Hello and welcome to The Week in Tech, your weekly roundup of the top technology news from across the globe.
This week, we bring you the latest on Wonga’s collapse, the Natural Cycles controversy and more.
- Mobilus Labs gets £1m in round led by Ascension Ventures
- Apperio gets $10m to add transparency to corporate legal spend
- FinTech platform Salary Finance raises $20m Series B
Wonga, Britain’s biggest payday loan company, has gone into administration following a deluge of customer compensation claims.
The news comes after it was reported that Wonga had received an emergency £10m cash injection from a group of high-profile tech investors.
Speaking at the time, Tara Kneafsey, the company’s chief executive, told shareholders that the business was in danger of becoming insolvent.
In a statement, the company said it had evaluated all options and decided going into administration was the appropriate solution.
Increased VC investment generates growth in flexible working
Wonga has already ceased accepting new loan applications and Grant Thornton have been appointed as administrators.
Wonga said in a statement: “Customers can continue to use Wonga services to manage their existing loans but the UK business will not be accepting any new loan applications. Customers can find further information on the website.”
Natural Cycles article banned
The UK’s Advertising Standards Authority has banned a Facebook advert for Natural Cycles, an app that seeks to provide a natural alternative to contraception.
The company’s claims that its app was “highly accurate” and “provided a clinically tested alternative to other birth control methods” were deemed to be misleading.
Modulr Finance, iwoca, Currencycloud and Atom Bank awarded Banking Competition Remedies fund
Natural Cycles, created by a Swedish company, was told “not to exaggerate” its efficacy. The company said it respected the outcome of the investigation, told the BBC it had removed the advert (which ran for approximately a month in mid-2017) as soon as it was notified of the complaint.
“We are committed to being open and transparent in our communications to ensure our message is clear and provides women with the information they need to determine if Natural Cycles is right for them. As part of these efforts, every advertisement undergoes a strict approval process,” the firm said in a statement.
“Natural Cycles has been independently evaluated and cleared by regulators in Europe and the US based on clinical evidence demonstrating its effectiveness as a method of contraception.”
Lyft eyes IPO
American ride services firm Lyft is reportedly in talks with an advisor for a 2019 IPO.
Octopus Ventures-backed Systum raises $10.7m
According to Bloomberg, which cited people familiar with the matter, the initial public offering could potentially take place in either March or April next year.
The news comes after Reuters said last year that Lyft was close to hiring an IPO advisor.
Facebook launches video streaming service
Facebook’s Watch video-streaming service is launching worldwide, following its US launch just over a year ago.
The platform’s users will be able to choose from a range of shows and have the ability to view videos saved from their News Feeds.
Facebook plans to enable all content creators to feature advertising breaks, as long as they hit certain milestones and metrics.
That’s all for today…see you next Friday!