in Exits, Startups

Bumptop acquired by Google. The gPad is coming?

Something was definitely up with Bumptop in the last few weeks, and the rumours were flying all over the place. Not wanting to kill a deal, we decided not to post anything here on Startupnorth, especially something we couldn’t fully substantiate.

Enter Chris Arsenault, Mark MacQueen and Techcrunch to confirm that Google has indeed picked up Bumptop in a deal that closed this week. We have covered Bumptop news regularly in the past.

Bumptop was first funded by Xtreme Venture Partners and Austin Hill and followed by Scott Pelton at the Growthworks Commercialization Fund. Based on what we know about the terms that drive Xtreme Ventures and Growthworks’ Comm fund deals, our guess is that the price of this acquisition is north of $25million.

What does this mean? I believe it means that Google is working hard to develop an iPad competitor. If you have used Bumptop before you will know that it is one of the most intuitive touch-screen interfaces available, much better than the current iPad “mash your finger everywhere” UI. Bumptop is undoubtably the owner of some pretty nice IP focused on those interactions, and they now give Google a warchest of techniques that will easily rival multi-touch. The three-finger-swipe and two-finger-zoom of the iphone and ipad are easily outclassed by the extensive capabilities of Bumptop, but Bumptop’s gestures are just a little too complicated for the small screen of the Android or iPhone. Bumtop holds a Canadian patent for many of the gestures and features.

I have to hand it to Anand. For the last 4+ years he has walked around Toronto with his laptop strapped to his back always ready to give anyone a demo of Bumptop. His energy and focus have definitely set him apart from the crowd, and he stuck with his dream longer than many of us thought he would. Eventually the right people stepped up to back him and he seemed to become more determined than ever to make Bumptop a success. This was not handed to Anand, he worked for it.

This is exactly the kind of story that many a bad VC will tell you can never happen in Canada. A fast, efficient and IRR-pumping exit. There are all sorts of dead and dying VCs here who will tell you that there is not enough of an “entrepreneurial culture” to drive their business, no wonder their LPs are putting them on notice (the sad part is that some good funds are getting dragged down with the bad –more on that later) — they aren’t willing to get down in the dirt (or the Imperial Pub for that matter) to meet the Anands of the world.

The truth is that it takes financiers with as much hustle and vision as an entrepreneur, and that is what we are getting with XtremeVP, Austin Hill, and Scott Pelton. In my eyes this deal is a confirmation of the need in Canada for a new type of venture fund(s) to get healthy and to get the backing they need.

28 Comments

  1. It is wonderful to see another successful exit! We had a number last summer – many reported here! – and I am happy to see BumpTop kicking things off this summer! Well done to all!

  2. It is wonderful to see another successful exit! We had a number last summer – many reported here! – and I am happy to see BumpTop kicking things off this summer! Well done to all!

  3. Awesome! Congrats to Anand and his team and also to his investors who believed! Not enough of them in this town…

  4. Congrats to Anand, my fellow co-investors ExtremeVP, GrowthWorks and to the entire Bumptop team.

    You guys did us proud.

  5. Awesome! Congrats to Anand and his team and also to his investors who believed! Not enough of them in this town…

  6. Congrats to Anand, my fellow co-investors ExtremeVP, GrowthWorks and to the entire Bumptop team.

    You guys did us proud.

  7. My question is when Canadian's start ups get acquired what type of tax is imposed? Knowing that the person has sold the company in the millions… and the personal income tax is about 40% .. Which is fairly high. so lets say for example Anand made about 20 million from his share does 40% get taken away in taxes?

  8. the Imperial Pub?….as in the Imperial Public Library pub?…near Ryerson?

    gawd…if that's the place you're talking about, i used to spend a lot of time there around 1991…..upstairs in the 'library'….

  9. My question is when Canadian’s start ups get acquired what type of tax is imposed? Knowing that the person has sold the company in the millions… and the personal income tax is about 40% .. Which is fairly high. so lets say for example Anand made about 20 million from his share does 40% get taken away in taxes?

  10. Very nice, congrats! I was looking how it goes with BumTop 1-2 years ago, and I also have its Pro version, and I like it very much. It would be pleasure to have it on the tablets, but I don't understand why they stop support for desktops? If Google acquires them, is there any problem with finances or team size? Come on guys, on many things going on in the industry, stopping product support might happen in very specific cases, and I don't think this is the one.

    And specifically if this technology is going to be on the mobile devices, users would like to see it on the desktops as well, right?

  11. the Imperial Pub?….as in the Imperial Public Library pub?…near Ryerson?

    gawd…if that’s the place you’re talking about, i used to spend a lot of time there around 1991…..upstairs in the ‘library’….

  12. Very nice, congrats! I was looking how it goes with BumTop 1-2 years ago, and I also have its Pro version, and I like it very much. It would be pleasure to have it on the tablets, but I don’t understand why they stop support for desktops? If Google acquires them, is there any problem with finances or team size? Come on guys, on many things going on in the industry, stopping product support might happen in very specific cases, and I don’t think this is the one.

    And specifically if this technology is going to be on the mobile devices, users would like to see it on the desktops as well, right?

  13. Same one. They got some new carpet, that is probably the only thing that has changed.

  14. Capital gains tax. It is treated differently than income tax, but it is impossible to tell what the treatment is in a specific situation as people can have vastly different setups.

  15. Same one. They got some new carpet, that is probably the only thing that has changed.

  16. Same one. They got some new carpet, that is probably the only thing that has changed.

  17. Capital gains tax. It is treated differently than income tax, but it is impossible to tell what the treatment is in a specific situation as people can have vastly different setups.

  18. Same one. They got some new carpet, that is probably the only thing that has changed.

  19. Congrats to Anand and Bumptop. And congrats to you for a great article Jevon. I love the fact that you acknowledged how hard Anand worked for this deal and called for an end to all the VC whining. Toronto/Canada does have venture financiers with hustle and entrepreneurs that deserve funding!

  20. Congrats to Anand and Bumptop. And congrats to you for a great article Jevon. I love the fact that you acknowledged how hard Anand worked for this deal and called for an end to all the VC whining. Toronto/Canada does have venture financiers with hustle and entrepreneurs that deserve funding!

  21. Congrats to Anand and Bumptop. And congrats to you for a great article Jevon. I love the fact that you acknowledged how hard Anand worked for this deal and called for an end to all the VC whining. Toronto/Canada does have venture financiers with hustle and entrepreneurs that deserve funding!

  22. Something was definitely up with Bumptop in the last few weeks, and the rumours were flying all over the place. Not wanting to kill a deal, we decided not to post anything here on Startupnorth, especially something we couldnu2019t fully substantiate.

  23. Today, we have a big announcement to make: we’re excited to announce that we’ve been acquired by Google! This means that BumpTop (for both Windows and Mac) will no longer be available for sale.

  24. Today, we have a big announcement to make: we’re excited to announce that we’ve been acquired by Google! This means that BumpTop (for both Windows and Mac) will no longer be available for sale.

Comments are closed.

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