CEO Shinya Shimizu accepting the first place prize at JapanNight VII
Leaving McKinsey & Company, one of the top consulting firms in the world, is not a decision to take lightly. But when Shinya Shimzu, co-founder and CEO of AgiC, realized the business potential of his startup, the choice was simple. Roughly one year later, he has successfully raised JPY 100 million (US$830,000) in a series A round led by TomyK, East Ventures1, and Yoren.
“I’m originally an engineer, and was thinking I wanted to start a company with another engineer. Right around that time, Professor Kawahara and I had a good idea for a business so we did it,” Shimizu tells Tech in Asia. Yoshihiro Kawahara, a graduate and associate professor of the University of Tokyo who has also worked at MIT and the Georgia Institute of Technology, had devised an ink that could be applied to glossy paper (like the kind used for printing photos) and become a working circuit. With the help of Masaaki Sugmito, owner of the study/workspace Lab Cafe next to the University of Tokyo, the three set AgIC into motion.
To call ink-and-paper circuit making “niche” would be an understatement, but Shimizu sees its potential as part of the growing 3D printing industry. “As the use of 3D printers by both individuals and startups for manufacturing increases, the next step is going to be a demand for 3D printing that produces functionality, not just plastic,” he says.
Those are not the empty words of an entrepreneur with a product to sell. After taking limited seed funding, AgIC launched successful Kickstarter campaigns to sell its products – a home printer circuit printing set, and erasable circuit writing pens.
AgIC – which stands for Silver (Ag on the periodic table) Ink Circuit – touts its low cost and flexibility of design. While the energy source and electrical components like lights are needed separately, none of the wires or plastic frames commonly associated with circuit building are. Using ink, circuit designs can be constructed in any number of unconventional shapes with a low cost for trial and error.
Applications of the technology can be personal, like an electronic greeting card, or public, like when leading telco NTT Docomo made a two meter long season’s greetings poster for their startup workspace. AgIC can also make light interfaces (i.e. a light dimmer) and audio interfaces (i.e. an audio mixer) out of paper which can be controlled with the touch of your hand.
Aiming to be the global standard
AgIC took home JPY 15 million (US$125,000) in revenue last year. Sales picked up over the year, and now reach JPY 1.5 million (US$12,500) per month. Japan is home to 90 percent of its customers, with the US coming in second at nine percent and China sneaking in at one percent. Modest numbers, but AgIC is a rare Japanese startup with both global ambitions and sales from the start. The firm already has an office in Silicon Valley and will be relying on Yoren to facilitate inroads for China.
See: Here are the top 3 startups from Innovation Weekend Tokyo
According to Shimizu, the biggest challenge in growing the customer base is teaching people how to use the product. The company’s revenue is currently split between business-to-business and business-to-consumer sales, but Shimizu wants to emphasize the latter going forward. That is why they are currently making an online recipe book of sorts for users to explore the product. “I want us to become the default standard. ‘Starting hardware? Do it with AgIC’,” he says.
It’s a lofty goal for a team with only six full-time members. Then again, in just a little over a year they grew the company from nothing to a pre-money valuation of JPY 500 million (US$4.2 million) and won notable pitch contests like JapanNight VII and TechCrunch Tokyo. With unique technology, an international team, and a growing head of steam, its looking like Shimizu made the right choice abandoning the safety of consulting.
This post AgIC can make electrical circuits from just paper and ink. And it just scored $830,000 appeared first on Tech in Asia.
AgIC can make electrical circuits from just paper and ink. And it just scored $830,000
No comments:
Post a Comment