Ecosystem Lifecycle Analysis
Understanding ize its gaps, and define fo- Limited Startup Experi-
cused action plans that max- ence (founder know-
Your Startup imize impact rather than dis- how, experienced in-
Ecosystem perse their limited resources. vestors, advisors and
We call it focusing policy and mentors, and com-
Lifecycle program resources on the munity behaviors that
right issues at the right time. support startup
With the rapid growth of the
success)
global startup revolution,
Low Startup Output of
more and more regional and
national governments are in- Lifecycle Phases around 1,000 or fewer
startups
vesting to try to accelerate
Startup ecosystems develop Challenges: lack of
the growth of their startup
through four phases, each Startup Experience and
ecosystem. Startup Genome
with a di erent set of charac- resource leakages to
has developed the science of
teristics, challenges, and later-stage ecosystems
startup ecosystems and uses
objectives. make it di cult to
it to advise more than 40
grow
governments to increase star-
In general, Startup Experience Objective: Focus on in-
tup success.
(which includes scaleup ex- creasing the Startup Out-
perience) increases and drive put and Early-Stage
How can policymakers priorit-
1) the growth of the Funding. Activate entre-
ize to achieve maximum im-
ecosystem’s Startup Output preneurial-minded people
pact on a startup ecosystem,
(number of startups) and 2) and grow a more connec-
the most complex type of in-
dustry cluster? Over the its resources, and only after it ted local community that
years, extensive research and achieves the larger size char- helps each other. Pick
data from our global surveys acteristics of Globalization one or two startup sub-
with almost 100,000 founders Phase ecosystems, a predict- sectors (e.g. AgTech) that
(to date) across more than 30 able and increasing perform- build on local economic
countries have given us the ance at creating scaleups and strengths and develop fo-
data needed to comprehend economic impact. cused programs to accel-
this complex system. The erate ecosystem growth
Ecosystem Lifecycle Model is Activation Phase and develop pockets of
an objective model that helps success leading to sizable
Characteristics exits.
governments measure where
their ecosystem is at, priorit-
Globalization Phase Characteristics the global fabric of
Usually more than knowledge and able to
Characteristics 2,000 startups (de- produce leading-edge
Trigger to this Phase: pending on population) business models and
increased Startup Ex- Trigger to this Phase: a the skills necessary to
perience led to the pro- series of globally im- achieve high Global
duction of a series of pressive “Triggers”, Market Reach
regionally impressive usually unicorns and Objective: Integrate the
“Triggers”, usually exits above $1 billion ecosystem within the
above $100 million (higher in leading global, national, and local
(higher in leading nations) flows of resources and
nations) Billion-dollar Triggers knowledge inside and
Output of 800 to 1,200 produce Global Re- outside of the startup
startups (depending on source Attraction ecosystem, optimizing
population) Very few Success laws and policies to sus-
Series of exits Trigger Factor gaps remain tain its competitiveness
National (or Regional) Objective: use Global and growth, and spread-
Resource Attraction Resource Attraction to ing its benefits (e.g. cul-
(startups, entrepren- significantly expand the ture, source of competit-
eurs, talent, investors) size of the ecosystem and iveness, capital, innova-
from earlier-Phase eco- fill remaining gaps, re- tion) to other sectors of
systems, but still leaks moving barriers to im- the economy and parts of
resources to top eco- migration and directing the nation.
systems globally attraction through well-
Objective: Focus on in- designed policies
creasing Global Connec- programs
tedness with founders of
top ecosystems, the Suc- Integration Phase
cess Factor that defines
an ecosystem’s scaleup Characteristics
potential, and supporting More than 3,000
startups to increase their startups
early Global Market Global Resource At-
Reach, which realizes an traction produces a
ecosystem’s scaleup po- high and self-sustain-
Ecosystem Life-
tential. Urgently address able degree of Global cycle Trends
remaining Success Connectedness and
Factors gaps. flow of knowledge into High Growth
the ecosystem that Ecosystems
Attraction Phase sustainably keep its
startups integrated in
Asia-Pacific leads in the num- Map of Fastest Growing
Early Stage Funding for Attrac
ber of top growing ecosys- Ecosystems grown much faster than that o
tems across phases. Interest- Early Stage Funding ($ Billion),
ingly, most of the high growth
ecosystems are outside of the
U.S.
Top High Growth Ecosystems
Across Lifecycle Phases
Phase Rank Ecosystem
Early-Stage Star-
Activation #1 Sharjah
tup Funding
Activation #2 Nur-Sultan
Across Phases
Activation #3 Cairo
Total Early-Stage
Ireland Mid
Activation #4
East Region Funding
Activation #5 Bahrain
Globalization and Attraction
phase ecosystems lead
Globalization #1 Shenzhen growth in early-stage funding
Globalization #2 Hangzhou experiencing more than 25%
annual growth from 2012-13
Globalization #3 Sao Paulo
to 2017-18.
Toronto-
Globalization #4
Waterloo
Globalization and Attraction p
Globalization #5 Austin early-stage funding experienc
from 2012-13 to 2017-18
Attraction #1 Beijing
Integration Attraction Global
Phase
Attraction #2 Shanghai
Activation
Attraction #3 Tokyo
Attraction #4 Berlin
Globalization
A Flourish chart
Attraction #5 Singapore Attraction
Median Funding Round
Integration
Size
Source:
www.startupg
A Flourish data visualization
A Flourish data visualization
*Based on growth in funding
and exit
Median Seed Round by Ecosys Median Series A Round by Eco
Timeframe: 2017 - 1H 2019 Timeframe: 2017 - 1H 2019 Phase CAGR
Activation
Globalization
Attraction
Integration
A Flourish data visualization
Number of Exits for Globalizat
ecosystems have grown much
Integration phase ecosystems
Number of Exits (>$50 Million),
A Flourish chart
A Flourish chart
Startup Exits
Across Phases
Globalization and Attraction
phase ecosystems lead Activ-
ation and Integration phase
ecosystems in terms of num-
ber of exits ($50 million+)
Number of Exits
Integration Attraction Global
A Flourish chart
Median Seed Ecosystem Growth
Share of Large Exits Early-Stage Funding Growth Ind
($100 million+) Funding Rounds
Non-Integration phase eco- Canadian ecosystems lead in t
systems are catching up in rounds
terms of share of large exits Median Seed Funding Round, 2
and reducing the gap.
Non-Integration phase ecosys
large exits ($100 million+) in t
Share of large exits ($100 millio
2012-2013 2017-2018
A Flourish chart
Ecosystem
Growth
A Flourish chart
Activation A Flourish chart
Phase
Ecosystems
Globalization Early-Stage Funding Grow Early-Stage Funding Grow
Phase
Ecosystems Me-
dian Seed Rounds
North American ecosystems le
rounds
Median Seed Funding Round, 2
Atlanta Austin Chicago Copen Amsterdam Bangalore Beijing
Hong Kong Houston Kuala Lumpu Shanghai Singapore Stockholm
Rhineland San Diego Sao Paulo New York City Silicon Valley
Vancouver Washington DC
A Flourish scatter chart
A Flourish scatter chart
$B Club and
Attraction and $100M Exit
Integration Creation
Phase
Ecosystems
A Flourish chart
Median Series A Ecosystem
Rounds Growth
Ecosystem
Growth
A Flourish scatter chart
Silicon Valley is head and s
ecosystems in generating
$B Club and $100M exit by metr
21H 2019
