Chinese Entrepreneurs In Silicon Valley Under The Epidemic: Technology Breaking Into The Global Epidemic Prevention Business And Breaking Through The Trend

In 2020, the impact of the new crown pneumonia epidemic on Silicon Valley technology companies continued. In May 19th, another news came out that the Uber will cut another 3000 people and close 45 offices around the world to cut down on non core businesses such as freight and autopilot.

For startups, survival can change the world. This newspaper has previously reported that Silicon Valley technology company, in the form of discounted financing and layoffs, reserves funds to cope with the impact of the epidemic and the downward pressure on the economy.

On the other hand, the other side of Silicon Valley's entrepreneurial market during the epidemic period is the rapid growth of start-up companies such as office coordination, digital health care, supply chain automation and online education.

According to the survey of 500 Startups seed investors and VC early investors, 68% of respondents believe that the epidemic will have a negative effect on their investment, but investors pay more attention to health care, mobile office, logistics and distribution, efficiency software, mental health and other areas during the epidemic.

Zhang Lu, founder partner of Fusion Fund, also told reporters that the global epidemic accelerated the digital transformation of enterprises. During the epidemic period, the management team attached great importance to cooperation and efficiency improvement.

A new generation of Chinese entrepreneurial enterprises

There are many Chinese start-up companies in the Silicon Valley technology companies that are growing. During the epidemic period, they not only achieved business growth, but also participated in the global epidemic prevention work.

Since the first quarter of this year, the performance of Zoom, a Chinese venture enterprise, has been particularly impressive in the open capital market. Yuan Zheng, founder of Zoom, was born and raised in Tai'an, Shandong. In 90s, she went to the United States and joined WebEx. In 2011, she founded the video conference service company.

After the outbreak of the new crown pneumonia, Zoom first opened its basic version free service to Chinese users. In addition to the commercial scene, Zoom also provides video conference support for Chinese tertiary institutions and public hospitals. From March to April, it will expand its support to schools in 19 countries and regions, including the United States, Italy and Japan, and provide online learning support for millions of students in more than 90 thousand schools worldwide.

"I was born in Shandong, China, and graduated from Shandong University of Science and Technology. This has always been the land of deep affection for me. People in China and around the world are trying to save patients and fight the epidemic, and their courage and efforts continue to inspire me. " Yuan Zheng wrote in an article in Zoom's official website.

At the time of the epidemic, Zoom is the pioneer of technology start-ups supporting the global epidemic. From the perspective of Chinese entrepreneurship, Zoom is a representative of the new generation of Chinese entrepreneurs in the US market.

Immigration is an important force in the US technology sector. According to the statistics of the national policy foundation (NFAP) as at October 2018, the majority of Unicorn companies in the United States had founders or co founders of immigration backgrounds, including representatives of Uber, SpaceX, WeWork, Palantir and Stripe.

Since 2010, many Silicon Valley technology practitioners have returned to China to start their own businesses. By the end of 2019, Wish, DoorDash, Confluent, Nuro, these start-ups with Chinese founders or co founders, Plus.ai And so on have all entered the list of unicorns. In the listed Chinese venture enterprises, Zoom ushered in a surge in users during this year's epidemic, and now its market capitalization is nearly $50 billion.

Chinese culture + Chinese capital

Earlier, Silicon Valley's Chinese start-up companies included WebEx jointly founded by Zhu Min, NetScreen founded by Deng Feng, Fortinet created by Xie Qing, and Marvell founded by Dai Weili and his wife. Since 2010, a new generation of Chinese startups located in "globalized enterprises" has emerged.

"Chinese entrepreneurs generally have a good educational background and experience in Silicon Valley technology company. Chinese people are diligent and have a good sense of financial management and operation management. They can operate efficiently at a limited cost and achieve profitability. Xu Minyi, founder of GrubMarket, introduced in an earlier activity dialogue.

Xu Minyi worked in American technology companies such as Oracle and eBay. In 2014, a fresh electric business enterprise GrubMarket was set up in Silicon Valley. During the new crown outbreak in 2020, besides the rapid growth of orders, GrubMarket continued to acquire regional fresh electricity suppliers, fresh wholesalers and related software platforms.

"Now is the best time for To C business. The acquisition has complemented the company's SKU, plus technical and channel complements, so that the company's revenue has shown a geometric growth. Chen Jie, managing partner of Celt venture capital, told the twenty-first Century business reporter.

The rapid rise of the new generation of Chinese technology enterprises is also inseparable from the support of Chinese investors. There are many Chinese capital investments behind the Chinese startups, including a number of Chinese investment institutions.

"If 10 companies were divided into one market in the past, maybe two or three companies would take it down now." According to Zhang Lu analysis, the low tide period is the best time for early investment, and many companies have developed into big ones through the low tide period.

In the eyes of investors, despite the challenges faced by big companies or small companies in the coming year, the revival of the epidemic after the outbreak can be expected. And, as Jeffrey Grabow, head of Ernst's venture capital, says, at these times, top entrepreneurs will emerge from all kinds of people.