[HN Gopher] HubSpot Acquires Clearbit
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       HubSpot Acquires Clearbit
        
       Author : jcolman
       Score  : 125 points
       Date   : 2023-11-01 13:10 UTC (9 hours ago)
        
 (HTM) web link (www.hubspot.com)
 (TXT) w3m dump (www.hubspot.com)
        
       | xnx wrote:
       | Is it approximately correct that most sites (beside Google,
       | Microsoft, Meta, etc.) that get your email address are selling it
       | to data-brokers and sharing cookie/browser-signature information
       | so you can be de-anonymized across the web?
        
         | karaterobot wrote:
         | I would guess not most, but that a lot of them do. My
         | assumption is that if there is a third-party service in use,
         | there's a fair chance that a copy of my data is going to the
         | third party in addition to the place I expect it to go. I have
         | nothing but anecdotal information to back this up though.
        
         | htrp wrote:
         | Yes.
        
           | yodon wrote:
           | >Yes
           | 
           | Citation? Or just an assumption?
        
         | hilbertseries wrote:
         | I don't think this is correct. Meta and Google don't sell
         | direct access to your data. They sell advertising targeting
         | you, based on your personal data.
         | 
         | I'm pretty sure it's illegal to sell users email address to a
         | data broker under GDPR.
        
           | xnx wrote:
           | Right. Meta and Google are much less shady about this.
        
             | ethbr1 wrote:
             | Not really... they're just vertically integrated and have
             | their own ad networks.
             | 
             | Consequently, they're not protecting data because they care
             | about privacy -- they're protecting data because the wider
             | they share the raw data, the less value it (their product)
             | is.
             | 
             | It's economic self-interest, not ethics.
             | 
             | If they didn't have ad networks, they'd sell anything and
             | everything in a heartbeat.
        
               | twicetwice wrote:
               | Be that as it may, their object-level behavior is still
               | far less shady. And in fact this is an argument that it
               | is good that they exist, because in the counterfactual
               | world where they don't, their niche would be filled by
               | these non-vertically-integrated data brokers and
               | advertisers who ARE financially incentivized to leak and
               | sell and share far more information.
               | 
               | I used to be all gung-ho about being anti-FAANG, those
               | evil privacy violators, but having now talked to friends
               | who have worked at places like FB and Google, their
               | internal data security practices are far more stringent
               | than I had imagined (my friends complain about how
               | difficult these rules make their jobs!). And yeah, sure,
               | they are scooping up as much information about you as
               | they can, and I'm not a big fan of that fact. But I have
               | been convinced that they are actually somewhat decent
               | stewards of that information, and the alternative is far
               | worse.
               | 
               | All that being said, this is a pretty loosely-held
               | belief, and all the surveillance and so on is quite icky
               | to me. I'm still trying to slowly de-google my life and
               | all that, just with a bit less paranoia and urgency.
        
               | ethbr1 wrote:
               | > _their niche would be filled by these non-vertically-
               | integrated data brokers and advertisers who ARE
               | financially incentivized to leak and sell and share far
               | more information_
               | 
               | I look at it a slightly different way.
               | 
               | Absent the vertical integration, they wouldn't dominate
               | the market.
               | 
               | Absent dominating the market, they wouldn't wield as many
               | resources.
               | 
               | Absent as many resources, they wouldn't have been able to
               | build a panopticon in the first place.
               | 
               | And even if there were excesses in an alternate world...
               | there would be a market of competitors, which would
               | encourage different behavior.
               | 
               | And possibly even (gasp!) regulation because of the worst
               | excesses.
               | 
               | Instead, FAANG wield vast resources, culled from
               | entrenched monopoly positions, and act just responsible
               | enough (plus lobbying) to avoid regulation.
        
             | lancesells wrote:
             | Outside of using a Meta product or a Google product it's
             | all completely shady. I shouldn't be tracked going to the
             | DMV website or purchasing something online or using a
             | dating app or going into a store or...
        
           | bennyelv wrote:
           | In the context of a business email address GDPR is far less
           | restrictive. See GDPR Recital 47 (7): https://gdpr-
           | info.eu/recitals/no-47/
           | 
           | Direct marketing is not explicitly banned. If you have a
           | reason to believe that the data subject in question (a B2B
           | person operating in the context of their work) is interested
           | in buying your stuff then you could claim "legitimate
           | interest" and process their contact details/market to them.
           | 
           | That's what people are relying on at the moment. Whether all
           | the data protection authorities in all the member states will
           | agree with the market's assessment of this remains to be
           | seen...
        
         | nightpool wrote:
         | One small piece of nuance here is that a lot of the times
         | they're not _selling_ your email address, they 're hashing it
         | and using it as an identifier for targeting on other sites (so
         | that two sites that both have your email address can coordinate
         | to sell you ads, but sites that don't already have your email
         | address don't learn anything new).
        
           | Xorlev wrote:
           | Except it's also trivial to buy or produce tables of pre-
           | hashed emails, so this cloak of "oh we don't know who you
           | are, it's a hash!" is usually just lipservice.
        
             | hiatus wrote:
             | > produce tables of pre-hashed emails
             | 
             | Wouldn't this require knowledge of the email beforehand?
        
               | mgillett54 wrote:
               | I think the idea is that you can generate the MD5 hash of
               | all, say 8 letter, @gmail.com addresses trivially and
               | since the email hashes used for targeting don't have a
               | salt, it's a one time "expense" to build the reverse
               | lookup table
        
             | jgraettinger1 wrote:
             | They're not literally passing around the hash. Holders of
             | hash(email) <=> browser cookie associations are heavily
             | incentivized for both regulatory and also competitive
             | reasons to not blast that information around the internet
             | -- or even to let direct partners A & B identify overlaps
             | without their being in the middle.
             | 
             | When passing identifiers, there's generally some
             | combination of lookup tables, per-distribution salted
             | hashes, or encryption happening to make reverse mapping as
             | difficult as possible.
             | 
             | (I was in this space up until a few years ago).
        
               | ethbr1 wrote:
               | Which makes perfect sense, because why would anyone sell
               | their golden goose, if they had any other possible way of
               | monetizing it?
        
               | CaveTech wrote:
               | I think this is generally false in most instances. All
               | advertising pixels use unsalted sha1 hashes over https.
        
             | oooyay wrote:
             | Things like homomorphic encryption making secure sharing
             | possible without the security being lip service.
        
             | moron4hire wrote:
             | This is one of the things that drives me nuts when hardcore
             | privacy advocates start wading into browser feature
             | discussions and complaining about things being used to
             | fingerprint users.
             | 
             | I mean, can eye-tracking in a WebXR session be used to
             | identify users? Yes, clearly that is a possibility. But
             | will the addition of eye-tracking increase the
             | identifiability of users? No, not in the least, because
             | users are already identifiable by means that involve core
             | browser features.
             | 
             | But frequently, the "privacy advocates" win and we're left
             | with a web platform that has a lot of weird, missing
             | functionally in comparison to native apps, pushing
             | developers to either compromise on functionality or develop
             | a native app. Compromising is bad for users. And developing
             | a native app could can be bad for the developer, if one
             | considers their existing investment in web technologies. Or
             | both the developer and users, when one considers the vig
             | that app stores charge, or the editorial control that app
             | stores enforce over socially-controversial-yet-not-
             | actually-illegal topics. Or just users when one considers
             | the fact that the app stores just hand app developers a
             | user identity without even making them work for it with
             | fingerprinting.
             | 
             | And often, the voices that are loudest in defence of
             | "privacy" are browser developers that also just so happen
             | to be employed by said app store vendors.
        
         | herval wrote:
         | it feels to me that to date, selling people's information
         | remains as the only viable large business model of the
         | internet, after ecommerce
        
         | jahewson wrote:
         | No, nobody is interested in de-anonymising, it's not useful. To
         | target, say a car ad all that is needed is to know that cookie
         | 1234 is interested in buying a sports car, and when that cookie
         | is encountered, serve it a sports car ad.
        
           | gmmeyer wrote:
           | It's very useful for b2b people to know who is looking at
           | your website and who might be good targets to reach out to.
           | Knowing that Steve the SVP at Databricks is looking at your
           | website vs cookie 1234 is a pretty key differentiator
        
             | jehb wrote:
             | There are a lot of companies selling exactly this service.
             | In some cases, they're able to do it pretty easily, because
             | most people don't actually make any effort whatsoever to
             | remain anonymous. And in a B2B setting, there's a good
             | chance your own company is feeding their data into the same
             | pool.
             | 
             | Some companies are trying to sell you on "AI based"
             | solutions that take deanonymization a step further, but as
             | far as I can tell, it's mostly horseshit and wishful
             | thinking.
        
               | biggestdummy wrote:
               | I'm curious who these "companies selling exactly this
               | service" are.
               | 
               | I get solicited by dozens of companies daily. And I've
               | seen nobody who can provide this de-annonymization of
               | website visitors.
        
               | jehb wrote:
               | You're right, I phrased that too generically.
               | 
               | What I mean is that they provide enough information to
               | pair your first-party data with "anonymous" web traffic
               | matched to the account level with enough granularity to
               | line up the two.
               | 
               | That said, most of the companies in this space massively
               | over promise and under deliver. The one thing they all
               | have in common is that they're good at ABM, so they can
               | sell to your CMO/CRO faster than you can call them out on
               | their bullshit.
        
             | biggestdummy wrote:
             | From first-hand experience, B2B sellers do not get this
             | information today. They typically get "signals" like
             | "Company X is searching for product category Y" or "Company
             | X is visiting your web site". And "Company X's CIO is John
             | Smith - here's his phone number". But nobody that I've seen
             | claims to offer individual names of web site visitors.
        
               | xnx wrote:
               | Services like retention.com provide email addresses for
               | otherwise anonymous site visitors based on information
               | provided to them by their "publisher network".
        
       | mritchie712 wrote:
       | Curious what % of Clearbit revenue was from the Salesforce
       | integration (which I imagine will be shut down). I remember years
       | ago when I was looking to use Clearbit it was significantly more
       | expensive to use directly from Salesforce.
        
         | datadrivenangel wrote:
         | You pay for the convenience.
        
       | andygcook wrote:
       | Curious to see how Clearbit will be integrated into HubSpot and
       | if the Clearbit API will remain open for others to use. Are there
       | any other viable competitors to Clearbit for coverage and
       | quality? We have a legacy plan for my startup at a very good
       | price, so I've never checked out the other options.
        
         | bennyelv wrote:
         | Hubspot have been working on how they improve the data that
         | their customers have in their CRM system. The state of CRM data
         | across companies is... variable to say the least, with a
         | leaning towards the poor side.
         | 
         | It's often entered by hand, by a salesperson with a telephone
         | handset in the other hand. Typos, inaccuracy abound, which
         | limits the ability to analyse and gain insight from the data,
         | as well as to use it effectively in automated processes.
         | 
         | Hubspot have been releasing features and changes that start to
         | address this, and I expect powering it all with Clearbit data
         | will be the first thing they do with this acquisition.
         | 
         | There are quite a few companies competing in this space, so
         | there are options if Clearbit shut the doors to use outside of
         | Hubspot.
         | 
         | My company is one of those, focusing on IP->Business matching,
         | but also selling direct access to our database of business
         | information in certain circumstances. (www.leadforensics.com).
        
         | maxmorlocke wrote:
         | ZoomInfo is in the same general area on quality and the price
         | per record is competitive, but they have historically required
         | a high minimum annual spend and have a reputation for
         | litigiousness. There are a few other large players (e.g.
         | apollo), a few medium sized players (e.g. coresignal, mixrank),
         | and some smaller players (e.g. thecompanies, bigpicture). There
         | are also a lot of other folks who are not as api-oriented and
         | are more focused around the sales/marketing experience (e.g.
         | seamless.ai)
        
       | netcraft wrote:
       | > Now, imagine that once prospects' and customers' data are in
       | HubSpot, our platform actively monitors those customers for
       | buying intents. Not just based on direct engagements within the
       | HubSpot platform, but also based on customers' activities outside
       | of HubSpot and around the web. And, when it's time to reach out,
       | imagine using generative A.I. powered by all of this rich data to
       | create personal messages. That will be possible with Clearbit and
       | HubSpot.
       | 
       | I have a feeling this will be very successful - but could they do
       | this for B2B?
        
         | have_faith wrote:
         | The AI can send the outreach messages, and then AI can respond.
         | Then we can all go and retire on a beach while the AI's just
         | bounce off of each ad infinitium.
        
           | strombofulous wrote:
           | Unfortunately, there aren't enough beaches to go around, so
           | we will still have to pick winners and losers
        
             | zoogeny wrote:
             | > we will still have to pick winners and losers
             | 
             | Why would we do that? Surely there is an AI model that can
             | do it for us.
        
             | lancesells wrote:
             | That's what the Vision Pro is for.
        
         | Eumenes wrote:
         | > A.I. powered
         | 
         | > personal messages
        
           | omneity wrote:
           | Read customized at scale to elicit familiar responses from
           | the recipients. So Gibson-esque.
        
         | RamblingCTO wrote:
         | Am I the only one that feels disgusted by this?
         | 
         | This also smells very illegal in the EU without consent.
        
       | thiago_fm wrote:
       | Clearbit's product wasn't that good anymore and they had just got
       | the old CEO back as far as I can remember, they've sold it in a
       | good time then.
       | 
       | I wonder if it was a good purchase for HubSpot though, but who am
       | I to judge those M&A's :-)
        
         | fooster wrote:
         | > just got the old CEO back as far as I can remember
         | 
         | hum? The original CEO is developing https://reflect.app/
        
           | baetylus wrote:
           | Love that landing page.
        
           | tacone wrote:
           | Interesting, it does not look to be ready to be used on
           | mobile though.
        
         | kwerk wrote:
         | one of the co-founders (former CMO > COO > interim CEO) Matt
         | Sornson came back to be CEO.
        
           | thiago_fm wrote:
           | ^ that, my mistake.
        
       | warthog wrote:
       | Wonder what the prices on the transaction was?
        
       | nikolay wrote:
       | I honestly was wondering how services like Clearbit are even
       | legal.
        
         | bennyelv wrote:
         | It's because it's about companies rather than private
         | individuals.
         | 
         | Clearbit (nor my company) don't do anything B2C.
        
       | ashconnor wrote:
       | Congrats to Alex MacCaw et al.
        
         | tebbers wrote:
         | He's a great guy and deserves the success. I reached out to him
         | in 2013ish about US immigration and he was extremely nice and
         | helpful. Check out his new startup, Reflect Notes, seems to be
         | getting some traction.
        
           | ashconnor wrote:
           | I remember that blog post. Very useful. Not much has changed
           | since unfortunately!
           | 
           | https://underdog.io/blog/engineers-guide-to-us-visas
        
       | martinald wrote:
       | I've always wondered how services like Clearbit work?
       | 
       | How do they map IPs to companies? Do their chrome extensions send
       | data back or something? It seems fairly difficult to me
       | especially with CG-NAT growing and growing?
        
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       (page generated 2023-11-01 23:01 UTC)