A round-up of news from the startup world:
Sympathy for the devil: Why do so few music startups succeed?
The digital music market continues to grow, but life remains tough for music tech start-ups. Rdio bit the dust before Christmas and Cür Music, had a fight on its hands to meet payment deadlines to labels, which it has now done. Even some of the bigger players are not without their problems as MBW has alluded to. Many within the music industry have little sympathy for the tech sector, yet the fact remains hardly any fully licensed music start-ups have achieved either profitability or a successful exit after almost twenty years of trying. It is worth asking, why?
Asian Startups Hit by Venture-Capital Slowdown
The reversal of Mr. Yin’s fortunes underscores a new reality for many startup founders across Asia: venture capitalists are hitting the brakes on funding. In recent years, investors flocked to Asia—home to the world’s biggest number of mobile users—as its startup scene boomed. Now they are spooked by weakness in the global economy, volatility in China’s stock market and slumping investments in Silicon Valley amid talk of a tech bubble. The result for founders is growing investor scrutiny, protracted fundraising discussions, and downward pressure on startup valuations, entrepreneurs and venture capitalists say. Some startups are shutting down altogether while others are laying off workers, cutting costs and moving away from business models that burned through cash to attract users.
Applyifi Goes Global, Launches Operation in ASEAN Region
Gurgaon-based Applyifi, a private platform for startups and early-stage companies to raise funds, has launched its operations in the ASEAN region. The platform will now accept applications from startups throughout Asia, without limitations. The platform claims that its experience in India gives it a ringside view of different kinds of businesses and at different levels of market maturity. i.e. given the diversity and the size of India, some categories are mature, while some are some emerging. As Applyifi is immersed in this ecosystem for over a decade, it helps it to provide an expert view on businesses across sectors and across market circumstances.
CES Asia 2016 Kicks Off with Next Generation of Innovation
More than 375 global companies from 23 countries will launch products this week as the industry comes together across a show floor spanning 32,000 gross square meters (16,000 NSM). In addition to product debuts, Asia’s premier tech event also features a robust conference program with keynotes from top executives at Huawei, Alibaba, BMW, Intel, JD.com, Legendary Pictures and Wanda Cinema Line. Due to increased exhibitor demand, the CES Asia show floor has expanded significantly since last year’s inaugural event, up from two exhibit halls to four in the Shanghai New International Expo Centre (SNIEC). Major global brands including BMW, Continental, Cobra Electronics, Gibson Brands, Hisense, Huawei, Monster, NavInfo and Pioneer will introduce products here this week showcasing what’s next for consumer tech in the pan-Asian market. The full CES Exhibitor Directory can be found here.
HP’s new Tech Ventures arm looks to invest in emerging startups
The struggles of PC maker HP have been well documented, and the continued decline of the company’s main business isn’t helping. Even with new products like the super thin Spectre 13.3, a 3D-scanning Sprout PC and a crystal-studded smartwatch, HP is still looking to rebound. Today, the company announced the launch of HP Tech Ventures, a “corporate venture arm” that looks to invest in startups with “cutting edge technologies.” The new initiative will have teams in Palo Alto and Tel Aviv to go after the new companies in 3D transformation, immersive computing, hyper-mobility, IoT, AI and smart machines.
Seattle ranks only No. 11 among U.S. cities on readiness for ‘tech revolution
Seattle has strong, established technology companies but needs to work on its supportive culture for budding entrepreneurs, a new study from the U.S. Chamber of Commerce said Wednesday. Seattle ranks No. 11 of 25 U.S. cities on how prepared they are for the ”technological revolution” sweeping across every industry, from health care to education to manufacturing. The “Innovation That Matters” study, conducted by the U.S. Chamber of Commerce Foundation along with business groups 1776 and Free Enterprise, surveyed corporations, institutions, universities, entrepreneurs and governments in 25 cities.
Seven Ways To Avoid Becoming Another Tech Startup Statistic
It takes more than a cool idea to make it in today’s startup world. For every success story, there are dozens of failed attempts. But there are ways to avoid becoming another statistic. Usually, when startups fail, they fail for trying to do too much at once. Frankly, it’s to your advantage to not try and out-dazzle the competition when making your grand debut. It doesn’t matter how big your war chest is or if you’re an alumnus of Y Combinator or 500 Startups or even if you have an insatiable drive to be the next Elon Musk or Mark Zuckerberg. Don’t get me wrong, those things help; they help a lot. However, what’s really going to put you on the road to success is the basic philosophy that Eric Ries (my hero and technology genius) lays out in his bible, The Lean Startup: Keep things simple when first starting out.