'If you build it, they won't come': Bison Ventures founders on scaling frontier tech
Dec 4, 2024
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Tom Biegala and Ben Hemani, co-founders of Bison Ventures, dive into the nitty-gritty of scaling frontier tech. They discuss why AI isn't a miracle solution for biotech, yet remains vital for drug discovery. The duo also highlights eye-catching robotics startups, the tricky path to finding product-market fit, and the differences between pursuing venture funding versus grants. Their insights reveal both the excitement and the real challenges facing innovators in material science, climate, and more.
Bison Ventures emphasizes the necessity for early-stage frontier tech founders to engage customers early to achieve product-market fit and prevent costly missteps.
The founders advocate for a shift back to investing in high-risk, high-reward frontier tech to address pressing global challenges beyond traditional software metrics.
Deep dives
Focus on Frontier Technology Investments
Bison Ventures is dedicated to supporting early-stage frontier technology companies, which often face significant technical risks while targeting ambitious solutions. The founders, Tom Begala and Ben Himani, identified an unmet need in the venture capital landscape for firms willing to back such groundbreaking technologies during their formative stages. They believe that frontier tech can address a substantial portion of global GDP by solving pressing challenges in sectors like healthcare, energy, and logistics. Bison aims to bridge the gap that exists in funding these innovative startups, providing both capital and strategic support to help them succeed.
Shifting Landscape of Venture Capital
The conversation around venture capital has evolved, with a noticeable pivot away from investing in high-risk, high-reward technologies to a focus on software and social media metrics. Tom and Ben advocate for a return to embracing bold, non-incremental technological advancements that tackle significant global issues. They assert that the perceived necessity for longer timelines and more capital-intensive investments is often overstated. Instead, they emphasize a strategic approach where technology is matured in labs before being brought to market, enabling rapid scaling comparable to software businesses.
Finding Product-Market Fit in Frontier Tech
Bison Ventures emphasizes the importance of establishing product-market fit for frontier tech companies, advocating for simultaneous technical and commercial development. They argue that early-stage founders should engage customers from the outset to validate their product hypotheses, preventing the costly mistake of developing a product that does not meet market needs. This approach not only helps refine their offerings but also fosters critical customer relationships that can ease future market entry. Additionally, Bison encourages entrepreneurs to recognize the value of diverse team experiences as they navigate the complex landscape of frontier technologies.
Importance of Diverse Founding Teams
A diverse pool of founders is essential for the success of frontier tech startups, as various backgrounds and experiences can lead to innovative solutions. Bison Ventures recognizes the potential in founders coming from a wide range of educational and professional backgrounds, including academia and established corporations. They believe that focusing too narrowly on traditional profiles can limit the growth of more inclusive and transformative technologies. Furthermore, strong technical capabilities paired with commercial insight are crucial for founders aiming to create tangible value in the marketplace, allowing them to effectively navigate the intricacies of product development and market engagement.
How can founders scale frontier tech? Today on Equity, Rebecca Bellan is finding out with Tom Biegala and Ben Hemani, the co-founders of early-stage venture firm, Bison. Bison invests in what they call 'frontier tech' companies building in the material science, robotics, biotech, climate, and sustainability verticals.
Listen to the full episode to hear Rebecca and Bison's founding team discuss:
Why AI isn't a 'silver bullet' for biotech companies, although it is central to modern drug discovery
Which robotics startups are catching investors' eyes
How - and how not - to find product-market-fit when building frontier technology
When to seek out venture funding over grant funding
Subscribe to us on Apple Podcasts, Overcast, Spotify and all the casts. You also can follow Equity on X and Threads, at @EquityPod. For the full episode transcript, for those who prefer reading over listening, check out our full archive of episodes on TechCrunch.
Credits: Equity is produced by Theresa Loconsolo with editing by Kell. Bryce Durbin is our Illustrator. We'd also like to thank the audience development team and Henry Pickavet, who manages TechCrunch audio products.
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