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Arçelik will provide $5 million support to 7,000 entrepreneurs

Institutions’ investments in open innovation continue to grow alongside their global commitments.

Arçelik, an appliance giant, is aiming for global leadership by expanding its research and development (R&D) and innovation collaborations globally with the Garage Innovation Hub, its planning and execution department for the innovation and entrepreneurship.

Arçelik Garage Innovation Hub, a growing global open innovation platform, has so far interacted with over 2,000 partners, spotted over 1,800 startups and developed cooperation with over 80 startups.

Garage Innovation Hub organized an Open Innovation Day with the participation of a large number of startups, business leaders and investors from all over the world to help spread the culture of open innovation.

As part of the United Nations Generation Equality Forum commitments, Arçelik plans to reach 7,000 entrepreneurs, including 5,000 women, by 2026, and help them reach approximately $5 million in financial support with the Garage Innovation Hub.

Partnership with venture capital funds

“As a growing global innovation platform, with our nearly 2,000 stakeholders, including mentors, investors, universities and entrepreneurs around the world; we provide business development, access to financial support and mentorship to entrepreneurs, right from the idea stage,” said Arçelik Chief Strategy and Digital Officer Utku Barış Pazar.

On its way to becoming one of the leading open innovation platforms globally, Pazar said it has set itself important goals such as supporting the incorporation of new ideas in many areas such as sustainability, artificial intelligence, augmented reality (AR) and virtual reality (VR), marketing and production technologies, and healthcare, in each of the 146 countries in which they operate over the next five years.

Utku Barış Pazar, Strategy and Digital Director of Arçelik. (Courtesy of Arçelik)

“As we continue to provide startups with access to financial support, we will further increase our contribution to the ecosystem by partnering with regional venture capital funds. In February 2022, we took our first step in this direction. and became a sponsor of 500 Startups, a world-renowned venture capital fund, and in April we joined the latest fund managed by Hoxton Ventures, one of the leading venture capital funds in Europe,” said he noted.

Help for 40 start-ups

Spearheading the global spread of the culture of open innovation, Arçelik is aiming for global leadership with the Garage Innovation Hub. Arçelik Garage Innovation Hub, which has interacted with over 2,000 partners since its inception in 2017, has provided 40 entrepreneurs with access to TL 8 million ($540,000) in grants, as well as training and development support. mentoring to 274 entrepreneurs to date. With its incubation activities, it has accompanied more than 80 startups to develop business ideas.

Garage Innovation Hub aims to transform innovative ideas into products and projects by creating an ecosystem of mutual sharing through entrepreneurship, innovation programs and events that it carries out inside and outside the business.

It plays a facilitating role to enable the ecosystem to benefit from the knowledge, experience and connections of ecosystem players such as startups, mentors, investors and relevant non-governmental organizations (NGOs), representatives of private and public institutions.

Garage Innovation Hub, which designs innovation and entrepreneurship programs, also works to develop new technologies and business models that fall outside of Arçelik’s core competencies.

Garage Innovation Hub, a growing open innovation platform, aims to contribute to the development of the ecosystem in line with its goal of global leadership in the field of open innovation. It brought together innovative thinkers, companies, startups and investors from around the world for the Open Innovation Day, held for the first time this year.

Stating that the Open Innovation Day is a platform to stimulate discussions with the participation of important players within the ecosystem, Arçelik’s Pazar said that in a short period of five years, they have worked with a large number of universities, NGOs, institutions and organizations from all over the world that support innovation.

“Innovation is not a process that belongs to one institution or function alone. Open innovation platforms such as the Garage Innovation Hub can bring ideas to life, paving the way for innovations that benefit humanity. We aim to bring more and more ideas to life, wherever possible,” he noted.

Regarding Arçelik’s open innovation approach, Pazar said that they have started developing startup-friendly applications to enhance their collaborations with startups.

“We say ‘Dare, Connect, Undertake, Value.’ Our goal is to support startups in each of the 146 countries we operate in. With a view to becoming one of the world’s leading open innovation platforms, we continue to help entrepreneurs secure grants through programs such as BIGG3.”

Arçelik has more than 40,000 employees worldwide and its global operations include sales and marketing offices in 49 countries and 28 production sites in nine countries. It has 12 brands, namely Arçelik, Beko, Grundig, Blomberg, ElektraBregenz, Arctic, Leisure, Flavel, Defy, Altus, Dawlance and Voltas Beko.

It is the second largest white goods company in Europe in terms of market share, based on volumes. Arçelik achieved consolidated revenue of 6.5 billion euros ($6.85 billion) in 2021.

Arçelik’s 29 R&D and design centers and offices around the world are home to more than 2,000 researchers and to date hold more than 3,000 international patent applications.