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Everything You Need To Know About Hiroshima Startup Scene

Hiroshima is becoming a hub for innovation and entrepreneurship, with a growing startup scene attracting both domestic and international attention.
Hiroshima

Hiroshima, the city known for being devastated by an atomic bomb in 1945, is now a hub for innovation and entrepreneurship. Hiroshima’s local government has actively promoted entrepreneurship and innovation through various initiatives, such as setting up a startup support center that provides services such as mentoring, networking opportunities, and access to funding. Hiroshima’s low cost of living and its location in western Japan, known for its strong manufacturing industry, are further advantages. Nevertheless, challenges include attracting and retaining talent and raising awareness of the city's startup scene domestically and internationally. The Hiroshima startup ecosystem is also supported by various government initiatives, including subsidies and tax breaks for startups. The Hiroshima Startup Initiative (HSI) and leading universities and research institutions in the region also support the growth of the Hiroshima startup scene.

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Hiroshima, the city in western Japan that was devastated by the atomic bomb in 1945, has a growing startup scene that is attracting attention both domestically and internationally. The city, which is known for its peace park and memorials, is now also becoming a hub for innovation and entrepreneurship.

One of the main driving forces behind Hiroshima’s startup scene is its local government, which has been actively promoting entrepreneurship and innovation through various initiatives. The city has set up a startup support center, which provides a range of services to entrepreneurs, including mentoring, networking opportunities, and access to funding.

The center also hosts a variety of events, such as pitch contests and seminars, which are designed to help startups grow and develop.
In addition to the startup support center, the city has also established a fund to support startups. The Hiroshima Venture Capital Fund was launched in 2014, and has since invested in a number of local startups. The fund provides seed and early-stage funding to innovative startups that have the potential to create new industries or technologies.

One of the startups that has received funding from the Hiroshima Venture Capital Fund is LibraVista, a company that develops software for the solar energy industry. The company’s software enables solar panel installers to design and install solar energy systems more efficiently, which reduces costs and improves performance. LibraVista’s CEO, Hiroaki Takaoka, says that the support from the Hiroshima Venture Capital Fund has been instrumental in the company’s growth.

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Everything You Need To Know About Hiroshima Startup Scene

Another startup that has been successful in Hiroshima is Hiroshima Robotics, a company that develops robots for the agricultural industry. The company’s robots are designed to perform tasks such as harvesting and pruning crops, which can be time-consuming and labor-intensive. Hiroshima Robotics has received support from both the local government and private investors, and has now expanded its operations to other parts of Japan.

One of the advantages of starting a business in Hiroshima is the city’s relatively low cost of living and doing business. Compared to other major cities in Japan, such as Tokyo and Osaka, Hiroshima offers lower rent, lower wages, and lower taxes. This makes it easier for startups to get off the ground, as they can keep their costs low and focus on growing their business.

Another advantage of starting a business in Hiroshima is the city’s location. Hiroshima is located in western Japan, which is known for its strong manufacturing industry. This means that startups in Hiroshima have access to a large pool of suppliers and partners that can help them develop and manufacture their products.

In addition to these advantages, Hiroshima also has a strong community of entrepreneurs and innovators who are willing to support and collaborate with each other. The city hosts a number of events and meetups for entrepreneurs, such as the Hiroshima Startup Cafe, which is a monthly gathering for startups and investors. These events provide opportunities for entrepreneurs to network, share ideas, and find potential collaborators or investors.

However, despite its advantages, Hiroshima still faces some challenges in developing its startup scene. One of the main challenges is attracting and retaining talent. Many young people in Japan still prefer to work for established companies or in traditional industries, and may not see entrepreneurship as a viable career option. In addition, Hiroshima’s population is aging, which means that there may be a shortage of skilled workers in the future.

Another challenge is raising awareness of Hiroshima’s startup scene both domestically and internationally. While the city has made significant progress in promoting entrepreneurship and innovation, it is still not as well-known as other startup hubs in Japan, such as Tokyo, Kyoto, and Fukuoka. This means that startups in Hiroshima may struggle to attract attention from investors and customers outside of the city.

Despite these challenges, the future looks bright for Hiroshima’s startup scene. The city’s startup ecosystem is also supported by various government initiatives, including subsidies and tax breaks for startups, as well as networking events and mentorship programs. The Hiroshima Prefecture and the City of Hiroshima have established several organizations to support the development of the local startup scene, such as the Hiroshima Prefecture Industry Promotion Foundation, which provides funding, consultation, and other support services for startups and entrepreneurs.

One notable program that has been instrumental in the growth of the Hiroshima startup scene is the Hiroshima Startup Initiative (HSI). This program was launched in 2014 by the Hiroshima Prefecture and the City of Hiroshima to support the establishment and growth of innovative startups in the region. HSI provides a wide range of support services for startups, including funding, mentoring, networking opportunities, and access to resources such as office space and research facilities.

HSI has also established partnerships with a number of international startup ecosystems, including Silicon Valley, to provide opportunities for local startups to connect with global markets and investors. This has helped to raise the profile of the Hiroshima startup scene on the global stage and attract investment from overseas.

In addition to government support, the Hiroshima startup scene is also benefiting from the presence of leading universities and research institutions in the region. The Hiroshima University, for example, is a key player in the local startup ecosystem, providing research support, incubation facilities, and entrepreneurship education to students and alumni. The university also collaborates with local businesses and government organizations to support the development of innovative startups.

Another key institution supporting the growth of the Hiroshima startup scene is the Hiroshima Institute of Technology (HIT). HIT has established a number of initiatives to support the development of startups, including the HIT Incubation Center, which provides mentoring, funding, and other support services for entrepreneurs and startups in the region. The center has also established partnerships with leading Japanese corporations, such as Mitsubishi Electric, to support the development of innovative technologies and startups.

The Hiroshima startup scene is also benefiting from the strong sense of community and collaboration among local entrepreneurs and startup founders. Many startups in the region are working together to develop new technologies and business models, and there is a strong culture of knowledge sharing and collaboration.

This has helped to create a supportive and vibrant startup ecosystem in Hiroshima, which is attracting talent and investment from across Japan and around the world.

Despite its rapid growth and success, the Hiroshima startup scene still faces a number of challenges. One of the biggest challenges is attracting and retaining talent, particularly in highly specialized fields such as engineering and technology. Many startups in the region are struggling to find the skilled workers they need to grow and scale their businesses, and there is a risk that the talent gap could hinder the long-term growth of the local startup ecosystem.

Another challenge facing the Hiroshima startup scene is the need for more investment and funding. While the local government and organizations such as HSI are providing valuable support for startups, there is still a lack of private investment in the region. This is partly due to the relative newness of the local startup scene, as well as the perception that Hiroshima is a conservative and risk-averse business environment.

Despite these challenges, the future looks bright for the Hiroshima startup scene. The region’s strong culture of innovation, government support, and collaborative ecosystem are attracting entrepreneurs and investors from around the world, and there is a growing sense of excitement and momentum in the local startup community. As Hiroshima continues to build its reputation as a hub for innovation and entrepreneurship, it is likely that the local startup scene will continue to grow and thrive in the years to come.

FAQs

Opening a startup in Hiroshima is relatively easy due to the supportive business environment and various government initiatives to encourage entrepreneurship. The city has a thriving startup ecosystem, with access to funding, mentorship, and co-working spaces. Additionally, Hiroshima’s strategic location and strong infrastructure make it an attractive destination for businesses seeking to expand in Japan and beyond.

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