Praveen Paranjothi is the founder of Startup Europe India Network

1. All views are personal.

2. PRAVEEN PARANJOTHI
May 2016
www.startupeuropeindia.net
GLOBAL TRENDS
LOCAL LEARNINGS
All views are personal.

3. STARTUPS
CORPORATES
INVESTORS
ENABLERS
SERVICE
PROVIDERS
INVESTMENT
BANKS
STOCK
MARKETS
POLICY MAKERS
WHO ARE THE
CRITICAL ACTORS
IN THE STARTUP
ECOSTEM
INCUBATORS
ACCELERATORS
UNIVERSITIES
PUBLIC AGENCIES
PRAVEEN PARANJOTHI
May 2016

4. SCALE!
Founded 2013 >> in 2 – years -> $ 1 billion valuation >> Current valuation: > > $ 4 billionPRAVEEN PARANJOTHI
May 2016

5. ..c. 90% of startups fail.
It’s a long-term game.
Most downloaded game of all time
Came after 50 games from Rovio
2002 >> Ludicorp > Game Neverending – failed
>> Flickr > Acquired by Yahoo in 2005
2011 >> Multiplayer game Glitch > Failed
2013 >> August launched Slack
51st game 4th Startup
PRAVEEN PARANJOTHI
May 2016

6. TECHNOLOGY TRENDS
PRAVEEN PARANJOTHI
May 2016

7. CONVERGENCE IN SOFTWARE
Manufacturing 4.0
Robot
AI
Driverless,
Internet connected
Human + Data
friendly hardware

8. CONVERGENCE IN INDUSTRIES
PRAVEEN PARANJOTHI
May 2016

9. Big frontiers
Capitalizing on Sean Parker’s work
in fields of tech and media,
company building and public policy.
Artificial
Intelligence
Health
Analytics,
Cyber security
With everything moving online. Security will
be a critical block for our online life.
PRAVEEN PARANJOTHI
May 2016

10. Source: McKinsey
12 disruptive technologies that will transform life, business & the global economy
Mobile Internet, Automation of knowledge work,
The Internet of Things, Cloud technology,
Advanced Robotics, Autonomous and near Autonomous vehicle,
Next-generation genomics, Advanced O&G exploration and recovery,
Renewable Energy, Energy storage,
3D Printing, Advanced materials
$14 trillion - $33 trillion in 2025
Opportunities to lead…
PRAVEEN PARANJOTHI
May 2016

11. Platform companies, emerging control centers
All views are personal.PRAVEEN PARANJOTHI
May 2016

12. WE ARE GOING TO THE
C I A world
All views are personal.PRAVEEN PARANJOTHI
May 2016

13. CONNECTED everything
INTELLIGENCE everywhere
ACCESS anywhere
Internet of Things. Internet of
Everything. We collect data.
Analytics, Robotics, Artificial
Intelligence - Data is the new oil.
Google Loon project, Wi-Fi
everywhere projects.
All views are personal.PRAVEEN PARANJOTHI
May 2016

14. HUBS
PRAVEEN PARANJOTHI
May 2016

15. BERLIN
STOCKHOLM
SUCCESS COMES FIRST, HUB COMES NEXT
PARIS
EUR 3.36 billion
(May 2016)
EUR 2.73 billion
(May 2016)
GBP 2.5 billion
USD 2.25 billion
USD 5.9 billion
USD 8.53 billion
USD 8.5 billion
All views are personal.PRAVEEN PARANJOTHI
May 2016

16. POLICY
MAKERS

17. 10 most critical factors for Startup success
The idea
The leader (s)
The team
The Capital
The plan
The execution
The timing
The crisis response
The marketing
The growth
All views are personal.PRAVEEN PARANJOTHI
May 2016

18. INVESTORS
PRAVEEN PARANJOTHI
May 2016

19. Sizable market & strong fundamentals
Source: World Bank and ComScore
PRAVEEN PARANJOTHI
May 2016

20. WITHOUT PUBLIC FUNDING,
EUROPEAN VENTURE CAPITAL WILL NOT BE WHAT ITS TODAY
All views are personal.
Source: Invest Europe 2015
PRAVEEN PARANJOTHI
May 2016

21. A LOT OF MONEY AVAILABLE
TOP-10 SOVEREIGN WEALTH FUNDS IN THE WORLD
– c. USD 6 trillion.
&
PENSION FUNDS, INSURANCE COMPANIES, CORPORATES, FAMILY
OFFICES
VC fund investment in Europe
c. EUR 5 billion
PRAVEEN PARANJOTHI
May 2016

22. VENTURE CAPITAL
- HIGH-RISK
- ILLIQUID
- LONG-TERM
RETURN EXPECTATIONS
• > 2.5-3X
• > 15-20% IRR
FOR MARKET INVESTORS
PRAVEEN PARANJOTHI
May 2016

23. Venture Capitalists have to chase the mythical
(or not so) unicorns
USA Europe Asia Other
87 16 40 2
Total – 145 Unicorns
May 2016 – Source: WSJ
All views are personal.PRAVEEN PARANJOTHI
May 2016

24. Time to reach the $ billion valuation is similar everywhere
(and decreased from c. 10 to 2 years)
Source: Atomico
All views are personal.PRAVEEN PARANJOTHI
May 2016

25. PRAVEEN PARANJOTHI
May 2016

26. SELF –
FUNDING
BA / INCUBATOR
/ACCELERATOR
SEED /
EARLY-STAGE VC
SERIES-A
SERIES-B+
FOCUSING ON EARLY-STAGE FUNDING
All views are personal.PRAVEEN PARANJOTHI
May 2016

27. ATTRACTING INTERNATIONAL INVESTORS
PRAVEEN PARANJOTHI
May 2016

28. • TECHNOLOGY CONVERGES IN SOFTWARE & HUMAN+DATA FRIENDLY
HARDWARE
• WE ARE GOING TO THE “CIA” WORLD – DIG OUT YOUR OPPORTUNITIES
• POLICYMAKERS ENABLE – PEOPLE, BRAND, CAPITAL, and EASY RULES
• CAPITAL – LOCAL EARLIER STAGE CAPITAL + SUPPORT,
INTERNATIONAL LATER STAGE CAPITAL
All views are personal.PRAVEEN PARANJOTHI
May 2016