Hardware and IoT startups can be more difficult than software startups because of the need for more resources and time to develop physical products. Hence, the need for Hardware and IoT startups to acquire both financial and mentoring support is much higher. Approaching investors is one way for Hardware and IoT startups to get funding. However, hardware accelerators are another great source providing not only finance, but also mentoring for Hardware and IoT startups. Moreover, corporate-led programs such as Siemens for Startups further enhance this support by offering their own tools, industry-specific knowledge, and resources to help hardware startups develop and scale their products.
Many accelerators provide cash, connections, resources and mentoring. But hardware startups need to be more vigilant in selecting the right hardware accelerator that aligns with their business philosophy. Founders must perform due diligence to ensure the accelerator is reputable. They must also check mentor profiles of such accelerators and determine whether these mentors will be able to address all of their needs for advice and feedback.
Before joining a hardware accelerator, startups can take a few time saving steps like:
- Finding their own mentors from their industry who can assist them.
- Attending hardware events and networking with the right people, like investors, potential clients, future founders, and team members. This can also be useful for planning a proof of concept for their hardware startup idea.
- They can look for specific hardware startup programs offered by universities or companies This can help hardware startups in reducing their financial and resource burden, reducing time to market since the need to build and test physical prototypes is lessened.
Choosing the right accelerator for startup founders may involve decision making to identify how much equity to part with, considering whether to relocate to the accelerator location, quality of mentors, track record, etc. The best accelerators are those that are in line with strategy and are focused on helping you grow and make your business successful.
In this article, we will first discuss large global accelerators that focus on all startups, not just hardware. Since these accelerators are well-known and successful, you can’t go wrong with them, and your business would benefit if you were to be accepted to any one of them because of the mentoring, networking, and connections they can provide.
Hardware and IoT Startup Accelerators
Here, we highlight some of the top startup accelerators and programs tailored for Hardware & IoT startups. The list features a mix of corporate-led initiatives and independent accelerators from around the globe, offering diverse opportunities to support innovation and growth for Hardware startups.
Equity: No Equity
Siemens Solid Edge for Startups provides a unique opportunity for early-stage businesses to access world-class tools and resources to accelerate their growth. This program offers qualifying startups free access to professional-grade software for CAD, CAM, and CAE, enabling efficient product development.
In addition to premium software, the program includes valuable resources such as online training, community support, and co-marketing opportunities. Designed to help startups bring their innovative ideas to market faster, Solid Edge for Startups supports businesses in shaping the future of the industry.
Equity: No Equity
The 3DEXPERIENCE Lab by Dassault Systèmes is an open innovation laboratory aimed at transforming society collaboratively and socially. It merges collective intelligence with a cross-collaborative approach to foster entrepreneurship and strengthen the future of creation. Startups participating in the program gain access to Dassault Systèmes’ 3DEXPERIENCE platform, technical skills, and mentoring—the same resources that have transformed the design, engineering, and manufacturing of many products today. Additionally, the Lab provides a dedicated cloud environment and hosting, support and mentoring, and connections to a strong network and extended global ecosystem. The program focuses on projects that address themes such as City, Life, Lifestyle, Internet of Things, FabLab, and Ideation.
Equity: No Equity
The Ansys Startup program caters to early-stage startups facing budget constraints. Ansys offers complete access to Multiphysics simulation software and high-performance computing, facilitating rapid and cost-effective execution of engineering projects. With over 2,100 startups across 58 countries selecting Ansys, spanning industries like autonomous tech, high-tech, energy, aerospace, automotive, 5G, and healthcare, you gain access to a diverse ecosystem poised for innovation.
Equity: Takes around 7% equity.
Hax is the world’s first and largest accelerator that is focussed solely on hardware startups. Some notable and successful startups from Hax Accelerator are Makeblock, Simbe Robotics, Prynt, etc. It is based out of Shenzhen and San Francisco. Since China is a well-known low-cost manufacturing hub, it is a great option if your startup is eligible for Hax’s program. Hax offers mentoring to hardware startups on large scale manufacturing as well. If this is something you are looking for, Hax is a great option.
Equity: Takes around 6% equity.
Highway1 based out of San Francisco, this accelerator is a PCH company. PCH is a global custom design manufacturing company. Highway1 accelerator mentors eligible hardware startups on mass manufacturing, GTM strategy, and inventory risk management. Started in 2013, they already have 83 startups under their portfolio. Joining Highway1 can be a great opportunity to leverage their huge network of PCH connections.
Equity: Takes around 8% equity.
AlphaLab Gear is an accelerator that guides early-stage hardware companies on manufacturing, funding, and connecting them to the right manufacturers and customers. It is based out of Pittsburgh, Pennsylvania in the United States.
Equity: Takes around 15% equity.
Lemnos is a VC fund for hardware startups. Started in 2011 in San Francisco, they focus on early-stage hardware startups and assist them in engineering, manufacturing, marketing, and capital. They are interested in hardware startups in the fields of industrial automation, sensor platforms, applied robotics, intelligent machines, and embedded systems.
Equity: 10-15% of common stocks.
Industrio Ventures is Italy’s premier hardware startup accelerator, investing in innovative product startups across key sectors of the Italian economy. They provide funding, technical and scientific expertise, entrepreneurial skills, and an exceptional network to collaborate with. Industrio Ventures aims to bring startups to market within six months, offering a comprehensive acceleration program that includes a startup fund, product development and prototyping support, and connections to partner companies.
Equity: Takes around 10% equity.
Buildit Accelerator is a Hardware and IoT-focused accelerator program based in Latvia that supports early-stage startups in bringing innovative physical products and connected technologies to market. By providing funding, mentorship, and access to extensive resources, Buildit helps entrepreneurs turn their ideas into businesses. Buildit Accelerator is dedicated to empowering Hardware and IoT startups by bridging the gap between product development and market readiness. With its industry-specific expertise, Buildit enables startups to refine their prototypes, validate their business models, and launch successfully.
Equity: Not specified.
Hardware Club isn’t an accelerator but a community-based venture firm for hardware startups. It is based out of Paris, Tokyo and SFO. Started in 2015, they provide a great community to hardware startup founders to discuss the issues they are facing. They also help eligible hardware startups scale globally. Hardware Club is a good choice for your hardware startup if you are looking to get access to their exclusive community of contacts and private events.
Conclusion
Startup founders must perform a thorough due-diligence before applying to any startup programs. Some good parameters to check to find out if an accelerator is right for you: do they align with your goals, do they have great mentors aboard, what level of equity do they need, what are their areas of expertise, and what is their previous track record.
It is also often smart for hardware companies to join accelerator programs, since apart from providing funds, they also provide great connections, mentoring, and more.