As part of the German Accelerator Tech program, the Munich-based startup Toposens had the opportunity to explore and explore the US market this year. And where better than Silicon Valley? At the end of June, the young sensor company completed the first three months of this experience, intending to extend its stay for another six months. During this period, the team can continue to utilize resources such as office space and the mentoring network of German Accelerator Tech. We spoke with co-founder Tobias Bahnemann about the Munich-based company's first steps in the US.
Hi Tobias, just to start with: What does Toposens do, when was the company founded and where are you at the moment?
Toposens develops sensor systems and software that enable autonomous technologies to perceive and interact with their environment in three dimensions. We have developed the world's first 3D sensor that can perceive its environment using ultrasound, like a bat. We focus particularly on robotics and autonomous driving to make these systems safer, better, and more convenient. Our sensor technology differs fundamentally from previous 3D sensor systems, which almost all function on an optical basis, in that our system is excellent for near-field detection, very resource-efficient, and extremely robust against environmental influences.
The company was founded in 2015 by Alexander Rudoy, Rinaldo Persichini, and me and has managed to attract several large companies like BMW, Intel, and Continental as customers. We're even cash flow positive now. We recently launched our new product, TS ALPHA, the first commercialized sensor, which will be available in larger quantities in Q4. We're also working on various extremely exciting projects, which we're unfortunately not allowed to discuss yet.
Most important is the network
How did you decide that now was the time for US expansion?
We've been receiving significant interest from the US through our website for some time now, particularly from Silicon Valley. Since the market is very active and highly innovative, especially in our focus markets, it was a logical step to also establish a presence in the US with the launch of TS ALPHA.
How did you come across the German Accelerator Tech Program and what made you decide to apply?
We were repeatedly contacted and written to by German Accelerator Tech, but always said it was too early for us. Last year, we decided the time was right!
What are your goals for the USA?
Most important is the network with all the innovation centers of the automobile manufacturers and the local high-tech companies. Of course, we're also in talks with some investors, but that's not the main focus. We will most likely establish a US corporation in the next quarter to set a sustainable example for our US customers as well.
“Silicon Valley is incredibly fast”
What do you see as Toposens' biggest challenge in the US? What are your initial experiences and learnings from the land of unlimited opportunity?
Entering the market and establishing a reputation as a US-based company that doesn't just drop in from Europe for a short time, but with which you can establish long-term customer relationships. Once you've achieved that, and of course, acquired your first customers, the biggest step has been taken.
Silicon Valley moves incredibly fast. The connections I've made here in three months would probably take me nine to twelve months to achieve in Europe. This is thanks to the very sociable people, the great mentoring network of the German Accelerator, and especially the short distance between all the relevant companies. I like to have two to three meetings per day here and maybe six to ten per week; it's hard to keep up. Here, you learn the American style of storytelling, the open nature and fundamental curiosity of Americans about new topics, and that startups here face many of the same problems as German ones (although there are also significant differences in some areas).
Today alone, I heard another story about an investor slipping a check for $20 million under the door of a startup. You'll NEVER hear of something like that in Germany. Of course, it's an exception, but it does show that some things are simply done differently here.
Ask the mentors the right questions
Has everything gone as you had imagined, or were there some surprises??
Things are going better than expected. The speed you mentioned is simply incredible, and I'm very confident that we'll benefit greatly from this step. Of course, we'll need a bit of patience until all the hard work eventually translates into success, but we already have the first customers for our development kit!
How were the first few weeks in the German Accelerator Tech program?
I didn't have high expectations at the beginning, assuming that the majority of success would come from my own efforts and not just from the German Accelerator. Therefore, I was all the more surprised by how much input the sessions in the first few weeks and the highly experienced network of mentors could provide. Looking back, I can only say: An incredibly great opportunity to start in the USA, learn a lot quickly, and, with the necessary effort, go far. I've already built a very good network, which expands by one or two new people practically every day.
How does the work with the mentors proceed?
Mentors are very valuable, but you first have to find the right mentors for your business model and market. If you have the right mentors, you can learn a lot, provided you ask the right questions. Additionally, all mentors have a very strong network and can connect you with great contacts. Overall, it's a very individualized process, so you have to make sure you use the mentors' time wisely and ask the right questions.
Financing round and conquest of the US market planned
What is special about Silicon Valley?
For me, it's the interaction of all the relevant players in such a small space, combined with the attitude that you can achieve virtually anything and change the world a little bit if you just work hard enough and believe in your dream. It's also very international here, and you meet people from all over the world.
Where do you see Toposens in a year?
Toposens has a truly exciting year ahead because we've now brought our technology to market maturity and are finally entering the market. In a year, we'll be featured in several products and developing large-scale production with our customers. Furthermore, we'll have a fairly established business in the US and will have completed our first major financing round.
