Crazy Wisdom
Stewart Alsop
Podcast
Episodes
Listen, download, subscribe
Deep Tech Renaissance: John Lee on Emerging Technologies and Capital Allocation
Introduction: John Lee is an early-stage investor focusing on deep tech, enterprise software, cybersecurity, AI/ML, and automation. What is Deep Tech? Deep tech companies are similar to biotech companies in terms of capital structure. Unlike traditional tech startups, they have a longer incubation period to accrue value. Capital Allocation and Business Models Scarcity of capital drives better business models. Interesting hybrid models exist that are designed to develop revenue in the near term. Examples from the Portfolio Rare Base: Focuses on finding cures for rare diseases by characterizing cells and testing drugs on them. Sells IP assets as a novel business idea. Count: Aims to make accounting firms more efficient by acquiring existing firms and implementing AI techniques. Innovation in Deep Tech Despite a renaissance in funding, deep tech has not yet penetrated the lives of ordinary consumers. The scarcity of capital is forcing companies to be more creative in their go-to-market strategies. Notable Geographical Clusters San Francisco and Boston are significant clusters for deep tech companies. Artificial Intelligence and Large Language Models (LLMs) LLMs are seen as collections of human intelligence trained on internet content. Emergent properties arise from the crosstalk across different nodes in LLMs. Future of LLMs Doubts exist about the ability of current models to scale. OpenAI aims to develop models with 100 trillion parameters, although the feasibility of this is debated. The Intersection of Science and Deep Tech Science is transitioning from an "artisanal" practice to an engineering discipline. Application Areas Reproductive Innovations: Research is being conducted on how to effectively assist couples in having children later in life. Energy: A debate exists over the effectiveness of fusion vs fission in energy production. Business Model Concerns Long regulatory approval times are a challenge. Jazz Venture Partners focuses on the convergence of deep tech and science, aiming for creative translation.
Crazy Wisdom RSS Feed
