Link Day- Venture Capital Connection will be a venture capital docking activity created by the core resources of the collection platform.
On September 5th, the “Link Day” venture capital joint venture with Alibaba Cloud will be held smoothly. This event invited important participants in all aspects of the primary market – including giant Alibaba, head VC Chuangshi partner capital, boutique FA light source capital, AI track startup company Yichuang Technology, and more than 40 AI track entrepreneurs, build resources and capital connections, and discuss the way AI breaks.
One consensus is: the primary market head effect is strengthened, the project is difficult to finance, and the technology is difficult to land. Similar resource misplacement is particularly evident in the AI track, and the giant has become an AI startup with its strong resource reserves and business scenarios. Inevitable and even an important resource for hard work.
According to the business card data, as of June 17 this year, there were 2,787 investment and financing transactions (excluding mergers and acquisitions and listings) in the domestic primary market. The total transaction amount was close to 362.9 billion yuan, less than 4 points in 2018. one. “Either entrepreneurs or investors, everyone is very painful, because there is no rumor this year.” Shi Yaqiong, senior analyst and fund investment director, said that in 2019, the venture capital circle entered the no-window stage, and a large amount of funds were piled up in the head project. The premium is becoming more and more obvious.
Xu Yinchuan, vice president of Light Source Capital, has a similar feeling: “The head project has not been affected by too much capital winter. The good project takes TS and super-raise. The business service and the head effect of the AI track are very common. Especially obvious.”
Because of the focus on the mid-to-late investment, when the light source capital comes into contact with the case, the track usually has decided the head player. “Unlike the US group, the comment, it is necessary to hit 5 billion, 7 billion dollars to decide the outcome. The decision cycle for enterprise services and AI tracks is much shorter. When the market is 350 million US dollars, the industry pattern is determined, and the head company is relatively clear, so the organization will invest in the head company earlier.”
At the same time, the early stage and coverage of AT’s participation in the primary market has increased significantly. “The ceiling of the previous D wheel was BAT, and now the ceiling of the B wheel is AT. Shi Yaqiong described it. The giant has become the most active participant in the primary market. According to the whale data, Tencent ranked first in the number of investment cases in the first six months of this year, while Ali became the highest investment with RMB 45.4 billion. Agency.
Regardless of funding or resources, the giants are participating in an unprecedented level of influence, affecting the pattern of the primary market. Different from Tencent’s focus on entertainment, Ali has a more obvious tendency and importance to the AI track. Specific to the AI track star class, this is a joint learning project jointly organized by Alibaba Cloud. Ali has opened 60+ business links for this purpose, covering Taobao, Ant Financial, Dharma, Rookie, Nail, Taobao Travel. Almost all the scenes of smart life and traffic, even deep into the bottom of the flat-headed chip.
Top investment institutions and industry leaders are also important resources for members of the star class. A total of 70 AI companies participated in the first two projects, and more than 120 heavyweight investors connected with them. More than 50% of the companies obtained financing during the course. The total valuation of the company increased from 25.8 billion to 51.2 billion, achieving nearly two Double jump.
A typical case is: The first phase of the students saw that social security received a 50 million yuan investment in Jinshajiang Venture Capital only in the two weeks after the start of the program, and the value of the nine-month valuation was five times, and the second round of financing was 100 million yuan. At the same time, look at the social security to join the nail, ant open platform, launched a set of integrated Alibaba Cloud technology (face recognition, voiceprint recognition, big data, etc.) SAAS system, deep binding with Alibaba Cloud, in the image storage , flexible load, high concurrent intelligent adaptation, and big data mining cooperation, has now served more than 20 government customers.
A similar rapid jump is also reflected in other student companies. According to Fan Bojia, the head of Alibaba Cloud Venture University and the head of the Ali AI track star class project, the intelligent robot company Jiulang Technology has rapidly increased its valuation from 100 million to 700 million during the course, and also created a sea fishing with Alibaba Cloud. The robot restaurant has carried out important cooperation with Ali Eco Enterprises such as Rookie, Box Horse and Yintai; AI solution provider Youjie Zhixin cooperated with Dharma Institute speech recognition team and Pingtou brother to develop new products.
“Entrepreneurs must have a sense of mission, and the CEO of a startup company should only do four things: find someone, find money, find resources, and set a strategy.” Yibo, CEO of Yichuang Technology, reviewed resources for start-ups. The importance of it. He said that joining the Ali AI track star class allowed him to directly communicate with the first-line investors such as Zhu Xiaohu and Huang Mingming and establish personal contacts, as well as the support of a strong advisory team such as Li Liheng, the first president of the Alibaba Iron Army, and the project was gone. A lot of detours.
More obvious help is financing progress and media exposure: In June-August 2019, Yichuang Technology won the TS of an investment institution, the NDA of 12 institutions, and met 9 partner-level Investors, 25 investment managers, also gained a full range of media exposure.
At the event site, Xu Yinchuan, the source of light source, made recommendations for the break of AI: First, there must be high enough commercial barriers and ceilings. “Many technology companies start with subdivision applications, but after a certain period of time. How to copy, prove that this is a potential market of 10 billion, 100 billion or trillion, the market structure is three-point world or 721, which largely determines the company’s early valuation.”
Secondly, AI companies have to find head customer verification technology. Xu Yinchuan pointed out that “to get the head customers in the segmented industry, you can prove that you have the ability of the head customer, and the head customer has a strong endorsement ability, which will form a huge support for the product.”
On this basis, the medium-to-long-tail customer’s scale replication capability is also very important. After the completion of the endorsement of Big B and the industry’s know-how, the startup company needs to gradually overcome the long-tail customers to achieve long-term growth. Xu Yinchuan also stressed that AI companies should build a healthy UE economic model. After considering the fulfillment costs and customer acquisition costs of large, medium and small customers, the company will ensure that the company will be profitable in the next few years even if it does not make money in the first year.
The vision of Liang Yu, a partner of the creation partner, is consistent with this. He explained the importance of commercialization by taking the AI leading enterprises such as Shang Tang as an example. The technology of early voice-to-text is relatively high, but the giants in the field of speech recognition, such as Baidu and Keda Xunfei, have made this technology universal. The reason why Shang Tang still maintains a high valuation is because the best application scenario is found. – Government orders. On the other hand, if the scene of the outbreak is not found, even if it is powerful, it is difficult to continue to rely on technology to drive.
Liang Yu divides the entrepreneurs in the B field into Tianpai and local schools. The former refers to scientists with bright backgrounds and strong technical strength. The latter refers to entrepreneurs with rich scenes and channels, and holds a large number of customer resources, such as banks. Military, government, etc., only the combination of the two can bring commercial value and let customers pay. This is also an entrepreneur of Tian Tang Xu Li and contempt of Yin Qi, who still needs to handle government relations.