We are becoming a startup factory!

On July 10, it became official: the NXTGN Startup Factory will become an internationally visible innovation platform that brings together technology-driven startups and spin-offs with the scientific excellence of universities and research institutions and the economic strength of small and medium-sized enterprises.

The federal government and industry are providing up to €20 million in funding for this purpose. The goal: a new wave of startups!

The flagship competition is part of the federal government’s startup strategy. The competition aims to build and establish new key players in the startup ecosystem in Germany that are privately organized, entrepreneurial, and focused on international visibility. With federal funding, the alliance will receive up to ten million euros over a period of five years. In addition, the private sector has pledged funding of the same amount.

The goal of the Factory is to create a central point of contact for technology-driven start-ups that accelerates the transfer of research into the economy and works closely with small and medium-sized industrial companies.

NXTGN – next generation SMEs

Minister President Winfried Kretschmann: “With the NXTGN Startup Factory, we are writing a new chapter in our state’s history of innovation. Baden-Württemberg does not think about future technologies in small terms, but systematically: we bring together cutting-edge research, courageous founders, and responsible companies to ensure sustainable prosperity and quality of life for future generations.”

The NXTGN Startup Factory builds on the strong research landscape and addresses the broad technical expertise of the universities in Baden-Württemberg. There is a growing diversity of start-up activities where scientific findings are being translated into commercial applications.

“The NXTGN Startup Factory is a flagship project for KIT and Germany as a center of innovation. A joint platform that brings together deep tech spin-offs from research with medium-sized companies is fully in line with our transfer philosophy of bridging the gap between knowledge and application through innovation,” says Thomas Hirth, Vice President for Transfer and International Affairs at KIT.

Our goals

The NXTGN Startup Factory has three pillars:

• Strengthening startups on their way from research to market
• Enabling structured and efficient collaboration between startups and medium-sized companies
• Connecting physical hubs and digital offerings to ensure the statewide activation and integration of startup potential

The stated goals of the NXTGN Startup Factory are to enable the founding of more than 300 deep tech startups in Baden-Württemberg by 2030, to facilitate at least 1,000 cooperation projects between startups and medium-sized businesses, attracting at least one billion euros in private venture capital for startups, and supporting the creation of more than 10,000 additional jobs in future-oriented industries in the state.

KIT as a driving force for high-tech startups

As the strongest partner in terms of startups, KIT brings its experience in startup support to the initiative. With more than 40 spin-offs per year, currently 13 investments in companies founded out of KIT, and a strong network of research partners, companies, and investors, KIT is one of Germany’s leading startup universities.

Since 2013, the KIT Start-up Factory has supported over 400 start-up teams, particularly in areas such as artificial intelligence, quantum technologies, medical technology, environmental technology, energy transition, and sustainable mobility.

These are the partners in the consortium

The consortium behind NXTGN consists of the Karlsruhe Institute of Technology, the University of Stuttgart, Heidelberg University, Ulm University, HdM Stuttgart, IPAI (Innovation Park Artificial Intelligence), and Campus Founders. With NXTGN Management GmbH, the consortium is expanded by private-sector anchor partners and the anchor VC Mätch VC.

Its business and community partners include ADS-Tec Industrial IT, Balluff, Festo, Koehler Group, L-Bank, LBBW, Scharr, Schwarz Digits, Vector Informatik, Baden-Württemberg Stiftung, VfB Stuttgart, Campus Schwarzwald, and Wirtschaftsförderung Region Stuttgart as strategic partners, as well as over 30 companies as corporate members.

Press

• Federal Ministry for Economic Affairs and Energy: High-tech spin-offs “made in Germany” – Minister Reiche honors ten Startup Factories
• Karlsruhe Institute of Technology (KIT): KIT drives startup wave in Baden-Württemberg
• Baden-Württemberg: Millions in funding for Startup Factory in Baden-Württemberg