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Utah’s Pluralsight unveils IPO filing

Pluralsight, the Utah-based education

Pluralsight, the Utah-based education technology company, has revealed its IPO filing. Given the timing of the unveiling, the company is likely targeting a May public debut. Its core business is online software development courses, helping people improve their skills in categories like IT, data and security. Businesses small and large pay Pluralsight to help train their employees. It also has offerings for individual subscribers. In the filing, the company acknowledges that it is a competitive landscape, and names Cornerstone OnDemand, Udacity, Udemy, LinkedIn Learning as others in a comparable market. It also mentions General Assembly, which was recently acquired by Adecco for $413 million. This is the first glimpse we get at Pluralsight’s financials. For 2017, the company brought in $166.8 million in revenue, up from $131.8 million in 2016 and $108.4 million in 2015. Losses are growing, however. This is partly due to a sizeable increase in sales and marketing expenditures. For 2017, the company lost $96.5 million. This is up from losses of $20.6 million in 2016 and $26.4 million in 2015. Pluralsight has been around since 2004. Like many startups outside of the San Francisco Bay Area, the company bootstrapped its business and didn’t raise significant outside funding until 2013. Pluralsight previously raised nearly $200 million in financing. The largest shareholder is Insight Venture Partners, which owned 46.1 percent of the shares prior to the IPO, an unusually high percentage. Co-founder and CEO Aaron Skonnard owned 13.4 percent and investment group ICONIQ owned 8.1 percent. Morgan Stanley and J.P. Morgan served as lead underwriters. Wilson Sonsini and Goodwin Procter served as counsel. Pluralsight plans to list on the Nasdaq under the ticker “PS.” A provision in the JOBS Act from 2012 helped make it so that companies could file confidentially and then reveal financials and other business information just weeks before making public debuts. This helps companies avoid too much scrutiny in the months leading up to an IPO. There is also a quiet period in this time, meaning that companies are limited in what they can say publicly about their businesses. Like most tech companies, Pluralsight chose to take advantage of this confidential filing provision. But it also announced that it filed, something that companies don’t usually do. Most choose to stay quiet about IPO plans until they make the filings public, unless reporters break the news first. It was no surprise to those who have been following Utah’s tech scene that Pluralsight is planning to list on the stock market this year. The venture-backed “unicorn” has been a late-stage company for several years now, with a reported valuation of $1 billion as of 2014. After a slow first couple of months, there has been a flurry of tech IPO activity in recent weeks. Dropbox, Spotify and Zuora recently debuted. Pivotal, Smartsheet and Carbon Black are amongst the companies expected to list in the coming weeks.

A Clever Way to Meas …

If you buy it, you better use it. That

If you buy it, you better use it. That especially holds true for K-12 school officials who altogether spend more than $8.3 billion on education software each year, according to estimates from the Software and Information Industry Association. Yet it can be tedious to manually keep track of how students interact with different pieces of software—or whether these tools are even being used. For many districts, it takes time and a bit of Excel wizardry to download data from each software provider, then combine and distill the information into a single dashboard. “We had to go into different websites, find different usage reports, talk to vendors,” says Matthew Raimondi, an assessment and accountability coordinator at U-46, a school district in the northwestern suburbs of Chicago. “You run around to a bunch of different places to get information about whether students are actually making progress through the tools.” The days of hacking together spreadsheets may be coming to an end, however. Since last fall, Raimondi, along with technologists at 19 other school districts, have piloted a new service that automatically provides data in how students engage with different online education programs. Dubbed “Clever Goals,” the tool lets educators, students and parents see how long a pupil spent on different digital learning programs, along with their “progress,” which is defined differently depending on the kind of edtech software. (It could be books read, quizzes finished, activities completed.) Teachers can also set weekly usage targets for individual students and track their progress against those goals.

Ford and Cisco are t …

Hiring full-time programmers remains a

Hiring full-time programmers remains a competitive and lengthy process for businesses. That's one reason demand for freelancers and consultants is rising. Forrester predicts that spending on outsourced software help will accelerate by 6 percent in 2018. To find the best possible contractors for the job, large firms, including Cisco, Ford and Orange Telecom, are using artificial intelligence from a San Jose start-up called Tara Intelligence. Tara AI matches projects with freelance programmers who have the exact skills required to complete them. To do this, the start-up developed a "scraping engine" that constantly scours the open web, figuring out who worked on code that resembles a project that a business needs to get done. According to Tara AI CEO and co-founder Iba Masood: "Developers give us access to their Github. We see projects similar in nature to what you are trying to build. And then we connect you to the right and available talent." Tara AI's software also helps businesses automatically scope out and manage projects with freelancers, monitoring the pace and quality of their work, and making sure contractors are paid on-time for their code commits, for example. Developers who score work via Tara AI are paid flat rates, which are set automatically and correspond with a project's level of difficulty. Whether they're men, women, retirees or twenty-somethings with a fresh undergraduate degree, developers get paid the same wages for the same work. "Some people are better at negotiating," Masood said. "But we think developers should be paid based on their actual abilities and the work they deliver."

MasterClass CEO Davi …

David Rogier always loved to ask questions.

David Rogier always loved to ask questions. “I love to learn,” shares the Co-Founder and CEO of MasterClass.”But ever since the first grade I got in trouble in class because I usually questioned what my teacher said.” As much as he loved learning, Rogier, who had a bad stutter when he was a child, struggled in school. “I wasn’t rewarded for being a kid who was dorky and curious,” says the entrepreneur who created and sold a search engine with his friend when they were in middle school. “Those traits were not valued. So I got in trouble and didn’t get good grades.” He will never forget the time when he complained to his grandma about his math homework. Her response was sit down and let me tell you a story. When she was 16 and living in Kraków, Poland, she and her mother went on vacation while her father stayed behind to work. While they were away, the Nazis invaded Kraków and her father was killed. She fled to New York City, got a job on a factory floor but longed to go to medical school. “She applied to something like 50 schools and got a “no” from every single one," says Rogier. The following year she applied again and was rejected by every single one. “Then she called the Deans of Admissions asking why didn’t you let me in? Each person hung up the phone on her except for one who told her point blank: "You have three strikes against you. You are a woman. You’re a foreigner. And you’re Jewish." And he hung up," recalls Rogier. Ever intrepid, Rogier’s grandma applied to medical schools until she finally got accepted into one. She ultimately became a doctor and built a successful practice. “Here I was in the second grade as she told me this story,” recalls Rogier. “She said, “David, I’m trying to tell you that education is the only thing that someone can’t take away from you.” Rogier kept his Grandma’s precepts close to his heart. “I wanted to build a school which teaches things that people can’t take away from others. I wanted to create a school that made it possible for anybody in the world to learn from some of the best minds and masters of their crafts,” says Rogier who was recruited by Tesco to launch their first stores in the United States He then got his MBA from Stanford Graduate School of Business where he met tech investor Michael Dearing, whom he worked for after graduation. In fact, Dearing became his first MasterClass investor. “I thought, how do we do this affordably, where it's not thousands of dollars. How do you do it in a way for somebody like me who is curious and wants to learn?”

Course Hero Ranked 2 …

Course Hero, an online learning platform that

Course Hero, an online learning platform that empowers millions of students and educators to succeed, today announced it ranked No. 250 on Deloitte's Technology Fast 500™, a ranking of the 500 fastest growing technology, media, telecommunications, life sciences and energy tech companies in North America. Course Hero grew 376 percent during this period. Course Hero's chief executive officer, Andrew Grauer, credits its rapidly expanding user base, course-specific content library and learning tools with the company's 376 percent revenue growth. He said, "Course Hero clearly hit an inflection point of huge growth over the past year – we now have a community of more than 20 million students and educators with 18 million pieces of user-generated content from 11,000 different schools – and we're only getting started!" "The Deloitte 2017 North America Technology Fast 500 winners underscore the impact of technological innovation and world class customer service in driving growth, in a fiercely competitive environment," said Sandra Shirai, vice chairman, Deloitte Consulting LLP and U.S. technology, media and telecommunications leader. "These companies are on the cutting edge and are transforming the way we do business. We extend our sincere congratulations to all the winners for achieving remarkable growth while delivering new services and experiences for their customers." "Emerging growth companies are powering innovation in the broader economy. The growth rates delivered by the companies on this year's North America Technology Fast 500 ranking are a bright spot for the capital markets and a strong indicator that the emerging growth technology sector will continue to deliver a strong return on investment," said Heather Gates, national managing director of Deloitte & Touche LLP's emerging growth company practice. "Deloitte is dedicated to supporting the best and brightest companies of the future in the emerging growth company sector. We are proud to acknowledge the significant accomplishments of this year's Fast 500 winners." Overall, 2017 Technology Fast 500™ companies achieved revenue growth ranging from 135 percent to 59,093 percent from 2013 to 2016, with median growth of 380 percent. About Deloitte's 2017 Technology Fast 500™ Deloitte's Technology Fast 500 provides a ranking of the fastest growing technology, media, telecommunications, life sciences and energy tech companies — both public and private — in North America. Technology Fast 500 award winners are selected based on percentage fiscal year revenue growth from 2013 to 2016. In order to be eligible for Technology Fast 500 recognition, companies must own proprietary intellectual property or technology that is sold to customers in products that contribute to a majority of the company's operating revenues. Companies must have base-year operating revenues of at least $50,000 USD, and current-year operating revenues of at least $5 million USD. Additionally, companies must be in business for a minimum of four years and be headquartered within North America. Deloitte refers to one or more of Deloitte Touche Tohmatsu Limited, a UK private company limited by guarantee ("DTTL"), its network of member firms, and their related entities. DTTL and each of its member firms are legally separate and independent entities. DTTL (also referred to as "Deloitte Global") does not provide services to clients. In the United States, Deloitte refers to one or more of the US member firms of DTTL, their related entities that operate using the "Deloitte" name in the United States and their respective affiliates. Certain services may not be available to attest clients under the rules and regulations of public accounting. Please see www.deloitte.com/about to learn more about our global network of member firms. About Course Hero | Master Your Classes™ Course Hero is an online learning platform that empowers millions of students and educators to succeed. Fueled by a passionate community of over 20 million students and educators who share their course-specific knowledge and educational resources, Course Hero offers the biggest and best library of study documents, expert tutors, customizable flashcards, and course advice. Download the Course Hero app for iPhone or Android.
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