search.noResults

search.searching

saml.title
dataCollection.invalidEmail
note.createNoteMessage

search.noResults

search.searching

orderForm.title

orderForm.productCode
orderForm.description
orderForm.quantity
orderForm.itemPrice
orderForm.price
orderForm.totalPrice
orderForm.deliveryDetails.billingAddress
orderForm.deliveryDetails.deliveryAddress
orderForm.noItems
Green Chile: Santiago’s network of electric buses makes it prime territory for environmentally-friendly initiatives


largest producer of lithium. The contribution to gross domestic product (GDP) of the mining sector — one of Chile’s economic pillars — is about 10% (in 2019, the country’s GDP was $283bn), and represents more than half of total exports. However, this is an opportunity largely ignored by founders. “I always looked at the mining


industry with surprise,” says Mr Barahona. “Chile is the world leader in copper extraction but there is a lack of Chilean tech entrepreneurs innovating in it [mining].” Ms Celis believes Chile—which,


as of 2018, had the second largest electric bus fleet in the world—is also in a primeposition to lead the way in green technologies. “Chile’s geography and lack of a strong industry have been a downfall as countries industrialised. However, thanks to technology we nowget to leapfrog. Think about solar energy: Chile is leading the way,” she says. “Before, many small cities in the north of Chile did not have electric- ity,which wasmainly produced by hydropower. Nowthese regions have solar panels even in the most hum- ble locations.”


Early-stagemoneyandliquidity For the ecosystemto thrive, funding must be readily available. Though the data shows that VC is largely on the rise, Ms Enei says early-stage founders need greater support. “There seems to be plenty of pre-seed


June/July 2021 www.fDiIntelligence.com


and early seed funding and enough tickets for over $1m, but not enough VCs going for tickets around $500,000.” The VC mindset also needs to


change as it lingers on the tradi- tional way of investment in compa- nies, which is disassociated from the fast-paced nature of start-ups, Ms Enei says. “Angel investment is also at a very early stage. All of these factors might have to do with the fact that the government has been behind the creation of the VC indus- try, and nowthere needs to be ‘nat- urally’ born investors that will understand the start-up journey and needs.” Entrepreneursmay bear most of


the burden, but VCs are also facing challenges. “Although there are already cases ofM&A, no Chilean company has [floated] on the Nasdaq and in general it is difficult to obtain the returns [on investment], even if the companies are obtaining good financial results,”Mr Barahona says. Overall, there is no denying Chile


is an important player in the global start-up arena, but it also exempli- fies the double-edged sword of gov- ernment intervention when it comes to innovation. It is possible that Santiago’s start-up ecosystemmight not have taken off without such a concerted effort fromgovernment— but, with a strong foundation nowin place, its future success hinges on the collaboration between the pri- vate and public spheres.■


17


OVER THE PAST FIVE YEARS, THEREHAVE BEEN SIGNS THAT THE CHILEAN START-UPECOSYSTEM IS GAININGMATURITY


Page 1  |  Page 2  |  Page 3  |  Page 4  |  Page 5  |  Page 6  |  Page 7  |  Page 8  |  Page 9  |  Page 10  |  Page 11  |  Page 12  |  Page 13  |  Page 14  |  Page 15  |  Page 16  |  Page 17  |  Page 18  |  Page 19  |  Page 20  |  Page 21  |  Page 22  |  Page 23  |  Page 24  |  Page 25  |  Page 26  |  Page 27  |  Page 28  |  Page 29  |  Page 30  |  Page 31  |  Page 32  |  Page 33  |  Page 34  |  Page 35  |  Page 36  |  Page 37  |  Page 38  |  Page 39  |  Page 40  |  Page 41  |  Page 42  |  Page 43  |  Page 44  |  Page 45  |  Page 46  |  Page 47  |  Page 48  |  Page 49  |  Page 50  |  Page 51  |  Page 52  |  Page 53  |  Page 54  |  Page 55  |  Page 56  |  Page 57  |  Page 58  |  Page 59  |  Page 60  |  Page 61  |  Page 62  |  Page 63  |  Page 64  |  Page 65  |  Page 66  |  Page 67  |  Page 68  |  Page 69  |  Page 70  |  Page 71  |  Page 72  |  Page 73  |  Page 74  |  Page 75  |  Page 76  |  Page 77  |  Page 78  |  Page 79  |  Page 80  |  Page 81  |  Page 82  |  Page 83  |  Page 84  |  Page 85  |  Page 86  |  Page 87  |  Page 88