AP – Google Inc. said one of its Web search features was blocked in China on Thursday as the company awaited Beijing’s decision on whether to renew its operating license in their latest skirmish over censorship.

Lookout, a company that offers security data backup services for smartphones, has reached a significant milestone: the startup now has one million users for its security application after only six months in operation.

Lookout, which just raised $11 million from Accel, Khosla and others, says the growth in smartphone adoption, mobile app downloads and increased consumer awareness of mobile security threats have helped make the offering a popular and necessary option for users. While smartphone use is growing rapidly, there are security risks associated with the increased data and application usage on these devices. Similar to a PC, users need to protect their phones from malware, viruses, data loss and more. Lookout’s web-based, cloud-connected application indentifies and block threats on a consumer’s phone. Users simply download the software to a device, and it will act as a virus protector much like security software downloaded to a computer.

For now Lookout, which is on more than 400 mobile networks in 170 countries, is only available for BlackBerry, Android and Windows Mobile devices. Lookout has over 80% of its users on Android and BlackBerry with the remaining users on Windows Mobile. And 70% of users are in the US.

Over the past six months, Lookout has seen the number of malware and spyware threats per hundred devices double to nine in every 100 devices being affected annually. Lookout has helped find more than 130,000 lost or stolen phones, backed-up over 87 million photos, and backed-up over 300 million contacts.

Lookout’s CEO tells me that the next step for the company is to start looking at monetization angles with product development. While the application is free, Lookout sees potential in offering an enterprise version of its software.

Wesabe, an online personal finance site that looked to help users better keep track of their spending trends, is shutting down. The startup’s homepage now consists of a letter to Wesabe users instructing them to download their account information by July 31, at which point nearly all of the service’s features will be taken offline and data deleted. The lone feature that will remain online indefinitely is the site’s ‘Groups’ page, where members can trade advice about their finances (this part of the site is being taken over by one of Wesabe’s current customers).

In the letter, Wesabe CEO Marc Hedlund writes that the site has been operating on a shoestring budget lately, which has led to both some poor customer experiences and the potential for security issues, which is why they’re pulling the plug:

In recent months Wesabe has been operating on a shoestring budget, with support from some of the developers and operations people who made up our core team. While the site has remained online and we continue to hear from people who find it helpful, we have not been able to provide the support people need to use it for something so central as financial management. I’ve felt especially terrible that some members have a good initial experience but then hit a problem, often after investing many hours, and aren’t able to get help with it. That’s obviously a bad experience, and not what we want to offer. Also, because Wesabe stores such highly sensitive data, continuing to operate the service with shoestring operations and security staff is not acceptable, and we do not want to continue accepting new accounts if we cannot guarantee the security level we believe our service requires.

Wesabe was showing some growth in April 2009 when it launched its iPhone app, but traffic has dropped steadily since then. The site has largely been overshadowed by competitor Mint, which launched at (and won) TechCrunch50 and later went to on be acquired for $170 million by Intuit.

We’ve been covering the site since 2006. In Feburary 2007 it raised $700,000 from O’Reilly AlphaTech Ventures, and later that year raised $4 million in a round led by Union Square Ventures.

Wesabe has been added to the Deadpool.

AP – Facebook is rolling out a new feature that requires outside applications and websites to tell users exactly what parts of their profiles have to be shared for the apps to work.

Woot has been acquired by Amazon, as they briefly note on their blog today with a big “woot!” Well, okay, their exact words were “Holy crap!”

This is a great deal for daily online bargin service as, similar to Zappos and Audible, they’ll continue to be run autonomously under the Amazon banner. The company will remain in Texas. Terms of the deal have not been disclosed.

Woot shot to popularity with their “one deal per day” idea. Similar timed deal ideas have since become very popular for sites like Gilt (for fashion) and Groupon (for food and activities). The company also has always had an interesting sense of humor and has not shied away from having deals on things as diverse as handguns.

Update: Here’s the full letter from Woot CEO Matt Rutledge to employees:

Date: Weds, 30 June 2010
From: Matt Rutledge (CEO – Woot.com)
To: All Woot Employees
Subject: Woot and Amazon

I know I say this every time I find a picture of an adorable kitten, but please set aside 20 minutes to carefully read this entire email. Today is a big day in Woot history. This morning, I woke up to find Jeff Bezos the Mighty had seized our magic sword. Using the Arthurian model as a corporate structure was something our CFO had warned against from the very beginning, but now that’s water under the bridge. What is important is that our company is on the verge of becoming a part of the Amazon.com dynasty. And our plans for Grail.Woot are on indefinite hold.

Over the next few days, you will probably read headlines that say “Matt Rutledge revealed to be monstrous pseudo-human creation of Jeff Bezos.” You might even see this photo making the rounds. Rest assured that these rumors have nothing to do with our final decision. We think now is the right time to join with Amazon because, quite simply, every company that becomes a subsidiary gets two free downloads until the end of July, and we very much need that new thing with Trent Reznor’s wife on our iPods.

Other than that, we plan to continue to run Woot the way we have always run Woot – with a wall of ideas and a dartboard. From a practical point of view, it will be as if we are simply adding one person to the organizational hierarchy, except that one person will just happen to be a billion-dollar company that could buy and sell each and every one of you like you were office furniture. Nevertheless, don’t worry that our culture will suddenly take a leap forward and become cutting-edge. We’re still going to be the same old bottom-feeders our customers and readers have come to know and love, and each and every one of their pre-written insult macros will still be just as valid in a week, two weeks, or even next year. For Woot, our vision remains the same: somehow earning a living on snarky commentary and junk.

We are excited about doing this for all sorts of reasons. One, our business model is so vague that there’s no way Amazon can possibly change what it is we’re truly doing: preparing the way for the rise of the Lava Men in 2012. Also, our deal means that Jason Toon will finally be released from that Mexican jail owned by Zappos honcho Tony Hsieh. No, don’t lie, Tony, we’ve seen the paperwork. And we need a powerful ally in case Steve Jobs finally breaks down and comes after us for all our Apple jokes over the years. Don’t think of it as a buyout; think of it as NATO!

I will go through each of the above points in more detail later, but first, let me get to the top 5 burning questions that I’m guessing many of you will have.

TOP 5 BURNING QUESTIONS:

Q: F1RST!!!!
A: Okay, that’s not a question, but it is a good place to mention that our forums will still be policed by a team of moderators, as before. And also, Woot’s previous and always-in-effect privacy policy will still be just as always-in-effect, so don’t worry, there are no plans to suddenly give up or merge your forum data.

Q: Is Snapster leaving?
A: Are you kidding? He’s out the door about ten seconds after that check clea- that is to say, Snapster will continue as Woot.com CEO, just like before, and the rest of our staff’s not going anywhere either. Woot and all our various sites will continue to be an independently operated company full of horrible, useless products and an untalented jerkface writing staff, same as it ever was.

Q: Will the Woot culture change?
A: Amazon is interested in us because they recognize the value of our people, our brand, and our unique style of deep-tissue, toxin-releasing massage. And they don’t want to start changing things now. Amazon’s hoping our nutty Woot steez continues to grow and develop (and perhaps even rubs off on them a little). They’re not looking to have their folks come in and run Woot unless we ask them to, which incidentally you can do by turning off the bathroom lights and saying the word “Kindle” three times; a helpful Amazon employee will appear in the mirror. That said, Amazon clearly knows what they’re doing in a lot of areas, so we’re geeked about the opportunities to tap into that knowledge and those resources, especially on the technology side. This is about making the Woot brand, culture, and business even stronger than it is today, and we expect that any changes will be for the better or we wouldn’t bother with this endless paperwork.

Q: Where can I get one of those vuvuzelas?
A: Are you even paying attention?
Several months ago, when we were all sitting on Jeff Bezos’s bumper drinking orange Mad Dog and trying not to be noticed, we heard a voice in the distance yelling “You kids better not scratch my Mercedes or I’m calling the cops!” We ran. It was later that night when Amazon came by the house and said they liked our style and also wanted to get that money we owed them for messing up the chrome. We like to think that our relationship with Amazon will continue at this level for many, many, many years to come.
But we here at Woot are still a thoughtful company, so, at the end of the day, I watched the sunset, and its golden-hued glory made me think about two questions:

1) Is there really a universal deity?

2) Does such a thing preclude free will or are we humans in control of our own destiny?

After spending a lot of time falling asleep at the library while facing the philosophy books, I determined that the concept of destiny is a construct that allows man a gentle release from facing the terror of his existence, and that a Hyundai full of twenties would pretty much offer the same benefits. And so, I ultimately said YES!

This is definitely an emotional day for me. The feelings I’m experiencing are similar to what I felt in college on graduation day: excitement about getting a check from my folks combined with nausea from a hellacious bender the night before. I remember fondly that time when an RA turned on the lights and yelled “WHO OWNS THESE PANTS?” Except this time, the pants are a company, and the RA is you, and the sixty five hours of community service is a deal that will ensure the Woot.com experience can continue to grow for years and years and years, like a black mold behind the Gold Box. Join us, because together, we can rule the galaxy as father and son. Also, there will be six muffins waiting in the company break room, courtesy of the nice folks at Amazon.com. Welcome to the family!

Matt Rutledge
CEO, Woot