TechFlash: Seattle's Technology News

The latest report from Dow Jones VentureSource provides a bit of mixed message on venture-backed exits during the third quarter. First, the good news: The amount of capital raised through initial public offerings increased to $451 million -- the highest amount since 2007.

Now, the bad news: The capital raised came through only two venture-backed IPOs, with the vast majority via A123 Systems' $371 million offering.

Meanwhile, the M&A market remains relatively weak.

During the third quarter, VentureSource recorded 71 venture-backed M&A deals for a total value of $2.25 billion. That compares to 84 deals at 5.2 billion for the same period last year. The median amount paid for companies also has dropped to $22 million, down 52 percent compared to the third quarter last year.

Bellevue-based people search engine Intelius was flying high last week after winning a DEMOgod award and receiving tons of press attention for its DateCheck iPhone app.

This week, TechCrunch's Michael Arrington -- an old nemesis of Intelius -- came after the Naveen Jain-led company with a sharply-worded story that called into question the company's business practices and a recent partnership with Friendster.

But what caught my eye was a press release issued today by the law firm of Finkelstein & Krinsk, citing a class action lawsuit against Intelius.

A few weeks ago, we reported that former aQuantive executive Brent Turner was leaving Microsoft to join Marchex. Turns out that Turner is going to have a pretty easy time recognizing faces around the office.

The Seattle company recently formed its first advisory board, a panel of online advertising experts which includes three former heavyweights from the aQuantive consortium of companies.

They include Clark Kokich, the former president and CEO of aQuantive's Razorfish unit; Mike Galgon, a co-founder of aQuantive who most recently served as chief advertising strategist at Microsoft; and Jim Warner, the former executive vice president of Razorfish's east region.

What's going on over Marchex? Are they trying to recreate the good-old days of aQuantive?

Last spring, when we published our initial listing of notable women in Seattle technology, we received lots of feedback: First, many TechFlash readers wanted us to recognize more scientists, engineers and others in technical careers. And second, many of the women on the list suggested that we organize an event where they and others could meet.

So we're doing both. We've expanded the list to include many of your suggestions, and we're inviting all of the women on the list, along with the rest of the Seattle tech community, to register and join us for the upcoming TechFlash Live: Women in Technology event -- to be held the evening of Oct. 28 at the W Hotel in downtown Seattle.

See the expanded list, get details and register for the event here.

Sarah Carr

Earth Class Mail today promoted Sarah Carr to the position of CEO, a move that comes nearly four months after she assumed the role of president and a year after she joined the company as chief operating officer. Carr, who prior to joining Earth Class Mail served as an executive at Print Inc. and Bowne Global, has refocused the company's efforts on small businesses and expanded deals within the postal industry.

The new maneuvers coupled with cost cutting moves are expected to bring Earth Class Mail -- which allows customers to receive postal mail online -- to profitability in the fourth quarter, the company said today.

Spiration has landed $7 million in convertible debt financing, money that the Redmond medical device maker will use to complete clinical studies for its new emphysema treatment. The money -- part of a $10 million round -- was provided by existing shareholder Olympus Medical Systems Corp., said Chief Operating Officer Gregory Sessler.

Olympus has secured exclusive distribution rights to Spiration's IBV Valve System in Europe and also has an agreement to develop the product for Japan. As you can see in this video, the IBV system includes small catheters that are inserted into the lungs in order to improve breathing and redirect airflow to healthy tissues.

Bill Schrier

Seattle Chief Technology Officer Bill Schrier may be out of a job come January 1st when Mayor Greg Nickels leaves office. But Schrier -- who has served as CTO of the city since 2003 -- at least can rely on another gig.

It was announced today that Schrier has been elected president of the Metropolitan Information Exchange, a national organization consisting of chief information officers of city or county governments with populations of more than 100,000.

Aber Whitcomb, the Bellingham native and University of Washington grad who co-founded MySpace, is leaving the company to "pursue other opportunities," according to a statement released today by the social networking powerhouse. Whitcomb's departure was anticipated following a management shakeup last Spring.

But what Whitcomb -- who served as CTO of MySpace -- will do next is a bit of a mystery. His MySpace co-founder, UW grad Chris DeWolfe, is rumored to be working on a new online venture of some kind that could attract as much as $100 million in financing, according to TechCrunch.

Could they work together again? And, if so, would they return to their Northwest roots?

When I got married just over two years ago, one of the biggest frustration points was finding an easy-to-use (and free) Web site to organize the wedding details. I spent hours investigating the possibilities, turned off by escalating monthly fees, opaque pricing methods and poor designs. Eventually, I chose Bainbridge Island's MyWedding.com since it served many of my needs, most importantly the price point of free.

But not everyone is as cheap --I mean frugal -- as me. And for those couples willing to spend a little cash on their wedding Web site, a Seattle startup called Nearlyweds is looking to make a splash with its one-time $49 Web site construction fee. The 2-year-old company -- led by Porter Bayne and John Scrofano -- just landed a new cash infusion from the Founders Co-op.

"It's definitely non-obvious to back a paid offering in a market dominated by free," admits Founder's Co-op general partner Chris DeVore. "But John and Porter have built a real business by focusing on the customer and delivering a clearly better product."

Fans of the reality TV show Survivor will be able to follow along like never before thanks to a new mobile Web site and application for the Palm Pre developed by Seattle-based Treemo Labs. The new app -- sponsored by Sprint -- allows users to watch previews or full episodes of Survivor: Samoa as well as participate in the Survivor fantasy game.

Who said that dogs and cats can't get along? Dogster -- the 5-year-old online community for dog lovers --has scooped up an online advertising partnership with I Can Has Cheezburger's growing catalog of funny cat photos.

As part of the deal, Dogster (which also runs a Web site for cat lovers called Catster) will sell ads for I Can Has Cheezburger as well as it less popular dog site I Has A Hotdog. The two companies plan to split ad revenue, with TechCrunch reporting that Dogster has been able to command impressive CPM rates of $10 to $40 in part because of its targeted user base and interactive advertising content.

I Can Has Cheezburger's Ben Huh tells TechFlash that they've worked with ad networks in the past, but the deal with Dogster is special because it marks the first deal with a "premium" ad network in a very specific niche.

The new ContourHD from Vholdr

Outdoor enthusiasts will now be able to chronicle every detail of their jumps, falls, spills and flops thanks to a new wearable HD video camera from Seattle's Vholdr. The $330 ContourHD -- to be sold at Amazon.com, REI and other retail outlets beginning next month -- includes four HD settings so mountain bikers, snowboarders and other outdoor maniacs can capture their exploits.

The 4.3 ounce video camera includes an easy-to-use record button which the company claims can be turned on even with gloves on -- as well as laser alignment so shots can be perfectly aligned. The camera is designed to mount to helmets, handlebars and goggles.

ThePlatform, the Seattle online video company owned by Comcast, today announced that its technology will be used to manage and publish online video for the Big Ten Network.

As part of the deal, thePlatform will assist the Big Ten Network with its new international video streaming package. Known as the "Big Ten Ticket," the offering will allow those living or traveling overseas to watch 35 to 40 football games and up to 105 regular season men's basketball games.

Want to make a little money on Facebook? If so, a new startup may have a pitch for you.

AppBank today is releasing a way for everyday Facebook users -- college students, stay-at-home-moms and others -- to create and publish polls, quizzes, games and other social networking applications.

And here's the best part. If a quiz, test or game goes viral, AppBank shares a portion of the ad revenue with the content creators. Or, as the company says in its promotional materials: "With AppBank, you turn your spare time into "Cash Time" by creating content your friends and Facebook users can engage with."

That means you can now become a professional social networker of sorts.

We warned you, Seattle. Keiretsu Forum president Todd Dean made his infamous "Speedo" run through the streets of Seattle today at high noon after losing a bet over a half Ironman race earlier this month. It wasn't pretty.

And while Dean walked away a little embarrassed, he also made a friend with an elderly tourist. "Let’s just say if I ran as fast today as I did in the triathlon I wouldn’t have lost the bet," said Dean. "Very embarrassing and certainly not a pretty site, although a tourist in their 70’s had me take a picture with them."

More (and larger) photos after the jump, if you dare.