Igloo raises $8.2M to bring insurance to more people in Southeast Asia

Singapore-based Igloo, formerly known as Axinan, has raised $8.2 million as the insurance-tech startup looks to broaden its foothold in half a dozen Southeast Asian markets and Australia.

InVent, a corporate venture capital arm of telecommunications firm Intouch Holdings, led Igloo’s extended Series A round, the startup told TechCrunch. Existing investors Openspace Ventures, a venture capital fund that invests in Southeast Asia, and Linear Capital, a Shanghai-based early-stage venture capital firm focusing on tech-driven startups, participated in this round, which makes four-year-old Igloo’s to-date raise to $16 million. It raised about $1 million in its Seed financing round.

Igloo — founded by Wei Zhu, who previously served as Chief Technology Officer at Grab — works with e-commerce and travel firms such as Lazada, RedDoorz, and Shopee in Southeast Asia to offer their customers insurance products that provide protection on electronics, and coverage on accidents and travel.

The startup, which also operates in Vietnam, Philippines, Thailand, Singapore, Indonesia, and Malaysia, said more than 15 million users have benefitted from its insurance products to date, and in the last one year it has processed more than 50 million transactions.

Igloo, which rebranded from Axinan this month, said insurance products are proving especially useful to — and popular among — people during the coronavirus outbreak.

Raunak Mehta, Chief Commercial Officer at Igloo, told TechCrunch that the startup has seen a surge in transactions and customer acquisitions in the last 45 days. “While some travel related business have seen a dip, the larger e-commerce business continues to see a surge,” he added.

“With COVID-19 impacting every facet of personal life and business, digitisation can help the world adjust to the new normal. This is especially apparent in insurance, where we can tap on digital channels for distribution and also for creating awareness,” said Zhu.

“We see that digital insurance is on the rise in Southeast Asia, and we believe that Igloo, with our digital-first approach and expansion of our product portfolio into personal health, accident and other related products can help fill those gaps and address consumers’ needs for personal well-being,” he added.

He said the digital insurance penetration remains low in Southeast Asia, and Igloo sees massive opportunity in the space. According to one estimate (PDF), Southeast Asia’s digital insurance market is currently valued at $2 billion and is expected to grow to $8 billion by 2025.

The startup, which competes with a handful of startups including Singapore Life and Saphron, will use the fresh capital to expand its business development and engineering teams and broaden its presence in the half-dozen markets. It is already engaging with telecom operators, banks, non-banking financial firms, and travel agencies, it said.

Filipino live streaming app Kumu raises $5 million Series A led by Openspace Ventures

Kumu Holdings, a live streaming startup based in the Philippines, announced today it has raised about $5 million in Series A funding, earmarked for new features and growing its operations.

The round was led by Openspace Ventures, an early investor in Go-Jek, with participation from Kickstart Ventures, media conglomerate ABS-CBN, Gobi-Core Philippine Fund, and returning investors Summit Media and Foxmont Capital Partners.

With much of the country under COVID-19 lockdown or curfew orders, Kumu says usage of media and entertainment apps has increased. To address demand, the startup has launched new features over the past month to allow organizations like churches and industry groups to hold online events.

Kumu says it now has three million registered users and about 25,000 live streams broadcast each day, with average daily usage of about one hour.

Founded two years ago by Roland Ros and Rexy Josh Dorado, Kumu aspires to be a “super app” for Filipinos around the world, integrating live streaming, video chats and gaming, with plans to add online payments and e-commerce functions, too. Kumu’s upcoming features include a live commerce platform that allows users to buy items during live streams, giving content creators an additional source of revenue.

UK researchers develop new low-cost, rapid COVID-19 test that could even be used at home

A new type of test developed by UK researchers from the Brunel University London, Lancaster University and the University of Surrey can provide COVID-19 detection in as little as 30 minutes, using hand-held hardware that costs as little as £100 (around $120 USD) with individual swab sample kits that cost around $5 per person. The test is based on existing technology that has been used in the Philippines for testing viral spread in chickens, but it’s been adapted by researchers for use with COVID-19 in humans, and the team is now working on ramping mass production.

This test would obviously need approval by local health regulatory bodies like the FDA before it goes into active use in any specific geography, but the researchers behind the project are “confident it will respond well,” and say they could even make it available for use “within a few weeks.” The hardware itself is battery-operated and connects to a smartphone application to display diagnostic results and works with nasal or throat swabs, without requiring that samples be round-tripped to a lab.

There are other tests already approved for use that use similar methods for on-site testing, including kits and machines from Cepheid and Mesa Biotech. These require expensive dedicated table-top micro-labs, however, which is installed in dedicated healthcare facilities including hospitals. This test from UK scientists has the advantage of running on inexpensive hardware, with testing capabilities for up to six people at once, which can be deployed in doctor’s offices, hospitals and even potentially workplaces and homes for truly widespread, accessible testing.

Some frontline, rapid results tests are already in use in the EU and China, but these are generally serological tests that rely on the presence of antibodies, whereas this group’s diagnostics are molecular, so it can detect the presence of viral DNA even before antibodies are present. This equipment could even potentially be used to detect the virus in asymptomatic individuals who are self-isolating at home, the group notes, which would go a long way to scoping out the portion of the population that’s not currently a priority for other testing methods, but that could provide valuable insight into the true extend of silent, community-based transmission of the coronavirus.

Voter manipulation on social media now a global problem, report finds

New research by the Oxford Internet Institute has found that social media manipulation is getting worse, with rising numbers of governments and political parties making cynical use of social media algorithms, automation and big data to manipulate public opinion at scale — with hugely worrying implications for democracy.

The report found that computational propaganda and social media manipulation have proliferated massively in recently years — now prevalent in more than double the number of countries (70) vs two years ago (28). An increase of 150%.

The research suggests that the spreading of fake news and toxic narratives has become the dysfunctional new ‘normal’ for political actors across the globe, thanks to social media’s global reach.

“Although propaganda has always been a part of political discourse, the deep and wide-ranging scope of these campaigns raise critical public interest concerns,” the report warns.

The researchers go on to dub the global uptake of computational propaganda tools and techniques a “critical threat” to democracies.

“The use of computational propaganda to shape public attitudes via social media has become mainstream, extending far beyond the actions of a few bad actors,” they add. “In an information environment characterized by high volumes of information and limited levels of user attention and trust, the tools and techniques of computational propaganda are becoming a common – and arguably essential – part of digital campaigning and public diplomacy.”

Techniques the researchers found being deployed by governments and political parties to spread political propaganda include the use of bots to amplify hate speech or other forms of manipulated content; the illegal harvesting of data or micro-targeting; and the use of armies of ‘trolls’ to bully or harass political dissidents or journalists online.

The researchers looked at computational propaganda activity in 70 countries around the world — including the US, the UK, Germany, China, Russia, India, Pakistan, Kenya, Rwanda, South Africa, Argentina, Brazil and Australia (see the end of this article for the full list) — finding organized social media manipulation in all of them.

So next time Facebook puts out another press release detailing a bit of “coordinated inauthentic behavior” it claims to have found and removed from its platform, it’s important to put it in context of the bigger picture. And the picture painted by this report suggests that such small-scale, selective discloses of propaganda-quashing successes sum to misleading Facebook PR vs the sheer scale of the problem.

The problem is massive, global and largely taking place through Facebook’s funnel, per the report.

Facebook remains the platform of choice for social media manipulation — with researchers finding evidence of formally organised political disops campaigns on its platform taking place in 56 countries.

We reached out to Facebook for a response to the report and the company sent us a laundry list of steps it says it’s been taking to combat election interference and coordinated inauthentic activity — including in areas such as voter suppression, political ad transparency and industry-civil society partnerships.

But it did not offer any explanation why all this apparent effort (just its summary of what it’s been doing exceeds 1,600 words) has so spectacularly failed to stem the rising tide of political fakes being amplified via Facebook.

Instead it sent us this statement: “Helping show people accurate information and protecting against harm is a major priority for us. We’ve developed smarter tools, greater transparency, and stronger partnerships to better identify emerging threats, stop bad actors, and reduce the spread of misinformation on Facebook, Instagram and WhatsApp. We also know that this work is never finished and we can’t do this alone. That’s why we are working with policymakers, academics, and outside experts to make sure we continue to improve.”

We followed up to ask why all its efforts have so far failed to reduce fake activity on its platform and will update this report with any response.

Returning to the report, the researchers say China has entered the global disinformation fray in a big way — using social media platforms to target international audiences with disinformation, something the country has long directed at its domestic population of course.

The report describes China as “a major player in the global disinformation order”.

It also warns that the use of computational propaganda techniques combined with tech-enabled surveillance is providing authoritarian regimes around the world with the means to extend their control of citizens’ lives.

“The co-option of social media technologies provides authoritarian regimes with a powerful tool to shape public discussions and spread propaganda online, while simultaneously surveilling, censoring, and restricting digital public spaces,” the researchers write.

Other key findings from the report include that both democracies and authoritarian states are making (il)liberal use of computational propaganda tools and techniques.

Per the report:

  • In 45 democracies, politicians and political parties “have used computational propaganda tools by amassing fake followers or spreading manipulated media to garner voter support”
  • In 26 authoritarian states, government entities “have used computational propaganda as a tool of information control to suppress public opinion and press freedom, discredit criticism and oppositional voices, and drown out political dissent”

The report also identifies seven “sophisticated state actors” — China, India, Iran, Pakistan, Russia, Saudi Arabia and Venezuela — using what it calls “cyber troops” (aka dedicated online workers whose job is to use computational propaganda tools to manipulate public opinion) to run foreign influence campaigns.

Foreign influence operations — which includes election interference — were found by the researchers to primarily be taking place on Facebook and Twitter.

We’ve reached out to Twitter for comment and will update this article with any response.

A year ago, when Twitter CEO Jack Dorsey was questioned by the Senate Intelligence Committee, he said it was considering labelling bot accounts on its platform — agreeing that “more context” around tweets and accounts would be a good thing, while also arguing that identifying automation that’s scripted to look like a human is difficult.

Instead of adding a ‘bot or not’ label, Twitter has just launched a ‘hide replies’ feature — which lets users screen individual replies to their tweets (requiring an affirmative action from viewers to unhide and be able to view any hidden replies). Twitter says this is intended at increasing civility on the platform. But there have been concerns the feature could be abused to help propaganda spreaders — i.e. by allowing them to suppress replies that debunk their junk.

The Oxford Internet Institute researchers found bot accounts are very widely used to spread political propaganda (80% of countries studied used them). However the use of human agents was even more prevalent (87% of countries).

Bot-human blended accounts, which combine automation with human curation in an attempt to fly under the BS detector radar, were much rarer: Identified in 11% of countries.

While hacked or stolen accounts were found being used in just 7% of countries.

In another key finding from the report, the researchers identified 25 countries working with private companies or strategic communications firms offering a computational propaganda as a service, noting that: “In some cases, like in Azerbaijan, Israel, Russia, Tajikistan, Uzbekistan, student or youth groups are hired by government agencies to use computational propaganda.”

Commenting on the report in a statement, professor Philip Howard, director of the Oxford Internet Institute, said: “The manipulation of public opinion over social media remains a critical threat to democracy, as computational propaganda becomes a pervasive part of everyday life. Government agencies and political parties around the world are using social media to spread disinformation and other forms of manipulated media. Although propaganda has always been a part of politics, the wide-ranging scope of these campaigns raises critical concerns for modern democracy.”

Samantha Bradshaw, researcher and lead author of the report, added: “The affordances of social networking technologies — algorithms, automation and big data — vastly changes the scale, scope, and precision of how information is transmitted in the digital age. Although social media was once heralded as a force for freedom and democracy, it has increasingly come under scrutiny for its role in amplifying disinformation, inciting violence, and lowering trust in the media and democratic institutions.”

Other findings from the report include that:

  • 52 countries used “disinformation and media manipulation” to mislead users
  • 47 countries used state sponsored trolls to attack political opponents or activists, up from 27 last year

Which backs up the widespread sense in some Western democracies that political discourse has been getting less truthful and more toxic for a number of years — given tactics that amplify disinformation and target harassment at political opponents are indeed thriving on social media, per the report.

Despite finding an alarming rise in the number of government actors across the globe who are misappropriating powerful social media platforms and other tech tools to influence public attitudes and try to disrupt elections, Howard said the researchers remain optimistic that social media can be “a force for good” — by “creating a space for public deliberation and democracy to flourish”.

“A strong democracy requires access to high quality information and an ability for citizens to come together to debate, discuss, deliberate, empathise and make concessions,” he said.

Clearly, though, there’s a stark risk of high quality information being drowned out by the tsunami of BS that’s being paid for by self-interested political actors. It’s also of course much cheaper to produce BS political propaganda than carry out investigative journalism.

Democracy needs a free press to function but the press itself is also under assault from online ad giants that have disrupted its business model by being able to spread and monetize any old junk content. If you want a perfect storm hammering democracy this most certainly is it.

It’s therefore imperative for democratic states to arm their citizens with education and awareness to enable them to think critically about the junk being pushed at them online. But as we’ve said before, there are no shortcuts to universal education.

Meanwhile regulation of social media platforms and/or the use of powerful computational tools and techniques for political purposes simply isn’t there. So there’s no hard check on voter manipulation.

Lawmakers have failed to keep up with the tech-fuelled times. Perhaps unsurprisingly, given how many political parties have their own hands in the data and ad-targeting cookie jar. (Concerned citizens are advised to practise good digital privacy hygiene to fight back against undemocratic attempts to hack public opinion. More privacy tips here.)

The researchers say their 2019 report, which is based on research work carried out between 2018 and 2019, draws upon a four-step methodology to identify evidence of globally organised manipulation campaigns — including a systematic content analysis of news articles on cyber troop activity and a secondary literature review of public archives and scientific reports, generating country specific case studies and expert consultations.

Here’s the full list of countries studied:

Angola, Argentina, Armenia, Australia, Austria, Azerbaijan, Bahrain, Bosnia & Herzegovina, Brazil, Cambodia, China, Colombia, Croatia, Cuba, Czech Republic, Ecuador, Egypt, Eritrea, Ethiopia, Georgia, Germany, Greece, Honduras, Guatemala, Hungary, India, Indonesia, Iran, Israel, Italy, Kazakhstan, Kenya, Kyrgyzstan, Macedonia, Malaysia, Malta, Mexico, Moldova, Myanmar, Netherlands, Nigeria, North Korea, Pakistan, Philippines, Poland, Qatar, Russia, Rwanda, Saudi Arabia, Serbia, South Africa, South Korea, Spain, Sri Lanka, Sweden, Syria, Taiwan, Tajikistan, Thailand, Tunisia, Turkey, Ukraine, United Arab Emirates, United Kingdom, United States, Uzbekistan, Venezuela, Vietnam, and Zimbabwe.

Manila-based payments processing startup PayMongo raises $2.7 million in seed funding

Manila-based financial tech startup PayMongo has raised $2.7 million in seed funding to give merchants in the Philippines and other Southeast Asian markets simple ways to set up online payments. Investors included Founders Fund, Peter Thiel and Stripe, with participation from Y Combinator (PayMongo is the first Philippine fintech company it has funded), Global Founders Capital, Soma Capital, Tinder co-founder Justin Mateen and other angel investors.

PayMongo was launched in June by a founding team that includes CEO Francis Plaza, COO Edwin Lacierda, CTO Jamie Hing and chief growth officer Luis Sia. Since then, more than 1,000 businesses have started using its platform and the startup says its total transaction value processed is growing at an average of 117% week over week. PayMongo’s seed round will be used for hiring, product development, business acquisitions and strategic partnerships.

paymongo founders

PayMongo founders

The startup will focus on the Philippines first, where the country’s central bank has set a target of increasing the rate of cashless payments to 20%. Plaza says PayMongo’s goal is to become the largest payment service provider in the country before expanding to other markets in Southeast Asia.

Prior to launching PayMongo, its team spent several years working on other projects. During that time, they realized payments were the hardest feature to integrate into products and services. Even though the Philippines’ Internet economy is growing quickly (a report from Google expects it to increase from $5 billion in 2018 to $21 billion by 2025) and more people are using e-commerce, online payments have lagged behind the rest of the world, Plaza says.

“When you want to launch something online for a payment gateway, you have to deal with banks and many different financial institutions. It takes months, we tried it ourselves, from negotiating rates to submitting paperwork. It takes a long time, and then in the end you are charged high fees,” he tells TechCrunch.

Even after businesses finish dealing with banks, they need to figure out payment gateways that are often difficult for people with little tech experience to start using.

PayMongo has already partnered with several financial institutions and its technology, including a payments API that Plaza says can be set up in minutes, is designed to be user friendly. Since many online merchants in the Philippines sell through social media platforms and messaging apps, like Facebook, Instagram, Viber and WhatsApp, PayMongo also provides customizable payment links that they can send to customers.

The credit card penetration rate in the Philippines is only about 6%, Plaza says, so PayMongo also supports e-wallets like GCash and PayMaya and services that allow people to pay for online purchases in cash at convenience stores. PayMongo’s products for micro-entrepreneurs, like freelancers and people who sell items through social media, help it differentiate from competitors like Paynamics, Dragonpay and PesoPay that typically focus on serving larger businesses (though Plaza says PayMongo has also been adopted by large retail chains).

In a statement, Y Combinator partner Kevin Hale said “At YC, we love companies who build services that empower startups. We believe PayMongo will provide the infrastructure that is needed for more Filipinos to become founders who are in charge of their own destiny.”

The cyber libel trial against independent news startup Rappler’s CEO and one of its former writers starts in Manila

The cyber libel trial against Maria Ressa, the CEO and executive editor of independent media startup Rappler, started today in Manila, in a case that will be closely watched because of its implications for press freedom in the Philippines. Also on trial is Reynaldo Santos Jr, a former researcher and writer for the site. If convicted, both potentially face years in jail.

Before co-founding Rappler, Ressa, a Time Magazine Person of the Year for her work exposing corruption and fighting misinformation, served as CNN’s bureau chief in Manila and then Jakarta. Ressa is an outspoken critic of the Philippine’s president, Rodrigo Duterte, and Rappler has often reported critically on Duterte’s administration. In turn, Duterte has accused Rappler of being funded by the CIA and publishing fake news.

Both Ressa and Santos were arrested earlier this year on cyber libel security charges for an article published in 2012 that reported on the alleged ties between Supreme Court Justice Renato Corona, who was impeached in 2011, and wealthy businessmen including Wilfredo Keng. Keng filed the cyber libel complaint against Ressa and Santos in 2017.

The five year gap between the publication of the article and Keng’s complaint is an important issue in the trial, because there is usually only a one-year prescriptive period for ordinary libel in the Philippines’ penal code. In order to charge Ressa and Santos, the Department of Justice extended that period to 12 years for cyber libel, which Rappler counsel J.J. Disini has argued could impact constitutionally-protected rights.

Prior to Ressa’s arrest, Rappler’s registration was revoked by the Philippines’ Securities and Exchange Commission, for allegedly breaking a law that prohibits overseas ownership of media companies, though Rappler said its investors, including Omidyar Network and North Bridge Media, used Philippine Depositary Receipts, which do not give voting rights or board membership and have also been used by other companies like ABS-CBN, the national broadcaster.

How US national security agencies hold the internet hostage

Team Telecom, a shadowy US national security unit tasked with protecting America’s telecommunications systems, is delaying plans by Google, Facebook and other tech companies for the next generation of international fiber optic cables.

Team Telecom is comprised of representatives from the departments of Defense, Homeland Security, and Justice (including the FBI), who assess foreign investments in American telecom infrastructure, with a focus on cybersecurity and surveillance vulnerabilities.

Team Telecom works at a notoriously sluggish pace, taking over seven years to decide that letting China Mobile operate in the US would “raise substantial and serious national security and law enforcement risks,” for instance. And while Team Telecom is working, applications are stalled at the FCC.

The on-going delays to submarine cable projects, which can cost nearly half a billion dollars each, come with significant financial impacts. They also cede advantage to connectivity projects that have not attracted Team Telecom’s attention – such as the nascent internet satellite mega-constellations from SpaceX, OneWeb and Amazon .

Team Telecom’s investigations have long been a source of tension within Silicon Valley. Google’s subsidiary GU Holdings Inc has been building a network of international submarine fiber-optic cables for over a decade. Every cable that lands on US soil is subject to Team Telecom review, and each one has faced delays and restrictions.

Grab raises more money — again

Southeast Asia’s highest-capitalized startup is sitting on even more money from investors today after ride-hailing Grab announced it has raised $300 million from Invesco.

The deal is part of Singapore-based Grab’s ongoing — feels-like-ever-lasting — Series H round which was started last June via a $1 billion capital injection from Toyota.

The round swelled to $4.5 billion thanks to contributions from a range of partners throughout 2018 and early 2019, then Grab said in April that it would add a further $2 billion to reach a $6.5 billion close before this year is out. This investment from Invesco is the first piece of that newest tranche to be announced, but there’s plenty happening under the surface, including a potential investment from PayPal, Ant Financial and others in a spinout of Grab’s financial services.

Grab declined to comment on the status of its Series H, and how much it has raised for the round so far.

Getting back to today’s news and, despite a relatively dry-looking announcement, there is an interesting takeaway to be found here.

Yes, this isn’t a SoftBank Vision Fund sized round — that $1.5 billion deal closed earlier this year — and it lacks the strategic significance of investments from backers like Toyota, Booking.com or Microsoft, but it does represent a doubling down on Grab from Invesco.

The firm merged with emerging market-focused fund Oppenheimer back in May. Oppenheimer — which has close to $40 billion in assets under management for its developing market fund alone — was among the participants in an initial $2 billion raise for that Series H, and now the merged entity is coming back to increase its position.

That first deal (from Oppenheimer) was $403 million, Grab said, so this new addition takes its spend on Grab to over $700 million. It also comes at an interesting time for the firm, which is reported to have reorganized its management team following the completion of the merger.

Based on that clearing of the decks/realignment, the decision to double down on Grab is a positive validation for the ride-hailing company. While it might not be a household name to those outside financial markets, Grab president Ming Maa played up Invesco as “one of the smartest investors in developing markets” in a statement released alongside news of the investment.

Grab acquired Uber’s regional business last year to become Southeast Asia’s undisputed ride-hailing leader, but it perhaps didn’t reckon on its local rival Go-Jek mounting a bid to finally expand its service regionally.

Having built a strong presence in Indonesia — where it pioneered ‘super app’ concepts like services on-demand and payments in the context of ride-hailing — Go-Jek has since expanded into Vietnam, Thailand and Singapore, with the Philippines also in its sights. Those moves were fuelled by investment from the likes of Tencent, Google and Warburg Pincus . As it seeks to go further and deeper in those markets, Go-Jek is currently raising a round for growth that is expected to reach $2 billion, half of which it said it had secured in January.

That accumulation of cash seemed to spark a call to arms for Grab, which turned its Series H into a gargantuan rolling round after increasing the overall round target first to $5 billion and then to $6.5 billion.

Uber may have decided to leave Southeast Asia, but the ride-hailing industry in the region is still as fascinating as ever.