuttered apps</a> that ran atop the Dropbox service: Mailbox, an email app it acquired, and Carousel, for storing and arranging photos. Houston cited them as bets that &ldquo;didn&rsquo;t work out.&rdquo;</p>

<p>As for an IPO: &ldquo;That&#8217;s the thing about controlling your destiny and not needing to raise money.&nbsp;We can do that on our own timeline.&#8221;</p>

<p><small><em>This article originally appeared on Recode.net.</em></small></p>
						]]>
									</content>
			
					</entry>
			<entry>
			
			<author>
				<name>Arik Hesseldahl</name>
			</author>
			
			<title type="html"><![CDATA[Zenefits is firing 106 people and offering buyouts to more as it restructures (read the memos)]]></title>
			<link rel="alternate" type="text/html" href="https://www.vox.com/2016/6/14/11933496/zenefits-fires-106-buyouts-restructuring" />
			<id>https://www.vox.com/2016/6/14/11933496/zenefits-fires-106-buyouts-restructuring</id>
			<updated>2016-06-14T13:54:34-04:00</updated>
			<published>2016-06-14T12:50:37-04:00</published>
			<category scheme="https://www.vox.com" term="Technology" />
							<summary type="html"><![CDATA[Four months after it fired its founding CEO following the disclosure of lapses in licensing requirements, benefits startup Zenefits said today it will fire 106 people, close a sales department in Arizona and offer buyouts to additional employees as part of a wider restructuring of its business. The cuts, which amount to 9 percent of [&#8230;]]]></summary>
			
							<content type="html">
											<![CDATA[

						
<figure>

<img alt="" data-caption="Zenefits CEO David Sacks | Zenefits" data-portal-copyright="Zenefits" data-has-syndication-rights="1" src="https://platform.vox.com/wp-content/uploads/sites/2/chorus/uploads/chorus_asset/file/6647257/20160614-zenefits-david-sacks.jpg?quality=90&#038;strip=all&#038;crop=0,0,100,100" />
	<figcaption>
	Zenefits CEO David Sacks | Zenefits	</figcaption>
</figure>
<p>Four months after it <a href="http://www.recode.net/2016/2/8/11587682/zenefits-ceo-parker-conrad-steps-down-coo-david-sacks-named-to">fired its founding CEO</a> following the disclosure of lapses in licensing requirements, benefits startup Zenefits said today it will fire 106 people, close a sales department in Arizona and offer buyouts to additional employees as part of a wider restructuring of its business.</p>

<p>The cuts, which amount to 9 percent of Zenefit&rsquo;s total workforce, were announced in a pair of internal memos from CEO David Sacks, who replaced Parker Conrad as head of the company in February, and newly promoted COO Abhijeet Dwivedi. It was the second round of layoffs at the company since the shakeup. <a href="http://www.recode.net/2016/2/26/11588274/in-strategic-refocus-troubled-zenefits-lets-250-employees-go">Zenefits let 250 people go on Feb. 26</a>. Fired employees are being given three months&rsquo; worth of severance pay and an extension of their health benefits for six months via COBRA.</p>

<p>The restructuring also includes offers of voluntary severance for &ldquo;employees who do not want to be here&rdquo; as a result of the business changes, Sacks wrote in the memo. &ldquo;The new Zenefits may be a very different company than the one many of you joined,&rdquo; Sacks wrote. &ldquo;If you do not agree with the new company values, or if your role has changed in ways that you cannot support, then you can take The Offer.&#8221;</p>

<p>The deal includes two months&rsquo; worth of severance pay and four months of COBRA coverage, and is open only to employees who joined before Feb. 16. Eligible employees have a week to decide to take it or stay.</p>

<p>Sacks announced a major shift in Zenefits&rsquo; business strategy, one he called &ldquo;Z2,&rdquo; which will be formally unveiled at a company event in October. &ldquo;Z2 will extend our market leadership in the category we pioneered: a unified solution for all of a small business&rsquo; HR, benefits and payroll needs,&rdquo; Sacks wrote in the memo.</p>

<p>The company became the focus of attention earlier this year after <a href="http://www.buzzfeed.com/williamalden/80-of-zenefits-deals-in-washington-state-done-by-unlicensed#.gl89nKl1x">BuzzFeed reported</a>&nbsp;that more than 80 percent of Zenefits&#8217; health policies in force in Washington state had been sold by unlicensed employees. The practice was later found to extend beyond policies in just one state.</p>

<p>Zenefits had until recently been considered a Silicon Valley high-flyer, having&nbsp;<a href="http://recode.net/2015/05/06/startup-zenefits-raises-500-million-at-4-5-billion-valuation/">raised $500 million</a>&nbsp;from investors at a valuation of $4.5 billion, including Fidelity Management, the private equity firm TPG and the venture capital firm Andreessen Horowitz.&nbsp;</p>

<p><em><strong>Correction: </strong>We initially reported that Zenefits is closing its office in Arizona. It&rsquo;s actually leaving it open with about 350 remaining on the job. It did shut down sales operations there. </em></p>

<p>Here&rsquo;s the first of two memos sent around to Zenefits employees. The first one is from Sacks.</p>
<blockquote class="wp-block-quote has-text-align-none is-layout-flow wp-block-quote-is-layout-flow">
<p>From:&nbsp;<strong>David Sacks</strong>&nbsp;</p>

<p>Date: Tue, Jun 14, 2016 at 8:20 AM</p>

<p>Subject: Organizational Update and Offer</p>

<p>To:&nbsp;All-</p>

<p>I want to give you an update on the status of our turnaround, let you know about some organizational changes that are happening today, and describe where we are going next.</p>

<p>We&rsquo;ve made huge progress over the past 4 months. In that time, we&rsquo;ve admitted and self-reported our mistakes, fixed our licensing issues, changed our leadership and governance, transformed our culture and values, and articulated our mission. We&rsquo;ve refocused on our core small business market, sharpened our product roadmap, eliminated extraneous products, and improved the performance and reliability of our infrastructure.</p>

<p>As a result of our focus on transparency and remediation, we have reset our relationships with our key stakeholders. We will see the results of this hard work pay off soon, as we achieve a resolution to our historical issues and leave them firmly in the past.</p>

<p>Meanwhile, our 20,000+ customers have stuck by us, a testament to the value our product delivers to small businesses. Our revenue has not decreased &#8212; ARR remains over $60 million &#8212; even though we declared our intention to exit large Enterprise. Beneath the surface of this headline number is a favorable mix shift: SMB continues to grow, offsetting the decline in Enterprise.</p>

<p>Now it is time to look to the future. At our last all-hands meeting, we reviewed plans for version 2 of Zenefits, which we&rsquo;ve dubbed &ldquo;Z2&rdquo;. As you know, this is a total redesign of Zenefits that takes the &ldquo;All-in-One&rdquo; promise of Zenefits to a new level. We will be debuting this at our first user conference on October 18 at the Palace Hotel in San Francisco.</p>

<p>Z2 will extend our market leadership in the category we pioneered: a unified solution for all of a small business&rsquo; HR, benefits, and payroll needs. Zenefits makes life easier for small businesses and makes entrepreneurship more accessible to anyone who wants to start a business. This is an important mission.</p>

<p>In order to get to Z2, we need to be structured correctly as an organization and all moving in the same direction, with the same level of motivation. To that end, we are announcing three changes today:</p>

<p>First, we are reorganizing Operations to be simpler and less siloed, to serve customers better, and to create a more holistic and fulfilling experience for employees. These changes are about working smarter, not just more efficiently. Please see Abhijeet&rsquo;s email for more details &#8212; I&rsquo;m excited about this change.</p>

<p>Second, we are closing our sales office in Arizona in order to locate all of our sales &amp; marketing efforts in San Francisco. We can iterate a lot faster on our growth initiatives and manage our sales effectiveness and training more easily when all of sales and marketing is located together in the same office.</p>

<p>This is a painful decision because we have a lot of great salespeople in Arizona and talented people in the Ops organization who will no longer be with us. But it is the right thing to do. Together, these changes will result in 106 job eliminations, which is about 9% of headcount. As we did previously, we want to provide generous support to our departing employees during this transition so we will offer 3 months of severance, 6 months of COBRA, and transition assistance.</p>

<p>That brings me to the final announcement. I believe that Zenefits has turned an important corner. We have done the hard work of remediation. We have reorganized the team to succeed moving forward. Now we need to focus on Z2. I believe that the launch of Z2 will reassert our market leadership and re-accelerate growth. We need everyone to be all-in on Z2.</p>

<p>However, I recognize that the new Zenefits may be a very different company than the one many of you joined. I want to be respectful and realistic of that fact. And if you are not motivated by our mission to make entrepreneurship easier, or if you do not agree with the new company values, or if your role has changed in ways that you cannot support, then you can take The Offer.</p>

<p>The Offer is a voluntary separation package consisting of 2 months severance and 4 months of COBRA. Every employee who joined before Day One (February 8, 2016) is eligible and has until&nbsp;noon&nbsp;on Thursday&nbsp;to consider it. If you would like to accept, please send an email to&nbsp;<a href="mailto:hr@zenefits.com">hr@zenefits.com</a>&nbsp;and copy your manager. If you accept, the HR team will work with you and your manager to determine the best end date to ensure a smooth transition of your work.</p>

<p>As you consider your options over the next two days, please know that the company isn&rsquo;t making The Offer because we don&rsquo;t want you. We do want you, but we want the best of you. We want you winning core value awards. We want you prototyping a great idea at Hackday.&nbsp; We want you staying late to help out on a project. We want you busting ass on Z2. The next few months are going to be an exciting time at Zenefits and we want everyone participating in that.</p>

<p>But if you can&rsquo;t get excited about that, then frankly we need you to make space for someone who will. Because Zenefits is at a point where will matters as much as skill, and we need everyone committed and contributing to the push ahead.</p>

<p>I have no idea how many people will take the Offer, but I&rsquo;m certain that I want to work with people who want to be here and who are unified in the purpose of what we&rsquo;re trying to achieve. I&#8217;m excited about The Offer for that reason. But I&rsquo;m more excited about Z2 and what we do next.</p>

<p>I&rsquo;m happy to answer questions about any of this at a special all-hands later today.</p>

<p>David</p>
</blockquote>
<p>&mdash;&mdash;&mdash;&mdash;&mdash;&mdash;&mdash;&mdash;&mdash;</p>

<p>This second memo is from Dwivedi.</p>
<blockquote class="wp-block-quote has-text-align-none is-layout-flow wp-block-quote-is-layout-flow">
<p>From:&nbsp;Abhijeet Dwivedi&nbsp;</p>

<p>Date: Tue, Jun 14, 2016 at 8:19 AM</p>

<p>Subject: Org changes</p>

<p>Team,</p>

<p>When I started on the job as COO, I took several steps to better understand Zenefits. First, I talked to lots of customers. I wanted to understand why they loved us and have stuck with us. For those customers that left, why did they make that decision? What could we do differently? Second, I poured over hundreds of jira tickets, and spent countless hours analyzing information flows to understand where we were excelling and where we were missing the mark. Lastly, I talked to the people on the front lines to understand their pain points and hear their suggestions. I have stolen shamelessly from those conversations. Everything we are doing today is based on the ideas that stemmed from my conversations with many of you.</p>

<p>What I learned is that we are too siloed, we have too much complexity and we have an opportunity to create a more customer-centric way of operating.&nbsp; The goal of the changes we are making today in operations is to amplify what we do well, and obliterate our deficiencies.</p>

<p>Over the last week, I have had discussions with many of you. I have been inspired by how deeply you care about our customers&rsquo; success and how much you want Zenefits to succeed. It has been motivating for me to see so many of you nod your heads when I lay out this vision.</p>

<p>So today, we will roll out the changes in operations that put us on the path to becoming the customer-centric company that we must become. Let me explain the four main drivers of these changes:</p>

<p>1.&nbsp;<em>End to end ownership</em></p>

<p>o&nbsp;We have too many departments. For example, I remember one customer case that got bounced between teams because no one was clear about who &ldquo;owns&rdquo; it. From now on, ownership and accountability must sit together.</p>

<p>o&nbsp;When work gets passed around between highly specialized teams, some context gets lost in the transfer.</p>

<p>2.&nbsp;<em>More empowerment = better customer experience</em></p>

<p>o&nbsp;Some of our colleagues engaged in hyper-specialized jobs feel stuck. They can&rsquo;t see the whole picture / the whole customer.</p>

<p>o&nbsp;Instead of an assembly line where each person does one thing very well but doesn&rsquo;t have ownership of the &ldquo;whole car,&rdquo; we are creating customer pods where craftswomen/men do the work end-to-end. We need to embrace the natural instinct to learn more and have a broad impact. Why? It&rsquo;s great for the customer.</p>

<p>o&nbsp;There are some truly remarkable individuals in Operations at all levels. We owe it to ourselves to invest in that talent.</p>

<p>3.&nbsp;<em>Reduce internal complexity</em></p>

<p>o&nbsp;Every now and then, we need to step back and ask &#8211; &#8220;Why is this done this way?&#8221; and change it if the answer doesn&#8217;t make sense anymore.</p>

<p>o&nbsp;For example, we have rules about who can and cannot talk to the customer. These divisions were designed for a good reason &#8211; to ensure the customer hears from Zenefits via a single voice. However, in practice, the person who has the most knowledge often is not the same as the person talking to the customer. We must lead with knowledge and expertise.</p>

<p>4.&nbsp;<em>Increase customer focus:</em></p>

<p>o&nbsp;We go to heroic lengths to do the right thing for the customers. It is truly inspirational. However, sometimes our silos can abstract us from our customers. A JIRA ticket &nbsp;= a customer that needs help. Too often, it can become &ldquo;a work-item&rdquo; that needs to be completed and when this happens, we become one step removed from the customer.</p>

<p>o&nbsp;We think that by empowering more individuals to own customer issues end-to-end, we will bring every team closer to our customers.</p>

<p>In an effort to execute on these objectives, operations will be organized in the following departments with the following leaders reporting into me:</p>

<p>&middot;&nbsp;&nbsp;&nbsp;<em>Broker services</em>&nbsp;(all of our insurance operations) &#8211; Stephanie Ho</p>

<p>o&nbsp;Group services (combining BOR, renewals, AM, enrollments, custom plan loads)</p>

<p>o&nbsp;Member services (combining member processing, COBRA, carrier resolution, insurance support)</p>

<p>&middot;&nbsp;&nbsp;&nbsp;<em>Insurance marketplace</em>&nbsp;(combining carrier operations and relations) &#8211; Colin Rogers</p>

<p>&middot;&nbsp;&nbsp;&nbsp;<em>Payroll services</em>&nbsp;(payroll support will now report to payroll services) &#8211; J Zac Stein</p>

<p>&middot;&nbsp;&nbsp;&nbsp;<em>HR and Ancillary services</em>&nbsp;(combining templates, FP, ancillary and HR/ancillary support) &#8211; Alli Tiscornia</p>

<p>&middot;&nbsp;&nbsp;&nbsp;<em>Quality</em>&nbsp;(combining quality, audits and escalations) &#8211; Sarah Blanchard</p>

<p>&nbsp;There is a lot of change for all of us. These changes mean that some of you will be leaving us. I sincerely regret that we have had to make those tough decisions. For many of you, especially teams within broker services, you will have to make a transition from doing one specific thing for the customer, to ensuring end-to-end customer success. To help you with this, a team of 15 &ldquo;blackbelts&rdquo; who are experts in their domains will help train you.</p>

<p>Those of you that work on one part of &ldquo;broker services&rdquo; will have an opportunity to get licensed and go through BrokerU. For those of you who are unfamiliar, BrokerU is a comprehensive 2-month training program on the insurance industry and our insurance platform. It&rsquo;s much loved, and produces what I like to call &#8211; &ldquo;Ironman brokers&rdquo; &#8211; i.e. smart individuals coupled with intense technology that excel as brokers.&nbsp; There are other benefits of going through BrokerU: doing so unlocks job opportunities within Zenefits and brings everyone closer to our core business.</p>

<p>My hope is that these changes enable us to live our three core values: operate with integrity, put the customer first, make Zenefits a great place to work. I am beholden to you to make this vision come alive and to realize our full potential. We have 20,000 small businesses out there that want to see us succeed and that are counting on us to help them.</p>

<p>I have a favorite quote from Abe Lincoln from which I have found inspiration over the last month especially:&nbsp;&#8220;The dogmas of the quiet past, are inadequate to the stormy present. The occasion is piled high with difficulty, and we must rise &#8212; with the occasion. As our case is new, so we must think anew, and act anew. We must disenthrall ourselves, and then we shall save our country.&#8221;</p>

<p>Looking forward to the path ahead and to talking with all of you in the coming days.</p>

<p>Regards,</p>

<p>-Abhijeet</p>
</blockquote>
<p><small><em>This article originally appeared on Recode.net.</em></small></p>
						]]>
									</content>
			
					</entry>
			<entry>
			
			<author>
				<name>Arik Hesseldahl</name>
			</author>
			
			<title type="html"><![CDATA[Google Apps gets an injection of artificial intelligence, with more to come]]></title>
			<link rel="alternate" type="text/html" href="https://www.vox.com/2016/6/13/11926122/google-apps-smarter-ai-technology" />
			<id>https://www.vox.com/2016/6/13/11926122/google-apps-smarter-ai-technology</id>
			<updated>2016-06-14T14:07:05-04:00</updated>
			<published>2016-06-13T21:00:03-04:00</published>
			<category scheme="https://www.vox.com" term="Artificial Intelligence" /><category scheme="https://www.vox.com" term="Big Tech" /><category scheme="https://www.vox.com" term="Google" /><category scheme="https://www.vox.com" term="Innovation" /><category scheme="https://www.vox.com" term="Technology" />
							<summary type="html"><![CDATA[Google today hinted at a near future where its artificial intelligence capabilities underpin its collection of cloud-based applications aimed at the workplace, Google Apps. At an event in Tokyo, the Internet giant announced a new application and a revamp of another, with some AI smarts injected into both. The new product is called Springboard, and [&#8230;]]]></summary>
			
							<content type="html">
											<![CDATA[

						
<figure>

<img alt="" data-caption="Test | Debit" data-portal-copyright="Debit" data-has-syndication-rights="1" src="https://platform.vox.com/wp-content/uploads/sites/2/chorus/uploads/chorus_asset/file/6241309/20160322-google-building-sign.0.jpg?quality=90&#038;strip=all&#038;crop=0,0,100,100" />
	<figcaption>
	Test | Debit	</figcaption>
</figure>
<p>Google today hinted at a near future where its artificial intelligence capabilities underpin its collection of cloud-based applications aimed at the workplace, Google Apps.</p>

<p>At an event in Tokyo, the Internet giant announced a new application and a revamp of another, with some AI smarts injected into both.</p>

<p>The new product is called Springboard, and it&#8217;s intended to let Google Apps customers search through the content of the documents they store in their Google Drive, along with their contacts and calendar entries, all in one place. It will also use AI, Google says, to proactively find information that may be relevant to what you&#8217;re working on.</p>
<img src="https://platform.vox.com/wp-content/uploads/sites/2/chorus/uploads/chorus_asset/file/6643579/Springboard_M.png?quality=90&#038;strip=all&#038;crop=0,0,100,100" alt="" title="" data-has-syndication-rights="1" data-caption="Google Springboard on a phone" data-portal-copyright="" />
<p>Google also says it has rebuilt <a href="https://apps.google.com/index__siteseap.html">Google Sites</a>, its lightweight tool for creating websites and intranet sites for use by work teams. It, too, is getting a dash of Google&rsquo;s AI juice, which, says Ryan Tabone, director of product for Google Apps, will make a lot of the tricky things about web publishing easier.</p>

<p>&ldquo;It takes a lot of the hassle out of getting pictures and text just right, so you don&rsquo;t have to spend time figuring them out yourself,&rdquo; Tabone said. It can also quickly adapt a page for reading on mobile devices.</p>

<p>It&rsquo;s a relatively humble start, but the hope is to enhance the entire suite of Google&#8217;s office apps with AI, though Tabone preferred the phrase &ldquo;machine intelligence.&#8221;</p>

<p>And while it&rsquo;s pretty far from Google&rsquo;s more spectacular deployment of AI technology in its Google Home smart speaker for consumers, it is a hint of things to come, Tabone said.</p>

<p>&ldquo;What we find is that people tend to perform the same tasks over and over,&rdquo; he said.  &ldquo;And that&rsquo;s something that&rsquo;s in the machine-learning wheelhouse.&rdquo;</p>

<p><small><em>This article originally appeared on Recode.net.</em></small></p>
						]]>
									</content>
			
					</entry>
			<entry>
			
			<author>
				<name>Mark Bergen</name>
			</author>
			
			<author>
				<name>Arik Hesseldahl</name>
			</author>
			
			<title type="html"><![CDATA[Microsoft’s big LinkedIn purchase puts the pressure on Google to respond]]></title>
			<link rel="alternate" type="text/html" href="https://www.vox.com/2016/6/13/11922406/microsoft-linkedin-google-respond" />
			<id>https://www.vox.com/2016/6/13/11922406/microsoft-linkedin-google-respond</id>
			<updated>2016-06-13T18:44:41-04:00</updated>
			<published>2016-06-13T18:33:42-04:00</published>
			<category scheme="https://www.vox.com" term="Big Tech" /><category scheme="https://www.vox.com" term="Google" /><category scheme="https://www.vox.com" term="Technology" />
							<summary type="html"><![CDATA[With its colossal acquisition of LinkedIn this morning, Microsoft gets an immediate, powerful asset for its software sales pitch: A social dataset of 400 million-plus users. That should fray nerves at Google, and raise pressure on it to respond with an acquisition of its own, one aimed at expanding its reach with business customers. It [&#8230;]]]></summary>
			
							<content type="html">
											<![CDATA[

						
<figure>

<img alt="" data-caption="" data-portal-copyright="Photo by Justin Sullivan/Getty Images" data-has-syndication-rights="1" src="https://platform.vox.com/wp-content/uploads/sites/2/chorus/uploads/chorus_asset/file/6640385/486234042.jpg?quality=90&#038;strip=all&#038;crop=0,0,100,100" />
	<figcaption>
		</figcaption>
</figure>
<p>With its <a href="http://www.recode.net/2016/6/13/11920142/microsoft-buys-linkedin-for-26-2-billion">colossal acquisition of LinkedIn</a> this morning, Microsoft gets an immediate, powerful asset for its software sales pitch: A social dataset of 400 million-plus users.</p>

<p>That should fray nerves at Google, and raise pressure on it to respond with an acquisition of its own, one aimed at expanding its reach with business customers. It had already <a href="http://www.recode.net/2016/3/18/11587054/google-is-shopping-for-cloud-companies-on-the-list-namely-and-shopify">informally sounded out</a> some mid-market business-focused cloud apps for acquisition earlier this year.</p>

<p>Over the past year, the search giant has directed considerable attention and resources to building out a sizable enterprise operation, an attempt to diversify its business (an ads one). One of the two pillars of the operation, apps for businesses, competes head-on with Microsoft.</p>

<p>And now Microsoft has a pool of valuable data &mdash; based on personal and professional information &mdash; that Google, despite its expensive past efforts, does not.</p>

<p>Google will have to answer &mdash; particularly since one product <a href="http://www.recode.net/2016/6/13/11921064/microsoft-ceo-memo-linkedin-ceo-memo">Microsoft said</a> LinkedIn will assist with is Cortana, its artificial intelligence-powered personal assistant. AI is a linchpin feature that Google is using with its enterprise software sales pitch. Google&rsquo;s AI is widely considered best in the industry; but with LinkedIn&rsquo;s data, Microsoft could have a critical edge in its offering that trumps Google.</p>

<p>If it wants to catch up, Google&rsquo;s not short on the cash. Nor is it short on will. Diane Greene, its enterprise SVP, who wields considerable power in the company, has an edict to grow her unit, even through acquisition, <a href="http://www.recode.net/2016/3/18/11587054/google-is-shopping-for-cloud-companies-on-the-list-namely-and-shopify">as <strong>Recode</strong> reported earlier</a>.</p>

<p>Should Greene and Google go on a spree, here are some potential big targets:</p>

<p><strong>Slack: </strong>The fast-growing workplace messaging app boasts <a href="http://www.recode.net/2016/5/25/11772938/slack-usage-numbers-scale">three million users every day</a>, and about a third of them use it from accounts paid for by their employers. While generally known as a popular tool at young tech and media companies, it&rsquo;s on track to launch an enterprise version that delivers the scale necessary for use in larger companies sometime this year. It&rsquo;s also working on enhancing the service with <a href="http://www.recode.net/2016/6/6/11863534/slack-artificial-intelligence-AI-noah-weiss">AI features</a> that would give the Slack application the brains to anticipate a user&rsquo;s day-to-day business needs, boosting its appeal in an area Google already considers a priority.</p>

<p>And <a href="http://www.recode.net/2016/4/1/11585772/slack-funding-4-billion-closing">valued at less than $4 billion</a> as of its most recent funding round, Slack is affordable. One important complication: Slack runs entirely on Amazon Web Services. Migrating it to Google&#8217;s cloud service would be a big job.</p>

<p><strong>Box:</strong> The cloud storage, sharing and collaboration platform was the darling of Silicon Valley <a href="http://recode.net/2015/01/23/box-shares-open-at-20-20-a-share/?_ga=1.190754600.248003439.1381607154">ahead of its IPO last year</a>. It&rsquo;s a different company today, with a fully imagined long-term strategy to help specific industries <a href="http://recode.net/2014/03/26/levies-strategy-for-box-attack-all-industries/?_ga=1.164421692.248003439.1381607154">build custom applications</a> and to act as the central cog connecting numerous existing business apps including Microsoft&rsquo;s Office, <a href="http://Salesforce.com">Salesforce.com</a>, and, by the way, <a href="https://community.box.com/t5/Integrations/Google-Docs-Integrating-With-Google-Docs/ta-p/178">Google Apps</a>. Its customers include household names like the Campbell Soup company, industrial giant GE and The Gap, and 10,000-seat deals with large customers are not uncommon.</p>

<p>Box&rsquo;s low share price, down 52 percent since its debut on the New York Stock Exchange, also creates an opportunity.</p>

<p><strong>Dropbox: </strong>What Dropbox lacks in a fully articulated vision for doing business with large companies, it makes up for with the scale of its numbers: More than half a billion people use Dropbox, plus 150,000 businesses. Its bread-and-butter business is file storage, sharing and syncing across multiple devices. And it works.</p>

<p>It recently moved much of its data off of Amazon&rsquo;s cloud and onto one of its own making. Privately held, its mutual fund investors have in recent months written down the value of their shares, suggesting it&rsquo;s worth about $10 billion. That may make it too big a bite even for Google, though parent company Alphabet has just over $75 billion in combined cash on hand.</p>
<div class="video-container"><iframe src="https://volume.vox-cdn.com/embed/dcaf54da6?player_type=youtube&#038;loop=1&#038;placement=article&#038;tracking=article:rss" allowfullscreen frameborder="0" allow=""></iframe></div>
<p><small><em>This article originally appeared on Recode.net.</em></small></p>
						]]>
									</content>
			
					</entry>
			<entry>
			
			<author>
				<name>Peter Kafka</name>
			</author>
			
			<author>
				<name>Ina Fried</name>
			</author>
			
			<author>
				<name>Arik Hesseldahl</name>
			</author>
			
			<title type="html"><![CDATA[Microsoft is buying LinkedIn for $26.2 billion]]></title>
			<link rel="alternate" type="text/html" href="https://www.vox.com/2016/6/13/11920142/microsoft-buys-linkedin-for-26-2-billion" />
			<id>https://www.vox.com/2016/6/13/11920142/microsoft-buys-linkedin-for-26-2-billion</id>
			<updated>2016-06-13T09:47:01-04:00</updated>
			<published>2016-06-13T08:59:04-04:00</published>
			<category scheme="https://www.vox.com" term="Big Tech" /><category scheme="https://www.vox.com" term="LinkedIn" /><category scheme="https://www.vox.com" term="Microsoft" /><category scheme="https://www.vox.com" term="Social Media" /><category scheme="https://www.vox.com" term="Technology" />
							<summary type="html"><![CDATA[Microsoft missed the mobile wave. Now Satya Nadella says he&#8217;s going to spend a ton of money to help it keep up in the services business. The Microsoft CEO is buying LinkedIn, the professional social network, for $26.2 billion, or $196 a share, in an all-cash deal. The acquisition, the largest in Nadella&#8217;s tenure, will [&#8230;]]]></summary>
			
							<content type="html">
											<![CDATA[

						
<figure>

<img alt="" data-caption="" data-portal-copyright="Microsoft" data-has-syndication-rights="1" src="https://platform.vox.com/wp-content/uploads/sites/2/chorus/uploads/chorus_asset/file/6637797/microsoft%2520linkedin.jpg?quality=90&#038;strip=all&#038;crop=0,0,100,100" />
	<figcaption>
		</figcaption>
</figure>
<p>Microsoft missed the mobile wave. Now Satya Nadella says he&rsquo;s going to spend a ton of money to help it keep up in the services business.</p>

<p>The Microsoft CEO is buying LinkedIn, the professional social network, for $26.2 billion, or $196 a share, in an all-cash deal.</p>

<p>The acquisition, the largest in Nadella&rsquo;s tenure, will be &#8220;key to our bold ambition to reinvent productivity and business processes,&#8221; he wrote in a letter to Microsoft employees.</p>

<p>It is also an admission by LinkedIn&rsquo;s management that the company wasn&rsquo;t going to be able to convince Wall Street of its value. In 2015, LinkedIn shares had climbed as high as $269, but since then they have tumbled as investors have become more skeptical about most cloud-based businesses. LinkedIn was trading at $131 prior to this morning&rsquo;s announcement.</p>

<p>For Microsoft, a big part of the deal is about being at the center of the business worker&rsquo;s world.</p>

<p>While it has ceded the personal social graph to Facebook and others, it sees being at the center of the worker&rsquo;s world as too important to miss. Microsoft had hoped its SharePoint would be the social hub for business, but has seen a lot of momentum in that area shift to Slack. Microsoft also bought Yammer, an enterprise social collaboration company, for $1.2 billion in 2012, but that acquisition has essentially gone nowhere.</p>

<p>LinkedIn&rsquo;s know-how is also important for Cortana and its broader artificial intelligence aspirations. With this purchase, Microsoft is basically buying the company org chart for the whole world, which on its face seems a pretty good layer of data to build into any business-focused cloud product, from email to enhancing a customer relationship software to recruiting new employees.</p>

<p>&#8220;Microsoft wanted to get into human resources without having to get into payrolls,&#8221; said Ray Wang, an analyst with Constellation Research.</p>
<div id="lKCM6P" data-chorus-asset-id="6637953"><img src="https://platform.vox.com/wp-content/uploads/sites/2/chorus/uploads/chorus_asset/file/6637953/Screen%20Shot%202016-06-13%20at%206.02.08%20AM.png"></div>
<p>The deal should close this year, the companies said, with LinkedIn CEO Jeff Weiner remaining head of that unit and joining Microsoft&rsquo;s senior leadership team.</p>

<p>Microsoft has been on the hunt for a large acquisition in the enterprise cloud space for more than a year. Last April, <a href="http://www.recode.net/2015/5/22/11562894/microsoft-salesforce-held-serious-talks-but-split-over-price">Microsoft and Salesforce held &#8220;serious talks&#8221;</a> that ended when the two parties couldn&rsquo;t agree on a price. Microsoft had contemplated a bid of $55 billion while Salesforce CEO Marc Benioff at the time was said to be holding out for a price closer to $70 billion, too rich even for Microsoft.</p>

<p>As for how Microsoft brings the two businesses together, the company could add parts of LinkedIn to its already healthy and growing Office 365 subscription business, while keeping the premium service as a standalone option.</p>

<p>LinkedIn&rsquo;s knowledge about workers also could be a fit with Dynamics, the part of Microsoft&rsquo;s business that competes with Salesforce. In its slide deck on the deal, Microsoft pitches the knowledge that LinkedIn complements what its services know about businesses through corporate data.</p>
<div id="OX0zRR" data-chorus-asset-id="6638099"><img src="https://platform.vox.com/wp-content/uploads/sites/2/chorus/uploads/chorus_asset/file/6638099/Screen%20Shot%202016-06-13%20at%206.14.48%20AM.png"></div>
<p>LinkedIn had in recent months gone from one of the most highly valued internet companies to a potential takeover target for a large buyer after it badly missed estimates when it <a href="http://www.recode.net/2016/2/5/11587612/linkedin-plunges-torpedoed-by-fears-of-slower-growth">reported fourth quarter earnings</a> in February and<a href="http://www.recode.net/2016/2/4/11587586/linkedin-beats-the-street-but-stock-tanks-on-weak-2016-guidance"> issued weak guidance</a> for the coming year. Its shares fell by 43 percent the following day and its market valuation fell by more than $14 billion along with it.</p>

<p>For weeks, markets treated the shares of cloud software companies like Salesforce, Workday and others as if their prospects had soured along with LinkedIn&#8217;s. Over the course of several days in February, the value of an <a href="http://bvp.com/strategy/cloud-computing/index">index of publicly held cloud software companies</a> as tracked by Bessemer Venture Partners <a href="http://www.recode.net/2016/2/6/11587624/after-66-billion-goes-poof-cloud-software-stock-outlook-turns-very">fell by $66 billion</a>. The declines spilled over into private markets where cloud-based startups seeking new venture capital investments had to lower the terms they could realistically expect from investors.</p>

<p>Weiner spoke with Kara Swisher on <strong>Recode Decode</strong> last year:</p>
<p><iframe src="https://art19.com/shows/recode-decode/episodes/e1a5ef68-8cb2-4e17-b2d6-71512a9cbe49/embed?theme=black&amp;primary_color=%23C60018"></iframe></p>
<p>And LinkedIn Executive Editor Daniel Roth joined Peter Kafka and others onstage at <strong>Code/Media</strong> earlier this year.</p>
<p><iframe frameborder="0" src="https://www.youtube.com/embed/kxKbrd0hXco" height="315" width="560"></iframe></p>
<p><small><em>This article originally appeared on Recode.net.</em></small></p>
						]]>
									</content>
			
					</entry>
			<entry>
			
			<author>
				<name>Arik Hesseldahl</name>
			</author>
			
			<title type="html"><![CDATA[Here’s who to follow for the best information on the Orlando shooting]]></title>
			<link rel="alternate" type="text/html" href="https://www.vox.com/2016/6/12/11912320/orlando-shooting-best-information" />
			<id>https://www.vox.com/2016/6/12/11912320/orlando-shooting-best-information</id>
			<updated>2016-06-12T18:51:18-04:00</updated>
			<published>2016-06-12T13:39:42-04:00</published>
			<category scheme="https://www.vox.com" term="Business &amp; Finance" /><category scheme="https://www.vox.com" term="Media" /><category scheme="https://www.vox.com" term="Money" /><category scheme="https://www.vox.com" term="Technology" />
							<summary type="html"><![CDATA[A mass shooting at a nightclub in Orlando has left at least 50 dead and 53 wounded. Reliable news on the situation can be hard to come by, though, as chatter on social media quickly turns to rumor and speculation. Here&#8217;s a list of journalists, some on the ground in Orlando, others based elsewhere in [&#8230;]]]></summary>
			
							<content type="html">
											<![CDATA[

						
<figure>

<img alt="" data-caption="" data-portal-copyright="Gerardo Mora / Getty" data-has-syndication-rights="1" src="https://platform.vox.com/wp-content/uploads/sites/2/chorus/uploads/chorus_asset/file/6634915/539547406.jpg?quality=90&#038;strip=all&#038;crop=0,0,100,100" />
	<figcaption>
		</figcaption>
</figure>
<p>A mass shooting at a nightclub in Orlando has left at least 50 dead and 53 wounded. Reliable news on the situation can be hard to come by, though, as chatter on social media quickly turns to rumor and speculation.</p>

<p>Here&rsquo;s a list of journalists, some on the ground in Orlando, others based elsewhere in the world, who are following the various threads of the story.</p>

<p><strong>Christal Hayes</strong> is on the ground in Orlando for the local daily newspaper <a href="http://www.orlandosentinel.com/">The Orlando Sentinel</a>. She&rsquo;s on Twitter <a href="https://twitter.com/Journo_Christal">@Journo_Christal</a></p>
<div id="C8g12u"> <blockquote class="twitter-tweet"> <p dir="ltr" lang="en">Pulse shooting: In hail of gunfire in which suspect was killed, OPD officer was hit. Kevlar helmet saved his life. <a href="https://t.co/MAb0jGi7r4">pic.twitter.com/MAb0jGi7r4</a></p>&mdash; Orlando Police (@OrlandoPolice) <a href="https://twitter.com/OrlandoPolice/status/742009920808210432">June 12, 2016</a> </blockquote>  </div>
<p>The <strong>Orlando Police</strong> department has been using its Twitter account at <a href="https://twitter.com/OrlandoPolice">@OrlandoPolice</a> to share information and has been broadcasting its press conferences on Periscope.</p>

<p><strong>Pete Williams</strong>, the national security correspondent for <strong>NBC News </strong>(which is an investor in <strong>Recode&rsquo;s</strong> parent company Vox Media) has been leading the pack with well-sourced reports from Washington. A few minutes ago he reported that the shooter apparently pledged allegiance to the Islamic terror group ISIS in a 911 call before the shooting began.</p>
<div id="asRp6N"> <blockquote class="twitter-tweet"> <p dir="ltr" lang="en">Before shooting began, shooter called 911 and swore allegiance to ISIS &#8211; <a href="https://twitter.com/PeteWilliamsNBC">@PeteWilliamsNBC</a> says <a href="https://t.co/zz8JmfQ66a">https://t.co/zz8JmfQ66a</a></p>&mdash; NBC Nightly News (@NBCNightlyNews) <a href="https://twitter.com/NBCNightlyNews/status/742044085985247234">June 12, 2016</a> </blockquote>  </div>
<p><strong>Matt Pearce </strong>at the Los Angeles Times has done a nice job pulling together an aggregated view of the story as it has developed. He&#8217;s on Twitter at <a href="https://twitter.com/mattdpearce">@mattdpearce</a>.</p>
<div id="TQ9xEF"> <blockquote class="twitter-tweet"> <p dir="ltr" lang="en">&#8220;Just to look in the eyes of our officers told the whole story.&#8221; <a href="https://t.co/z3WkB9qANM">https://t.co/z3WkB9qANM</a></p>&mdash; Matt Pearce (@mattdpearce) <a href="https://twitter.com/mattdpearce/status/742012397259362304">June 12, 2016</a> </blockquote>  </div>
<p>National security correspondent <strong>Adam Goldman</strong> and <strong>Julie Tate</strong> of the Washington Post have a <a href="https://www.washingtonpost.com/world/national-security/ex-wife-of-suspected-orlando-shooter-he-beat-me/2016/06/12/8a1963b4-30b8-11e6-8ff7-7b6c1998b7a0_story.html?postshare=5531465748603597&amp;tid=ss_tw">revealing early look</a> into the life of the confirmed shooter Omar Mateen. They interviewed his ex-wife, who described him as &#8220;not a stable person&#8221; who &#8220;beat me.&#8221; Goldman is on Twitter at <a href="https://twitter.com/adamgoldmanwp">@adamgoldmanwp</a> and Tate is at <a href="https://twitter.com/JulieATate">@JulieATate</a>.</p>
<div id="giEXRT"> <blockquote class="twitter-tweet"> <p dir="ltr" lang="en">I interviewed the ex-wife of suspected Orlando shooter: &#8220;He beat me&#8221; <a href="https://t.co/VUX237ISHL">https://t.co/VUX237ISHL</a></p>&mdash; Adam Goldman (@adamgoldmanwp) <a href="https://twitter.com/adamgoldmanwp/status/742029665653653504">June 12, 2016</a> </blockquote>  </div>
<p><strong>Rukimini Callimachi</strong>, a correspondent for the New York Times who follows al-Qaeda and ISIS, has been following the threads of the story connected to Islamic extremism, which are not yet fully confirmed. In the tweet below she notes that an ISIS daily news bulletin made no mention of the attack. She&rsquo;s on Twitter at <a href="https://twitter.com/rcallimachi">@rcallimachi</a></p>
<div id="cEEV14"> <blockquote class="twitter-tweet"> <p dir="ltr" lang="en">23. FYI everyone, ISIS has just issued its daily news bulletin. Of note &#8211; no mention of Orlando <a href="https://t.co/TLE7J8CDNC">pic.twitter.com/TLE7J8CDNC</a></p>&mdash; Rukmini Callimachi (@rcallimachi) <a href="https://twitter.com/rcallimachi/status/742012818518638593">June 12, 2016</a> </blockquote>  </div>
<p><strong>President Obama </strong>just addressed the nation in a statement from the White House. Here&rsquo;s video from NBC News.</p>
<div id="FmfeMk"> <blockquote class="twitter-tweet"> <p dir="ltr" lang="en">WATCH: Pres. Obama addresses nation following deadly shooting rampage at Orlando nightclub.<a href="https://t.co/t6pK6DDq5B">https://t.co/t6pK6DDq5B</a></p>&mdash; NBC Nightly News (@NBCNightlyNews) <a href="https://twitter.com/NBCNightlyNews/status/742060183107440640">June 12, 2016</a> </blockquote>  </div>
<p>Elsewhere, <strong>Max Bearak</strong> of the Washington Post has an <a href="http://ost.com/news/worldviews/wp/2016/06/12/orlando-shooting-suspects-father-hosted-a-political-tv-show-and-even-tried-to-run-for-the-afghan-presidency/">interesting story</a> on the background of the shooter&#8217;s father: He&rsquo;s apparently a figure on the fringes of Afghan politics and has a <a href="https://www.youtube.com/channel/UC5MBQ9UhS01swTh860m_tvQ">YouTube channel</a>. It&rsquo;s unclear how much influence he could have with only 63 subscribers. Still, he declared himself a candidate for the Afghan presidency, though his delivery in the videos, which are in the Dari language, is described at times as &#8220;incoherent.&#8221;</p>
<div id="CV8ldj"> <blockquote class="twitter-tweet"> <p dir="ltr" lang="en">Orlando shooting suspect&rsquo;s father hosted a political TV show and even tried to run for the Afghan presidency <a href="https://t.co/UFVA2x0prf">https://t.co/UFVA2x0prf</a></p>&mdash; Washington Post (@washingtonpost) <a href="https://twitter.com/washingtonpost/status/742046960769765376">June 12, 2016</a> </blockquote>  </div>
<p><small><em>This article originally appeared on Recode.net.</em></small></p>
						]]>
									</content>
			
					</entry>
	</feed>
