>> we're trying to make the entire space popular. anyone who is working in gifs technology, we want to work with you. and we want to work with everything. we've acquired gifs, and, now capture. so if you are working in gifs, it's a huge industry that's going to happen. we're making photographs move, and, if you think about the photo, and how many parts of the company are part of it, there's room for all of us. in terms of the gifs search engine, we're the largest and that's what we do. other people are keyboard and social networks. >> let's talk about gifsfy cam i

thought was gene genius. it was our first gifs camera, it's an app for your i-phone and one of the best apps of 2016. and, you can put filters in and then send out at gifs. it's very popular, with a small set of audience, as soon as people know, more will start using it. and boomerang, and snapchat, and everyone is coming into the space. it is popularizetion the idea of these short moving images.

there's just short videos. >> that goes into the whole idea like, gifs has been used as this is term, it's not always affirmative if i have file type. >> it's like the kleenex of facial tissue or the xerox of paper. >> it was used for putting construction signs on your website, and you were never going to build, which you can

still see on few, and i have a few. now it's just. >> we have 250 different rent decisions, that come under it. >> you never built a feed into that product. there's no product my question is, when you're taking something that's fun, gifs are about having fun.

it's not like uber is to transportation. we don't need it, we want t. when you don't build that stickiness into it. i want to understand it. there's into the who will lot of stickiness. >> you have two options, the option of creating a social network and then trying to figure out how to get people to stay there. having poosm come use it. google is the most popular but isn't a social network. other social networks have a lot of people but tried to build a utility and that got boring over time. >> it's never about building a social network. go to facebook. that's a community of people.

we want to be a utility. we want to be plumbing that takes all that was content. so just like opinion frit says. >> no social network. if you ever started. i add social network it's the hardest thing to do. can we talk about we'res gifs, the night of the oscars and you

see like lady gaga, walk by dicaprio, you have that up. >> we have deals with the oscars and most of the major events and we have an entire team of editors and make it for our partners. so we're there, because we have the feed at the time, making those gifs. so that the os considers. they have a page and we make all of those for them. so everyday we have another day, we are the creators, of that event. >> what is the biggest vertical? is it sport says in entertainment? >> right now it's just what you think would be, right now it's a

lot of award shows. v.m.a.s, oscars, and golden globe. people think, they think that cats are the number one, and they watch cat questions and but 80%, is from t.v.'s movies and celebrities. it's pop culture. that's really the medium and the format that is, that people are searching for. >> i want to come back, you said you have deals with the oscars and, v.m.a.s, that im byes, that there's money. >> they are just a small population. we're doing a lot of work to bring gifs to become mass popular. most people don't know what it is. i think i know what that is.

we'll give these gifs all to you and they allow us to do this. it's a trade of work forthrights to not sue us. >> you have raised a ton of money. we're past $100 million. >> i think totally we have about 75 million. >> so it's close. good enough. >> but you're not bringing in any money. not revenue deals. what is the revenue plan? >> so right now, we're still on the hockey stick growth.

it's not slowing down, we're trying to see how big is the gifs market. all of our funds are into accelerating our growth. we're in that growth phase. we're still growing. we have done multiple. we have grown 2x, and we'll be like -- we'll need another round of funding. >> or make money. make money. >> we've add revenue plan in place. people are like, o you haven't been thinking about it. we've been thinking about it, since day one. getting the license deals. so, there are a bunch of models here but you can see one of the major ones are mobile messages.

do you send text links. and how do you get native advertising? gifs are the major thing for that. they're from t.v.s, movies and celebrities. so you you can see that, where mobile messages, and gifs are the perfect medium. we're serving a billion-plus gifses a day. and we can charge for getting it into the system. you can see that in, what google is going, with hyper link, and they're making billions of

dollars, we'll do the same thing with highly more engaging images. >> but, i want to get back to the mobile messaging and okay, but, like, mobile messaging, is really interesting to me. because the idea that i could slap one of my friends, friday night and it shows them, jim beam whiskey or something like that. that's a compelling ad and flies under the radar. >> we don't do any of that. they grab a mcdonald gifs and that's an entire ad, system

right there. >> so, how do we start making revenue, and on the entire messaging platform. >> all those models have to be explored. >> my question is how do you target? >> how much information do you have about your users? on what l we get a lost information, so, some of the partners, it's o pic. but we do have pretty good

ideas. tender is looking for a bunch of gifts and we know what searches they're doing. >> we don't use any of this information right now. that's just to get the search better so we can serve better content. and serve better advertising. we also have our own tools, keyboard that can send gifs as well and we can mono tize as well. >> we do have information. we have it everyday. >> the keyboard is also a good point. you have the habits. >> yeah, we have our search app.

what took so long, with it? keyboard seems so natural. i've been waiting for it so long. why did it take two-and-a-half years? >> we did five versions. they never felt right and apple's keyboard system wasn't right. there were some good keyboards out there. we invested, in one. slash, and gifs. there have been some good keyboards and once we found it, we do need to put out what we think is our best, we add different point of view of over keyboards. minimal, it's not like you have to switch and then put a gifs in. let's time, it's time to put it out.

so this is just another app. anywhere you can ever that you can distribute a gifs we want to build an app. so we power a lot of other keyboards out there. >> we think everybody ever everyone will have a keyboard, and they want to power all of them. key board is almost like a sales tool. got user experience is one thing we talked about, we're partnering with flash keyboard, in the fall. like in two weeks, to plawj an entire brand of keyboard platform. you can just click a couple buttons and create a brand.

so we're offering them free branded keyboards in the next couple of weeks. we're pretty much out of time. my last question is like an age old battle. gifs, and, he didn't create it. we officially support both. but, we -- diplomatic crap. >> there's a bunch of old people, you don't want to call them out. >> you called them out as old. >> so you're from san francisco or old. just as this old thing that

people way back, in the 1980's, and talk about gifs, and, the future is like we're trying reclaim it, as gifs means a totally different thing than that 1980's, under construction sign. it is this new generation of contact, that are being sent out messaging. >> you are probably sending gifs. big round of applause. [applause] we're going to shift gears, we'll go from gifs to privacy and security. because that makes sense. >> it used to be that the

government was protecting us from big corporations and now, big corporations are trying to protect us from the government. we have two, that are going for help us. please welcome to the stage, nate, and martin, of hacker one. big round of applause. [applause] >> all right. welcome. thank you. so we have with this, martin, is a company that acts as a platform for hackers and discovering vulnerabilities andnate is a senior staff attorney, who focuses on free speech issues. it's a great panel.

i want to start off a little bit broad and then, get granular. >> why do you think we're seeing an excel raising over the battle of digital information? >> well, i think that, when we built the internet 20 years ago, we had just fun stuff and today we have everything on value, connected to the world. so, all the criminologygy is hitting the software systems, and we must protect them. that's a huge shift. >> i think that's right. we put our entire lives on lion.

the facts that apple are starting to figure it out. is -- it seems like apple are now marketing themselves for data privacy. >> that's possible. we don't have a robust data protection legal framework. we don't have one.

>> that's the pressure. >> martin, hacker deals with clients, that range from the department of defense and tour, what do you think is the most vulnerable systems? what do they need pay attention to first? >> yes, we have startups and we have the department of defense, in the projects, and we have uber, and general motors and all of them know that there's no organization strong enough so, it doesn't need the help of hackers. what should you pay attention to, you open it up and they will tell you. it's scripting,.

>> do you think they're more willing, because, security was very closely aligned, with president andy.. i think we have amajor shift. and i was there, witnessing the revolution, 15-20 years ago and now we see the same thing in security, where companies realize the only way to be secure, is to be open and to invite people you don't know to help you. >> i agree, 98%.

[laughter] >> 278%, is oracle. >> they deleted, the morning after she posted. >> she's the chief security officer and she said, don't mess about our stuff or we'll come sue you. don't think about it. so that's one. there are still companies out there, who would rather bury their head in the sand. the other sort of 800 pound gorilla are embedded systems, voting mrnses. and these companies have never had to worry about security, because they never had anything with net working and now, in the internet of things, and, some

over four letter word, we're -- >> you can say internet of. [bleep] there was an argument, about, connected cars and how this might be the apocalypse. >> why are we putting networking in everything? those companies, that have engineering stafts and no security staff don't know what to do. in my practice, when i'm counseling a hacker, who's doing reporting, the big guys, the software companies, are nearly always seamless. apple knows what to do and or ra kel who is not great still knows what to do. but medical device companies. they don't have a clue. i agree with that. in the old security paradigm, people felt that human beings

were the problem and tech is the solution. >> now, tech is the problem and humans is the solution, by inviting everybody out there to help you. and a neighborhood watch, it's the fastest way for secure a system. >> millions of lines of code and there's no way that your staff can vet that. >> well, if the department of defense decides that they are not powerful enough to keep it secure without good turn nall help, then who can do it? >> right. >> there's some corporations that still seem reluctant to this open dialogue. apple is another one which they do acknowledge, when bugs are submitted and they resisted a openburg program. why? i was told by a senior apple security engineer, they see both

positives and negatives and decided not to. i'm sure you're talking to these companies. >> we do. but we don't worry about those that are taking steps forwards coordination, because, they are on a journey and they will be good. we worry about those who have no clue and no idea that their system is vulnerable. when target was breached, it came through the air-conditioning system. nobody add idea. so you need to go and target those who are just completely ignorant of this. >> so, apple today, didn't have a bug bounty program, and they do have a robust security team and they know what to do. but that's tim cook's apple. steve job's apple was along the oracle line. that version didn't produce

security white papers and didn't have, they didn't say what was being fixed. if was a black box. apple is big. and it's taking them a long time to change. but they're three-quarters of the way there. >> so, we have a lot of discussion about encryption, down from single messaging, and big core for raisings. and the bill, that was a big thing, oh, wow, people are clueless about this. what do you think the chances are that something so aggressive and that's been out and how clueless in congress? >> well, i mean, in this election cycle, the chances of anything getting passed are slim to none. the bill isn't going to move out

of committee. i don't know if the people in the audience read the bill but taken literally the backdoor bill that they introduced would ban general purpose computers which could not have been their intent. they are naive. that was an opening and they never intended it to pass. it's the next draft. who knows, we heard it was going to be introduced 2 weeks ago and now the week after next. who knows? >> one of the common things that people talk about with encryption is the right, that we you'll have to private communication, and that's one of the challenges, in commune exaight and saying we know you need pursue them, and one of the things that i find interesting,

is the class problem we have. the poorest people, not having access to systems, that are as secure as people who have means to afford them. the person who can only buy the android phone. do you think there's a solution for that problem or way to move forward in giving everybody the same rights? >> we should do it. if it is possible. yeah, i agree. you're right, we have a new divide, and it's a privacy divide. what strikes me as most horrifying, about the debate isn't just the f.b.i.'s take that they should have access to the all of our communications and storage. any actor can use it, or signal or p.g. p. even if what's

happened, go back to non encrypted

a social movement in democracy and all types of social change from the civil rights movement to the gay rights movement have depended on the ability to organize free from government surveillance. they could not do its work. without security and privacy. you couldn't have a movement anywhere on the state without privacy and security. it is not about us it's not everybody else. it's not about you. you're not that special. here's another question for you. when you're going to them and

say this is why you need to open up are you seeing more and more of these companies think of the government as the threat model. you need to protect yourself against any criminal or malicious activity and all of the different groups that can be criminal organizations. they can be political organizations. it doesn't really matter from the perspective of the other connected system. you just need to find the vulnerabilities and remove them before they're being maliciously used so for asking the trade it's important to know where it comes from but for you as building at the defense it doesn't really matter. you need to take every step to protect yourself no matter where the threat is coming from. and you talk to companies

quite a bit when you're negotiating them and helping them out with the legal situations. are you seen more willingness to be the government as an oppositional force? >> it is a fields of dream problem. if you collect the data that they will come that includes attackers organized crime law enforcement and intelligence agencies. if the data is there you have to protect it one way of protecting it is to is to not selected in the first place which some companies put to great use. it doesn't had access to content. it's a the great way of keeping it all secure but seems like that's can be more prevalent we couldn't even give it to you if we wanted to. that's what apple is developing.

i wouldn't be surprised if we saw icloud go to a zero knowledge solution as an option within the year. the whole host of technical issues. are they preparing for the situations where you're advising companies on the systems more and more. >> our role is not directed to advice. we are a marketplace for the world's largest committee of hackers all over the world and in all of the leading companies that need the service of that. we connect the hackers was a companies is not a core part of our business. all the advice and is still good. give a cheat sheet for

messaging systems you're putting it back what we used to cause this. which we took down last week because her updating and the only eta i can give you as soon not trying to hide the ball i actually don't know if we've a call at 2:00 this afternoon to discuss exactly when that will go up. we make one last thing i want to touch on really quickly is the issue has arisen of the pink code versus fingerprints. they were forced to do that. what is your personal view on the pin code authorizations.

it is much more robust as an authenticator than a four bridget -- digit pin. i turn it off when i go through customs because on first boot it does not idaho the los angeles court was probably correct they wrote an article for wired in 2012 or 2015. discussing the fifth amendment implication. it is the right to be free from self information. i can be compelled to give a breathalyzer test for alcohol or provide my fingerprint for a fingerprint compare sent and

in that same line of cases we think the argument is pretty good to put your finger on the device. think about whether you want your thumb or a different finger just something to keep in mind. >> thank you very much. [applause]. i hope everyone feels more private and more secure. that is perfect for me and you. am i alone in this room we will get into it. it takes time for us to warm up to each other. welcome to the stage at the next guest.

i'm here is our moderator. thank you for joining us here in new york where you are headquartered. we are excited to be here. for those of you who don't know is an e-mail newsletter geared towards young women and it's basically a cliff notes of cliff notes of the news of the day. we used to be producers what inspired you to quit your job and start this? >> we really focus on female millenials. it is to make it easier to be smarter.

the way we got there was a really personal first-hand experience. we worked for nbc news. we want to work there are entire lives. we met studying abroad in college. we have moved up the ladder there we loved it. we would go home at the end of the day and i've friends who are all smart have great jobs would ask us what happened is what happened in the world. we were being paid to know what was going on. and then they were looking at things that interested them. there was this gap what's going on in the world that you should know to be a normal person. that's what we set out to create. in order we know that because

that's what we did first thing in the morning. you are growing really fast. it's pretty impressive. we are able to spread the word. you know you have a viral marketing program. we have ambassadors the way we started it was very organic we were solving a problem that we saw that our friends have in their day. we quit our jobs living in a really tiny apartment downtown just across the water in the first day we literally corralled all of our gmail contacts and facebook contacts and we e-mailed about 5500

people and we said we just quit our jobs will you sign up for this day one we got about 700 people to sign up which is a really good return and people just started paying it forward. the kindness of our friends and family. we were really lucky the press picked up right away and so there's a lot of organic tax in the first few weeks. they would write in say i never ran into anything but i love what you're doing. we were getting all of these e-mails and she said why do you ask those people who write in to share the skimm with their friends. every time they wrote and we were when we would say think so much please share the skin with your friends. everyone would be like okay no problem. it was amazing to see it started developing penpal relationships and they would joke my friends are calling me a brand ambassador had just became this thing and our first employee when we raise

the money we hire someone who was a reader about a year at a school we said we have all of these people calling themselves this let's do something. so fast-forward through a lot of stuff against the wall and now we have well over 2000 across the country that are showing our demographic. that group of 13,000 ambassadors has influenced or brought in over 19% of our over there -- overall user growth. those are the biggest mouth we know in the best way. cementing for us. we are even amazed if we look at the growth that this company has taken. three and half years ago and now we are not only the fastest newsletter on the market but we are definitely the third ranked morning tv show. for us it was never just about

giving this audience the skill. it was wanting to engage the audience on the way. the open rate fluctuates about what he% each day. when you think about scale there is always going to be a drop off from the beginning it was like you can grow but how can you make people still love it and open it each day. that was a mix of two things. making sure we have a voice of the audience. and secondly what we hear again and again is that when people they feel invested in our growth because it's really how we gotten out off the couch. >> it is an iphone app it's basically a calendar of the day's events which could be anything from a beyoncé album's release it cost you 99 a month. how many people had signed up

we have that. we are blown away by the response. we have never seen such positive engagement or reviews about a product line. it's doing very will i think for us we think about the new product as a company we make it easier to be smarter. there was so many different directions we can go in. we've been fortunate to have a lot of different opportunities i think we become really good at saying no to things and it was really exciting to see that and say yes to that. what is this audience do. we know that they check their e-mail first thing in the morning. were doing that were only not then they're working professional there working professional what else do they do. i'm sure a lot of people in this audience would agree we all live on our calendars. i've no idea where i'm going unless my calendar tells me. so for us they have to get

into that routine. we created this and the concept around it was inspired by her friends. our friends who were the same ones that are super supersmart and had great jobs they were also they told us it's great that you tell me state of the union is on tonight but i already had plans tonight. i really wanted to stay home for that. it's great that you referenced house of cards on monday but i didn't know it was coming back. we thought to leverage that what is that void that we can fill in basically the way we think about is the daily skin e-mail that makes it easier to be smarter about everything that happened yesterday and everything you should talk about today it is less be -- let's be smarter about what's coming up. we are enabling you to integrate into your calendar. we are saying here are all of the events that you are trusting our filter to tell you about. whether it's orange as the new

black is coming back or that the next the primaries are today if you are voting today. or its national sibling day. it could be annoying but if you want to participate here it is. this is how it can equip you for that. it really represented a pivotal moment in our company. the primary revenue stream was sponsorship base. we work with premium brands and we do so in a way that feels really organic to our audience. it's gone over really well. now with the launch we also have a substantial business when we look at what we've created over the past three and half years it's this engaged audience at scale with two different revenue streams that we can definitely build out in the future. there is a media business and then subscription business. and it all works from the newsletter being the anchor of the brand.

and that's really what we set out to do. it was never lets let's create a newsletter company that's where they gather every morning. we can create different products that appeal to different parts of the audience. >> advertising is a little different than what they do do you always let your readers know that it sponsored? >> yes if you looking from the logo to the different pieces of inventory it is clearly sponsored and it is also never touches the actual news we are writing about. it doesn't touch the actual news of the day. we never wanted our audience it's something we learned early on. we used to tell them in the beginning that you're gonna see an ad tomorrow and give

them a heads up. i felt like from that we made a decision to be transparent with our audience. we are young company we need to make money somehow. if you're open and you're honest about it people understand their needs to be advertising agencies to be done well. we would get thank you notes from our audience. we made sure that we don't work with brands and less were proud of the advertising that we are creating. you had raised over $6 million. any plans to raise more funding. we haven't really focused on launching this. it's been really exciting to see the growth that has happened since we raised the money last. and the revenue we been able to bring in. those are two different streams. it's something that's enabled us to not had to raise that money. it's always a nice feeling for a growing company. we used to say we are pre-

revenue company that's a fancy way to say you have no money. as co- ceos who is really calling the shots here. we've never thought about it in terms of that. it's a partnership we started it together and were definitely co- ceos and founder. it's never who is the one making the decision it's these are two-point abuse if were ever at forever and a place where we have a different opinion we come up with a plan and we think about trying something out give it a run there is not a lot of companies that had co- ceos. it was something the one thing that we have when we started we didn't have a business background. all of this was so new people always ask us what was it like to launch a company with your

roomie is not like let's move in together and start a company i think it is unique we asked that question a lot. when we took in money it was very easy for us to figure out because we really were with people that understood we have a unique relationship and a great partnership recently it was great we went to go meet with an early investor and give an update on the business they interrupt the meeting and said i just head to say you guys should be part of the business. you should be proud that his doing so well. we are very proud of it. it's good you're getting along. you've a very small team it's only three people we are asking that. it wasn't that long ago that we were the whole company for the first year and half.

to go from this in under two years we look around and we think you guys are doing great. twenty people work at the skimm. you a large reach considering that. how many people aren't the editorial team. i think that says a lot about how we think about the future of the company and were really proud were a lean and mean start up. and you guys put together there's a snarky comment before each news piece. how do you determine that we created a character and she has a very specific verse.

it's something that we bring on a new employee. not something that helped our writers obviously when their writing the newsletter but also helped our engineers think about what products she would want in the future and who she would work with and what she would interact with. when we started my friends would say to me all the time i'd no idea that danielle was so funny. i have no idea carly was so funny. neither of us are funny. we get asked all the time where it is a snarky part come from or the humor in those scenarios and i think for us it's not humor it's everyone has that no bs friend. the skin girl represents that. when you're just telling your friend what happens in there.

it doesn't matter which it is you just say it like it is. we love to use the scenarios as a way to reference the fact that we have these shared experiences whether it's a long line at starbucks and how to integrate normal con for station into that. you have these helpful guides for how to use snap chat do you plan on doing more expanding beyond newsletters? >> it is the first service that we launched and there's clearly a lot more products we want to create i think it is also something with our guides that came from our audience they were writing an insane we know these guys are writing

about syria every single day's but a lot of it's really complicated there are a lot of issues in the world and for those particular topics we wanted to dedicate more time and from there it's really becoming a great thing that people look forward to and they know they can get it through reading the newsletter and clicking a link. sometimes half of the links we go to our our own content now. >> only a few people in your team you've a wide range of topics you can be experts at everything we never said that we were i think it goes back to her training in nbc news.

no one there they have political experts for us it's how do we translate what is going on in the world. it's one of the things we got e-mails and great outreach all the time his say i'm an expert on this let me come work for you and we say we want people that can be translators with us and understand that our goal and mission is to make it easier to be smarter. is through a voice that makes it easy to understand. >> and we were fundraising people would say are you a tech company. if we have to pick were to be an audience company. i think it really goes back to

what is this audience want to be and how do we make them feel confident and they don't necessarily want to be an expert on foreign-policy on on what's going on but everyone wants to feel like they have an opinion and something to contribute to the conversation. breaking it down into layman's terms. will there be a video component component our goal as a company we want to take every time you look at your phone you are reading it. we want every time that you're looking at your phone that's the new definition of me time. it doesn't matter that is a new definition. we want to on that. we want to make it easier to

be smarter. we are the new morning television show we call that the one eye open routine and now were doing on the calendar and other routines to come. it's great to see two young women getting funding doing really well do you have any advice for some of the aspirational and young women young women out there who want to start a company? >> everyone says this but it's true don't quit. you have to really believe in what you're doing. if you don't go out there and you don't sell that vision how can you have other people buy into it literally and figuratively i think we heard again and again now, no why would you launch that. no i won't fund you. there's two different paths you can take.

and then the other is we quit our jobs we believe in this our friends like it we know that there's a huge market for female millenials not getting enough information. and we just did that. it's really the easiest thing. i would add know your audience. no matter what your company as there are very few companies that are there for a huge mass audience. i think the key is know who is your product four. i think for us that has really been our true north. we are at a time but it was so great to hear about the skimm. congress is in the final weeks of summer break they've been spending time in their home state with her family friends and constituents and dogs. today is national dog day.

and several members had been sharing pictures of their pets on social media. wishing folks a happy national dog day. they celebrated with frankie and ellie in illinois. congressman mike quigley shared this picture. senator marco rubio shared a couple of photos of the french bulldog he meant the campaign trail. in california they spent the morning with those. the ap reported that he escaped from the governor's mansion. the house and senate to return after labor day on tuesday september six.

they must pass federal spending legislatures. the house is expected to talk about impeaching the congressman. you can see it live on c-span two. we are showing book tv programs are in the week in prime time. they take the public affairs program through author interviews and book discussions. one author's work with questions from viewers via phone, e-mail and social media. it airs the first sunday of every month.

afterwards there's a one-on-one conversation between an author of a new book and the interviewer is either a journalist or a legislature familiar with the topic. and often with opposing viewpoint. and we will take you across the country visiting book festivals author events and book parties where they talk about their latest works. it is the only national network devoted exclusively to nonfiction books. television for serious readers. >> a three judge panel in richmond virginia struck down the north carolina voting laws. it must pass by the budgets later with a racially discriminatory intent. in the voting rights act. the new law produces a government issues idaho.