Digital generated image of people surrounded by interactive transparent and glowing panels with data. Visualising smart technology, blockchain and artificial intelligence.

Dappier is building a marketplace for publishers to sell their content to LLM builders

Digital generated image of people surrounded by interactive transparent and glowing panels with data. Visualising smart technology, blockchain and artificial intelligence.

Image Credits: Andriy Onufriyenko / Getty Images

When Napster emerged in the late 1990s, it made it easy for people to grab music files without compensating the content owners. The iPod and the iTunes music store changed that by allowing artists or publishers to get paid for reusing their content in a digital context. Fast-forward to today, and there are companies scraping content to train large language models without permission.

Dappier, an early-stage startup, wants to ensure that publishers get paid when their content gets used, and today announced a $2 million seed round and the launch of a marketplace where publishers can set a price for using their content in model training.

Dappier co-founder and CEO Dan Goikhman, calls his company a monetization stack for the emerging AI internet, providing a new way for publishers and data owners to get compensated for reusing their content.

“Our goal is to help media companies and information providers monetize their content as it’s being leveraged by emerging AI agents and platforms all around the world,” Goikhman told TechCrunch. “The idea basically is, how do you create a payment infrastructure for content as it’s distributed?”

Goikhman and his co-founders saw an opportunity as media owners reacted to companies like OpenAI scraping their content without permission in a couple of ways: they would sue or they would negotiate an “open kimono licensing deal.”

“And we thought that there was perhaps a better path to give content creators and data providers for monetizing their content, which is to create a transactional marketplace where content can be licensed on a per query basis or monetized on an ad-supported basis,” he said.

They do this by letting customers connect to a content store via an RSS feed, and use that content to build a model using RAG (retrieval-augmented generation). A publication can sell access to the model through the marketplace by setting a price in the same way you would set a CPM ad rate, or they could find other ways to monetize the content such as making an AI-fueled search engine available as a premium offering, as one example.

The approach gives publishers a new way to monetize their content at a time when they are clearly struggling to make money through website advertising alone. This could also be a helpful step toward multi-pronged monetization for individuals and small group newsletter publishers, not just the bigger publications. Goikhman says the company has been in touch with the newsletter platforms to talk about partnering with them around this new way to monetize their content.

Today’s $2 million round was led by Silverton Partners in Austin, Texas, where Dappier also is based.

Tingit team

Tingit is building a marketplace for 'zero-effort' repairs, starting with fashion

Tingit team

Image Credits: Tingit

Do you have a much-loved jacket with a torn sleeve or pair of grubby kicks gathering dust at the back of your closet? Tingit, a startup out of Lithuania, wants to help people restore their used clothing to its former glory with its newly launched repairs marketplace.

The platform lets you use your phone to snap and upload a quick video of distressed items to get a quote for repair or restoration. If you’re happy with the quote, you can pay through Tingit’s app and then mail your stuff to the chosen repair shop. After that it’s just a case of waiting for a few days or weeks. No need to trawl through back alleys for specialist restorers and wrangle unfriendly shop schedules. The platform takes all the slack.

There’s just one catch for now: Tingit is only available in Lithuania, where the Vilnius-based startup debuted the service in February. However, the startup has just raised a €500,000 pre-seed funding round to keep scaling the business, and CEO and co-founder Indrė Viltrakytė says it has its sights on expanding into other markets in Europe. That will likely happen later next year when the company will be looking to raise a seed round.

Lithuania is home to fashion reuse marketplace giant Vinted, so the country’s entrepreneurs have pedigree in this area. Tingit is another pure marketplace play, but it aims to connect people who own damaged/distressed fashion items with businesses that can repair them.

“I grew up with the people who started Vinted. So watching the company go from a small, local shop to this global huge marketplace was really, really inspiring,” Viltrakytė told TechCrunch. “I do hope that we can achieve something similar with repairs, and find synergies with companies that already work on the sustainability front.”

Viltrakytė came up with the idea for Tingit after working in fashion for years and growing frustrated by the industry’s problems with sustainability and overconsumption. This isn’t her first experience as a tech entrepreneur, either: She worked for three years with Vinted co-founder Justas Janauskas on a social media startup for teenagers that saw some traction locally before they shut it down. She has also dabbled in digital fashion and crypto/web3.

Still, a platform that handles physical repairs represents a different type of challenge.

“I’m a problem solver. So when I think about something that is broken, I get this urge to fix it,” she said. “I personally tried to repair a lot of items […] and it’s always a huge headache, a hassle. I had a Dyson hair dryer, and it took me six weeks to organize a repair for many, many reasons. So I thought, you know, it’s 2023, there has to be a better way. And I looked around and there was no better way. So I just decided to play with it in the end and see what it could look like.”

Tingit currently connects users with repair and restoration services for clothes, shoes and accessories. This includes specialist restoration work like sprucing up sneakers and handbags as well as more familiar services like dry cleaning.

The decision to focus on fashion is mainly because the four co-founders already had industry expertise to draw on, per Viltrakytė. But if they can build scale, she says there’s no reason to stop there. Repairs for sports goods, toys and consumer electronics could be potential future avenues, but anything sounds possible, provided there’s demand for it and businesses to provide a service.

European Union regulations are a driving force here, with requirements for right to repair coming in alongside expanded ecodesign rules, which include plans for digital product passports. All of this is aimed at powering a transition to a more circular economy so the bloc can meet its 2050 net-zero greenhouse gas emissions climate goal.

The macroeconomic climate may also play to a “make do and mend” hand. Viltrakytė says one of the startup’s investors predicts a recession is coming. “That’s why he thinks repairs could be next wave, because the previous wave was secondhand clothing,” she said.

So far, Tingit’s marketplace has facilitated more than 650 completed repairs and fielded more than 2,500 repair requests from users. It’s working with three local businesses to provide services, according to Viltrakytė — one handles repairs for clothing, another for shoes and bags, and one provides dry cleaning services.

Upcycling and modding (modification) are also part of Tingit’s plan, as is offering recycling. But Viltrakytė says specific adjustments (i.e. tailoring) aren’t a good fit for the hands-off platform approach, as measurements are more accurate when performed in person.

Shoe repairs make up 70% of orders on the platform, currently, and its typical customer is a “busy working mum” looking for more efficient ways to get stuff done.

Viltrakytė admits to being a little surprised there aren’t more men using the platform given how many sneakerheads are male. But she suggests it could be partly down to a lack of awareness about the kind of restoration services that are available.

“I would really like to introduce this concept of seasonal maintenance,” she said, pointing out that a new pair of shoes can have a much longer lifespan if they’re properly looked after. A twice-yearly repair service could be pitched as a “new habit” to invest in to make stuff last longer.

“My personal goal is basically making repairs more like a habit — I always say, like brushing your teeth,” she added.

Prices for repairs and restoration services vary depending on the complexity of the job — starting at €9 for a protective treatment for footwear, €25+ for a zipper replacement on clothing, all the way up to €139+ for a premium handbag restoration.

Viltrakytė noted the startup has had some very high-end items sent in for repair/restoration, such as a Hermès handbag worth €10,000. And given the rise in popularity of vintage clothing, fashion resale platforms and second-hand marketplaces, there are some interesting ways a repair marketplace could intersect with that broader trend.

She says the company already gets a lot of enquiries from people sending in screenshots of items they’ve seen on second-hand marketplaces like Vinted, asking how much it would cost to repair.

“I think we can increase the value of used items, because people have no idea what can be done with, specifically, fashion items,” she said. “If you take a really run-down bag, if it’s a luxury bag, a well-made item, you can [restore it] not like new, but like 85% new.”

Tingit is starting as a business to consumer (B2C) marketplace, but Viltrakytė reckons there’s opportunities to expand into B2B2C.

“We can be official representatives for brands — that’s already a proven business model,” she said. “Also, we plan to do API integrations for retailers or other marketplaces like Vinted or Vestiaire Collective.”

The startup is thinking about how it can further dial up its use of technology, too, to make it even less of a faff for people to get their stuff repaired. Viltrakytė said the company wants to work on using AI to automate damage analysis and quote generation, which are manual processes at present. So users wouldn’t even need to take and upload a video of their item, and could just show it to the camera.

AI could also be used to automate the valuation of apparel for resale and to generate data on what’s circulating in the circular economy, which could be of interest to various businesses. Fashion authentication and product lifecycle tracking are other areas Tingit is interested in exploring.

Tingit’s pre-seed funding round was led by Firstpick, a Lithuanian VC fund and accelerator for tech startups in the Baltics. BADideas.fund (Latvia), PurposeTech (Czech Republic) and Heartfelt Capital (Germany) also participated.

Commenting in a statement, Jonė Vaitulevičiūtė, managing partner at Firstpick, said, “There is still a void of knowledge when it comes to leveraging technology to enhance sustainability. That is why we are super excited to see how Tingit will educate consumers and help them create sustainable habits.”

Instagram logo

Instagram launches its marketplace to connect brands and creators in 8 new countries

Instagram logo

Image Credits: Alexander Shatov (opens in a new window) / Unsplash

Instagram said today that it is expanding its marketplace tool to connect brands with creators for paid partnerships or ads in eight new countries. The new markets that will get access to this marketplace include Canada, Australia, New Zealand, the United Kingdom, Japan, India, and Brazil.

The company first started testing this platform in the U.S. in 2022. It said that since then it has onboarded “thousands” of creators and brands. Last year, the social media company added API features for creator outreach and structuring briefs and invited agencies to use the platform.

Meta added that apart from making the platform available to the brands in these eight countries, it will also invite Chinese export brands to connect with creators outside of China.

The company said that over the next few weeks, it will invite both brands and creators to join the marketplace in these eight new regions. Marketers can approach creators for a paid partnership or even a partnership ad, which allows advertisers to boost organic content as ads.

An Instagram branded campaign
Image Credits: Instagram

Once creators join the platform through the professional dashboard in the Instagram app, they can highlight their content and list brands and interests that would be relevant to them.

On the marketplace, Meta helps brands match with relevant creators for a particular marketing campaign through its machine learning algorithm. Companies can also search manually for creators and apply filters — in creator and audience categories — and ad experience to refine the results.

Creators will see all the requests and conversations with brands initiated through the marketplace in a new folder on Instagram called “Partnership messages.” They can review the details of the marketing campaign within the app as well.

Instagram inbox for paid partnerships
Image Credits: Instagram

Instagram’s rivals like Snap, YouTube, and TikTok all offer creator marketplace functionality. Besides that, some startups are trying to solve the problem of connecting brands with creators. Accel-backed Catch+Release is helping brands better discover licensable content. Agentio, which has raised $4.25 million in seed investment funding co-led by Craft Ventures and AlleyCorp, has built a platform to organize the process of YouTubers selling ad slots in their videos. Breaker, which has Marc Benioff; a16z/TxO; ex-CEO of TikTok Kevin Mayer; and R/GA Ventures as investors, connects record labels and artists to influencers to run promotion campaigns.

A stack of three cardboards boxes with the image of a shopping cart printed on them, resting on top of a laptop with the screen open to an e-commerce marketplace

AliExpress is first online marketplace to face DSA investigation by EU

A stack of three cardboards boxes with the image of a shopping cart printed on them, resting on top of a laptop with the screen open to an e-commerce marketplace

Image Credits: Getty Images

The European Union has opened its third formal investigation of a very large platform under the Digital Services Act (DSA), with China’s AliExpress earning itself the dubious honor of being the first online marketplace to face formal probe by the Commission.

The DSA is the bloc’s rebooted e-commerce rules which demand risk assessments and mitigations by larger platforms which face tough penalties (of up to 6% of global annual turnover) for violations.

Social media platforms X and TikTok are the two other very large online platforms (VLOPs) already under formal DSA investigation (since December and February, respectively). Those probes remain ongoing.

In a press release announcing the formal proceeding on AliExpress, the Commission says it suspects the marketplace of breaching DSA rules in areas linked to the management and mitigation of risks; content moderation and its internal complaint handling mechanism; the transparency of advertising and recommender systems; and the traceability of traders and to data access for researchers.

AliExpress was designated a VLOP back in April last year, alongside other marketplaces, including Amazon and Zalando.

The safety of ecommerce marketplaces is one of a handful of enforcement priorities for the Commission, along with illegal hate speech, child protection and election security.

In a background briefing with journalists Thursday, a Commission official said concerns about AliExpress cover areas such as non-compliant medicines, foods; and child safety risks related to the distribution of pornography and to the sale of toys.

They said it will also look into transparency and safety concerns related to influencers’ use of AliExpress. The platform offers an affiliate program aimed at social media influencers who can earn a commission through links to goods being sold on the platform. The Commission said it suspects some of this activity is leading to the sale of non-compliant — and potentially dangerous or otherwise risky — products.

It said it will also investigate how the influencer affiliate program is implemented to verify whether it complies with DSA transparency rules.

The full list of suspected breaches by AliExpress is long: Running to ten articles (Articles 16, 20, 26, 27, 30, 34, 35, 38, 39 and 40).

However today’s proceeding does not confirm any violations of the DSA as yet. Rather it means the Commission will now carry out an in-depth investigation “as a matter of priority”. The formal step unlocks additional powers for the EU — including the ability to impose interim measures.

There’s no fixed timeline for the EU to conclude a DSA investigation.

Alibaba, AliExpress’ parent company, was contacted for comment. Update: Here’s its statement: “We respect all applicable rules and regulations in the markets where we operate. As a VLOP, we have been working with, and will continue to work with, the relevant authorities on making sure we comply with applicable standards and will continue to ensure that we will be able to meet the requirements of the DSA. AliExpress is committed to creating a safe and compliant marketplace for all consumers.”

Elon Musk’s X faces first DSA probe in EU over illegal content risks, moderation, transparency and deceptive design

EU opens formal probe of TikTok under Digital Services Act, citing child safety, risk management and other concerns

Amazon launches a Prime-free marketplace in South Africa, its first in sub-Saharan Africa

amazon package on a doorstep

Image Credits: Getty Images

Two years after announcing plans, Amazon’s highly awaited e-commerce entry into sub-Saharan Africa has finally come to pass. On Tuesday, the tech giant launched its marketplace in South Africa.

South Africa is the e-commerce giant’s first marketplace in the sub-Saharan region (it already has an operation out of Egypt following the acquisition of Souq in 2017), and it will be going head-to-head in the country with local players like Takealot (majority-owned by media giant Naspers), Makro, and Bob Group’s bidorbuy to tap what is estimated to be e-commerce revenue worth $3 billion annually.

But notably, Amazon is launching in South Africa without its famous Prime membership program. That means no media services, no Prime-only service tiers like free shipping for a large trove of items, and no sticky tool to get people returning to its site again and again over other buying options (and paying Amazon for the privilege).

We have contacted Amazon to ask about when, or if, it is likely to add Prime in the region and we will update this post as we learn more. [Amazon declined to comment on whether it has plans to launch a Prime offering in the country, and it declined to comment on the roadmap for Nigeria.]

The service e-commerce giant said that initially it plans to sell international brands and local products spanning some 20 product categories. Amazon will offer same-day and next-day delivery as well as 3,000 pickup points, and without the Prime perk of free delivery on a wide range of items, to bring in customers, Amazon is offering free delivery for anyone’s first order as well as subsequent orders exceeding R500 (~$27).

It’s unclear how much the market in the country currently wants or needs another player — and one that is parachuting in from the U.S., at that. Local e-commerce entrepreneurs, however, are seeing it as a strong signal about the overall strength of the country’s e-commerce market, which wobbled globally after peak usage during the height of the COVID-19 pandemic.

“Competition is above all good news, as it validates the opportunity of African e-commerce and helps to grow the market. South Africa is however a very specific market, different from most African countries, with mature retail networks, stable supply and very competitive e-commerce space,” Francis Dufay, Jumia CEO, said to TechCrunch about Amazon’s arrival.

Nevertheless, the debut has been a long time coming: Amazon had first said it would launch on the continent two years ago, in two countries, Nigeria and South Africa. That in itself appeared to be building on Amazon putting South Africa and the wider continent of Africa into sharper focus overall: In 2020, it had announced its first AWS region for the continent, also out of South Africa.

But in the wake of that announcement, Amazon pushed back its launch dates for both. South Africa was originally supposed to debut in April 2023. That was then postponed to October 2023, but that month, it only started to onboard independent sellers in the country, and it was still making hires in merchant development, software development, and operations.

Meanwhile, its Nigerian launch, slated for February 2023, has also been put on hold, and the company has yet to give an update on when that might open for business.

screenshot of new Amazon sub-Saharan Africa site
Image Credits: Amazon

The opportunity, however, is clear. Africa as a continent is still very much in the early stages when it comes to digital commerce, and while that might mean significantly more challenges in ironing out supply chains and logistics, and changing consumer habits by getting more consumers converted to selecting and paying for goods online, it represents significantly more growth potential than other, more mature markets for the company.

“We are excited to launch Amazon.co.za, along with thousands of independent sellers in South Africa. We provide customers with great value, broad selection — including international and local products — and a convenient delivery experience,” said Robert Koen, managing director of sub-Saharan Africa, Amazon, in a statement. “Building a strong relationship with South African brands and businesses — small or large — is incredibly important to us. We want Amazon.co.za to be the place where they can reach millions of customers.”

Amazon’s entry into the South African market introduces competition into an industry largely dominated by Naspers-owned Takealot, which commands nearly half of all online sales in the southern African country. Walmart-owned Massmart is also gearing up for its own e-commerce push. The timing of Amazon’s launch also coincides with a surge in online shopping in South Africa following the pandemic, which has spurred increased investments from retailers in the e-commerce sector.

Updated to note that Amazon already had an e-commerce operation out of Egypt. The South African marketplace is the first in sub-Saharan Africa. Amazon declined to comment on whether it has plans to launch a Prime offering in the country, and it declined to comment on the roadmap for Nigeria.

Instagram expands its creator marketplace to 10 new countries

instagram icon

Image Credits: Bryce Durbin/TechCrunch

Over the weekend, Instagram announced that it is expanding its creator marketplace to 10 new countries — this marketplace connects brands with creators to foster collaboration. The new regions include South Korea, Germany, Netherlands, France, Spain, Israel, Turkey, Mexico, Argentina and Indonesia.

Meta first introduced this marketplace to facilitate paid partnerships in the U.S. to select users in 2022 and later added “thousands” of creators and brands. In February, the company launched this feature in eight new markets, including Canada, Australia, New Zealand, the United Kingdom, Japan, India and Brazil.

While creators in China can’t access Instagram, Meta allows China-based brands to connect with creators in the regions where the marketplace is available.

To join this program, creators have to be at least 18 years old, hold a professional account, and meet the social network’s requirements, such as having a “significant following.” Meta doesn’t specify the number of followers you need to meet that criteria.

An Instagram branded campaign
Image Credits: Instagram
Image Credits: Instagram

Once a creator joins the program from the professional dashboard, they can specify topics of interest and relevant brands to get discovered by companies. Creators can look at inbound interest for collaboration through the “partnership messages” inbox.

Other social networks, such as Snap, YouTube and TikTok, have expanded their efforts to connect brands and creators. Earlier this month, photo editing app VSCO also launched a marketplace for brands to discover professional photographers to work with. Other startups such as Accel-backed Catch+Release and Agentio, which is backed by Craft Ventures and AlleyCorp, have tried to formalize the brand/creator interactions.