DAVAO City has a thriving startup community and the city is celebrating Startup Week 2024 on September 19-29 with the theme, “InnovNation: Accelerating Davao’s Global Disruptive Potential.” Now in its third year, it is considered the “largest startup conference in Mindanao.”
Yes, Davao’s Startup Era has arrived. And I am delighted to be alive to see the day. In my past life, have lived in San Francisco, California, renowned for being the ideal place for startups, during the shaping of the modern startup landscape and the emerging dominance of tech giants like Google and Apple. I was even involved then in a Filipino-American venture that aimed to position the Philippines as the “Silicon Valley of Asia.” (Obviously, it was not meant to be then. Maybe this time? Haha.)
Most people usually associate the term “startup” with Silicon Valley, a region in California that became a hub for technology and innovation, in the 1970s and 1980s. Companies like Hewlett-Packard (HP) and Intel were examples of startups then. The 1990s brought the Internet Era and companies like Amazon and eBay demonstrated the potential for rapid growth and disruption in new markets. That was the so-called “dot-com boom” which exemplified the startup culture of high risk and high reward. The “dot-com bubble” followed when many startups crashed. But the 2010s ushered the “unicorns” — startups valued at over $1 billion — and influenced the startup culture with their emphasis on rapid growth, innovation, and disrupting traditional industries.
Startup culture has historical roots in entrepreneurial ventures that create new products or services. Early examples include the Industrial Revolution which led to new inventions and technological advances.
The modern startup ecosystem has roots in the venture capital model, which started in post-World War II when firms were established to provide early-stage funding to nascent technology companies.
The internet and technology have globalized startup culture, allowing ideas and resources to flow across borders. This has led to a more diverse and interconnected global startup ecosystem. And it has now reached Mindanao.
All startups are businesses but not all businesses can be considered startups.
Forbes, in an article written by Rebecca Aldridge and Benjamin Curry, entitled, “What is a StartUp? The Ultimate Guide,” gives this definition: “Startups are businesses that want to disrupt industries and change the world – and do it all at scale. Startup founders dream of giving society something it needs but hasn’t created yet.”
Startups, in short, are rooted in innovation. It is a business that solves a social problem. It is not just the product or service that is new and innovative; it also offers a new way of thinking about a problem and using a new business model that disrupts entire industries.
These are some of the ways startups differ from traditional businesses: Startups often aim to introduce or create something new — new product or service, new business model, new technology, new market, or all of the above; they are designed for rapid scaling and pursue exponential growth rather than steady, incremental increases; they operate in a high-risk environment with uncertainty regarding market acceptance, product viability, and financial stability rather than predictable revenue streams and operational stability; they frequently seek external funding from venture capitalists, angel investors, or crowdfunding platforms to fuel their growth – usually to develop products, scale operations, and enter new markets.
And that is why startups need to be more flexible and agile compared to established companies so they can adapt quickly to changes. Many startups operate with a lean approach, having a small, close-knit team where roles can be fluid and members may wear multiple hats.
But what truly sets startups apart from other businesses is their strong, mission-driven culture with a clear focus on achieving a transformative vision. That shared purpose of changing the world for the better.
I am happy to note and report that Davao City is slowly but surely making incredible progress in the 2024 Global Startup Ecosystem Index.
According to StartupBlink, a global innovation economy research platform that tracks the status of startup ecosystems around the world, Davao City ranks 743rd globally, up by an impressive 208 points from the previous year. It is 20th in Southeast Asia (up by 2 points) and it is the 4th best startup ecosystem in the Philippines.
The top five in terms of having the best startup ecosystem in the country are: (1) Metro Manila; (2) Cebu City; (3) Cagayan de Oro City; (4) Davao City; and (5) Naga City.
Davao City is considered a startup leader in the software and data industry; financial technology (FinTech); and educational technology (EdTech).
Leading the push for “a stronger, inclusive, and conducive startup ecosystem” in Davao is the Innovation and Development Accelerators Consortium for Startups (IDEAS). IDEAS Davao “facilitates collaborative initiatives to improve incubation programs, mentoring, networking, fundraising, and media exposure for startups” in the Davao Region.
The consortium has made great strides and is recognized nationally. It was recently honored with the 2024 Presidential Recognition as an Outstanding Development Partner in Mindanao for improving access to technology and innovation.
IDEAS Davao is also the team fueling Davao Startup Week and more community partners have joined and organized pre-events leading to the main events. Among these events are Women in AI; BUGSAI Hackathon; Ideate Davao; Davao Students Shaping Startups; AgriInnovate; DesignLabs: Intro to UX for Teens; DEVCON Kids Code Camp; Regional Startup Pitching Competition; WIT Career Day; Fireside Chat on Health; PyCon Mini Davao; Fireside Chat on Climate Action and Business; DesignJam: UI Design Talk with Frost Design; Business Growth and Leadership Strategies; Indigenous Innovation Showcase; TechXChange: Navigating Tech Transfer Pathways.
The main events will happen on September 26-29 with the official Opening on the 26th; Techstars Startup Weekend: ASTRA that will run for three days at Ateneo de Davao University; the Mindanao Incubator Summit and the Davao Investors’ Mixer on the 27th; and culminating with the Davao Startup Champion Awards Night on the 29th.
They say Davao Startup Week 2024 is going to be epic. I have no doubt. After all, Davao is a frontier town — home of the dreamers, the pioneers, the adventurers, the risk-takers, and the change-makers. Innovation is in our DNA.
