What currently happening in deep tech,challenges and opportunities

Deep-Tech 

 Deep-tech is an umbrella definition that includes, amongst others, agri-tech, food-tech, clean-tech, life sciences (which can include drug discovery and medical devices but not digital transformation), space, artificial intelligence and machine learning. 

Software companies that do not have strong defensible intellectual property or novelty are typically not deep-tech companies in our eyes.  We have many great software companies in our Aspire portfolio and continue to see investing opportunities in that area. We will continue to invest in some of these, but for the reasons set out below, we are putting more of our focus into assessing deep-tech opportunities and supporting that sector. We will also look to invest into other areas that blur the lines but are emerging sectors in New Zealand – again, we'll write a separate blog on that!

 These companies and their potential solutions present challenges requiring lengthy research and development and large capital investment before successful commercialisation. Deep-tech companies usually have to develop and scale their technologies long before they can even generate revenue as their users need to see relatively well- formed solutions before they are willing to even trial the solution, let alone buy it. There may also be strong regulations e.g. FDA approval (often following extensive clinical trials that have confirmed both safety and efficacy) before they are able to be sold. Deep-tech companies are also called hard-tech companies and can cover a wide range of areas as explained below.

Deep Tech: A Glimpse into the Future

Here are some of the most exciting developments in deep tech:

Artificial Intelligence and Machine Learning

• Generative AI: Tools like ChatGPT and Mid journey are revolutionizing content creation, from writing to art.  
• AI in Healthcare: AI is being used to diagnose diseases, develop new treatments, and personalize patient care.  
• Autonomous Systems: Self-driving cars, drones, and robots are becoming increasingly common.

Biotechnology and Genomics

• CRISPR: This gene-editing technology is being used to develop new treatments for genetic diseases and improve agriculture.  
• Synthetic Biology: Scientists are creating new organisms with novel functions, such as producing biofuels or pharmaceuticals.  

Quantum Computing

• Quantum Supremacy: While still in its early stages, quantum computing has the potential to solve complex problems that are intractable for classical computers.  

Clean Energy

• Renewable Energy: Solar, wind, and hydroelectric power are becoming more efficient and affordable.  
• Energy Storage: Advancements in battery technology are enabling the widespread adoption of renewable energy.  

Materials Science

• Advanced Materials: New materials with unique properties are being developed for applications in electronics, aerospace, and medicine.  

Space Exploration

• Space Tourism: Commercial spaceflight companies are making space travel more accessible.  
• Space Mining: The potential for mining resources in space is being explored.  

Challenges and Opportunities

While deep tech offers immense potential, it also presents challenges. Ethical considerations, regulatory frameworks, and the need for skilled talent are just a few of the issues that must be addressed. However, the rewards of investing in deep tech can be substantial, both in terms of economic growth and societal impact.  

As deep tech continues to evolve, we can expect to see even more groundbreaking innovations that will shape our world in the years to come.

click here to read more about check my article