Nextdoor Tipped As Next Big Social Network
News: US-based social networking site for neighbourhoods Nextdoor is expected to become the next big social network by a growing number of investors, reports TechCrunch. Nextdoor, which is now used by 22,500 neighbourhoods, is ready to go global with US$60mn worth of funding from veteran investors it secured in a series C financing round. The company's investors include John Doerr and Mary Meeker of Kleiner Perkins Caufield & Byers and Lee Fixel of Tiger Global Management. Nextdoor has now received a total of more than US$100mn in funding and is expected to use the latest funds to significantly ramp up hiring and add to its engineering till late 2014.
BMI View: We forecast relatively strong growth in US IT spending compared with other developed markets over the medium term. Total spending is expected to reach US$588bn in 2013, up 6.6% from 2012, and grow at a compound annual growth rate of 5.1% to 2017. Economic uncertainty continues to be a drag on spending, and there are some areas where sales are in decline, for instance, desktops and notebooks, and some areas government spending due to fiscal retrenchment. However, other areas of the market are growing rapidly, for instance, tablet sales are booming and enterprise adoption of emerging technologies such as real-time enterprise software and Big Data. The US is also the leading cloud computing market globally with widespread adoption by enterprises, including leading the way in the most advanced applications. Although the National Security Agency PRISM revelations have dampened demand for US cloud services in other countries, most notably Europe, the impact on the US market is expected to be relatively limited.