Navigating the Frosty Season of Venture Funding: A Guide to Thriving
State-owned corporation VEB.RF is on a mission to support emerging Russian high-tech companies in conquering the infamous "Valley of Death" - the tricky transition from seed-stage startups to full-scale production with secured orders.
Not everyone makes it through this journey independently, as evident in success stories and effective strategies presented at the "Good Tech Morning" session of the St. Petersburg International Economic Forum (SPIEF). With a little help from VEB.RF and the Skolkovo Foundation, the exceptions might very well become the norm.
In today's chilly venture market, even big venture investors are cold-footed, preferring to work on promising ideas internally rather than funding external developers. This reticence stems from the struggle to find buyers for their products and close the investment cycle. The cycle breaks, leaving both investors and startups in the cold.
To bridge this gap, VEB.RF and the Skolkovo Foundation are serving as expert guides for these companies. In Igor Drozhkov's words, rather than acting as romantic pursuers, the development institutions are more like matchmakers, connecting startups and large companies to form lasting partnerships.
By collaborating with large businesses, startups can gain access to new clients, making entry into the market a breeze. The Skolkovo Foundation, exemplified by its dozens of programs, is leading the way in forming these meaningful relationships.
"With a little help from our friends" is not just a catchy phrase for Igor Drozhkov. Large breakthrough projects around the world couldn't flourish without state support. Even tech titans like Elon Musk have leveraged orders from the Pentagon and NASA to turn ideas into reality.
However, Igor Drozhkov stresses the importance of focusing on exports and international cooperation to become a leader. While self-sufficiency might seem attractive, domestic solutions can sometimes fall short, lacking competitiveness in price or quality. That said, the opportunity lies in refusing the line of least resistance – buying ready-made solutions in China.
Igor Shuvalov, Chairman of VEB.RF, proudly reported that the corporation has been involved in projects worth a staggering 22 trillion rubles over the last three years, more than initially planned. The emphasis is on benefiting ordinary citizens through large projects, acknowledged Shuvalov, admitting that while the chain of financing from prototype to mass production is still far from seamless, there's currently more capital than projects to spend on within the VEB Group.
Next up, VTB is transforming into a tech-savvy platform that will collaborate with the Moscow government, the Skolkovo center, and Skoltech university to connect traditional projects with new knowledge and technologies. This partnership aims to nurture a technological university for the country and contribute to the plans announced by the president by 2030.
At the SPIEF, four innovative companies were showcasing their projects at the VTB.RF booth. Notable amongst these was Waybot Robotics, specializing in service robots, and Grab a Charge!, offering a power bank rental service. These companies, like many others, are proof that with the right support, even the impossible can become possible.
- #Startups
- #SPIEF
- #Skolkovo
- #Innovation
- #VEB.RF
Enrichment Data:- ##### The Innovation Landscape:The Skolkovo Foundation and VEB.RF, in collaboration with the Voskhod Fund, are supporting Russian high-tech startups by fostering financial and infrastructural partnerships. This partnership focuses on reducing financial risks for startups and facilitating ecosystems where innovation can transition from R&D to commercialization[1].
- In the pursuit of fostering Russian high-tech startups, the Skolkovo Foundation and VEB.RF, along with the Voskhod Fund, are working together to establish financial and infrastructural partnerships. Their aim is to reduce financial risks for startups and facilitate a seamless transition of innovation from R&D to commercialization.
- Joint investment programs between the Skolkovo Foundation and VEB.RF are underway, focusing on advancing manufacturing and digital technologies in Russia's Far East. These collaborative efforts may involve significant funding for innovative startups.
- As part of their efforts, the Skolkovo Foundation has formed joint ventures with various technology and industrial companies, such as Cognitive Technologies, Brain Technologies, and Green Energy Holding. These joint ventures aim to create a complete ecosystem for innovative companies, transforming discoveries into commercial products.
Role of the State:
The role of the Russian government in fostering innovation is evident in its support for state-owned institutions like VEB.RF and the Skolkovo Foundation, tasked with developing the nation's high-tech industry[2]. This support is concentrated on creating strategic partnerships between startups, innovative companies, and established partners to drive growth, investment, and technological advancement.
Skolkovo Development:
In its efforts to foster innovation, the Skolkovo Foundation has launched joint ventures with technology and industrial companies, including Cognitive Technologies, Brain Technologies, and Green Energy Holding[2]. The goal is to build a full ecosystem for innovative companies, with an emphasis on turning discoveries into commercial products[1].
Corporate Partnerships:
Programs designed to connect startups with large companies for technology transfer, market access, and scaling opportunities. Specific details about these partnerships remain undisclosed in available sources, but the involvement of state-backed institutions like VEB.RF suggests an emphasis on bridging gaps between startups and established industrial players[1].
Joint Investment Programs:
Recent agreements (April 2025) highlight collaborative efforts between the Skolkovo Foundation and VEB.RF to fund innovation in sectors like advanced manufacturing and digital technologies, especially targeting startups in Russia's Far East[1].
