What does a venture studio mean in business?
A venture studio is a stand alone business or part of a corporation that focuses solely on building new companies that can stand alone. Venture studios within corporations can have their stand alone business stay within the corporate umbrella or spin out to get additional funding from outside sources. Oftentimes, a venture studio is structured with EIRs (Entrepreneur-in-Residence) which incubate a venture internally to then be funded by internal and external parties.
What is the purpose of a corporate venture studio?
The purpose of a corporate venture studio is to build new businesses to either be wholly retained or spun out as a capital asset for a company. Sometimes, corporations will spin out a venture and buy it back wholly to re-incorporate into existing business units.
What are venture studio examples in corporate innovation?
One good example of a venture studio in corporate innovation is NEC X. NEC X fast-tracks technologies and innovative business ideas, leveraging cutting edge technologies from NEC’s global R&D networks and facilities. Working with Silicon Valley’s startup ecosystem, NEC X offers an 8-12 month program for entrepreneurs starting their new venture. They run several cohorts a year with 4-8 teams per cycle, providing hands-on support as co-founders. NEC X provides up to $400,000 in funding, including in-kind investment for business development and product, access to a wide range of NEC’s emerging technologies for commercialization, and research and advisory support. NEC X also provides access to an ecosystem of partners, including Alchemist Accelerator, and promotes technology and seed funding outside of the cohorts as well.