#STARTUPNATION : La sous-traitance de l’innovation ?

You may already have heard of Discord it’s a service that is used to create forms of text and voice discussions mainly used to play online we use to organize small debates the days have released a video but what interests me today is the economic model of this service because its use is free it works very well it had to cost expensive to develop and then we have to pay now the 200 employees who work and rented the servers so that nearly 150 million users can use this service yet since its launch in 2015 this service does not really generate revenue there is no advertising practically nothing to buy and if there is a premium subscription it is useless and is very popular short if we can see how do you have expenses and we do not see very well how Discord actually get in and that’s where the start up principle comes in by dint of seeing start up nation everywhere I thought it could be useful to describe how it works how it can serve well without going into the myth of the garage to the corporate toboggan A start up is a company that has just started there is no real time limit five years of existence does not seem not prevent the use of the term against a new bakery is not a start up even if it opened yesterday so that there is the concept of start up there must be the will to seek to provide a new product or service a way to sell it that’s the search for an economic model selling bread in a specific geographical area like the 35,000 other French bakeries is not really the same thing the other characteristic of a start up is the search for the economy of scale wholesale to produce something that can be sold without a thousand or ten miles times without having to increase his staff by the same amount and that’s why many startups launch digital services platforms or file patents technological these are activities that avoids having to recruit a staff of thousands of employees or build factories to grow the search for the economic model this is an important trick because it means that for a long time the start up will just lose money it has nothing to sell and produces no value but still has to pay its premises and employees the history of the site created in 2007 peak is a good example we had never heard of it is normal it was a platform designed to organize collective actions for several months they designed this service that did not generate money before changing their offer a bit and created a site that allows to have group discounts is the creation of the site groupon which has very quickly generate an impressive mass of thunes the problem is to finance the moment when the company does not pay anything but develops its product and finds how to value them for a business classic is usually a bank that looks after people who want to open a restaurant go see their bankers with 43923 documents they will have a chance to get a loan in the case of a start-up the risk is too big for a banker usually we talk about funding a person with a mediocre idea so rather than seeing bankers these are rather specialized investors who are going to go there to put a few hundred thousand or millions of euros usually they invest in several projects at the same time the idea being that 1/10, 20 or 50 will experience some success after the success it can be many things but more and more it is often to be bought by a big box with a maximum zeros on the check this is the example of shazam bought by apple for $ 400 million or musically, the thing with the yummy ads on youtube that was bought by “Beijing ByteDance Technology” for a billion dollars or instagram bought by facebook for another billion dollars and I still pass you the lists wikipedia acquisitions google and microsoft because it’s really very very long the interest for a big box to buy a start up is pretty obvious it’s a way of outsourcing and a part of their research and development rather than paying 35 people to try to guess what will be their future products they can pay three or four people who will watch what is happening on the market it’s a little box is on the track of something interesting so just come up with a checkbook to align zeros and bam the start-up brands the patents it has filed and all its knowledge even its employees are embedded that’s how twitch was bought by amazon rather than developing its own streaming platform live amazon becomes overnight the leader of the sector and connect this new service to their offer if being bought is considered a success for a start up is because the tile the investors the founders and employees when he left the company will be able to touch a fraction of the amount of the purchase at the heart of this model there is a promise that a future profits for the founders investors but also for employees the equivalent of a lottery ticket if all is going well and the advantage for these small companies is that this promise helps to maintain relatively low wages after success is quite rare because the figure quoted everywhere is that 9 start up out of 10 disappear in the first two years either because their ideas are really mediocre because no one wants to pay for it or because a big box has taken over or copy their ideas but today we stay with an image in mind that of two or three childhood friends who start a company together in their garages will work in open office warehouses we can also imagine people who are too motivated to be real and who are often reluctant to talk about their major projects all the time. vision and their often imaginary impact on the world it’s a caricature as much as a reality and I really advise like everyone else look at the silicon valley series which describes this environment very well at least from what I could see what’s interesting is that start-ups are changing internet is no longer an empty space hundreds of thousands of platforms have been created our environment is saturated with services of all kinds today there are giants that dominate the internet space is more and more start ups that are experiencing some success are no longer applications or internet platforms we must now look at the artificial intelligence of the drones of virtual reality crypto currency or autonomous vehicles many areas to start a new business immediately two larger teams more expertise see means of production and therefore much more means than those needed to achieve a internet platform in any case it takes more than three people motivated and three months to have a prototype and that it necessarily creates some change of the model start up suddenly the strategies of investors sadate is rather than invest in twenty or thirty different companies they will look for longer projects with potential and with greater funding from large technology companies they also adopt strategies to no longer exceed they form more and more killzone areas where it is too risky to start a business on pain of seeing his idea taken over by an overkill this is typically the story of the snap cat who after refusing to be bought by facebook in 2013 saw its added features little by little in his service sometime later same thing for the iphone air and its application mirka time 2015 which was doubled by periscope buy rate is supported by twitter brief companies gave themselves the means to incorporate or compete with novelties that could endanger them afterwards, we must not forget that start-ups are far from being limited to the internet environment the medical community also works a lot with start-ups that offer new molecules of new products that are then bought by the big ones of the sector boxes that are over a hundred years old but know how to use their money the idea of ​​a start up today is therefore less to create new facebook than to find a few people with whom to make an interesting project find investors and trying to get bought is what can happen to ten horns few applications today reaches 150 million users without having been bought but as long as they do not have a profitable economic model they are dependent on their investors to bring in fresh money and it is the 50 million dollars of 2007 that still finance this free service hope is time for them that one day discord is to buy or that he finds an economic model the other option is that this service disappear against the ambitions of amazon for example who after buying twitch also bought curse in 2016 a direct competitor of contention so here is a little how start up the 1000th applications so that tatiana meets youssef to seduce him to lend him a hammer to spin him appart or sell him his bike a start up is getting closer and closer to an external research and development department and this phenomenon fits perfectly into the wave of subcontracting savings in the same way that companies use external services to clean their premises for answer the phone or to prepare parcels she outsources also their most surprising research and development with startups today is the craze it creates while the dream of creating the facebook of tomorrow is practically healthy and talking about surprising things there is something that should not surprise you it is our gratitude towards our whole heart it’s thanks to them that this video exists and our goal today is that one percent of our subscribers contribute at least one euro to continue to offer content like what you just saw there would still be a lot to say about start up we put all right in descriptions including that of our discord it was stupid economics on this

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