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Kalanickâs back. And this time, heâs the CEO of a company that specializes in redeveloping âdistressedâ real estate assets.
[The Hustle]( Thur, Mar 22
Brought to you by [Salesforce Essentials]( customer love potion #9.
Kalanick is back in biz: Ex-Uber CEO finds a new gig in City Storage Systems
Well, that was quick⦠Not long after getting ousted from his post as CEO of Uber, polarizing corporate bad boy Travis Kalanick has a [new job]( as the CEO of real estate flipping startup City Storage Systems.
Kalanick announced he has invested [$150m]( in City Storage through his brand new personal investment fund â an amount that will allow him to buy out most other outside investors as he takes the throne as CEO.
Digital boy in a digital world
City Storage [buys]( floundering real estate assets (like parking lots and strip malls) and turns them into spaces for business of the âdigital era,â (like ecommerce companies).
Itâs the first big investment through Kalanickâs personal [investment fund]( 10100 (pronounced ten-one-hundred, FYI), which he announced just a few weeks ago.
According to the T-Man, the firm will focus on his âpassions, investments, ideas, and big bets,â with the theme of the fund centered around âlarge-scale job creation.â
Staying close to the family
Another large area of focus for City Storage will be food delivery (an industry near and dear to Kalanickâs heart).
One of the companyâs pre-existing assets is [CloudKitchens]( -- a company that provides infrastructure to food-delivery startups, and that just so happens to be a partner of UberEats; using its vehicle fleet to deliver meals from restaurants. It aaall comes full circle...
Since T-Bone [stepped down]( from Uber last year, heâs maintained a large amount of influence in the ride-hailing giantâs day-to-day. Even as the company continues to weather the onslaught of controversies he created.
And with this new investment, he appears to be keeping his friends close, and his frenemies closer.
One more time, with feeling
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Cloud wars are getting real: Salesforce buys  MuleSoft at a $6.5B valuation
On Tuesday, Salesforce agreed to buy publicly traded cloud software company MuleSoft at $44.89 per share â a whopping [$6.5B]( valuation in total.
Thatâs 16 times MuleSoftâs expected revenue in 2018, a price tag analysts are calling âloftyâ (âSoftware as a serviceâ companies are typically valued at 10x their annual recurring revenue).
What the frig is MuleSoft?
MuleSoft sells software that helps companies share data across different systems, including those existing in âon-premisesâ data centers.
The company is a great pairing for Salesforce, which will need access to data across the company to build out their [AI and machine learning layer]( Einstein.
The acquisition (expected to close by the end of July) also gives Salesforce [access to big MuleSoft customers]( like Coca-Cola, VMware, GE, AT&T, and Cisco.Â
Things just got a lot more complicated
This is the most expensive cloud software deal in history, and it could [set the precedent]( for cloud software acquisitions moving forward.
Some analysts speculate the exorbitant price is the result of a bidding war among Salesforce, Google, Microsoft, Oracle, and SAP â and if thatâs the case, the competitionâs only gonna get fiercer from here.
Expensive for the cloud giants looking to gobble up complementary software, and great for the cloud companies on the menu.
[MuleSoftâs on cloud 9](
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NASA gives a 3D rocket-printing startup a test facility... for free
Relativity Space, a 17-person [startup]( that makes rockets with 3D printers, will take over NASAâs 20-year lease of the Stennis Space Center in Mississippi... at no cost.Â
According to a Bank of America Merrill Lynch [forecast]( published last year, the space industry could hit $2.7T in the next three decades -- and Relativity hopes to fill a growing demand for rockets that can be quickly produced at a lower price point.
Private space partnerships have taken off
Since the end of the space race, NASA -- which [receives]( only 0.5% of the federal budgetary pie today compared to 4.5% in 1966 -- has had to knock on the private sectorâs door to borrow some rocket fuel.
At first, only mega-contractors like Boeing or SpaceX had pockets deep enough to perform the expensive testing required to [win]( big NASA contracts.
But as NASA continued to dole out multibillion-dollar contracts to private companies after dismantling their space shuttle program in 2011, investors began to smell an opportunity.Â
Shoot for the moon, land among the VCs
When the White House recently [announced]( a plan to send astronauts back to the moon with no expansion of NASAâs budget for R&D, private investors were more than happy to fill the void: They [pumped]( $3.9B into private space companies last year alone.
Although they know the skies will be crowded with competitors, the founders of Relativity, who defected from SpaceX and Blue Origin, are confident that their rocket -- which is [built]( in 60 days for $10m and carries more than a ton of cargo -- wonât fail to launch.
[Ground control to major profits](
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Boats nâ woes: Cyberpirates are targeting the worldâs biggest shipping boats
The concept of shipping -- i.e., setting a massive container afloat on the open ocean for months at a time to reach a faraway land -- seems archaic.
But these days, the [megaships transporting]( 18k 20âx8â shipping containers apiece arenât sailing on a hope and a prayer, theyâve got advanced nav systems to make sure they get where theyâre going -- and a [new brand of pirate]( gunning for their booty.
Hacks ahoy!
Now, on top of stormy seas, piracy, isolation, and political tension, crews have hackers to deal with.
Remember the massive malware outbreak âNotPetyaâ that held computers for ransom across the world last summer? Well, that little bug cost Danish shipping giant Maersk [as much as $300m]( as they reinstalled software of âtens of thousands of PCs and serversâ on their ships.
Companies focused on maritime cybersecurity have already started popping up to help companies protect the 10B tons of cargo shipped annually.
Whatâs the worst that could happen?
Aside from costing a $500B industry a few million doubloons, cyberpirates could also pull a Captain Phillips and commandeer the vessel, then ram it into another ship.Â
They could also target [luxury âsuperyachts]( which are especially vulnerable to navigation hacking via Wi-Fi, and extort their wealthy passengers.
And, if being stuck on a cruise ship with thousands of tourists doesnât already sound like a nightmare, getting stuck on one thatâs been hijacked definitely would be.
[I am the hacker now](
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