A group of Russian scientists who developed LiveMap, a huge motorcycle helmet with an Android-powered navigator in its visor, believe their invention will be the next big thing in bikers’ head gear. And they are not the only ones hoping for a return on their investment when the helmet goes on sale next year.
Among LiveMap’s financial backers is Skolkovo, the Kremlin-backed innovation hub, that, now entering its fourth year, needs to show it can make money as well as spend it.
Skolkovo was launched in 2010 by Dmitry Medvedev, the then Russian president, as the flagship of his campaign to modernise the economy. The idea is to bring start-ups, leading science and technology companies, research and education together at a new techno-park that will act as a catalyst for innovation across Russia.
Russia has invested Rbs50bn ($1.6bn) in Skolkovo so far, mostly to finance construction at a 1,000 acre site on the western flank of Moscow, where the technopark is being built from scratch. Many of the world’s leading technology companies, including Cisco, Siemens, Intel and Microsoft have been drawn by the promise of tax breaks. Some will establish research and development centres to sit alongside SkolTech, a university campus being developed in partnership with the Massachusetts Institute of Technology.
Russia is famous for scientific talent, but not for entrepreneurial thinking that can turn bright ideas into profitable businesses. Skolkovo has set out to change that, providing space and finance for inventors, and links with venture capitalist firms. More than Rbs9.47bn worth of grants has already been distributed among 209 start-ups, says Leonid Gankin, a spokesman for the Skolkovo Foundation.
Supporters of Skolkovo say the technohub is a work in progress and needs at least a decade to prove its worth. Critics warn that innovation cannot be dictated from the top down and, unless Russia reforms, Skolkovo and Russian economic modernisation are destined to fail.
Another concern is that, with Mr Medvedev no longer Russian president, but prime minister of a weak government, Skolkovo could fall prey to political power battles. A police raid on the Moscow headquarters of the Skolkovo Foundation in April highlighted the project’s vulnerability, and unnerved investors.
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