RVC has been developing, step by step, a stable ecosystem for innovation in Russia: putting a structure in place for efficient interaction between players in the venture capital market, promoting technology entrepreneurship, supporting regional infrastructure and facilitating the globalization of innovative Russian infrastructure. Venture investors, expert associations, research institutions, universities, accelerators and other infrastructure organizations are involved in the Company's activities aimed at the development of this ecosystem. For its part, RVC establishes cooperation between ecosystem participants, promotes best industry practices, and contributes to the development of new instruments to support high-tech business.

GenerationS

GenerationS 2017 Industry Sectors

  • AGRO & MEDTECH: improvements in agricultural efficiency, creation of new foods, bioconversion, solutions in the area of new medical products and diagnostic systems.
  • CREATIVE: fashion, design, media, urban solutions, entertainment industry and education.
  • POWER & ENERGY: new energy sources and storage systems, advanced solutions for the extraction, conversion, transportation, distribution and consumption of energy resources.
  • FINTECH – advanced technologies in the area of banking and financial services and products.
  • MINING & METALS: metal processing, new technologies for ore mining, remote and automated control of mining equipment, enrichment and quality control of raw materials.
  • TECHNET: implementation of smart manufacturing and systems, additive technologies.
  • DUAL-USE TECHNOLOGIES: dual-use technologies with potential for development in both the military sphere and in the civilian market.

Data on GenerationS Start-up Participants1

In 2017, GenerationS partnered with more than 250 commercial companies, universities, corporations and state organizations
2.39 RUB billion amount of investments in start-ups that completed the accelerator program
27% of the total number of companies to complete the accelerator program received investments from private and state funds
25 start-ups took part in foreign accelerator programs after GenerationS
70% of start-ups have revenues after completing the accelerator program
73 start-ups successfully expanded their business worldwide

1 Monitoring of start-ups was carried out in 2017. The analysis included an assessment of the development of about 270 start-ups that took part in the accelerator at different times.

Winners of GenerationS 2017 (names disclosed in April 2018)

First Place: IR WAY

Project: development of a device for vehicles that can provide high-quality images of the road at night and in poor visibility at a distance of up to 1.5 km

Prize: RUB 8 million

Second Place : Hydraulic Packer

Project: modular construction of a hydraulic packer for use in the oil and gas and construction sectors

Prize: RUB 5 million

Third Place: VR Concept

Project: software for 3D modelling and collective work with digital clones

Prize: RUB 3 million

Twenty corporate finalists and winners in special categories were awarded prizes by GenerationS partners.

More than 30 high-tech projects are currently being implemented by the Digital Innovation Center. We began working with partners and the innovative ecosystem to look for like-minded individuals as early as last year, realizing that the use of an open innovation instrument would allow our company to accelerate the solution of tasks in the area of business digitization. Due to GenerationS, we gained prompt access to the latest innovative solutions. Despite the large number of various start-ups operating in the market, we had some difficulties finding teams engaged in the tasks we’re interested in and in informing the market about the new technological challenges facing our company. We relied completely on RVC’s abilities: the company provided access to its pool of start-ups and shared our objectives with the innovation community. Since this was our first partnership with GenerationS, we had an opportunity to learn about the specifics of work in the open innovation market and to adjust our expectations. At the initial stage, for example, we set the ambitious goal of finding partners that would fit into our platform right away. Of course, it’s hardly likely to achieve this goal after going through the process just once because of the specific nature of the platform and the peculiarities of our business processes. However, we were able to select several finalists who, if they cooperate closely with us, have every opportunity to become one of the first users involved in our project. I would also like to note the value of the PR support we received as partners: using materials developed jointly with the Rusbase portal as part of the special project with RVC, we received dozens of letters offering cooperation, and there were two companies that seemed rather promising to me in terms of the further joint development of projects. As a result of our cooperation with GenerationS, we gained a clear understanding of the improvements needed, and the most important thing is that several promising start-ups caught our attention. I believe we have achieved good results at this stage, and we are planning to develop our partnership.

Vladimir Vorkachev, Head of the Digital Innovation Center at Gazprom Neft

TECHUP

RVC has been producing its TechUp rating since 2012 in partnership with the Higher School of Economics National Research University and PwC. The rating provides an effective means of searching for, monitoring and promoting promising, fast-growing national companies with great potential for leadership in both the domestic and global markets.

Results of the 2017 TechUp Rating

Profile of the winning tech company:

285 RUB billion total amount of company revenue
24% of their revenue the companies allocate for technological innovation
14% of annual turnover R&D expenses
19 years on average, the companies have been in the market
the average company headcount is 700
5.4 RUB million revenue per employee
57% of the companies’ revenue is attributable to new products
76% of the companies believe that their developments can be used in NTI markets
53% of the companies either already have such a product or are developing one

Russia’s TechUp national rating provides an excellent incentive for companies to develop and enter high-tech markets not only in Russia but also worldwide. Participation in the rating helped us better understand state support mechanisms and establish closer collaboration with state organizations, including Russia's Ministry of Economic Development. The rating's most effective motivational tool is, of course, its export revenue indicator. Our main objective is to improve in this area, since competing in global markets is a worthy challenge for any company. The TechUp rating has proved to be an effective tool in terms of looking for, monitoring and promoting promising companies with high potential. Without modern civilian high-tech products, however, it's impossible to enter foreign markets. Therefore, our third-place finish in the TechUp rating undoubtedly gave us a huge boost in motivation to develop new products and use advanced technologies for the Russian and international markets in order to compete for recognition as a global high-tech company.

Vladislav Kazak, Acting CEO of JSC Angstrem

NATIONAL CHAMPIONS


BACKGROUND

In 2017, RVC and the Association of Innovative Regions of Russia (AIRR) decided to develop their cooperation in the areas of technology and innovation. As a result, they will undertake joint efforts to promote innovative activities in Russia’s regions, support technology companies and engage regional businesses in the TechUp rating. Promising regional companies will be invited to take part in state support programs. In addition, educational, business and communication events will be held in various regions of Russia to popularize technological entrepreneurship and technical creativity.

RVC and the AIRR have agreed to work together on issues of high-tech development, technology transfer and securing investments. Joint analytical studies are planned.

At the same time, RVC will be one of the partners for Russia’s first competition in technology entrepreneurship organized by the AIRR and the National Research Tomsk State University.

In 2017, the winners of the National Champions project included 32 companies selected from among the winners of the 2017 TechUp rating.

OPEN INNOVATIONS

The Open Innovations Forum is Russia’s major and one of the world’s largest events showcasing the main trends and key achievements in innovative areas of the economy.


BACKGROUND

The RVC stand was a place for lively discussion at the Forum. In addition, finalists of the GenerationS start-up accelerator presented their projects at the stand. Representatives of corporations partnering with the accelerator and investors told guests about cross-cultural communications that are contributing to the success of tech start-ups, about the experience of working in Silicon Valley, about how tech companies can enter foreign markets, and also about the role of intellectual property in Russia’s innovative development. In addition, RVC’s stand provided an interactive demonstration of neuro-gadgets and hosted round tables about the NTI’s HealthNet and FoodNet roadmaps.

On the last day of the Forum, the stand hosted a presentation of the case for educating personnel for the venture capital market at the RVC department at the Moscow Institute of Physics and Technology, as well as a discussion titled “Building Your Career in the Technology Business,” which was moderated by the head of the Antirabstvo, Alena Vladimirskaya. The discussion ended with a game that simulated the selection of candidates for technology companies and venture funds. Guests at the RVC stand also learned that technology entrepreneurs from developing countries fight for visibility in the global information field.

DEVELOPMENT OF REGIONAL INNOVATIVE ECOSYSTEMS

In 2017, the Development of Innovative Clusters project implemented by RVC in cooperation with the Ministry of Economic Development of Russia was successfully realized. Within the framework of the project, analytical and organizational support was organized for innovative infrastructure facilities, including innovative territorial clusters that participated in a priority project of the Ministry of Economic Development called “Development of Innovative Clusters: Global Leaders in Investment Attractiveness.”

Results of the Development of Innovative Clusters Project

The Ministry of Economic Development of the Russian Federation has been implementing a program to support innovative territorial clusters since 2012. We are currently implementing it together with RVC, which makes it possible to use this support instrument together with other services to develop the innovation ecosystem in Russia in general. The Ministry lends individual assistance to each of selected clusters to solve problems where state support is required and arranges cooperation with publicly owned companies, development institutions and foreign partners. The Ministry promotes the interests of the clusters in intergovernmental commissions and during joint foreign business missions. Russia’s trade offices in foreign countries support foreign economic projects on the part of companies that are part of innovative territorial clusters. The Ministry also promotes the development of an effective cluster management system that provides training for the clusters’ executives: in March 2017, for example, with the support of RVC, an educational program was carried out for the heads of the relevant executive authorities of constituent entities of the Russian Federation and key entities belonging to the innovative territorial clusters.

Artem Shadrin, Director of the Department of Strategic Development and Innovations of the Ministry of Economic Development of the Russian Federation

BACKGROUND

In 2017, RVC, as a development institution, continued to support Russian innovations in the global market. In particular, the company promoted the expansion of the partnership among players in the Russian venture market in Europe, Asia and North America and the integration of Russian companies into international technology chains.

In support of exports from Russian technology companies, RVC and the Skolkovo Foundation held an annual seminar on how these companies can enter foreign markets, with a focus on the Brazilian, German and Japanese markets. Technology entrepreneurs at the Open Innovations Forum discussed the advantages of international business development, existing support measures and reasons why there has been such a small number of successful Russian start-ups in the global market. Forum participants learned about the specifics of the Irish and Swiss markets and about existing support instruments available in such markets from representatives of Swiss Business Hub and Enterprise Ireland state agencies. Russian entrepreneurs also shared their experience of working in those markets.

EDUCATIONAL PROGRAMS FOR THE VENTURE CAPITAL MARKET AND TECHNOLOGY ENTREPRENEURSHIP

Training Specialists in Innovation Management

Russian innovative companies are often lack of qualified specialists capable of managing scientific research and development and delivering and promoting new products and technologies. To resolve this issue, RVC established a Technology Project Management Department that has been in operation at the Faculty of Innovation and High Technology at the Moscow Institute of Physics and Technology since 2008.


Educational Programs for Technology Entrepreneurship

In 2017, RVC also developed and promoted technology entrepreneurship in other leading Russian universities. For example, RVC plans to develop through existing agreements cooperation in this area with MEPhI, TSU, TPU, NSU and other universities.

Nowadays, universities tend to be called ‘entrepreneurial,’ i.e. meaning they have established an infrastructure for supporting entrepreneurship and for developing entrepreneurial skills in students. The course developed with the participation of the Economics Faculty of Lomonosov Moscow State University is, first of all, a practice-oriented training course, as it is impossible to teach entrepreneurship in theory. In essence, it is ‘fieldwork,’ the creation of a project business model, communication with potential clients and the constant testing of hypotheses. It includes work with a mentor, who might be a teacher or a representative of the business community. Another feature of the course is that it provides an open platform that will be supplemented with methods and practices used by Russian and foreign universities. This is the reason why it is necessary to increase of the number of such courses, to engage a greater number of universities in them. In essence, as a result of the course, an entire ecosystem is created involving universities, development institutions, the business community, teachers and students. This ecosystem helps involve active, engaged instructors whose aim is not just to give lessons, but who are interested in the development of students’ projects, who look at them from the point of view of potential partnership. At the same time, a community is created of students who are proactive and have a desire to develop their projects. They start communicating with one another, discussing ideas and forming teams. Educational programs are important, of course, but they are not the only factor in the development of technology entrepreneurship. The necessary environment should be created at universities. This includes educational programs, infrastructure and instructors, as well as active students.

Alexander Auzan, Dean of the Economics Faculty at Lomonosov Moscow State University

DEVELOPMENT OF COMMUNITIES, MEDIA AND COMMUNICATIONS

In 2017, RVC supported the development of the Russian media environment specializing in publishing information about innovations, the venture business, scientific and technological developments and educational initiatives in the area of advanced technologies.


Today, the amount of material that journalists are producing on scientific and related topics is increasing, and it is important for me to learn about new projects on a timely basis, projects that I might otherwise miss. However, recommendation services and the focus on popularity are not guarantees of quality: everyone knows that light reading is still in much higher demand among audiences than popular-scientific literature. That’s why the Tech in Media competition is of such great importance: it promotes only new projects that are worth being called scientific and technical. If a journalist is able to independently assess the quality of the material, this could be a good benchmark for the reader.

Alexander Baulin, Editor of the Technology section, Forbes

Media Accelerator

Communication Laboratory

2017 National Report on Innovations
in Russia

RVC, the Ministry of Economic Development of Russia and the Expert Council under the Government of the Russian Federation have been publishing the “National Report on Innovations in Russia” on an annual basis since 2015. The report’s authors assess the current environment for innovation in Russia, review innovative policy instruments and make recommendations for changes and improvements.