Novelte and 4 HKSTP start-ups head to Silicon Valley to display Hong Kong's innovations

Five Hong Kong start-ups have embarked on a six-month tour of Silicon Valley to showcase the city's innovativeness and raise funds from venture capitalists in the world's largest technology market, said the incubator behind the programme.

"Hong Kong's market is small, we have to look for business opportunities overseas," said Albert Wong, the chief executive of the Hong Kong Science and Technology Parks Corporation (HKSTP), adding that the road show is aligned with the incubator's "bring in and go out" strategy.

"They are there to develop their market, raise funds, find talent, and [conduct] a lot of pitching," he said in an interview with The Post. "They must make it work in Silicon Valley or not come back," he added half-jokingly.

Do you have questions about the biggest topics and trends from around the world? Get the answers with SCMP Knowledge, our new platform of curated content with explainers, FAQs, analyses and infographics brought to you by our award-winning team.

The five companies are involved in different types of technology, underscoring the broad spectrum of industries and technological verticals that the HKSTP is nurturing among the 1,700 start-ups at its sprawling park next to the Chinese University of Hong Kong in Sha Tin.

Hong Kong Science and Technology Parks Corporation (HKSTP)'s chief executive Albert Wong Hak-keung, at the Hong Kong pavilion during the Leap technology conference in Riyadh, Saudi Arabia, on March 4, 2024. Photo: Matt Haldane alt=Hong Kong Science and Technology Parks Corporation (HKSTP)'s chief executive Albert Wong Hak-keung, at the Hong Kong pavilion during the Leap technology conference in Riyadh, Saudi Arabia, on March 4, 2024. Photo: Matt Haldane>

They comprise the robot producer Novelte Robotics Solutions, the mobile marketing company GogoChart, the maker of biodegradable masks OKOSIX, the AI-powered architecture inspector RaSpect Intelligence Inspection, and Leadus Technology, which produces vacuum-insulated glass.

The plan would allow the company to leverage business opportunities in the US, "accelerating our market entry, maximising growth potential, and advancing our plans for a Nasdaq listing," said Novelte's co-founder and chief marketing officer Albert Lam. The Hong Kong-based company has attracted the interest of potential investors in North America, he said.

The journey to the West is not a mere training session, Wong said. The agenda of the start-ups include pitching to clients, exploring fundraising prospects, and gaining a deeper understanding of Silicon Valley. Carefully selected by the HKSTP, these start-ups represent the first batch of companies poised to make the journey to the West, he said.

Silicon Valley has gained global recognition as a hub of innovation and collaboration. It is where Google, Meta, Oracle, Hewlett-Packard and many of the world's largest technology giants call home. It provides aspiring entrepreneurs with access to experienced professionals who can offer invaluable advice and guidance.

The diverse consumer base, advanced technological infrastructure and access to a large pool of investors in the US make Silicon Valley the ideal destination for global expansion, said RaSpect's founder and chief executive Harris Sun. The company, which uses AI and drones for infrastructure and property inspections, has raised capital from five investors including the Alibaba Entrepreneurs Fund and the Hong Kong government's Innovation and Technology Venture Fund, according to Crunchbase data.

Eddie Yu, the co-founder and chief executive of OKOSIX said it is important to establish a presence and nurture vital connections in the United States because the nation of 335 million people is the world's largest healthcare market.

Still, short-term success in Silicon Valley may not be easy, because "it is extremely challenging to build trust quickly with customers in the new market," said Dr. Song Aotian, the founder and chairman of Leadus. The company focuses on the research and mass production of vacuum insulated glazing technology, which enhances the energy-saving performance of glass and contributes to the energy efficiency of buildings.

The HKSTP is actively seeking opportunities for start-ups in the Middle East. In terms of investment, the park is considering acting as venture capitalist, playing the role of general partner to attract limited partners to invest in start-ups.

HKSTP aims to establish an ecosystem for start-ups in Hong Kong, with a focus on commercialisation while universities in the city concentrate on research and development, said Wong.

Notable companies such as tech firm Huawei, battery maker CATL and auto company BYD have already set up research and development centres, and the park aims to strengthen the ecosystem as the city enhances its innovation and technology competitiveness, he said in the interview with the Post.

As part of the development of the ecosystem, attracting talent to the city is also a key goal.

There are 1,000 job vacancies in the park waiting to be filled and the journey of these Hong Kong start-ups to Silicon Valley represents a pivotal moment in their quest for global expansion and success, according to Wong.

This article originally appeared in the South China Morning Post (SCMP), the most authoritative voice reporting on China and Asia for more than a century. For more SCMP stories, please explore the SCMP app or visit the SCMP's Facebook and Twitter pages. Copyright © 2024 South China Morning Post Publishers Ltd. All rights reserved.

Copyright (c) 2024. South China Morning Post Publishers Ltd. All rights reserved.