Accel’s recently unveiled Atoms 3.0 program is pioneering its focus on Industry 5.0, alongside AI, marking the firm as a trailblazer among VC firms in launching such a cohort. Industry 5.0 represents a paradigm where robots and smart machines collaborate with human workers, emphasising resilience and sustainability objectives.
Accel’s commitment to supporting start-ups in the Industry 5.0 sector arises from the imperative to introduce automation in manufacturing, not only for cost reduction but also to accelerate and streamline day-to-day manufacturing operations for companies. The integration of automation and robotic systems promises significant process improvements that manual labour alone cannot achieve. This transformation aims to establish harmony and synergy between human workers and machines.
The revamped Atoms 3.0 program introduces personalised learning, industry-specific mentorship, and offers up to $500,000 in seed investment for each selected start-up. Furthermore, these cohort start-ups will gain access to Accel’s expanding global community. The program plans to onboard approximately 12 start-ups.
Could you provide an overview of Industry 5.0 and its significance in the context of modern manufacturing?
Industry 5.0 represents a future where humans collaborate with smart manufacturing machines, fostering reducing carbon footprint and energy-efficient industries. Over the last decade, manufacturers worldwide have adopted industrial solutions, recognising the unparalleled efficiency they bring to their operations. Our investments in this sector have already seen good growth and traction which signals to us that there is an opportunity to build great businesses here. We have realised that technology can be the key lever to growth post Product-Market-Fit for these companies.
We believe that the next decade of modern manufacturing will be driven by smart factories embracing Artificial Intelligence, robotics and other emerging digital solutions, introducing a new level of nuance and sophistication to their operations. There are strong tailwinds powering manufacturing and the next wave of growth will be powered by tech and our mission is to empower founders building that tech.
Industry 5.0 emphasises the collaboration between robots, smart machines, and human workers. How does this collaboration contribute to improved manufacturing capabilities?
Industry 5.0, aims to integrate the creativity, flexibility, and problem-solving skills of humans with the precision, efficiency, and capabilities of smart machines. It highlights the collaboration between humans and machines, placing a greater emphasis on sustainability, customisation, and human-centric design. It is not about replacing human labour with machines but enhancing human work with the aid of technology.
Industry 5.0 is seen as the era of collaboration between humans and machines, leading to more personalised production and a more sustainable approach to industry.
Accel’s Atoms 3.0 program has captured attention by focusing on Industry 5.0. Could you elaborate on how Industry 5.0’s goals align with Accel’s mission?
Our aim with Atoms 3.0 program is to partner with pioneering ventures that will revolutionise manufacturing by embracing AI, emerging digital solutions, as well as next-gen industrial marketplaces. We look forward to collaborating with founders who will be the driving force behind this paradigm shift, shaping the future of manufacturing together. Accel aims to support start-ups operating in sectors such as manufacturing, pharmaceuticals, oil and gas, Agri-tech, and food-tech, as these industries embrace the transformative power of Industry 5.0.
Could you elaborate on how Accel’s Atoms 3.0 program aims to support startups in achieving the delicate balance between automation and human involvement in the manufacturing process?
Accel Atoms is a community-led platform for pre-seed and seed-stage start-ups to access funding, gain dedicated hands-on mentorship, and coaching from top operators and founders. We understand that the “zero-to-one” phase is the most challenging one for any start-up founder as it sets the foundation for the business. We want to help early stage entrepreneurs build their foundational DNA.
In our continuous pursuit of staying relevant to the early-stage community, we have launched Atoms 3.0 in a new avatar, incorporating insights and feedback from previous cohorts. Atoms 3.0 comprises sector-focused cohorts for Artificial Intelligence (AI) and Industry 5.0. The idea behind the thematic cohorts is that companies targeting a similar industry and at a similar stage of evolution get to learn from each other a lot.
Within the Industry 5.0 cohort, we are amassing a great pool of industry insiders as well as facilitating more face to face interaction with our existing portfolio founders who have already seen the early stage journey.
Collaboration and community often play a vital role in fostering innovation. Could you explain how Accel’s global community will contribute to the success of the Industry 5.0 startups within the Atoms 3.0 cohort?
The selected start-ups under the Atoms 3.0 program will not only get personalised learning and sector-specific mentors, apart from the funding, but they will also gain access to the wider Accel team, along with access to multiple strategic partners and domain experts. By being a part of the Atoms 3.0 cohorts, companies stand a chance of gaining direct access to Accel’s network of 200+ start-up founders, 100+ angel investors and industry experts to guide them.
We strongly believe that by providing a focused environment for collaboration and learning, we can bring together start-ups working in a similar space and facilitate the exchange of best practices, insights, and challenges specific to the sector. By exposing the selected start-ups to the global community and the broader ecosystem, we want to present a holistic growth path for the companies selected under the Atoms 3.0 program.
Accel will set up communities, conduct webinars, on-ground events, AMA sessions, and have a knowledge base in place for the selected companies to benefit from. The program will consist of a series of workshops, mentorship sessions, and networking events designed to help start-ups validate their ideas, build their teams, and raise capital.
The Atoms 3.0 program is set to accommodate around 12 startups. What criteria will Accel employ to select the most promising startups for this cohort?
We are looking for founders who are building the future of manufacturing. We think big outcomes can arise from companies focused on improving the efficiency of people, processes or machines working on the industrial shop floor.
For our Atoms 3.0 cohort focusing on Industry 5.0, we are excited to welcome applications from founders based in India and Indonesia. In our past 2 cohorts of Atoms, we have invested across stages, including idea-stage and pre-product companies. We will continue to support companies across stages in Atoms 3.0.
Our focus for Industry 5.0 will be to invest in startups that fall under any of the following:
- People: Making people working in industries more effective
Training health and safety
Workflow management
- Processes: Making smarter factories with digitisation and automation
Marketplaces
Technology for vendor selection
Smart procurement solutions
AI-led solutions for process improvement and efficiency
- Machines: Making machines more intelligent
Improving manufacturing efficiency
Asset monitoring
Smart maintenance solutions
Looking ahead, how do you envision the evolution of Industry 5.0 over the next few years? What trends and developments do you anticipate?
The overarching trends undeniably emphasise the necessity to modernise the country’s manufacturing infrastructure. At the heart of this transformation lies our most significant asset: our population. Enhancing their efficiency on the shop floor through measures such as ensuring their safety and providing training and upskilling opportunities is a prominent trend we’ve identified, and it’s poised to gain even more momentum.
Additionally, there’s a substantial surge of interest in machine monitoring and maintenance, with the Industrial Internet of Things (IIoT) playing a pivotal role in this context.
As one of the pioneering VC firms to focus on Industry 5.0 start-ups, how does Accel plan to lead and contribute to the growth and advancement of this transformative sector?
We think the sector is quite nascent and we are the first ones onto it. We see definite macro trends emerging in the market, mainly the need to diversify global supply as well as the government support of the manufacturing sector overall. If India has to become a $5 trillion economy in the next few years, growth in manufacturing capabilities is critical and start-ups building in Industry 5.0 are quite well placed to help with that. With Atoms 3.0, we aim to recognise the next set of Industry 5.0 pioneers. We aim to equip them with the necessary capital and mentorship to enable their growth.
