Ron Conway steps back as Y Combinator cuts team funding

Superstar angel investor Ron Conway will no longer be part of the team of investors giving money to the dozens of startups taking part each year in Y Combinator, one of the world's most prestigious incubators.

Y Combinator said today that it is sharply reducing the amount of venture funding each startup coming through the program is given. For the last two years, each team was seeded with $150,000 in funding from Conway, of SV Angel, Yuri Milner, and Andreessen Horowitz. Starting today, that amount has been slashed to $80,000 per team, the incubator said, as it … Read more

NYC's Silicon Alley badly trails Silicon Valley in startup influence

With the success of companies like Tumblr, Foursquare, and Kickstarter, New York's startup scene has gotten a lot of attention recently.

But despite the influence of those outfits and venture capitalists like Union Square Ventures' Fred Wilson, the Big Apple is a backwater when it comes to the world startup scene, according to a new report from the Startup Genome project.

In the study, New York City came in as just the fifth-ranked startup ecosystem in the world, trailing Silicon Valley, Israel's Tel Aviv, Los Angeles, and Seattle.

To come up with its rankings, the Startup Genome -- … Read more

Friendster founder raises $1.7M for social startup Nuzzel

A decade after his startup Friendster paved the way for online social networks, Jonathan Abrams is back with a new social project. And as of today, he has some high-profile investors supporting his plan.

Nuzzel, a startup that collects all the most-shared links in your Facebook and Twitter feeds and presents them in a clean, easy-to-read format, raised $1.7 million in seed funding from investors including 500 Startups' Dave McClure, "The Lean Startup" author Eric Ries, Slide's Max Levchin, Andreessen Horowitz's Ronny Conway, and the Founders Den's Zachary Bogue, who is also the husband … Read more

Nest 2.0: Slimmer, sleeker thermostat smarter than ever

When the "Father of the iPod" Tony Fadell unveiled Nest, the "learning thermostat" last fall, it was likely the first time anyone had ever thought of a thermostat as sexy.

Now, less than a year after the first version of the product arrived, bringing Apple style design and user interfaces to what had traditionally been one of the most staid home appliances, Fadell's Palo Alto, Calif.-based company today announced Nest 2.0, a slimmer version of the thermostat that was built to work in more homes and brings new flexibility and features to the … Read more

Pulling back from open source hardware, MakerBot angers some adherents

You likely know MakerBot Industries as the poster child for the new era of 3D-printing. You might not know that, until last week, the company and its CEO, Bre Pettis, were considered shining lights in the open-source hardware movement.

Think of open-source hardware, OSHW, as the physical equivalent of open source software. The Open Source Hardware Association, founded just this past March, offers an extended definition for OSHW. Its Statement of Principles sums things up thusly:

Open source hardware is hardware whose design is made publicly available so that anyone can study, modify, distribute, make, and sell the design or … Read more

AOL squatter launches his company -- no hiding out required

If ever there was someone with an entrepreneurial spirit, it's Eric Simons, known to many as the AOL squatter.

As CNET was first to report, Simons spent two months last year living surreptitiously at AOL's Palo Alto, Calif., offices, surviving on the company's kitchen fare, using its gym and locker room, and sleeping on its couches. All while working long days building a startup as part of an education-based incubator that had its offices in AOL's building. Until he was caught by AOL security and thrown out of the building, that is.

At the time, Simons' … Read more

Internet radio, Fuzz style: Where humans upstage the algorithms

Any entrepreneur taking a crack at a digital music startup must either be super determined, completely crazy, or a both. The chances of legal run-ins with the labels are high. And even when you play by the rules, the rights payments are so steep that making a profitable business is all but impossible.

Yet this isn't deterring Jeff Yasuda, a 40-year-old venture capitalist turned entrepreneur who's been doggedly running music startups since 2006. His latest, Fuzz (the same name as his first startup), comes out of stealth mode today after a year of building a team -- one … Read more

Square's Jack Dorsey to tech founders: Question everything

SAN FRANCISCO -- Square and Twitter founder Jack Dorsey said today that founders must be willing to accept new ideas -- which can come from anywhere -- if they want their companies to evolve and to keep disrupting existing industries.

Opening his keynote address at TechCrunch Disrupt here today, Dorsey noted that he didn't grow up wanting to be an entrepreneur. Now that he's helped start two of the most important companies in Silicon Valley, though, Dorsey said he wanted to share some of the lessons he's learned during his career, ideas that he clearly thinks can … Read more

Entrepreneur sees tech startup potential in Arab world

In a region plagued by religious tensions and violent political strife, Silicon Valley entrepreneur Nima Adelkhani sees economic opportunity.

Through Progress in Technology Middle East, a company that launches today, Adelkhani plans to connect startups in the Arab world with the American technology industry's movers and shakers, part of a larger plan to help a fledgling ecosystem grow and foster stability in the area.

But let's be clear -- Adelkhani doesn't see any of the 27 businesses he is working with as charity cases. These are ideas that bring him goosebumps because he believes they are original … Read more