BGU 2011 Course introduction

1

Technological Entrepreneurshipin Electro-optics

Introduction

Dr. Moshe Finarov

Copyrights: Magenta-tech Ltd.

Importance of the high-tech industry

� High-tech industry now is a leading industrial segment of developed countries

� High-tech is based on creating hundreds of new companies (startups), which transfer new technologies into profitable business

� Investments into startups and their acquisition by international corporations are very important sources of foreign currency

� However the high-tech industry is very inefficient: only 1 of 10 startups survive,

even less startups really succeed

�2

Why?


Why most of startups fail?

3

Science &Technology

skills

Business & Managerial

skills

Now most of new entrepreneurs found and manage startups intuitively thus making many serious mistakes

Only combination of knowledge and experience both in technology and in business management ensures success


How to ensure the success?

4

Success

IdeaDream

Ambitions

Hard workPersistenceSelf-sacrifice

KnowledgeMethodologyExperience

Copyrights: Magenta-tech Ltd.5

Why this course?

Government economic goals

Economics growth

High-tech industry growth

Startups creation and efficiency

Academic education and research

New technologies & and inventions

Efficient HR

How to do this?

Now most of new entrepreneurs found and manage startups intuitively thus making many serious mistakes


Purpose of the course

� Provide a knowledge on a way of creating novel technical ideas and their transferring to commercial products

� Provide a knowledge of high-tech start-up company foundation and management

� Provide a knowledge on electro-optical technologies having high business potential

This course is for technologists who are potential entrepreneurs


Why myself?

� More than 30 years experience in high-tech industries, mainly in the fields of semiconductors, electro-optics and solar PV energy

� Initiating and execution of tens R&D projects and several high-tech startups in different positions - from optical design to company management

� >20 years experience in high-tech business management

� About 10 years experience in teaching university students


Personal introduction

� 1974 MSc. in microelectronics

� 1980 PhD. in applied physics

� 1980 - 1988 Electronic industry & university teaching, Moscow

� 1989 - 1993 Orbotech, Yavne; senior physicist,Developing optical inspection systems

� 1993 - 2007 Nova Measuring Instruments, Rehovot; founder, CTO and R&D manager,Optical metrology for semiconductor industry

� 2007 Magenta-tech, Rehovot, founding partnerConsulting in solar industry business development

� 2008 BrightView Systems, Petah-Tiqva;

co-founder, Chief Scientist

Solar cells manufacturing

Utilight, Yavne; co-founder

Solar cells design and processing

� References ∼40 papers, ∼60 US patents, Rothschild prize

� E-mail: [email protected]


What is “Technology entrepreneurship”?

Technology entrepreneurship is a process of initiating and transferring a technological

innovation into a business value

� Entrepreneurship is a way of implementing entrepreneur’s dreams and ambitions

� Innovation is a technological idea that enables reaching

a technical or economical advantage over existing solutions

� Business value is a profitable operation or/and IP

providing profit expectations in future


Types of entrepreneurs (D.Landau, 1982)

HighLow

Hig

hLow

Innovation

Risk

EntrepreneurGambler

DreamerStabilizer


Knowledge supply chain

Input InputOutput Output

Brain

HR, funds

Academy

University

Research

Knowledge

Publications & patents

Industry

Company

R&D, mfg

Money

Revenues, IP,income

Entrepreneurship

Start-up

Idea Value


Why Electro-optics?

1. Because Electro-optics is everywhere

3. Because local conditions are favorable

2. Because there are business opportunities

in new growing markets


Electro-optics is everywhere:Consumer products

� Imaging: glasses, photo, video, etc.

� Lighting: lamps, projectors, displays, etc.

� Entertainment: TV, DVD, etc.

� Office: HD, CD, scanners, laser printing, etc.


� Communication: fibers, IR, etc.

� Medicine: ophthalmology, endoscopy, surgery, cosmetics

� Defense: intelligence, sighting, night vision, etc.

� Solar power: sunlight concentration, photovoltaics, etc.

� Illumination: street lamps, traffic lights, advertisement

Electro-optics is everywhere:Public services and infrastructure


� Inspection: AOI, Microscopy, Thermal imaging, etc.

� Metrology: dimensions, shape, thin films, etc.

� Machinery: laser cutting, laser scribing, etc.

� Patterning: photolithography, laser printing, etc.

� Sensing: detectors, limits, encoders, etc. etc. etc.

Electro-optics is everywhere:Industrial equipment


Rapidly growing markets

� Solar energy

� Solid state illumination

� Data storage

� Medical instruments

� Optical communication, etc.


High-tech business conditions in Israel

� World class academic research and education� Very high number of M.Sc. and Ph.D graduates per capita

� Very high % of GDP* - investment in university research

� Intensive use of computers & Internet by most of population

� Strong financial funding infrastructure� Multiple venture funds

� Chief Scientists subsidies

� Private funds and angels

� Good worldwide communication� No language barriers

� Intensive travels

� Developed networking

� Many success stories of electro-optics startups: � Scitex, Indigo, Orbotech, Camtek, AVT, Nova, etc., etc.

� Total about 3000 startup companies

� 23% of high-tech in total export by 6.8% of total employees

*GDP – gross domestic product


How startup starts?

The chicken & egg problem

What comes first?

No matter what comes first – the further steps are the same!

Technical idea

Marketing idea


Steps to establish a startup company

� Find and estimate a business opportunity

� Define a product and value proposition

� Determine a competitive advantage

� Define a business model

� Create right technical solution and IP

� Plan R&D project and needed budget

� Prepare business plan and raise money

Technical idea is necessary but not sufficient


Course structure

� Methodology and case studies

� 13 lectures x 3 hrs=39 hrs

� Examples from Electro-optical industry

� Exams (American style)

� 34 questions, 2 hours


Course content

Topic: Market

� Marketing basics

� Market analysis

� Market opportunity

� Case study


Course content

Topic: Product

� Product definition

� Product differentiation

� Product specification

� Product life cycle

� Case study


Course content

Topic: Business model

� Business model definition

� Typical business models

� Case study


Course content

Topic: Solution

� Basic terms and rules

� Invention

� TRIZ

� Case study


Course content

Topic: Intellectual property

� IP terms and definitions

� Patents filing and prosecution

� Patent enforcement

� Case study


Course content

Topic: R&D management

� R&D process

� Project management

� R&D budget

� Case study


Course content

Topic: Business plan

� BP structure

� BP presentation

� Case study


Course content

Topic: Financial funding

� Purpose and sources of funding

� Incubators, angels

� Venture capital

� Strategic partnership

� Government funds and grants

� International and bi-lateral funds

BGU 2011 Course introduction

Business

severalhightech startups

hightech business conditions

business opportunities

optics introduction

semiconductor industry

technology entrepreneurship

hightech industries

technological entrepreneurship