deepC Store participates in Parliament of Western Australia’s inquiry into innovation in Western Australia
deepC Store Pty Ltd (“dCS”) has participated in the inquiry process conducted by the Public Administration Committee (“Committee”) of the Parliament of Western Australia (“Parliament”) regarding innovation in Western Australia (“WA”).
The Committee inquired into and will report on WA’s innovation ecosystem, with reference to:
the current state of the innovation ecosystem;
the role of the WA government in supporting entrepreneurship, start-ups,
and small and medium sized enterprises; andany other matters that the Committee considers relevant.
dCS’s submission for the inquiry was prepared based on a joint effort with Future Energy Export CRC and Transborders Energy.
Daein Cha, founder and Director of dCS, says:
“Among the key matters raised in this Joint Submission, I especially highlight, as entrepreneur and founder of dCS, my first-hand experience of the following key barriers that hamper innovation in WA:
When introducing First Of A Kind (“FOAK”) products and facilities into market, there are actually two funding gaps (known as the “Two Valleys of Death”). dCS especially emphasise the challenge of raising funds for addressing the second funding gap of ~AU$10 million to ~AU$100 million due to the ‘caught in between’ dilemma where (i) on one side, the technology is not de-risked enough for infrastructure investors and other institutional investors; and (ii) on the other side, the funding amount is too big for early-stage technology VC funds to finance and too small for late-stage technology VC funds who tend to invest at ~AU$100+ million. Image of this dilemma is shown below
There is a lack of focus for “non-tech” innovation in WA, due to limited support being available for de-risking innovation in services, business model, and market adoption.”
Source: Reem Yair (Partner at Extantia Capital) (2023), LinkedIn post on Climate Tech Innovation’s “FOAK Valley of Death.” Image available at link
Daein also highlights that WA’s estimated R&D expenditure is only ~0.86% of WA’s Gross State Product (“GSP”). This is low relative to average R&D expenditure of 3.01% (% of GDP) spent by OECD members.
For full detail of dCS’s submission, see link.
For further details please contact
deepC Store Pty Ltd - Daein Cha getintouch@deepcstore.com
