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Kwedit, the innovative and suddenly controversial payments platform for virtual goods, is releasing some early data.

The service lets users promise to pay later in lieu of a direct credit card payment when they want virtual currency for social games like Farmville. It’s not a legally binding promise, but users have an incentive to pay amounts owed because that allows them to get more virtual currency through the service. Users can pay by, among other methods, mailing in cash or paying at a 7-11.

When the product first launched they had no idea what percentage of promises would be repaid. Anything at all is incremental revenue to game publishers, and since the stuff they’re selling has no marginal cost (virtual currency), it’s all upside. But after nearly two months of being live, they say the repayment rate is 25.9% If you’re a credit company that would put you out of business.

But for game publishers, that’s a staggeringly attractive monetization option. Hopefully the company (or its partners) will also disclose the monetization rate as well down the road. Because right now game publishers are only able to get cash out of 1-3% of users. If they can get another few percent to pay via Kwedit, and 25% of that money is actually paid, revenue from games can double or more.

It’s controversial because Colbert made fun of it, and then the Huffington Post and CBS jumped on the bandwagon. CBS actually called it “toxic.”

Founder Danny Shader posted a long response here. But the short version is this – the criticism is ridiculous. It’s coming in one case from a competitor (the Huffington Post article was written by the CEO of a company that promotes Visa cards to teens and adults, without any sort of disclosure on the conflict). And the author of the CBS article doesn’t appear to actually understand the product and seems more concerned with getting parents all worked up.

The really scary stuff in social games was the Scamville nonsense where teens and pre-teens where being tricked into putting long term subscription charges on their parent’s cell phone and credit card bills. Kwedit isn’t even close to that kind of evil. It’s simply a very clever way of monetizing social games, and the most innovative new payments product I’ve seen in a very long while.

CrunchBase InformationKweditInformation provided by CrunchBase

We’ve talked a lot this week about the so-called “Location War” brewing at the SXSW festival in Austin, Texas starting tomorrow. That war will happen, but actually, there are likely to be a lot of winners because a few of the location-based services should be able to leverage the exposure to gain usage after the conference. Those with real bloodlust should probably be watching another war: AT&T versus everyone in Austin on their network.

AT&T’s struggles to stay up last year are well-documented. CNN recently ran a piece about how AT&T hopes to avoid a similar fate this year. But actually, “struggles” is way too kind of a word. If you were at SXSW last year and happened to be on AT&T’s network — like, say, if you had an iPhone, like many festival-goers did — it was an absolute nightmare. You couldn’t make a call. You couldn’t send a text. Data? Ha. At a few points early on I seriously wondered if I had forgotten to pay my bill and AT&T had simply shut my phone off — except that it was happening to everyone.

AT&T has a funny word for the failure, they like to say “unprecedented.” As in, the usage of its network was at level previously unseen as a strong percentage of the over 10,000 festival goers (just the interactive part) were using iPhones. Well guess what? Word is that is year, there will be some 15,000 people there for the interactive part. As Samual L. Jackson’s character, Mr. Arnold, says in Jurassic Park, “Hold on to your butts.”

I’m leaving for Austin tomorrow and I’m terrified of what the AT&T situation will be when I get there. So much so, that I have a back-up plan (which Sprint sent me just in time to test out during SXSW after reading some of my rants against AT&T). With attendance up as much as 50% from the previous year, the number of iPhones in use is sure to be through the roof as well. Did I mention that just about every location-based service known to man is launching an app at the event and hoping every single one of those 15,000 people use it all the time? And based on the early signs, they intend to.

You’ll remember that after Mr. Arnold says the above line in the movie, he’s savagely ripped limb from limb by a velociraptor.

But there may be hope for AT&T. They’re clearly well aware of the failure last year, and did try to solve the issue to minimal effect towards the end of the conference. I asked a company representative what they’re planning to do this year, and they have a plan of attack.

Much of what they sent me is fairly technical, but basically, they now have a system around the Austin Convention Center (where SXSW takes place) that’s the equivalent of 8 cell sites, with 50 antenna nodes to cover the whole venue. Also, they’ve greatly expanded network capacity, moving from one radio network carrier to three, boosting the spectrum available for phones to use. They also say they’ve expanded the capacity of the so-called “high quality” 850 MHz spectrum, which works better indoors because those signals can go through walls more easily. They also have the new HSPA 7.2 software installed at all of the 3G cell towers now. But don’t be confused: that doesn’t mean their network has been upgraded to 7.2 Mbit/s speeds (sadly, at the peak, it’s still half that in almost all of the country), it just means that the upgraded software is in place and should be more reliable and efficient.

But there’s more. AT&T has brought in two Cells on Wheels (the so-called COWS that they brought in to help last year), and also a third rooftop temporary cell site. Each of these are equipped with both 3G and WiFi networks to help alleviate overall network strain. AT&T says these three cells are placed in optimal positions around the city of Austin where they expect the most strain.

All of that sounds great, but I’m still terrified. Why? Because I live in San Francisco. AT&T has known for months that the network is awful here, and while there have been baby steps taken to improve it in some areas, more often than not, it’s still awful. Take tonight, for example. So if AT&T knows it’s bad here, but still can’t seem to fix it, why should I believe Austin will be any different? I don’t. I’ll just have to hope I’m wrong.

Or I’ll have to kick back, relax, and take joy in the bloodbath as iPhones are magically turned into glistening bricks being hurled in anger left and right. As I boot up the Sprint Hotspot, of course.

[photo: universal pictures]

CrunchBase InformationAT&TInformation provided by CrunchBase

Zimbalam, the digital music distributor from Believe Digital, launches in the US today.

The service lets artists submit and distribute their music through 25 of the most popular music platforms, including Apple’s iTunes and Spotify, in addition to “several hundred additional stores worldwide”. This makes Zimbalam the largest music distribution network as measured by number of stores and geographic reach, says the Paris-based company.

To distribute their music via Zimbalam’s network, artists are charged a simple annual fee ($29.99 in year one then $19.98 per year after for an EP or album) and then once the fee is recouped, get to keep 100% of royalties – after, of course, whatever commission is taken by each store. Additionally, following year one, artists won’t be charged by Zimbalam if they don’t make enough sales to cover the annual fee.

The official Foursquare account just sent out a tweet letting everyone know that today is already the service’s biggest day ever. This is interesting since it’s actually the day before the SXSW conference kicks off in Austin, Texas.

According to the tweet, Foursquare broke 275,000 check-ins (the previous record, set last Friday) for the day “hours ago.” This means they’re very likely well past 300,000 now and perhaps even higher. To put that in some perspective, just a month ago, Foursquare set a record with 1.2 million check-ins for the entire week. And that was double was it was the month prior. At today’s rate, Foursquare would be doing well over 2 million check-ins a week.

Today happens to be the first birthday of Foursquare, so they shared some numbers earlier. The service now has over 500,000 users, they’ve given out over 1 million badges, there are over 1.4 million venues in the system, with over 1,200 specials available. And in total, there have been some 15.5 million check-ins. But that was before today’s record numbers.

While there are well over a dozen location-based services launching something at SXSW, the main two competitors vying for users’ time are expected to be Foursquare and Austin-native Gowalla. For its part, Gowalla noted that it was “Amazing to watch the Gowalla action on the eve of SXSW. AMAAAAAAZING!,” earlier today. Both recently revamped their websites, and both yesterday launched their new iPhone apps. And judging from the Vicarious.ly data provided by SimpleGeo, both are absolutely on fire right now and could go nuclear this weekend.

Update: Gowalla has a range of just about every possible venue you can imagine for SXSW and so far (again, the day before the conference), they’ve seen 352 check-ins at the SXSW Badge Pick-Up alone.

CrunchBase InformationFoursquareGowallaInformation provided by CrunchBase

There are no shortage of location-based services launching this week at SXSW in Austin, Texas. Many of them allow you to “check-in” places to let others know you are there. So how do you differentiate between then and decide which to use? Well, here’s one good way.

CauseWorld, is a free iPhone and Android app that lets you check-in places, but it has an added real-world bonus: big brands give money to charity when you do so. And this week at SXSW, CauseWorld is teaming up with TechCrunch to offer double point (which they aptly call “karma”) when you check in to one of over 50 venues around Austin (I’ll paste the full list at the bottom of the post), including the Austin Convention Center (where SXSW is held).

We’ve covered CauseWorld, which is the first offering from the soon-to-launch ShopKick, a few times now. It’s a great product because it takes an area that is red hot right now, location-based check-ins, and converts it into good deeds in the real world. For example, if you check-in at a store, you may earn 20 karma points. As you continue to accumulate these, you can turn them into real dollar donations for causes such as water in Sudan or trees in the Amazon. Brands such as Kraft Foods and Citi are currently giving the donations based on what users choose to trade their karma points for. The best part is, you don’t even have to buy anything — you simply check-in at various venues and earn the points. And again, this week at SXSW, checking-in with the app at a bunch of venues will earn you double karma points.

And like any good service with a gaming element, there’s a leaderboard to show who has donated the most karma points. And yes, checking-in can earn you badges, such as the TechCrunch one show in this post.

So if you’re going to be in Austin for SXSW this week. Or really, if you just want to do some good with your mobile device, check out CauseWorld. Find it in the App Store here, or in the Android Market (on your Android device).

Below find the 54 participating double karma Austin check-in spots:

1. Aces Lounge
2. Alamo Drafthouse
3. Amsterdam Café
4. Austin Convention Center
5. Austin Music Hall
6. B D Riley’s Irish Pub
7. Barbarella
8. Beso Cantina
9. Bob Bullock Theater
10. Buffalo Billiard
11. Café Mozart
12. Carver Museum and Cultural Center
13. Cedar Door
14. Chupacabra Cantina
15. Chuy’s
16. Clay Pit
17. Club Deville
18. Cuba Libre
19. Dirty Dog Bar
20. Elysium
21. Emo’s
22. Emo’s Annex
23. Flamingo Cantina
24. Hyde Park Bar & Grill
25. Iron Cactus
26. Karma Lounge
27. Kenichi
28. Kerbey Lane
29. La Zona Rosa
30. Lambert’s Downtown
31. Lustre Pearl, Lustre Pearl Bar
32. Malaga, Malaga Tapas & Bar
33. Malverde
34. Mellow Johnny’s
35. Molotov Lounge
36. Moonshine Bar and Grill
37. Opal Divines
38. Palm Door
39. Red 7
40. Red Eye Fly
41. Rudy’s Country Store and BBQ
42. Rusty Spurs
43. Salt Lick BBQ
44. Spider House Café
45. Stubb’s BBQ
46. Stubbs
47. The Belmont
48. The Best Wurst I
49. The Highball
50. The Scoot Inn
51. Uncorked Tasting Room
52. Velveeta Room
53. Victory Grill
54. Vortex Repertory

Back in November of last year, the location-based social event service Hot Potato launched at our Realtime CrunchUp. Today, they’ve taken what was a solid service, and made it a lot better with a number of upgrades.

First and foremost, there is a new iPhone application that just went live in the App Store. With a completely revamped user interface, the app makes it easier than ever to find and participate in events. Perhaps more importantly, it makes it really easy to create new events — and notably, the service has the nicest third-party Foursquare integration I’ve ever seen. When you click on the button to create an event, you can still manually enter a location, but if you happen to be around the venue, you can simply pick it from Foursquare’s list of venues with the click of a button. This drastically simplifies the event creation process since the venue metadata is already there.

This new app will be crucial for the SXSW festival in Austin, Texas, which starts tomorrow. If you’ve been reading TechCrunch over the past week, you’ve undoubtedly seen that just about every location-based service has an app they’re unveiling. And another service based around planning events, Plancast, just launched their app this evening. But Hot Potato offers the best of both worlds as it allows you to both plan future events, and interact with ones currently taking place. The new app makes it very easy to chat about the event, and upload photos and videos.

And they’ve cleaned up the stream of information around these events. There is now a filter to show everyone commenting, or just your friends. There are also now number indicators to show unread items. And the check-in process has been simplified thanks to big green buttons that make it obvious.

Also new for SXSW is Twitter integration. On a case-by-case basis, Hot Potato will be pulling in tweets about certain events at SXSW, using a filter to make sure only relevant ones show up. You’ll be able to do things such as filter those tweets to show only those by people you actually follow, which will make them potentially much more meaningful to you. You can also reply to tweets thanks to integration of Twitter’s API. And you can share tweets from within the app that will show up as retweets on Twitter.

Another new features is Calendars — something which each Hot Potato user now has. Obviously, you can add the events you wish to be a part of to your calendar, but people you are friends with on the service can also add you to other events as well. The app also now features Push Notifications now (on top of revamped email notifications).

On top of the new app, Hot Potato has rolled out a completely revamped website with just about all of the same functionality of the new app (as well as the new look and feel). And at the highest level, Hot Potato finally has its own social graph, which can pull in friends from the usual suspects: Facebook, Twitter, your address book, etc.

And here’s something that should really help Hot Potato this week: each time someone checks-in to a SXSW event with Foursquare, that service will recommend they also join the event on Hot Potato. Clicking on the accompanying link provided in the Foursquare app with open the Hot Potato app and let them join the event with a click (if they have an account). As you might expect, you can also check-in to a venue on Foursquare within Hot Potato. With Foursquare likely to be one of the key apps used by conference goers, this cross promotion is simply huge.

On top of all of this, the service now has its own full API, so others can use and interact with their data.

Simply put, all these updates are full of win, and make a good app even better. And remarkably, they’ve managed to cram in all these new features while at the same time simplifying the overall experience.

Fine the new iPhone app here in the App Store. It’s a free download.

CrunchBase InformationHot PotatoiPhoneFoursquareInformation provided by CrunchBase

It’s getting tough to keep up with all of the location-related developments leading up to this year’s SXSW, and they just keep coming. Tonight, on the eve of the event, Plancast has just had its iPhone application approved. The service, which we’ve previously described as a ‘Foursquare for the future’, allows you to tell your friends where you’re planning to be as opposed to where you currently are (in other words, it lets you and your friends plan ahead). You can grab the new iPhone app here.

The application itself looks solid, and includes the core functionality you’ll find on the Plancast website. The main view allows you to scroll through a list of your friends’ upcoming events, and tapping on an event will show you where it is on a map and who else is going. At SXSW, where there are always many panels and parties going on, this can come in handy — sometimes it’s more practical to plan ahead than it is to walk across town when you notice a few of your friends are checking in somewhere.  One feature I’d like to see is a way to get push notifications when a bunch of friends are planning to attend the same event (e.g. “Hey, your friends are all going to Salt Lick in a few hours!”); hopefully we’ll get something like that in the next release. There’s also a mobile version of the site available for users on other mobile platforms.

Plancast was founded by TC alum Mark Hendrickson, and recently closed an $800,000 seed funding round that included a bevy of well known angels like SoftTech VC, Dave McClure, and Joshua Schachter.

For other SXSW-related location news, see Loopt’s new iPhone app, Gowalla’s new app, and Vicarious.ly, a new app from SimpleGeo that brings all of this location data together.

CrunchBase InformationPlancastInformation provided by CrunchBase

This morning Google announced a new Blue Dot feature on the mobile version of Google Product Search that shows whether a product is in-stock at nearby stores. This seems to pose a threat to startup Milo, which highlights local inventory in product search results both on the web and mobile devices. Milo’s co-founder Ted Dziuba subsequently responded to our post with a Tweet that read “Google Product Search has availability for 5 retailers vs. Milo’s 49. Super cool web service, bro.” At launch Google only has partnerships with Best Buy, Sears, Williams-Sonoma, Pottery Barn, and West Elm. Milo’s list of merchants includes a range of retailers, from BestBuy and Nordstrom to Midwestern regional department store Blain’s Farm and Fleet.

When we asked for an additional response, Milo sent us this amazing set of pictures below. Milo’s Palo Alto office’s are located at 165 University Avenue, in the same space as Google’s first office back in 1999. Look closely at the picture and you may even see a few of the famous faces from Google’s original team. The building itself is legendary in Silicon Valley and has also housed PayPal. Here’s a 2007 New York Times article detailing the building’s history and apparent lucky karma. The picture of the Google employees was given to Milo by one of its investors.

Milo CEO and co-founder Jack Abraham was quick to respond that they are not implying that Milo is the next Google, but just meant to inject some light-hearted humor into the situation. In all seriousness, Abraham said that Milo has a tremendous amount of respect for Google and its Product Search but aren’t scared of the search giant entering the market and actually welcomes the competition. Abraham and his team have been working for the past two years to scale their product and feel that their offering is more comprehensive than Google’s Blue Dot specials. While Milo is steadily expanding its merchants both regionally and nationally, the startup is also looking to partner with mom and pop shops in cities. Currently, Milo indexes 2 million products.

And Forrester reports that the “online research, offline buying” consumer market represents $917 billion in consumer spending, which is 30 percent of all U.S. retail sales. Online, e-commerce spending accounts for less than 5 percent of U.S. sales. With those numbers, it comes of no surprise that Google wants a piece of the pie. But perhaps there’s enough room for a number of players to monetize from this space.

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Most people in the world hear Hewlett-Packard and think “printers.” And who can blame them? Since the relatively recent emphasis on the “HP” instead of “Hewlett-Packard,” and the general consumer move away from printers, HP hasn’t really done anything noteworthy — well, other than thrive despite the decline of the business in which they made their fortune. It’s like the old joke about the bricklayer and the sheep — but instead of drowning their sorrows in gin, HP is drowning them in money in an effort to rebrand the company. To that end, they’ve created a series of ads with the questionable tagline “Let’s Do Amazing.”

It’s not much of a time investment: a few 30-second spots with Flight of the Conchords‘ Rhys Darby bumbling around some professionals who appreciate what HP does. Won’t you join me for a look?

Read the rest of this story at CrunchGear…

Apple has set the standard that once every year they will release a new version of the iPhone. It stands to reason that this year will be no different, with a new model likely coming sometime this summer. But arguably just as important as Apple’s hardware refresh is the accompanying software refresh that comes with it as well. And that’s why it shouldn’t be surprising at all that whispers of iPhone OS 4.0 are starting to grow. But this year, the timeline appears a bit off.

As AppleInsider reported today, iPhone OS 4.0 is likely to deliver multitasking support. If true, that will make it perhaps the most important OS upgrade for the platform yet. However, in reporting the news, AppleInsider also notes that the software, “remains under development and reportedly has a quite ‘way to go’ before it’s ready for prime time.” Looking back at the iPhone OS SDK history you’ll notice a constant: Apple has released the beta builds in March the past two years. We’re already well into March this year, and so far, no word about Apple being close to doing the same.

In fact, last year, Apple held its iPhone OS 3.0 preview event (where it first made a beta available) on March 17. I remember this well because I was unable to attend as I was at the SXSW festival in Austin, Texas. I also remember when Apple sent out the invites to that event, March 12, because I wrote up the report about it on my way to the airport to leave for Austin. But the difference last year is that there were whispers leading up to that announcement that there would be some kind of event in March for the iPhone OS. This year, so far, nothing.

Now, it’s possible that some of the speculation about the new iPhone OS release has been muted because of the recent iPad unveiling, and it’s upcoming launch on April 3. But that very launch also adds fuel to the fire that we won’t be seeing an iPhone 4.0 OS anytime soon. After all, Apple is currently in the process of rolling out the beta builds of iPhone OS 3.2 (currently on beta 4), which is the OS the iPad will apparently ship with.

The launch of the SDK is important because it gives developers time to get their apps ready for any big changes coming. And multitasking seems like it would be a pretty huge change, though it’s not entirely clear if most of the work would be done through the OS itself to optimize how app resources are managed, rather than apps having to do that themselves to be deemed “multitasking ready.” Hell, it’s not even clear if any iPhone beyond the inevitable new one will be allowed to let third-party apps run at the same time as the new hardware will undoubtedly have a faster processor (possibly the A4 found in the iPad), more RAM, and maybe even a better battery — all of which will be crucial to multitasking.

I’ve spoken with a few developers and none have yet seen any part of the iPhone 4.0 OS. A few have gotten word from the company that it is indeed coming, and that big changes are in store (which had led me to speculate about background running in the past) but have no idea when that will be. Apple, meanwhile, has been thinking about how best to let third-party applications run in the background on the iPhone for about a year now.

It seems unlikely that Apple would launch a new iPhone OS without giving developers plenty of time to play around with it. And since there is no word about the 4.0 SDK coming anytime soon, that could well mean a push from the usual June/July timeframe for a new (final build) iPhone OS launch. Might we see new iPhone hardware that launches with OS 3.2? And then iPhone OS 4.0 would be released as a free upgrade closer to the Fall timeframe? It certainly seems possible.

CrunchBase InformationiPhoneInformation provided by CrunchBase

As I’ve made abundantly clear over the past several days, just about every service that has anything to do with location is launching something at the SXSW festival which starts tomorrow in Austin, Texas. Don’t believe me, here’s a small sampling (Foursquare, Gowalla, Loopt, Whrrl, Plancast, Brizzly, Twitter). So, how are you going to wrap your head around all this location data? SimpleGeo has an awesome way.

Vicarious.ly is a real-time location-based stream of information presented in a nice visual way. While the plan is to eventually launch one for many different cities around the U.S. and eventually the world, the first one is based around Austin, for SXSW. To make it, SimpleGeo partnered with BlockChalk, Brightkite, Bump Technologies, Flickr, Fwix, Foursquare, Gowalla, and Twitter to pull all of their location data and place it both in a constantly-updating stream, and put data points on a Google Map at the top of the page. These data points are represented by the logos of the various companies, so it’s easy to follow visually.

Those concerned about the privacy implications of this need not worry, Vicarious.ly doesn’t pull actual user names from the companies mentioned above. Instead, they simply note that “someone” checked-in at a venue. They do, however, give the venue name, which is a hyperlink. So if someone just checked into Stubb’s Bar-B-Q in Austin on Gowalla, you’ll see a link back to the Gowalla page for that venue. Likewise, if someone uploads a geotagged picture to Flickr, you’ll see a thumbnail of the picture in Vicarious.ly’s stream, and clicking on it will take you to that picture’s Flickr page.

It’s fairly amazing to see just how much activity there is even today, the day before the conference starts. Tomorrow and the weekend should be insane. “The amount of real-time, location-based information we’re indexing is staggering.  We wanted a powerful way to showcase that, so we built Vicarious.ly and targeted the launch to coincide with a massive gathering of geeks,” co-founder Matt Galligan says about the project.

You’ll note just how much of the activity are check-ins from either Foursquare or Gowalla. Those two are likely to be the two main competitors in the location war that will take place this weekend. (If you’re surprised not to see tweets in the stream, it’s a bug that SimpleGeo hopes to squash tonight).

For more on SimpleGeo, which has a powerful set of tools to easily provide geolocation infrastructure for other companies (such as the new hot startup, StickyBits), check out this and this.

CrunchBase Information SimpleGeo Foursquare Gowalla Twitter Information provided by CrunchBase

Last November, MSNBC acquired the Twitter account @breakingnews, which was started as a basic newswire by Michael van Poppel and gradually grew to 1.4 million followers (it’s now up to over 1.6 million). A month later, MSNBC announced that it had acquired BreakingNews.com, which has become a web portal for the online newswire. And today, it’s managed to complete the trifecta: MSNBC has just launched a Facebook Page at Facebook.com/BreakingNews.

MSNBC spokesperson Gina Stikes says that the new Facebook account will only send updates for the biggest stories to break (you can still use its other feeds if you want to receive every story to come from the service). The page is obviously still quite new (it only has 645 fans right now), but you can expect that the grow quickly.

Just how quickly is the big question, though: we’ll have to wait to see if MSNBC will be able to leverage its large community on Twitter to establish its Facebook page.  In any case, it’s managed to take ownership of the term “breaking news” across a large swath of the web, which is no small feat.

Aol launched Lifestream, a social aggregator and publisher, as part of their AIM platform at TechCrunch50 Last Fall. Since then it has gained nearly 2 million users, say Aol. Based on that success Aol is now launching Lifestream as a standalone product at lifestream.aol.com.

Like Friendfeed, Lifestream aggregates a number of third party social networks – Facebook, Twitter, MySpace, Foursquare, Delicious, Digg, Flickr, YouTube, etc., so if you follow a Lifestream user you’ll see all of the content that user publishes on those networks, and Lifestream automatically pulls in content from people you already follow on those various social networks, so you don’t have to create yet another new friend list. Lifestream isn’t yet integrated with Google Buzz, but Aol says it may be coming soon.

Users can filter out content from specific networks if they like, on a per user or broad basis. A way to think about this – “noise cancellation for social networks.”

Lifestream also lets users publish back to social networks. Status updates posted to Lifestream can be posted back to Facebook, Myspace and/or Twitter. Lifestream also optionally notes your location in your status updates via GPS on mobile devices, or you can manually add it instead.

That’s not it though. Users can sign in to Lifestream using their Facebook account via Facebook Connect, making it unnecessary to remember separate account and credentials for the site.

You also have a variety of choices in how you use Lifestream. You can access it via the website, an AIR application, or via iPhone and Android applications. As I said above, the mobile applications are particularly useful because they auto-note your location for easy check-ins, and you can post pictures you take from the phone.

That mobile version of the product is what excites me most. You can see where your friends are checking into on, say, Foursquare, click through to a place page and then go there yourself and check in. And Lifestream allows you to follow places just like people, so you can see whenever someone checks in to your local cafe or bar. That ability to follow places is probably the single best reason to use Lifestream.

The Lifestream product is simple, intuitive and really, really useful. Frankly it’s what Google Buzz should have been – both an independent social network on its own, but very deep integration into all of the other social networks you are likely to use daily. It’s nice to see actual innovation coming out of Aol.

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Google just launched a new feature on the mobile version of Google Product Search which could take local shopping search startup Milo out at the knees. Whenever you do a Google product search from a mobile phone, blue dots will appear next to items which are in-stock at nearby stores. The image at right is from a search I just did for “HDTVs.”  The blue dots are subtle, but they certainly distinguish those results. Google has partnerships with Best Buy, Sears, Williams-http://www.crunchbase.com/widgetSonoma, Pottery Barn, and West Elm to show local inventory, and it is inviting other merchants to apply to participate as well. Google VP of engineering Vic Gundotra previewed the local product search last December, but it is now live.

Highlighting local inventory in product search results is exactly what Milo does, although it works on the Web as well as mobile. Milo will have to try to keep one step ahead of Google now that its business has been targeted as a feature of Google Product search.

The good news for Milo is that nobody really uses Google Product Search. It is not even highlighted as one of the products on the Google iPhone app, for instance. Maybe that will change, now that it has a geo-enabled set of results.

When you are looking for stuff to buy, it always helps to know where you can buy an item nearby. The vast majority of people who shop on the Web actually just use it for research, and then go local to buy.

Milo co-founder Ted Dziuba responds via a Tweet:

Google Product Search has availability for 5 retailers vs. Milo’s 49. Super cool web service, bro.

How long before Google closes that gap?

Google Product Search has availability for 5 retailers vs. Milo’s 49. Super cool web service, bro.

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In January, private company stock marketplace SecondMarket published data on private company stock sales that they helped complete in 2009. And February’s report showed the transactions that took place in January, which showed a strong demand for consumer products and services startups. The majority of transactions in January were sales of Facebook stock. SecondMarket just released its February report, which you can download here.

Transactions more tripled in February, from $13 million in sales to $43.8 million in sales last month. A full 48% of the transactions were sales of Facebook stock, compared to 38% in January. And last month, we reported that sales are being completed for as high as $40 per share (or a $17.6 billion valuation). But we learned this week that Facebook CEO Mark Zuckerberg is in no rush to take the company public. LinkedIn took 18% of the transactions, and sales of both Twitter and Zynga stock were each 15% of the total. LifeLock rounded the group out with 4% of the total.

The transactions concentrated mainly in consumer products and services (85%) and media and entertainment (15%). Similar to January’s trends, Facebook, LinkedIn and Twitter attracted the most transactions on SecondMarket.

On the buying side, Facebook led the way with one-third of all buyside demand followed by Twitter (7%) and LinkedIn (5%). Interest in Zynga (3%) also rose in February. On the seller side, ex-employees of start-ups stepped up their selling activity in February, comprising over 80% of sales, the highest percentage in the past nine months.

Noticeably missing from the report was Tesla, which filed for a $100 million IPO in late January.

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We were somewhat sad when Barnes & Noble sent their PR firm to accept their award for the Nook for Best Gadget of 2009 at the Crunchies in January. Traditionally only Apple blows off the awards, and we’ve always been able to work around that.

But apparently Barnes & Noble are at least aware that they won the award. They are using it to promote the Nook on in-store posters, we learned recently. We sent TechCruncher Laura Boychenko over to the local Barnes & Noble last night with strict instructions to rip one of the posters off the wall and run like hell back to the office with it.

She failed in her task, but did take a few pictures and a video and promised to ask Barnes & Noble for one of the posters for our office. Less dramatic, but just as effective I guess.

I’m not suggesting anyone should commit a crime, but if someone were to obtain one (legally, mind you) and show up at our office with one of these we’d likely send them away with a thank you and a TechCrunch tshirt. No questions asked. Video is below.

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Betaworks, the New York City-based holding company investing in the realtime Web, just raised a $20 million Series B. The round was led by RRE Ventures and Intel Capital, DFJ Growth, AOL Ventures, The New York Times, Softbank Japan and Softbank NY, Lerer Investments and Founders Collective, also participated, along with investors from the last round, which was $7.5 million

The company both invests and incubates realtime media startups, including Summize (acquired by Twitter for realtime search), bit.ly, TweetDeck, StockTwits, SuperFeedr, Outside.in, OMGPOP, and gdgt.

CEO John Borthwick says that the funds will be used to do more of the same, invest in and create realtime media startups.

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Consumer Reports has a new report on which computer company has the best tech support. Apple wins! That's what happens when the same company controls the hardware as well as the operating system (and several of the most prominent pieces of software). The highest ranking PC manufacturer is Dell for desktops and Lenovo for laptops.

After shopping itself around to all the major search engines, Radar Networks finally found a buyer in another semantic search startup. Today, Evri is announcing that it will be acquiring Radar Networks, along with its core technical team and its main product, Twine. Rumors surfaced yesterday on ReadWriteWeb that Evri was being acquired, but that is not the case. Evri is the acquirer.

I spoke with both CEOs this morning. They would not disclose the terms of the deal, but it is safe to assume that it was largely an equity-based transaction. Both Evri and Radar Networks share Paul Allen’s Vulcan Capital as their largest shareholder. Radar has raised $24 million in total capital, while Evri has raised $8 million. (At least that is what has been publicly disclosed. Paul Allen has poured much more money into Evri almost single-handedly, perhaps even more than Radar raised). Radar was unable to raise more during the recession and kept pushing out the release of its next product, T2, an ambitious project to create a semantic index of the Web. Using this semantic index, T2 can do a better job understanding what each Web page it indexes is about.

Evri, on the other hand, has been focusing more on filtering the realtime Web and then creating a semantic index of those pages based on matching similar content. One of the big drivers of the deal was the promise of combining Evri’s realtime filtering with T2, which is ideal for more evergreen and authoritative content.

“We had to find a home,” explains Radar CEO Nova Spivack. “Fortunately, we had T2 and a portfolio of fundamentally valuable IP. And user growth is holding steady even though we are no longer working on Twine” He also confirmed that he was “in discussions” with larger companies. Why did he choose Evri? “At the end of the day, not only was it a better offer, but Evri is more compatible with our team. Joining one of the larger players was a possibility, but it meant we would not get to work on T2.” Spivack will be an advisor to the combined company. He wrote a blog post about the deal.

Semantic search is still in its infancy. Consolidation among startups could give the acquirers more firepower, but eventually the bigger search engines are going to start getting serious.

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Fits.me, a virtual fitting room for internet clothing retailers based on robots (yes really) has won the European startup competition in Brussels, Plugg.

It’s actually even cooler than it sounds. By creating robotic shape-shifting manakins and testing how people reacted by seeing clothes on the robot with their dimensions, sales actually went up.

Only 7% of all clothing is sold online today, a $36bn market It’s $20bn for computers), because you can’t see how the clothes look on a human body. The fits.me trial with partners showed these pictures of adjustable manakins wearing clothes increased sales three times and dramatically reduced returns by 28%.