India Electronics and Semiconductor Association (IESA) signed a memorandum of understanding (MoU) with STPI and IIIT-Bhubaneshwar to establish the second ESDM Incubator in Bhubaneswar. Building on the success of the Electropreneur Park Delhi, this incubator will be housed at STPI Bhubaneshwar to nurture start-ups and help them scale up by providing access to funds, market and mentors.
The first Electropreneur Park housed at Delhi University has been operational for more than 2 years and has successfully incubated 22 companies with a combined market valuation of INR 150Cr. While India has seen a big spurt of software IT based start-ups in the past decade with unicorns of multibillion-dollar valuations, it is an acknowledged fact that the ESDM space is a much more difficult industry to succeed. The roadblocks for transforming a product idea in electronics into a successful business is different from other segments. While cutting edge technology is not readily available, the problem is compounded by lack of easy access to required tools, equipment for designing, testing, certifying and perfecting the product. This complexity adds to the cost of incorporation and product development of the start-up, which typically is at least 7x the cost of a typical software start-up.
The ESDM Incubators, in collaboration with Universities and with support from Government, alleviate these pain-points by providing access to technology and subsidizing the cost of access to tools and equipment used. The Electropreneur Park in Delhi has been able to successfully create models for such access and thus enable multiple start-ups to develop products in a range of sectors such as Electric Vehicles (EVs), charging stations for EVs, indoor air purifiers, smart hydroponics for indoor vegetable growth, low-cost medical electronics and low cost robotics kits for schools among others. Building on this success, the second ESDM Incubator at Bhubaneswar will be mentored by the Electropreneur Park, Delhi.
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