tim romero
The Three Sources for Future Innovation in Japan TIM ROMERO
WHY SHOULD WE LISTEN TO YOU?
Tim Romero — In One Slide The Present
TEPCO, CTO, Business Innovation Task Force
NYU, Lecturer, Entrepreneurship and Corporate Innovation
Host, Disrupting Japan Podcast
Investor, advisor, hacker, author, podcaster, picker, grinner, lover, sinner
The Nostalgic Past
Vanguard - ASP E-commerce
PRS - Customer Clearing
Matrix - Online Inventory Management System
Wizaz - Language Neutral Text Classification Engine
… other “respectable” jobs & too many startup projects to count
#1 STARTUPS
Venture Investing is Increasing Deal Value (
)
Deals Closed 2,500
1,600 1,399
2,099
1,293 1,190
2,000 1,088 1,500
1,476
879 1,260
1,192 1,200
1,080 909
981
1,400
995
978 1,390
1,716
1,212
1,000 800
1,000 730
691
819
819
600
633 400
500
200 0
0 2006
2007
2008
2009
*Source - Japan Venture Research Co., LTD
2010
2011
2012
2013
2014
2015
2016
Open Innovation & Strategic M&A Open Innovation
How startups have gained (a little) legitimacy
Open innovation & corporate accelerators
Creww, 01Booster, Morning Pitch, ILS, etc
Strategic M&A
A few deals, but too early to call a trend
IPOs are still the favored exit
Venture Investment: Japan vs US Venture Investment 2016 ($B) 69.1
1.8 Japan
US
A BIT OF HISTORY
#2 MEDIUM-SIZED MANUFACTURERS
MEs ARE JAPAN’S MIDDLE CHILD
MEs Are The Japanese Economy 90%
83.2% 67.5%
54% 45%
48% 34%
22.5%
23%
23%
16.6% 0%
18%
0.3% No. Firms
Employees
Revenue
*METI defines MEs as 20 to 300 employees for manufacturing, 5 to 100 for other industries
Small Medium Large
Partial iPhone Supply Chain in Japan Apple Has 139 Suppliers in Japan Japan Display - Display
Sharp - Display
Toshiba - Flash Memory
Canon Tokki Corp - OLED equipment
Sony - Camera
TDK - Inductor coils
Alps Electric Co - eCompass
Murata Manufacturing - Misc components
Fanuc Corporation - Case machine tools
…….
*Comparecamp supply chain analysis of iPhone 6
WHAT WILL FORCE THE CHANGE?
#3 THE NEW BREED OF JAPANESE SOFTWARE COMPANIES
Software Development in Japan
Global Competitiveness
Representitive Firms
Mainframe Era
1960-1980
PC Era
1980-1995
Web Era
1995-2010
Cloud Era
2010-
Strong
0
Weak
Moderate
Fujitsu
Hitachi
NEC
OKI
Systems Integrators
Mixi
DeNA
Rakuten
Mercari
Soracom
NewsPicks
SmartNews
Thank You Keep in Touch
Podcast - www.DisruptingJapan.com
Twitter: @timoth3y @DisruptingJapan
Facebook - /DisruptingJapan
The Three Sources for Future Innovation in Japan TIM ROMERO
WHY SHOULD WE LISTEN TO YOU?
Tim Romero — In One Slide The Present
TEPCO, CTO, Business Innovation Task Force
NYU, Lecturer, Entrepreneurship and Corporate Innovation
Host, Disrupting Japan Podcast
Investor, advisor, hacker, author, podcaster, picker, grinner, lover, sinner
The Nostalgic Past
Vanguard - ASP E-commerce
PRS - Customer Clearing
Matrix - Online Inventory Management System
Wizaz - Language Neutral Text Classification Engine
… other “respectable” jobs & too many startup projects to count
#1 STARTUPS
Venture Investing is Increasing Deal Value (
)
Deals Closed 2,500
1,600 1,399
2,099
1,293 1,190
2,000 1,088 1,500
1,476
879 1,260
1,192 1,200
1,080 909
981
1,400
995
978 1,390
1,716
1,212
1,000 800
1,000 730
691
819
819
600
633 400
500
200 0
0 2006
2007
2008
2009
*Source - Japan Venture Research Co., LTD
2010
2011
2012
2013
2014
2015
2016
Open Innovation & Strategic M&A Open Innovation
How startups have gained (a little) legitimacy
Open innovation & corporate accelerators
Creww, 01Booster, Morning Pitch, ILS, etc
Strategic M&A
A few deals, but too early to call a trend
IPOs are still the favored exit
Venture Investment: Japan vs US Venture Investment 2016 ($B) 69.1
1.8 Japan
US
A BIT OF HISTORY
#2 MEDIUM-SIZED MANUFACTURERS
MEs ARE JAPAN’S MIDDLE CHILD
MEs Are The Japanese Economy 90%
83.2% 67.5%
54% 45%
48% 34%
22.5%
23%
23%
16.6% 0%
18%
0.3% No. Firms
Employees
Revenue
*METI defines MEs as 20 to 300 employees for manufacturing, 5 to 100 for other industries
Small Medium Large
Partial iPhone Supply Chain in Japan Apple Has 139 Suppliers in Japan Japan Display - Display
Sharp - Display
Toshiba - Flash Memory
Canon Tokki Corp - OLED equipment
Sony - Camera
TDK - Inductor coils
Alps Electric Co - eCompass
Murata Manufacturing - Misc components
Fanuc Corporation - Case machine tools
…….
*Comparecamp supply chain analysis of iPhone 6
WHAT WILL FORCE THE CHANGE?
#3 THE NEW BREED OF JAPANESE SOFTWARE COMPANIES
Software Development in Japan
Global Competitiveness
Representitive Firms
Mainframe Era
1960-1980
PC Era
1980-1995
Web Era
1995-2010
Cloud Era
2010-
Strong
0
Weak
Moderate
Fujitsu
Hitachi
NEC
OKI
Systems Integrators
Mixi
DeNA
Rakuten
Mercari
Soracom
NewsPicks
SmartNews
Thank You Keep in Touch
Podcast - www.DisruptingJapan.com
Twitter: @timoth3y @DisruptingJapan
Facebook - /DisruptingJapan
The Three Sources for Future Innovation in Japan TIM ROMERO
