# Giving METI Money to University High Tech Ventures

- Author: Joichi Ito
- Date: 2002-09-05T06:38:03Z


Hirata and I will be spending the day at Ministry of Economy Trade and Industry (METI) judging the business plans of dozens of high tech venture business plans from university/industry programs. The TLO/venture program is part of a huge METI project to try to get ventures to grow from universities. The problem, after reading most of the plans, is that just giving money to these guys will not a venture business make... I am worried that this is going to be a huge waste of tax money... I think it is OK to fund basic research with government money, but this faux VC style investing from the government is pretty strange. We are juding life science, energy, IT, chemical and other types of technology. I have no idea how to judge any thing other than the IT and energy plans. They've asked me to judge the "business" side of the plan and they have other people focused on the technology. It's pretty strange/impossible to judge the business without knowing the technology. For instance, "XX will make the XX process XX more efficient and therefore will revolutionize the XX market." If this is true, SURE, it's sounds like a great business. If it isn't true, no chance. With IT I have a very good idea of the market size and the feasibility of technologies, but in life sciences... no way.

Anyway, I don't want to bash this program too much yet until we have the first meeting today, but I'm definitely going to voice my opinion before we start into the detail. We will be allocating millions of dollars (billions or hundred millions of yen) today so I feel quite responsible. Luckily I don't know anyone on the list of people who applied for grants/funding so at least I don't feel conflicted...





---

#### Categories

Joi's Diary