• Home
  • Latest
  • Fortune 500
  • Finance
  • Tech
  • Leadership
  • Lifestyle
  • Rankings
  • Multimedia

Exclusive

An hour in the Oval Office with President Trump Fortune Editor-in-Chief: Alyson Shontell sat down with President Trump in the Oval Office for an hour. Tariffs, Intel, AI, Boeing, Iran—and the question every CEO eventually has to answer: who's next?

An hour in the Oval Office with President Trump Fortune Editor-in-Chief: Alyson Shontell sat down with President Trump in the Oval Office for an hour. Tariffs, Intel, AI, Boeing, Iran—and the question every CEO eventually has to answer: who's next?

An hour in the Oval Office with President Trump Fortune Editor-in-Chief: Alyson Shontell sat down with President Trump in the Oval Office for an hour. Tariffs, Intel, AI, Boeing, Iran—and the question every CEO eventually has to answer: who's next?

An hour in the Oval Office with President Trump Fortune Editor-in-Chief: Alyson Shontell sat down with President Trump in the Oval Office for an hour. Tariffs, Intel, AI, Boeing, Iran—and the question every CEO eventually has to answer: who's next?

An hour in the Oval Office with President Trump Fortune Editor-in-Chief: Alyson Shontell sat down with President Trump in the Oval Office for an hour. Tariffs, Intel, AI, Boeing, Iran—and the question every CEO eventually has to answer: who's next?

An hour in the Oval Office with President Trump Fortune Editor-in-Chief: Alyson Shontell sat down with President Trump in the Oval Office for an hour. Tariffs, Intel, AI, Boeing, Iran—and the question every CEO eventually has to answer: who's next?

An hour in the Oval Office with President Trump Fortune Editor-in-Chief: Alyson Shontell sat down with President Trump in the Oval Office for an hour. Tariffs, Intel, AI, Boeing, Iran—and the question every CEO eventually has to answer: who's next?

An hour in the Oval Office with President Trump Fortune Editor-in-Chief: Alyson Shontell sat down with President Trump in the Oval Office for an hour. Tariffs, Intel, AI, Boeing, Iran—and the question every CEO eventually has to answer: who's next?

An hour in the Oval Office with President Trump Fortune Editor-in-Chief: Alyson Shontell sat down with President Trump in the Oval Office for an hour. Tariffs, Intel, AI, Boeing, Iran—and the question every CEO eventually has to answer: who's next?

An hour in the Oval Office with President Trump Fortune Editor-in-Chief: Alyson Shontell sat down with President Trump in the Oval Office for an hour. Tariffs, Intel, AI, Boeing, Iran—and the question every CEO eventually has to answer: who's next?

Startups & Venture

Caffeinating with Craft Coffee, the Internet coffee company

By
Erin Griffith
Erin Griffith
Down Arrow Button Icon
By
Erin Griffith
Erin Griffith
Down Arrow Button Icon
December 16, 2014, 10:52 AM ET
Craft Coffee
Craft CoffeeCourtesy of Craft Coffee

“I’m pretty confident we’re the only true tech startup in coffee,” says Michael Horn, founder and CEO of Craft Coffee. “People have tried to sell coffee on the Internet, but what we’re doing is different.”

What Craft Coffee is doing is, in fact, selling coffee on the Internet. That’s what it has done since 2010, when Horn started the site out of the General Assembly co-working space in New York. But over the summer, Craft Coffee participated in Y Combinator, the Silicon Valley accelerator. While living and working alongside tech startups in fields such as nuclear fusion and data science, Horn adopted a more tech-focused strategy.

At Y Combinator’s demo day in August, Horn unveiled The Coffee DNA Project. No longer a mere purveyor of coffee, Craft Coffee is now “Pandora for Coffee.” Like the Internet radio company, Craft Coffee now uses an algorithm to determine which kinds of artisan coffee its customers might like. Unlike Pandora (P), it will then sell customers that artisan coffee.

To create its coffee recommendations, Craft Coffee has acquired a $10,000 industrial machine called an Agtron Coffee Roasting Analyzer. It was invented by “a literal mad scientist who knows everything about coffee,” Horn says. Mass coffee producers use Agtron machines for quality control, since it can analyze the organic chemistry of ground coffee and assign it an integer. But Craft Coffee uses the Agtron to compare different coffees. “We can put Folgers in there and we know it’s a ‘52’ or whatever,” Horn says. “That gives us the key number to be able to be a data science company.”

The Agtron machine sits on the counter in Craft Coffee’s Williamsburg loft among three pour-over coffee makers and a handful of coffee pots. Nearby, an old clawfoot bathtub overflows with bags of store-brand coffee beans. Those beans, ranging from Folgers Classic to Starbucks Pike Place Roast, must be tested so that Craft Coffee has a jumping-off point for its recommendations. When you tell Craft Coffee that you like Folgers, the site can recommend an independently-roasted coffee with similar characteristics. All of the beans sold on Craft Coffee are strictly vetted by a team of blind-testing experts that are basically coffee sommeliers. And Horn himself, who says the job has made him a coffee expert. “We’ve never shipped a cup of coffee that I didn’t like or think was special,” he says.

Horn touts the benefits of drinking artisanal coffee: It’s roasted to order by a small independent, American roaster. If all goes as planned, upscale coffee could follow a path similar to that of the craft beer movement, which is quickly gaining widespread adoption. “You don’t have to be like a hipster Brooklyn coffee shop person to have a decent cup of coffee in the morning,” Horn says. Nevermind that we are in Williamsburg, the birthplace of Brooklyn hipsterdom. The movie theatre next door to Craft Coffee’s loft sells $8 popcorn doused in truffle butter and citric salt.

Craft Coffee’s DNA project is meant to take the hipster element—and its intimidation factor—out of drinking fancy coffee. Anyone who has asked for iced coffee with milk at Blue Bottle understands the concept of “coffee-splaining.” (The company’s designer iced coffee is not meant to have milk; for that, one must order a sticky-sweet New Orleans Iced.) I’ve been coffee-splained a few times, and I prefer regular old deli coffee because it is hot and functional. But I will admit that the “comforting” cup of Bow & Arrows coffee one of Horn’s associates brewed for me—chosen because of its “not too crazy” flavor profile—was quite delicious.

One floor down, a Craft Coffee worker measures, bags and heat-seals coffee bean bags for shipping to customers. Today it’s a one-man job (and yes, company was staffed entirely by men on the day I visited). Horn says Craft Coffee is able to ship “millions of dollars” worth of coffee from this small fulfillment center. He touted the “scrappy” nature of the operation, while noting that it is “just like Amazon,” because it can stock every independent coffee. “No one—not even Starbucks—can stock that many coffees in its stores,” he says.

Craft Coffee hasn’t announced any new venture funding since graduating from Y Combinator, but it previously raised seed funds from the likes of Reddit co-founder (and Y Combinator partner) Alexis Ohanian and 500 Startups founder Dave McClure. “There’s never been a tech company in coffee that’s had tech company funding,” he says. (To be fair, Blue Bottle has raised $45.7 million in venture capital and is open about how it uses technology, but the company does not appear to be building a recommendation engine. Other gourmet coffee companies, such as Stumptown Coffee Roasters, La Colombe Torrefaction, and Joe, have also attracted tech investor interest.) At some point, likely after the holidays, Craft Coffee will raise more funding to scale up like a tech startup.

Horn is at least thinking like a startup, grand vision and all. “What if one company could own the taste preferences on every coffee drinker in the country?” he asks. “We think it could be as revolutionary as Pandora for music.”

About the Author
By Erin Griffith
See full bioRight Arrow Button Icon

Latest in

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025

Most Popular

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Fortune Secondary Logo
Rankings
  • 100 Best Companies
  • Fortune 500
  • Global 500
  • Fortune 500 Europe
  • Most Powerful Women
  • World's Most Admired Companies
  • See All Rankings
  • Lists Calendar
Sections
  • Finance
  • Fortune Crypto
  • Features
  • Leadership
  • Health
  • Commentary
  • Success
  • Retail
  • Mpw
  • Tech
  • Lifestyle
  • CEO Initiative
  • Asia
  • Politics
  • Conferences
  • Europe
  • Newsletters
  • Personal Finance
  • Environment
  • Magazine
  • Education
Customer Support
  • Frequently Asked Questions
  • Customer Service Portal
  • Privacy Policy
  • Terms Of Use
  • Single Issues For Purchase
  • International Print
Commercial Services
  • Advertising
  • Fortune Brand Studio
  • Fortune Analytics
  • Fortune Conferences
  • Business Development
  • Group Subscriptions
About Us
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • Facebook icon
  • Twitter icon
  • LinkedIn icon
  • Instagram icon
  • Pinterest icon

Latest in

altman
CommentarySam Altman
Musk vs. Altman: AI safety cannot be one man’s job
By Stavros GadinisMay 18, 2026
6 minutes ago
Pope Leo launches an AI commission days before he releases a papal letter alongside Anthropic cofounder Christopher Olah
AIPope
Pope Leo launches an AI commission days before he releases a papal letter alongside Anthropic cofounder Christopher Olah
By Catherina GioinoMay 18, 2026
36 minutes ago
John Ketchum, CEO of NextEra Energy, speaks during BlackRock's 2026 Infrastructure Summit in Washington, DC, on March 11, 2026. Photographer: Daniel Heuer/Bloomberg via Getty Images
EnergyNextEra Energy
NextEra’s $67 billion Dominion takeover creates the world’s largest utility—just in time to win the AI data-center power surge
By Jordan BlumMay 18, 2026
1 hour ago
Employers are quietly pausing 401(k) matches again. The last time this happened was the 2008 recession and Covid
Personal Finance401(k)
Employers are quietly pausing 401(k) matches again. The last time this happened was the 2008 recession and Covid
By Courtney Vinopal and HR BrewMay 18, 2026
1 hour ago
Harvard University banners hang in front of a building
CryptoCryptocurrency
Harvard sold off its entire $87 million Ethereum stake just one quarter after buying it
By Jack KubinecMay 18, 2026
1 hour ago
Not the Allbirds effect: Japan’s top bidet maker Toto has been quietly making chip supplies for decades, and the stock market finally noticed
AIChips
Not the Allbirds effect: Japan’s top bidet maker Toto has been quietly making chip supplies for decades, and the stock market finally noticed
By Catherina GioinoMay 18, 2026
2 hours ago

Most Popular

The top foreign holders of U.S. debt may soon dump Treasury bonds and bring their money back home, potentially spiking borrowing costs
Economy
The top foreign holders of U.S. debt may soon dump Treasury bonds and bring their money back home, potentially spiking borrowing costs
By Jason MaMay 17, 2026
1 day ago
Microsoft AI chief gives it 18 months—for all white-collar work to be automated by AI
AI
Microsoft AI chief gives it 18 months—for all white-collar work to be automated by AI
By Jake AngeloMay 16, 2026
2 days ago
The Bezos family just donated $100 million to help achieve one of Mayor Zohran Mamdani’s top campaign promises
Politics
The Bezos family just donated $100 million to help achieve one of Mayor Zohran Mamdani’s top campaign promises
By Jake AngeloMay 12, 2026
6 days ago
SpaceX heads into a record-shattering IPO with the 'deepest moat that exists today' as investors vow to 'never bet against Elon'
Innovation
SpaceX heads into a record-shattering IPO with the 'deepest moat that exists today' as investors vow to 'never bet against Elon'
By Jason MaMay 16, 2026
2 days ago
'No one was coming to save me': How Reese Witherspoon built a $900 million company from a problem Hollywood wouldn't fix
Success
'No one was coming to save me': How Reese Witherspoon built a $900 million company from a problem Hollywood wouldn't fix
By Sydney LakeMay 17, 2026
1 day ago
Mamdani's New York is coming to tax your private jet. Here's how to prepare
Personal Finance
Mamdani's New York is coming to tax your private jet. Here's how to prepare
By Greg RaiffMay 16, 2026
3 days ago

© 2026 Fortune Media IP Limited. All Rights Reserved. Use of this site constitutes acceptance of our Terms of Use and Privacy Policy | CA Notice at Collection and Privacy Notice | Do Not Sell/Share My Personal Information
FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. FORTUNE may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.