The Startup Ecosystem & the Investments in Hi-tech Startups in Italy Observatory on Hi-Tech Startups in Italy Andrea Rangone School of Management, Politecnico di Milano IN COLLABORATION WITH WITH THE INSTITUTIONAL SUPPORT OF
1_ The Italian Startup Ecosystem: "Who s Who" 2_ Investments in hi-tech startups in Italy 3_ A selection of significant startups
The players Funded Startups Innovative Startups Institutional Investors Crowdfunding Platforms Incubators and Accelerators Science and Technology Parks Coworking spaces Fablabs Startup Competitions Hackathons Empowerment programs Call for tenders Associations, Online Resources & Communities
The methodology A census survey of the main players in each category based on a review of secondary sources (online re-sources, press search, etc.) Interviews with each identified player to understand their actual role within the ecosystem
"Innovative Startups" "INNOVATIVE STARTUPS": 2716 3000 2000 1000 0 1227 2716 2013 2014 North 22% Centre South and Islands 21% 57% 2014 "Innovative Startups": According to the definition established by law through Decreto Sviluppo Bis and later revised through Decreto Lavoro. Startup listed in the special section of the Business Register held by the Chambers of Commerce. FOR THE NAMES AND CONTACT INFORMATION OF THE PLAYERS MENTIONED ON THIS SLIDE, PLEASE VISIT THE WEBSITE WWW.ITALIASTARTUP.IT/WHOISWHO Last update, October 13 th 2014
"Innovative Startups" "INNOVATIVE STARTUPS": 2716 3000 2000 1000 0 1227 2716 2013 2014 North 22% 14% Centre 21% 36% 50% 57% 2013 2014 South and Islands "Innovative Startups": According to the definition established by law through Decreto Sviluppo Bis and later revised through Decreto Lavoro. Startup listed in the special section of the Business Register held by the Chambers of Commerce. FOR THE NAMES AND CONTACT INFORMATION OF THE PLAYERS MENTIONED ON THIS SLIDE, PLEASE VISIT THE WEBSITE WWW.ITALIASTARTUP.IT/WHOISWHO Last update, October 13 th 2014
Funded Startups FUNDED STARTUPS: 197 300 200 100 113 197 23% 15% North Centre South and Islands 0 2013 2014 62% 2014 Funded Startups: High-tech startups that obtained financing in the last two years from at least one of the players included in the "institutional investors" category FOR THE NAMES AND CONTACT INFORMATION OF THE PLAYERS MENTIONED ON THIS SLIDE, PLEASE VISIT THE WEBSITE WWW.ITALIASTARTUP.IT/WHOISWHO
Funded Startups FUNDED STARTUPS: 197 300 200 100 0 113 197 2013 2014 15% 28% 23% 26% 46% 62% 2013 2014 North Centre South and Islands Funded Startups: High-tech startups that obtained financing in the last two years from at least one of the players included in the "institutional investors" category FOR THE NAMES AND CONTACT INFORMATION OF THE PLAYERS MENTIONED ON THIS SLIDE, PLEASE VISIT THE WEBSITE WWW.ITALIASTARTUP.IT/WHOISWHO
"Institutional" Investors "INSTITUTIONAL" INVESTORS: 36 40 30 31 36 19% 6% North 20 Centre 10 0 2013 2014 75% 2014 South and Islands Institutional Investors: Investors that manage capital for third parties and invest in startups through a structured process that involves an evaluation team, regardless of their legal nature (Sgr, Sicar, SpA, etc) FOR THE NAMES AND CONTACT INFORMATION OF THE PLAYERS MENTIONED ON THIS SLIDE, PLEASE VISIT THE WEBSITE WWW.ITALIASTARTUP.IT/WHOISWHO
"Institutional" Investors "INSTITUTIONAL" INVESTORS: 36 40 30 20 10 0 31 36 2013 2014 19% 6% 4% 23% 73% 75% 2013 2014 North Centre South and Islands Institutional Investors: Investors that manage capital for third parties and invest in startups through a structured process that involves an evaluation team, regardless of their legal nature (Sgr, Sicar, SpA, etc) FOR THE NAMES AND CONTACT INFORMATION OF THE PLAYERS MENTIONED ON THIS SLIDE, PLEASE VISIT THE WEBSITE WWW.ITALIASTARTUP.IT/WHOISWHO
Crowdfunding platforms CROWDFUNDING PLATFORMS: 48 20% 15% 65% North Centre South and Islands 2014 Crowdfunding platforms: Online platforms that enable the collection of financial resources from a large pool of individuals (i.e. the crowd ) to be destined to the development of startups and/or entrepreneurial projects FOR THE NAMES AND CONTACT INFORMATION OF THE PLAYERS MENTIONED ON THIS SLIDE, PLEASE VISIT THE WEBSITE WWW.ITALIASTARTUP.IT/WHOISWHO
Incubators and Accelerators INCUBATORS AND ACCELERATORS: 100 150 100 50 0 97 100 2013 2014 21% 21% 58% 2014 North Centre South and Islands FOR THE NAMES AND CONTACT INFORMATION OF THE PLAYERS MENTIONED ON THIS SLIDE, PLEASE VISIT THE WEBSITE WWW.ITALIASTARTUP.IT/WHOISWHO Incubators and Accelerators: Public and private incubators and accelerators that provides associated services to support startups (mentorship, networking, etc) in addition to rental space. Certified Incubators and Accelerators (ref. Decreto Sviluppo Bis) are identified by an asterisk
Incubators and Accelerators INCUBATORS AND ACCELERATORS: 100 150 100 50 0 97 100 2013 2014 21% 21% 21% 34% 45% 58% 2013 2014 North Centre South and Islands FOR THE NAMES AND CONTACT INFORMATION OF THE PLAYERS MENTIONED ON THIS SLIDE, PLEASE VISIT THE WEBSITE WWW.ITALIASTARTUP.IT/WHOISWHO Incubators and Accelerators: Public and private incubators and accelerators that provides associated services to support startups (mentorship, networking, etc) in addition to rental space. Certified Incubators and Accelerators (ref. Decreto Sviluppo Bis) are identified by an asterisk
Science and Technology Parks SCIENCE AND TECHNOLOGY PARKS: 38 60 40 20 0 40 38 2013 2014 26% North Centre 24% 50% 2014 South and Islands FOR THE NAMES AND CONTACT INFORMATION OF THE PLAYERS MENTIONED ON THIS SLIDE, PLEASE VISIT THE WEBSITE WWW.ITALIASTARTUP.IT/WHOISWHO Science and Technology Parks: Public and private organisations whose primary aim is to promote the growth and development of highly technological enterprises and to facilitate the transfer of knowledge and innovation from the University and research centres to the businesses based there
Science and Technology Parks SCIENCE AND TECHNOLOGY PARKS: 38 60 40 20 0 40 38 2013 2014 26% 27% 28% 24% 45% 50% 2013 2014 North Centre South and Islands FOR THE NAMES AND CONTACT INFORMATION OF THE PLAYERS MENTIONED ON THIS SLIDE, PLEASE VISIT THE WEBSITE WWW.ITALIASTARTUP.IT/WHOISWHO Science and Technology Parks: Public and private organisations whose primary aim is to promote the growth and development of highly technological enterprises and to facilitate the transfer of knowledge and innovation from the University and research centres to the businesses based there
Coworking spaces COWORKING SPACES: 62 80 60 40 65 62 19% 12% North Centre 20 South and Islands 0 2013 2014 69% 2014 Coworking spaces: Work spaces specifically intended for startups that may also provide some additional services FOR THE NAMES AND CONTACT INFORMATION OF THE PLAYERS MENTIONED ON THIS SLIDE, PLEASE VISIT THE WEBSITE WWW.ITALIASTARTUP.IT/WHOISWHO
Coworking spaces COWORKING SPACES: 62 80 60 40 20 0 65 62 2013 2014 19% 12% 14% 57% 29% 69% 2013 2014 North Centre South and Islands Coworking spaces: Work spaces specifically intended for startups that may also provide some additional services FOR THE NAMES AND CONTACT INFORMATION OF THE PLAYERS MENTIONED ON THIS SLIDE, PLEASE VISIT THE WEBSITE WWW.ITALIASTARTUP.IT/WHOISWHO
Fablabs FABLABS: 46 22% 26% 52% North Centre South and Islands 2014 FOR THE NAMES AND CONTACT INFORMATION OF THE PLAYERS MENTIONED ON THIS SLIDE, PLEASE VISIT THE WEBSITE WWW.ITALIASTARTUP.IT/WHOISWHO Fablabs: Workshops for digital fabrication that dispose of a common set of core tools and processes (e.g. Laser Cutter, CNC Large Scale Wood Router, 3D printer, Vinyl Cutter) and give everyone in the community, including entrepreneurs, the capability to turn their ideas and concepts into reality
Startup Competitions STARTUP COMPETITIONS: 52 60 40 20 0 33 52 2013 2014 25% 15% 60% 2014 North Centre South and Islands FOR THE NAMES AND CONTACT INFORMATION OF THE PLAYERS MENTIONED ON THIS SLIDE, PLEASE VISIT THE WEBSITE WWW.ITALIASTARTUP.IT/WHOISWHO Startup Competitions: Programs and competitions that evaluate startups and entrepreneurial projects and that provide some rewards (e.g. grants, mentorship, and incubation) to the winners. All competitions taking place in 2014 were considered (already concluded or planned before the end of the year)
Startup Competitions STARTUP COMPETITIONS: 52 60 40 20 0 33 52 2013 2014 15% 15% 25% 27% 58% 60% 2013 2014 North Centre South and Islands FOR THE NAMES AND CONTACT INFORMATION OF THE PLAYERS MENTIONED ON THIS SLIDE, PLEASE VISIT THE WEBSITE WWW.ITALIASTARTUP.IT/WHOISWHO Startup Competitions: Programs and competitions that evaluate startups and entrepreneurial projects and that provide some rewards (e.g. grants, mentorship, and incubation) to the winners. All competitions taking place in 2014 were considered (already concluded or planned before the end of the year)
Hackathons HACKATHONS: 21 29% North Centre South and Islands 71% 2014 FOR THE NAMES AND CONTACT INFORMATION OF THE PLAYERS MENTIONED ON THIS SLIDE, PLEASE VISIT THE WEBSITE WWW.ITALIASTARTUP.IT/WHOISWHO Hackathons: Marathons of cooperative software development, whose duration may vary between one day and a week, where computer science and software development experts and gurus define a core topic for the event, form heterogeneous teams merging different interests and backgrounds, and compete to develop an idea and design a prototype of it
Empowerment programs EMPOWERMENT PROGRAMS: 38 21% 21% North Centre South and Islands 58% 2014 Empowerment programs: Educational and training programs delivered online or face-to-face to new entrepreneurs or startuppers with the aim to update and develop necessary competencies and skills FOR THE NAMES AND CONTACT INFORMATION OF THE PLAYERS MENTIONED ON THIS SLIDE, PLEASE VISIT THE WEBSITE WWW.ITALIASTARTUP.IT/WHOISWHO
Call for tenders CALL FOR TENDERS: 46 39% 26% North Centre South and Islands 35% 2014 Call for tenders: Public calls to get access to public funding and financial incentives (without equity participation) aimed at supporting and facilitating the launch and development of startups FOR THE NAMES AND CONTACT INFORMATION OF THE PLAYERS MENTIONED ON THIS SLIDE, PLEASE VISIT THE WEBSITE WWW.ITALIASTARTUP.IT/WHOISWHO
Associations, Online Resources & Communities ASSOCIATIONS, ONLINE RESOURCES & COMMUNITIES: 27 30 20 20 27 40% Associations 10 60% Online Resources &Communities 0 2013 2014 2014 Associations, Online Resources & Communities: Only those associations, online resources and communities with a specific focus on startup FOR THE NAMES AND CONTACT INFORMATION OF THE PLAYERS MENTIONED ON THIS SLIDE, PLEASE VISIT THE WEBSITE WWW.ITALIASTARTUP.IT/WHOISWHO
Associations, Online Resources & Communities ASSOCIATIONS, ONLINE RESOURCES & COMMUNITIES: 27 30 20 20 27 35% 40% Associations 10 60% 65% Online Resources &Communities 0 2013 2014 2013 2014 Associations, Online Resources & Communities: Only those associations, online resources and communities with a specific focus on startup FOR THE NAMES AND CONTACT INFORMATION OF THE PLAYERS MENTIONED ON THIS SLIDE, PLEASE VISIT THE WEBSITE WWW.ITALIASTARTUP.IT/WHOISWHO
The regions LOMBARDIA Percentage of Italian total FOR THE NAMES AND CONTACT INFORMATION OF THE PLAYERS MENTIONED ON THIS SLIDE, PLEASE VISIT THE WEBSITE WWW.ITALIASTARTUP.IT/WHOISWHO 22% of "Innovative Startups" 34% of Funded Startups 53% of "Institutional" Investors 35% of Crowdfunding Platforms 21% of Incubators and Accelerators 13% of Science and Technology Parks 31% of Coworking spaces 17% of Fablabs 35% of Startup Competitions 24% of Hackathons 13% of Empowerment programs 15% of Call for tenders
1_ The Italian Startup Ecosystem: "Who s Who" 2_ Investments in hi-tech startups in Italy 3_ A selection of significant startups
Total investments in hi-tech startups Milion 140 120 100 80 60 40 20 0 112 2012 2013 2014 Quantification of these investments was carried out through primary sources. Direct interviews were therefore conducted with all institutional entities plus the main incubators/ accelerators, Family Offices and Business Angel Networks Data collected from the 2013 IBAN Survey was added to the data collected through these primary sources
Total investments in hi-tech startups Milion 140 120 100 80 60 40 20 0 129* 112 +15% 2012 2013 2014 Quantification of these investments was carried out through primary sources. Direct interviews were therefore conducted with all institutional entities plus the main incubators/ accelerators, Family Offices and Business Angel Networks Data collected from the 2013 IBAN Survey was added to the data collected through these primary sources * The 2013 value is a rectification of the 110 million euro estimate given in October 2013
Total investments in hi-tech startups ** Values for 2014 are estimated Milion 140 120 100 80 60 40 20 0 129* 112 110** +15% -15% 2012 2013 2014 Quantification of these investments was carried out through primary sources. Direct interviews were therefore conducted with all institutional entities plus the main incubators/ accelerators, Family Offices and Business Angel Networks Data collected from the 2013 IBAN Survey was added to the data collected through these primary sources * The 2013 value is a rectification of the 110 million euro estimate given in October 2013
Distribution of investments by investor type Milion 140 120 100 80 60 40 20 0 112 35 77 2012 2013 2014 Business Angels, Family Offices, Incubators and Accelerators Institutional Investors 30% 70%
Distribution of investments by investor type Milion 140 120 100 80 60 40 20 0 129 112 35 +34% 47 77 +6% 82 2012 2013 2014 Business Angels, Family Offices, Incubators and Accelerators Institutional Investors 30% 36% 70% 64%
Distribution of investments by investor type Milion 140 120 100 80 60 40 20 0 129 112 110** 35 +34% 47 +17% 55 77 82 +6% -33% 55 2012 2013 2014 ** Values for 2014 are estimated Business Angels, Family Offices, Incubators and Accelerators Institutional Investors 30% 70% 36% 64% 50% 50%
Venture Capital Investments: a benchmark 50% VC investment growth rate (2013 vs 2012) 40% 30% 20% 10% -10% -20% 0,010% 0,020% 0,030% 0,040% 0,050% 0,10% 0,20% VC investment as %GDP (2013)
Distribution of investments by sector Investments refer only to those startups that obtained financing from Institutional Investors 100% 80% 60% 1% 4% 15% 10% 16% 11% 100% 80% 60% 2% 4% 13% 9% 13% 9% 40% 20% 0% 68% 75% 2012 2013 40% 20% 0% 72% 78% 2012 2013 Total: 77 Million Total: 82 Million Total startup: 67 Total startup: 78 ICT Life Science Cleantech and Energy Other
Distribution of investments by region Investments refer only to those startups that obtained financing from Institutional Investors 100% 80% 60% 40% 20% 21% 32% 19% 15% 60% 53% 100% 80% 60% 40% 20% 34% 25% 21% 20% 45% 55% 0% 2012 2013 0% 2012 2013 Total: 77 Million Total: 82 Million Total startups: 67 Total startups: 78 North Centre South and Islands
Background and age range of startup founders Founder profile refers only to those startups that obtained financing from Institutional Investors 100% 100% 80% 60% 74% 71% 80% 60% 44% 42% 40% 40% 30% 33% 20% 0% 26% 30% 2012 2013 20% 0% 26% 25% 2012 2013 Total startups: 67 Total startups: 78 Total startups: 67 Total startups: 78 Technical Managerial < 30 years 30 40 years > 40 years
1_ The Italian Startup Ecosystem: "Who s Who" 2_ Investments in hi-tech startups in Italy 3_ A selection of significant startups
Startups with the highest financing rounds 7 mln 3,3 mln 6,3 mln 3 mln 2013/2014 Financing rounds Startups: headquartered in Italy founded after 2009 funded by institutional investors 4 mln 3,8 mln 3,5 mln 2,5 mln 2,35 mln 2 mln
Startups with the highest turnovers 3,8 mln 2,5 mln 1,2 mln 2013 Turnover Startups: headquartered in Italy founded after 2009 funded by institutional investors 2 mln 2 mln 1,9 mln 1,1 mln 0,88 mln 0,83 mln
Startups with the highest exit value* 732 mln 185 mln 578 mln 100 mln 2013/2014 Exits 450 mln 330 mln 64 mln 30 mln IPOs, trade sales of Startups with: Italian main investor and/or Italian headquarters and/or Italian founder and/or significant activities based in Italy 250 mln * Under consideration only those startups with publicized exit values 20 mln
The Startup Ecosystem & the Investments in Hi-tech Startups in Italy Observatory on Hi-Tech Startups in Italy Andrea Rangone School of Management, Politecnico di Milano IN COLLABORATION WITH WITH THE INSTITUTIONAL SUPPORT OF
Ugo Parodi Giusino Founder, Executive Chairman and CEO, Mosaicoon IN COLLABORATION WITH WITH THE INSTITUTIONAL SUPPORT OF
"Italia Startup: la strategia e la squadra" Marco Bicocchi Pichi Consigliere con delega all'internazionalizzazione Enrico Gallorini Consigliere con delega al marketing e allo sviluppo associativo Pierantonio Macola Consigliere con delega allo sviluppo dei territori Andrea Monti Consigliere con delega all'open innovation Antonio Perdichizzi Consigliere con delega all'education Caterina Siclari Consigliere con delega ai servizi agli associati IN COLLABORATION WITH WITH THE INSTITUTIONAL SUPPORT OF