Tech | Visa | Scholarship/School | Info Place

UK hosts a high-profile event in New York this week to attract more US venture capital firms TechCrunch

3D hologramDubbed the “Kaleidoscopic Statue,” the sculpture will be on display at the Rise by Barclays workspace until April 4.

A group of government officials, journalists and founders gathered to sip wine, sip burrata and watch holograms flicker as displays alternated with images of some of the UK’s top unicorn founders, such as Food co-founder Tessa Clarke, founder of trash startup Olio, and Alexander and Oliver Kent-Braham, founders of insurance startup Marshmellow.

The exhibition celebrates the UK becoming the third US$1 trillion tech economy, after the US and China.

Despite the economic impact of Brexit, British officials want U.S. venture capital firms to know that the U.K.’s tech ecosystem has grown healthily since 2020. Dealroom data shows that UK startups raised US$31 billion in venture capital in 2022 and US$41 billion in 2021. Last year, $21 billion in venture capital was raised in the U.K. — although that figure has declined somewhat to account for the shrinking market, it’s still more than France and Germany combined. This is also still higher than the US$18 billion raised in the UK in 2019 and the US$12 billion raised in 2018.

It seems even black founders, a group that has historically struggled to access funding, are seeing progress. According to a new report from Extend Ventures, only 38 black British founders raised venture capital funding between 2009 and 2019, with the number currently standing at 80.

The UK says it has more than 160 unicorns and 12 decacorns (companies worth more than $10 billion). Fintech is an area of ​​particular interest, including Monzo, Revolut and Wise. With the rise of Deepmind and Benevolent AI, it is also becoming a center for artificial intelligence. People at the event were very proud because it was also the home of OnlyFans.

Holograms and British government officials are selling the potential as a major attraction in the UK, a pitch clearly aimed at boosting the sluggish economy.

A holographic still of Britain's founder as part of Britain's campaign to attract Americans.

The hologram features some of the UK’s top founders and CEOs.

While the flow of talent from other European countries may have slowed in the UK, there is still a huge influx of immigrants from other countries, meaning an influx of ideas, recruitment and potential. Other cities in the country are also booming, such as Manchester and Cambridge.

Rodney Appiah, co-founder of British venture capital firm Cornerstone Ventures, told TechCrunch about some of the holes that need to be filled in the UK. He said there’s room for more funding and accelerator programs, as well as more senior talent to help companies move from early to growth stages.

Paul Taylor, chief executive of Thought Machine and one of the people featured in the hologram, also expressed the need for more venture capital funds specifically targeting the region, saying UK companies often have to secure foreign investors as they grow.

“The UK tech ecosystem has made significant progress, but there’s still a lot of work to do to reach the scale and impact of Silicon Valley,” Taylor told TechCrunch.

At the same time, Appiah said the ecosystem is grappling with the rise of more emerging managers, micro-funds and, ultimately, access to more venture capital. “We are also seeing more venture capital participation from cash-rich [corporations] and institutional investors seeking diversification. “

Having a hologram in New York is clearly an attempt to attract the attention of American startups and investors. A 2023 report from HSBC Innovation Banking (formerly SVB) revealed that US investors were the largest source of funding for UK start-ups last year. According to The Times, a growing number of U.S. tech entrepreneurs are buying real estate in London, with NEA, Bessemer and a16z all opening offices there in the past few years.

On the other hand, not all investors’ attempts to invest outside London have turned out well. Two high-profile investors, Ormers and Cotto, have recently slashed their ratings or shuttered their European outposts in London.

Perhaps the biggest draw for Americans, however, is the Britons’ seeming willingness to work with investors and founders to shape the tech ecosystem. In fact, friendly regulation is one of the reasons a16z opened a cryptocurrency office in London, as the United States seeks to regulate the industry.

Prime Minister Rishi Sunak, the founder of the Unicorn Kingdom initiative, last year unveiled a plan to invest £370 million ($468 million) to support the country’s tech ambitions. Last summer, the British government announced an agreement with the country’s nine largest pension funds to start investing assets in start-ups. The government expects that if other institutions in the pension industry also decide to invest in start-ups, this move will free up 50 billion pounds of capital.

So it’s no surprise that the gleaming red, white and blue hologram is being sold as a sign of the future. “Creating a two-way path between the United States and the United Kingdom is a win-win for both countries,” Clark said.

The statue, created by British company HYPERVSN, will be on display at Barclays’ Rise workspace in New York until April 4.

#hosts #highprofile #event #York #week #attract #venture #capital #firms #TechCrunch

Leave a Reply

Your email address will not be published. Required fields are marked *