Open-source projects and operating systems are in offerings from Facebook, Twitter, Uber Technologies and operating systems such as Linux at the foundation of servers, financial trading platforms and Android phones. But businesses based on open-source code find it hard to make a profit, and sell tech support and consulting services for revenue. Even those that spin off companies from open-source projects don’t make big profits. The solution, some are finding, is to create proprietary code to support the free tools. Continue reading Open-Source Companies Turn to Proprietary Code for Profits

After three years of consideration, the Securities and Exchange Commission now allows ordinary investors to take equity stakes in startups through crowdfunding. The move began with the 2012 Jumpstart Our Business Startups, or JOBS Act, to assist startups and small businesses to raise capital from potential investors. But, until last week, only investors whose net worth was greater than $1 million (excluding their primary residences) or earned more than $200,000 a year were permitted to invest via crowdfunding. Continue reading SEC Greenlights Crowdfunding for Startups, Keeps Watchful Eye

Two years ago, venture investor Aileen Lee coined the term “unicorn” for what was then a fairly rare commodity: a startup company that investors valued at $1 billion. In the current market, at least 131 startups are valued at a total of $485 billion, says research firm CB Insights, making the designation “unicorn” — a mythical beast — less accurate. Apparently, unicorns not only exist, but only half of the current crop hail from their birthplace in Silicon Valley. And they now focus on a wide variety of industries. Continue reading Over 131 Startups Now Valued at $1 Billion, Says CB Insights

Amazon unveiled Launchpad this week, a new platform designed to help hardware and physical goods startups market and distribute their new products on Amazon’s e-commerce site. Launchpad, which currently features more than 200 items from a wide variety of startups, will compete with similar services offered by Product Hunt, Shopify and Shyp. Amazon is going big with the new platform, positioning it as a global product with access to 10 international distribution portals, and working with 25 VC firms, accelerators and crowdfunding services. Continue reading Amazon Debuts Launchpad: New Marketing and Sales Portal

In the wake of Ellen Pao’s resignation as Reddit’s interim chief executive, co-founder Steve Huffman was brought in by the company’s board to take her place. Pao left after eight months in the wake of a mishandled firing of a popular employee, which triggered protests by hundreds of thousands of the site’s 160 million monthly visitors. Since Huffman left the day-to-day operations of Reddit in 2009, three years after its sale to Advance Publications, he founded online travel site Hipmunk where he will remain as CTO. Continue reading New Reddit CEO Faces Angry Site Users and Low Staff Morale

Silicon Beach has become home to a number of tech startups, publicly traded companies and business incubators. Recent years have seen a wave of talent, innovation and investors that have fostered compelling new companies and, in some cases, acquisitions by larger Silicon Valley tech leaders. However, a number of startups have opted to stay in Los Angeles, while larger companies such as Google, Microsoft and Yahoo are building a presence. While still early in its development, the LA tech scene now has the core ingredients that helped launch Silicon Valley. Continue reading Silicon Beach Now the Main Tech Hub of Southern California

Improbable Worlds has created a distributed computing platform that allows developers to build large-scale, 3D, real-time models, and now the London-based startup has $20 million to bring this tech to gaming, urban planning, biology, and numerous other industries. The modeling system is unique because it draws upon the computing power of its users and redistributes the computing, while enabling collaboration. Prominent venture capital firm Andreessen Horowitz is the investor. Continue reading Improbable Worlds Raises $20 Million for Simulation Platform

A new trend in social apps has arrived, allowing users to post anonymously, giving them a feeling of freedom without consequences for their actions on the Web. New messaging apps Whisper and Secret, for example, offer a way to share anonymous posts about anything. Popular apps such as Snapchat, Telegram and Frankly revolve around messages that self-destruct after they are read. These anonymous approaches may pose a significant threat to other social platforms such as Facebook and Twitter. Continue reading Whisper and Secret: New Messaging Apps Offer Users Anonymity

San Francisco-based startup Smule has 125 million members worldwide who use its 18 social music-making apps. Users are able to record and share covers and originals, and even sing duets with people halfway across the globe. The apps have spawned online communities featuring music that ranges in quality from YouTube amateurs to artists on the radio. Earlier this month, the company unveiled Smule Nation, a revamped website that makes select performances accessible online by anyone. Continue reading Smule Nation: Aspiring Stars Turn to Social Music-Making Apps

Pinterest users typically use the service for ideas, suggesting that they may be receptive to advertising and branding. In contrast, Google and Amazon users may already have chosen what they wish to purchase and use the sites for price comparisons. The number of Pinterest users continues to rise, and the service is positioned to become a money-making ad platform, gaining more attention from venture capitalists and retail companies. Continue reading Pinterest Service Positioned to Become Advertising Platform

Many entrepreneurs are attempting to recreate the shopping mall experience online in what is generally known as “social shopping.” Internet retailers such as Amazon, eBay, and Etsy have made shopping online easy for large and small sellers. However, retailers are looking to make their sites more social, and create new opportunities. Startups are receiving venture funding, and established companies are adopting their own social features. Continue reading Social Shopping Is the New Mall for Electronic Commerce

Silicon Valley startup Concept.io has launched the Swell smartphone app, which automatically collects Internet radio and podcast content based on user interest. Swell tracks what content is played, how often, and what is skipped, using an algorithm to build a user profile. The app also tracks a user’s Twitter stream to identify areas of interest in order to add relevant audio programs. Swell is currently available for iOS, with Android on the way. Continue reading New Audio App is the Pandora for Podcasts and News Radio