The alliance between startups and large corporations is a fundamental strategy for promoting open innovation organically and sustainably. Startups bring disruptive ideas and creative solutions to specific challenges, while large companies offer the resources and infrastructure necessary for these innovations to be quickly implemented and benefit society.
In the health sector, where the demand for new solutions is urgent, this collaboration is especially advantageous. Successful partnerships allow innovations to reach the market faster, meeting the needs of patients and healthcare systems. However, there are challenges in establishing these alliances.
Challenges and Partnership Models
One of the main obstacles is identifying startups with solutions aligned with the specific needs of large companies. This process can be time-consuming, requiring careful market and technology analysis. Once the ideal partner is found, negotiating legal terms is essential to ensure clarity regarding rights and responsibilities. Additionally, many innovative solutions must be approved by regulatory bodies like ANVISA, which can delay market entry.
There are various collaboration models, each varying in depth and integration. For example, a large corporation representative could be present within the startup’s research core, a portion of a corporate project could be developed at the startup’s facilities, or an R&D&I department of the company could transfer to the startup environment.
These models are beneficial for both parties. Large corporations can reduce costs and validation stages by leveraging protocols already established by startups. Additionally, startups gain access to equipment, collaborative networks, and proximity to universities, which are sources of cutting-edge research.
Beyond innovation, large corporations benefit from the startup’s work methodology, identify promising routes for certain technologies, and stay updated in the biotech market. The biotechnology market, which uses living organisms or biological systems to develop new products, services, and technologies for health, agriculture, industrial applications, and other fields, encompasses a wide range of sectors, including biopharmaceuticals, biotechnology R&D, bioprocessing, genomics, proteomics, bioinformatics, and synthetic biology.
The global biotechnology market has grown rapidly in recent years, driven by factors such as increased demand for innovative treatments for chronic diseases, higher investment in innovation, technological advancements, and government support. Biotechnology R&D often involves genetic engineering, gene editing, and other advanced techniques to modify or manipulate living organisms to produce desired traits or outcomes. Biotechnology has revolutionized many industries and has the potential to address some of the world’s most pressing challenges, such as disease, hunger, and climate change.
Startups can be integrated into the context of large companies in various ways, depending on strategic objectives and the development stage of innovations. A common approach is the creation of corporate acceleration or incubation programs, where startups receive mentoring, infrastructure, and funding to develop solutions that meet the corporation’s specific demands. Another form of collaboration is through technology supply contracts, where the startup provides products or services directly integrated into the large company's operations.
Additionally, co-development models exist, in which startups collaborate with internal R&D teams to enhance technologies, explore new markets, or develop joint innovations. These partnerships can range from creating joint labs to establishing business units focused on new technologies, enabling deeper synergy and increasing the chances of success for both parties.
The SUPERA Parque Model in Open Innovation
SUPERA Parque, located on the USP campus in Ribeirão Preto, is a concrete example of how collaboration between startups and large corporations can be promoted. With a focus on biotechnology, the park develops solutions in health, agribusiness, and environmental areas, encompassing products like medicines, vaccines, bio-inputs, and environmental treatment technologies.
Additionally, the Park invests in healthtechs, with initiatives in telemedicine, AI for diagnostics, and digital platforms for remote patient monitoring. These solutions enable startups and companies to create innovative products that transform healthcare, optimizing access and service efficiency.
The SUPERA Lab is the Park’s open innovation program, aimed at building connections between different actors in the innovation ecosystem. Through these connections, various initiatives are developed, bringing together people, knowledge, and structures to generate new solutions and business models. This program focuses on aligning efforts, needs, and capabilities to contribute to sustainable socio-economic development.
The primary services offered within the program include implementing sectoral hubs focused on attracting and accelerating projects aligned with the organization’s interests and supporting the establishment of a strategic innovation core and innovation policy formation.
By the end of 2023, SUPERA Lab had five innovation hubs in operation, prospecting projects in sectors like gas and energy, public management, urban planning and construction, agribusiness, and health. A total of 206 innovation opportunities were mapped, and 11 proof-of-concept projects were completed.
Mutual Benefits and Global Impact
In addition to gains in innovation, large corporations benefit from adopting the agile mindset of startups, which allows them to identify promising trends and remain competitive in the global biotechnology market. This market spans a vast array of sectors, including biopharmaceuticals, bioprocessing, genomics, and synthetic biology, and is driven by technological advancements and increased investment in R&D.
Collaboration between large companies and startups also brings opportunities for international expansion and greater integration with ESG (environmental, social, and governance) practices, essential for sustainable operation in today’s market. Startups, in turn, gain access to new markets and learn from established business practices, such as people management and profitability.
Despite the challenges in establishing partnerships between startups and large corporations in the health and biotechnology sector, the benefits are clear. Strategic collaboration accelerates innovation to market, improves process efficiency, and enables companies to leverage emerging technologies to better meet public health needs. Startups bring agility and creativity, while large corporations provide infrastructure and market reach, creating an ecosystem that fosters the advancement of innovative solutions on a global scale.
The future of open innovation in biotechnology is extremely promising, with trends including the increasing use of AI in healthcare, personalized therapies, and sustainable solutions for agribusiness. By leveraging the capabilities of both sides, the sector can address major challenges, such as chronic diseases, food security, and climate change, with a collaborative and impact-oriented approach.
How has your organization leveraged the opportunities provided by Open Innovation? Share your experiences and insights in the comments, and let’s continue the conversation about strengthening collaboration between startups and corporations to drive growth in the health and biotechnology sector.
by Maria Angélica Oliveira Luqueze
Ph.D. Fellow in Strategic Projects - Supera Parque