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Ticketmaster faces antitrust scrutiny after Taylor Swift ticket chaos

Ticketmaster is facing more scrutiny from politicians after its chaotic presales for tickets to Taylor Swift’s tour. Tennessee attorney general Jonathan Skrmetti said he is looking into whether Ticketmaster violated consumers’ rights and antitrust regulations. Skrmetti is the latest politician who has called attention to Ticketmaster and Live Nation’s hold on the ticketing market.
This comes as Ticketmaster cancelled its public sales for Swift’s tour, called Eras. In a tweet, Ticketmaster said the cancellation was due to “extraordinarily high demands on ticketing systems and insufficient remaining ticket inventory to meet that demand.”
The public sale would have been for tickets left over from the site’s troubled presales, which started on Tuesday for members of its Verified Fan program. Many fans experienced technical glitches and hours-long wait times, with many ultimately unable to buy a ticket.
According to The New York Times, Ticketmaster said in a now-deleted post that 3.5 million people registered for the Verified Fan program. Around 1.5 million were given a special access code, and the rest were put on a waiting list. “Never before has a Verified Fan on sale sparked so much attention—or uninvited volume,” Ticketmaster said.
Skrmetti said he had received complaints from fans who tried to purchase tickets for Eras. In a tweet on Thursday, the attorney general said that other state attorney generals are also looking into the matter: “Ticketmaster’s decision to cancel sales underscores the important need for accountability. Fans deserve a fair chance to buy a ticket. I’m encouraged by other state AGs who are taking this issue serious as well.”
The Washington Post reports that Skrmetti said Ticketmaster should have been better prepared for the high demand and questioned whether “because they have such a dominant market position, they felt like they didn’t need to worry about that.”
In another tweet before the sale was canceled, the attorney general’s office said Skrmetti “is concerned about consumer complaints related to @Ticketmaster’s pre-sale of @taylorswift13 concert tickets. He and his Consumer Protection team will use every available tool to ensure that no consumer protection laws were violated.”
TechCrunch has contacted Ticketmaster and Skrmetti’s office for comment.
Eras is Swift’s first tour in four years and comes after the release of her new album “Midnights.”
Other politicians have raised concerns over the combined company of Ticketmaster and Live Nation, which merged in 2010, including Representative Alexandria Ocasio-Cortez, Representative David N. Cicilline and Representative Bill Pascrell, Jr.
Representative Ocasio-Cortez said in a tweet on Tuesday that “Ticketmaster is a monopoly, its merger with LiveNation should never have been approved, and they needed to be reigned in. Break them up.”
Representative Cicilline tweeted on Wednesday that Ticketmaster’s “excessive wait times and fees are completely unacceptable, as seen with today’s @taylorswift13 tickets, and are a symptom of a larger problem. It’s no secret that Live Nation-Ticketmaster is an unchecked monopoly.”
And Representative Pascrell, Jr., who was among the millions of fans put on a waitlist for Swift tickets, tweeted “The Ticketmaster-Live Nation monopoly should never have been allowed to merge and must be broken up.”
Consumers are also pushing for a breakup of Ticketmaster and Live Nation. An alliance of consumer rights groups, including antitrust nonprofit American Economic Liberties Project, launched a campaign last month called Break Up Ticketmaster, saying that Ticketmaster’s “market power over live events is ripping off sports and music fans and undermining the vibrancy and independence of the music industry.”
Ticketmaster faces antitrust scrutiny after Taylor Swift ticket chaos by Catherine Shu originally published on TechCrunch
Ticketmaster faces antitrust scrutiny after Taylor Swift ticket chaos

OpenAI begins allowing users to edit faces with DALL-E 2

After initially disabling the capability, OpenAI today announced that customers with access to DALL-E 2 can upload people’s faces to edit them using the AI-powered image-generating system. Previously, OpenAI only allowed users to work with and share photorealistic faces and banned the uploading of any photo that might depict a real person, including photos of prominent celebrities and public figures.
OpenAI claims that improvements to its safety system made the face-editing feature possible by “minimizing the potential of harm” from deepfakes as well as attempts to create sexual, political and violent content. In an email to customers, the company wrote:
Many of you have told us that you miss using DALL-E to dream up outfits and hairstyles on yourselves and edit the backgrounds of family photos. A reconstructive surgeon told us that he’d been using DALL-E to help his patients visualize results. And filmmakers have told us that they want to be able to edit images of scenes with people to help speed up their creative processes … [We] built new detection and response techniques to stop misuse.
The change in policy isn’t opening the floodgates necessarily. OpenAI’s terms of service will continue to prohibit uploading pictures of people without their consent or images that users don’t have the rights to — although it’s not clear how consistent the company’s historically been about enforcing those policies.
In any case, it’ll be a true test of OpenAI’s filtering technology, which some customers in the past have complained about being overzealous and somewhat inaccurate. Deepfakes come in many flavors, from fake vacation photos to presidents of war-torn countries. Accounting for every emerging form of abuse will be a never-ending battle, in some cases with very high stakes.
No doubt, OpenAI — which has the backing of Microsoft and notable VC firms including Khosla Ventures — is eager to avoid the controversy associated with Stability AI’s Stable Diffusion, an image-generating system that’s available in an open source format without any restrictions. As TechCrunch recently wrote about, it didn’t take long before Stable Diffusion — which can also edit face images — was being used by some to create pornographic, nonconsensual deepfakes of celebrities like Emma Watson.
So far, OpenAI has positioned itself as a brand-friendly, buttoned-up alternative to the no-holds-barred Stability AI. And with the constraints around the new face editing feature for DALL-E 2, the company is maintaining the status quo.
DALL-E 2 remains in invite-only beta. In late August, OpenAI announced that over a million people are using the service.
OpenAI begins allowing users to edit faces with DALL-E 2 by Kyle Wiggers originally published on TechCrunch
OpenAI begins allowing users to edit faces with DALL-E 2

Consumers swap period tracking apps in search of increased privacy following Roe v. Wade ruling

Consumers are ditching their current period tracking apps in favor of what they perceive to be safer options in the wake of the Supreme Court’s Roe v. Wade decision that allows individual U.S. states to criminalize abortion. The app switching trend is impacting all manner of period tracking apps, including leading app Flo, which owns a 47% share of the period tracking app market in the U.S., according to data provided by Apptopia. The app may have both lost customers to rival apps while gaining new users from others over the weekend. Other apps are seeing similar trends.
The patterns of app switching indicate consumers are seeking increased privacy, as many of those gaining from this trend are companies that have made public statements in support of strengthened data security and privacy practices. But it’s also clear that consumers don’t necessarily have a good understanding of which apps to trust given that the current beneficiary of this increased switching activity is a potentially problematic app called Stardust, which had yet to implement its new privacy protections at the time it was making promises to users.
As a result of its claims, Stardust saw its daily average downloads increase by as much as 6,000% over the past weekend, Apptopia said. The relative newcomer to the period tracking market drew attention by promoting itself as a small, women-led team that wanted to provide users with a more secure app. Those claims resonated with consumers, driving the app to No. 1 on the App Store on Saturday. But in terms of data security, being a small team is not necessarily an advantage. TechCrunch found various data privacy issues with the version of the app that users downloaded over the weekend, including its sharing of users’ phone numbers with a third party.

Period tracker Stardust surges following Roe reversal, but its privacy claims aren’t airtight

Despite these issues, app intelligence firm Sensor Tower said the app gained 82% of its total 400,000+ lifetime installs this past Saturday through Sunday.
Another top app, Clue, also benefited from consumers seeking alternatives. Apptopia found Clue’s app saw a 2,200% increase in installs over the weekend after it made comments in the press that it won’t divulge sensitive information to states. Sensor Tower reported Clue had also reached its highest-ever rank on Saturday as the No. 15 overall free app on the App Store. It has since dropped to No. 93, which suggests the rank change had been the result of a surge of app switchers.
Image Credits: Clue
Several other apps saw increased installs on Saturday, June 25, too. Compared with the month of June, Glow’s ovulation app saw its average daily downloads jump 21% and its period tracker Eve saw average daily installs increase 83%, Apptopia said. An app called Natural Cycles – Birth Control saw average daily installs rise 53%; another called Period Tracker by GP Apps saw a 17% increase; and the app Femometer saw a 10% increase. Single-digit increases were also seen in apps, including My Calendar – Period Tracker and Ovia Fertility & Cycle Tracker, the firm found.
Finally, leading app Flo moved up slightly on Saturday as a result of the app switching activity. Flo jumped from No. 197 on June 23 before the ruling to No. 187 on Saturday, June 25, Sensor Tower said. It’s now moved up more to No. 180 as of the time of writing. It’s worth noting that Flo’s average daily installs had been on the decline for several months, Apptopia had reported — in part, likely due to news of its 2021 settlement with the FTC over earlier privacy violations. That indicates consumers had been thinking about data privacy well before the Supreme Court ruling.
Image Credits: Flo (opens in a new window)
After the court’s decision on Friday, Flo issued a statement in hopes of stemming the tide of app switchers or those inclined to delete their accounts. It said:
Flo will always stand up for the health of women, and will do everything in its power to protect the data and privacy of our users. To add to our security measures already in place (read more about that here), we will soon be launching a new feature called “Anonymous Mode” – an option that allows users to remove their personal identity from their Flo account. Lastly, Flo will never require a user to log an abortion or offer details that they feel should be kept private, and users can delete their data at any time. We firmly believe that our users deserve complete control over their data and we are here to support our users every step of the way.
Clue also issued a lengthy response to Roe v. Wade on its website, which stressed its adherence to strict European data privacy laws and use of encryption. GP Apps, the maker of Period Tracker, published a strong statement, as well, though its privacy policy indicates that it would comply with legal requests and subpoenas. (However, it noted that consumers can opt to use its account without an online account, which would then only store data locally on the user’s device.) Other companies have published statements on their websites and social media accounts, as well.
But without a deeper analysis of each company’s privacy policy and more sophisticated testing of each app’s privacy and security protections, it’s hard to recommend that the use of any third-party period tracking app is a 100% safe decision at this time, regardless of their statements and claims.
One possible solution to this problem is to simply use Apple’s Health app alone for the time being, where end-to-end encryption of users’ Health records is available through iCloud. Unfortunately, data on Apple’s first-party apps isn’t available, so we’ll never know how many consumers made this choice.

Supreme Court overturns Roe v. Wade: Should you delete your period-tracking app?

Consumers swap period tracking apps in search of increased privacy following Roe v. Wade ruling

Daily Crunch: WhatsApp responds to privacy backlash

WhatsApp delays enforcement of a controversial privacy change, Apple may get rid of the Touch Bar in future MacBooks and Bumble files to go public. This is your Daily Crunch for January 15, 2021.
The big story: WhatsApp responds to privacy backlash
Earlier this month, WhatsApp sent users a notification asking them to consent to sharing some of their personal data — such as phone number and location — with Facebook (which owns WhatsApp). The alert also said users would have to agree to the terms by February 8 if they wanted to continue using the app.

This change prompted legal threats and an investigation from the Turkish government. Now the company is pushing the enforcement date back three months.
“No one will have their account suspended or deleted on February 8. We’re also going to do a lot more to clear up the misinformation around how privacy and security works on WhatsApp,” the company said in a post. “We’ll then go to people gradually to review the policy at their own pace before new business options are available on May 15.”
The tech giants
Uber planning to spin out Postmates’ delivery robot arm — Postmates X is seeking investors in its bid to become a separate company.
Apple said to be planning new 14- and 16-inch MacBook Pros with MagSafe and Apple processors — This could be the end for the Touch Bar.
Amazon’s newest product lets companies build their own Alexa assistant for cars, apps and video games — Yes, that means your next car could have two Alexas.
Startups, funding and venture capital
Bumble files to go public — The company plans to list on the Nasdaq stock exchange, using the ticker symbol “BMBL.”
Tracy Chou launches Block Party to combat online harassment and abuse — Currently available for Twitter, Block Party helps people filter out the content they don’t want to see.
Everlywell raises $75M from HealthQuest Capital following its recent $175M Series D round — Everlywell develops at-home testing kits for a range of health concerns, and it added a COVID-19 home collection test kit last year.
Advice and analysis from Extra Crunch
Fifteen steps to fundraising a new VC or private equity fund — Launching is easy; fundraising is harder.
Lessons from Top Hat’s acquisition spree — The acquisition of Fountainhead Press marks Top Hat’s third purchase of a publishing company in the past 12 months.
Twilio CEO Jeff Lawson says wisdom lies with your developers — Takeaways from Lawson’s new book “Ask Your Developer.”
(Extra Crunch is our membership program, which aims to democratize information about startups. You can sign up here.)
Everything else
Video game spending increased 27% in 2020 — According to the latest figures from NPD, spending on gaming hardware, software and accessories was up 25% in December and 27% for the full year.
DOT evaluated 11 GPS replacements and found only one that worked across use cases —  The government wants to create additional redundancy and resiliency in the sector.
The Daily Crunch is TechCrunch’s roundup of our biggest and most important stories. If you’d like to get this delivered to your inbox every day at around 3pm Pacific, you can subscribe here.

Daily Crunch: WhatsApp responds to privacy backlash

Facebook highlights small businesses as it ramps up Apple criticism

Facebook already made it clear that it isn’t happy about Apple’s upcoming restrictions on app tracking and ad targeting, but the publicity battle entered a new phase today.
Over the summer, Apple announced that beginning in iOS 14, developers will have to ask users for permission in order to use their IDFA identifiers for ad targeting. On one level, it’s simply giving users a choice, but because they’ll have to opt-in to participate, the assumption is that we’ll see a dramatic reduction in app tracking and targeting.
The actual change was delayed until early next year, but in the meantime Facebook suggested that this might mean the end of its Audience Network (which uses Facebook data to target ads on other websites and apps) on iOS.

Then, this morning, Facebook placed print ads in The New York Times, The Wall Street Journal and The Washington Post declaring that it’s “standing up to Apple for small businesses everywhere,” and it published a blog post and website making the same argument.
While it’s easy to see all of this as an attempt to put a more sympathetic face on a PR campaign that’s really just protecting Facebook’s ad business, Dan Levy — the company’s vice president of ads and business products — got on a call with reporters today to argue otherwise.

Image Credits: Facebook

For one thing, he said that with its “diversified” advertising business, Facebook won’t feel the impact as keenly as small businesses, particularly since it already acknowledged potential ad targeting challenges in its most recent earnings report.
“We’ve already been factoring this into our expectations for the business,” he said.
In contrast, Levy said small businesses rely on targeting in order to run efficient advertising campaigns — and because they’ve got small budgets, they need that efficiency. He predicted that if Apple moves forward with its plans, “Small businesses will struggle to stay afloat and many aspiring entrepreneurs may never get off the ground.”
Levy was joined by two small business owners, Monique Wilsondebriano of Charleston Gourmet Burger Company in South Carolina and Hrag Kalebjian of Henry’s House of Coffee in San Francisco. Kalebjian said that while business in the coffee shop is down 40% year-over-year, his online sales have tripled, and he credited targeted Facebook campaigns for allowing him to tell personal stories about his family’s love for Armenian coffee.
Wilsondebriano, meanwhile, said that when she and her husband Chevalo started a business selling their homemade burger marinade, “we did not have the option to run radio ads or TV ads, we just didn’t have a budget for that” — and so they turned to Facebook and Instagram. With the marinade now available in 50 states and 17 countries, Wilsondebriano said, “It makes me sad that if this update happens, so many small businesses won’t get that same opportunity that Cheval and I had.”
Levy also suggested that Apple’s bottom line might benefit from the changes — if developers make less money on ads from Facebook and other platforms, they may need to rely more on subscriptions or in-app transactions (with Apple collecting its much-discussed fee), and they might turn to Apple’s own targeted advertising platform.
A number of ad industry groups have also taken issue with Apple’s policy, with SVP Craig Federighi fighting back in a speech criticizing what he called “outlandish” and “false” claims from the adtech industry. In that speech, Federighi said Apple’s App Tracking Transparency feature is designed “to empower our users to decide when or if they want to allow an app to track them in a way that could be shared across other companies’ apps or websites.”
Update: Apple sent out the following statement.
We believe that this is a simple matter of standing up for our users. Users should know when their data is being collected and shared across other apps and websites — and they should have the choice to allow that or not. App Tracking Transparency in iOS 14 does not require Facebook to change its approach to tracking users and creating targeted advertising, it simply requires they give users a choice.

Facebook isn’t happy about Apple’s upcoming ad tracking restrictions

Facebook highlights small businesses as it ramps up Apple criticism