iFund, App Store Success, Future Apps

[MacRumors]

Kleiner Perkins Caufield & Byers (KPCB) has started an iFund blog covering topics about its $100 million venture capital fund for iPhone developers. KPCB has currently funded five companies with about $30 million of investment capital. Those companies include:

- Pelago – social discovery and location sharing through an application called Whrrl which is live on the AppStore
- iControl – a home automation and monitoring solution available in Q1
- ng:moco – iPhone games launching its first titles this month
- GOGII – A new social interaction and marketing platform, launching in Q4
- An unannounced venture launching in Q1

The company is excited about the prospects of the App Store and note that iPhone application downloads for the first 30 days exceeded all other US carriers combined in a quarter.

According to our estimates and M:Metrics data, that’s more iPhone application downloads in 30 days than all US carriers combined have in a quarter.* That means a relatively small base of handsets (~12M, mostly US) is dramatically outperforming the other 250M.

KPCB also believes that a more sophisticated set of applications will arrive as developers become more familiar with the iPhone SDK, and claim to "know some of the apps in the pipeline" that will take things to a whole new level.

Several prominent titles have recently been released to the App Store, including Star Wars The Force Unleashed and Spore. Meanwhile, SlingMedia has acknowledged that they are working on their media player for the iPhone. Despite demoing a version of their app for jailbroken iPhones, the company has made no further announcements. We've heard, however, that they are planning on launching a beta version later this year.

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[mfermier]

I'm really excited about seeing the App Store mature. I like what is offered now, but I know that as apps continue to develop it will only add value to the iPhone.

Yea Apple!

[audioadrenaline]

Home automation. Sweet.

[Beric]

Originally Posted by audioadrenaline

Yeah yeah, that's great. When are they going to release the new MBPs?

When you in particular want them so bad, they can up the price $1000.
EDIT: I see you edited your post.


I'm excited about the App store. It looks like it has a good future, as long as Apple stops refusing Apps right and left, of course, or else clarifies the rules more so developer know what to expect.

[JML42691]

I for one am really glad to hear about the Sling Media player, the demo looked pretty good, and hopefully the released version will be even better. Hopefully they release this app soon.

[BOOMBA]

The iFund is a joke. The first 2 companies to get funded were owned by its board members.

http://macenstein.com/default/archives/1384

I wouldn't be surprised if we discovered similar ties to the latest 3 companies.

It will be interesting to see how much of the $100 million they've raised goes back into their board member's pockets.

[nagromme]

I'll admit to having some fear that venture capital may tend to make marketing more important than innovation and quality.

How many iPhone apps really need hundreds of thousands of dollars to build, or to build better? Some, probably, if they have a huge server-side back-end, but not most of the ones I'd care about I would bet.

So it seems to me more likely that the money could be used to PROMOTE the apps when the little guy who is free to make his own decisions without VC breathing down his neck may actually be building the better app.

Luckily the App Store gives apps some chance even without much marketing. Still, heavy marketing can help you stay on those top lists! And few may see the better-rated alternatives from 3-person shops.

[vendettabass]

SlingMedia has acknowledged that they are working on their media player for the iPhone.

thumbs up!

[NightCastle]

Is it possible that Sling Media will be rejected because it duplicates some of the functionality of the iPhone? Or am I missing something?

[JML42691]

Originally Posted by NightCastle

Is it possible that Sling Media will be rejected because it duplicates some of the functionality of the iPhone? Or am I missing something?

How at all does it duplicate the functionality of the iPhone? The iPhone does not allow you to play live TV.

[Beric]

Originally Posted by JML42691

How at all does it duplicate the functionality of the iPhone? The iPhone does not allow you to play live TV.

The iPhone does not allow you to download podcasts remotely.

[JML42691]

Originally Posted by Beric

The iPhone does not allow you to download podcasts remotely.

Still, I believe that Apple referenced the fact that it duplicates a function of iTunes, which SlingBox wouldn't do either. The Podcaster app did copy an iTunes functionality, but not an iPhone one, the SlingBox player wouldn't violate either.

[detz]

I wonder what kind of cut that VC gets, probably a pretty big one.

[Stella]

I hope Apple doesn't reject these forthcoming applications, due competition fears, or anal retention, ala PodCaster.

[NightCastle]

Sling box would allow for users to "put" (I use that word in the boadest way possible since, from what I know Slingbox allows for streaming video) movies onto their iPhone/iPod Touch, which are already available by Apple's iTunes. It could be argued that this might be duplicating that particular functionality. It would also allow users to watch movies that they might otherwise (leagally) have to purchase or rent from iTunes. That might cut into Apple's bottom line for movie purchases and rentals.

Just my 2 cents.

[twoodcc]

looking forward to the new apps

[NightCastle]

Originally Posted by JML42691

How at all does it duplicate the functionality of the iPhone? The iPhone does not allow you to play live TV.

But isn't AT&T working on that? Also, on a side note, isn't the phrase in the link funny?

http://www.9to5mac.com/att-apps-going-to-suck

[morespce54]

...more iPhone application downloads in 30 days than all US carriers combined have in a quarter.

Wow, that's quite a lot!

[Digipimp]

the ifund does seem like a joke, they've funded 5 companies to the tune of 30 million. well give me 5 or 6 million and im sure i can get a kickass iphone app developed. this really seems to go against the way it was presented, not to mention people from the ifund being invovled in the companies that the money was given to.

while they're at it take $20 from that remaining 70 million and get yourself a wordpress theme. these guys arent promoting innovation.

[I WAS the one]

I thought that people were going to create awsome apps with this kind of money sponsorship.... whats going on with the developers? too much junk on the App Store, and now this??? wel, maybe the iPhone is meant to be use by casual phone users and not Mac Power Users...

[Wingsy]

The one I'm waiting for is iCall VOIP. I work from home so most of my calls would be via VOIP.

Oh, and X-Plane 9 for the iPhone is simply awesome. I got sick while flying it and walking at the same time.

[gmeddles]

Apple's got to get a few things right before revolutionary software will come to pass on the iPhone.

1. Remove the NDA on the iPhone SDK. Without a vibrant open knowledge-sharing community, the wheel must repeatedly be reinvented, dramatically slowing innovation. You can search for certain things, but there isn't enough chatter to effectively problem-solve technical hurdles for the average software engineer. For simple apps this doesn't matter, but for the complex it definitely does.

2. Loosen the reins on the AppStore. Why would I spend money or time (read money) on development for a product when the entry to the market can be blocked so capriciously? Fraud/Theft/Malfeasance is the ONLY acceptable reason for blocking an app. Serious apps require more serious investments, and investors want to make sure that the product can get to market before throwing cash around. Why would I invest in something if Apple could block it based on "Duplication of iTunes functionality."

3. Really finalize the SDK. There's a lot of reasonably-expected functionality that's missing. Clipboard? Intra-process communication (assuming background processing is verboten)? It doesn't have to be permanently frozen, but it needs to reach a higher level of maturity fairly quickly.

I don't believe that Android will be an iPhone-killer due to many factors, but it will definitely steal developer interest if Apple doesn't get some of these things right in a hurry. Nobody likes a big bully in their developer sandbox, and Apple certainly has been looking like one lately.

[elpenguino]

I love the iControl idea. It would be cool to automate my house (lights on at 7:00am, fan on low, dimmer on half,MWF), but I can't see how they could do that with just an app and a 3g/wifi connection. Wireless surveillance I can see (use the iSight on a Mac to stream video to the iPhone). Am I missing something when they say "home automation?"

[Trajectory]

KPCB also believes that a more sophisticated set of applications will arrive as developers become more familiar with the iPhone SDK, and claim to "know some of the apps in the pipeline" that will take things to a whole new level

Let's hope that's true. 95% of the apps in the App Store are junk.

But does it really require millions and millions of dollars to develop a $4.99 app?

[LagunaSol]

These apps are all well and good, but where is my voice-based turn-by-turn navigation app???

Not upgrading to the 3G iPhone until a nav app like this is available. No need to.