Startup Ecosystem Report

South East Queensland 2014 STARTUP ECOSYSTEM REPORT

1 A simplified network map of the ECOSYSTEM

RMSS Blue Sky Retail Express AMMA

Guvera Techspace

Transition Level Budding Investments Entrepreneurs Grant Silicon Tappr Lakes CA iLab

Halfbrick Liquid State Ollo Mobile Brisbane Angels Griffith River Enterprise City Labs SwipeAds Innovation Centre

Right Pedal QUT QUT Creative bluebox Enterprise Nimble Australia RedEye

UniQuest Fitgenes

ZOVA

Euclideon CONTENTS

Dashboard 5

About 6

Context 7

Breeding Unicorns & Building Ecosystems 10

Formation 12

Organisations 14

Funding 16

Groups 20

Incubation 21

Key Nodes 22

Location 24

Regional Data 26

Markets 28

People 34

Community Ideas 38

References 40

4 Summary statistics as at July 2014 DASHBOARD

No. STARTUPS PEOPLE: COMMON SKILLS No. CO. TEAM SIZE Strategy 18% 40% Marketing 13% 226+ 8% Estimated number of startups within SEQ.* Leadership 31% Business Development 7% Start-ups 7% No. FOUNDERS Entrepreneurship 7% Management 7% Project Management 6% 500+ Social Media 6% 2% Estimated number of startup founders within SEQ. 1% Management Consulting 6% 1 2-10 11-50 51-200

No. PEOPLE **** #STARTUPS BY MARKET FOCUS (TOP 10 ONLY)* PEOPLE: AGE % ** 41.0 Arts & Recreation Services 19% 41 Information Media & Telecommunications 19% 36 ~1,900 *** 32.8 Estimated number of SEQ startup employees. Other & Unknown Services 15% Health Care & Social Assistance 8% 24.6 Professional, Scientific & Technical Services 5% Finance & Insurance Services 5% No. MEETUP GROUPS 16.4 Retail Trade 5% 4% 11 Advertising Services 9 3% 8.2 Administrative & Support Services 5 107 3% Associated with startups, tech and entrepreneurship. Education & Training 0.0 18-24 25-34 35-44 45-54 55+

. No. SUPPORTING COMPANIES No. STARTUPS & GROUPS BY YEAR FOUNDED ****Number of Startup Companies founded by calendar year in the “No. Startups & Groups by Year Founded” 60 Startups 55 graph does not equal the total “No. Startups” as the Groups founding dates of some startups within SEQ were not ~550 50 identified. Estimated number of companies involved in the startup ecosystem. 40

30 . 29 28 26 25 No. ASSOCIATED PEOPLE 23 23 20 13 10 10,000+ 8 8 10 Based on the number of members of technology Meetup 0 groups and employees of startups & supporting entities. 2009 2010 2011 2012 2013 2014

TOTAL FUNDING RAISED BY STARTUPS *Note, while the report uses the Australia New Zealand Industrial Classification (ANZIC) to classify the “Market Focus” of companies, this does not represent $ their industry classification, but rather the target market 37M of a startup company - the market they are addressing. Estimated total amount of funding raised by Queensland **Arts & Recreation Services includes Digital Game studios and developers. Further detail on this Startups between January 2009 and July 2014. classification can be found in the footnote on page 31. ***Other & Unknown Services is predominately made TOTAL FUNDING RAISED up of unclassified companies. $126M Total funding raised from January 2009 to July 2014 by Queensland Startups and Established Digital Technology companies.

5 How and why. ABOUT

PROJECT AIMS DEFINITIONS Support Entities Key organisations that support the development of This project aims to quantify the ecosystem around Startups startups such as incubators, accelerators, meetup groups early-stage high growth digital technology companies There are varied definitions of high growth early stage and venture capital firms were included. (startups for short) from South East Queensland (SEQ) digital technology startups. Whilst any type of early- - identifying key people, organisations, events and stage business can be called a startup, for the purposes Incubator: an organisation that offers mentoring, office innovation hubs within the community around which of this project the definition used by StartupAus, space, and other resources to help startups grow. Whilst innovative activity is centralised. The report aims to Google Australia and PwC Australia was adopted: a incubators assist startups in raising funding they do not measure its comparative strength, identify critical issues ‘startup’ is a company primarily focused on developing provide investment in return for equity. Their programs within the ecosystem, and identify potential areas for innovative digital technology, with a high leverage on are generally open, longer in duration and relatively government intervention and collaboration. labour, an innovative scalable business model, capable of unstructured. rapid growth, and under five and half years in age. SCOPE Accelerator: accelerators or seed accelerators are Digital In terms of scope, the report maps the primary people similar to incubators, but differ in that they take an The project focused on companies that create value (founders, angels and other participants), organisations equity portion of their participating startups in return primarily around digital technologies such as developing (startups, venture capital firms, co-working spaces, for investing seed capital - where incubators do not. software products or services, scalable hardware incubators and government agencies), groups (angel and Accelerators generally have a structured program that based products and services such as drones, sensors, community groups) and events (awards, conferences, runs over a discrete period of time (often 3 to 6 months) autonomous vehicle technology, Internet of Things programs) involved in or supporting early-stage after which the startup ‘graduates’. (IoT) technology, and wearables. technology startups within South East Queensland. Groups: community groups or meetup.com groups Exclusions The report only includes those companies and people that meet together in fairly informal circumstances to Digital technologies are being deployed across all that have made a direct tangible contribution to the discuss digital technology, startups or entrepreneurship. industries and permeate all aspects of our society. The development of high growth startups – whether that be This data is almost entirely based on meetup.com borders between industries are being eroded making through mentoring, sponsorship, investment, grants or groups which is a worldwide platform for organising it increasingly difficult to say whether a new company space, etc. community groups and widely adopted within startup like Uber is a transport company, software company, or communities worldwide. a labour hire company. The reality is that an increasing The report attempts to quantify in detail the fund flows (majority) proportion of Australian businesses have to startups based in SEQ. However it does not quantify Funding & Investment digital technology as a core component of their the amount of investment flowing out of the state into The report captures information on the money raised business. external startups. by technology companies and startups to fund company and product development. Startups secure funding in Consulting: The project excluded non-scalable A seperate report mapping the regional Queensland multiple ways: private investment, government grants, companies engaged with digital technology, such as startup ecosystem will be available in November 2014. crowdfunding, public investment, prizes and loans. The those with a high reliance on manual labour such as report excludes money flowing out of the state into digital design studios, digital marketing, software METHODOLOGY startups from other states or countries. development houses and computer consulting companies. Technology support, networking, and The report was compiled in partnership with several When the report refers to Funding, Investment or computer repair businesses were also excluded. community organisations and government agencies. Matched Funding it means: Information was gathered through workshops in Similarly excluded were design and development companies providing IP development as a service purely Brisbane, on the Gold Coast and the Sunshine Coast, Funding: the report means all types of funding for other firms such as advertising agencies that build and from interviews with over 35 people within including private investment, government grants, mobile and web apps for clients or gaming studios that the community. Information on people, events and matched funding, crowdfunding, public investment, purely work for clients. However, many companies companies was also gathered using data from online prizes and loans. While crowdfunding is technically a build potentially scalable digital products (e.g. iPhone platforms including Linkedin, AngelList, ASSOB, way for customers to pre-order a product or service the apps) alongside their consulting services, in which case CrunchBase, Gust, Twitter, Eventbrite, Kickstarter, report includes it within the analysis of startup funding they have been included. Pozible and Meetup, and complemented with internet as it serves a similar role to other funding methods. This

research. definition excludes the Tax office’s R&D Tax Incentive. Established Technology: the report excludes digital technology companies established prior to 2009 from Combining several data sources gives a more Investment: the report means private or public equity the definition of a ‘startup’. However in some cases the comprehensive view than one in which information is investment in a company in exchange for shares in the report mentions companies, investment figures or entity taken from any one individual source. For example, company, including convertible notes, options and other numbers for more mature digital technology companies. looking at funding events during the previous 5 years financial tools for purchasing shares. Crunchbase gives only 20 or so events out of the 100+ In these cases the report refers to these as Established, Mature or Later stage digital technology companies, or events identified using additional sources. Matched-Funding: a large portion of startup funding Tech companies for short. Data that encapsulates both in Queensland came from the Australian Government’s Startups and established Digital Technology companies However while all attempts have been made to be Commercialisation Australia (CA) grant program, is always referenced as such. comprehensive, some critical people and organisations established in 2009. The grant offered to match private in this rapidly growing sector may have been missed. funding for successful applicant companies on a 80:20 to 50:50 basis - depending on the grant type. By matched funding the report refers to the portion provided by the applicant, and excluding the portion provided by the government - the government grant.

All currencies used within this report are in $AUD unless otherwise stated.

6 Why is digital technology important? CONTEXT

SOCIAL IMPACT OF TECHNOLOGY And this is just the beginning. In the coming decades TTOPOP 12 DISRUPTIVE TECHNOLOGIES TECHNOLOGIES virtually every industry can expect to face disruptions GLGLOBALOBAL ECONOMIC IMPACT IMPACT IN IN 2025 2025 ($US ($T) TRILLION) 14 Information and communications technology is pervasive rivalling those of the industrial revolution. Some and soon to be ubiquitous. New technologies that evolved industries will face extinction; new sectors will be Mobile Internet 3.7-10.8 from the cumulative innovations of the past 80 years have created; and others are being transformed beyond Automation of knowledge work 5.2-6.7 dramatically changed the way people create, consume recognition. and communicate - transforming societies and economies The Internet of Things 2.7-6.2 at unprecedented rates. In 2013, in reference to the long-term economic Cloud technology 1.7-6.2 potential of technology, US Federal Reserve chairman 1.7-4.5 While the process of innovation is never ending, the Ben Bernanke stated: Advanced robotics development of the first transistor, microprocessor and Autonomous and near- autonomous vehicles 0.2-1.9 computer in the late 40s initiated a wave of computing “Some would say that we are still in the early days of the Next-generation genomics 0.7-1.6 innovation. It brought the first satellite in 1957, the IT revolution... even as the basic technologies improve, 0.1-0.6 linking of computers into large-scale networks in 1969, the commercial applications of these technologies have Energy storage the first Japanese smartphones to achieve mass adoption arguably thus far only scratched the surface.”7 3D printing 0.2-0.6 in 1999, and the first touch screen in 2007. Advanced materials 0.2-0.5 CREATIVE DESTRUCTION Of the 7b+ people on the planet, 5.5b watch TV, 2.7b use Advanced oil and gas exploration and recovery 0.1-0.5 the internet,1 1.8b use smartphones,2 and 1.7b use those During the early 20th century economist Joseph 0.2-0.3 smartphones at least monthly.3 Schumpeter observed that the most significant advances Renewable energy in economies are often accompanied by a process DIGITAL DISRUPTION IN AUSTRALIA In 1986 less than 1% of the world’s capacity to store of “creative destruction” which shifts profit pools, information was digital. In 2002 humanity was able to rearranges industry structures, and replaces incumbent Seven of the twelve disruptive technologies fall within store more information in digital than analog format – businesses. This process is often driven by technological the purview of the digital startup companies outlined launching the “digital age”. And by 2007 over 94% of innovation at the hands of entrepreneurs. within this report: Mobile Internet, Automation of humanity’s knowledge was stored digitally.4 Knowledge Work, The Internet of Things, Cloud According to IBIS World’s white-paper A Snapshot Technology, Advanced Robotics, Autonomous Vehicles Networked digital technology is being rapidly adopted of Australia’s Digital Future to 2050, 15 different and 3D Printing. and will soon be ubiquitous. Somewhere during 2008 industry sub-sectors face extinction due to factors such the number of connected electronic sensors on the planet as size, international competitiveness, the potential for It should be noted that when McKinsey refers to exceeded the number of people; this will have grown to displacement, and technology. economic disruption, this economic potential should 26b+ devices by 2020.5 not be equated with market sizes for these technologies; “Casualties may include: newspaper, magazine, it could be captured as consumer surplus as well as in ECONOMIC IMPACT OF TECHNOLOGY book and directory publishing – substituted by their new revenue and GDP growth. McKinsey also mentions online versions; radio, free-to-air TV and cable TV that in the case of Internet-based technologies, value has These innovations have facilitated an enormous new broadcasting – absorbed into internet distribution; and tended to shift to consumers; as much as two-thirds of the capacity to create, capture, analyse, disseminate video rental.”8 value created by new Internet offerings has been captured information and release a flood of startups, many of as consumer surplus. However, they conclude that: which are revolutionising production and distribution Entrepreneurs, policymakers and societies need to be systems on a global scale. at the forefront exploiting these new technologies to “It is impossible to predict all the ways in which maintain national competitive advantage and global technologies will be applied; the value created in 2025 Outsourcing white-collar tasks to more efficient or relevance. could be far larger than what we estimate here.”9 productive economies is now the norm, enabling developing economies to provide services to developed Entrepreneurs need to understand how markets might be Assuming an Australian GDP growth is 3% and nations at scale and on demand. eroded or enhanced by emerging technologies a decade McKinsey’s estimates of the potential economic from now; how technologies might bring new customers impact of these 7 digital technologies along with their When historians look back at the last 80 years they or force them to fight for existing ones. Policymakers distribution of the impact on Developed economies is will conclude we are living through a pivotal period and regulators need to decide how to invest in new applied, it results in an annual economic impact on the in humanity’s history. The question for Australia and forms of education and infrastructure; protect the rights Australian economy in 2025 of $497b - from these 7 Queensland is whether they want to be creators of and privacy of citizens; and create an environment in digital technologies alone. technological innovation, or just simply consumers. which citizens can continue to prosper even as emerging technologies disrupt their lives. To put that into perspective: 22% of Australia’s GDP in The largest companies of the last century were industrial 2025 will be disrupted from the application of these 7 corporations, born of the industrial revolution in the McKinsey’s 2013 report Disruptive Technologies: digital technologies alone. 1800s: mass-production companies such as Ford, Advances That Will Transform Life, Business, And Volkswagen, Toyota, GE, Bayer; and the suppliers of raw The Global Economy identified the top 12 disruptive materials such as Exxon, Shell, BP and BHP. technologies that have the greatest potential for economic impact and disruption by 2025. They estimated the But over the recent decades computer, software and potential economic impact that each technology would now internet companies such as Apple, Google, IBM, have by 2025 and concluded that these 12 technologies Microsoft and Facebook have been vying with more alone had “the potential to drive direct economic impact traditional corporations to lead the pack. PwC’s 2014 in the order of $US 14 trillion to $US 33 trillion per year report on the Global Top 100 Companies by Market in 2025.”9 Capitalisation showed that Technology and Financials are the leading sectors to have grown market cap in the Top 100 (+149% and +136% respectively) - driven by innovation and recovery from the financial crisis.6 Apple – the largest by market cap – having almost quadrupled in value during the past five years.

7 Why is digital technology important? CONTEXT

DIGITAL DISRUPTION IN QUEENSLAND music only reluctantly, worn down by years of music of technology companies using the 80-20 Pareto piracy. distribution – 80% of the value created by 20% of What does this mean for Queensland’s economy in 2025? companies and vice versa.a Boundlss’ analysis, using McKinsey’s data, suggests Assuming one third of the $96b in economic value the impact of these 7 disruptive digital technologies in 2025 is direct value created by these disruptive Applying this methodology this report estimates there on Queensland’s economy will be ~$96b per annum technologies (the other two thirds being retained as would need to be 3,000 to 4,000 technology companiesb in 2025, or roughly 24% of the state’s projected $396b consumer savings as McKinsey has found is the norm within Queensland by 2025. The vast bulk of these economy. with Internet-based technologies), this report estimates would be pre-revenue seed stage startups, 300 to 500 that in 2025 $32b annually will be addressed by either with $1m-$10m in revenue, 50+ with $10m-$100m in DISRUPTIVE DIGITALDIGITAL TECHNOLOGIES TECHNOLOGIES - foreign or local digital technology companies. revenue, 10+ companies with $100m-$1b in revenue, and ECONOMIC IMPACTIMPACT ONON QUEENSLAND QUEENSLAND ($B) ($M) a small number above $1b in revenue. Enrico Moretti, Professor of Economics at the University Automation of knowledge work 34.9 of California has found that technology companies have a Assuming a linear increase in productivity for each five-fold impact on the economy. He states: increasing tier of company size, from $200k per Mobile Internet 25.9 employee to $500k per employee, gives an estimate “Innovative industries bring good jobs and high salaries for the number of employees required across the 5 The Internet of Things 22.2 to communities where they cluster and their impact on bands. Resulting in a total number of 25,000 to 30,000 the local economy is much deeper than their direct effect. employees working directly within the technology sector Advanced robotics 17.7 Attracting a scientist or software engineer triggers a and creating over $5b of value in 2025. multiplier effect, increasing employment and salaries for Cloud technology 8.4 those that provide local services. In essence, a high tech To achieve this target, participation in the sector would job is more than a job... research shows for each high have to grow at approximately 40% each year, with new Autonomous and near- autonomous vehicles 5.9 tech job, five additional jobs are created outside the high company / startup formation rates beginning at 10 to 20 tech sector.”11 new startups per year and reaching a rate of 1,000 per 3D printing 1.7 year by 2025 - a yearly startup formation rate of 170 per Assuming this $32b represents this five-fold impact, million people.c this report estimates the direct contribution from digital technology employees on the Queensland economy to be While these sorts of formation rates may seem large, over $6b in 2025. they are quite reasonable when you take into account While these projections may seem high, they are less two things. One, the current yearly startup formation than those in Deloitte’s 2012 report Digital disruption If this value isn’t captured by local digital technology rates per million people within the USA range from an Short fuse, big bang? which foresees 33% of the companies and startups it will certainly be extracted by average of 42 across the USA to between 147 to 387 economy facing disruption from all digital technologies companies from interstate and overseas. in technology hubs such as San Francisco and Boulder. within the next five years. Two: the formation rates for technology companies HOW MANY STARTUPS will certainly increase over the next ten years - ever “One-third of the Australian economy faces imminent so slightly approaching the average private sector There is a real and substantive opportunity for the startup and substantial disruption by digital technologies and business formation rate of 1,342 per year per million - as sector within Queensland to grow and play a much larger business models – what we call a ‘short fuse, big bang’ technology becomes an increasing part of business.14 scenario. This presents significant threats, as well as role in the local, national and international economy. It 10 is also reasonable to conclude that the aims outlined by opportunities, for both business and government.” Given the network effects of digital technology, the the Queensland Startup Summit held in 2013 are entirely rapid revenue growth, exponential user acquisition of achievable if the right infrastructure is put in place to Applied to Queensland, 33% represents $132b of successful startups and winner-takes-all structure of these develop the sector. The Summit’s “Big Hairy Audacious economic disruption from 2017 to 2025. That’s $46b markets, this report estimates that ~20% of these digital Goal” (BHAG) states: higher than projections based on McKinsey’s report on technology companies will create ~80% of the value. the most disruptive digital technologies. ‘By 2033, Queensland is recognised for its And it is by no means certain that starting a new business entrepreneurial culture, with the startup sector In summary, this report estimates the economic impact will result in success: the high-risks necessitated by contributing four per cent to Gross State Product, of digital technology on Queensland’s economy in 2025 innovative technology and business models inevitably injecting $20b and 100,000 new jobs into our economy, will be in the order of $96b per year, and this impact will leads to a large proportion of startups failing each year through the global impact of home grown startups.’ 12 be created largely by Mobile Internet, the Automation (some estimate the global norm for startup failure rates to of Knowledge work, The Internet of Things, Advanced be as high as 90%). Robotics, Cloud technology, Autonomous Vehicles These estimates also align with PwC’s 2013 report The Startup economy: How to Support Tech Startups and technology, and 3D Printing. Hence this report uses a power distribution to estimate Accelerate Australian Innovation: “By accelerating the distribution of digital technology companies (both growth the sector could contribute 4% of GDP by 2033 While this economic disruption should not be equated mature and startup) participating in the sector in 2025 and directly employ 540,000 people.”13 with market sizes for these technologies (some will be with an increasingly large number of startups being captured as consumer surplus, and others as productivity created each year; of which only a select few will achieve The Summit’s BHAG equates to ~30,000 employees and growth), it does represent an enormous innovation the high year-on-year growth required to become the new a contribution to Queensland’s Gross State Product of goldrush. Australian technology giants by 2025. roughly $5b in 2025. Up to two-thirds of this value will be captured by consumer surplus, with the remainder coming from Compared to the opportunity outlined by McKinsey & productivity gains and revenue streams from new Deloitte there is certainly enough need within the market technologies. to achieve this BHAG given the right environment.

Given the challenges involved with adopting disruptive Thus the question: How many technology companies and a. Startup ecosystems appear to follow this distribution. technologies it is often startup companies that are startups are needed for Queensland to meet this BHAG b. 4,000 companies employing more than one staff best suited to seize new market opportunities. Makers and retain some of the potential economic disruption member. Up to 8,000 including sole-operators. of horse-drawn carts didn’t catch on to the car, IBM within the state? What would Queensland’s startup c. Based on Australian Bureau of Statistics middle couldn’t see the opportunity in personal computers, and ecosystem have to look like in 2025 for this to happen? projection for Queensland population numbers in 2025 - the music industry has been pulled into digital streaming One way to answer this is by modelling the distribution 5.9 m.

8 THIS REPORT ESTIMATES THE POTENTIAL ECONOMIC IMPACT OF DISRUPTIVE DIGITAL TECHNOLOGIES ON QUEENSLAND’S ECONOMY IN 2025 IS ~$96 BILLION PER ANNUM, WITH A DIRECT IMPACT FROM THE DIGITAL TECHNOLOGY SECTOR OF OVER $6 BILLION PER YEAR. TO ENSURE THE MAJORITY OF THIS VALUE IS CREATED & RETAINED BY LOCAL COMPANIES, QUEENSLAND WILL NEED: 3,000+ STARTUPS, HUNDREDS OF ESTABLISHED TECHNOLOGY COMPANIES AND A UNICORN OR TWO. WITHOUT THIS, ECONOMIC GROWTH WILL BE LOST TO INTERNATIONAL COMPETITORS.

9 Creating high growth startups. BREEDING UNICORNS & ECOSYSTEMS

UNICORNS ARE REAL CREATING CLUSTERS FUNDING QUEENSLAND’S STARTUP ECOSYSTEM Vibrant industry clusters and ecosystems are critical So the elements required for a flourishing ecosystem The term “unicorn” has been adopted worldwide as for increasing the productivity of companies, driving are well known, but how much effort is required for a label for high growth technology companies that innovation, stimulating new business creation and Queensland to realise the next decade’s economic achieve significant scale ($US 100m revenue or $US 1b breeding scalable high-growth companies.13 valuation/market cap). Startups that achieve this scale opportunity? are rare but vital to the creation of a vibrant economy. The factors that contribute to a flourishing technology To answer this, this report estimated the growth from ecosystem have been well defined by researchers, policy the current state of the ecosystem to one that meets Unicorns have the ability to spawn hundreds of new makers and entrepreneurs: An entrepreneurial culture the Queensland Startup Summit’s goal. The diagram entrepreneurs, many of whom go on to found or invest with a large number of active participants; mentoring opposite shows the various stages of company size, the in startups. The IPOs of Google, Facebook and Twitter from experienced entrepreneurs; a supportive regulatory number of each in the ecosystem both now and in 2025, alone created almost 4,000 new millionaires. Similar environment; a culture of collaboration and networking; and some current examples. examples can be seen in Sweden (Skype acquired visible successes and role models; risk tolerance; easy by Microsoft for $US 8.5b; Spotify has a market cap access to risk capital; government policy with a long- This model also takes into account startup failure rates of $US 4b), the UK (Betfair IPOd at $US 2.4b and term focus; and access to good technical skills. lastminute.com acquired by Sabre for $US 1.1b), and and the proportion of technology companies that make 15 it through each stage of growth - extrapolating from Israel (NDS acquired by Cisco for $US 5b). Many of these factors are cultural, rather than structural, historic data where available. and in many ways a strong culture comes prior to The network effects of the digital economy and ubiquity structural changes (e.g. greater access to capital or The report’s assumptions are that startups require: of technology mean that they exist in increasingly supportive regulation). According to PwC’s The Startup • $50,000 funding to launch a business, winners-take-all markets and grow with astonishing Economy: speed, creating large numbers of jobs both within the • $250,000 funding to achieve $1m in revenue, • $2m to achieve $10m in revenue, company and as part of the larger ecosystems that “Culture is the key to accelerating the growth of a tech • $20m to achieve $100m, and surround them. community. In the 1970s the tech communities of Silicon • $110m funding to achieve $1b. Valley and the area around MIT… were similar in size. According to the UK innovation agency NESTA, the 6 But by the 1990s Silicon Valley was dominant. The Given these assumptions, this report estimates that per cent of UK businesses with the highest growth rates accepted explanation for the difference in growth rates over $2b to $5b in total funding needs to flow into the generated half of the new jobs in the UK between 2002 is the open and collaborative culture of the Valley. This 16 sector over the next ten years to support the ecosystem’s and 2008. same culture is what is driving growth in both Boulder growth.With the rate of investment increasing from their Colorado and Israel.”13 “A small number of high-growth businesses are current average of ~$23m per year to between $500m to $1b per year by 2025. responsible for the lion’s share of job creation and Richard Florida’s work on the rise of the creative class prosperity… This has significant implications for the also demonstrates how critical the culture and liveability Approximately 20-30% of these funds would go to seed direction of economic policy. It shows that enabling of a city are for the attraction and creation of innovative stage startup activity (generally pre-revenue), and the innovation is good for growth. Just as importantly, it startups: majority of these startups will fail, close, or be acquired. shows that focusing attention on growing businesses and ~30% of funding would go to early stage startups in promoting excellence, far from being an elitist policy, “Despite all the predictions that technology—from the the $1m-$10m revenue band, ~20% to expansion/ gives rise to widespread job creation and prosperity.” telephone and the automobile to the computer and the growth stage technology companies in the $10m-$100m Jonathan Kestenbaum, CEO NESTA16 Internet—would lead to the death of cities, the creative revenue band, and the remaining ~10% to the handful of economy is taking shape around them. Urban density, mature later stage companies with revenue at $100m+ - BREEDING UNICORNS the clustering of people and firms, is a basic engine of the unicorns of the pack.23 For Queensland to grow a vibrant startup ecosystem it economic life. Place is the factor that organically brings is essential to create an environment that is conducive together the economic opportunity and talent, the jobs TOTAL ECOSYSTEM FUNDING REQUIRED 2014-25 to creating and retaining unicorns on local soil – and and the people required for creativity, innovation, and attracting foreign unicorns. growth.”19 Seed Stage: <$1m revenue $400m-$1b Richard Florida Early Stage: $1-10m revenue $580m-$1.4b In a global, highly-connected economy, unicorns can Expansion Stage: $10-100m revenue $400m-$1b grow in any geographical region and access global Florida calls this place, but it’s about how a location can Later Stage: $100m-$1b revenue $350m-$840m markets with ease. So far most unicorns have come support and encourage social density, a critical mass of from the USA, and it is likely that the upcoming interactions and connections between people to create Later Stage: $1b+ revenue $250m-$660m digital disruption will be created by US firms unless a cocktail of creativity, intelligence and courage. From Queensland and Australia invest in united and focussed the studios of Florence, to the coffee houses of Paris Despite the high risk and failure rates, those ~$2b+ in efforts to develop some home-grown unicorns. and the skunkworks at Google [x], vibrant environments funds would have helped create a net positive economic in which people from varied backgrounds have impact of ~$32b - within 10 years. Governments are increasingly recognising the spontaneous meetings and explore interesting problems importance of entrepreneurship and high growth have been the engines of economic growth, innovative In terms of government support for the sector this report technology startups - implementing programs to create, ideas, and human wonder from the dawn of humanity. recommends that the majority of support should be attract and retain these unique value creators. Examples focussed on kick-starting the early, high-risk stage of include the UK Government’s Future Fifty17 program; company formation, given this is where the majority Startup America;18 the Singapore Government’s $14b AVG PRE-IPO INVESTMENT FOR US STARTUPS of risk lies and where Australia’s investment levels are commitment to the National Framework for Innovation lowest compared to global norms. and Enterprise; and Sweden’s national network of 43 $US startup incubators, 12 seed investment funds and 33 To meet this target, Queensland’s main challenges are: science parks that have been incubating over 950 high- 110M • Dramatically increasing the current very low levels growth technology companies per annum for the last 20 Average pre-IPO funding raised by US listed technology of investment in startups; years. company has increased from $US 73m in 2007 to between • Growing Queensland’s fledgling startup sector - $US 102m to $US 119m in 2013. The median pre-IPO particularly the early stage activity; and These programs focus on the small number of funding was $US 52m in 2007 and currently stands at $US • Training the state’s workforce to create enough companies with the highest growth potential rather than 78m, raised over a median of 4.5 rounds (excluding seed highly-skilled workers to fill the jobs required. broad support for traditional new businesses and SMEs. rounds <$US 1.5m). Average time to IPO is 7 years in the USA and 9 years in Australia for VC backed.20,21,22

10 1 in 1,000 COMPANY STAGES

This diagram separates the startup stages by revenue. From people ‘interested’ in entrepreneurship, to those that actually found a New Startup, and through to growing and mature technology companies.

Yellow information represents the current size and distribution of startups within the ecosystem, and black represents the size and distribution of the ecosystem in 2025.

Developing high growth technology startups is a high risk endeavour with a small proportion of companies achieving the growth required to move to the next stage. Approximately 90% of bootstrapped or angel-funded startups fail, and between 30% to 40% of venture backed startups fail. Even fewer digital technology companies grow beyond $1b in revenue, or reach a $1b valuation - less than 0.1% for either.24,25

50+ 10+ 1+ 300+ 10-20 1 0 20-40

3,000+ 220+

20,000+ 1,000

POTENTIAL SEED STAGE EARLY STAGE GROWTH STAGE LATER STAGE UNICORN FOUNDERS STARTUP STARTUP TECH CO. TECH CO. TECH CO. 20% <$1m $1 to 10m $10 to 100m $100m to $1b $1b+ Portion Revenue Revenue Revenue Revenue Revenue of people interested in Tappr Commission Halfbrick Wotif entrepreneurship Pre-revenue Factory $10m+ revenue $700m mrkt cap who start a Est. 2012 $1m+ revenue Est. 2001 $147m revenue company. Est. 2011 Est. 2000

11 Startup formation rates FORMATION

YEARLY STARTUP FORMATION RATES PER MILLION OF POPULATION - TOP EIGHT US DIGITAL TECHNOLOGY HUBS VS QUEENSLAND

LOCATION YEAR ESTIMATED POPULATION RATE PER #STARTUPS MILLION FORMED PEOPLE PER YEAR

USA 2010 415,000 309m 1342

Boulder 2010 25 98,815 256

Queensland 2025 1,000 5.9m 170

San Jose 2010 116 955,225 122

Seattle 2010 69 610,409 113

Fort Collins 2010 16 144,348 109

Washington 2010 66 604,453 109

Denver 2010 63 603,497 105

San Francisco 2010 85 805,607 105

Cambridge 2010 10 104,944 97

USA - the year of 1999 21,000 279m 75 the dot-com boom

USA 2010 13,000 309m 42

Queensland 2013 55 4.7m 12

Startup formation rates are based on the Kauffman Foundation’s 2013 50 100 150 200 250 1,300 report “Tech Starts: High-Technology Business Formation and Job Creation in the United States.” While the numbers are some of the best ENTIRE PRIVATE SECTOR COMPANY TYPE3 available, it is this reports opinion that startup formation rates are in 0 50 100 150 200 250 300 fact higher in US technology hubs than shown above. DIGITAL TECHNOLOGY STARTUPS

12 Startup formation rates FORMATION

US TECHNOLOGY HUBS SUCH AS BOULDER AND SAN FRANCISCO HAVE YEARLY STARTUP FORMATION RATES PER MILLION PEOPLE RANGING BETWEEN 97 TO 256. QUEENSLAND’S CURRENT RATE IS 12.

FOR THE LOCAL STARTUP ECOSYSTEM TO REACH 4% OF GSP AND 30K JOBS, PARTICIPATION IN THE SECTOR WOULD HAVE TO GROW AT APPROXIMATELY 40% EACH YEAR, WITH YEARLY STARTUP FORMATION INCREASING FROM ~12 NEW STARTUPS PER YEAR TO ~1,000 BY 2025. A STARTUP FORMATION RATE PER MILLION PEOPLE OF 170.

13 Startup ORGANISATIONS

COMPANIES Court Record Solutions Group (UA) Guvera (established music tech) Oar Inspired (sport) Creative Hearts Group (transportation) HandleMyComplaint (other) Ollo Mobile (wearable) Startup companies founded after 2009, Credosity (productivity) Health Industy.com.au (other) Open Gear (infrastructure) along with key support organisations Cribhut.com (other) Health Risk Management Systems (other) Opmantek (communication) based in Queensland. (UA) indicates that CrowdSource Hire (marketplace) Hire Hive (other) Optii Solutions (productivity) the product type has not been identified. CryptoPhoto (security) Hitbox Team (game) OrderXYZ (marketplace) Cupid Media (other) HollaNote (mobile app) OtherLevels (UA) STARTUPS Curvy Market (marketplace) Hooked Up (education) Outfound (to pay) (Software (offline)) 13 Text (mobile app) Dark Ice Interactive (mobile app) Hotel App (UA) Oz Sonotek (financial or payment) 2 Dudez Studios (game) Daycare Decisions (education) Human Interactive (advertising) PayRespect (UA) 247 Systems (marketplace) BDS.com.au (daily deals) Hydric Media (mobile app) PeeP Digital (education) 2CRisk (other) Defiant Development (game) Hypermancer (media & news) Pelofy (social) 3 Blokes Studios (game) Dev-Audio (hardware + web) iEscape (transportation) Pineapple Corp (UA) 6YS (other) Devnet (hardware + web) ImagePro Studios (advertising) Pipe Games (game) 7bithero (game) Dextr (mobile app) ImmersaView (hardware + web) PLF Agritech (UA) Aberrant Entertainment (game) Dialogix (other) Infinite Wardrobe (marketplace) Presentation Sells (advertising) Adepto (other) Dimsdale & Kreozot United Games inKind (UA) Preveu (mobile app) Aerapay (other) Distractless (safety) Inkive (photography) Prevue (other) AgDNA (mobile app) DivingTheGoldCoast.com.au (other) Intaserve Group (UA) Qrate.tv (UA) Akro (analytics) Documaps.io (other) Integrated Monitoring Systems (analytics) Quantum Property (UA) Allotz.com (other) DoseMe (other) Intelligent Automation (electronics) R Fifteen (UA) Always Interactive/Schoolzine (comms) dp dialogue (other) iOnline (mobile app) Rabotica BVBA (UA) Ample Entertainment (game) Drone Hire (marketplace) iPledg (financial or payment) Red Sprite Studios (game) App-O-Matic (mobile app) Dugong Software (game) JADES Management Solutions (UA) RedEye Apps (productivity) Appenate (mobile app) Eat More Pixels (game) JobFit Systems Intnl (marketplace) RemarksPDF (mobile app) AppFactory (mobile app) Eclat (UA) JoggaDogg (UA) Retail Express (ecommerce) Appointuit (mobile health) eContent Management (UA) JW Shannon Engineers (Argus Acoustic) Riff Axelerator (video) Aquiba (electronics) EcoWise LED (startup) (infrastructure) Rinstrum (electronics) Athletable (other) Edgevertise (advertising) KaWoW! (game) RMSS (electronics) Attract Mode Games (game) EFTlab (analytics) KindyHub (mobile app) Rockabilly Kitchen (UA) Auditflow (desktop app) ekidnaworld (game) Kondoot (UA) RocketBunny Games (game) Auditor Training Online (education) Elastice (ecommerce) Krome Studios (game) RPS/Attract Mode Games (game) Auran (game) Ellume (mobile health) Krunk (UA) SafetyCulture (mobile app) Bane Games (game) EM Solutions (other) Language and Learning Steps (education) Screwtape Studios (game) Barefoot Entrepreneurs (financial) Ennova (other) LEAPIN Digital Keys (mobile app) Sea Safe (mobile app) BDS.com.au (e-commerce) Enthuse (sport) Lightmare Studios (game) See Out (other) BidHere.com (e-commerce) Euclideon (graphics) Liquid State (mobile app) SellaWhere (UA) Bill Hero (communication) Expat Digital Media (media & news) Little Dukkies Enterprises (UA) Senath (other) Binary Mill, The (game) Eyecon (game) Live Nourish Play (UA) Sensaware (wearable) Birthday Gorilla (advertising) Factorial Products (mobile app) Living Room of Satoshi (UA) Shovsoft (game) Bitcoin Brisbane (desktop app) Faraday Media (communication) Locatrix Communications (location) Siltek (UA) Biz Forms (desktop app) Fastabook (advertising) Locatrix International (UA) simPROVAL (infrastructure) BlackBird Solutions (desktop app) FathomHQ (analytics) Lost n Found (UA) Smooth Operator (financial or payment) Bliip (communication) Fitgenes (education) M2Media (hardware + web) Social Development Company (comms) Blue Quoll Publishing (mobile app) Five Faces (communication) Machinam (education) Softgineering (other) Blue Tropical (mobile app) Fizzio Fit (mobile health) Machine IQ (analytics) SoftPerfect (UA) BonzaDat (desktop app) Floor Five (ecommerce) Machinery Safety Systems (hardware) Spare Metres (infrastructure) Booty.com.au (marketplace) Food Matters (other) Mammoth Media (hardware + web) Splasheo (mobile app) Brandscope (customer relationship) Footballr (game) mandraIT (communication) Splitpack (hardware + web) Brisbane Art (Vegas Spray) (advertising) Fortune Innovation Brisbane (app) Mapely (UA) Sports Performance Accelerator (game) Brus Media (advertising) Freewill (UA) MassPay (UA) Squirrelr (financial or payment) Business Ready Tool (communication) Frelk Industries (electronics) MechTech Creations (hardware + web) StartHere (customer relationship) Cartesian Co (electronics) FreshTone Games (mobile app) memeBig.com (communication) Startups Australia (infrastructure) CartHopper (marketplace) Fun Mob Games (game) Mesaplexx (communication) Stats App (UA) CatchLog Trading (analytics) Fuzzyeyes Studio (game) MetaMunch (other) Studio Blimp (game) CB Aerospace (transportation) Geek Brain Games (game) Metaset (mobile app) Stylegrab (other) CBO Telecommunications (comms) Gen3 Media (advertising) Miiingle Technologies (UA) Subarashi (other) Cerebro (mobile app) Geoptima (other) Milaana (other) Swipeads (advertising) Churn.tv (media & news) Geospike (other) Mobile Communications (Qld) (other) T 2 Green (game) Clinicea (other) Ghostbox (game) Murry Lancashire (game) Tagly (communication) Cloubum (other) Gideon Shalwick (video) My Import Label (other) Tappr (financial or payment) Cloud DC (storage) Glanton (infrastructure) My Sunshine Coast (other) TechHatch (other) Cloudsafe365 (other) goACT (other) mypresences (other) The Allergy Menu (other) Cloudswirl (UA) goCatch Taxi App (transportation) Mystrata (other) The Core (social) Code Heroes (game) Gold Coast IT Forum (communication) N3V Games (game) The Creative Assembly (UA) Cohortpay (education) goStandby (marketplace) Nano Silicon (Australia) (mobile app) The Travel App (UA) Commission Factory (advertising) Grapple (productivity) NeCTAR (communication) TheyerGFX (3D printing) Composeright Software (other) GrassAds (advertising) New NRG (3D printing) Tiger Temple (UA) CoSituate (advertising) Grid Media (other) Nimble (established fin-tech) Total Range Design (communication) CouponIce (ecommerce) Guiix (mobile app) NRG (other) Tracknology (analytics)

14 TrekTraka (advertising) MEET GROUPS BY NO. MEMBERS* Bris. 3D Printing Meetup (46) Lean Launchpad (education) Trinity Software Australia (sport) The Bris. Web Design Group (1661) Gold Coast JavaScript Developers (41) Lean Startup Machine (education) Tripcover (financial or payment) Silicon Beach Bris. (1069) Bris. Coder Club (39) Literacy Planet (education program) Txt4Coffee (financial or payment) Agile Bris. (858) Queensland SilverStripe Meetup (37) Maroochydore Chamber of Commerce Typefi (other) Bris. Web Tech (823) Drupal Gold Coast (37) (education and training) Ubegin (other) Bris. Internet Business Meetup (705) The Data Warehousing Community (36) Mentor Blaze (event) UniMap (UA) BrisJS - Bris. JavaScript (613) Software Architctr & Project Design (36) Mentoring 4 Growth (event) V2i (health) Bris. .Net User Group (587) Sunshine Coast WordPress Meetup (35) Mobile Mondays (event) Veilability (marketplace) Bris. Functional Programming (560) Northern Rivers Bitcoin enthusiasts (5) MoboDev (advisor) Vendle (mobile app) Barcamp Queensland (541) Bris. Tableau User Group (33) NASA Space Apps Challenging (event) Victus Health (other) The Bris. Ruby and Rails (500) Bitcoin and Beyond (Gold Coast) (33) National Angels Conference (event) Volt4 (UA) AWS - Bris. User Group (500) Ruxmon Bris. (33) Qld Intractv Design Delegation (event) Walk Thru Walls Studios (game) WordPress Bris. (496) Bris. R User Group (BrisRUG) (32) Queensland University of Technology (edu) Well Placed Cactus (game) Silicon Beach Gold Coast (467) Bris. Game Design & CG Artists (30) Questions on Capital (event) We Are Hunted (music) Queensland JVM Group (446) Bris. Adobe User Group (29) QUT Bluebox (commercialisation arm) Where2Tonight (UA) Bris. SEO (425) ShopTalk eCommerce Meetup - Bris. (29) RiverPitch (event) WiFi Ads (UA) UX Bris. (402) Bris. Evernote Users Group (28) South by Southwest Delegation (event) Wikifashion (media & news) Gold Coast Techspace (349) Sitecore Bris. User Group (28) Startup Club Meeting (event) Wildfire Studios (game) Bris. Joomla Users Group (329) dotMaleny (26) Startup QLD (community enablement) Wishing Well Web Hosting (UA) Bris. Content Strategy Group (298) Bris. Spark Group (26) Startup Weekend - Brisbane (education) Witch Beam (game) Hackerspace Bris. (257) Queensland Puppet Meetup (26) Startup Weekend - Gold Coast (edu) WunderWalk (UA) Bris. Unity Developers (251) Ruby on Rails Gold Coast (22) Startup Weekend - SC (edu) XY Gaming (game) CocoaHeads (244) Dream. Design. Develop. Deliver. (21) State Library QLD (community) Y2 Investments (UA) Game Technology Bris. (243) Bris. ColdFusion (20) Sunday Coder Club (event) Yackstar (UA) Bris. Python User Group (241) Digital Dialog (17) Sunshine Coast Entrepreneurs (commu) ZipID (other) Bris. Azure User Group (239) Gold Coast WordPress Designers & Sunshine Coast TAFE (education) Zippy.com.au (marketplace/deals) Devops Bris. (233) Developers (16) Sunshine Coast Technorati (community) ZOVA (other) The Bris. NoSQL Group (198) Work@Jelly Noosa (16) Ted x Noosa (event) Queensland Bloggers (197) gsummitx - Gamification in Bris. (15) The Startup Club (community) IT Forum Gold Coast (171) 3D Printing Bris. (15) Uniquest (commercialisation arm) INCUBATION Bitcoin Bris. (157) THATCamp Bris. (13) University of Southern Queensland (edu) QUT Creative Enterprise Australia Bris. iOS and Android Group (133) Bris. Business Catalyst User (Partners) University of Sunshine Coast (edu) (seed accelerator / incubator) Project & Program Managers (127) Group Meetup (12) UQ - Ideas Network (community) iLab (seed accelerator) Gold Coast WordPress Network (126) Bris. Salesforce Dev. Group (12) Wavebreak (advisor) Innovation Centre Sunshine Coast (Inc) Lean Business Strategies (126) Creating an online presence for over 50s (10) Right Pedal Studios (seed accelerator) Coding from Beach (125) Bris. Salesforce Group (9) Silicon Lakes (incubator) Bris. Hacks for Humanity (123) Bris. AppDynamics with RP Data (9) Drupal Bris. (120) Startup Mastermind - Gold Coast (8) *Note many of these groups and events FUNDING Young Bris. IT Social (119) Information Server User Group Bris. (3) are not directly focused on startups, Hack the Evening (116) Godl Coast Salesforce User Group (3) but rather support activities around Accelerate Ideas (Gov grant) Byron Web (53) Search Factory Content Writers (1) digital technology. They are included as AMMA Private Equity (private equity) Docker Bris., Australia (108) Ubuntu Bris. Information Group (0) an indication of the level of interest in Artesian Capital (vc) Queensland C# Mobile Developers (103) digital technology, and are often feeders Australian Association of Angel Investors QLD ALM Users Group (95) EDUCATION, SUPPPORT & EVENTS* to people taking the leap into joining or Australian Small Scale Offerings Board Bris. Dynamics CRM User Group (94) Aust Centr for Entrprnrshp Resrch (edu) launching their own startup. Blue Sky Alternative Investments (vc) StartUp Mastermind Groups (85) Binary Options (education and training) Brisbane Angels (angel group) Bris. Software Testers Meetup (84) BizSpark Expressway (event) Budding Entrpnrs Grant (Gov grant) WordPress Gold Coast (82) Boardroom Briefings - IC (event) Commercialisation Australia (Gov grant) Open Knowledge Bris. Group (81) Bond University (education) Founders Forum (angel group) SAGE Queensland (80) Brisbane Intnl Game Developers Assoc. Gold Coast Angels (angel group) Bris. Inbound Marketing (78) Brisbane Startup Pitch Group (event) One Ventures (venture capital) Hacks/Hackers Bris. (72) Brisbane Writers Festival (event) Screen Australia (Gov grant) Rhok Bris. (71) Build my Robot (event) teQstart (Gov grant) Web Accessblty & Inclusv Design (69) Business Expo (event) Transition Level Investments (angel group) GDG - Bris. (69) Cleantech Expo (event) Uniseed (university fund) Startup Grind Bris. (67) Coder Dojo (education program) Cloud Solutions for Modrn Business (65) Creative Conference (event) CO-WORKING & HACKER SPACES Humbug (64) Culture Hack Gold Coast (hackathon) Data Vault & DWH modeling Group (64) Co-Spaces (coworking - Gold Coast) Enterprise Connect (events) Bris. Online Marketing Workshops (62) Cojimbo Coworking (coworking - SC) Game On Program (event) Big Data Analytics Group Bris. (61) Gold Coast Tech Space (coworking) Gemini Program (event) Queensland Legion of Tech (59) Hackerspace Brisbane (hackerspace) GO423 Symposium (event) Bris. OpenShift Group (58) Mowbraytown Co-Working Space (SC) Gov Hack (hackathon) Bluemix-Developers-in-Bris. (58) Noosa Boardroom (coworking - SC) Gov Open Data (hackathon) DevExpress User Group Bris. (57) River City Labs (coworking - Brisbane) Griffith University (education) Sunshine Coast Digital Association (55) Thoughtfort (coworking - Brisbane) Griffith Enterprise (commercialisation arm) HackerNest Bris. Tech Socials (53) Salt House (coworking - Brisbane) Insights (education and training) Bris. Data Scientists Group (51) Light Space (coworking - Brisbane) Institute for Future of the Book (edu) Bris. Big Data Analytics (47) Rabbit Hole Ideation Cafe (coworking) Investment Incentives (event) clj-bne (46) Work Club (coworking - Gold Coast) Kids Biz Conference (event)

15 KICKSTARTER QLD 80 70 60 50 40 30 20 10 0 100 80 60 40 20 0 Video Games $1,076,266 Product Design $160,230 Construction Technology $137,829 3D Printing $137,356 Documentary $61,825 Mining Animation $38,089 Tabletop Games $37,859 Ownership of Dwellings Design $23,746 Pop $20,660 Health Care and Social Assistance Accessories $14,043 Illustration $10,246 Manufacturing Music $9,368 Live Games $7,528 Transport, Postal and Warehousing Fiction $7,090 Painting $6,225 Webseries $5,517 Public Adminstration and Safety Food $5,325 People $3,934 Finance and Insurance Services Rock $3,115 Comics $2,796 Professional, Scientific and Technical Services Young Adult $2,506 Publishing $2,226 Wholesale Trade Architecture $2,040 Retail Trade

Education and Training

POZIBLE Agriculture Film $316,574 Music $312,822 Electricity Gas, Water and Waste Services Performance $180,488 Community $135,195 Writing $107,652 Rental and Real Estate Services Design $84,045 Art $71,791 Administrative Services Event $44,184 Photography $40,532 Communication Investors and Investments Social Enterprise $37,160 Comics $30,360 Accommodation and Food Services Video $30,046 FUNDING RAISED Fashion $24,849 Food & Drink $24,045 Other Services Other $12,226 Journalism $11,640 Art and Recreational Services TOTALTechnology FUNDING RAISED - ALL TECH $5,737 TOP 35 RAISES AMOUNT YEAR #RNDS REGION EST FUNDING SOURCE Research $3,480 Guvera $45,000,000 09, 10, 12 4 Gold Coast 2008 AMMA Private Equity $Craft126M $160 Nimble $18,300,000 12,13,14 ~3 Gold Coast 2005 Acorn, Monash Inv, Angels Total venture capital, private equity, government grants, Euclideon $3,969,304 2010 1 Brisbane 2010 CA, Unknown crowdfunding and angel funding raised by startups and established digital technology companies located SafetyCulture $3,600,000 2013 1 Regional 2004 CA, Blackbird, Angels in Queensland, from 2009 to July 2014. Based on data fromCOMPUTER Crunchbase, GAME Angel SALES List, research and interviews. Halfbrick Studios $3,000,000 2011 1 Brisbane 2001 NSW Interactive Media Fund $3B No. CO & GROUPS: FOUNDED TOTAL FUNDING RAISED - STARTUPS 3000000 Other Levels $2,528,853 2012 2 Brisbane 2012 Confidential $2B Digital - Queensland $1.5B $1.61B 2500000 Digital - Australia ImmersaView $2,449,805 2013 2 Brisbane 2006 DIISRTE, CA, Unknown $ 2000000 2037M11 2012 2013 2017 All Categories - Queensland Tappr $2,420,000 2013 2 Brisbane 2012 Unknown Total funding raised in Queensland from 2009 to July 2014 by Startups established after 2009. 1500000 All Categories - Australia EM Solutions $2,397,984 1 Brisbane 1997 CA 1000000 Mesaplexx $1,849,804 2012 1 Brisbane 2007 CA, Unknown No. STARTUPS THAT RAISED FUNDING 500000 Rinstrum $1,824,370 1 Brisbane 2005 CA, Unknown TOP COMMUNITY ISSUES: RANKED BY WEIGHTED VOTES V2i $1,716,126 2011 1 Gold Coast 2000 CA, Unknown 99Raise Awareness/136 1 NumberEducation of Queensland startups (99) out of all digital 2 Cloud DC $1,600,000 13 & 14 2 Sunshine 2012 Angels, CA, Unknown technologyCulture companies (136) that raised funding. 3 Funding 4 Out of Credit Solutions $1,500,000 2012 1 Brisbane 2012 AMMA NGovernmento. ROUNDS Policy 5 Opmantek $1,500,000 2013 1 Gold Coast 2010 ASSOB, Confidential Collaboration & Networking 6 Procurement 7 From Concept To Completion $1,004,800 1 Brisbane 2010 CA, Unknown 116Infrastructure /165 8 Talent & Skills 9 Right Pedal Studios (accelratr) $1,000,000 2012 1 Brisbane 2012 Steven Baxter Number of funding rounds for startups (116) out of the totalLeadership number for all digital technology companies (165).10 Fitgenes $934,888 2012 1 Brisbane 2007 CA, Unknown MEDIAN FUNDING - STARTUPS Qs Semiconductor Australia $924,000 2009 1 Brisbane 2009 CA, Unknown TOP COMMUNITY ACTIONS: RANKED BY WEIGHTED VOTES JobFit Systems Intnl $900,000 2012 1 Brisbane 2013 CA, Unknown $Education Program 1 Form100,000 Leadership Group 2 Digital Queensland Court Record Solutions $839,280 2011 1 Brisbane 2010 CA, Unknown Median amount of total funding raised in Queensland forStartup startups. Apprentice Median for all digital technology 3 5 Lives Studios $830,400 2013 1 Brisbane 2013 Kickstarter companiesHighlight Successwas $200,000. Stories 4 Non-Digital Queensland Collaboration & Networking 5 mandraIT $830,080 2013 1 Sunshine 2012 CA, Unknown Attract Talent 6 Digital Rest of Australia AVERAGE FUNDING - STARTUPS Liquid State $805,000 2013 2 Brisbane 2011 Confidential, CA Communication Hub 7 Govt Incentive - Investment 8 Non-Digital Rest of Australia Kondoot $800,000 2012 1 Brisbane 2010 ASSOB $Hub 9 NBN371,000 Advocacy Group 10 Health Risk Management Sys. $767,402 1 Brisbane 2009 CA, Unknown Average amount of total funding raised in Queensland for startups. Average raised for all digital technology CatchLog Trading $745,198 2011 1 Regional 2005 CA, Unknown companies was $928,000. FUNDING BY REGION Sea Safe $742,400 2013 2 Gold Coast 2004 CA, Unknown TOTAL RAISED BY YEAR - ALL DIGITAL CO. ($) Defiant Development $704,095 2013 x2 2 Brisbane 2010 Screen Australia, Kickstarter Region Unknown 35000000 34M Yackstar $667,836 1 Brisbane 2009 CA, Unknown 30000000 Sunshine Coast 27M 27M TrekTraka $650,000 12 & 13 2 Brisbane 2011 Confidential

Trinity Software Australia $601,600 1 Regional 2010 CA, Unknown Gold Coast 15M 13M Txt4Coffee $600,000 11 & 12 2 Brisbane 2010 Confidential 10M Brisbane goACT $600,000 1 Gold Coast 2010 CA, Unknown

Appointuit $503,911 12 & 13 2 Brisbane 2010 Brisbane Angels 2009 2010 2011 2012 2013 2014

TOTAL INVESTED BY INVESTOR TYPE ($M) Private Equity $46.9M Venture Capital $20.2M FUNDING BY TECHNOLOGY Government Grant - Matched (CA) $19.6M Software (web and mobile) $108m Matched Funding (CA) $15.6M Software and Hardware $14.2m Individual Angel/s $10.9M Software (offline) $1.5m Angel Group $5.1M Silicon Chips & Semiconductors $1.0m Government Grant $4.3M Software (monil only) $1.0m Crowdfunding $1.4M 3D Printing $0.1m Accelerator $0.9M Advanced Robotics $0.1m Unknown $0.8M Corporate $0.2M

No. GROUPS FOUDNED PER YEAR BY REGION TOP 12 STARTUP BACKERS ($M) 15 AMMA $46.5M Commercialisation Australia $19.6M Acorn Capital $16.8M Transition Level Investments $3.5M 12 NSW Government Interactive Media Fund $3.0M Brisbane Angels Syndicate $2.8M ASSOB $2.3M Kickstarter $1.3M 9 Founders Forum $1.2M Blackbird Ventures $1.2M Screen Australia $0.7M iLab $0.6M 6

Q4 Q3 Q4 Q3 Q4 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2

ALL PROJECT FUNDING ON KICKSTARTER BY YEAR AND REGION 1500000 Brisbane

1200000 Northern Qld Gold Coast 900000 Sunshine Coast

600000

300000

0 KICKSTARTER QLD 80 70 60 50 40 30 20 10 0 100 80 60 40 20 0 Video Games $1,076,266 Product Design $160,230 Construction Technology $137,829 3D Printing $137,356 Documentary $61,825 Mining Animation $38,089 Tabletop Games $37,859 Ownership of Dwellings Design $23,746 Pop $20,660 Health Care and Social Assistance Accessories $14,043 Illustration $10,246 Manufacturing Music $9,368 Live Games $7,528 Transport, Postal and Warehousing Fiction $7,090 Painting $6,225 Webseries $5,517 Public Adminstration and Safety Food $5,325 People $3,934 Finance and Insurance Services Rock $3,115 Comics $2,796 Professional, Scientific and Technical Services Young Adult $2,506 Publishing $2,226 Wholesale Trade Architecture $2,040 Retail Trade

Education and Training

COMPUTER GAME SALES $3B No. CO & GROUPS: FOUNDED 3000000 $2B Digital - Queensland $1.5B $1.61B 2500000 Digital - Australia

2000000 2011 2012 2013 2017 All Categories - Queensland 1500000 All Categories - Australia

1000000 Investors and Investments 500000 TOPFUNDING COMMUNITY ISSUES: RANKED BY WEIGHTED VOTES Raise Awareness 1 Education 2 Culture 3 FundingCURRENT FUNDING LEVELS 4 AVG FUND POOL PER YEAR - ALL TECH FUNDING PER CAPITA - ALL TECH GovernmentThe report’s Policyfunding data covers the January 2009 to 5 CollaborationJuly 2014 period & Networking and includes all digital technology 6 $ $ companies in Queensland with publicly available Procurement 7 22.9M 4.90 information. It includes both investments and Based on total funding raised over five and a half years. Average fund pool per year divided by Queensland Infrastructuregovernment grants (where no equity was exchanged).8 Average total fund pool for startups was $6.7m. population. Startup per capita funding was $1.43. Talent & Skills 9 This report identified 136 digital technology companies Leadership 10 that ran 165 separate funding rounds, 99 of which are 26, 27, 28 TOTAL RAISED BY LEAD FUND TYPE VENTURE CAPITAL PER CAPITA startups by this report’s definition. $126m was raised in total, which gives an average $23m per year, or $4241 Private Equity $46.5m Silicon Valley $4.90 per capita per year invested in digital technology Israel $183 companies for Queensland. The median total funding Government Fund (CA)* $36.5m TOP COMMUNITY ACTIONS: RANKED BY WEIGHTED VOTES raised for all digital technology companies was $200k, USA $81 Individual Angel/s $18.4m Educationbut the average Program total raised was much higher at $928k,1 Switzerland $74 and the average size of a funding round was $765k. The Venture Capital $12.0m Form Leadership Group 2 Digital Queensland $54 averages are high due to a small number of large raises, Norway Angel Group $5.5m Startupparticularly Apprentice one very large raise ($45m) for Guvera - 3a Melbourne Cup Bets $52 $4.1m Non-Digital Queensland Highlightmusic streaming Success service. Stories 4 Government Fund (other) Australian Bio-tech $44 Collaboration & Networking 5 Crowdfunding $1.4m Funding levels within Queensland are on par with norms Sweden $40 Digital Rest of Australia Attractacross AustraliaTalent for startup investment - between $4 6 Accelerator $1.0m Finland $28 Communicationto $6 per capita perHub year. However, local and national7 Other $0.4m Denmark $16 Govtnorms Incentive are well -below Investment global startup investment norms8 Non-Digital Rest of Australia and best practice which ranges between $30 to over Corporate $0.2m France $15 Hub$3,000 per capita per year. 9 Friends & Family $0.2m Britain $15 NBN Advocacy Group 10 When examining the source of funding, private equity 0 10000000 20000000 30000000 40000000 50000000 2012 Aus Olympic Team $14 comes out as the leader $47m or 37% of all funding, Ireland $14 TOTAL FUNDING BY FUND TYPE driven primarily by AMMA’s $45m investment in TOTAL FUNDING BY INVESTOR TYPE Netherlands $14 Guvera. Government funding comes out as the second FUNDING BY REGION $46.9m largest source of funding, both in total amount of Private Equity Belgium $12 funding ($24m or 19% of all funding by type) and Government Fund (CA) $19.6m New Zealand $11 total raised by lead investor ($41m or 32% of funding). Individual Angel/s $18.0m Austria $8 Region Unknown 35000000 Government funding is almost entirely made up of $15.6m funding from the Commercialisation Australia program, Unknown (Matched Funding) Perth (incl govt) $5.66 30000000 ~$20m or 16% of total funding, which attracted Venture Capital $13.4m Queensland $4.90 matched funding of $18m (14% of all funding) from Sunshine Coast Angel Group $5.1m $4.09 angels and VCs. It is noteworthy how effective CA was Australia in attracting risk capital into the sector. The third largest Government Fund (other) $4.3m Queensland (excl govt) $4.02 funding source is individual angels - $18m or 14% of Crowdfunding $1.4m Perth (excl govt) $2.96 Gold Coast all funding. Accelerator $0.9m 050100 150200 In Brisbane the project identified 115 raises totalling Unknown $0.8m FUNDING SOURCES Brisbane $45m by 101 companies across the five and half year Corporate $0.2m period. An average of ~$8m per year, and $4.03 per The top 12 funding sources, from AMMA to iLab capita.2009 For2010 startups only,2011 the report2012 identified2013 792014 startups provided 73% of all funding - approximately $92m that raised, with a median startup raise of $100,000 and dollars in total. It is interesting to note that these 12 an average round size of $317,000. TOP TWELVE FUNDING SOURCES only made up 16% of all the funding enties the report identified, ~70 in total. Within these top 12, the top 8 On the Gold Coast 21 raises totalling $69m by 14 digital $46.5m organisations provided 70% of all funding: AMMA, technology companies were identified. An average AMMA $19.6m Commercialisation Australia, Acorn Capital, Transition fund pool of $13m per year, and $24.60 per capita. The Commercialisation Australia Level Investments, NSW Government Interactive report identified 5 startups with a median startup raise Acorn Capital $10.0m Media Fund, Brisbane Angels Syndicate, ASSOB, and of $62,500 and an average round size of $453,000. Total $3.5m Blackbird Ventures - just 12% of all funding entities digital numbers on the Gold Coast are higher due to Transition Level Investments identified. TOTALAMMA’s INVESTED investment BY in INVESTOR Guvera (a TYPEmusic ($M)service) and NSW Government Interactive Media Fund $3.0m Acorn Capital’s $10m investment in Nimble (a financial $2.8m Privateservice). Equity Excluding these two outliers brings the$46.9M total Brisbane Angels Syndicate Vinvestmententure Capital to $5.7m, ~$1m invested per year, and$20.2M $2.03 ASSOB $2.3m TOTALFUNDING FUNDING BY TECHNOLOGY BY TECHNOLOGY TYPE per capita across all tech. Government Grant - Matched (CA) $19.6M $1.2m Blackbird Ventures Software (web and mobile) $108m Matched Funding (CA) $15.6M On the Sunshine Coast 18 raises totalling $5m+ by 13 Founders Forum $1.2m Software and Hardware $14.2m Individualtechnology Angel/s companies were identified. An average$10.9M fund 5 Lives Studios' Kickstarter Backers $0.8m Software (offline) $1.5m Angelpool of Group ~$1m per year and $2.91 per capita. 9 startups$5.1M with a median startup raise of $200,000 and an average Screen Australia $0.6m Silicon Chips & Semiconductors $1.0m Government Grant $4.3M round size of $294,000 were identified. $0.6m Software (monil only) $1.0m Crowdfunding $1.4M iLab 3D Printing $0.1m Accelerator $0.9M *Note this number includes both the government grant Advanced Robotics $0.1m Unknown $0.8M and the Matched Funding provided by participants. Corporate $0.2M 17

Q4 Q3 Q4 Q3 Q4 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2

ALL PROJECT FUNDING ON KICKSTARTER BY YEAR AND REGION 1500000 Brisbane

1200000 Northern Qld Gold Coast 900000 Sunshine Coast

600000

300000

0 0 20 40 60 80 100 0 10 20 30 40 50 60 70 80 QLD KICKSTARTER $1,076,266 Games ideo V $160,230 Design Product KICKSTARTERKICKSTARTER QLD QLD Construction 80 80 70 70 60 60 50 50 40 40 30 30 20 20 10 10 0 0 $137,829 100 100 echnology T 80 80 60 60 40 40 20 0 20 0 Video GamesVideo Games $1,076,266$1,076,266 $137,356 Printing 3D Product DesignProduct Design Mining $160,230$160,230 $61,825 ConstructionConstructionDocumentary TechnologyTechnology $137,829$137,829 $38,089 Animation 3D Printing3D Printing $137,356$137,356 Ownership of Dwellings of Ownership $37,859 Games abletop T DocumentaryDocumentary $61,825$61,825 Mining Mining $23,746 Design Animation Animation $38,089$38,089 Tabletop GamesTabletop Games Assistance Social $37,859and Care $37,859Health $20,660 OwnershipOwnership of Dwellings of DwellingsPop Design Design $23,746$23,746 $14,043 Accessories Pop Pop Manufacturing $20,660$20,660 Health$10,246 CareHealth and Care Social and Assistance Social AssistanceIllustration AccessoriesAccessories $14,043$14,043 $9,368 Music Illustration Illustration $10,246$10,246 $7,528 Games Live arehousing W and Postal ransport, T ManufacturingManufacturing Music Music $9,368 $9,368 $7,090 Fiction Live GamesLive Games $7,528 $7,528 Transport,$6,225 Transport, Postal and Postal Warehousing and WarehousingPainting Fiction Fiction Safety and $7,090Adminstration $7,090Public $5,517 ebseries W Painting Painting $6,225 $6,225 $5,325 Food Webseries Webseries $5,517 $5,517 Public AdminstrationPublic Adminstration and Safety and Safety Finance and Insurance Services Insurance and Finance $3,934 People Food Food $5,325 $5,325 $3,115 Rock People People $3,934 $3,934 Finance Financeand Insurance and Insurance Services Services $2,796 Comics Rock Rock Services echnical T $3,115and $3,115Scientific Professional, Comics Comics $2,796 $2,796 Professional,Professional, Scientific$2,506 Scientific and Technical and T Servicesechnical ServicesAdult oung Y Young AdultYoung Adult rade T Wholesale $2,506 $2,506 $2,226 Publishing Publishing Publishing $2,226 $2,226 $2,040 WholesaleWholesale Trade TradeArchitecture ArchitectureArchitecture rade T Retail $2,040 $2,040 Retail TradeRetail Trade raining T and Education EducationEducation and Training and Training POZIBLE POZIBLE POZIBLE Agriculture $316,574 AgricultureAgricultureFilm Film Film $316,574$316,574 $312,822 Music Music Music Services aste W and $312,822ater W $312,822Gas, Electricity ElectricityElectricity Gas,$180,488 Water Gas, and W Wateraste and Services Waste ServicesPerformance PerformancePerformance $180,488$180,488 CommunityCommunity $135,195$135,195 $135,195 Community Rental and Real Estate Services Estate Real and Rental Writing Writing $107,652$107,652 Rental$107,652 andRental Real and Estate Real Services Estate Servicesriting W Design Design $84,045$84,045 $84,045 Design Art Art Services $71,791Administrative $71,791 $71,791 AdministrativeAdministrative Services ServicesArt Event Event $44,184$44,184 $44,184 Event PhotographyPhotography $40,532$40,532 Communication $40,532 CommunicationCommunicationPhotography Social EnterpriseSocial Enterprise $37,160$37,160 $37,160 Enterprise Social Comics Comics $30,360$30,360 Accommodation$30,360 Accommodation and Food andServices Food ServicesComics Video Video Services Food and $30,046$30,046 Accommodation $30,046 ideo V Fashion Fashion $24,849$24,849 $24,849 Fashion Food & DrinkFood & Drink $24,045$24,045 Other ServicesOther Services Other Services Other $24,045 Drink & Food Other Other $12,226$12,226 $12,226 Other Journalism Journalism $11,640$11,640 Art and RecreationalArt and Recreational Services Services TechnologyTechnology Services Recreational $5,737and $5,737Art $11,640 Journalism Research Research $3,480 $3,480 Kickstarter and Pozible $5,737 echnology T Craft Craft $160 $160 $3,480 Research CROWD FUNDING $160 Craft

COMPUTERCOMPUTER GAME SALES GAME SALES AMOUNT RAISED BY YEAR ON KICKSTARTER All Categories - Australia All Categories - Queensland Digital - Australia Digital - Queensland No.No. CO CO && GROUPS: FOUNDED FOUNDED $3B $3B KICKSTARTER QLD SALES GAME COMPUTER 30000003000000 80 70 60 50 40 30 20 10 0 100 80 60 40 20 0 No. CO & GROUPS: FOUNDED GROUPS: & CO No. $2B $2B Video Games $1,076,266 $3B Digital - QueenslandDigital - Queensland $1.61B$1.61B $1.5B $1.5B 25000002500000 3000000 Product Design $160,230 ueensland Q - ital g Di $2B Digital - AustDiraliagital - Australia Construction Technology $137,829 20000002000000 2500000 $1.61B $1.5B alia r ust A - ital g Di 2011 20120121 20122013 20132017 2017 3D Printing $137,356 All CategoriesAll - CQaueenslandtegories - Queensland Mining ueensland Q - ies r ego t a C ll A 15000001500000 2000000 Documentary $61,825 All CategoriesAll - CAausttegoraliaries - Australia Animation $38,089 2017 2013 2012 1 1 20 10000001000000 alia r ust A - ies r ego t a C ll A 1500000 Tabletop Games $37,859 Ownership of Dwellings 500000500000 Design $23,746 1000000 TOP COMMUNITYTOP COMMUNITY ISSUES: RANKED ISSUES: RANKED BY WEIGHTED BY WEIGHTED VOTES VOTES Pop $20,660 Health Care and Social Assistance Accessories $14,043 Raise AwarenessRaise Awareness 1 1 500000 2009 2010 Illustration 2011 $10,2462012 2013 2014 Education Education 2 2 VOTES WEIGHTED BY RANKED ISSUES: COMMUNITY TOP Manufacturing Culture Culture 3 3 Music $9,368 1 wareness A Raise Funding Funding 4 4 CROWDFUNDING IN AUSTRALIA 2009 - 2014: QLD VS AUSTRALIA.Live Games DIGITAL VS OTHER $7,528 2 CROWDFUNDING DIGITAL - QLD Education Transport, Postal and Warehousing GovernmentGovernment Policy Policy 5 5 Fiction $7,090 3 Culture CollaborationCollaboration & Networking & Networking 6 6 $1,358,172Painting $6,225 7 7 Digital Queensland 4 Funding Public Adminstration and Safety ProcurementProcurement Webseries $5,517 $1,358,172 InfrastructureInfrastructure 8 8 5 Policy Government Food $5,325 Talent & SkillsTalent & Skills 9 9 6 Total Amount Raised for DigitalNetworking Technology& projectsCollaboration $1,900,915People $3,934 Finance and Insurance Services Leadership Leadership 10 10 Non-Digital Queensland 7 on both Kickstarter and Pozible by Queensland startupsProcurement Rock $3,115 2009 - 2014 8 Infrastructure Comics $2,796 Professional, Scientific and Technical Services 9 Skills & alent T $Young4,393,417 Adult $2,506 10 GAME PROJECTS QLD 2013 Leadership TOP COMMUNITYTOP COMMUNITY ACTIONS: ACTIONS: RANKED RANKED BY WEIGHTED BY WEIGHTED VOTES VOTES DigitalPublishing Rest of Australia $2,226 Wholesale Trade Education ProgramEducation Program 1 1 Architecture $2,040 DigitalDigital Queensland Queensland Form LeadershipForm LeadershipGroup Group 2 2 $18,976,424 $1,022,171 Retail Trade Startup ApprenticeStartup Apprentice 3 3 Non-Digital Rest of Australia VOTES WEIGHTED BY RANKED ACTIONS: COMMUNITY TOP Highlight SuccessHighlight Stories Success Stories 4 4 Non-DigitalNon-Digital Queensland Queensland 2013 was a big year for Queensland games on CollaborationCollaboration & Networking & Networking 5 5 1 crowdfunding platforms with 31% ($1m)Program of all Education Education and Training KICKSTARTER: AMOUNT RAISED POZIBLE: AMOUNT RAISED Crowdfunding in Queensland from 2009 to 2014 Attract TalentAttract Talent 6 6 Queensland DigitalDigital Rest Rest of ofAustralia Australia 2 Group Leadership Form ($3.3m) raised by three local studios 5 Lives Studios, TOPKICKSTARTER CATEGORIES QLD 2009 - 2014 ALLPOZIBLE CATEGORIES 2009 - 2014 CommunicationCommunication Hub Hub 7 7 80 70 60 50 40 3 N3V30 Games and20 Defiant Development.10 Apprentice 0 Startup 100 80 60 Agriculture40 20 0 Govt IncentiveGovt - IncentiveInvestment - Investment 8 8 Video GamesQueensland Non-DigitalNon-Digital Rest Rest of Australiaof$1,076,266 Australia Film $316,574 4 Stories Success Highlight Hub Hub 9 9 Product Design $160,230 Music $312,822 5 Networking & Collaboration SATELLITE REIGN Construction Electricity Gas, Water and Waste Services NBN AdvocacyNBN Group Advocacy Group 10 10 TechnologyAustralia of Rest Digital $137,829 Performance $180,488 6 alent T Attract 3D Printing $137,356 Community $135,195 7 Hub Communication Writing $107,652 Mining Rental and Real Estate Services DocumentaryAustralia of Rest Non-Digital $61,825 8 $830,400Investment - Incentive Govt FUNDINGFUNDING BY REGION Design $84,045 Animation $38,089 9 Hub Art $71,791 Satelite Reign is a real-time, class-based strategy game, Administrative Services Tabletop Games $37,859 10 Group Advocacy NBN Ownership of Dwellings Event $44,184 set in an open world cyberpunk city. Produced by 5 Region UnknRoewngion Unknown Design $23,746 Lives Studios - the creator of Syndicate Wars - this 35000000 35000000 Photography $40,532 Pop $20,660 project raised 25% of all Crowdfunding in Queensland Health Care and Social Assistance Communication 30000000 30000000 Social Enterprise $37,160 over the last 5 years. 5 Lives was founded in 2013 by Accessories REGION BY $14,043FUNDING Comics $30,360 Dean Ferguson, Chris Conte, Mitch Clifford, Brent Sunshine CoastSunshine Coast Illustration $10,246 Accommodation and Food Services Video $30,046 Waller and Mike Diskett. Manufacturing Music $9,368 wn o n k Un ion g e R Fashion $24,849 Live Games $7,528 Gold Coast Gold Coast Food & Drink $24,045 TRAINZ SIMULATOR 35000000 Transport, Postal and Warehousing Other Services Fiction $7,090 Other $12,226 30000000 oast C Sunshine Painting $6,225 Brisbane Brisbane Journalism $11,640 Public Adminstration and Safety Art and Recreational Services Webseries $5,517 Technology $5,737 $191,771 2009 20102009 20201011 20122011 20122013 20132014 2014 Food $5,325 Research $3,480 Already with a large following N3V Games (formerly oast C old G People $3,934 Finance and Insurance Services Craft $160 Auran - founded in 1991) raised near $200k to fund the Rock $3,115 rebuild and relaunch one of the world’s favourite rail isbane r B Comics $2,796 simulators. Professional, Scientific and Technical Services Young Adult $2,506 Publishing $2,226 2014 2013 2012 1 1 20 2010 2009 Wholesale Trade Architecture $2,040 Blue bars indicate projects that involve digital technology. TOTAL INVESTEDTOTAL INVESTED BY INVESTOR BY INVESTOR TYPE ($M) TYPE ($M) COMPUTER GAME SALES No. CO & GROUPS: FOUNDED Retail Trade Private EquityPrivate Equity $46.9M$46.9M 18 $3B Venture CapitalVenture Capital $20.2M$20.2M FUNDINGFUNDING BY TECHNOLOGY 3000000 Digital - Queensland GovernmentGovernment Grant - Matched Grant - (CA)Matched (CA) $19.6M$19.6M $2B Education and Training SoftwareSoftware (web andand mobile) mobile) $108m$108m $1.5B $1.61B Matched FundingMatched (CA) Funding (CA) $15.6M$15.6M 2500000 SoftwarePOZIBLESoftware and Hardware $14.2m$14.2m Digital - Australia Individual Angel/sIndividual Angel/s $10.9M$10.9M SoftwareSoftware (offline) $1.5m$1.5m Agriculture Angel GroupAngel Group $5.1M $5.1M Film $316,574 2000000 All Categories - Queensland SiliconSilicon ChipsChips & SemiconductorsSemiconductors $1.0m$1.0m 2011 2012 2013 2017 ($M) TYPE TYPE INVESTOR INVESTOR BY BY INVESTED INVESTED TOTAL TOTAL GovernmentGovernment Grant Grant $4.3M $4.3M Music $312,822 SoftwareSoftware (monil only)only) $1.0m$1.0m 1500000 Electricity Gas, Water and Waste Services CrowdfundingCrowdfunding $1.4M $1.4M Performance $46.9M Equity Private All Categories - Australia 3D3D Printing Printing $180,488$0.1m$0.1m AcceleratorAccelerator $0.9M $0.9M Community TECHNOLOGY BY $135,195FUNDING $20.2M Capital enture V AdvancedAdvanced Robotics $0.1m$0.1m 1000000 Unknown Unknown $19.6M (CA) Matched - Grant Government Rental and Real Estate Services $0.8M $0.8M $108m Writing mobile) and (web $107,652Software Corporate Corporate $0.2M $0.2M $15.6M (CA) Funding Matched $14.2m Design Hardware and Software $84,045 500000 Art $71,791 $10.9M Angel/s Individual $1.5m fline) f (o Software TOP COMMUNITY ISSUES: RANKED BY WEIGHTED VOTES Administrative Services Event $44,184 $5.1M Group Angel $1.0m Semiconductors & Chips Silicon Raise Awareness 1 Photography $40,532 $4.3M Grant Government $1.0m NNoo. .GROUPS GROUPS FOUDNEDFOUDNED PER PERonly) YEAR YEAR (monil BY BY REGION REGIONSoftware Education 2 Communication Social Enterprise $37,160 Crowdfunding TOP 12 STARTUPTOP 12 STARTUPBACKERS BACKERS ($M) ($M) $1.4M 1515 $0.1m Printing 3D Culture 3 Comics $30,360 $0.9M Accelerator AMMA AMMA $46.5M$46.5M $0.1m Robotics Advanced Funding 4 Accommodation and Food Services Video $30,046 $0.8M Unknown CommercialisationCommercialisation Australia Australia $19.6M$19.6M Government Policy 5 Fashion $24,849 $0.2M Corporate Acorn CapitalAcorn Capital $16.8M$16.8M Collaboration & Networking 6 Food & Drink $24,045 Other Services Transition LevelTransition Investments Level Investments $3.5M $3.5M 1212 Other $12,226 Procurement 7 NSW GovernmentNSW Government Interactive Interactive Media Fund Media Fund$3.0M $3.0M Journalism $11,640 Infrastructure 8 Brisbane AngelsBrisbane Syndicate Angels Syndicate $2.8M $2.8M Art and Recreational Services $5,737 Talent & Skills 9 ASSOB ASSOB $2.3M $2.3M TechnologyREGION BY YEAR PER FOUDNED GROUPS . o N Leadership 10 Research $3,480 ($M) BACKERS STARTUP 12 TOP Kickstarter Kickstarter $1.3M $1.3M 99 15 Craft $160 Founders ForumFounders Forum $1.2M $1.2M $46.5M AMMA Blackbird VBlackbirdentures Ventures $1.2M $1.2M $19.6M Australia Commercialisation Screen AustraliaScreen Australia $0.7M $0.7M TOP COMMUNITY ACTIONS: RANKED BY WEIGHTED VOTES$16.8M Capital Acorn iLab iLab $0.6M $0.6M 66 12 $3.5M Investments Level ransition T Education Program 1 $3.0M Fund Media Interactive Government W NS Form Leadership Group 2 Digital Queensland COMPUTER GAME SALES $2.8M Syndicate Angels Brisbane Startup Apprentice 3 $2.3M No. CO & GROUPS: FOUNDED ASSOB 33 $3B Highlight Success Stories 4 Non-Digital Queensland 9 $1.3M Kickstarter Collaboration & Networking 5 3000000 $2B $1.2M Forum Founders Digital - Queensland $1.61B Attract Talent 6 Digital Rest of Australia $1.5B $1.2M 2500000 entures V Blackbird Communication Hub 7 Digital - Australia 00 $0.7M Australia Screen Non-Digital Rest of Australia Govt Incentive - Investment 8 2000000 201Q4Q41 2012Q3Q3 Q4Q4 2013Q3Q3 Q4Q4 2017Q26 Q2Q3 Q3Q4 Q4 Q1 Q2Q1 Q3Q2 Q4Q3 Q4 Q2 Q3 Q2Q4 Q3 Q4Q1 $0.6M Q2 Q1Q3 Q2Q4 Q3 Q1Q4 Q2 Q3Q1 Q4Q2 Q3iLab Q1 Q4Q2 Q1 Q2 All Categories - Queensland Hub 9 NBN Advocacy Group 10 1500000 All Categories - Australia

1000000 3 FUNDING BY REGION 500000 ALLALLTOP PROJECT PROJECTCOMMUNITY FUNDINGFUNDING ISSUES: ON ON RANKED KICKSTARTER KICKSTARTER BY WEIGHTED BY BYYEAR YEAR VOTES AND AND REGION REGION

15000001500000 Raise Awareness 1 Region Unknown 35000000 Education 0 2 BrisbaneBrisbane 30000000 Q2 Q1 Q4 Q3 Q2 Q1 Q4 Q3 Q2 Q1 Q4 Q3 Q2 Q4 Q3 Q2 Q1 Q4 Q3 Q2 CultureQ4 Q3 Q4 Q3 Q4 3 Sunshine Coast Funding 4 12000001200000 Government Policy 5 NortheNorn rQldthern Qld Collaboration & Networking 6 Gold Coast Procurement 7 Infrastructure 8 Gold CGoastold Coast 900000900000 Talent & Skills 9 Brisbane ALL PROJECT FUNDING ON KICKSTARTER BY YEAR AND REGION AND YEAR BY KICKSTARTER ON FUNDING PROJECT ALL Leadership 10 SunshineSunshine Coast Coast 1500000 2009 2010 2011 2012 2013 2014 isbane r B 600000600000

TOP COMMUNITY ACTIONS: RANKED BY WEIGHTED VOTES n Qld n r the r No Education Program 1 1200000 300000300000 Form Leadership Group 2 Digital Queensland Startup Apprentice 3 Non-Digital Queensland oast C old G Highlight Success Stories 4 TOTAL INVESTED BY INVESTOR TYPE ($M) Collaboration & Networking 5 900000 00 Private Equity $46.9M Attract Talent 6 Digital Rest of Australia Venture Capital $20.2M FUNDING BY TECHNOLOGY oast C Sunshine Communication Hub 7 Government Grant - Matched (CA) $19.6M Govt Incentive - Investment 8 Non-Digital Rest of Australia Software (web and mobile) $108m Matched Funding (CA) $15.6M Hub 9 600000 Software and Hardware $14.2m Individual Angel/s $10.9M NBN Advocacy Group 10 Software (offline) $1.5m Angel Group $5.1M Silicon Chips & Semiconductors $1.0m Government Grant $4.3M Software (monil only) $1.0m Crowdfunding $1.4M 300000 FUNDING BY REGION 3D Printing $0.1m Accelerator $0.9M Advanced Robotics $0.1m Unknown $0.8M Corporate $0.2M Region Unknown 35000000 0 30000000 Sunshine Coast No. GROUPS FOUDNED PER YEAR BY REGION TOP 12 STARTUP BACKERS ($M) 15 Gold Coast AMMA $46.5M Commercialisation Australia $19.6M Acorn Capital $16.8M Brisbane Transition Level Investments $3.5M 12 2009 2010 2011 2012 2013 2014 NSW Government Interactive Media Fund $3.0M Brisbane Angels Syndicate $2.8M ASSOB $2.3M Kickstarter $1.3M 9 Founders Forum $1.2M Blackbird Ventures $1.2M Screen Australia $0.7M iLab $0.6M 6 TOTAL INVESTED BY INVESTOR TYPE ($M) Private Equity $46.9M Venture Capital $20.2M FUNDING BY TECHNOLOGY Government Grant - Matched (CA) $19.6M Software (web and mobile) $108m 3 Matched Funding (CA) $15.6M Software and Hardware $14.2m Individual Angel/s $10.9M Software (offline) $1.5m Angel Group $5.1M Silicon Chips & Semiconductors $1.0m Government Grant $4.3M Software (monil only) $1.0m 0 Crowdfunding $1.4M 3D Printing $0.1m Q4 Q3 Q4 Q3 Q4 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Accelerator $0.9M Advanced Robotics $0.1m Unknown $0.8M Corporate $0.2M

No. GROUPS FOUDNED PER YEAR BY REGION ALL PROJECT FUNDING ON KICKSTARTER BY YEAR AND REGION TOP 12 STARTUP BACKERS ($M) 15 1500000 AMMA $46.5M Brisbane Commercialisation Australia $19.6M Acorn Capital $16.8M Transition Level Investments $3.5M 12 1200000 Northern Qld NSW Government Interactive Media Fund $3.0M Brisbane Angels Syndicate $2.8M ASSOB $2.3M Gold Coast Kickstarter $1.3M 9 900000 Founders Forum $1.2M Blackbird Ventures $1.2M Sunshine Coast Screen Australia $0.7M iLab $0.6M 6 600000

3 300000

0 0 Q4 Q3 Q4 Q3 Q4 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2

ALL PROJECT FUNDING ON KICKSTARTER BY YEAR AND REGION 1500000 Brisbane

1200000 Northern Qld Gold Coast 900000 Sunshine Coast

600000

300000

0 Investors and Investments FUND FLOW

Startup and Established Digital Technology Companies that received funding and the associated investors, directors and founders.

teQstart

Zippy

CloudMGR

RemarksPDF Brisbane Angels Liquid State StartUp BootCamp Budding Entrepreneurs Berlin Appointuit Gold Coast Grant Program Angels

Brandscope Yackstar CoSituate Grass Ads Commercialisation Australia SafetyCulture Bliip

Blackbird Ventures iLab Euclideon

OSHC Acorn Australia Capital Nimble Transition Qualcomm Level Hirehive Investments See Out

Ollo Mobile

Steven Baxter Y Combinator Guvera Creative Enterprise Out of Credit Australia Solutions Right Pedal River City Labs AMMA Studios NSW Government ASSOB Interactive Media Fund Halfbrick Studios

19 Meetup.com GROUPS

Groups from meetup.com related to startups, technology and entrepreneurship, with their organisers and venues. BrisJS - Brisbane Square Library Brisbane Brisbane Web Tech JavaScript The Brisbane Web Design Meetup Group

Barcamp Queensland UX Brisbane

Brisbane Internet Business Meetup River Silicon Brisbane Web Accessibility CityLabs Beach Brisbane & Inclusive Design Brisbane Hacks for Humanity

In a Day Rhok Brisbane Training

Brisbane SEO

Brisbane Amazon Web Microsoft .Net User Group Innovation Centre Services - Brisbane User Group Brisbane Functional Data Vault and Programming Group DWH modeling State Library of Queensland - The Edge interest group Agile Brisbane Robina Community Centre - Room 2.1

MEETUP GROUP STATS RIVER CITY LABS - BRISBANE RIGHT PEDAL STUDIOS – BRISBANE

9313 Members 3,500+ THREE Number of attendees over two and half years. Number of Game Studios in the first program.

3150 Events Founded in 2012 by Steve Baxter, River City Labs is Founded in 2012 with $250,000 investment by Steve Brisbane’s main co-working space for startups, with Baxter and managed by games veteran John Passfield, over 100 members ranging from early to established Right Pedal Studios is a seed accelerator for games startups. It has a network of 38+ mentors led by mentor- studios based in River City Labs - Fortitude Valley, 260 Venues in-residence Peter Laurie, and has been instrumental in Brisbane. Its alumni include Ghostbox (founded in 2012 getting Startup Weekend, Rails Girls Weekend and Lean by Troy Duguid, Dominic Drysdale, Cameron Pyke and Startup Machine to Brisbane. Over the past 2.5 years it Chris Webb) , GeekBrain Games (founded in 2012 by has run 150+ events, had 3,500+ pass through its doors, Don Kirkland) and Screwtape Studios (founded in 2011 109Groups been the venue for over 13 meetup groups, run the by Anthony Wood and Megan Summers). quarterly RiverPitch event, and been the home to Right Pedal Studios.

20 Growth accelerators INCUBATION

Organisations associated to the main incubators, accelerators and co-working spaces in SEQ. INNOVATION CENTRE

Food Matters Victus Health

Splasheo Future Oceans

Cavitus Cloud DC RIVER CITY LABS Typefi Schoolzine

YOLO Mobodev newNRG Code Heroes OrderXYZ Perfect Day RIGHT PEDAL Machine IQ Commision Factory STUDIOS Miji Stylegrab Ghostbox Geek Brain Games Swipeads

Tech Tidal Screwtape Studios ZipID Bane Games

Cloudsafe365

Bitcoin Brisbane Ollo Mobile HollaNote Eat More Pixels Y2 Investments Factorial Products PayRespect

Bliip Kindyhub WiFi Ads Cartesian Co Grapple Veilability Credosity Subarashi Lost n Found CB Aerospace Hire Hive

Hypermancer Elastice Krunk Sensaware

Spare Metres Tiger Temple Pokajot iEscape Footballr ILAB Miggy SILICON LAKES

ILAB - BRISBANE INNOVATION CENTRE - SUNSHINE COAST SILICON LAKES – GOLD COAST $70M+ 400+ TWO Total funding raised by startup alumni. Total jobs created by startup alumni. Trade missions to Silicon Valley for startup founders.

Established by the Queensland Government in 2000 Sitting on the edge of the University of the Sunshine Founded in 2012 by Aaron Birkby, Bill Bass and Greg as a startup incubator it was acquired in 2009 by Coast campus, the Innovation Centre has provided Burnett, Silicon Lakes is a non-profit incubator and UQ Holdings (later UniQuest), a subsidiary of The incubator services to 100+ startups in tech, clean co-working space in Robina. It has 12 startups in the University of Queensland. It currently runs two technology and health tech, since inception in 2002 by co-working space, has run over 20 events with 1,000+ seed-accelerator style programs alongside incubator USC. It has a network of 19+ mentors led by the Board attendees, held 3 Startup Weekends, one GovHack services for established startups. Over the past 14 of Directors, CEO Mark Paddenburg and entrepreneur- event, a NASA Space Apps Challenge event, organised years, with funding from the Queensland Government, in-residence Dean Alle. Over the past 12 years, with 2 trade missions to Silicon Valley and helped launch it has incubated 100+ startups companies and helped funding from the Queensland Government, it has run 54 startups. It recently won a tender to establish an them raise $70m+ in grants and investment & directly 148 events with 6,000+ attendees, helped member accelerator program for which they are also raising an generated nearly 400 technology jobs. startups create 400+ jobs, and raise $26m+. investment fund. Moving to larger premises shortly!

21 Startup KEY NODES

Startups, their employees, and key community builders such as incubators and funds, along with their employees. Links are professional relationships via Linkedin.

Ellume RedEye Apps Ghostbox Amma River Right City Pedal Labs Studios Mesaplexx TrekTraka

Txt4Coffee Stephen Baxter Transition Brisbane Level ZOVA Angels Investments Auditflow

Gold Food SwipeAds Appointuit Matters Liquid Coast State Angels cohortpay

Inkive Five Faces Zippy Innovation Centre Euclideon Milaana Cloud DC Commercialisation Australia

CoSituate Distractless Commission Factory Budding Cartesian Co Adepto Entrepreneurs iLab Silicon Lakes Grant Halfbrick

Tappr

22 Network CENTRALITY

PEOPLE ORGANISATIONS & EVENTS 30 Most Central People Ranked by > 30 Most Central Organisations & Events Ranked by >

Rank Votes Betweenness Votes Between 1 Colin Kinner Colin Kinner iLab Commercialisation Australia 2 Peter Laurie Paul Jones River City Labs iLab 3 John Mactaggart Stephen Baxter Brisbane Angels River City Labs 4 Anna Rooke John Scott Startup Weekend - Brisbane Appointuit 5 Ruth Drinkwater Chris Macaulay Association of Angel Investors Bliip 6 Peta Ellis Ian Dutka Centre for Entrepreneurship Research Budding Entrepreneurs Grant 7 Ian Connor Michelle Kazukaitis Arts Queensland CoSituate 8 Aaron Birkby Rick Anstey Queensland University of Technology Silicon Lakes 9 Richard Moore Tony Winters Silicon Beach - Brisbane Innovation Centre 10 Sue Swinburne Greg Searle Startup QLD Distractless 11 Christy Dena Andrey Shirben Founders Forum PeeP Digital 12 Greg Burnett Daniel Harman Gold Coast Angels Future Oceans 13 Jock Blair Danielle Bennett QUT Creative Enterprise Australia cohortpay 14 Dean Alle Alhusayn Hamidaddin Halfbrick Studios Credosity 15 Mark Paddenburg Drew Leishman River Pitch OtherLevels 16 Steve Dalton John Lambie Innovation Centre - SC Brisbane Angels 17 Clarence Tan Karen Bracher iPledge Transition Level Investments 18 Rick McElhinney Matthew Clarkson Startup Weekend - SC TrekTraka 19 Tanya Lipus Jackie Stapleton Silicon Lakes Euclideon 21 Bryan Vadas Kellie Rainbow Cartesian Co Liquid State 21 Bernie Woodcroft Marie Ewings Coder Dojo Right Pedal Studios 22 Cieron Cody Matthew Evans Creative Conference Sea Safe 23 Cole Wilkinson Nick Drewe Idea Network Cartesian Co 24 Elaine Stead Stephen Colbran Microsoft Innovation Centre Ample Entertainment 25 Guy Jones Stephen Walsh Ollo Mobile Five Faces 26 Hans Van Vilet Sean Edwards QUT Bluebox Milaana 27 Josh Tanner Tony Lee State Library of Queensland Swipeads 28 Kieran O’Hea Adam M ASSOB Cloud DC 29 Kristen Souvils Andy Tompkins City of Gold Coast Optii Solutions 30 Tim Kastelle Ashley Pearson-Adams Wavebreak Ghostbox

METHODOLOGY As part of the project three workshops, one in each In addition the relationships between people within the region, with 66 key members of the ecosystem were startup ecosystem on Linkedin, Angel List, Crunchbase “There’s a temptation in our networked age to think held. Participants were asked to map the community and Meetup, were aggregated and analysed using an that ideas can be developed by email and iChat. That’s and vote on the key people, organisations and events in algorithm to calculate a network centrality score for all crazy. Creativity comes from spontaneous meetings, the ecosystem. The two columns above, labelled Votes, the nodes in the network. There are several measures from random discussions. You run into someone, you display the community votes weighted proportionately of centrality. This report uses a common measure of ask what they’re doing, you say ‘wow,’ and soon you’re to the relative sizes of each region’s population and network centrality - Betweenness - to identify the top 30 cooking up all sorts of ideas.” Steve Jobs ranked accordingly. people and organisations. Network centrality is a measure of the density of a person or organisation’s interconnectedness with a network and density of relationships. It is a strong factor in entrepreneurial success, and is a great indicator of how likely you are to have spontaneous meetings and random discussions. Also if you want to be introduced to a particular person, someone more central in a network will be more likely to know them.

23 South East Queensland LOCATION

24 Location, Place and ENTREPRENEURIAL DENSITY

“PLACE IS SUPPLANTING THE INDUSTRIAL CORPORATION AS THE KEY ECONOMIC AND SOCIAL ORGANIZING UNIT OF CAPITALISM. DENSITY, THE CLUSTERING OF CREATIVE PEOPLE – IN CITIES, REGIONS, AND NEIGHBOURHOODS - PROVIDES A KEY SPUR TO INNOVATION AND COMPETITIVENESS.” RICHARD FLORIDA19

No. GROUPS BY SUBURB While formal office locations are useful indicators of where creative people are based, they spend an 55 Brisbane increasing amount of the time outside their registered Brisbane CBD 35 office addresses (assuming they have one at all) in South Bank 22 what Richard Florida calls the “4th space”: central, Robina 20 easily accessible places where people can network in a leisurely but intensively productive manner. Co-working Fortitude Valley 12 spaces, incubators and web cafés are examples of this Toowong 8 trend. Parklands Drive 6 Southport 5 To identify these alternate spaces and map Bundall, East Brisbane, (#each) 4 entrepreneurial density across SEQ all the public geo- Helensvale, Maleny, Spring Hill, (#each) 3 tagged posts in SEQ from Meetup, Twitter, Instagram 0 10 20 30 40 50 60 and Linkedin were collected and filtered by people within the ecosystem, to identify specific locations beyond the office that participants in this ecosystem No. GROUPS: VENUE frequent. State Library of Queensland / The Edge 31 Silicon Lakes / Robina Comnty Cntr / Tech Space 23 Brisbane Central Business District, Brisbane’s Southbank, Robina, Fortitude Valley and Toowong come Microsoft Innovation Center 15 out with the most entrepreneurial density. River City Labs 13 Brisbane Square Library 12 Grand Central Hotel 11 QUT 10 Red Hat Brisbane, Innovation Centre - SC 8 Griffith University 7 Toowong Library, Suncorp & Bond Uni (#each) 6 0 5 10 15 20 25 30 35

25 KICKSTARTER QLD 80 70 60 50 40 30 20 10 0 100 80 60 40 20 0 Video Games $1,076,266 Product Design $160,230 Construction Technology $137,829 3D Printing $137,356 Documentary $61,825 Mining Animation $38,089 Tabletop Games $37,859 Ownership of Dwellings Design $23,746 Pop $20,660 Health Care and Social Assistance Accessories $14,043 Illustration $10,246 Manufacturing Music $9,368 Live Games $7,528 Transport, Postal and Warehousing Fiction $7,090 Painting $6,225 Webseries $5,517 Public Adminstration and Safety Food $5,325 People $3,934 Finance and Insurance Services Rock $3,115 Comics $2,796 Professional, Scientific and Technical Services Young Adult $2,506 Publishing $2,226 Wholesale Trade Architecture $2,040 Retail Trade

Education and Training

Education and Training 500000 POZIBLE TOP COMMUNITY ISSUES: RANKED BY WEIGHTED VOTES Agriculture Film $316,574 MusicRaise Awareness $312,8221 Electricity Gas, Water and Waste Services EducationPerformance $180,4882 Community $135,195 WCultureriting $107,6523 Rental and Real Estate Services FundingDesign $84,0454 Art $71,791 Administrative Services EventGovernment Policy $44,1845 CollaborationPhotography & Networking $40,5326 Communication Social Enterprise $37,160 ComicsProcurement $30,3607 Accommodation and Food Services InfrastructureVideo $30,0468 Fashion $24,849 FoodTalent & & Drink Skills $24,0459 Other Services LeadershipOther $12,22610 Journalism $11,640 Art and Recreational Services Technology $5,737 Research $3,480 Craft $160

TOP COMMUNITY ACTIONS: RANKED BY WEIGHTED VOTES KICKSTARTER QLD KICKSTARTER QLDKICKSTARTER QLD 80 70 60 50 Education Program40 1 80 70 80 60 70 50 60 40 50 30 40 30 30 20 20 10 10 0 0 20 100 100 80 80 10 60 60 40 40 20 20 0 0 0 100 80 60 40 20 0 Video Games $1,076,266 Video Games Video Games $1,076,266 $1,076,266 Digital Queensland Product Design $160,230 COMPUTERProductForm Leadership Design GAME Group ProductSALES Design $160,2302 $160,230 ConstructionConstruction Construction Technology $137,829 TStartupechnology Apprentice Technology $3B$137,8293 $137,829 No. CO & GROUPS: FOUNDED 3D Printing $137,356 3D Printing 3D Printing $137,356 $137,356 3000000 Non-Digital Queensland Highlight Success Stories $2B 4 Digital - Queensland Documentary $61,825 Documentary $1.61BDocumentary $61,825 $61,825 MiningMining Mining Collaboration$1.5B & Networking 5 2500000 Animation $38,089 Animation Animation $38,089 $38,089 Digital - Australia Digital Rest of Australia Attract Talent 6 2000000 Tabletop Games $37,859 Tabletop2011 Games 2012Tabletop Games2013 2017$37,859 $37,859 OwnershipOwnership of Dwellings of Dwellings All Categories - Queensland Ownership of Dwellings Design $23,746 DesignCommunication HubDesign $23,7467 $23,746 1500000 All Categories - Australia Pop $20,660 PopGovt Incentive - InvestmentPop $20,6608 $20,660 Non-Digital Rest of Australia HealthHealth Care Care and andSocial Social Assistance Assistance Health Care and Social Assistance Accessories $14,043 Accessories Accessories $14,043 $14,043 1000000 Hub 9 Illustration $10,246 Illustration Illustration $10,246 $10,246 ManufacturingManufacturing Manufacturing NBN Advocacy Group 10 500000 Music $9,368 TOPMusic COMMUNITY ISSUES:Music RANKED BY WEIGHTED$9,368 VOTES $9,368 Live Games $7,528 Live Games Live Games $7,528 $7,528 Raise Awareness 1 Transport,Transport, Postal Postal and andWarehousing Warehousing Transport, Postal and Warehousing Fiction $7,090 EducationFiction Fiction $7,0902 $7,090 Painting $6,225 CulturePainting Painting $6,2253 $6,225 FUNDING BY REGION Webseries $5,517 WFundingebseries Webseries $5,5174 $5,517 PublicPublic Adminstration Adminstration and and Safety Safety Public Adminstration and Safety Food $5,325 FoodGovernment PolicyFood $5,3255 $5,325 Collaboration & Networking 6 People $3,934 People People $3,934 $3,934 FinanceFinance and Insuranceand Insurance Services Services Finance and Insurance Services Procurement 7 Region Unknown Rock $3,115 Rock Rock $3,115 $3,115 35000000 Infrastructure 8 $2,796 $2,796 $2,796 Comics TComicsalent & Skills Comics 9 Professional,Professional, Scientific Scientific and Tandechnical Technical Services Services Professional, Scientific and Technical Services Young Adult $2,506 30000000 LeadershipYoung Adult Young Adult $2,50610 $2,506 Publishing $2,226 Publishing Publishing $2,226 $2,226 WholesaleWholesale Trade Trade Sunshine Coast Wholesale Trade Architecture $2,040 Architecture Architecture $2,040 $2,040 TOP COMMUNITY ACTIONS: RANKED BY WEIGHTED VOTES RetailRetail Trade Trade Gold Coast Retail Trade Education Program 1 Form Leadership Group 2 Digital Queensland EducationEducation and andTraining Training Education and Training Startup Apprentice 3 POZIBLE POZIBLEHighlight Success StoriesPOZIBLE 4 Non-Digital Queensland AgricultureAgriculture Brisbane Agriculture Collaboration & Networking 5 Film $316,574 Film Film $316,574 $316,574 Attract Talent 6 Digital Rest of Australia Music $312,822 Music Music $312,822 $312,822 Communication2009 2010 Hub2011 2012 2013 20147 ElectricityElectricity Gas, Gas,Water W aterand andWaste Waste Services Services Electricity Gas, Water and Waste Services Performance $180,488 GovtPerformance Incentive - InvestmentPerformance $180,4888 $180,488 Non-Digital Rest of Australia Community $135,195 HubCommunity Community $135,1959 $135,195 Writing $107,652 NBNWriting Advocacy GroupWriting $107,65210 $107,652 RentalRental and Realand Real Estate Estate Services Services Rental and Real Estate Services Design $84,045 Design Design $84,045 $84,045 Art $71,791 Art Art $71,791 $71,791 AdministrativeAdministrative Services Services Administrative Services Event $44,184 Event Event $44,184 $44,184 FUNDING BY REGION Photography $40,532 Photography Photography $40,532 $40,532 CommunicationCommunication Communication Social Enterprise $37,160 Social Enterprise Social Enterprise $37,160 $37,160 Region Unknown 35000000 Comics $30,360 Comics Comics $30,360 $30,360 AccommodationAccommodation and andFood Food Services Services Accommodation and Food Services Video $30,046 30000000 Video Video $30,046 $30,046 TOTAL INVESTED BY INVESTOR TYPE ($M) Sunshine Coast Fashion $24,849 Fashion Fashion $24,849 $24,849 Food & Drink $24,045 PrivateFood & Equity Drink Food & Drink $24,045$46.9M $24,045 OtherOther Services Services Other Services Other $12,226 Other Other $12,226 $12,226 Gold Coast Venture Capital $20.2M FUNDING BY TECHNOLOGY Journalism $11,640 Journalism Journalism $11,640 $11,640 Art andArt Recreationaland Recreational Services Services Art and Recreational Services Government Grant - Matched (CA) $19.6M Technology $5,737 Technology Technology $5,737 $5,737 Software (web and mobile) $108m Brisbane Research $3,480 MatchedResearch Funding (CA)Research $15.6M$3,480 $3,480 Software and Hardware $14.2m Craft $160 Craft Craft $160 $160 Individual2009 Angel/s2010 2011 2012 2013 $10.9M2014 Software (offline) $1.5m Angel Group $5.1M Silicon Chips & Semiconductors $1.0m Government Grant $4.3M Software (monil only) $1.0m Crowdfunding $1.4M 3D Printing $0.1m COMPUTER GAME SALES COMPUTERAccelerator GAMECOMPUTER SALES GAME SALES $0.9M Advanced Robotics $0.1m $3B TOTALUnknown INVESTED BY INVESTOR TYPE ($M)$3B$0.8M $3B No.No. CO & GROUPS:No. CO & FOUNDED GROUPS: CO FOUNDED & GROUPS: FOUNDED CorporatePrivate Equity $46.9M 3000000 30000003000000 $2B $2B $2B$0.2M DiDiggitalital - Queensland Digital - Queensland $1.61B Venture Capital$1.61B $1.61B $20.2M FUNDING BY TECHNOLOGY $1.5B Government$1.5B Grant - Matched$1.5B (CA) $19.6M 2500000 25000002500000 Software (web and mobile) $108m DiDiggitalital - Austrraliaalia Digital - Australia Matched Funding (CA) $15.6M Software and Hardware $14.2m Individual Angel/s $10.9M 2000000 20000002000000 2011 2012 2013 2017 2011 2012 2011 20132012 20172013 2017 LocationSoftware (offline) $1.5m AAllll CCategoriesies -- QQueenslandueensland All Categories - Queensland Angel Group $5.1M Silicon Chips & Semiconductors $1.0m Government Grant $4.3M No.1500000 GROUPS FOUDNED15000001500000 PER YEAR BY REGION AAllll CCategoriesies -- AAustustrraliaalia All Categories - Australia Software (monil only) $1.0m TOPCrowdfunding 12 STARTUP BACKERS ($M) $1.4M 15 3D Printing $0.1m Accelerator $0.9M REGIONAL1000000 10000001000000 DATA Advanced Robotics $0.1m AMMAUnknown $46.5M$0.8M CommercialisationCorporate Australia $19.6M$0.2M 500000 500000500000 TOP COMMUNITY ISSUES: RANKED BY WEIGHTED VOTES TOP COMMUNITY TOPISSUES: COMMUNITY RANKED ISSUES: BY WEIGHTED RANKED VOTES BY WEIGHTED VOTES Acorn Capital $16.8M Raise Awareness 1 Raise Awareness Raise Awareness 1 1 Education 2 TEducationransition Level InvestmentsEducation $3.5M2 2 12 NO. GROUPS FOUNDED PER YEAR BY REGION Brisbane Gold Coast Sunshine Coast No. GROUPS FOUDNED PER YEAR BY REGION Culture 3 TOPNSCultureW 12 Government STARTUP BACKERSInteractiveCulture ($M)Media Fund $3.0M3 3 15 15 Funding 4 BrisbaneAMMAFunding Angels SyndicateFunding $46.5M$2.8M4 4 Government Policy 5 CommercialisationGovernment Policy AustraliaGovernment Policy $19.6M5 5 ASSOB $2.3M Collaboration & Networking 6 CollaborationAcorn Capital & NetworkingCollaboration & Networking$16.8M6 6 KickstarterTransition Level Investments $1.3M$3.5M 129 Procurement 7 Procurement Procurement 7 7 12 Infrastructure 8 FoundersInfrastructureNSW Government Forum InteractiveInfrastructure Media Fund $1.2M$3.0M8 8 Brisbane Angels Syndicate $2.8M Talent & Skills 9 Talent & Skills Talent & Skills 9 9 BlackbirdASSOB Ventures $2.3M$1.2M Leadership 10 Leadership Leadership 10 10 Kickstarter $1.3M Screen Australia $0.7M 9 9 Founders Forum $1.2M iLabBlackbird Ventures $1.2M$0.6M 6 Screen Australia $0.7M TOP COMMUNITY ACTIONS: RANKED BY WEIGHTED VOTES TOPiLab COMMUNITY TOPACTIONS: COMMUNITY RANKED ACTIONS: BY WEIGHTED $0.6MRANKED VOTES BY WEIGHTED VOTES 6 6 Education Program 1 Education ProgramEducation Program 1 1 Form Leadership Group 2 Form Leadership GroupForm Leadership Group 2 2 Digital QueenslandDigital Queensland Digital Queensland Startup Apprentice 3 Startup Apprentice Startup Apprentice 3 3 3 3 3 Highlight Success Stories 4 Highlight Success StoriesHighlight Success Stories 4 4 Non-DigitalNon-Digital Queensland Queensland Non-Digital Queensland Collaboration & Networking 5 Collaboration & NetworkingCollaboration & Networking 5 5 Attract Talent 6 Attract Talent Attract Talent 6 6 Digital RestDigital of Australia Rest of Australia Digital Rest of Australia Communication Hub 7 Communication HubCommunication Hub 7 7 0 Govt Incentive - Investment 8 Govt Incentive - InvestmentGovt Incentive - Investment 8 8 0 2002Q4 Q32006Non-DigitalQ4 Q3Non-Digital Rest2008Q4 of Australia RestQ2 of Australia2009Q3 Q4 Q1 Q22010Q3 Q4 Q2 2011Q3 Q4 Q1 Q22012Q3 Q4 Q1 Q22013Q3 Q4Non-DigitalQ12014Q2 Rest of Australia Hub 9 Hub Hub 9 9 Q4 Q3 Q4 Q3 Q4 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 NBN Advocacy Group 10 NBN Advocacy GroupNBN Advocacy Group 10 10

TOTAL FUNDING RAISED BY YEAR BY REGION ($M) Unknown Region Brisbane Gold Coast Sunshine Coast FUNDINGFUNDING BYFUNDING REGION BY REGION BY REGION ALL PROJECT FUNDING ON KICKSTARTER BY YEAR AND REGION $25M 1500000 RReBeggionrionisbane Unknnoownwn Region Unknown 35000000 35000000 35000000 30000000 30000000 30000000 ALL PROJECT FUNDING ON KICKSTARTER BY YEAR AND REGION 1200000 $20M SunshineSunshineNorthe Coastoastrn Qld Sunshine Coast 1500000 GGBGoldoldrold Cisbaneoast Coast Gold Coast 900000 $15M BBrSunshinerisbaneisbane Coast Brisbane 1200000 Northern Qld 2009 2010 2011 2012 2013 2014 2009 2010 20200911 20122010 20201311 20122014 2013 2014 600000 $10M Gold Coast 300000 900000 $5M

0 Sunshine Coast TOTAL INVESTED BY INVESTOR TYPE ($M) TOTAL INVESTED TOTALBY INVESTOR INVESTED TYPE BY INVESTOR($M) TYPE ($M) 2009 2010 2011 2012 2013 2014 Private Equity $46.9M Private Equity Private Equity $46.9M $46.9M 600000 Venture Capital $20.2M Venture Capital Venture Capital $20.2M $20.2M FUNDINGFUNDING BYFUNDING TECHNOLOGY BY TECHNOLOGY BY TECHNOLOGY Government Grant - Matched (CA) $19.6M Government Grant -Government Matched (CA) Grant - Matched$19.6M (CA) $19.6M SoftwareSoftware (webSoftware and mobile) (web and mobile) $108m $108m (web and mobile) $108m Matched Funding (CA) $15.6M Matched Funding (CA)Matched Funding (CA) $15.6M $15.6M REGIONAL COMPARISONS SoftwareSoftware andSoftware Hardware and Hardware $14.2m $14.2m and Hardware $14.2m Individual Angel/s $10.9M Individual Angel/s Individual Angel/s $10.9M $10.9M SoftwareTYPESoftware > (offline)Software (offline) ALL TECH$1.5m $1.5m (offline)STARTUPS AVG YEARLY $1.5m Angel Group $5.1M Angel Group Angel Group $5.1M $5.1M 300000 SiliconSilicon ChipsSilicon & Semiconductors Chips & Semiconductors $1.0m Chips$1.0m & SemiconductorsSTARTUP $1.0m Government Grant $4.3M Government Grant Government Grant $4.3M $4.3M SoftwareREGIONSoftware (monilSoftware only) (monilPOPULATION only) TOTAL$1.0m $1.0mAVG (monilPER #CO TOTAL AVG only)PER #CO #CO FORMATION $1.0m Crowdfunding $1.4M Crowdfunding Crowdfunding $1.4M $1.4M 3D3D Printing 3D Printing PrintingFUNDING$0.1m $0.1mFUNDING CAPITA FUNDED FUNDING FUNDING CAPITA FUNDED RATE PER $0.1m Accelerator $0.9M Accelerator Accelerator $0.9M $0.9M AdvancedAdvanced RoboticsAdvanced Robotics $0.1m $0.1mPER YEAR FUNDINGRoboticsPER YEAR FUNDING MILLION $0.1m Unknown $0.8M Unknown Unknown $0.8M $0.8M Corporate $0.2M Corporate Corporate $0.2M $0.2M 0 Queensland 4,680,000 $126,207,129 $22,946,751 $4.90 136 $36,706,240 $6,673,862 $1.43 245+ 99 10

South East Queensland 2,880,000 $120,701,737 $21,945,770 $7.62 129+ $35,546,046 $6,462,918 $2.24 238+ 94+ 15 NNo. GROUPSoN FOUDNEDo. GROUPS. PERFOUDNEDGROUPS YEAR PER BY REGION YEAR BY REGION FOUDNED PER YEAR BY REGION Brisbane 2,040,000 $45,226,995 $8223,090 $4.03 101 $28,546,252 $5,190,228 $2.54 150+ 79 13 TOP 12 STARTUP BACKERS ($M) TOP 12 STARTUP BACKERSTOP 12 STARTUP ($M) BACKERS ($M) 15 15 15 AMMA $46.5M AMMA AMMA $46.5M $46.5M Gold Coast 510,000 $68,990,338 $12,543,698 $24.60 14 $2,265,214 $411,857 $0.81 60+ 5 21 Commercialisation Australia $19.6M Commercialisation AustraliaCommercialisation Australia$19.6M $19.6M Acorn Capital $16.8M Acorn Capital Acorn Capital $16.8M $16.8M Sunshine Coast 330,000 $5,284,404 $5,284,404 $2.91 13 $3,534,580 $642,651 $1.95 20+ 9 11 $3.5M $3.5M $3.5M Transition Level Investments Transition Level InvestmentsTransition Level Investments 12 12 Other Regions12 1,800,000 $5,505,392 $5,505,392 $0.56 7 $1,160,194 $210,944 $0.12 7+ 5 1 NSW Government Interactive Media Fund $3.0M NSW Government InteractiveNSW Government Media FundInteractive $3.0MMedia Fund $3.0M Brisbane Angels Syndicate $2.8M Brisbane Angels SyndicateBrisbane Angels Syndicate $2.8M $2.8M ASSOB $2.3M ASSOB ASSOB $2.3M $2.3M Kickstarter $1.3M Kickstarter Kickstarter $1.3M $1.3M 9 9 26 9 Founders Forum $1.2M Founders Forum Founders Forum $1.2M $1.2M Blackbird Ventures $1.2M Blackbird Ventures Blackbird Ventures $1.2M $1.2M Screen Australia $0.7M Screen Australia Screen Australia $0.7M $0.7M iLab $0.6M iLab iLab $0.6M $0.6M 6 6 6

3 3 3

0 0 0

Q4 Q3Q4 Q4 Q3 Q3Q4 Q4 Q3 Q4Q4Q2 Q3 Q2Q4 Q3 Q4Q1 Q2 Q1Q3 Q2Q4 Q3 Q4 Q2 Q3Q2 Q4Q3 Q4 Q1 Q2Q1Q3Q3Q2 Q4Q3 Q4 Q1 Q1Q2 Q2Q3 Q3Q4 Q4 Q1 Q1Q2 Q2 Q3 Q4 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2

ALLALL PROJECTALL FUNDING PROJECT ON FUNDING KICKSTARTERPROJECT ON KICKSTARTER BY YEAR BYAND YEAR REGION AND REGION FUNDING ON KICKSTARTER BY YEAR AND REGION 1500000 1500000 1500000 BBrisbane Brisbane

1200000 1200000 1200000 NoNortherrnn QldQld Northern Qld GGold CCoastoast Gold Coast 900000 900000 900000 SunshineSunshine CCoastoast Sunshine Coast

600000 600000 600000

300000 300000 300000

0 0 0 BRISBANE GOLD COAST SUNSHINE COAST

NO. STARTUPS NO. STARTUPS NO. STARTUPS 150+ 60+ 20+ Number currently based in Brisbane. Number currently based on the Gold Coast. Number currently based on the Sunshine Coast.

TOTAL DIGITAL FUNDING TOTAL DIGITAL FUNDING TOTAL DIGITAL FUNDING $45M+ $69M $5.3M Total funding for digital technology since 2009. Total funding for digital technology since 2009. Total funding for digital technology since 2009.

NO. GROUPS NO. GROUPS NO. GROUPS 89 12 6 Total number of Groups in Brisbane. Total number of Groups on the Gold Coast. Total number of Groups on the Sunshine Coast.

NOTABLE STARTUP: CARTESIAN CO ESTABLISHED STARTUP: NIMBLE NOTABLE STARTUP: THE COMMISSION FACTORY $130K+ $20M 55%

Raised on Kickstarter. Estimated Revenue. Market Share in Southern Hemisphere. Founded in 2009 by Ariel Briner, John Scott, Isabella Founded by Greg Ellis (38) and Sean Teahan (39) in Founded in 2011 by Zane McIntyre, Mario Johnston Stephens and Nick, Cartesian Co. is developing a 3D 2005, Nimble is an online micro loans service providing and David Hayman the Commission Factory is one printer for circuit boards. The team participated in over 550,000 small, fast loans of between $100 and of the largest Affiliate marketing platforms in the iLab’s accelerator program Germinate in 2013 and $1200 to clients using advanced credit risk assessment southern hemisphere. The Commission Factory helps recently successfully raised $137,356 from over 300 technology. With access to more than 4,500 data attract customers to over 300 small to large sized online backers on Kickstarter for the production of their first points Nimble’s risk assessment engine responds to retailers from across the world including David Jones, printer – the Argentum. loan applications within hours. Previously called Cash SurfStitch, The Iconic and HSBC. The Commission Doctors, Nimble is growing at nearly 50%, and recently Factory experienced rapid growth shortly after raised $10m in Series A funding from Acorn Capital and launching in mid 2011 and was profitable within one Monash Investors. In 2012 they raised their first external year. The Commission Factory has around 10 staff and investment for $1.5m from super angels, and prior to was located in the Sunshine Coast Innovation Centre this latest round of VC funding raised ~$9 million from before relocating to their current office in Maroochydore angels including iSelect founder Damien Waller, iSelect in 2013 to allow for further expansion. They are director Les Webb and Wotif executive Sam Friend. currently seeking their first external investment and Nimble is located in Southport on the Gold Coast and raising funds both in Australia and the US. has 84 employees.

PEOPLE ORGANISATIONS PEOPLE ORGANISATIONS PEOPLE ORGANISATIONS Centrality rank by community votes > Centrality rank by community votes > Centrality rank by community votes > Colin Kinner iLab Aaron Birkby Founders Forum Dean Alle Innovation Centre - SC Peter Laurie River City Labs Steve Dalton Gold Coast Angels Mark Paddenburg Startup Weekend - SC John Mactaggart Brisbane Angels Clarence Tan Silicon Lakes Russel Mason Ted x Noosa Anna Rooke Startup Weekend - Bris Rick McElhinney ASSOB Ben Duncan MRDA SC Ruth Drinkwater Assoc. Angel Investors Tanya Lipus City of Gold Coast Michael Whereat SC Local Council Peta Ellis Aust Centre Entreprnrshp Bryan Vadas Wavebreak Matt Forman Chamber of Comrce - SC Ian Connor Arts QLD Rick Anstey Chamber of Comrce - GC Nigel Hall Noosa Boardroom Richard Moore QUT Sharon Hunneybell Silicon Beach - GC Anne Lawrence Cloud Biz Sue Swinburne Silicon Beach - Brisbane Ruth Drinkwater Startup Weekend - GC Craig Josic Uni of Sunshine Coast Christy Dena Startup QLD David Novakovic TechConnect David Novakovic TechConnect

27 Target market of startups MARKETS

TARGET MARKET OF STARTUPS COMPARED TO TOP 20 QUEENSLAND INDUSTRIES

Construction

Mining, Energy & Resources

Ownership of Dwellings

Health Care & Social Assistance

Manufacturing

Transport, Postal & Warehousing

Public Admin, Defence & Safety

Finance & Insurance Services

Professional, Scientific & Technical Services

Wholesale Trade

Retail Trade

Education & Training

Agriculture, Forestry & Fishing

Electricity Gas, Water & Waste Services

Rental, Hiring & Real Estate Services

Accommodation & Food Services

Administrative & Support Services

Information Media & Telecommunications

Other & Unknown Services

Arts & Recreation Services

20% 10% 5% 0 5% 10%

PERCENTAGE OF STARTUPS APPROX. PERCENTAGE OF QLD GSP TARGETING INDUSTRY FROM INDUSTRY 2012-201329

28 Target market and product type of startups PRODUCT

NUMBER OF STARTUPS BY TARGET MARKET &

PRODUCT TYPE ARTS & RECREATION SERVICES INFO MEDIA & TELECOMMUNICATIONS HEALTH CARE & SOCIAL ASSISTANCE PROFESSIONAL & TECHNICAL SERVICES FINANCE & INSURANCE SERVICES RETAIL TRADE ADVERTISING SERVICES* ADMINISTRATIVE & SUPPORT SERVICES EDUCATION & TRAINING ELECTRICITY GAS & WATER SERVICES CLOTHING & FOOTWARE RETAILING* TRANSPORT, POSTAL & WAREHOUSING CONSTRUCTION FOOD & BEVERAGE SERVICES* PUBLIC ADMIN, DEFENCE & SAFETY RENTAL & REAL ESTATE SERVICES TRAVEL & TOURISM SERVICES* ACCOMMODATION & FOOD SERVICES AGRICULTURE, FORESTRY & FISHING MANUFACTURING MINING, ENERGY & RESOURCES OTHER & UNKNOWN SERVICES TOTAL (COUNT) TOTAL (%)

Game 26 26 12

Marketplace 2 2 1 2 1 4 3 2 2 1 1 1 22 10

Communication 9 1 1 2 2 15 7

Health 14 14 6

Productivity 1 6 2 1 1 1 12 5

Financial or payment 8 1 1 1 11 5

Advertising 1 2 1 5 1 10 4

Analytics 2 3 3 1 1 10 4

Education 1 1 1 5 8 4

Sport 7 7 3

Developer tool 3 1 1 5 2

Ecommerce 1 4 5 2

Electronics 3 1 1 5 2

Media & news 4 1 5 2

Social 4 1 5 2

Photo, video & audio 3 1 4 2

Transportation 3 1 4 2

Daily deals 2 1 3 1

Publishing 3 3 1

Tourism 1 2 3 1

3D printing 1 1 2 1

Infrastructure 1 1 2 1

Music 2 2 1

Safety 1 1 2 1

Security 2 2 1

Storage 2 2 1

Wearable 1 1 2 1

Graphics Engine 1 1 0

Other or Unknown 1 33 34 15%

TOTAL (COUNT) 43 42 17 12 11 11 8 7 6 5 4 4 3 3 3 3 3 2 2 2 1 34 226 100

Total (%) 19 19 8 5 5 5 4 3 3 2 2 2 1 1 1 1 1 1 1 1 0 15 100

*Sub-sector of “Professional & Technical Services.” **Sub-sector of “Retail Trade.” ***Sub-sector of “Arts & Recreation Services.” 29 Disruptive technologies vs #startups TECHNOLOGY

KICKSTARTER QLD 80 70 60 50 40 30 20 10 0 DISRUPTIVE100 DIGITAL TECHNOLOGIES80 - POTENTIAL60 ECONOMIC IMPACT40 WITHIN QUEENSLAND20 VS No. STARTUPS0 Video Games $1,076,266 Product Design $160,230 AutomationConstruction of Knowledge Work Technology $137,829

3D Printing $137,356 Mobile Internet Documentary $61,825 Mining Animation $38,089 The Internet of Things Tabletop Games $37,859 Ownership of Dwellings Design $23,746 Pop $20,660 Health Care and SocialAdvanced Assistance Robotics Accessories $14,043 Illustration $10,246 ManufacturingCloud Technology Music $9,368 Live Games $7,528 Transport, Postal andAutonomous Warehousing and Near-Autonomous Vehicles Fiction $7,090

Painting $6,225 3D Printing Webseries $5,517 Public Adminstration and Safety Food $5,325 People $3,934 Finance and Insurance Services 50% 40% 30% 20% 10% 0 $10 $20 $30 $40 $50 Rock $3,115 Comics $2,796 Professional, Scientific and Technical Services PERCENTAGE OF ESTIMATED POTENTIAL ECONOMIC Young Adult $2,506 STARTUPS DEVELOPING IMPACT IN MILLIONS* DISRUPTIVE TECHNOLOGY Publishing $2,226 Wholesale Trade *Estimated potential economic impact of technologies Architecture $2,040 within Queensland in 2025 based on the McKinsey Institute’s 2013 report Disruptive Technologies: Retail Trade Advances That Will Transform Life, Business, And The Global Economy. Note these estimates do not represent GDP or market size (revenue), but rather Education and Training economic potential, including consumer surplus. They are not directly additive due to partially overlapping POZIBLE applications and/or value drivers across technologies.9 Agriculture Film $316,574 Music $312,822 Electricity Gas, Water and Waste Services Performance $180,488 Community $135,195 Writing $107,652 Rental and Real Estate Services Design $84,045 Art $71,791 Administrative Services Event $44,184 Photography $40,532 Communication Social Enterprise $37,160 Comics $30,360 Accommodation and Food Services Video $30,046 Fashion $24,849 Food & Drink $24,045 Other Services Other $12,226 Journalism $11,640 Art and Recreational Services Technology $5,737 Research $3,480 Craft $160

30 COMPUTER GAME SALES $3B No. CO & GROUPS: FOUNDED 3000000 $2B Digital - Queensland $1.5B $1.61B 2500000 Digital - Australia

2000000 2011 2012 2013 2017 All Categories - Queensland 1500000 All Categories - Australia

1000000

500000 TOP COMMUNITY ISSUES: RANKED BY WEIGHTED VOTES Raise Awareness 1 Education 2 Culture 3 Funding 4 Government Policy 5 Collaboration & Networking 6 Procurement 7 Infrastructure 8 Talent & Skills 9 Leadership 10

TOP COMMUNITY ACTIONS: RANKED BY WEIGHTED VOTES Education Program 1 Form Leadership Group 2 Digital Queensland Startup Apprentice 3 Highlight Success Stories 4 Non-Digital Queensland Collaboration & Networking 5 Attract Talent 6 Digital Rest of Australia Communication Hub 7 Govt Incentive - Investment 8 Non-Digital Rest of Australia Hub 9 NBN Advocacy Group 10

FUNDING BY REGION Region Unknown 35000000 30000000 Sunshine Coast Gold Coast Brisbane

2009 2010 2011 2012 2013 2014

Q4 Q3 Q4 Q3 Q4 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2

ALL PROJECT FUNDING ON KICKSTARTER BY YEAR AND REGION 1500000 Brisbane

1200000 Northern Qld Gold Coast 900000 Sunshine Coast

600000

300000

0 The role of the arts in Queensland startups THE ARTS

#ARTS STARTUPS FUNDING BY TARGET MARKET - ALL TECH ($M) FUNDING BY TARGET MARKET - STARTUPS ($M) Arts & Recreation Services $51.8 Information Media & Telecommunications $12.2 Finance & Insurance Services $22.3 Finance & Insurance Services $4.0 43 Information Media & Telecommunications $21.9 Number of startups focussed on the Arts & Recreation Advertising Services $4.0 Services market or developing tools that fall under the Public Admin, Defence & Safety $5.6 Arts & Recreation Services $3.8 creative arts, including music, photography, video, Advertising Services $4.6 publishing, tourism and computer games. Health Care & Social Assistance $2.3 Agriculture, Forestry & Fishing $4.4 Construction $1.8 Health Care & Social Assistance $3.2 Professional, Scientific & Technical Services $1.7 #STARTUPS IN THE ARTS BY PRODUCT TYPE Education & Training $2.9 Professional, Scientific & Technical Services $2.8 Agriculture, Forestry & Fishing $1.4 Digital Games 26 Construction $2.0 Unknown $1.3 Sport 7 Unknown $1.7 Public Admin, Defence & Safety $1.2 Publishing 3 Retail Trade $1.2 Retail Trade $1.1 Music 2 Mining, Energy & Resources $0.4 Education & Training $0.9 2 Marketplace Clothing & Footware Retailing $0.4 Mining, Energy & Resources $0.4 Graphics 1 Administrative & Support Services $0.4 Clothing & Footware Retailing $0.4 Advertising 1 Entertainment, Tourism & Sport $0.3 Administrative & Support Services $0.4 Productivity 1 Manufacturing $0.1 Rental, Hiring & Real Estate Services $0.02 Rental, Hiring & Real Estate Services $0.02 Transport, Postal & Warehousing $0.01 Transport, Postal & Warehousing $0.01 Queensland has a high proportion of startups focussed on serving the Arts & Recreation Services market - 43 startups out of the total 226 startups identified within While not a startup, the music service Guvera is also Support Queensland, or 19% of all startups. a notable digital technology company within the arts In terms of arts organisations that support the startup sector, given its $45m in funding over the past 5 years. sector the key organisation identified was the State a The vast majority of these are Digital Game studios The company has stated it recently secured a deal with Library of Queensland and specifically the Edge, a developing their own content. Twenty six games studios Lenovo to be pre-installed in all Lenovo smartphones. creative / hacker type space within the library. Thirty in total or 12% of all startups, and over half of arts one out of 109 digital technology related groups happen focussed startups. As it’s the largest product category Liquid State is also notable having secured a place within the library - 28% of all meetup groups identified the report goes into games studios in greater detail on in Berlin accelerator, Startup Bootcamp, and raised within the state. the following pages. ~$800K from CA, Angel and the accelerator.

If Digital Games are excluded from the Arts, the number Another startup of interest is Hirehive, a peer to peer of arts related startups falls to 17 or 8% of all startups. marketplace for filmmakers to share equipment - this Under the Australian and New Zealand Standard is perhaps one of the few startups focussed solely on Industrial Classification (ANZSIC), Sports (7 startups directly serving creatives within the Arts & Recreation or 3% of all startups) are included within the Arts & Services industry. Recreation Services industry, if these are then excluded from the arts just 10 startups remain that target the Funding creative arts - 4% of all startups. In terms of funding the Arts & Recreation Services market attracted the greatest funding across all digital Within these 10 startups the most notable is We Are technology companies and startups, with 41% of all Hunted, a music discovery and recommendation funding - primarily driven by Guvera’s funding. Exclude platform that was acquired by Twitter in late 2012 for an this and it falls to fifth or sixth on the ranking for all undisclosed sum. The We Are Hunted team then led the digital technology companies. Funding for arts startups development of Twitter’s #Music service, before it was was $3.8m - a little over 10% of all startup funding. closed down in early 2014. In terms of funding sources, three Arts organisations; a. “Digital Games” studios or developers do not have the NSW Government Interactive Media Fund, Screen a seperate classification within the ANZSIC industry Australia, and Creative Enterprise Australia; provided classification. The ABS states “there is no specific 3% of all digital technology funding, or $3.7m in total. ANZSIC class for digital game development... [they] This funding was primarily made up of a $3m grant have been found to be predominantly coded to ANZSIC from the NSW Government Interactive Media Fund to class 7000 (Computer system design and related Defiant Development - a game studio. services).” - a subset of “Professional, Scientific and Technical Services.” However the ABS analyses them alongside Film & television broadcasters in their recent publication “Film, Television and Digital Games, Australia, 2011-12”,30 a subset of “Information Media & Telecommunications.” Within this report the market focus of Digital Games Studios are categorised as “Arts & Recreation Services”.

31 Games, Games, and MORE GAMES

Below is a summarised network map of the most central In analysing the full network of people employed by people and organisations within Queensland’s Games gaming companies Krome Studios comes out most sector. It includes active, closed and acquired Game central, with 50% of the entire network connected to Studios. Both those developing their own IP (Startups) Krome by 3 steps: 1st step is to an employee of Krome, and those making games for clients. Connecting lines 2nd step to ‘other’ companies the same employee has represent professional relationships (past and present) worked for and a 3rd to the employees of the ‘other’ such as employee, founder or director. The whole companies. In this way half of the entire sector is network can be seen in the top right of the following connected to Krome. The graph gives a small taste of the page. long-term impact of a large pioneer on an ecosystem.

The summarised graph shows the interconnection between core game studios in the middle dominated by Krome, Pandemic and Arun, and the relationship of these Guy Blomberg studios with movie-related studios on the far left, 3D animation studios second from left and to the right the commercialisation of gaming technology within services Griffith University such as advertising and gambling platforms that employ gaming approaches.

QLD University of Technology Ratbag Games Simon Dye

Cutting Edge Sega THQ Krome Studios

Eyecon

Randy Vellacott Photon VFX Rising Sun Pictures

Alex Drummond

Animal Logic

Auran Games Pandemic Studios Halfbrick Studios

MOVIE INDUSTRY 3D ANIMATION GAMES

KROME STUDIOS - ESTABLISHED PANDEMIC STUDIOS - CLOSED HALFBRICK STUDIOS - ESTABLISHED Founded in 1999 by Robert Walsh, Steve Stamatiadis Founded in 1998 with an equity investment by Founded in 2001 by Shainiel Deo, Halfbrick is one of and John Passfield, Krome has created over 19 titles - Activision this US-Australian game studio had offices in the most recognised independent studios worldwide both their own IP and for clients. They are best known Los Angeles, California and Brisbane. In 2000 Andrew with games such as Fruit Ninja, Jetpack Joyride, for Ty the Tasmanian Tiger and in 2010 ranked 52 in the Payne and Adam Iarossi left the LA studio to start the Monster Dash and Age of Zombies. Since being Develop 100 list, placing them alongside studios such satellite studio in Fortitude Valley, Brisbane. In 2007 released in 2010, their blockbuster title Fruit Ninja, as LucasArts, Blizzard and EA. From 2010 to 2012 they Electronic Arts acquired Pandemic’s parent company has been downloaded by over 500 million users, was experienced difficulties - closing their Adelaide studio VG Holdings for $860m USD, and shortly afterwards number two on the list of the top all-time paid iPhone and cutting staff in Melbourne and Brisbane. In 2012 closed Pandemic in 2009. apps, and grosses more than $1m a month. they reopened after being dormant since 2010.

32 KICKSTARTER QLD 80 70 60 50 40 30 20 10 0 100 80 60 40 20 0 Video Games $1,076,266 Product Design $160,230 Construction Technology $137,829 3D Printing $137,356 Documentary $61,825 Mining Animation $38,089 Tabletop Games $37,859 Ownership of Dwellings Design $23,746 Pop $20,660 Health Care and Social Assistance Accessories $14,043 Illustration $10,246 Manufacturing Music $9,368 Live Games $7,528 Transport, Postal and Warehousing Fiction $7,090 Painting $6,225 Guy Blomberg Webseries $5,517 Public Adminstration and Safety Food $5,325 Griffith University People $3,934 Finance and Insurance Services Rock $3,115 Comics $2,796 Professional, Scientific and Technical Services Young Adult $2,506 QLD University $2,226 of Technology Publishing Wholesale Trade Architecture $2,040 Ratbag Games Simon Dye Retail Trade

Cutting Edge Sega Education and Training

POZIBLE THQ Krome Studios Agriculture Film $316,574 Eyecon Music $312,822 Electricity Gas, Water and Waste Services Photon VFX Performance $180,488 Randy Vellacott Community $135,195 Rising Sun Pictures Writing $107,652 Rental and Real Estate Services Design $84,045 Art $71,791 Administrative Services Event $44,184 Photography $40,532 Communication Alex Drummond Social Enterprise $37,160 Comics $30,360 Accommodation and Food Services Animal Logic Video $30,046 Fashion $24,849 Food & Drink $24,045 Other Services Other $12,226 Journalism $11,640 Art and Recreational Services Auran Games Technology $5,737 Pandemic Studios Research $3,480 Halfbrick Studios Craft $160

GAMES CGI SERVICES GAMBLING

31,32,33 DEFIANT DEVELOPMENT - STARTUP GAMING STARTUPS COMPUTERCOMPUTER GAME GAME SALES SALES AUSTRALIA Defiant is a Brisbane-based game development studio $3B No. CO & GROUPS: FOUNDED founded in 2010 by Dan Treble and Morgan Jaffit. 3000000 Defiant has released a number of best selling games 26+ $2B Digital - Queensland for iOS and Android including Ski Safari, Heroes Call Queensland has a vibrant community of indie game $1.5B $1.61B 2500000 and Rocket Bunnies. Their games have secured Apple’s studios and developers, with a games studio seed Digital - Australia lucrative Game of the Week spot, and Ski Safari has accelerator and over 38 studios building their own been the Number 1 Game in over 65 countries. 2000000 games for distribution on mobile and web platforms, 2011 2012 2013 2017 All Categories - Queensland 26 of which this report classified as “startups”. 1500000 All Categories - Australia

1000000 33 500000 TOP COMMUNITY ISSUES: RANKED BY WEIGHTED VOTES Raise Awareness 1 Education 2 Culture 3 Funding 4 Government Policy 5 Collaboration & Networking 6 Procurement 7 Infrastructure 8 Talent & Skills 9 Leadership 10

FUNDING BY REGION Region Unknown 35000000 30000000 Sunshine Coast Gold Coast Brisbane

2009 2010 2011 2012 2013 2014

Q4 Q3 Q4 Q3 Q4 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2

ALL PROJECT FUNDING ON KICKSTARTER BY YEAR AND REGION 1500000 Brisbane

1200000 Northern Qld Gold Coast 900000 Sunshine Coast

600000

300000

0 Startup PEOPLE

Founders of Startup companies, Baden Uren Christian Jones Gareth Gower Jessica Huddart people within key support Barry Eager Christian King Gary Christian Jillian Kenny organisations and others Belinda Noakes Christy Dena Gary Mays Jim Kalokekinos that have made a tangible Ben Duncan Cieron Cody Gavin Tomlins Jimmi Bradbury contribution to the ecosystem.* Ben Amos Claes Loberg Gavin Keeley Jo Procter Ben Chong Claire Rowland Gavin Kremor Jo Rosier Aaron Birkby Ben Cooper Clarence Tan Geoff Moller Jo Ucukalo Aaron Gillet Ben Duncan Clint Thomson Geoff Schrader Jock Blair Abdul Alabri Ben Grubb Cohen Hyde George Fidler Jodi Cleghorn Adam McGill Ben Hamley Cole Wilkinson Gidean Shalwick Joe Brumm Adam Gallagher Ben Harrison Colin Kinner Glen Bunney Joe Hayes Adam Humphrey Ben Hauser Colin Graham Glen Conventon John Bartlett Adam Samuel Ben Howe Collin Guinness Glenn Corbet John Dobson Adam Williams Ben Johnston Cr Glenn Tozer Glenn Wilkinson John Goleby Adrian Di Marco Ben Maggacis Craig Aspinall Gordon Cooper John Hughes Adrian Seeto Ben Manderville-Clarke Craig Deveson Gordon Moyes John Hummelstad Adrian Stein Ben Vale Craig Josic Graham Berman John Jessop Adrian Turner Benjamin Forday Craig Mason Graham Edelsten John Mactaggart Adum Blunn Benjamin Harrop Craig Morrison Graham Rodgers John Miles Aisha Bradshaw Bernie Woodcroft Cynthia Macnee Graham Wood John Nicholls Alan Johnson Bili Potter Dale Trickett Grant Ferry John Passfield Alan Noble Bill Bartee Daley Pearson Grant Mason John Puttick Alex Adsett Bill Bass Damien King Greg Barnet John Rivett Alex Naghavi Bill McKeague Dan Mckinnon Greg Beaver John Swete Kelly Alex Norton Billy Bowyer Dan Norris Greg Burnett Jon Ferrara Alex Sharp Birgit Lohmann Dan Treble Greg Ellis Jordan Green Alex Streit Bjorn Rust Dan Vogt Greg Hallam Jörg Strobel Alexander Lotersztain Bob Dunne Daniel Deeney Greg Laverty Jose Maria Ravalo Alexandra Higgins Bob Christiansen Daniel Filmer Greg Searle Joseph Glanville Allan Murnane Bob Christiens Danielle Bennett Greg Tuckwell Josh Smith Amanda Shadforth Bob Eather Danielle Duell Guilio Rovera Josh Tanner Amandeep Kang Bob Waldie Danielle Neale Guy Jones Josh Williams Andrea Martins Brent Watts Danni Zuvela Hans Van Vilet Joshua Tanchel Andrew Brown Brett Adams Danny Hood Hany Pham Juhani von Hellens Andrew Duval Brett Buckland Danny Maher Hollie Gordon Julian Price Andrew Lang Brett Caird Darcy Naunton Hugh Geiger Julien Cahn Andrew Boud Brett Hales Darren Herft Ian Noy Justin Brown Andrew Brett Brett McCallum Darryl Redding Ian Wright Justin Morrissey Andrew Buckle Brian Finn Dave Metcalf Ian Connor Kane Bradshaw Andrew Duval Brian Keayan David Cotton Ian Crawley Karen Bracher Andrew Fern Brian Keayes David Bartlett Ian Mayfield Karen Gawen Andrew Gibb Brian Ruddle David Bycroft Ian Sampson Kat McArthur Andrew Howarth Brock Aspalnd David Foster Ingamur Lak Kate Tuxford Andrew Lane Brock Hamilton David Ives Iqbal Singh Kate Edwards Andrew Leask Brook Kitson David Novakovic Ivan Kenny-Sumiga Kate Pryde Andrew Liveris Brooke Marsh David Ryan Jack Gillespie Kath Massey Andrew Loch Bruce Green David Shaw Jai Mitchell Kaylene Langford Andrew Longhorn Bryan Vadas David Zwierzchaczewski James Banks Keith Armstrong Andrew Ryan Buzz Usborne Dean Alle James Colquhorn Keith Duncan Andy Garman Cameron Cross Dean Shannon James Davidson Keith Grisman Andy Harvey Cameron Owen Deiter Bohm James Klobasa Kerry Esson Andy Jane Carl Jackson Derek Stephens James Paulson Kerry Finch Andy Nematalla Carolyn Bullen Des Jaobson James Podesta Kevin Gosschalk Angela Lisle Casey Lightbody Dion Klein James Turner Kevin Grove Angie Dunbavan Cassandra Head Donna Moritz Janette Wright Kevin Wright Anna Rooke Cat Matson Dr John Kapeleris Jarrad Laursen Kieran Lord Annabel Candy Catherine MacAdam Dr Michael Blumstein Jason Bird Kieran O’Hea Anne Lawrence Catherine Kitney Dr. Rowan Gilmore Jason Cook Kieran O’tter Anne Maree Cotterell Channon Goodwin Drew Wackley Jason Seed Kim Castel Anne-Marie Birkill Charles Hodgson Duncan Curtis Jason Seeto Kirsten Baulch Anoushka Schollay Chi-Han Hsu Duncan Schultz Jason Spencer Kobus Haupt Ant Mckenna Chris Nave Duncan Thompson Javin Wood Kris Trott Anthony McClean Chris Richards Dylan Street Jaz Choi Krishna Everson Anthony O’Dempsey Chris Cameron Elaine Stead Jed Carey Kristen Souvils Anthony Wood Chris Drake Elliot Smith Jeff McDermit Kyle Burch Antti Sarela Chris Durrer Emily Craven Jeff Rogers Kyle McGinty April Forbs Chris Eldridge Emma Milikins Jeff Van Dyck Lara Murray Ariel Briner Chris Guthrie Ferdinand Kreozot Jeremy Colless Laughlin Rigby Artem Kulakov Chris Macaulay Fran Leman Jeremy Herbert Lauren Clemett Avril Jean Chris McKenzie Fraser O’Keefe Jessica Ainscough Laurie Hammond

34 Lawrence English Melissa Reid Peter Grant Scott Breust Tom McArthur Lee Waters Melody Rodgers Peter Kable Scott Duffield Tom White Leigh Angus Mentor Panel (IC) Peter Laurie Scott Hamilton Tony Chadwick Lexie Dostal Meyrick Adams Peter Lavcio Scott Maidment Tony Wheeler Liam Casey Michael Shadforth Peter Lions Scott McTaggart Tony Winters Liam O’Sullivan Michael Whereat Peter Lorre Scott Standen Tracey Robertson Libby Sander Michael Angus Peter Stack Sean Bannister Traci Castle Lindsay Parmenter Michael Bloomstein Peter Wakim Sean Buchanan Travis Dewan Lisa Harrison Michael Finney Peter Woodward Sean Pringle Trent Lund Liz Gaskin Michael Frizell Petrina Buckley Sean Bannister Trent Sampson Liz O’Rourke Michael Griffin Phil Johnson Sean Edwards Troy Bates Louis Oswald Michael Molloy Phil Larsen Sean Parsons Troy Haines Louise O’Donnell Michael Morris Phil Reardon Shainiel Deo Tsu Shan Chambers Lubi Thomas Michael Murtagh Phillip Andrews Shane Davis Tyler Crowley Luke Anear Michael Otway Piero Dametto Shane Morgan Vera Dean Luke Brannelly Michael Puls Prasant Moorthy Sharon Hunneybell Veronika Bilkova Luke Humble Michael Stevens Prof. Andrew Brown Griffith Sharon Schoenborn Vicki Johnson Luke MacDonald Michael Whereat Prof. Bhesh Bhandari Sheng Yeo Victor Vicario Luke Muscat Michelle Kazukaitis Rainine Darabiha Simon Budden Vincenzo Pignatelli Luke Swetman Mik Dobele Ralph Rogers Simon Ambrose Vivienne Anthon Lynne Banford Mike Avey Ramine Darabiha Simon Groth Warren Buffet Macushla Montell Mike Clements Randal Makin Simon Jupe Warrick Bidwell Madeleine King Mike Cunningham Ray Turner Simon Lydiard Wayne Gerard Madeline Veenstra Mike Hefferan Rebecca McIntosh Simon Newstead Wayne McFetridge Malcolm McBratney Mike Hulbert Rebecca Wilson Soenke Weiss Will Wilson Malcolm Thompson Min Collie Holmes Reg Williams Sonja Ceri Winston Hall Malcom Brough Morgan Jaff Reinard Van Der Leij Sonya Henderson Woodley Nye Manual Papas Morgan Jaffit Retha Scheepers Stephen Goodall Yolanda Vega Marcus Fielding Nadene Townsend Richard Moore Stephen Beirne Yvette Adams Marcus Ford Nadine Bates Richard Neal Stephen Colbran Zach Johnson Marcus Foth Nathan Challen Richard Robinson Stephen Neate Zane McIntyre Marcus Holland Nathan Hoad Rick Anstey Stephen O’brien Zoe Wyatt Margerietha Scheepers Nathan Mayfield Rick Hoy Stephen Phillips Mario Johnston Neil McNulty Rick McElhinney Stephen Robinson * Queensland Government Mario Pennisi Neil Rainey Ricky Robinson Stephen Tait employees have been excluded Marion Horsington Nic Gomez Rob Hinds Stephen Wilson from the list. Mark Harrison Nicholas Mathiou Rob Littler Steve Baxter Mark Bathie Nicholas Wood Robert Blackman Steve Dalton Mark Batten Nicole Millard Robert Collins Steve Dunn Mark Cassidy Nigel Hall Robert Walsh Steve Huff Mark Coates Nikki Parkinson Robert Wriedt Steve Stamatiadis Mark Cracknell Niranjan Bidargaddi Robin Nixon Steve Walsh Mark David Ryan Nkosana Mafico Robin Ormerod Steve Weston Mark Dowling Nora Kinnunen Robyn Littlejohn Steve Williams Mark Ferris Owen Warhurst Rod Bloom Stewart Gow Mark Furler Pamela Wardner Rod Richards Sue Swinburne Mark Gill Paul Barrs Ronnie McKenzie Surya Graf Mark Harvey Paul Beaver Ross Balbuziente Susan Oliver Mark Leckenby Paul Cooper Ross Cockburn Susanne Bransgrove Mark McCalliog Paul Gillett (Flux) Ross Hepworth Tahnee Lambrechtsen Mark Paddenburg Paul Graham Ross Patane Tanya Lipus Mark Phillips Paul Hamilton Rowan Schindler Tarun Bastiampillai Mark Rainbird Paul Jansz Rowena Ryan Terence Lee Mark Richardson Paul L’Estrange Russel Mason The Core Team Mark Sowersby Paul Lange Russell Bullen The Edge SLQ Mark Warnick Paul Martins Russell Mason The Mentor Group Mark White Paul McNab Ruth Drinkwater Thom Saunders Marko Grgic Paul Neiderer Sacha (Alex) Voevodin Tim Eldridge Martin Brady Paul StapelBerg Sally Ernst Tim Dawson Martin Mankowski Paul Steer Sam Bevis Tim Heasley Matt Bush Paul Turner Sam Friend Tim Kastelle Matt Forman Pauline O’Sullivan Sam Winter Tim Marchington Matt Hall Per Davidsson Sami Malia Tim Melvich Matthew Beaumont Persis Anderson Samuel Cartwright Tim Warwick Matthew Ford Peta Ellis Samuel Clifton Timothy Marks Matthew Seeto Peter Ball Sanatana Mishra Tina Souvlis Matthew Snowden Peter Devine Sandra Mau Tjitze Meter Max Grant Peter Riddles Sandy Zubrinich Toby Gifford Meg Summers Peter Bradd Sarina Quinlan Tom Murphy Melanie Summer Peter Davison Sarina Quintan Fetch Tom Adams

35 Frequent Founders and SERIAL ENTREPRENEURS

People or groups of people within the ecosystem that have founded multiple companies. This does not necessarily represent financial value created. AARON BIRKBY CRAIG DEVESON Coded Intelligence Cloud Manager Internet Here Devnet STEVE DALTON SenseHubly DVSGroup CHRIS DRAKE Share Your Love Arinda Internet KEVIN GOSSCHALK cloudsafe365 Gold Coast TechSpace App Start Studios CHRIS MACAULAY Elastice Refactor The Chat Room MATTHEW FORD uCrack iFix Viscous Solutions secluded.io Aptek SwipeAds Summer Drift Group GC Tech Shop Beyond The Black Stump Productions Secure Skateboards GERARD DOYLE Dalton Technology Silicon Lakes Zippy.com.au Sensaware Lead Galaxy DiscountVouchers.co.uk KRISTY OUWERKERK BDS.com.au Veilability JOHN PASSFIELD Wedding Village Right Pedal Studios Toto Solutions 3 Blokes Studios GINO DE PASQUALE AVRIL JEAN STEPHEN NEATE PETRINA BUCKLEY Krome Studios Smooth Operator Subtle Difference PAUL JONES Red Sprite Studios dp dialogue De Pasquale Advertising Creature Creative My Sunshine Coast Credosity The Authentic Executive Neo Media Networks Brolga Real Estate Last Thursday Club CHRIS HOOPER Dojo Wellness Experience Magneto Communications GEOFF KWITKO Cirillo Hooper& Company the startup club MARK WHITE EcoLivingScene.com.au Greencloud Labs TRISTAN MATTHIAS LUKE BRANNELLY Mobile Monday Brisbane STEVE BAXTER PAUL KNITTEL V2i Pty Ltd NKOSANA HUMPHREY MAFICO Locatrix Communications Right Pedal Studios Documaps.io 3Dme Creative Studio River City Labs Pixler Webdesign V2i Mining & Resources NICHOLAS JENKINS Transition Level Investments FlowPro AVARDI Academic Technologies PIPE Networks PeeP Digital SENet (ISP) B2K Gardening

STEVE BAXTER AARON BIRKBY STEVE DALTON Stephen is one of Queensland most active investors Aaron is one of the founders at Silicon Lakes Steve founded Secluded.io a sensor platform for remote through his seed fund Transition Level Investments, (incubator), founder at App Start Studios (app areas in 2014. Prior to this he co-founded Sensaware and also one of the most active founders, having development company), and founder of Coded (formerly Rehydrate), a wearable device that assists founded both River City Labs (technology co-working Intelligence (a remote telemetry monitor system for rural fire-fighters to stay hydrated, and one of the space) and Right Pedal Studios (seed accelerator for amusement rides and vending machines). Aaron was winners at the first Gold Coast Startup Weekend in game studios). He is currently a board member and also a founding Director for 8 years at Arinda Internet, 2013. Steve founded Gold Coast Tech shop in 2012 a advisor to several companies including ASX listed a business that specialises in internet kiosks, wireless marketplace for Open Source & hackable hardware such Vocus Communications, and investor in many startups hotspots and digital wireless advertising systems, prior as Arduino, Electronics kits & Raspberry PIs. Since including txt4coffee, TrekTraka, goCatch, OrionVM and to selling it in late 2012. He has been involved in 2006 he has been an organiser for Barcamp Queensland Atomo Diagnostics. setting up numerous other IT start-ups, including Web (a meetup group), is a Silicon Lakes Ambassador, and Site Writers, Softcom Consulting, The Chat Room, and recently started the very popular Lego workshops for At age 15 (1986) Steve joined the army serving for nine Perfect World. kids, held in the School holidays. He originally studied years (1995) working on electronics, & whilst still in at the University of Birmingham from 1992-96. the army at age 23 (1994) he convinced his fiancée to Before moving to the Gold Coast in 2004, he was the invest their $11,000 savings (which was to be a deposit A/g Manager of Intelligence Systems for Customs in on their first home) into building an ISP in their rented Canberra, had various intelligence roles in the National house using six telephone lines and grew it to the 7th Crime Authority, NSW Crime Commission, and was largest ISP in Australia at the time. His company was a Consultant at PwC in Sydney. He has a Bachelor of acquired by Ozemail just before the dot com bust of Science (Physics and Mathematics) from the UNSW, the early 2000s. After taking a year off to fish he co- and a Bachelor of Law from the University of New founded PIPE Networks in 2001 with Bevan Slattery, England. which floated with a $14m market cap. PIPE was later acquired by TPG Telecom for $373m.

36 AARON BIRKBY CRAIG DEVESON Coded Intelligence Cloud Manager Internet Here Devnet STEVE DALTON SenseHubly DVSGroup CHRIS DRAKE Share Your Love Arinda Internet KEVIN GOSSCHALK cloudsafe365 Gold Coast TechSpace App Start Studios CHRIS MACAULAY Elastice Refactor The Chat Room MATTHEW FORD uCrack iFix Viscous Solutions secluded.io Aptek SwipeAds Summer Drift Group GC Tech Shop Beyond The Black Stump Productions Secure Skateboards GERARD DOYLE Dalton Technology Silicon Lakes Zippy.com.au Sensaware Lead Galaxy DiscountVouchers.co.uk KRISTY OUWERKERK BDS.com.au Veilability JOHN PASSFIELD Wedding Village Right Pedal Studios Toto Solutions 3 Blokes Studios GINO DE PASQUALE AVRIL JEAN STEPHEN NEATE PETRINA BUCKLEY Krome Studios Smooth Operator Subtle Difference PAUL JONES Red Sprite Studios dp dialogue De Pasquale Advertising Creature Creative My Sunshine Coast Credosity The Authentic Executive Neo Media Networks Brolga Real Estate Last Thursday Club CHRIS HOOPER Dojo Wellness Experience Magneto Communications GEOFF KWITKO Cirillo Hooper& Company the startup club MARK WHITE EcoLivingScene.com.au Greencloud Labs TRISTAN MATTHIAS LUKE BRANNELLY Mobile Monday Brisbane STEVE BAXTER PAUL KNITTEL V2i Pty Ltd NKOSANA HUMPHREY MAFICO Locatrix Communications Right Pedal Studios Documaps.io 3Dme Creative Studio River City Labs Pixler Webdesign V2i Mining & Resources NICHOLAS JENKINS Transition Level Investments FlowPro AVARDI Academic Technologies PIPE Networks PeeP Digital SENet (ISP) B2K Gardening

GERARD DOYLE CHRIS DRAKE JOHN PASSFIELD In late 2013 Gerard founded BDS.com.au - a mobile Chris founded Elastice, a service to democratise the John is currently the program manager for Right Pedal marketing and daily-deals service after his original pricing and discount process for e-commerce stores, Studios and has founded a number of games companies company Zippy (founded in 2009) merged with Viscous Solutions (an e-commerce consulting firm), including Krome Studios, 3 Blokes Studios and Red Qwibble. In 2011 Gerard worked in the UK as uCrack iFix (a smartphone repair business that has Sprite Studios. He was the creative director of Pandemic CEO for DiscountVouchers.co.uk (currently 100m+ expanded to include several online stores that drop-ship Studios, VP of Rockyou, and has led the creative revenue). Discount Vouchers was founded by Doug products internationally). He is a member of River City direction on a number of Facebook titles including Scott, one of the UK’s leading angel investors and a Labs, participated in iLab’s Germinate program, was Brainiversity, Hospital Town, Virtual Villagers, Galactic serial entrepreneur himself, who provided funding a speaker at TEDxUQ, and is an organiser of a student Trader, Galactic Allies, and Save Our Village. for BDS through his seed fund Potential. Prior to entrepreneurship conference to be held in July 2014 working at Discount Vouchers, Gerard had a range of (Global Innovative Youth Conference). executive roles at UK daily deals and affiliate marketing companies. In 2005 he founded Lead Galaxy, a marketplace for UK property investors.

37 KICKSTARTER QLD 80 70 60 50 40 30 20 10 0 100 80 60 40 20 0 Video Games $1,076,266 Product Design $160,230 Construction Technology $137,829 3D Printing $137,356 Documentary $61,825 Mining Animation $38,089 Tabletop Games $37,859 Ownership of Dwellings Design $23,746 Pop $20,660 Health Care and Social Assistance Accessories $14,043 Illustration $10,246 Manufacturing Music $9,368 Live Games $7,528 Transport, Postal and Warehousing Fiction $7,090 Painting $6,225 Webseries $5,517 Public Adminstration and Safety Food $5,325 People $3,934 Finance and Insurance Services Rock $3,115 Comics $2,796 Professional, Scientific and Technical Services Young Adult $2,506 Publishing $2,226 Wholesale Trade Architecture $2,040 Retail Trade

Education and Training

Issues & Actions COMMUNITY IDEAS COMPUTER GAME SALES $3B No. CO & GROUPS: FOUNDED 3000000 As part of the project, workshops$2B and interviews 3. CULTURE 7. PROCURING LOCAL STARTUP TECHNOLOGY Digital - Queensland were held with key members of the SEQ ecosystem. $1.5B $1.61B 2500000 Participants were asked to discuss, identify and Participants from all regions said a culture of Participants spoke about the challenges involved in Digital - Australia vote on “which issues were critical to the growth of entrepreneurship and innovation needs to be developed securing contracts from both corporate buyers and within Australia if we are to create globally-relevant 2000000 Queensland’s2011 startup2012 ecosystem”,2013 and the actions2017 which government. To manage risk most government agencies All Categories - Queensland would address these challenges. Votes are weighted technology companies. Specific cultural themes and large corporates require substantial track record that inhibited innovative entrepreneurship included: proportionately by the relative sizes of each region’s from 1500000their IT suppliers, making it difficult for new All Categories - Australia population. The top ten issues in order of total weighted Australia’s natural modesty; the tall poppy syndrome; startups to displace incumbent technology providers. votes from all regions were: lack of forgiveness of business failure; aversion to risk taking; male dominance of the technology sector; 1000000 little understanding of the impacts of technology on 8. ACCELERATE NBN ROLL-OUT TOP COMMUNITY ISSUES: economies and culture; little understanding of the global For participants500000 within the Sunshine Coast ecosystem, RANKED BY WEIGHTED VOTES role of technology innovation; default to ‘employeeship’ TOP COMMUNITY ISSUES: RANKED BY WEIGHTED VOTES access to fast broadband via the National Broadband job rather than entrepreneurship; entrepreneurs thinking Network (NBN) was seen as the most critical issue for Raise Awareness 1 beyond local markets; and entrepreneurs having a the growth of the local startup community. Fast, easy boldness of ambition. While developing the culture of Education 2 access to digital infrastructure is critical to the growth of entrepreneurship and innovation within Australia comes Culture 3 startups, and the poor quality of the local network leads in third on the ranking, in many ways it underpins the to substantially reduced productivity. Funding 4 challenges faced within all the other issues discussed. Government Policy 5 9. TALENT & SKILLS 4. FUNDING INNOVATION Collaboration & Networking 6 Building, attracting, and retaining talent was seen as Across all regions access to early-stage funding ranked Procurement 7 a critical factor in growing the ecosystem. While the as a critical challenge for startups, the shortage of voting methodology only picked this up within the Infrastructure 8 funding being particularly pronounced at the angel, Brisbane and Sunshine coast regions, the state and Talent & Skills 9 seed and Series A stages - growth funding being more country’s ‘brain drain’ came up within most interviews accessible due to the proven nature of the startups at Leadership 10 and workshops. The Gold Coast in particular suffers this stage. Securing globally-comparable valuations for from a lack of talented designers, developers and startups within SEQ at any stage is difficult and forces technology entrepreneurs. Retaining a critical mass many startups to look for funding in the US or Europe. of developers, designers, data scientists, electronic engineers, angel investors, venture capitalists, and other 5. GOVERNMENT POLICY TOP1. RAISE COMMUNITY AWARENESS ACTIONS: RANKED BY WEIGHTED VOTES technologists is critical to the sustained growth of any Startup entrepreneurs in both Brisbane and on the Gold startup ecosystem. Participants also spoke about the ForEducation the sector Program to grow and play a substantive role in the1 Coast expressed concern at government policy that need for a cultural shift, so that we come to accept, Australian economy there needs to be greater awareness Digital Queensland Form Leadership Group 2 failed to facilitate innovation and entrepreneurship. encourage and support the movement of ‘talent’ to of the startup ecosystem, the economic impact of high Startup Apprentice 3 While the Sunshine Coast was specifically focused on global innovation hotspots as a good ‘right of passage’ growth startups, and the impact of technology on the the government bringing basic broadband infrastructure for entrepreneurs, who then bring their skills, experience nation.Highlight Raising Success awareness Stories is also a critical factor in 4 Non-Digital Queensland to the region, Brisbane and the Gold Coast criticised and connections back to the state at a later date. mostCollaboration of the following & Networking issues - especially attracting 5 policy at odds with global best practice, specifically investment, facilitating regulatory change, attracting Attract Talent 6 employee share schemes; matched funding for 10. LEADERSHIP Digital Rest of Australia greater participation in entrepreneurship, developing innovation; and investment and R&D tax incentives. The aCommunication national culture Hub of high-growth entrepreneurship, 7 Within the Gold Coast region leadership was seen as a lack of a clear, consistent and long term government andGovt drawing Incentive more - Investment students to study the core STEM 8 critical factor in driving engagementNon-Digital andRest participation. of Australia agenda was seen as a serious impediment to increasing courses required for technology innovation. Participants While this wasn’t articulated so clearly within other Hub 9 foreign VC investment in Australian startups, and a identified celebrating the success of startups as a key regions, communication and physical hubs were contributing factor in the flight of talent, companies and issueNBN for Advocacy the growth Group of both the startup ecosystem and10 discussed for similar reasons. funds to foreign soil. national economy. 6. COLLABORATIVE NETWORKS 2. EDUCATION FOR ALL FUNDING BY REGION While many people see the startup sector as being Across all regions education, in its varied forms extremely collaborative, participants within the sector (accelerator, mentoring, courses, etc.), is seen as understand the benefits of strong network ties and still critical to creating a vibrant ecosystem. On both sides see a great deal of work to be done to achieve a similar Region Unknown of the table, participants in the ecosystem highlight 35000000 level of collaboration to global hubs such as Tel Aviv, both the dearth of suitably educated and experienced Boulder and the San Francisco bay area. Increasing 30000000 entrepreneurs, and on the other side, investors with the breadth and depth of collaboration, along with very little understanding of the business models, global Sunshine Coast financial support from government for key nodes valuation norms and technology challenges associated was seen as critical to the continued growth of the with startups. ecosystem. Collaboration with international ecosystems, international markets, local universities, and big Gold Coast Workshop participants across all regions lamented business was also called out as a key issue. Establishing the low number of Computer Science graduates both physical and digital centralised hubs was seen as and identified this as a critical long-term challenge. critical in most regions. Entrepreneurs also spoke about the challenge in getting Brisbane access to mentors with experience building global River City Labs, Silicon Lakes, Sunshine Coast technology companies. 2009 2010 2011 2012 2013 2014 Innovation Centre and Startup Weekend events are superb examples of hubs that bring the community together.

38 TOTAL INVESTED BY INVESTOR TYPE ($M) Private Equity $46.9M Venture Capital $20.2M FUNDING BY TECHNOLOGY Government Grant - Matched (CA) $19.6M Software (web and mobile) $108m Matched Funding (CA) $15.6M Software and Hardware $14.2m Individual Angel/s $10.9M Software (offline) $1.5m Angel Group $5.1M Silicon Chips & Semiconductors $1.0m Government Grant $4.3M Software (monil only) $1.0m Crowdfunding $1.4M 3D Printing $0.1m Accelerator $0.9M Advanced Robotics $0.1m Unknown $0.8M Corporate $0.2M

Q4 Q3 Q4 Q3 Q4 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2

ALL PROJECT FUNDING ON KICKSTARTER BY YEAR AND REGION 1500000 Brisbane

1200000 Northern Qld Gold Coast 900000 Sunshine Coast

600000

300000

0 TOP TEN COMMUNITY ISSUES BY REGION

Issues Ranking based on Percentage of Total Votes from the Region (unweighted) Weighted Wkshp Votes Brisbane Sunshine Coast Gold Coast Interviews Raise Awareness 1 26% 0% 2% 7% Education 2 16% 10% 16% 24% Culture 3 18% 11% 0% 2% Funding 4 11% 10% 19% 24%

Government Policy 5 12% 0% 10% 2% Collaboration & Networking 6 9% 10% 16% 24% Procurement 7 7% 0% 0% 0% Infrastructure 8 0% 39% 0% 3% Talent & Skills 9 2% 20% 0% 0% Leadership 10 0% 0% 17% 6%

39 Endnotes REFERENCES

1. Meeker, M, 2014. Internet Trends 2014 - Code Conference. KPCB (www.kpcb.com/internet-trends), Menlo Park. 2. eMarketer, 2014. Smartphone Users Worldwide Will Total 1.75 Billion in 2014. eMarketer (www.emarketer.com/Article/ Smartphone-Users-Worldwide-Will-Total-175-Billion-2014/1010536#sthash.8v2V3zzE.dpf), 3. Ibid. 4. www.sciencemag.org/content/332/6025/60 5. The Internet of Things: How the Next Evolution of the Internet Is Changing Everything, April 2011, CISCO authored by Dave Evans. 6. Global Top 100 Companies by Market Capitalisation, 31 March 2014, PWC. 7. www.federalreserve.gov/boarddocs/speeches/2000/20000407.htm 8. A Snapshot of Australia’s Digital Future to 2050, IBIS World & IBM, Phil Ruthven, 9. Disruptive Technologies: Advances That Will Transform Life, Business, And The Global Economy, May 2013, McKinsey Institute 10. Building the Lucky Country: Business imperatives for a prosperous Australia - Digital disruption Short fuse, big bang? September 2012, Deloitte Australia. For additional information on the impact of digital technology on the Australian economy see: Mobile Nation: The Economic and Social Impacts of Mobile Technology, 2013, Deloitte. 11. Enrico Moretti, 2012, The New Geography of Jobs 12. State of Queensland (Department of Science, Information Technology, Innovation and the Arts), Queensland Startup Summit Report, May 2014 13. PWC, 2013, The Startup Economy: How to Support Tech Startups and Accelerate Australian Innovation. PWC Sydney. 14. Based upon the authors calculations using data from: Konczal, J, 2013. The Most Entrepreneurial Metropolitan Area? Kauffman Foundation. (http:// www.kauffman.org/~/media/kauffman_org/research%20reports%20and%20covers/2013/11/the%20most%20entrepreneurial%20metropolitan%20 area.pdf) Hathaway, I, 2013. Tech Starts: High-Technology Business Formation and Job Creation in the United States. Kauffman Foundation. (http://www.kauffman.org/~/media/kauffman_org/research%20reports%20and%20covers/2013/08/bdstechstartsreport.pdf) 15. Kinner, C, 2014, Crossroads: an action plan to develop a vibrant tech startup ecosystem in Australia. StartupAus, Sydney. 16. Bravo-Biosca, A and Westlake, S, 2009. The vital 6 per cent: How high-growth innovative businesses generate prosperity and jobs. NESTA, London. 17. Future Fifty. www.futurefifty.com, accessed 10 June 2014. 18. The Whitehouse. Startup America Commitments. The Whitehouse, (www.whitehouse.gov/economy/business/startup-america/commitments), accessed 2nd June 2014. 19. Florida, R, 2012. The Rise of the Creative Class: Revisited. Basic Books. 20. CB Insights, 2013. It Takes $78 Million in Prior Funding for a Tech Company to IPO, and It’s Getting Bigger Every Year. Capital Efficiency? CBInsights. 21. Tunguz, T, 2014, The Financing Trends Of Billion Dollar SaaS Companies. (www.tomtunguz.com/fundraising-history-saas-publics) 22. Tunguz, T, 2014, How Much Cash Does Your Startup Need To Go Public? (http://tomtunguz.com/burn-rates-before-ipos/) 23. This report’s estimates of funding distribution by company stage is based on aggregated data from the National Venture Capital Association’s “2014 Yearbook” (www.nvca.org/index.php?option=com_content&view=article&id=257&Itemid=103), the Centre for Venture Research’s report “The Angel Investor Market in 2013: A Return to Seed Investing” (https://paulcollege.unh.edu/sites/paulcollege.unh.edu/files/2013%20Analysis%20Report%20FINAL.pdf), and EY’s 2013 report “Global Venture Capital Insights and Trends 2014” (http://www.ey.com/Publication/vwLUAssets/Global_venture_capital_insights_and_trends_2014/$FILE/ EY_Global_VC_insights_and_trends_report_2014.pdf#page=15), Right Side Capital’s “Historical Size of the US Angel Market” (http://www.rightsidecapital. com/assets/documents/HistoricalAngelSize.pdf), and NESTA’s “Siding with the Angels” (http://www.nesta.org.uk/sites/default/files/siding_with_the_angels. pdf). Both the NVCA and EY do not include angel funding within their breakdown of funding by company stage. To establish an estimate the report uses NVCA’s breakdown of software investment in 2013 in the USA ($20b across Seed Stage - 3%, Early Stage - 34%, Expansion Stage - 33%, and Later Stage - 30%), and incorporated CVR’s data on US software sector angel investment in 2013 ($5.7b), to get a breakdown across stages in 2013 of: Seed Stage - 21%, Early Stage - 29%, Expansion Stage - 27%, and Later Stage - 24%. The writers of this report note that measuring seed stage funding is particularly difficult and that numbers for dollar share of technology company funding range between <1% to 50% depending on data source and ecosystem cycles. For comparison CVR states that $22.9b was invested by ~268,000 angels in 67,000+ US companies in 2012, and NESTA estimates that between 4,000 to 6,000 angles invested up to €1 billion in 2000. 24. Kutcher, E, Nottebohm, O, and Sprague, K, 2014. Grow fast or die slow. McKinsey & Company(http://www. mckinsey.com/Insights/High_Tech_Telecoms_Internet/Grow_fast_or_die_slow) 25. Lee, A, 2013. Welcome To The Unicorn Club: Learning From Billion-Dollar Startups. Techcrunch (http://techcrunch.com/2013/11/02/welcome-to-the-unicorn-club/). 26. The Economist, 2012. What next for the start-up nation? The Economist (http://www.economist.com/node/21543151), Tel Aviv. 27. Startupticker, 2012. Switzerland with the highest Venture Capital spending per capita. Startupticker (www.startupticker. ch/en/news/january-2012/switzerland-with-the-highest-venture-capital-spend#.U8y5m4CSxMZ). 28. Vilpponen, A, 2011. VC Per Capita: Europe $7, US $72, Israel $142. Arctic Startup (http://www.arcticstartup.com/2011/06/15/vc-per-capita-europe-7-us-72-israel-142). 29. Data for the “Percentage of Queensland Gross State Product From Industry 2011-13” was provided by the Department of Science, Information Technology, Innovation and the Arts. Brisbane, July 2014. 30. http://www.abs.gov.au/ausstats/[email protected]/Latestproducts/8679.0Explanatory%20Notes12011- 12?opendocument&tabname=Notes&prodno=8679.0&issue=2011-12&num=&view= 31. Bond University, 2014. Digital Australia 14. Interactive Games & Entertainment Association (www.igea.net/wp-content/uploads/2013/11/Digital-Australia-2014-DA14.pdf). 32. Bajric, N, 2014. Next-gen consoles, digital sales driving Australian video games industry. PC World (www.pcworld.idg.com. au/article/538151/next-gen_consoles_digital_sales_driving_australian_video_games_industry), Australia. 33. Games Industry, 2013. Australian game industry sees $1.16 billion in sales in 2012 (www.gamesindustry.biz/ articles/2013-02-13-australian-game-industry-sees-USD1-16-billion-in-sales-in-2012), Australia. 34. http://www.acs.org.au/__data/assets/pdf_file/0004/28570/Australian-ICT-Statistical-Compendium-2013.pdf

40 People ECOSYSTEM

Paul Jansz Elaine Stead Darren Herft Claes Loberg

Steve Dalton

Gabriel Buckley Aaron Birkby Martin Mankowski

Bernie Woodcroft

Greg Searle Steven Baxter Mark Paddenburg Matthew Ford Danny Maher Richard Moore Paul Jones Paul Niederer

Colin Kinner Damien Waller John Wayne Gerard Passfield Sam Friend

Sean Bunton

41 AUTHORS

Mike Kruger and Jonah Cacioppe - founders at Boundlss. Produced for and in partnership with the Queensland Department of Science, Information Technology, Innovation and the Arts; Brisbane Marketing; the Sunshine Coast Council and City of Gold Coast. For a copy of the report visit: DSITIA (www.qld.gov.au/dsitia/reports), www.startupqld.org or www.boundlss.com/seq