iCloud News: Daily Crunch - Rackspace is going public again

Friday, July 10, 2020

Friday, July 10, 2020 • By Anthony Ha

We look at Rackspace’s finances, a Facebook code change causes numerous app issues and electric vehicle company Rivian raises $2.5 billion. Here’s your Daily Crunch for July 10, 2020.

The big story: Rackspace is going public again

The cloud computing company first went public in 2008, before accepting a $4.3 billion offer to go private from Apollo Global Management. Rackspace says it will use the proceeds from the IPO to lower its debt load.

Alex Wilhelm took a deep dive into Rackspace’s finances, concluding that the proper valuation is a “puzzle”:

The company is tech-ish, which means it will find some interest. But its slow growth rate, heavy debts and lackluster margins make it hard to pin a fair multiple onto.

The big story: Rackspace is going public again image

Image Credits: TechCrunch

Learn why mobile app protection has become critical

The tech giants

New report outlines potential roadmap for Apple's ARM-based MacBooks — Analyst Ming-Chi Kuo said that a 13.3-inch MacBook powered by Apple’s new processors will arrive in the fourth quarter of this year.

Facebook code change caused outage for Spotify, Pinterest and Waze apps — Looks like Facebook was responsible for some crashing apps this morning.

California reportedly launches antitrust investigation into Google — This makes California the 49th state to launch an antitrust investigation into the search giant, according to Politico.

Startups, funding and venture capital

Rivian raises $2.5 billion as it pushes to bring its electric RT1 pickup, R1S SUV to market — The company plans to bring its electric pickup truck and SUV, as well as delivery vans for Amazon, to market in 2021.

A glint of hope for India's food delivery market as Zomato projects monthly cash burn of less than $1 million — “We’ll only lose $1 million this month” doesn’t feel like a huge accomplishment, but at least things seem to be headed in the right direction.

Startups, funding and venture capital image

Image Credits: Rivian

Advice and analysis from Extra Crunch

How Thor Fridriksson's 'Trivia Royale' earned 2.5 million downloads in 3 weeks — The latest game from the QuizUp founder was (briefly) the top app in the App Store. We talk to Fridriksson about how he did it.

COVID-19 pivot: Travel unicorn Klook sees jump in staycations — With bookings for overseas experiences plummeting, Klook began offering do-it-yourself kits for stay-at-home projects and partnered with landmark sites to offer virtual tours.

Operator Collective brings diversity and inclusion to enterprise investing — The firm, founded last year, said it currently has 130 operator LPs, 90% of them women and 40% of them people of color.

(Reminder: Extra Crunch is our subscription membership program, which aims to democratize information about startups. You can sign up here.)