If you are considering becoming a 1M/1M premium member and would like to join our mailing list to receive ongoing information, please sign up here.

Subscribe to our Feed

Do We Need More Funds in India?

Posted on Saturday, Nov 24th 2007

Someone posed this very appropriate question in response to my Incubator Fund series.

The answer is No.

However, what we need is two things:

1. Existing funds to follow the framework discussed in the series, so that there is more “incubation” going on inside of the funds that have already been allocated for India. Today, a lot of money is sitting idle.

2. Existing Incubators need to follow the framework that I discussed as well, so that they can become “effective” incubators, as opposed to failed experiments. Today, a lot of incubators are exactly that.

I would go so far as to say, that the model I have proposed for technology incubators could be adopted in other geographies besides India like Israel, China, and Europe, where efforts at setting up a more active high tech entrepreneurial ecosystem are under way. Similarly, in other parts of North America besides Silicon Valley, the model would apply.

One caveat: if you change the geography, fund sizes need to be tweaked.

In general, I believe that over the last 25 years, Silicon Valley has led the world’s technology innovation efforts. As a result of that phenomenon, a mass of knowledge and expertise has developed here that can be disseminated all over the world.

All I am suggesting through my incubator framework is for venture funds playing in these emerging market ecosystems to be a great deal more thoughtful and organized about entrepreneurship.

Otherwise, a lot of valuable time would be lost in trying to make progress on an ad-hoc basis.

Hacker News
() Comments

Featured Videos