It’s an exciting time in the world of early stage startup investing. One name that’s making waves in the industry is Airbus, renowned global leader in aerospace and defense. Not content with just making planes, Airbus has ventured into startup funding, closing its first round with a portfolio that already boasts 30 promising businesses. Here’s a breakdown of the top five takeaways from this strategic move.
1. Diversification is the Name of the Game
For a firm like Airbus, which primarily focuses on aerospace, this signifies a significant shift in business strategy and investment. By venturing into the arena of early stage startup funding, Airbus is flexing its diversification muscles and exploring new avenues for growth.
2. Venture Capital: Not Just for Traditional VCs
Airbus’ step into the venture capital sector widens the field for big corporates stepping into venture funding. The role of championing disruptive innovation is no longer exclusive to big-name VC firms, but also to companies like Airbus that have an innate understanding of technological innovation.
3. Fostering Ground-breaking Innovation
Airbus’ selection of startups to back includes businesses at the seed and Series A stages. By investing in these nascent companies, Airbus is not only hoping to reap solid financial rewards in the long-term, but also fostering innovation and tech development that could benefit their core business.
4. The Era of Global Portfolio Building
Airbus’ first closing has seen a global portfolio that includes a mix of companies based in various regions. A clear demonstration that Airbus is taking a broad view, looking beyond borders and fostering tech innovation on an international scale.
5. A Strong Indicator of Confidence in the Startup Scene
The launch of Airbus’ early stage fund is a significant sign of confidence in the world of startups. Despite all economic challenges faced by businesses globally, the established aerospace leader’s investment is a strong indicator that the startup environment remains a promising field for high-potential yields.
The takeaway? It’s clear that Airbus’ move into early stage funding is a well-thought-out strategic decision. As industries transform and innovation speeds up, expect to see more and more large corporations dipping their toes into the waters of startup investing. Only time will tell if this becomes a new normal or a fleeting trend.
Credit: BBC. TechCrunch, Reuters
