Under the hood on Zoom’s IPO, with founder and CEO Eric Yuan

Extra Crunch offers members the opportunity to tune into conference calls led and moderated by the TechCrunch writers you read every day. This week, TechCrunch’s Kate Clark sat down with Eric Yuan, the founder and CEO of video communications startup Zoom, to go behind the curtain on the company’s recent IPO process and its path to the public markets.

Since hitting the trading desks just a few weeks ago, Zoom stock is up over 30%. But the Zoom’s path to becoming a Silicon Valley and Wall Street darling was anything but easy. Eric tells Kate how the company’s early focus on profitability, which is now helping drive the stock’s strong performance out of the gate, actually made it difficult to get VC money early on, and the company’s consistent focus on user experience led to organic growth across different customer bases.

Eric: I experienced the year 2000 dot com crash and the 2008 financial crisis, and it almost wiped out the company. I only got seed money from my friends, and also one or two VCs like AME Cloud Ventures and Qualcomm Ventures.

nd all other institutional VCs had no interest to invest in us. I was very paranoid and always thought “wow, we are not going to survive next week because we cannot raise the capital. And on the way, I thought we have to look into our own destiny. We wanted to be cash flow positive. We wanted to be profitable.

nd so by doing that, people thought I wasn’t as wise, because we’d probably be sacrificing growth, right? And a lot of other companies, they did very well and were not profitable because they focused on growth. And in the future they could be very, very profitable.

Eric and Kate also dive deeper into Zoom’s founding and Eric’s initial decision to leave WebEx to work on a better video communication solution. Eric also offers his take on what the future of video conferencing may look like in the next five to 10 years and gives advice to founders looking to build the next great company.

For access to the full transcription and the call audio, and for the opportunity to participate in future conference calls, become a member of Extra Crunch. Learn more and try it for free. 

Kate Clark: Well thanks for joining us Eric.

Eric Yuan: No problem, no problem.

Kate: Super excited to chat about Zoom’s historic IPO. Before we jump into questions, I’m just going to review some of the key events leading up to the IPO, just to give some context to any of the listeners on the call.

Postmates CEO Bastian Lehmann is coming to Disrupt SF

It’s a busy time for Postmates — the logistics and delivery company is prepping for its IPO on the back of a fresh $100 million raise in February. However, founder and CEO Bastian Lehmann is still carving some time out of his schedule to join us at Disrupt SF in October.

Before Postmates, Lehmann cofounded Curated.by, a real-time tweet curation platform based out of London. The German native founded Postmates in March 2011 and turned the brand into a household name.

The logistics and food delivery market is clearly growing, particularly when you look at the sheer amount of cash flowing into startups like Postmates ($678 million) and competitors DoorDash ($1.4 billion) and Deliveroo ($1.5 billion). That said, the business of on-demand delivery has its challenges. The fact that humans are delivering real-world products using actual transportation in the physical world creates a lot of opportunity for things to go wrong.

But Postmates has never played it safe.

The startup continues to iterate and experiment with new types of products and models. In 2017, Postmates took on a handful of new competitors with the launch of alcohol delivery. The company tried its hand at grocery delivery in a number of ways, including launching its own grocery delivery service as well as partnerships with Instacart and Walmart.

The company has also continued to evolve its Postmates Unlimited product, a subscription which allows power-users to pay $9.99/month to skip the delivery fees.

Postmates even introduced its own autonomous delivery robot called Serve in December 2018.

But perhaps most impressive is the fact that Postmates was able to keep the product fresh while expanding… rapidly.

Seven months ago, Postmates was available in 550 cities across the country. Now, the service is operational in 3,000 cities nationally, available to 70 percent of the people in the U.S., with more than 500K merchants on the platform.

We’re thrilled to sit down with Lehmann at Disrupt to discuss lessons learned and what happens next. Disrupt SF runs October 2 to October 4 at the Moscone Center in SF. Tickets are available here.


Minecraft Earth makes the whole real world your very own blocky realm

When your game tops a hundred million players, your thoughts naturally turn to doubling that number. That’s the case with the creators, or rather stewards, of Minecraft at Microsoft, where the game has become a product category unto itself. And now it is making its biggest leap yet — to a real-world augmented reality game in the vein of Pokemon GO, called Minecraft Earth.

Announced today but not playable until summer (on iOS and Android) or later, MCE (as I’ll call it) is full-on Minecraft, reimagined to be mobile and AR-first. So what is it? As executive producer Jesse Merriam put it succinctly: “Everywhere you go, you see Minecraft. And everywhere you go, you can play Minecraft.”

Yes, yes — but what is it? Less succinctly put, MCE is like other real-world based AR games in that it lets you travel around a virtual version of your area, collecting items and participating in mini-games. Where it’s unlike other such games is that it’s built on top of Minecraft: Bedrock Edition, meaning it’s not some offshoot or mobile cash-in; this is straight-up Minecraft, with all the blocks, monsters, and redstone switches you desire, but in AR format. You collect stuff so you can build with it and share your tiny, blocky worlds with friends.

That introduces some fun opportunities and a few non-trivial limitations. Let’s run down what MCE looks like — verbally, at least, since Microsoft is being exceedingly stingy with real in-game assets.

There’s a map, of course

Because it’s Minecraft Earth, you’ll inhabit a special Minecraftified version of the real world, just as Pokemon GO and Harry Potter: Wizards Unite put a layer atop existing streets and landmarks.

The look is blocky to be sure but not so far off the normal look that you won’t recognize it. It uses OpenStreetMaps data, including annotated and inferred information about districts, private property, safe and unsafe places, and so on — which will be important later.

The fantasy map is filled with things to tap on, unsurprisingly called tappables. These can be a number of things: resources in the form of treasure chests, mobs, and adventures.

Chests are filled with blocks, naturally, adding to your reserves of cobblestone, brick, and so on, all the different varieties appearing with appropriate rarity.

A pig from Minecraft showing in the real world via augmented reality.Mobs are animals like those you might normally run across in the Minecraft wilderness: pigs, chickens, squid, and so on. You snag them like items, and they too have rarities, and not just cosmetic ones. The team highlighted a favorite of theirs, the muddy pig, which when placed down will stop at nothing to get to mud and never wants to leave, or a cave chicken that lays mushrooms instead of eggs. Yes, you can breed them.

Last are adventures, which are tiny AR instances that let you collect a resource, fight some monsters, and so on. For example you might find a crack in the ground that, when mined, vomits forth a volume of lava you’ll have to get away from, and then inside the resulting cave are some skeletons guarding a treasure chest. The team said they’re designing a huge number of these encounters.

Importantly, all these things, chests, mobs, and encounters, are shared between friends. If I see a chest, you see a chest — and the chest will have the same items. And in an AR encounter, all nearby players are brought in, and can contribute and collect the reward in shared fashion.

And it’s in these AR experiences and the “build plates” you’re doing it all for that the game really shines.

The AR part

“If you want to play Minecraft Earth without AR, you have to turn it off,” said Torfi Olafsson, the game’s director. This is not AR-optional, as with Niantic’s games. This is AR-native, and for good and ill the only way you can really play is by using your phone as a window into another world. Fortunately it works really well.

First, though, let me explain the whole build plate thing. You may have been wondering how these collectibles and mini-games amount to Minecraft. They don’t — they’re just the raw materials for it.

Whenever you feel like it, you can bring out what the team calls a build plate, which is a special item, a flat square that you virtually put down somewhere in the real world — on a surface like the table or floor, for instance — and it transforms into a small, but totally functional, Minecraft world.

In this little world you can build whatever you want, or dig into the ground, build an inverted palace for your cave chickens or create a paradise for your mud-loving pigs — whatever you want. Like Minecraft itself, each build plate is completely open-ended. Well, perhaps that’s the wrong phrase — they’re actually quite closely bounded, since the world only exists out to the edge of the plate. But they’re certainly yours to play with however you want.

Notably all the usual Minecraft rules are present — this isn’t Minecraft Lite, just a small game world. Water and lava flow how they should, blocks have all the qualities they should, and mobs all act as they normally would.

The magic part comes when you find that you can instantly convert your build plate from miniature to life-size. Now the castle you’ve been building on the table is three stories tall in the park. Your pigs regard you silently as you walk through the halls and admire the care and attention to detail with which you no doubt assembled them. It really is a trip.

It doesn’t really look like this but you get the idea.

In the demo, I played with a few other members of the press, we got to experience a couple build plates and adventures at life-size (technically actually 3/4 life size — the 1 block to 1 meter scale turned out to be a little daunting in testing). It was absolute chaos, really, everyone placing blocks and destroying them and flooding the area and putting down chickens. But it totally worked.

The system uses Microsoft’s new Azure Spatial Anchor system, which quickly and continuously fixed our locations in virtual space. It updated remarkably quickly, with no lag, showing the location and orientation of the other players in real time. Meanwhile the game world itself was rock-solid in space, smooth to enter and explore, and rarely bugging out (and that only in understandable circumstances). That’s great news considering how heavily the game leans on the multiplayer experience.

The team said they’d tested up to 10 players at once in an AR instance, and while there’s technically no limit, there’s sort of a physical limit in how many people can fit in the small space allocated to an adventure or around a tabletop. Don’t expect any giant 64-player raids, but do expect to take down hordes of spiders with three or four friends.

Pick(ax)ing their battles

In choosing to make the game the way they’ve made it, the team naturally created certain limitations and risks. You Wouldn’t want, for example, an adventure icon to pop up in the middle of the highway.

For exactly that reason the team spent a lot of work making the map metadata extremely robust. Adventures won’t spawn in areas like private residences or yards, though of course simple collectibles might. But because you’re able to reach things up to 70 meters away, it’s unlikely you’ll have to knock on someone’s door and say there’s a cave chicken in their pool and you’d like to touch it, please.

Furthermore adventures will not spawn in areas like streets or difficult to reach areas. The team said they worked very hard making it possible for the engine to recognize places that are not only publicly accessible, but safe and easy to access. Think sidewalks and parks.

Another limitation is that, as an AR game, you move around the real world. But in Minecraft verticality is an important part of the gameplay. Unfortunately the simple truth is that in the real world you can’t climb virtual stairs or descend into a virtual cave. You as a player exist on a 2D plane, and can interact with but not visit places above and below that plane. (An exception of course is on a build plate, where in miniature you can fly around it freely by moving your phone).

That’s a shame for people who can’t move around easily, though you can pick up and rotate the build plate to access different sides. Weapons and tools also have infinite range, eliminating a potential barrier to fun and accessibility.

What will keep people playing?

In Pokemon GO, there’s the drive to catch ’em all. In Wizards Unite, you’ll want to advance the story and your skills. What’s the draw with Minecraft Earth? Well, what’s the draw in Minecraft? You can build stuff. And now you can build stuff in AR on your phone.

The game isn’t narrative-driven, and although there is some (unspecified) character progression, for the most part the focus is on just having fun doing and making stuff in Minecraft. Like a set of LEGO blocks, a build plate and your persistent inventory simply make for a lively sandbox.

Admittedly that doesn’t sound like it carries the same addictive draw of Pokemon, but the truth is Minecraft kind of breaks the rules like that. Millions of people play this game all the time just to make stuff and show that stuff to other people. Although you’ll be limited in how you can share to start, there will surely be ways to explore popular builds in the future.

And how will it make money? The team basically punted on that question — they’re fortunately in a position where they don’t have to worry about that yet. Minecraft is one of the biggest games of all time and a big money-maker — it’s probably worth the cost just to keep people engaged with the world and community.

MCE seems to me like a delightful thing but one that must be appreciated on its own merits. A lack of screenshots and gameplay video isn’t doing a lot to help you here, I admit. Trust me when I say it looks great, plays well, and seems fundamentally like a good time for all ages.

A few other stray facts I picked up:

  • Regions will roll out gradually but it will be available in all the same languages as Vanilla at launch
  • Yes, there will be skins (and they’ll carry over from your existing account)
  • There will be different sizes and types of build plates
  • There’s crafting, but no 3×3 crafting grid (?!)
  • You can report griefers and so on, but the way the game is structured it should be an issue
  • The AR engine creates and uses a point cloud but doesn’t like take pictures of your bedroom
  • Content is added to the map dynamically, and there will be hot spots but emptier areas will fill up if you’re there
  • It leverages AR Core and AR Kit, naturally
  • The Hololens version of Minecraft we saw a while back is a predecessor “more spiritually than technically”
  • Adventures that could be scary to kids have a special sign
  • “Friends” can steal blocks from your build plate if you’re playing together (or donate them)

Sound fun? Sign up for the beta here.

Chat app Line is adding Snap-style disappearing stories

Facebook cloning Snap to death may be old news, but others are only just following suit. Line, the Japanese messaging app that’s popular in Asia, just became the latest to clone Snap’s ephemeral story concept.

The company announced today that it is adding stories that disappear after 24-hours to its timeline feature, a social network like feed that sits in its app, and user profiles. The update is rolling out to users now and the concept is very much identical to Snap, Instagram and others that have embraced time-limited content.

“As posts vanish after 24 hours, there is no need to worry about overposting or having posts remain in the feed,” Line, which is listed in the U.S. and Japan, wrote in an update. “Stories allows friends to discover real-time information on Timeline that is available only for that moment.”

Snap pioneered self-destructed content in its app, and the concept has now become present across most of the most popular internet services in the world.

In particular, Facebook added stories to across the board: to its core app, Messenger, Instagram and WhatsApp, the world’s most popular chat app with over 1.5 billion monthly users. Indeed, Facebook claims that WhatsApp stories are used by 500 million people, while the company has built Instagram into a service that has long had more users than Snap — currently over one billion.

The approach doesn’t always work, though — Facebook is shuttering its most brazen Snap copy, a camera app built around Instagram direct messages.

China’s top chat app WeChat added its own version earlier this year, and while it said in its earnings this week that users upload “hundreds of millions of videos each day” to its social platforms, it didn’t give numbers on its Snap-inspired feature.

Line doesn’t have anything like the reach of Facebook’s constellation of social apps or WeChat, but it is Japan’s dominant messaging platform and is popular in Thailand, Taiwan and Indonesia.

The Japanese company doesn’t give out global user numbers but it reported 164 million monthly users in its four key markets as of Q1 2019, that’s down one million year-on-year. Japan accounts for 80 million of that figure, ahead of Thailand (44 million), Taiwan (21 million) and Indonesia (19 million.)

While user growth has stagnated, Line has been able to extract increase revenue. In addition to a foray into services — in Japan its range covers ride-hailing, food delivery, music streaming and payments — it has increased advertising in the app’s timeline tab, and that is likely a big reason for the release of stories. The new feature may help timeline get more eyeballs, while the company could follow the lead of Snap and Instagram to monetize stories by allowing businesses in.

In Line’s case, that could work reasonably well — for advertising — since users can opt to follow business accounts already. It would make sense, then, to let companies push stories to users that opted in follow their account. But that’s a long way in the future and it will depend on how the new feature is received by users.

Apple & Google celebrate Global Accessibility Awareness Day with featured apps, new shortcuts

With last fall’s release of iOS 12, Apple introduced Siri Shortcuts — a new app that allows iPhone users to create their own voice commands to take actions on their phone and in apps. Today, Apple is celebrating Global Accessibility Awareness Day (GAAD) by rolling out a practical, accessibility-focused collection of new Siri Shortcuts, alongside accessibility-focused App Store features and collections.

Google is doing something similar for Android users on Google Play.

For starters, Apple’s new Siri shortcuts are available today in a featured collection at the top of the Shortcuts app. The collection includes a variety of shortcuts aimed at helping users more quickly perform everyday tasks.

For example, there’s a new “Help Message” shortcut that will send your location to an emergency contact, a “Meeting Someone New” shortcut designed to speed up non-verbal introductions and communication, a mood journal for recording thoughts and feelings, a pain report that helps to communicate to others the location and intensity of your pain, and several others.

Some are designed to make communication more efficient — like one that puts a favorite contact on the user’s home screen, so they can quickly call, text or FaceTime the contact with just a tap.

Others are designed to be used with QR codes. For example, “QR Your Shortcuts” lets you create a QR code for any shortcut you regularly use, then print it out and place it where it’s needed for quick access — like the “Speak Brush Teeth Routine” shortcut that speaks step-by-step instructions for teeth brushing, which would be placed in the bathroom.

In addition to the launch of the new shortcuts, Apple added a collection of accessibility-focused apps to the App Store which highlights a ton of accessibility-focused apps including Microsoft’s new talking camera for the blind called Seeing AI, plus other utilities like text-to-speech readers, audio games, sign language apps, AAC (Augmentative and Alternative Communication) solutions, eye-controlled browsers, smart home apps, fine motor skill trainers, and much more.

The App Store is also today featuring several interviews with developers, athletes, musicians, and a comedian who talk about how they use accessible technology.

Apple is not the only company rolling out special GAAD-themed collections today. Google also unveiled its own editorial collection of accessible apps and games on Google Play. In addition to several utilities, the collection features Live Transcribe, Google’s brand-new accessibility service for the deaf and hard of hearing that debuted earlier this month at its annual Google I/O developer conference.

Though the app’s status is “Unreleased,” users can install the early version which listens to conversations around you, then instantly transcribes them.

Other selections include home screen replacement Nova Launcher, blind assistant app Be My Eyes, head control for the device Open Sesame, communication aid Card Talk, and more.

ObjectiveEd is building a better digital curriculum for vision-impaired kids

Children with vision impairments struggle to get a solid K-12 education for a lot of reasons — so the more tools their teachers have to impart basic skills and concepts, the better. ObjectiveEd is a startup that aims to empower teachers and kids with a suite of learning games accessible to all vision levels, along with tools to track and promote progress.

Some of the reasons why vision-impaired kids don’t get the education they deserve are obvious, for example that reading and writing are slower and more difficult for them than for sighted kids. But other reasons are less obvious, for example that teachers have limited time and resources to dedicate to these special needs students when their overcrowded classrooms are already demanding more than they can provide.

Technology isn’t the solution, but it has to be part of the solution, because technology is so empowering and kids take to it naturally. There’s no reason a blind 8-year-old can’t also be a digital native like her peers, and that presents an opportunity for teachers and parents both.

This opportunity is being pursued by Marty Schultz, who has spent the last few years as head of a company that makes games targeted at the visually-impaired audience, and in the process saw the potential for adapting that work for more directly educational purposes.

“Children don’t like studying and don’t like doing their homework,” he told me. “They just want to play video games.”

It’s hard to argue with that. True of many adults too for that matter. But as Schultz points out, this is something educators have realized in recent years and turned to everyone’s benefit.

“Almost all regular education teachers use educational digital games in their classrooms and about 20 percent use it every day,” he explained. “Most teachers report an increase in student engagement when using educational video games. Gamification works because students own their learning. They have the freedom to fail, and try again, until they succeed. By doing this, students discover intrinsic motivation and learn without realizing it.”

Having learned to type, point and click, do geometry and identify countries via games, I’m a product of this same process and many of you likely are as well. It’s a great way for kids to teach themselves. But how many of those games would be playable by a kid with vision impairment or blindness? Practically none.

Held back

It turns out that these kids, like others with disabilities, are frequently left behind as the rising technology tide lifts everyone else’s boats. The fact is it’s difficult and time consuming to create accessible games that target things like Braille literacy and blind navigation of rooms and streets, so developers haven’t been able to do so profitably and teachers are left to themselves to figure out how to jury-rig existing resources or, more likely, fall back on tried and true methods like printed worksheets, in-person instruction, and spoken testing.

And since teacher time is limited and instructors trained in vision impaired learning are thin on the ground, these outdated methods are also difficult to cater to an individual student’s needs. For example a kid may be great at math but lack directionality skills. You need to draw up an “individual education plan” (IEP) explaining (among other things) this and what steps need to be taken to improve, then track those improvements. It’s time-consuming and hard! The idea behind ObjectiveEd is to create both games that teach these basic skills and a platform to track and document progress as well as adjust the lessons to the individual.

How this might work can be seen in a game like Barnyard, which like all of ObjectiveEd’s games has been designed to be playable by blind, low vision, or fully sighted kids. The game has the student finding an animal in a big pen, then dragging it in a specified direction. The easiest levels might be left and right, then move on to cardinal directions, then up to clock directions or even degrees.

“If the IEP objective is ‘Child will understand left versus right and succeed at performing this task 90 percent of the time,’ the teacher will first introduce these concepts and work with the child during their weekly session,” Schultz said. That’s the kind of hands-on instruction they already get. “The child plays Barnyard in school and at home, swiping left and right, winning points and getting encouragement, all week long. The dashboard shows how much time each child is playing, how often, and their level of success.”

That’s great for documentation for the mandated IEP paperwork, and difficulty can be changed on the fly as well:

“The teacher can set the game to get harder or faster automatically, or move onto the next level of complexity automatically (such as never repeating the prompt when the child hesitates). Or the teacher can maintain the child at the current level and advance the child when she thinks it’s appropriate.”

This isn’t meant to be a full-on K-12 education in a tablet app. But it helps close the gap between kids who can play Mavis Beacon or whatever on school computers and vision-impaired kids who can’t.

Practical measures

Importantly, the platform is not being developed without expert help — or, as is actually very important, without a business plan.

“We’ve developed relationships with several schools for the blind as well as leaders in the community to build educational games that tackle important skills,” Schultz said. “We work with both university researchers and experienced Teachers of Visually Impaired students, and Certified Orientation and Mobility specialists. We were surprised at how many different skills and curriculum subjects that teachers really need.”

Based on their suggestions, for instance, the company has built two games to teach iPhone gestures and the accessibility VoiceOver rotor. This may be a proprietary technology from Apple but it’s something these kids need to know how to use, just like they need to know how to run a Google search, use a mouse without being able to see the screen, and other common computing tasks. Why not learn it in a game like the other stuff?

Making technological advances is all well and good, but doing so while building a sustainable business is another thing many education startups have failed to address. Fortunately, public school systems actually have significant money set aside specifically for students with special needs, and products that improve education outcomes are actively sought and paid for. These state and federal funds can’t be siphoned off to use on the rest of the class so if there’s nothing to spend them on, they go unused.

ObjectiveEd has the benefit of being easily deployed without much specialty hardware or software. It runs on iPads, which are fairly common in schools and homes, and the dashboard is a simple web one. Although it may eventually interface with specialty hardware like Braille readers, it’s not necessary for many of the games and lessons, so that lowers the deployment bar as well.

The plan for now is to finalize and test the interface and build out the games library — ObjectiveEd isn’t quite ready to launch, but it’s important to build it with constant feedback from students, teachers, and experts. With luck in a year or two the visually-impaired youngsters at a school near you might have a fun new platform to learn and play with.

“ObjectiveEd exists to help teachers, parents and schools adapt to this new era of gamified learning for students with disabilities, starting with blind and visually impaired students,” Schultz said. “We firmly believe that well-designed software combined with ‘off-the-shelf’ technology makes all this possible. The low cost of technology has truly revolutionized the possibilities for improving education.”

TikTok tops the iOS App Store for the fifth quarter in a row

Despite a $5.7 million FTC fine and changes to restrict its use by under 13-year-olds, TikTok retained its No. 1 position as the most downloaded app on the Apple App Store for the fifth consecutive quarter, according to a new report from Sensor Tower. The app saw more than 33 million App Store downloads during Q1, and was followed by YouTube, Instagram, WhatsApp, and Messenger to round out the top five.

The No. 16 top app, Twitter, also had a good quarter, the app store intelligence’s report noted.

With 11.7 million App Store downloads, it saw its biggest quarter in terms of downloads since Q1 2015 — and a year-over-year increase of 3.6 percent. Of course, these figures won’t necessarily translate to an increase in active users, though, as installs aren’t a direct correlation to usage.

But while TikTok was again topping the App Store, it wasn’t the most downloaded app on Android devices in Q1.

With a bigger footprint in emerging markets and a larger total user base, Android trends can look different from those on iOS. This past quarter, WhatsApp was the No. 1 app on Google Play with nearly 199 million installs. It was followed by Messenger, then TikTok, Facebook, and Instagram.

Facebook, WhatsApp and Messenger all saw over 150 millions apiece in Q1 2019, as did TikTok.

Though not the top app on Android, TikTok still had a huge quarter — particularly in India, where 88.6 million new users installed the app in Q1, up 8.2 times over Q1 2018, Sensor Tower noted in an earlier report. 

That said, TikTok’s numbers for the next quarter may not be as good. The app was banned in India in April over illegal content including pornography. While that ban was lifted later that month, Sensor Tower estimated it had cost the app at least 15 million downloads there, and what would have been its biggest-ever month.

An up-and-comer in Q1 included YouTube Kids, which saw a 291 percent quarter-over-quarter increase and 29 millions downloads on Google Play, where it joined YouTube and YouTube Music to become a top 20 app. 

With the two app stores figures’ combined, WhatsApp became the most downloaded app in the quarter with over 22 million installs across the App Store and Google Play.

Messenger clocked in at No. 2 with nearly 203 million installs. And TikTok’s gains on the App Store allowed it to take the No. 3. position, followed by Facebook and Instagram.

The rest of the top 10 didn’t change, with Facebook claiming four of the top five spots. Meanwhile, first-time users in India pushed image editor PicsArt into the worldwide top 20.

Facebook changes algorithm to promote worthwhile & close friend content

Facebook is updating the News Feed ranking algorithm to incorporate data from surveys about who you say are your closest friends and which links you find most worthwhile. Today Facebook announced it’s trained new classifiers based on patterns linking these surveys with usage data so it can better predict what to show in the News Feed. The change could hurt Pages that share click-bait and preference those sharing content that makes people feel satisfied afterwards.

For close friends, Facebook surveyed users about which people they were closest too. It then detected how this matches up with who you are tagged in photos with, constantly interact with, like the same post and check in to the same places as, and more. That way if it recognizes those signals about other people’s friendships, it can be confident those are someone’s closest friends they’ll want to see the most of. You won’t see more friend content in total, but more from your best pals instead of distant acquaintances.

A Facebook News Feed survey from 2016, shared by Varsha Sharma

For worthwhile content, Facebook conducted surveys via news feed to find out which links people said were good uses of their time. Facebook then detected which types of link posts, which publishers, and how much engagement the posts got and matched that to survey results. This then lets it determine that if a post has a simialr style and engagement level, it’s likely to be worthwhile and should be ranked higher in the feed.

The change aligns with CEO Mark Zuckerberg’s recent comments declaring that Facebook’s goal isn’t total time spent, but time well spent with meaningful content you feel good about. Most recently, that push has been about demoting unsafe content. Last month Facebook changed the algorithm to minimize clickbait and links to crappy ad-filled sites that receive a disproportionately high amount of their traffic from Facebook. It cracked down on unoriginality by hiding videos ripped off from other creators, and began levying harsher demotions to repeat violators of its policies. And it began to decrease the distribution of “borderline content” on Facebook and Instagram that comes close to but doesn’t technically break its rules.

While many assume Facebook just juices News Feed to be as addictive in the short-term as possible to keep us glued to the screen and viewing ads, that would actually be ruinous for its long-term business. If users leave the feed feeling exhausted, confused, and unfulfilled, they won’t come back. Facebook’s already had trouble with users ditching its text-heavy News Feed for more visual apps like Instagram (which it luckily bought) and Snapchat (which it tried to). While demoting click-bait and viral content might decrease total usage time today, it could preserve Facebook’s money-making ability for the future while also helping to rot our brains a little less.