Will China Hardware Eat the World

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WILL

HARDWARE EAT THE WORLD?

CHINA

1.

COMMODITI-

-ZATION

XIAOMI

Xiaomization

Commoditizationwith disruptive prices

and high quality.

$25$20$15

$65

$20

16,000mAhpower bank

1$

Smart button

Miband tracker Bluetooth speaker IP camera

Action camera

$40

Headphones

$650

4K TV screen

vs.

1999

2012

$80M investment…

…buys Segway

2015

2.

INNOVATION

3.

WORK WITH

CHINA

SPEEDINNOVATION

WHAT STARTUPS NEED

PRICE GLOBAL

+ +深圳SHENZHEN

硅⾕谷SILICON VALLEY

你YOU

Chris Anderson CEO, 3D Robotics

“Before you had 6 YEARS Today you have 6 MONTHS”

SPEED MATTERS

SHENZHEN

SILICON VALLEYThe silicon has moved out of

it is now in

WHY SHENZHEN?

“The Electronicscapital

of the world”Fast, Cheap, Scalable

…and Open to startups!

ON THE

SHOULDERS

OF GIANTS

Shenzhen

Hong Kong

Shenzhen

Hong Kong

(Factories)

FASTER

WITH CHINA

One week in Shenzhen =

One month in Silicon Valley

CHINA WORKS AT STARTUP SPEED

Increase iteration speed

1 year

3 months

THE

SUPPLY CHAIN

IS A WEAPON

“We’re most likely to be successful connecting with Shenzhen than

competing with it head on.”

Joichi ItoDirectorMIT Media Lab

4.

HOW ABOUT

JAPAN

ASSETS• Engineers

• Designers

• Research

• Quality + Long-term

• Large Domestic market

JAPAN

ASSETS• Engineers

• Designers

• Research

• Quality

• Large Domestic market

ISSUES• Lack of entrepreneurs

• Too local

• (Lack of VC funding)

JAPAN

ASSETS• Lots of entrepreneurs

• Manufacturing skills

• Lots of VCs

• Large domestic market

CHINA

ASSETS• Lots of entrepreneurs

• Manufacturing skills

• Lots of VCs

• Large domestic market

ISSUES• Too local

• Design

• Creativity

• Short-term

• (Quality)

CHINA

CHINAJAPAN+

SOLUTION?

1. GO ABROAD (CHINA/US)

2. SEE JAPAN FROM OUTSIDE

3. COME BACK & COMBINE THE BEST

THE NEXT

APPLE?

WHAT IT IS… IS UP TO US

ABOUT HAX

STARTUPS

80

YEARS

3 $25K-$300K

INVEST

HARDWARE ACCELERATOR

+ +深圳SHENZHEN

硅⾕谷SILICON VALLEY

你YOU

STRATEGY

SOURCING

DESIGN

BUILDING

111 DAYS

LAUNCH

MEDIA

PARTNERS

DEMO DAY

INVESTORS

60% 20% 20%

…and self-taught creators!

HEALTH

IOT TOOLSROBOTICS LIFESTYLE

KEY CATEGORIES

ADVANCEDMANUFAC-

-TURING

HAX

STARTUPS

PRYNT$1.5M

C.H.I.P.$2M

KOKOON$1.95M

“#1 VC in crowdfunding”

MILLION DOLLAR KICKSTARTERS+ over 30 campaigns (www.kickstarter.com/hax)

KEY CATEGORIES

ROBOTICS

IOT TOOLS MEDICAL

DEVICES

ADV.

MANUFAC-

TURING LIFESTYLE

ROBOTICS

IOT TOOLS

ADVANCED MANUFACTURING

ELECTROLOOM - FABRIC PRINTER

MEDICAL DEVICES

LIFESTYLE

PRYNT

THANKS!

@benjaminjoffeben@hax.co

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