10 trends for startups to watch in 2022 and beyond (Trend 9)

Rapid advancement in technology is one of the greatest forces reshaping the world. Nanotechnology, biotechnology, neuroscience, genomics, clean technologies, space sciences, smart materials, ubiquitous computers and sensors, artificial intelligence, geoengineering, and information technology are driving innovations that help the world address critical issues such as resource constraints, food security, water access, pandemics, infant mortality, and climate change. They are also the fuel igniting changes in the way we live, work and organize our societies.

Robotics and automation, including use of smart machines and the rise of the internet of things, is entering a new phase as these technologies advance. In its initial stages, this emerging industry was largely built on passionate researcher and visionary advocates. However, it has become obvious that robotics technology is no longer for the few but a technology permeating our world. It’s no longer sci-fi: The robots really are here.

One important reason is changes in global demographics, which are creating imbalances in the global workforce. In Japan more people are already leaving the labour force than there are people prepared to take over, a challenge that is shared with countries such as the U.S., Russia, Canada, South Korea, China, and many European countries. Industries such as healthcare – critical in today’s pandemic situation – have been facing worker shortages for years. The great resignation and generational shifts in mindsets could exacerbate these shortages in many industries but may be alleviated by technological advances in automation and robotics.

Today, robotics and the associated computing technologies have advanced radically, influencing many aspects of everyday life. Think self-driving trains, assembly line robots, automated fuel pumps, bank ATMs, and self-service checkout lanes. These robots are already taking over jobs that require specific repetitive and dangerous tasks, and gradually have become more sophisticated.

The next phase of the robotics revolution promises more dramatic advances. Increasingly, robots are able to absorb data, recognize objects, and respond to information and objects in their environment with greater accuracy. This will increase both the number and complexity of the tasks that they can take on – or take over from human workers. Robots are also becoming much less expensive – think about vacuum-cleaner robots – and are finding their way into the home as well as the work environment, driving up interest among ordinary people as well as engineers and researchers.

Robots everywhere is no longer a futuristic vision but part of modern living. Think intelligent agriculture, assistive robots in healthcare, “swarm intelligence” improving materials flow in logistics, and delivery drones.

Even though these new technologies can empower individuals, businesses and societies there are fears that the human race, in the long term, will be outnumbered, outdated, and outthought by the next generation of robots and smart machines. What’s your view?

What does this mean for startups?

• There are huge opportunities for startups: These opportunities are not just for founders who develop products and services built on robotics and automation. This is a relatively young and fast-growing sector. There will be a need for entirely new services such as robot repairs and maintenance, new cybersecurity services to protect data – and potentially operators from the machines – as well as educational services to teach use how to use the new technologies or retrain for jobs that robots have not taken over. It’s probably time to read a few old sci-fi novels for inspiration!

• Think about how robotics/automation can help you deliver value to customers: We are all used to chatbots and self-checkout now, delivery drones are being tested worldwide and Japan is already using assistive robots to help the elderly. How can you tap into some of these technologies to provide value to your customers? Be sure to test your ideas as sometimes people still want a human interaction!

• Can robotics augment your team? Almost every startup has limited funds and resources in the early days and, as noted in a previous trend, finding the right talent in a very tight job market can take time. Is there a way you can tap into/save costs on required knowledge and skills using robotics/automation?

• Corporate interest means exit opportunities: When a sector is new and growing rapidly, there are plenty of large corporates showing interest in the latest innovations. For example, the Silicon Valley tech giants have been acquiring large numbers of robotics/automation startups for over a decade. This is also a good selling point for early investors. However, be careful on your choice of investors and potential acquirors – you want smart money!