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Hold-outs targeted in fresh batch of noyb GDPR cookie consent complaints

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Just over a year after launching a major project targeting thousands of sites blatantly flouting cookie tracking rules in Europe, local privacy campaign group noyb has fired off another batch of complaints targeting a hardcore of website operators that it says have ignored or not fully acted upon earlier warnings to bring their cookie consent banners into compliance with the EU’s legal standard for consent, such as the General Data Protection Regulation (GDPR).

Noyb says the latest batch of 226 complaints have been lodged with 18 data protection authorities (DPAs) around the bloc.

As with earlier actions by noyb, all the complaints relate to the most widely used cookie banner software, made by OneTrust. But it’s not the software itself that’s the issue — rather the complaints target deceptive settings it found being applied. Or even no choice at all being offered to site users to deny tracking in a clear breach of the law around consent.

Deceptive cookie pop-ups have had a corrosive impact not only on the privacy rights of web users in the region, systemically stripping people of their right to protect their information, but they have also been very damaging for the reputation of EU data protection rules like the GDPR — enabling critics to blame the regulation for spawning a tsunami of annoying cookie banners despite the fact the law clearly outlaws consent theft via cynical tactics like injecting one-way friction or offering users zero opt-out ‘choice’.

The vast scale of cookie consent violations has, nonetheless, posed a major enforcement challenge for the bloc’s network of under-resourced data protection authorities — hence noyb stepping in with a smart and strategic approach to help clean up the “cookie banner terror” scourge, as its campaign couches it.

Given noyb’s focus on impact, and the extremely widespread nature of cookie consent problems, the campaign group has sought to minimize how many formal complaints it’s filing with regulators — so its partially automated compliance campaign entails sending initial complaints to the offending sites in question, offering help to rectify whatever dark patterns (or other bogus consent issues) noyb has identified.

It’s only sites that have repeatedly ignored these nudges and step-by-step compliance guidance that are being targeted for formal complaints with the relevant oversight body now.

“We want to ensure compliance, ideally without filing cases. If a company however continues to violate the law, we are ready to enforce users’ rights,” said Max Schrems, chairman at noyb, in a statement.

“After one year, we got to the hopeless cases that hardly react to any invitation or guidance. These cases will now have to go to the relevant authorities,” he added.

Thus far, noyb credits its cookie consent campaign with generating what it couches as a “large spill-over effect” — with, not only directly targeted violating consent banners being amended but some non-targeted sites also adapting their settings after they heard about the complaints. “This shows that enforcement ensures compliance beyond the individual case,” argues Schrems. “I guess many users have realized that for example more and more ‘reject’ buttons gradually appeared on many websites in the last year.”

Discussing progress to date, a spokeswoman for noyb also told us: “We have seen an increasing compliance rate in our regular scans (where we scan several thousands websites in Europe using the CMP OneTrust) after our first round of warnings last May. This is probably due to an increased awareness due to our complaints, the ‘fear’ that this law might actually be enforced and because Onetrust proactively informed their customers about our complaints and adjusted their standard settings to be ‘noyb compliant’.

“Therefore we consider those websites that still violate the GDPR despite all warnings as ‘hopeless’ cases. All of them are new cases, so none of the companies targeted already last year are in that batch.”

The so-called “hopeless” cases include a mix of (smaller) media sites, popular retailers and local pages, per noyb’s spokeswoman.

Asked for examples of pages which still violate “almost everything” (i.e. where cookie consent rules are concerned) more than a year after the group’s compliance campaign kicked off, she pointed to media sites including https://www.elle.com/ and https://www.menshealth.com/; recipe site www.delish.com; online travel agency booking.com; and fashion retailer aboutyou (in various EU countries).

Other high profile sites that are being targeted for formal complaints now — and which have remedied “at least some violations” (though not others), in noyb’s assessment — include football site fifa.com; cosmetics retailers rituals.com and clinique.at/de; and streaming giant hbo.com.

While noyb says “most” of the sites it’s formally complaining about now don’t provide users with an option to withdraw their consent to tracking, its spokeswoman noted: “Others have implemented a reject button (30% of all warned websites) but are still ignoring other aspects like deceptive designs.”

Noyb’s cookie complaints have already led to some regulatory action, with the European Data Protection Board (EDPB) establishing a special taskforce last year to coordinate responses to what the group suggests could end up as as many as 10,000 cookie consent complaints being filed — although the first DPA decisions related to complaints it lodged last year are still pending.

“We hope for the coordinated approach by the EDPB taskforce,” said its spokeswoman, adding: “The Austrian DPA so far has been the most active one in processing the complaints followed by some of the German DPAs. We hope to receive the first decisions by the end of this year.”

Now that this final round of OneTrust complaints has been filed, the not-for-profit group says it will move onto sites using other so called consent management platforms (CMPs) — expanding the scope of its automated complaint-cum-compliance platform to cover rival CMPs, such as TrustArc, Cookiebot, Usercentrics and Quantcast.

So scores more sites which haven’t been caught up in noyb’s sweeps yet, despite operating blatantly bogus consent banners, will be on the receiving end of a pointed letter vis-a-vis their cookie compliance in the near future.

In parallel with firing off lots of these letters over the past year+, noyb has also been gathering data on the impact of the cookie complaint project — and plans to issue a report on what it’s learned later this year.

Separately, France’s DPA, the CNIL, has been pretty active on cookie consent enforcement — taking some tough action against a number of tech giants (Amazon, Facebook and Google), under the ePrivacy Directive, that has enabled it to issue some major fines over abusive cookie tracking practices — and which appears to have forced (some) reform.

The ePrivacy legal route has allowed the CNIL to circumvent the GDPR’s one-stop-shop mechanism, which critics blame for undermining enforcement of the bloc’s flagship data protection regulation, especially against Big Tech, by funnelling (and bottlenecking) complaints through a handful of so-called lead DPAs (Ireland being the biggest) on account of a handful of markets having large numbers of tech giants regionally located on their soil.

noyb’s approach of filing large batches of thematic GDPR complaints is another strategy to push back against enforcement delays by simultaneously looping in DPAs across the bloc to tackle an issue, encouraging coordination, joint working and (it hopes) a pipeline of decisions that defend European citizens’ rights.

Technology

Backed by Epic Games, distributed computing startup Hadean nabs $30M to power the metaverse

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Hadean, a U.K.-based distributed, spatial computing startup that’s setting out to build the infrastructure for the burgeoning metaverse, has closed a $30 million seres A round of funding from a high-profile cast of investors including Epic Games and Tencent.

Founded out of London in 2015, Hadean started out with a broad mission to put “supercomputer levels of processing power at the disposal of anyone,” TechCrunch wrote back in 2017 when the company was still operating in beta. In the intervening years, Hadean has iterated for different use-cases and has emerged as a major player in the gaming sphere in particular, where it powers major hits such as Minecraft.

At its core, Hadean is all about helping developers scale their codebase to support software that requires significant computing power, something that Minecraft demands particularly when it involves multiplayer engagement across the internet. Hadean’s spatial simulation library integrates with all the major gaming engines, and helps MMO (massively multiplayer online game) and other online game developers avoid having to put player limits in place, or use other forms of technical (but limited) trickery to circumvent the problems created by hundreds or more gamers participating at the same time. It’s all about keeping the dreaded “lag” at bay, while maintaining the depth, complexity, and realism of a single-player offline console game.

This is achieved through the magic of distributed computing, with Hadean’s platform eliminating “excessive middleware, orchestration, and overengineering,” as the company puts it, dynamically provisioning more or fewer resources as a game requires.

But the underlying technology can be used for just about any use-case, from resource-intensive enterprise applications through to web 3.0, blockchain, and the metaverse. Back in July, Hadean was awarded a contract with the British Army to build a simulated training environment for land warfare.

A virtual world as illustrated by Hadean Image Credits: Hadean

Epic investment

And it’s against that backdrop that Hadean has now secured a slew of illustrious backers eager to get in at an early stage, while the metaverse is still in its fledgling years.

As the Telegraph newspaper first reported last month [paywalled], Hadean initially secured around $18 million in funding from investors including Chinese technology titan Tencent and InQTel, a CIA-backed not-for-profit venture capital firm based in Virginia, U.S. As it transpired, this initial reveal came somewhat prematurely, as Hadean was still in the process of closing the round of funding, which is what it’s announcing today.

The full list of (known) backers include lead investor Molten Ventures (formerly Draper Esprit), Tencent, 2050 Capital, Alumni Ventures, Aster Capital, Entrepreneur First, InQtel, and the mighty Epic Games, which also happens to be a Hadean customer. In fact, Epic Games previously doled out funding to Hadean in the form of a MegaGrant, which are basically grants to support companies working on projects to help support its Unreal Engine.

In an email to TechCrunch, Hadean CEO Craig Beddis said Epic Games arrived late to the series A round and so had to invested via a convertible note, which basically means it’s a short-term debt that will convert into equity.

It’s also worth noting that Epic Games recently raised around $2 billion to build what it’s touting as a kid-friendly metaverse, and this gives a further clue as to why it’s now investing directly in Hadean.

“Hadean’s computing power will provide the infrastructure that’s needed as we work to create a scalable metaverse,” said Marc Petit, who serves as VP of Epic’s Unreal Engine Ecosystem, in a statement. “The company’s technology complements Epic’s Unreal Engine by enabling massive amounts of concurrent users and unlocking new tools for creators and developers.”

Tencent’s involvement is also notable, given current geopolitical tensions between China and the U.S. Beddis explained that Hadean ended up taking less money than what was on offer from Tencent so that it could remain CFIUS (Committee on Foreign Investment in the United States) compliant, and avoid a national security review.

With another $30 million in the bank, in addition to its previously raised seed rounds amounting to around $16.5 million, Hadean is well-financed to double-down on its existing traction across the gaming, government, and enterprise realms, and power all manner of web 3.0 and metaverse applications.

“Hadean’s mission is to bridge physical and virtual worlds — to help us make better decisions and ultimately improve the quality of our lives in the physical world,” Beddis said. “Today’s virtual worlds are a limited experience – small scale, siloed, and insecure. Hence why these are the technical challenges we’re tackling today. But we believe the true success and mass adoption of the metaverse will rely on the ease by which creators will be able to build their own experiences at scale, leveraging open and robust metaverse-as-a-service technologies.”

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Interview with Ekke Uustalu, Co-Founder of Planyard

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Interview with Ekke Uustalu, Co-Founder of Planyard

Co-founder of Planyard with a background in B2B software and cyber security. Now tackling profitability forecasting in larger construction companies to make sure they don’t go out of business due to insufficient visibility.

He was born right when Estonia regained its independence from the Soviet Union at the beginning of the 90s. This experience has been invaluable as he saw the rapid development and life quality improvement this new way provided.

When growing up, everything in his life was digitalized – the communication, the school work, government and medical services. This meant that that was since childhood the normal. He couldn’t really expect less than excellent and user-friendliness from any service. This part is probably normal for 99% of Estonians though.

He studied computer systems in his university studies and found entrepreneurship interesting from early on. He worked in various startups during studies and attended various startup events and competitions. Some of these competitions were also where the first attempts (and failures) at personal startups took place.

He also tried Amazon FBA (Fulfilled by Amazon) product selling which failed quite miserably as the product was completely custom designed and was just a one-time thing. The product was also partially a safety device so Amazon deciding to now allowing to sell the product was a good learning point. Never give too much decision power to someone else. Also, don’t make safety products without having great suppliers. 🙂

After a short stint in a cyber security company, he was invited by acquaintances to work on Planyard. This has been the main focus for the past few years.

Where did the idea for Planyard come from?

The idea for Planyard came from our acquaintances working in the construction field. Many of them work as project managers and complained that they don’t have good tools that help them do financial tasks efficiently.

They often need to use multiple unlinked spreadsheets with duplicate data where the processing and data copying takes way too long. So when one of our founders had multiple discussions with these PMs, he was able to identify key issues that we started to work on once the mockups were confirmed.

So now we are providing a cloud-based software tool for construction companies to automate much of the annoying manual work they have to do anyway. This can save up to 5 days for each project manager per month. Additionally, colleagues and managers can also easily see what the status is if the company prefers to share the access inside the company.

What does your typical day look like and how do you make it productive?

Since we are a small bootstrapped team, the day consists of various tasks that have to be done – often some development work, marketing actions if we have some content planned, calls with customers and representatives from tools that we integrate with.

It is important to list and then prioritize all of the things that need to be done in the day to make sure that you can really focus on the important tasks. Depending on the task, we have different Trello boards to track them or for stuff only specific to me, I also use Gmail snoozing to not lose anything.

How do you bring ideas to life?

We often hear about problems that our customers are having. When we hear these brought out, we have to validate that many or most of our customers face similar issues. When we validate that indeed this is a relevant issue for many people, we then start work on solution proposals.

We then make very low-quality mockups that we can validate with all of the parties and often do multiple rounds of these discussions to tweak the solution before we start implementing it.

This means that we can be very sure of the technical solution before we do anything. We might make small adjustments to the design or the process later on, but the fundamental assumptions are correct, thus reducing the amount of rework we have to do.

What’s one trend that excites you?

Young and/or tech-savvy people who are becoming decision makers in (construction) companies. They have grown up with productivity tools and user-friendly tools and expect that when they try to find a solution. Also, a more bottom-up management style is nice since everyone’s’ opinion matters and the boss doesn’t decide alone.

This means that our potential customers are more open to embracing technical solutions that will make their life easier. Additionally, when looking for solutions, they are very selfishly trying to find a great experience. That differs from the “old school“ enterprise sales where the management would just decide for something and the end users would not really benefit from it.

What is one habit of yours that makes you more productive as an entrepreneur?

If you don’t get it 100% clearly, just ask again. I think I need to fully understand the problem and why it is a problem to be able to solve it for the customer.

What advice would you give your younger self?

Ask more questions before rushing to propose solutions. You probably didn’t fully get it yet.

Tell us something that’s true that almost nobody agrees with you on.

Probably not that unpopular, but raising money is not everything. Raising money too soon can hurt or end your business.

As an entrepreneur, what is the one thing you do over and over and recommend everyone else do?

Blocking out time for deep focus time. This is probably more a techy thing to do, but having the freedom of no distractions for some part of your day really lets you achieve a lot.

What is one strategy that has helped you grow your business?

We still need to do a lot of work on our online presence and messaging, but we for sure are already seeing successes from our SEO efforts however limited the time is that we put in there.

In short, it’s better to be where the customers are searching for you instead of cold calling and reaching out to them yourself.

What is one failure you had as an entrepreneur, and how did you overcome it?

A few years ago, I tried doing Amazon FBA (fulfillment by Amazon) as a business. We developed our own product from scratch for just a one-time event.

The production delays and strict Amazon restrictions meant that we actually could almost not sell any products to our customers before the date. We lost a lot of time and money doing this, but I learned to value my own control over the process more. In that case, we did make a lot of mistakes on our own as well. But giving so much power to someone else can be risky as they can just shut you down when they decide to do so.

What is one business idea that you’re willing to give away to our readers?

I recently heard of an idea for an app to order food in the restaurant. So basically Uber Eats to eat in – no waiting for the waiter, no payment struggles, and the possibility for the company to do dynamic pricing.

I’m not sure if it is a great idea, but it’s an idea.

What is one piece of software or a web service that helps you be productive?

Trello. Keeping track of what you need to do, what you did, and to prioritize what needs to be done. Without structure, you just do whatever you want to in the morning and that probably won’t take you too far.

What is the one book that you recommend our community should read and why?

Predictable Revenue by Aaron Ross and Marylou Tyler
The Lean Startup by Eric Ries

What is your favorite quote?

Change in all things is sweet – Aristotle

Originally published on IdeaMensch.
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Berlin’s Visionaries Club VC boosts its funds with €350M worth of fresh capital for B2B investments

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It was back in 2019 that we reported on Visionaries Club, a new, Berlin-based, European VC focusing on B2B, founded by Sebastian Pollok and Robert Lacher. At the time, Visionaries Club had launched two new €40M micro funds for seed and growth-stage B2B.

Pollok was previously a VC at e.ventures in San Francisco and also founded Amorelie, which exited to Pro7Sat.1 Media Group. Lacher was previously a founding partner of La Famiglia, an early investor in FreightHub, Coya, Asana Rebel, OnTruck and Personio.

Visionaries Club has now announced a second B2B-focused fund, with a new €150m Seed Fund and €200m ‘Early Growth Fund. It’s so far invested in companies such as Personio, Miro, Choco, Xentral, Truelayer, Vay, Taxdoo, Yokoy, Pigment, Leapsome and Gtmhub, alongside VCs such as Sequoia, Accel, Index, Lightspeed or Bessemer.  

In a statement, Lacher said: “We are extremely proud and humbled that more than 20 of our founder LPs are founders we have backed in the past, that now reinvest their private money into our funds such as Hanno Renner (Personio), Jenny Podewills (Leapsome), Daniel Khachab (Choco), Christian Reber (Pitch / Superlist) or the founders of Taxdoo and Insify.”

The fund essentially operates as a micro-VC fund, which means it can lead, and co-lead Seed investment deals, co-investing alongside larger, multistage VC funds in Early Growth stage (Series B) deals.

It’s also launching the Visionaries Club science-driven ‘Tomorrow Fund’ to back science-driven startups at the Pre-Seed and Seed stage.

Additionally, Sahar Meghani and Marton Sarkadi Nagy have been promoted to Partners.

London-based Meghani will take a lead role in managing the new Growth Fund, while Sarkadi Nagy will take a lead on the seed fund activities.

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