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Startups in Latin America: A new engine for growth?

Trends And Opportunities In Latin American Startups

Trends And Opportunities In Latin American Startups

Increased Venture Funding

It’s no secret that the Latin American startup ecosystem is exploding with as many as 23 unicorns in the region, of which at least six emerged in the last 12 months alone. However, for many investors, the political and macro risks and lack of familiarity with the region have historically kept them away. A few years ago, this began to change rapidly; in the past five years, Latin American venture funding has exploded.

According to CB Insights’ most recent State Of Venture Report (registration required), investment in the first half of 2021 for Latin America was $9.3 billion, a staggering 830% increase versus just 10 years ago. Further, the last wave of Latin American tech unicorns has created “mafias” of operators, angel investors, and lasting connections to the U.S. and global funds that are now eager to invest in the region.

Trends And Opportunities In Latin American Startups

Startups in Latin America - Update 2019


#Innovation  #Latam

Technological development is the ultimate driver of long-term economic growth. However, the countries of the region continue to suffer from structural lag in the dual dimensions of productivity and the embedding of technological progress. Innovation policies must be combined with science and technology policies to efficiently unite the efforts of companies, governments, and academic sectors. This will strengthen national innovation systems and link them with the main trends in the global economy.

Globalriskinsights said: "It is no mystery that the startup, entrepreneurial community in Latin America has long endured financial, economic, and political hardship. Government spending into infrastructure, research and innovation has been far from ideal in previous decades, plus the remarkable amounts of red tape and bureaucracy made private investment prospects a relatively rudimental reality".

communication hub

This is an excellent description and also a great wish, but we can learn from the media, that :

Forbes: "América Latina tiene la tecnología, pero no está innovando. En un entorno mundial cada vez más tecnológico, las empresas de América Latina no utilizan la tecnología para innovar".

EL TIEMPO: "América Latina usa internet pero carece de desarrollo tecnológico. Si no se adoptan medidas para superar sus rezagos, se quedará atrás en el desarrollo económico" .

Sputniknews: "La innovación tecnológica tiene que explotar en América Latina" .En América Latina las tendencias tecnológicas vienen de la mano del big data, los servicios cloud, la experiencia de usuario y el internet de las cosas. Aunque el diferencial de las empresas de la región estará en su capacidad de innovar, de encontrar nichos, y desde ahí crecer.

Globalriskinsights said: "In terms of future challenges, a pressing objective is finding ways to create synergies and cooperation at the regional-international level, capitalizing on the renewed pro-integration spirit across Latin America".


El índice de Preparación Digital (DRI), por sus siglas en inglés) es un estudio que recientemente publicó los resultados sobre qué tan preparadas están 118 naciones en esta materia. El balance dejó ver los lugares de los diferentes países de América Latina, con claros líderes en esta materia.

laser cutting

A nivel regional, el estudio está liderado por Uruguay, Chile, Costa Rica, Panamá, México y Puerto Rico, naciones que se quedan con las primeras posiciones en la región. A estos países les sigue Colombia, Argentina, Perú, Brasil, El Salvador, Ecuador, República Dominicana y Guatemala, en el resto de la tabla.

2017 Start-Up Latin America: building an innovative future.

Start-up Latin America 2016 presents an update of start-up promotion policies in the region. Start-ups are becoming a reality in Latin America and public policies are playing an important role in supporting their creation and expansion.

This second edition reviews and compares the experiences of Chile, Colombia, Mexico, and Peru, highlighting the policy objectives and specific instruments employed by each country to support the development of start-ups.

Three common trends emerge: the countries are i) introducing reforms in the policy mix to combine financing schemes with support services; ii) experimenting with new tools (such as co-working spaces and crowdfunding) and forging partnerships with large companies; and iii) advancing in the creation of a pro-startup mindset.

Major challenges that lie ahead include i) strengthening the evaluation of these policies; ii) advancing in setting up a business-friendly regulatory framework, and iii) increasing private investment in innovative businesses. This study is the result of a joint project of the OECD Development Centre and the Mexican Institute of the Entrepreneur.

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