PART2 Source: Samsung Accelerator Source: Credit Agricole I Le Village Source: dtac Accelerate SPIN-OFFS Source: Bayer /The Colaborator SPIN-OFF EXAMPLE ACCELERATORS & INCUBATORS Intel was a spin-out of Fairchild, Cisco Systems has Accelerators & Incubators provide opportunities for invested in and then bought several of them such as: corporations to support a small group of startups Insieme Networks. And IAC to spin-off several iden- during a relatively short period of time (most of the tities including Match.com, Tinder and OkCupid.com. time between three and six months). Typically, cor- porations offer founding help, space and mentoring INVESTMENT in exchange for equity. The first such program was launched 10 years ago by Y Combinator. Corporate The main goal of an investment is to own a stake in accelerators represent a perilous strategy due to a fast growing-startup for strategic or financial rea- high cost and a very small sample of startups to work sons. A financial investment is often done with the with. goal of a financial return whereas a strategic invest- ment is done most of the time for a supplier, custom- ACCELERATOR & INCUBATOR EXAMPLES er or competitor with the main purpose of integra- tion down the road. A strategic investment could also Accenture, Telenor, Mastercard, Volkswagen and be done from the perspective of diversification. Such Samsung have an accelerator, respectively: Fintech investments can be done through a variety of vehi- Innovation Lab, dtac Accelerate, Start Path, cles including: Volkswagen ERL Technology Accelerator and Samsung Accelerator. INSEAD ------,-- The Business School #500CORPORATIONS 20 for the World *