Successfully reported this slideshow.
We use your LinkedIn profile and activity data to personalize ads and to show you more relevant ads. You can change your ad preferences anytime.

Growing Korea's Startup Eco-system - Lim Jungwook, StartUp Alliance Korea, Seminar SEE MIKTA

218 views

Published on

As a keynote speaker within the conference SEE MIKTA: Innovation and Entrepreneurship, Mr. Lim Jungwook, Director of StartUp Alliance Korea, presented the experiences in building the startup community and supporting entrepreneurship from Korea.

The seminar SEE MIKTA: Innovation and Entrepreneurship, was organized on 23 November 2017 in Belgrade, by NALED and embassies of MIKTA countries - Mexico, Indonesia, Korea, Turkey and Australia.

Published in: Business
  • Be the first to comment

  • Be the first to like this

Growing Korea's Startup Eco-system - Lim Jungwook, StartUp Alliance Korea, Seminar SEE MIKTA

  1. 1. startupall.kr │ contact@startupall.kr Growing Korea’s Startup Eco-system Jungwook Lim
  2. 2. startupall.kr │ contact@startupall.krstartupall.kr │ contact@startupall.kr
  3. 3. startupall.kr │ contact@startupall.kr Since 2013, Startup Alliance Korea has worked as active player in Korean startup eco-system. We are the facilitator promoting entrepreneurship and connecting startups and various stakeholders in the system.
  4. 4. startupall.kr │ contact@startupall.kr Republic of Korea Overview
  5. 5. startupall.kr │ contact@startupall.kr Right between China and Japan. 50M population.
  6. 6. startupall.kr │ contact@startupall.kr Right between China and Japan. 50M population. 127M 1379M
  7. 7. startupall.kr │ contact@startupall.kr 11th largest economy 11th largest economy
  8. 8. startupall.kr │ contact@startupall.kr Korea is home to many successful IT companies
  9. 9. startupall.kr │ contact@startupall.kr It is known for its fast internet infrastructure
  10. 10. startupall.kr │ contact@startupall.kr First wave 1990+ Search/Portal, Gaming, e-learning, e-commerce
 >$35B market cap Software, Mobile, Internet, Consumer Services
 >100$ market cap source : Altos analysis Second wave 2010+ There are many more internet companies than one might imagine
  11. 11. startupall.kr │ contact@startupall.kr Steady Growth of Venture Companies In 1997, Act on Special Measures for the Promotion of Venture Business was passed
  12. 12. Total venture investment 3B venture fund Raised last year About 2B USD invested in 1,191 venture companies last year (SMBA)
  13. 13. startupall.kr │ contact@startupall.kr Recent Challenges
  14. 14. startupall.kr │ contact@startupall.kr Declining economic condition
  15. 15. startupall.kr │ contact@startupall.kr
  16. 16. startupall.kr │ contact@startupall.kr Too much dependency on chaebols
  17. 17. startupall.kr │ contact@startupall.kr Samsung’s share of Korea GDP 26.6% (2013)
  18. 18. startupall.kr │ contact@startupall.kr 2017 profit projection 55B USD
  19. 19. startupall.kr │ contact@startupall.kr Chaebol 財閥
  20. 20. startupall.kr │ contact@startupall.kr They are old and not aggressive enough
  21. 21. startupall.kr │ contact@startupall.kr % of richest people who inherit its wealth from parents
  22. 22. startupall.kr │ contact@startupall.kr Korea needs new blood for growth
  23. 23. startupall.kr │ contact@startupall.kr “Creative Economy” Park Administration’s Policy Drive from 2013 創造經濟
  24. 24. startupall.kr │ contact@startupall.kr "4th Industrial Revolution" President Moon Jae-In (In Office from May 2017)
  25. 25. startupall.kr │ contact@startupall.kr Small Medium Business Agency upgraded to MSS!
  26. 26. startupall.kr │ contact@startupall.kr
  27. 27. startupall.kr │ contact@startupall.kr 5 Years ago…
  28. 28. startupall.kr │ contact@startupall.kr Lack of (early stage) venture investment Lack of Startup community
  29. 29. startupall.kr │ contact@startupall.kr Korea Venture Investment Corp injected $2B into Korean VCs; Giving Birth to 400+ New VC Funds "Fund of funds"
  30. 30. startupall.kr │ contact@startupall.kr KVIC was established in 2005 USD 1.7 Billion KOSDAQ Crashed Annual Trend of VC Investment Since 1998
  31. 31. startupall.kr │ contact@startupall.kr However, It is hard to get funded when entrepreneurs start up for the first time.
  32. 32. startupall.kr │ contact@startupall.kr The government stepped in to provide funding opportunities for early stage startups
  33. 33. startupall.kr │ contact@startupall.kr Matching Investment Fund by Government The most successful public startup support program
  34. 34. startupall.kr │ contact@startupall.kr Encourage the private early stage venture investments by providing matching funds
  35. 35. STARTUP TIPS Partnering VC or ACCELERATOR GOVERNMENT 100k investment 500k R&D support Paying back up to 10% Equity 1 to 5 Match!
  36. 36. STARTUP TIPS Partnering VC or ACCELERATOR GOVERNMENT 100k investment 500k R&D support Paying back up to 10% Equity 1 to 9 Match! Up to 400k marketing support
  37. 37. startupall.kr │ contact@startupall.kr TIP in Israel. (From 1991)
  38. 38. startupall.kr │ contact@startupall.kr TIPS Program partnering with 40 VCs, Accelerators and CVCs
  39. 39. startupall.kr │ contact@startupall.kr Finding early stage Global facing Tech-driven startups
  40. 40. startupall.kr │ contact@startupall.kr Number of TIPS Startups 300+ and counting
  41. 41. startupall.kr │ contact@startupall.kr 120M+ has been matched to 300+ teams so far
  42. 42. startupall.kr │ contact@startupall.kr Examples
  43. 43. Jobplanet TIPS (2014.10) + Seed funding $1.3M Raised $9M (2015.1)
  44. 44. DRAMA&COMPANY Business Card App “Remember” TIPs (2014. 5) $1M Raised $2M (2014. 12) $6.5M (2015. 9)
  45. 45. startupall.kr │ contact@startupall.kr Lack of startup culture or community
  46. 46. startupall.kr │ contact@startupall.kr
  47. 47. startupall.kr │ contact@startupall.kr Gangnam Huh, Startup?
  48. 48. startupall.kr │ contact@startupall.kr Seoul 89% Gyeonggi Province 6% Busan 3% Daejeon 1% Daegu 1% Gangnam-gu 77% Gwanak-gu 2% Gwangjin-gu 1% Mapo-gu 2% Seocho-gu 8% Yeongdeungpo-gu 7% Jongno-gu 2% Jung-gu 2% The location of Korean Venture Capital (117)
  49. 49. startupall.kr │ contact@startupall.kr Why Gangnam? • Home of many well known IT companies. (Samsung, Coupang, Google Korea, Facebook Korea…) • Formerly known as Teheran Valley. • 80% of Korean VCs based in Gangnam. • Convenient location to commute.
  50. 50. startupall.kr │ contact@startupall.kr MARU180 D.CAMP Gaepo Digital Innovation Park Google Campus Seoul Startup Alliance TIPS Town D2 (Naver Accelerator) Gangnam station Yeoksam station Seolleung station Samsung station Gangnam Startup Belt
  51. 51. startupall.kr │ contact@startupall.kr March
 2013 March 2014 April 2014 April 2015 May 2015 D.CAMP STARTUP ALLIANCE MARU 180 GOOGLE CAMPUS SEOUL NAVER D2 STARTUP FACTORY July 2015 TIPS
 TOWN
  52. 52. startupall.kr │ contact@startupall.kr Event Venue, Co-working Space, Free Office Spaces for Accelerators and Startups
  53. 53. startupall.kr │ contact@startupall.kr
  54. 54. startupall.kr │ contact@startupall.kr
  55. 55. startupall.kr │ contact@startupall.kr
  56. 56. startupall.kr │ contact@startupall.kr
  57. 57. startupall.kr │ contact@startupall.kr
  58. 58. startupall.kr │ contact@startupall.kr
  59. 59. startupall.kr │ contact@startupall.kr
  60. 60. startupall.kr │ contact@startupall.kr
  61. 61. startupall.kr │ contact@startupall.kr
  62. 62. startupall.kr │ contact@startupall.kr
  63. 63. startupall.kr │ contact@startupall.kr
  64. 64. CO-WORKING SPACE MAP 2017 IN GANGNAM AREA Ver. 1 Last Updated on July 31, 2017
  65. 65. startupall.kr │ contact@startupall.kr WeWork Seoul
  66. 66. startupall.kr │ contact@startupall.kr Spark Plus
  67. 67. startupall.kr │ contact@startupall.kr Z.A.G. POT
  68. 68. startupall.kr │ contact@startupall.kr Cow and Dog
  69. 69. startupall.kr │ contact@startupall.kr
  70. 70. startupall.kr │ contact@startupall.kr Government led Startup hub
  71. 71. startupall.kr │ contact@startupall.kr http://www.edaily.co.kr/news/NewsRead.edy?SCD=JC41&newsid=01262806609307584&DCD=A00304&OutLnkChk=Y Center for Creative Economic Innovation (CCEI)
  72. 72. startupall.kr │ contact@startupall.kr
  73. 73. startupall.kr │ contact@startupall.kr
  74. 74. startupall.kr │ contact@startupall.kr
  75. 75. startupall.kr │ contact@startupall.kr
  76. 76. startupall.kr │ contact@startupall.kr Startup Campus newly opened in Pangyo March 2016
  77. 77. startupall.kr │ contact@startupall.kr
  78. 78. startupall.kr │ contact@startupall.kr As a result…
  79. 79. startupall.kr │ contact@startupall.kr Promising signs
  80. 80. startupall.kr │ contact@startupall.kr Growing Number of Accelerators, Incubators and Micro VCs for Seed Funding
  81. 81. startupall.kr │ contact@startupall.kr Accelerators, Micro VCs (Early Stage + Seed Funding)
  82. 82. startupall.kr │ contact@startupall.kr Neowiz Founder Inicis Founder Daum
 Co-Founder Olaworks Founder NexR Founder Kakao Founder Prominent Entrepreneurs Turn into Angels & VCs Byung Gyu Chang Douglas Guen Taekkyung Lee Junghee Ryu Jason Han Beomsoo Kim Jiwon Moon & Changseong Ho viki
 Founder
  83. 83. startupall.kr │ contact@startupall.kr Byung Gyu Jang Sold <First Snow>, his search engine startup to Naver for 35M 10 years ago. Established Bon Angels, funded 100+ startups so far.
  84. 84. startupall.kr │ contact@startupall.kr Founder & engineering background
  85. 85. startupall.kr │ contact@startupall.kr Established the first startup accelerator in 2010. Focused on supporting early-stage startups
  86. 86. startupall.kr │ contact@startupall.kr
  87. 87. startupall.kr │ contact@startupall.kr
  88. 88. startupall.kr │ contact@startupall.kr
  89. 89. startupall.kr │ contact@startupall.kr
  90. 90. startupall.kr │ contact@startupall.kr Top talents to move to the startup world
  91. 91. startupall.kr │ contact@startupall.kr Frograms CEO & Founder, KAIST Park, Taehoon Coupang CEO & Founder, Harvard From Consulting Firms From Big Companies Choi Jaeho, Founder of Drama&Company Kim Hosun, Founder of Sunshine Kim KyungTae, Founder of Zikto Na Jewon, Founder of Yogiyo (Top 4 Univ. for TIPS founders) Kim, Bom
  92. 92. Foreign VCs becoming active in Korea
  93. 93. startupall.kr │ contact@startupall.kr
  94. 94. startupall.kr │ contact@startupall.kr
  95. 95. startupall.kr │ contact@startupall.kr
  96. 96. startupall.kr │ contact@startupall.kr
  97. 97. startupall.kr │ contact@startupall.kr $16.6M NEW WORLD GROUP $23M KTB NETWORK, GOODWATER CAPITAL, ALTOS VENTURES $65.95MFORMATION GROUP, GOOD WATER CAPITAL, PEJMAN MAR VENTURES $120K Y COMBINATOR $4.5MALTOS VENTURES SAMSUNG VENTURES LB INVESTMENT GS SHOP $1.5M DCM VENTURES, STRONG VENTURES, NAVER 2015~2016 Investments from overseas investors
  98. 98. startupall.kr │ contact@startupall.kr The First Unicorn Startup was Born
  99. 99. startupall.kr │ contact@startupall.kr Big corporations changes their attitude toward startups
  100. 100. startupall.kr │ contact@startupall.kr Kakao acquired Kimgisa app, the Korean “Waze” ($56M, May 2015)
  101. 101. Innovative hardware startups spun off from Samsung Electronics’ C-Lab, its own startup incubating program
  102. 102. startupall.kr │ contact@startupall.kr Naver provides Npac, a cloud service, for free for early stage startups
  103. 103. startupall.kr │ contact@startupall.kr 8 conditions for vibrant startup eco-system • A pro-entrepreneurship culture (Improving) • Guidance from experienced entrepreneurs (Improving) • A supportive regulatory environment (Improving…but) • A collaborative business culture (?) • Visible successes and role models (Improving) • Risk tolerance (?) • Availability of capital (Improving) • Technical skills-computer programming (?) Source : Crossroads
  104. 104. startupall.kr │ contact@startupall.kr STARTUP
 ECOSYSTEM STARTUP ECOSYSTEM Availability of capital Technical Skills Entrepreneurial Culture Experienced Mentors Regulatory Environment Collaborative CultureVisible Successes Risk Tolerance 8 conditions for vibrant startup eco-system Source : Crossroads
  105. 105. startupall.kr │ contact@startupall.kr
  106. 106. startupall.kr │ contact@startupall.kr Virtuous Circle Begins!
  107. 107. startupall.kr │ contact@startupall.kr 2 years ago The startup raised 1M+ funding =80+
  108. 108. Now=300+
  109. 109. startupall.kr │ contact@startupall.kr Things to fix for Korean startups
  110. 110. startupall.kr │ contact@startupall.kr Things to fix • Old regulations • Unadventurous VCs • Lagging entrepreneurial spirits - Fear of failure, Parents • Too much dependency on gov funding • Unfair business practice for startups • Lack of exits (IPO or M&A)
  111. 111. startupall.kr │ contact@startupall.kr Drone Self driving cars Ridesharing Fintech Sharing economy Telemedicine…
  112. 112. startupall.kr │ contact@startupall.kr
  113. 113. startupall.kr │ contact@startupall.kr Unadventurous VCs
  114. 114. startupall.kr │ contact@startupall.kr B2B Hardware Autotech VR/AR
  115. 115. startupall.kr │ contact@startupall.kr Lagging entrepreneur spirits
  116. 116. Government jobs becoming extremely attractive for the young generation.
  117. 117. Samsung Entrance Exam (SSAT)
  118. 118. startupall.kr │ contact@startupall.kr Biggest hurdle for young Korean entrepreneurs?
  119. 119. startupall.kr │ contact@startupall.kr Their parents
  120. 120. startupall.kr │ contact@startupall.kr Startup? Are you crazy?
  121. 121. startupall.kr │ contact@startupall.kr Get a job at Samsung
  122. 122. startupall.kr │ contact@startupall.kr Too much dependency on government funding
  123. 123. startupall.kr │ contact@startupall.kr Startups Chaebols "They don’t treat us as equal business partner!"
  124. 124. startupall.kr │ contact@startupall.kr Lack of exits(IPO or M&A)
  125. 125. startupall.kr │ contact@startupall.kr My two cents for Serbia
  126. 126. startupall.kr │ contact@startupall.kr For Serbian Startups • Ease the regulations • Make public support program for early stage startups • Let entrepreneurs take advantage of global platform • Matching funds for local VC, let them fund Series A stage startups • Connect with Silicon Valley eco-system • Make the university as hub for startup eco-system
  127. 127. startupall.kr │ contact@startupall.kr 166M views in two month! (thanks to Youtube)
  128. 128. startupall.kr │ contact@startupall.kr Sold 13M copy, 1.3M concurrent users play. 400M Revenue in six months
  129. 129. startupall.kr │ contact@startupall.kr BG Chang, founder of Bluehole Studio Appointed as a Committee Chairman of 4th Industrial Revolution
  130. 130. startupall.kr │ contact@startupall.kr Nurture a National startup hero
  131. 131. startupall.kr │ contact@startupall.kr Serbian startup hero!
  132. 132. startupall.kr │ contact@startupall.kr Korean in Silicon Valley Conference Bring Korean Entrepreneurs and Professionals
  133. 133. startupall.kr │ contact@startupall.kr Serbian in Silicon Valley!
  134. 134. startupall.kr │ contact@startupall.kr
  135. 135. startupall.kr │ contact@startupall.kr Transform universities into startup hubs
  136. 136. startupall.kr │ contact@startupall.kr Transform universities into startup hubs
  137. 137. startupall.kr │ contact@startupall.kr Make more local startup hubs
  138. 138. startupall.kr │ contact@startupall.kr Activate local venture investment
  139. 139. startupall.kr │ contact@startupall.kr Let venture capitalists Make a lot of money!
  140. 140. startupall.kr │ contact@startupall.kr Attract top notch VCs (foreign investors)
  141. 141. startupall.kr │ contact@startupall.kr Building the National Startup Brand
  142. 142. startupall.kr │ contact@startupall.kr Global Expansion Support Japan Boot Camp
  143. 143. startupall.kr │ contact@startupall.kr Thank You

×