TDK Ventures Funded with $50 Million to Invest in Early-Stage Startups

July 03, 2019 by Paul Shepard

TDK Corporation has established TDK Ventures, Inc., a corporate venture company (CVC) to invest in early-stage innovative startups to bolster innovation in material science, energy/power and related areas typically underrepresented in venture capital portfolios. TDK Ventures, established as a wholly-owned subsidiary of TDK Corporation, will have an initial fund size of $50 million.

TDK Ventures will focus its investments on technologies and solutions that embrace digital and energy transformation towards a sustainable future.

Building on TDK's 85 years of experience commercializing magnetic and electronic materials, TDK Ventures will focus its investments on technologies and solutions that leverage fundamental material science to unlock an attractive and sustainable future for the world. These would include but not be limited to magnetics, MEMS, piezoelectrics, dielectrics, semiconductors, organic materials and neuro-electricals. TDK Ventures expects to identify and explore new ideas and technologies, fund and support promising companies and provide access to markets where TDK operates.

Innovative startups will be able to leverage TDK's scale and reach to access potential customers, channels, a global ecosystem, industry connections, market knowledge, operating expertise as well as go-to-market/branding mentorship. In return, TDK will gain early insights into new technologies, allowing the leading global electronics company to enhance its technology roadmap and make forays into new markets and segments.

"The investments made by TDK Ventures will bring new, powerful, transformative business opportunities to TDK," said Shigenao Ishiguro, President and Chief Executive Officer, TDK Corporation. "With TDK Ventures, TDK will continue to expand the marketplace and deliver sustainable growth into our future."

The vision of TDK Ventures is to embrace and propel the digital and energy transformations of segments such as health and wellness, next-generation transportation, robotics and industrial, mixed reality, and the wider IoT markets. TDK plans to hire top talent with experience and investment capability related to CVC activities to collaborate with startups globally. Nicolas Sauvage, who brings more than 20 years of industry experience, will serve as Managing Director of TDK Ventures, Inc.

TDK Ventures is looking towards partnering with the right startups that meet its investment guiding principles; the development and use of fundamental material science to unlock meaningful megatrends.