Incubators and accelerators stand as two essential pillars for fostering creativity and accelerating business expansion for early stage entrepreneurs and innovators.
Incubators offer crucial resources including coaching, networking opportunities, and occasionally, finance, in a nurturing atmosphere for developing entrepreneurs.
On the other hand, accelerators are meant to help organizations that currently have a defined product or minimum viable product (MVP) develop quickly.
Both the models offer extensive support, including financing, access infrastructure and resources, contacts to investors, and coaching. The significance of these programs is enhanced multi-fold in the MedTech industry considering the specialized infrastructure and mentoring requirements, compliance considerations, capital intensive-high risk investments and industry insights to drive innovations that potentially impact lives.
Recent impetus from the Government of India, amplified demand for medtech innovations and ability to leverage technology develop and deliver medical and healthcare solutions has helped the MedTech innovation ecosystem grow faster in India resulting in establishment of several MedTech and HealthTech focused Incubators and Accelerators in India.
Distinguishing Between MedTech Incubators and Accelerators:
To comprehend their roles in the startup ecosystem, it’s vital to differentiate between incubators and accelerators.
Incubators: Function as nurturing environments for fledgling startups, often ideas without proof of concept, during their early stages.
- Provides office spaces.
- Offering the guidance from mentors with years of experience and expertise.
- Develop networking by aiding in networking opportunities.
- Providing occasional financial support.
Accelerators: Suitable for start-ups with clear products or minimum viable products targeting rapid growth.
- Presents an intense, structured approach towards scaling of business.
- Often provide programmes for which the durations are fixed.
- Provide mentorship, offer investments and connections to investigators.
Choosing Between Accelerators and Incubators:
Based on where a startup stands in its development stage, it is their choice whether to opt for an accelerator or an incubator programme. Incubators can offer with essential tools and right guidance needed at the time for a business idea or MVP stages to sharpen their concepts and streamline the business plans.
The accelerator programmes are designed such that it takes the firm forward quickly. This is advantageous for startups that own a clearly defined product and a growth-oriented mindset. Startups must have an idea about their immediate needs, long-term objectives and know the specific resources the programme type provides while choosing between the two.
MedTech Market Growth in India:
The MedTech industry, encompassing medical devices and diagnostics, has experienced remarkable growth in recent years. Projections suggest that the global market will reach a valuation of approximately $600 billion by 2025, with a sustained compound annual growth rate (CAGR) of about 6% until 2030.
Startups that focus on innovative medical solutions have contributed to this gush in growth. India being the fourth largest medical device market in Asia, a rise in startups have been observed. Startups that are mainly dedicated to addressing the healthcare challenges with technological innovations.
The driving force of the Indian MedTech startup sector’s rapid evolution is the rise in healthcare demands, government assistance and technology development. With over 250 MedTech businesses and an expected market growth rate of 15% with already available information, this field presents with huge potential. The sustainable growth trajectory of the MedTech sector will be based on issues like global regulatory harmonization, intellectual property protection and being in compliance with changing rules.
Initiatives from the Government of India to Foster MedTech Growth:
The MedTech sector grows rapidly, and the Indian government provides significant support to this sector. An example of this is the Production Linked Incentive Schemes. This programme was put forth to increase domestic manufacturing. The medical device parks in various states promote a favourable environment for medical device expansion. Initiatives taken by the government like The National Medical Devices Policy and the National R&D Policy encourage industry innovation and cooperation.
MedTech Incubators and Accelerators in India – Catalysts for Success:
Specialized incubators and accelerators have shown significant contributions and enabled the success of startups in the Medtech sector. These programmes, from technical to commercial, cover a broad range of assistance which also includes mentoring, risk assessment and advising on regulatory compliance. Research workstations, specialized equipment and design workstations are important in MedTech product development. Incubators and accelerators give access to these facilities.
Examples of MedTech Incubators and Accelerators:
1. Famous MedTech Incubators and Accelerators in India:
Andhra Pradesh MedTech Zone (AMTZ): Notable for providing comprehensive support to startups in medical devices and diagnostics sectors.
Sree Chitra Tirunal Institute for Medical Sciences and Technology (SCTIMST): Offers comprehensive assistance for startups operating in medical devices and diagnostics fields.
2. Educational Institutions’ Contribution:
IIM-A and IIMB: Renowned educational institutions contributing to the MedTech landscape. They have launched programs targeting HealthTech and Wearable devices sectors.
Please refer to the table below for comprehensive list of MedTech/HealthTech Incubators and Accelerators in India:
| FHealth | Accelerator | Madhavbaug,’ one of India’s largest Ayurveda Cardiac Care clinics | D2C, home healthcare, telemedicine, patient-centric innovations, medtech and digital therapeutics |
$1.5 million across 8-10 companies over three batches in FY 23
|
| Health Innovation Exchange | Accelerator | Government of India Biotechnology Industry Research Assistance Council (BIRAC) and Tata Trust enabled Social Alpha | Cancer Care, Drone Logisctics, 3D drug Delivery, UAV | |
| NIRMAN | Accelerator | IIT Kanpur, DST | Agritech, Cleantech, Cybertech, Education, Fintech, Hardware, Healthcare, Infra, AI/ML/IoT, UAV |
100+ Companies, $1B+ Valuation
|
| Action for India | Accelerator | | Social Healthcare, Remote Health Monitoring, Diagnostics, Insurance |
10+ Healthcare/ MedTech startups
|
| mPragati | Accelerator | mPragati – IIT-D / ICMR, DHR | Implants Surgical Instrumentation Electronic Instrumentation Rehabilitation |
20+ Startups |
| Healthcare Technology Innovation Center | Incubator | IIT-M Dept of Biotech, MST | Telehealth, Diagnostics, Invasive/ Non Invasive Devices |
12+ companies already in market
Grant upto INR 50 Lakhs |
| UnLtd India | Incubator | Shahani Group Initiative | Health Information, Social Healthtech |
5+ healthtech startups
|
| DCEI | Incubator | DA-IICT Centre for Entrepreneurship and Incubation (DCEI) | HealthTech | |
| IIM Calcutta Innovation Park (IIMCIP) | Incubator | IIM C | HealthTech | |
| National Design Business Incubator | Incubator | | Mobility, healthTech | |
| Manipal University Technology Business Incubator | Incubator | | Rehabilitation, Diagnostics, Stem Cell, eLearning | 20+ Startups |
| Periyar TBI | Incubator / Accelerator | | Medical Devices, Food Biotech, Nutrition | 10+ Startups |
| GE Edison Accelerator | Accelerator | | Digital Transformative Healthcare | 10+ Start-ups |
| Accelerator | Google for Startups | Deep Tech, AI/ML HealthTech |
10+ Start-ups in India
|
|
| IKP | Incubator / Accelerator | | Pharma, MedTech, Healthcare, Biotech, Diagnostics | 65+ companies |
| Bangalore BioInnovation Center | Incubator / Accelerator | | | |
Conclusion:
Incubators and accelerators are critical to fostering innovation and promoting startup success in the ever-changing MedTech industry. These programmes help transform unique ideas into successful enterprises by providing necessary resources, mentorship, and finance. These incubators and accelerators will remain key catalysts for innovation, growth, and dramatic change as the MedTech sector continues to rethink healthcare solutions. Students, Faculty Members, Early Stage Entrepreneurs can evaluate their choice of a program based on their current situation and clearly defining their expectations from the program.
Artixio can give you a clear idea on which programme to opt for according to the needs prioritized for your startup. Connect with us through info@artixio.com
FAQ’s
Q. What is the key difference between incubators and accelerators in the MedTech industry?
The main difference between the MedTech incubators and accelerators is that incubators are for inexperienced, underdeveloped businesses or for a MedTech idea. It provides a nurturing environment. Accelerators are for much more advanced business startups with a clearly defined product or MVP targeting for rapid growth. This provides an intense but structured approach.
Q. Do MedTech incubators and accelerators charge?
Yes, they do charge but in different ways. Incubators may charge for the services they provide like office rental space but accelerators instead of charging, they might demand a percentage of equity.
Q. How do I know whether I need an incubator or accelerator programme?
You have to analyse your startup’s current developmental stage and have a clear vision on what your priority is in developing your business. If you are focusing on growth and expansion, then you have to opt for an accelerator programme. But if you are just starting and figuring out things then the incubator programme is the one that you should go for.
Q. Is there any duration for the incubator or accelerator programme?
Yes, there is a time period. For incubators this is often open ended, providing flexible duration whereas for accelerators there is a fixed duration which is typically around 3 to 6 months.
Q. What are some common services offered by incubators and accelerators?
They provide training and mentorship, financial advice, networking opportunities and extensive support are the commonalities for both accelerators and incubators.
