IT&Telecom companies to welcome the next generation of big companies

There has been a strong focus on entrepreneurship in recent years. Large amounts of public money have been spent, with varying degrees of success, on various initiatives aimed at supporting the Swedish start-up scene. It has become trendy to be an entrepreneur.

Start-ups currently have no difficulty in attracting qualified staff and graduates. Skills, as we all know, are the key component of successful entrepreneurship.

Many start-ups are adept at building their brands as youthful and modern, where employees are empowered, empowered to make decisions and empowered to grow - contrary to the perception of large corporate bureaucracy and strict hierarchies. Generous stock option programs have often increased their attractiveness.

40,000 new startups in Sweden every year - but few will succeed

There are many traps for start-ups. You need to be a multi-talent; from marketing to human resources, from managing product development to business development, working on sales, being social and active at external events. As if that wasn't enough, you'll need to understand and manage investments from investors (who don't always have the company's best interests at heart).

Many companies manage these difficult first steps. But then something happens. Over 35% do not survive and go bankrupt after three years. There are examples of major successful Swedish start-ups, but they are still relatively few. Spotify is an unprecedented success story and a fantastic example of entrepreneurs thinking big and outside the traditional box. A company that planned and prepared for success early on.

Around these successes, start-up ecosystems have been built, eagerly cheered on by politicians and policymakers. Very good and very important. But it has also created a problem. Often, different types of platforms are built for start-ups, where they meet other start-ups. When the companies expand or look for new partnerships, it is quite natural to search in their own network, and then in a network where there are often entrepreneurs with the same background. This becomes a problem when companies move on to a completely new expansion phase.

IT&Telecom companies have an important role

IT&Telecom companies, Almega and the Confederation of Swedish Enterprise play an important role in this. For decades, trade associations have built ecosystems for their members, where they have seen several of their members go from medium-sized companies to multinational corporations. This gives members access to power players, new customers and interesting partnerships. A long tradition has developed around collaboration. This is an untapped source of expansion and an opportunity for entrepreneurs to gain access to new networks, big companies and the corridors of power.

It is now time to build these ecosystems together. The traditional system, with its decades of experience, knowledge and power, needs to be built together with the new start-up system. In the long run, we cannot afford to have two parallel systems living side by side, without any natural contact. That's why it's important that more start-ups recognize this opportunity and seize the chance, and that industry associations even more actively welcome and recruit the next generation of big companies.

Michael Collaros is an entrepreneur and founder of the AI company Norna. He was one of the participants at the Nordic Tech Week in Berlin, organized by IT&Telecom companies and their Nordic colleagues.