THIRUVANANTHAPURAM:With the accelerator ecosystem across the world growing rapidly, Kerala has decided to make use of the expertise of globally renowned accelerators.Slated to open up a wide network for startups - with a mix of the best practices - to evolve into successful ventures, the move is billed as a first-of-its-kind initiative in the ‘hardware ecosystem’ of the country.The state government has given permission to the Kerala Startup Mission (KSUM) to invite globally reputed accelerators that found place in the Forbes top 25 list to open a new chapter in the state’s startup ecosystem, creating co-working spaces for hardware startups to incubate and get nurtured.
According to Under Secretary Shyam Nadh R’s order, several incubators in Kerala are being promoted by government agencies like KSUM and the Kerala State Industrial Development Corporation as well as other autonomous semi-government agencies. To supplement these incubators, it is necessary to create accelerators who provide product-market linkage, early market connect and access to venture funds.
After vetting a KSUM proposal, the state government has given permission to scout for global accelerators in the Forbes list of 25.
“Or they should have been in operation for at least three years, having operations in at least three countries and must have at least 10 successful cases of demonstrable exits with VC funding,” the order said. KSUM CEO Saji Gopinath told Express the KSUM has invited an expression of interest (EoI) to select the accelerators. “Kerala is the first state to invite EoI to select globally renowned accelerators to provide mentoring as well as financing for hardware startups to streamline their businesses. The move is expected to draw a considerable number of potential investors to Kerala,” he said.
Earlier, KSUM in association with Zone Startups India had launched ‘Kerala Accelerator Program’ to help startups achieve product-market fit through a curated customer validation process. Of the 14 companies which made use of the accelerator programme, as many as 10 companies could attract investment and connect to the international market.“Unlike in the software sector, the accelerator programme in hardware startups can generate more investment along with employment,” Saji said.The accelerators, he said, could be decided in a month or two as the process is under way.
Accelerator selection
Experience of the accelerators, their demonstrated expertise in specific functional domains, availability of mentors, specialised facility, association with VCs, proven access to international markets, amount of investment expected to be made during the course of the acceleration etc. are considered for the selection of accelerators
Accelerators which commit funds for acceleration will be given preference
Should be among the 25 accelerators in the Forbes list of global accelerators
Or they should have been in operation for at least three years, having operations in at least three countries with at least 10 successful cases of demonstrable exits with VC funding
The Maker Village, an electronics incubator under the Ministry of Electronics and Information Technology and IIITM K, has around 49 hardware startups in Kochi