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Perspectives on the wonderful world of tech

UKTI Venture Capital Unit

UKTI’s Venture Capital Unit (VCU) was established in June 2012 as a result of the Government’s strategy, Britain Open for Business, and aims to link high growth and innovative SMEs with overseas sources of early stage equity investment. Currently, the demand for funding from high-growth and innovative UK companies outstrips supply. The VCU is tasked with addressing this funding gap through overseas capital sources.

The VCU comprises a group of private sector individuals, supported by a small team of civil servants. The unit is currently focussed on developing relationships with key overseas investor networks and the high growth and innovative UK SME community, across the life science, technology and clean technology sectors.

The VCU’s strategy is based on the principle that the UK has created, and is in the process of creating more, world-beating companies, and recently a number of key trends are making it an even better place to build exceptional businesses.  However, this is not fully appreciated in key international markets, nor is the UK’s status as the key European centre for innovation and venture capital.  Hence, the VCU aims to change these perceptions and facilitate the inflow of investment into both SMEs and the market as a whole.

For more information, contact:

UK Trade & Investment

1 Victoria Street

London SW1H 0ET

ukti.gov.uk | youtube.com/ukti | ukti/blog

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Ones to Watch at IoT13: 12 of the best.

Well. That was a challenge. The range and quality of entries for the One to Watch showcase was amazing and it has been a struggle to pick our shortlist from over 60 applications – even after we extended the number of slots available. We could easily have put a series of successful companies together from our applications from a single vertical but we want to demonstrate the range of great companies that are emerging from the IoT firmament.

However, in the end we have selected the following businesses to present on the 27th June:

  • Electric Imp
  • Unioncy
  • Good Night Lamp
  • Xively
  • Chirp.io
  • Concirrus
  • SigFox
  • Thingworx
  • Bleep Bleeps
  • Etherios
  • Berg
  • Datownia
  • Abacus

With this list we want to highlight a cross section of companies – from startups to established, profitable ventures – who we think have potential to drive the IoT forward. While we wanted to highlight the businesses that could really harness the potential of the IoT across a range of verticals, what surprised us was the great range of roles across the shortlist. Platform as a system, hardware modules, development platforms, consumer products, network operators, B2B integrations – they are all represented here. Which tells us that the IoT ecosystem is developing very fast indeed.

We are also working out how we can get some of the other applicants air time on the day. Watch this space.

To hear from each of the companies about their businesses, their aspirations and their needs, sign up for IoT13 here. Or if you want to know more about IoT13 – including all the other speakers, the sessions etc, there is much more detail on the IoT Forum site here.

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$170 million exit for Norwegian Internet of Things company Energy Micro to Silicon Labs

“If we could combine the Austin winter with the Oslo summer, we would have the perfect integration.” Tyson Tuttle, CEO, Silicon Labs on the acquisition and integration of Energy Micro.

Nice Internet of Things exit for Northzone Ventures and Investinor, Silicon Labs announced the acquisition of Energy Micro for $170 million last Friday. This IoT thing is not just for startups…

“Silicon Labs and Energy Micro share a complementary vision of a greener, smarter, wirelessly connected world, and the foundation for this combined vision is ultra-low-power technology enabled by each company’s innovative mixed-signal design,” said Tyson Tuttle, president and CEO of Silicon Labs. “This acquisition combines two proven leaders in nano-power MCU and wireless SoC design into a formidable force that will accelerate the deployment of energy-friendly solutions across the Internet of Things and smart energy industries.”

Some more about the deal here and you can watch the announcement made by Silicon Labs and Energy Micro below. I was worried this was going to be a horrible corporate video along with background cheesy music but this is actually a really nicely done announcement, (even if there is cheesy background music).

“If we could combine the Austin winter with the Oslo summer, we would have the perfect integration.” Tyson Tuttle, CEO, Silicon Labs.

It’s more evidence that big corporates are taking the Internet of Things seriously. Are you?

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Springboard Internet of Things (IoT) Demo Day. Report in Pictures. Disruption or Evolution?

The Internet of Things has the potential to change European venture capital’s alleged fear of hardware investment. IoT.

Some pictures from the Springboard Demo Day on 7th June. Impressive progress from a fascinating mix of companies.

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David Cleevely, opened the proceedings with some thoughts on the Internet of Things and asked the question, ‘Is the Internet of Things a disruptive or evolutionary technology?’

All the evidence points to a major disruptive technology that has not yet reached its tipping point in his view, one that I think the majority of people share. Ben Rooney, Technology Editor, Wall Street Journal Europe made an interesting point to me – he is interested in the IoT because the company he sees in the sector seem much more likely to have ‘game-changing’ potential rather than the incremental, marginal differences that we see in, for example, ecommerce businesses.

David also made the point that the Internet of Things needs to be funded and financed and in his view it may well be corporate investors rather than VCs that will be making that happen. I agree with him up to a point – it is very true that corporates – Unilever, Bosch, Nike and others are actively engaged and investing in their futures. There is also a very significant level of interest in the space from the venture capital community. Our Internet of Things Forum on 27th June for example, has attendees from all of the most significant and active venture capital firms and a number of them, DFJ Esprit for example, have already invested in the space and term sheets are being written even as we speak. The IoT does have the potential to change European venture capital’s alleged fear of hardware investment.

Here are all of the companies that presented (the excellent Steven Cains at ResponsiveSports.com did not present on the advice of his lawyers – we assume that this means there will be interesting news from them in the reasonably near future…

Here are the rest of the companies…

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Jose Pinto Ferreira, Toppot.co

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Armine Saidi, Wicastr.com

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Ed Maklouf, Siine.com

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Piers Munnery, BrightMoveMedia.com

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Andy King, Tapto.co.uk

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Hristo Aleksiev, PlaygroundEnergy.com

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Sarah Smith, WiFido.com

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Corey Centen, Wifido.com (Neat idea to share the presenting duties – you get two photos).

Congratulations to all the teams – and the Springboard team – Jon Bradford, Jess Williams and Bogdan Iordache for their energy, humour, optimism and for getting stuff done. We look forward to seeing what they do with Techstars.

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See some more more pictures from the day here (and a sunken punt outside King’s College. Sinking a flat bottomed boat is not an easy task).

If you have read this far, you will probably also need to know about the Internet of Things Forum on 27th June.

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Volkmar Denner, CEO, Bosch on the Internet of Things

Great note about the Internet of Things from the CEO of Bosch, Volkmar Denner. Bosch is a big company in case you didn’t know. How big? Over 300,000 employees big. Pretty cool that the CEO of a company that size is thinking about the Internet of Things so carefully. Well worth reading the full article.

Some interesting thoughts on IoT and what it means for Bosch, industry, consumers and the rest of the world but he also makesa fantastic point that a lot of people seem to forget as they are carried away with their own visions of the future – the IoT is very complex technology but the whole point is that it needs to make people’s livers simpler.

“My personal conclusion is that the IoTS will drastically improve manufacturing industry’s engineering, production, logistics, and life-cycle management processes. But there are still some challenges left to overcome:

  1. We know that connected technology is usually complex technology. But this technology must make life and work simpler, not more complex.
  2. We have to address the arising concerns that there will be no control over autonomous behavior of machines and intelligent objects and concentrate on ensuring that communication among people, machines, and products works as naturally as it does in a social network.

“I am convinced that we won’t ever see a time when we have fully automated factories completely devoid of human beings. Manufacturing will continue to follow the pace we as people set.”

Want to know more about the Internet of Things? You should definitely come to the Internet of Things Forum, 27th June, Cambridge. Early Bird rates available to the end of the week. Get to it.

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The Age of Context. A talk by Robert Scoble at Rackspace. Download slides.

At an ‘Audience with Robert Scoble’ last night organised by our partners in the IoT forum Rackspace, Robert shared a great talk about what he refers to as the Age of Context.

This is something that he started to think about as the avalanche of entrepreneurial companies that he sees everyday started to show five strong trends:

  • Wearable computers
  • New types of DB and ways of handling data
  • New sensor stuff
  • Social networks are expanding exponentially
  • Location based services

Together, (what we might call the Internet of Things), these developments are creating the Age of Context, an age of better sound, health, more effective marketing (this is ALWAYS promised as one of the key advantages of any new technology by the way though our worlds are still filled with lame ads), where you will be tracked.

A very interesting discussion with the world’s favourite early adopter. Scoble has an almost childlike fascination with any new technology though he also has the wit and intelligence to adjust his pitch to bring the doubters on board as anyone that watched him talking to Jeremy Paxman on Newsnight last night would realise.

The slides from Robert’s talk…

Rackspace are running a one day, free, event, Unlocked: The Hybrid Cloud, on Thursday 11th July at No. 11 Cavendish Square, London, W1G 0AN (Map). Unlocked is a one day event for developers, IT professionals and decision-makers to learn and discuss how hybrid cloud is changing IT.

Join the Rackspace cloud experts as they discuss cloud application fit, polyglot datastores, their Five Pillars of Cloudiness, and more to help you maximise your agility in the cloud:

General sessions (morning)

  • What workloads are being put in the cloud
  • The role of shadow IT
  • How to design cloud apps, infrastructure as code

Business track (afternoon)

  • Cloudonomics
  • OPEX v CAPEX
  • IT cloud strategy
  • Customer case studies

Technical track (afternoon)

  • Devops in practise
  • CI/CD
  • Application dissection
  • Building at scale

This type of cloud training is often charged at over £1,200 per attendee by Rackspace competitors, however you can join for free. Fill in the form at go.rackspace.com/unlocked to register your attendance and feel free to register any colleagues who would also benefit from this event.[subscribe2]

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The Internet of Things on Newsnight

Nice piece on Newsnight by Rory Cellan-Jones on the explosion of wearable technologies and what it means for consumers, companies and lawmakers.

Link to Newsnight’s coverage here.

The interview with the company that has offered its employees on a voluntary basis to become quantified selves was a little scary though. “Appirio believes that technology has the power to make employees better.” Lori Williams who runs the European operation of Appirio said,

“This is not just about making us better employees but better people.”

Creepy. Creepy.

The employees didn’t look like they were having much fun though. Perhaps I would feel like that if I worked in a company that could pull up information about how much sleep I have had in the past week.

The report was followed by an excellent discussion between Jeremy Paxman, Jaron Lanier and Robert Scoble on the implications for consumers. Paxman was predictable contemptuous of Scoble’s wearing of Google Glasses in the shower but the technophiles won this particular exchange.

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What is the biggest question in the IoT?

We normally ask delegates who register for BLN events what questions they’d like to get answered on the day and what problems they’re trying to solve. It’s not a very scientific poll but this time it’s generated some interesting responses. The biggest theme so far is from people trying to pin down a definition:

  • ‘I need to understand the landscape’
  • ‘Get beyond the hype and really understand the use cases’
  • ‘Clarify IoT in my head’
  • ‘Discovering more clues on the scope of the “IoT” concept’

Beyond that, nearly as many people are looking to identify partners: it seems some of the opportunities here are too big for one business to deal with on their own:

  • ‘find partners for great IoT projects’
  • ‘Develop our ecosystem’

And a third, significant, portion of questions are those talking about funding, where to get it and how to make themselves attractive to investors. Surely a good sign.

If you’d like to put your questions to the panels at IoT13, you can find more information on the event at the microsite here.

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“We’re moving in the cycle of wearables, driveables, flyables & scannables” Mary Meeker, State of the Internet Report 2013

“We’re moving in the cycle of wearables, driveables, flyables and scannables” Mary Meeker says in her Internet Trends report released at the D11 Conference this week.

This is big news for the Internet of Things (IoT) in the same way that Cisco’s recent TV advertising campaign is.

People will notice.

More specifically, Silicon Valley will notice. Many have commented on the relative lack of willingness of Silicon Valley investors to invest in Internet of Things projects on the basis that they are, ‘hardware’. This isn’t entirely fair – SoftTech VC, Foundry Group Kleiner Perkins, Google Ventures, Venrock and True Ventures for example are all high profile investors in valley based IoT companies.

The very mention of something like the Internet of Things from Mary Meeker will put the carnivorous sheep-flock of valley investors on red alert as they adjust their well considered investment theses to include companies that are well placed to be the leaders in the next wave of disruptive innovation. Watch out too for the pivots that companies, previously focused on ad-optimizing web-widgets, will be making to get their company its next round of investment.

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