Daily Tech Snippet: Monday, March 14th

• Modeled After Ants, Team of Just Six Tiny Robots Can Move 2-Ton Car: Archimedes pointed out that with a lever he could move the world. He most likely would have been surprised to learn that a team of six microrobots, weighing just 3.5 ounces in total, could pull a car weighing 3,900 pounds. A group of researchers at the Biomimetics and Dexterous Manipulation Laboratory at Stanford University has been exploring the limits of friction in the design of tiny robots that have the ability to pull thousands of times their weight, wander like gecko lizards on vertical surfaces or mimic bats. Now they have pushed biomimicry in a new direction. They have taken their inspiration from tiny ants that work as teams to move massive objects. In this case, they are not just taking ideas from nature — the movie “Big Hero 6” made a great deal of what swarms of microrobots could do, including tossing cars. The researchers’ approach is counterintuitive. Rather than striking powerful blows like a football player making a tackle or a jackhammer, they have focused on synchronizing the smooth application of very tiny forces. The microrobots work in concert, if slowly. The researchers observed that the ants get great cooperative force by each using three of their six legs simultaneously. Their new demonstration is the functional equivalent of a team of six humans moving a weight equivalent to that of an Eiffel Tower and three Statues of Liberty, Mr. Christensen said. The car is the one he uses for commuting to campus. Part of the magic is the use of a special adhesive that was inspired by gecko toes. 

• India's Micromax, once a rising star, struggles: A year ago, Micromax vaulted past Samsung Electronics Co Ltd to become India's leading smartphone brand. Today, its market share has nearly halved, several top executives have resigned, and the company is looking for growth outside India. In Micromax's slide to second place is a tale of the promise and peril of India's booming but hyper-competitive smartphone industry. India is the world's fastest-growing smartphone market. Shipments of smartphones jumped 29 percent to 103 million units last year. Rapid growth has helped nurture a crop of local brands, led by Micromax, that outsourced production to Chinese manufacturers. Now, as Samsung rolls out more affordable phones, the same Chinese factories are entering the Indian market with their own brands, depressing prices and forcing Indian mobile makers to rethink their strategies. "What the Indian brands did to the global brands two years ago, Chinese phone makers are doing the same to Indian brands now, and over the next year we see tremendous competition for Micromax and other Indian smartphone makers," said Tarun Pathak, analyst at Counterpoint Research in New Delhi. Micromax, which was founded in New Delhi by four partners in 2000 but only began selling mobile phones in 2008, built its market share by working with Chinese manufacturers such as Coolpad, Gionee and Oppo to offer affordable phones quickly. In 2015, it launched more than 40 new models. In 2014, the founders brought in outside managers to lead the company at a time when Micromax was challenging Samsung to become the largest mobile phone maker in India. But tensions arose soon after between founders and the newly hired executives, six former executives told Reuters. These conflicts undermined Micromax's attempts to raise funds for expansion, say former executives. Last May, Alibaba walked away from a mooted $1.2 billion purchase of a 20 percent stake, citing a lack of clarity on growth plans, according to one executive involved in the discussion. Former executives said the lack of fresh funding undermined a proposal by the new executives to move Micromax's research and design operations, which had previously been outsourced, in-house. The move was intended to help Micromax differentiate itself from generic Android clones. "We hired about 80-90 people in Bangalore to do in-house software and design, but with no money from the investors and little interest from the founders, that team fizzled away and that office has been partially shut down now," said a former executive. After Alibaba walked away, Micromax struggled to attract other investors who would have been key to Micromax's plan to invest in software R&D and hardware design. The company was forced to scale down the in-house R&D project, a top executive involved in the fundraising plan said. Meanwhile, Chinese handset makers, including Coolpad and Oppo, to which Micromax outsources its manufacturing, were sharpening their focus on India. Samsung, too, began to introduce more affordable models there. In 2015, Chinese brands doubled their market share to 18 percent, according to Counterpoint Research, taking away business from Indian budget phone makers such as Micromax, Intex, Lava and Karbonn. Indian brands' market share fell from 48 to 43 percent last year.

• How a simple typo helped stop a $1 billion digital bank heist: It was just a few letters off: Someone misspelled "foundation" as "fandation" on an online payment transfer request. But that simple typo helped stop hackers from getting away with a nearly $1 billion digital heist last month, Reuters reports. Hackers broke into the Bangladeshi central bank's computer systems, according to anonymous officials at the financial institution cited by Reuters, stealing the credentials needed to authorize payment transfers. The attackers used the stolen information to ask the Federal Reserve Bank of New York to make massive money transfers -- nearly three dozen of them -- from the Bangladeshi bank's account with the Fed to accounts at other financial institutions overseas. Four transfers to accounts in the Philippines, totaling abut $80 million, worked. But then a fifth request, for $20 million to be sent to an apparently fictitious Sri Lankan nonprofit, was flagged as suspicious by a routing bank due to the "fandation" error. The Bangladesh central bank was able to stop that transaction after the routing bank asked for confirmation. "The Sri Lankan bank did not disburse it immediately, and we could recover the full amount," the central bank told the Financial Times. The requests waiting to be processed -- amounting to a total of between $850 million and $870 million, according to an unnamed official cited by Reuters -- were also halted. So if it weren't for that typo, the attackers may have escaped with an even bigger payday. Bangladesh's finance minister has blamed the incident on the Federal Reserve and said his government will "file a case in the international court against" the financial institution, according to local outlet the Dhaka Tribune. A New York Fed spokesperson denied the accusation, telling The Washington Post in a statement that "there is no evidence of any attempt to penetrate Federal Reserve systems in connection with the payments in question" or that the institution's systems were compromised. According to the spokesperson, the payment instructions were "fully authenticated" using standard methods.

• Top Start-Up Investors Are Betting on Growth, Not Waiting for It: For the last few years, the spotlight in start-up investing has largely shone on those who poured money into a company when it was already well along on a growth path. It turns out that spotlight may have been misdirected. While some investors are throwing giant sums into more mature start-ups like Uber and Airbnb at soaring valuations, it is the venture capitalists who identify a promising company at its infancy and bet on its growth who often come out on top. Known as early-stage investors, they dominate a list of the top 20 venture capitalists worldwide that was recently created by the research firm CB Insights. About three-quarters of the top 20 are investors who put money into start-ups during their early rounds of financing. Only a handful on the list are focused on investing at a later stage in a company’s life. Early-stage investments have accounted for the lion’s share of the venture industry’s gains since 1994, according to Cambridge Associates, a research firm that studied the quarterly financial reports of dozens of venture firms. Since the dot-com boom of the late 1990s, between two-thirds and three-quarters of the industry’s returns have been generated by early-stage investments in any given year. But the value of investing in a company when it is still nascent has been somewhat obscured in recent years as hordes of nontraditional start-up investors — including mutual funds, hedge funds and sovereign wealth funds — have piled into private tech companies, often when those start-ups are already proven growth stories. When Uber raised around $2.1 billion in December, for example, one of its investors was Tiger Global Management, a New York investment firm with a hedge fund component. Rebecca Lynn, a managing director and co-founder of Canvas Ventures who is on the CB Insights list, said early-stage investments generally pay off more because “investors can get more of an ownership stake and you’re also part of the team.” Ms. Lynn, who invested early in the alternative lending platform Lending Club, which went public in 2014, added that “later-stage investing is more like a stock bet. You’re along for the ride.”

• Instacart Gets Red Bull and Doritos to Pay Your Delivery Fees: Online shoppers hate paying delivery fees. So Instacart Inc. is getting Pepsi to foot the bill. The grocery delivery startup is working with General Mills Inc., Nestlé SA, PepsiCo Inc., Unilever NV, and other consumer goods makers to cover the cost of delivery or provide other discounts when customers buy their products. In addition to the coupons, the companies pay Instacart to advertise on its website. Since introducing the program about six months ago, it now accounts for 15 percent of Instacart’s revenue, said Apoorva Mehta, the company’s chief executive officer. Shoppers can find discounts when filling up their carts with brands such as Degree, Doritos, DiGiorno, Häagen-Dazs, Quaker Oats, and Stella Artois. Instacart ads promise free delivery if you spend $10 on Red Bull, or consumers can get 75 cents off any Dove soap. Mehta compares the ads to those offered on the side of Google search results. “It’s like AdWords for groceries,” he said. In its quest to build a profitable business, Instacart is searching for new sources of revenue that won’t turn off shoppers. The company, which was valued at $2 billion by investors last year, had previously made up some of its costs by selling products for more than what the grocery stores charged. Customers complained, and Instacart backtracked. The company recently cut pay for some workers, according to reports this week in Quartz and Re/code. Instacart said it costs much more to deliver an order than the $5.99 it charges shoppers, but customers are unwilling to pay more.

Daily Tech Snippet: Wednesday, March 9

• Apple Ransomware Attack Casts Light on a Booming Shadow Industry: The first widespread ransomware attack on Apple Inc. computers is drawing attention to a growing and lucrative corner of the hacking underworld where attackers encrypt and hold data hostage until they are paid to unlock the information. An estimated 6,500 Macs were infected with malicious software designed to make files inaccessible to owners of desktops and laptops, according to the Transmission Project, a file-sharing software provider. The decision to target Apple’s OS X software, which is both harder to hack and less widespread than Microsoft Corp.’s Windows, underscores how attractive the practice has become, according to Clifford Neuman, who teaches cybersecurity at the University of Southern California. Researchers at Palo Alto Networks Inc. discovered the ransomware, which they dubbed KeRanger, on March 4. Once downloaded and installed, the bug demanded that users pay one bitcoin to decrypt the data, or about $411 at Friday’s prices. The researchers informed Apple, which revoked a certificate that allowed Macs to download the software, and Transmission updated its program to eliminate the infection, according to Ryan Olson, intelligence director at Palo Alto Networks. “The business model is working so well on Windows that, when they had an opportunity to do so on Mac, they did it,” Olson said. “It’s been effective to the tune of hundreds of millions of dollars a year.”

• Lyft is catching up with Uber in New York City: Lyft is gaining momentum in a key market for the company and its more established competitor, Uber. According to figures the company provided to Re/code, Lyft has seen its driver pool grow by a factor of four and has seen six times the number of active weekly riders in New York since May 2015. In February of this year, Lyft drivers in New York performed six times the total number of rides they performed in May 2015, the company said. It’s a clear indicator that New York riders and drivers have warmed up to the pink-mustachioed ride-hailing company despite Uber’s first-mover advantage. The growth in riders is in part a result of the recent fare cuts Lyft implemented across 33 cities, including New York (following Uber’s fare cuts in more than 80 cities), but it also follows the company’s increased investment in its marketing efforts both in terms of staff as well as in promotions and ad buys.

• Amazon Is Launching a Live QVC-Type Show as Part of Push Into Fashion: By some estimates, Amazon could be the No. 1 apparel seller in the U.S. by next year. Now, it’s unveiling a live daily show on Amazon.com to help push that initiative. Called “Style Code Live,” the free 30-minute video show will stream live on Amazon.com each weekday at 9 pm ET. The show will feature fashion and beauty tips and a live chat that the company says will allow viewers to communicate with the hosts. The most Amazon-y piece of the experience, though, will be a product carousel showing viewers the stuff related to the show that they can purchase on Amazon.com. And you have to believe this feature is as much about awareness for Amazon’s clothing-selling business as it is about making direct sales of stuff from the show. It follows last week’s Amazon announcement that it would begin airing a free reality show called “The Fashion Fund,” which documents a competition among up-and-coming fashion designers.

• Subleases spike in number as SF startups downsize: In January, office rents in San Francisco eclipsed those of New York to become the most expensive in the country. Two months later, there are signs the San Francisco may not maintain its dubious position for long. The biggest indicator: There’s suddenly 1.7 million square feet of sublease space available in San Francisco, up more than 50 percent from 1.1 million square feet in November, according to CBRE Group, a commercial real estate services and investment firm. That kind of jump in four months’ time suggests ripple effects from a funding slowdown that stretch beyond a small but growing number of layoffs. If the trend isn’t giving local landlords flashbacks of the late 1990s, it may soon. The Bay Area’s real estate market enjoyed a historically active 2015, with San Francisco accounting for the world’s highest rent growth at 14 percent, according to brokerage Cushman & Wakefield. The last time San Francisco surpassed New York in price per square footage, says CBRE, was 2000, the same year the tech market famously peaked, then abruptly imploded.

Daily Tech Snippet: Tuesday, March 08

• Snapchat Thinks It Will Generate at Least $300 Million in Revenue This Year: Investors are buying into Snapchat’s massive $16 billion valuation because its business is growing significantly. Or at least expected to grow significantly in 2016. Snapchat is targeting between $300 million and $350 million in revenue in 2016, according to multiple sources familiar with the company’s plans. That’s six or seven times the $50 million in revenue Snapchat projected last year. Snapchat’s business is still new and evolving, and advertiser interest is still very experimental. Essentially that means it can be tough to predict incoming revenue with much accuracy, as most advertisers don’t have Snapchat as a staple of their advertising plans. The company hit a $100 million revenue run rate in Q4, according to one source. Advertising is cyclical, and Q4 is usually a strong advertising quarter, but it’s worth noting because the run rate metric gives us a glimpse at how the business is growing. Still, boosting projected revenue like that must mean the businesses is growing at a nice clip. We don’t know if the $16 billion valuation is pegged to this year’s expected revenue, but if it were, that would amount to more than 50 times this year’s sales. Facebook, by comparison, trades at a value of about 17 times its annual revenue.

• Alibaba's Ant Financial could be valued at nearly $60 billion: source Chinese e-commerce giant Alibaba arm, Ant Financial Services Group, is seeking a valuation of nearly $60 billion in its current round of funding, a person familiar with the matter said. Ant Financial, which operates the "Alipay" online payment platform, is in talks to raise funds from existing and new investors, which could include CCB International, the person said on Monday. The Wall Street Journal reported earlier on Monday that Ant Financial planned to raise up to 20 billion yuan ($3.07 billion), pegging its valuation at nearly $50 billion. Ant Financial declined comment on the Journal's story. The latest round of funding is expected to be completed by mid-April, the Journal reported. 

• Tech Companies, New and Old, Clamor to Entice Cloud Computing Experts: The hunt for the hard-to-find talent that can build and run the massive data centers behind cloud computing is pitting three generations of companies against one another. Old-guard companies like Oracle, tech’s current giants like Amazon and its peers, as well as Bay Area start-ups are offering big salaries and big perks for cloud computing experts. On the social media site LinkedIn, for example, there are over 130 engineering positions available at Oracle Seattle. Many of them are the kind of jobs that now pay $300,000 to $1 million a year, according to Shannon Anderson, who has been recruiting engineers in Seattle and the Bay Area for 25 years. Seattle and its surrounding towns are a hot spot for this kind of tech talent because they are home to A.W.S., which runs the biggest cloud computing service, and Microsoft, which has a large cloud business called Azure.Google also has a cloud computing office in the area. So does Facebook.“Someone working deep inside Amazon is getting five to 20 recruiting offers a day,” Ms. Anderson said. “Compensation has doubled in five years.” For a recruiter, who is typically paid a percentage of a star engineer’s compensation, “this is a very good time,” she said. Cloud computing, which powers an increasing number of our devices and services, allows a vast collection of computers — often spread around the world — to operate like one giant machine. As other tech sectors show signs of slowing, cloud services have created unprecedented demand for highly educated engineers and mathematicians who can build and operate these flywheels of data. Instead of asking about the latest computer coding languages or how to make a web page load faster, the most important question in tech hiring has become: Can you handle petabytes? That is the data in about 13 billion images, or roughly the amount of printed information that would fit in 20 million file cabinets. In the Bay Area, $125,000 a year is not an uncommon salary for someone newly out of graduate school with the expertise to do cloud computing work. With five years of experience, $300,000 along with a range of stock or job opportunities that greatly inflate the value of those paychecks have become the norm. “It’s an aggressive market,” said Corey Sanders, director of program management at Microsoft Azure. “We are all data engineers now, and we can convince people that this is the best place to learn that.”

• Prompt debuts “a command line for the real world”: In a world suffering from app overload, the Y Combinator-backed startup Prompt introduces a different way to interact with services, make purchases or even control “Internet of Things” devices — all by way of text-based interface. The application, which can be used via SMS, Slack or the web, lets you text to do things like request an Uber, change the temperature on a Nest thermostat, get directions, track flights or packages and a lot more. 

• How Amazon Shames Warehouse Workers for Alleged Theft: While waiting to clock in each morning, workers at some Amazon.com warehouses get a steady stream of company-provided reading: the stories of co-workers fired for theft. In an effort to discourage stealing, Amazon has put up flatscreen TVs that display examples of alleged on-the-job theft, say 11 of the company’s current and former warehouse workers and antitheft staff. The alleged offenders aren’t identified by name. Each is represented by a black silhouette stamped with the word “terminated” and accompanied by details such as when they stole, what they stole, how much it was worth, and how they got caught—changing an outbound package’s address, for example, or stuffing merchandise in their socks. Some of the silhouettes are marked “arrested.” Theft is a persistent concern for Amazon, with warehouses full of small but valuable items and a workforce with high turnover and low pay. Workers interviewed for this story say the range of thefts posted on the screens is as varied as the company’s sprawling catalog: DVDs, an iPad, jewelry, a lighter, makeup, a microwave, phone cases, Pop Rocks, video games. Several recall a post about an employee fired for stealing a co-worker’s lunch. The digital bulletin boards also occasionally display information about firings related to workplace violence. There are cheerier announcements, too, such as updates on incentive bonuses or a message about Black History Month. In some warehouses that don’t have flatscreens, workers say, tales of firings are posted on sheets of paper tacked to bulletin boards or taped to the wall. Many of the workers say the screens aren’t a top concern compared with wages or workload. “Only people that would have something to say about it is people that’s doing wrong,” says Maurice Jones, a warehouse worker who left Amazon in February. “It’s just letting people know that you’re being watched.”  

• Apple users targeted in first known Mac ransomware campaign: Apple customers were targeted by hackers over the weekend in the first campaign against Macintosh computers using a pernicious type of software known as ransomware, researchers with Palo Alto Networks told Reuters on Sunday. Ransomware, one of the fastest-growing types of cyber threats, encrypts data on infected machines, then typically asks users to pay ransoms in hard-to-trace digital currencies to get an electronic key so they can retrieve their data. Palo Alto Threat Intelligence Director Ryan Olson said the "KeRanger" malware, which appeared on Friday, was the first functioning ransomware attacking Apple's Mac computers. "This is the first one in the wild that is definitely functional, encrypts your files and seeks a ransom," Olson said in a telephone interview. Hackers infected Macs through a tainted copy of a popular program known as Transmission, which is used to transfer data through the BitTorrent peer-to-peer file sharing network, Palo Alto said on a blog posted on Sunday afternoon. 

• FCC cracks down on Verizon Wireless for using ‘supercookies’: The Federal Communications Commission is cracking down on Verizon Wireless for using a powerful type of code to track its customers around the Internet, as the agency pushes to increase its role in protecting online privacy. The code, dubbed a "supercookie" by privacy advocates, is almost impossible to disable and could allow almost anyone to follow users around the Web. Under the terms of a settlement agreement announced Monday, Verizon must pay a $1.35 million fine and will only be able to use the tracking mechanism when users connect to Verizon's corporate family of services unless the company gets customers' opt-in consent. Broader use could leave customers' Web habits visible to outsiders. Verizon began putting a unique string of characters into customers' web browsing in 2012 to help target its advertising program. The practice came to the public's attention in late 2014, when it received criticism from privacy advocates who called the code a "supercookie" because the it was almost impossible for users to avoid. The privacy advocates warned then that other companies, or even intelligence agencies, could leverage the super cookies to track wherever people went online. Verizon downplayed that concern at the time, with a spokesperson saying that the code "wouldn’t be able to be used for that." But last January, researcher Jonathan Mayer revealed evidence that others could hijack the supercookie for their own purposes: An online advertising company called Turn was using the codes to help follow people around online, he said. Turn used the supercookie to "respawn" its traditional cookies -- even if users took steps to protect their privacy by removing the cookies. Turn said it would stop and Verizon started offering a way for customers to opt-out of having the supercookie attached to their web traffic. But the FCC had already launched an investigation of Verizon's use of supercookies in December of 2014  -- and later brought Mayer on board as the chief technologist for the agency's enforcement arm. While the Federal Trade Commission is often thought of as the government's primary privacy watch dog, the FCC's power to police online privacy got a major boost last year. As a quirk of how the agency moved to enforce network neutrality rules, broadband providers will be subject to new privacy scrutiny. The FCC is in the process of coming up with a version of its privacy rules that apply to broadband Internet providers, which are expected soon.

Daily Tech Snippet: Wednesday, April 1

• Amazon unveiled a WiFi-connected gadget called the Amazon Dash Button that allows shoppers to refill orders of household staples with the press of a button. Coverage here, here, here, here, and here: Amazon.com on Tuesday unveiled its latest effort to bring more speed and convenience to online shopping: A WiFi-connected gadget called the Amazon Dash Button that allows shoppers to refill orders of household staples with the press of a button. The adhesive buttons are meant to be hung in convenient places around the home — so, for example, you might stick the Tide-branded button on the washing machine or the Huggies button in the nursery. When it's time to restock that item, you push the button, and Amazon will soon ship it to your doorstep. At launch, the Dash button is only available for a limited number of household staples, such as Cottonelle toilet paper, Bounty paper towels and Glad trash bags. Using the Amazon smartphone app, consumers will configure the button to order exactly what they want — such as a four-pack of Gillette razors or a 12-pack. Dash buttons are free and are available now to Amazon Prime customers on an invitation-only basis. Amazon has been packing more and more perks into its Prime memberships, including same-day or even one-hour delivery and the ability to stream its exclusive TV programming. All of these efforts are aimed at more deeply entwining Amazon with its customers’ everyday lives, and in turn, boosting Amazon’s sales. Amazon has set up the Dash Button system so that it’s difficult to, say, end up with a shipment of 20 bottles of laundry detergent if your toddler discovers the bright orange Tide button and finds it really fun to press. Once a Dash Button is pressed one time, it won’t be able to accept another order until the first one has been delivered. You can also opt to receive notifications of Dash Button orders on your phone and can quickly cancel them, if necessary. The Dash button is a powered by the same technology as Amazon's new Dash Replenishment Service. Appliance and device manufacturers can incorporate DRS technology into their products so that an Internet-connected coffee maker is able to order more beans, or a water filtration pitcher can order more filters. Gadget-makers can use DRS in two different ways: They can make it so that their products include a button that allows the consumer to choose when to place an order, or they can set it up so that orders are filled automatically when something is running low. The first DRS-powered devices will hit stores this fall.

• Jack Ma is in India again and met the Indian PM: Chinese ecommerce giant Alibaba’s Chairman Jack Ma today met Prime Minister Narendra Modi, as he came on a visit to India for the second time in just about four months. In his meeting with Modi here today, Ma discussed how Alibaba can help empower small businesses in India, the ecommerce major said without elaborating further. “Had a very good meeting with Jack Ma,” Modi tweeted.

• Snapdeal buys RupeePower, a financial services marketplace, for an undisclosed sum: Snapdeal.com, has acquired a majority stake in Gurgaon-based digital financial products distribution startup RupeePower for an undisclosed amount, the company said in a statement. Post the acquisition, Snapdeal will offer its customers a financial services marketplace. The marketplace will include a wide range of financial services like personal loans, educational loans, credit cards, auto loans, home loans and extended warranties, etc. Financial services companies will be able to leverage Snapdeal’s nationwide reach across more than 5,000 towns and cities. Founded in 2011, RupeePower matches borrowers and lenders in the retail loans space for products like credit cards, personal loans, home loans, auto loans, and consumer loans. Customers are shown the best loan and card offers for comparison and matched with the bank’s criteria. The service is free for customers and the company gets paid by the financial institution upon loan disbursal. The company claims to have enabled Rs 1,500 crore of credit disbursal through its platform in the current financial year. Snapdeal.com is on a buying spree. Earlier this month, the company bought a minority stake in logistics firm QuickDel Logistics Pvt Ltd, which runs operations under the GoJavas brand. GoJavas was previously a part of Jabong, a lifestyle e-tailer incubated by Rocket Internet. Before that, it had acquired Indian designer wear and accessories e-tailer Exclusively.com (formerly Exclusively.in) for an undisclosed amount. In January 2015, Snapdeal picked up a stake in Smartprix Web Pvt Ltd, which runs online product and price comparison site Smartprix. The e-commerce firm is also expected to close the acquisition of online mobile recharge platform Freecharge for $450 million (Rs 2,800 crore). This is being regarded as the biggest deal in India’s consumer internet industry.

• After a spectacular start, Apple Pay is beset with problems; survey finds 2/3 of users reported problems: Apple Inc.’s new mobile-payment system is failing to capture all of its potential business, according to a survey, with two-thirds of users reporting problems using the service at the checkout counter.While 66 percent of iPhone 6 and 6 Plus owners surveyed had signed up for Apple Pay, repeat usage is being hurt, the study by Phoenix Marketing International said. Almost half of users visited a store listed as an Apple Pay merchant only to find they couldn’t use the service because the location wasn’t actually accepting the system or wasn’t ready to do so, according to the survey, which drew about 3,000 respondents. “They’ve created demand, but it can’t be fulfilled,” Greg Weed, Phoenix’s director of card research, said in an interview. “To make it more difficult to use or to create any uncertainty in your customer base as to whether it’s going to work is just going to slow it down.” Chief Executive Officer Tim Cook is relying on the new system to help expand Apple’s reach by offering new services for iPhone users. The biggest U.S. banks and credit-card networks are using Apple Pay to help accelerate U.S. adoption of mobile payments and keep in control of their transactions. At stake is a market that’s likely to process $67 billion worth of sales this year, according to Forrester Research. Apple declined to comment on the survey, which was conducted at the end of February, four months after Apple Pay was introduced. Apple Pay, which uses short-range wireless signals known as near-field communication, essentially turns an iPhone 6 or 6 Plus into a digital wallet. The system works only at stores that have upgraded their cash registers to accept chip-embedded credit cards. It’s now supported by 2,500 banks in the U.S. and about 700,000 locations accept it, Cook said this month. “It’s gotten off to the most amazing start,” Cook said at an event to unveil features of the company’s Apple Watch. Samsung Electronics Co. earlier this month unveiled its own mobile-transaction system, Samsung Pay, which will be available in the third quarter in the U.S. and South Korea. The technology works at checkout terminals that use older, magnetic-stripe technology, as well as NFC. Google Inc., which already has a mobile wallet, has also said it plans to expand in the business and is working on a new service called Android Pay. The average Apple Pay user made 2.6 in-store transactions using the system in its first four months, the survey by Rhinebeck, New York-based Phoenix found. Almost half used it to purchase something inside an Apple store, while almost a third used it at Macy’s Inc. Thirty-six percent of Apple Pay customers used it at McDonald’s Corp. The majority of people who used Apple Pay said they did so because it was faster than a traditional credit card. Almost 60 percent they were using it because “it’s new, stylish or cool,” while 58 percent said they thought it was safer than a normal credit card. About half of users said it was good for medium-sized purchases. Of the problems that occurred at merchants, 48 percent of those surveyed said it took too long to record the transaction, while 42 percent said the cashier was unfamiliar with Apple Pay and unable to help. Other complaints included transactions that incorrectly posted, or were counted twice. The complaints are just some of the challenges Apple faces as it brings out a new payment system. Apple Pay has also been hit by fraud. Some banks have made changes in how they activate customers’ credit-card accounts after reports that criminals were typing stolen credit-card numbers into Apple Pay and trying to make purchases with their iPhones. Some issuers have found that up to 8 percent of Apple Pay transactions were fraudulent, compared with 0.1 percent on traditional payments cards, said Julie Conroy, an analyst at Aite Group.

• Ubiquity of Malware: Google Says 5% Of Visitors To Its Sites Have Ad Injectors Installed: According to a study Google conducted with researchers at the University of California, Berkeley, 5 percent of people visiting Google’s sites and services now have at least one ad injector installed. When it comes to malware, ad injectors may seem relatively benevolent at first. They put an ad on your Google Search page that didn’t belong there, for example. That’s annoying, but doesn’t seem dangerous. But ad injection was pretty much what Lenovo’s Superfish was doing and that created plenty of security issues for users. Indeed, the research, which is based on the analysis of 100 million pageviews across Google’s sites from Chrome, Firefox and Internet Explorer, classified about a third of these injectors as “outright malware.” Given that these kinds of ad injectors are often bundles with legitimate software — and desktop developers and download sites often see them as a relatively easy way to make a bit of extra money with their installers and download wrappers — it’s easy enough to install one of them inadvertently. Google and the Berkeley researchers found that ad injectors are now available on all major platforms and browsers. Out of those 5 percent of users that have at least one installed, one-third actually had four of them running simultaneously and half were running two. Clearly, there is a group of users that is a bit more prone to catching one of these than others Google says it has already banned 192 Chrome extensions that affected 14 million users based on this research and it is now using the same techniques the researchers used to scan all new and updated extensions in the Chrome Web Store. Google’s advertising and browser extension policies pretty much ban deceptive ad injectors — as do most other ad networks — but most of the companies that build them aren’t exactly about following the rules. It’s also worth noting that ad networks often also don’t know that their ads are being used in this way. Unless Google and other browser and advertising vendors find a technical solution to this problem, chances are it’ll never fully go away.

• GoDaddy Said to Price I.P.O. Above Expected Range: Nearly four years ago, GoDaddy was an Internet registration company with a history of risqué advertising. Now, as it prepares for new life on the public stock markets, the company is eager to let everyone know that it does a lot more than register website addresses — and doesn’t rely on racy commercials with scantily clad spokeswomen, either. That new vision of GoDaddy appeared to resonate with investors. The company raised $440 million after pricing its initial public offering at $20 a share late Tuesday, above its expected range of $17 to $19 a share, according to a person close to the transaction. At that price, the company has a market value of just more than $3 billion. Under the ownership of the investment firms that bought the company in 2011 for about $2.25 billion — Silver Lake, Kohlberg Kravis Roberts and Technology Crossover Ventures — GoDaddy has sought to transcend its long-established roots and promote itself as the guide to the Internet for small business. That is a much bigger vision than the one the company had when it was founded in 1997 by Bob Parsons as a way for customers to register domain names and host websites. Eventually, it became the biggest Internet registrar, thanks in large part to Mr. Parsons’s unabashedly attention-seeking advertising, which frequently revolved around spokeswomen like the racecar driver Danica Patrick. Among GoDaddy’s most familiar tactics was creating versions of Super Bowl commercials that would never be shown on broadcast television. After the company’s new owners took over, the business tried to change its tone along with its business model. The private equity firms brought in Blake Irving, a former chief product officer at Yahoo, to help transform GoDaddy into what it described in its I.P.O. prospectus as “a leading technology provider to small businesses.” Internet site registration remains GoDaddy’s biggest source of revenue, accounting for just more than half of its sales last year. According to the prospectus, the company now oversees 59 million domains, or about 21 percent of those worldwide. Website hosting services and tools, a natural complement to the domain business, made up 39 percent of its bookings last year. The company believes it still has room to grow in its main market. A study it commissioned found that more than 50 percent of American small businesses did not have a website as of early 2013. But GoDaddy has also become one of the biggest resellers of Microsoft’s Office 365 suite of productivity and email services, with that operation making up about 10 percent of its sales last year. GoDaddy has also expanded abroad, going from one English-language website to an array of offerings in 37 countries and 17 languages. About one-quarter of its revenue now comes from international business. Over all, the company’s sales have climbed consistently in the last three years, up to nearly $1.4 billion in 2014. It lost $143.3 million during that period, according to generally accepted accounting principles, though the company points to what it calls adjusted earnings before interest, taxes, depreciation and amortization, which strips out certain accounting charges. Using that measurement, GoDaddy earned $271.5 million.