The capital city of Texas, Austin, is a growing entrepreneurial hub for tech startups. The city was ranked eighth in the list of top 25 cities for small businesses by CNBC for 2018. According to the Global Startup Ecosystem Report 2018, Austin has a startup ecosystem valued at $321 billion and has access to resources that is helping it to grow positively.
Home to over 3,500 startups, Austin offers a startup culture that is driven by its strong human resource capital, extensive networks of investors, and an array of incubators and accelerator organizations.? The startup ecosystem had a total investment of over $2 billion in 2018. One hundred thirty startups secured funding this year and here are some of the top Austin start-ups to watch out for in 2019.
Austin Startups to Watch Out for in 2019
BigCommerce is a force to reckon with in the Austin startup ecosystem. The SaaS startup offers digital solutions for the online marketplace to drive sales for high-volume businesses. BigCommerce raised $64 million in the first quarter of 2018 with Goldman Sachs as the leading investor. Other participants in the round included General Catalyst, Tenaya Capital, and GGV capital.? The cloud-based ecommerce platform was founded by Eddie Machaalani and Mitchell Harper in 2009 and caters to more than 60,000 B2B and B2C clients. The company acquired Zing.co in 2015 and the total funding raised so far by the company is over $200 million. Brands relying on BigCommerce include the likes of Skullcandy, Hush Puppies, Paypal Here, and Toyota. The latest round of funding has spearheaded the startup?s growth making it one of the top Austin-based tech startups.
Aceable is a thriving Austin based startup in the edtech sector that has made it easier to ace a driving test. The company was set up in 2012 by Blake Garret and has crossed several startup milestones successfully becoming one of the top Austin start-ups to watch out for in 2019. This year, Aceable acquired DriversEd and completed its Series B round of funding raising $47 million in venture capital from Sageview Capital.? The Austin-based startup has secured $55.7 million in all with the completion of the last funding round; Aceable plans foray into new markets and expand its team with the new funds that have been secured.
Scott Hanson set up Ambiq Micro as Cubiq Microchip Inc. in 2010 and spearheads the technical strategy of the company as the CTO. Ambiq Micro is semiconductor manufacturer that is a pioneer in creating low power semiconductors. The startup achieves this with the help of its patented Subthreshold Power Optimized Technology platform that has been instrumental in helping integrated circuits optimize power. Ambiq Micro raised $45.5 million in 2018 making the total investments till date reach an amount of $131.8 million.? The company is an important Atlanta based startup in the IoT segment in the city’s ecosystem. ?Their product offering is targeted for use in smart cards, wearable devices, IoT, and sensors.
Dosh is a leading Austin-based startup that has created for itself a secure place in the ecosystem’s fintech industry. The innovative cash-back mechanism app is the brainchild of Ryan Wuerch who has also founded the firms Solavei and Motricity. What makes Dosh one of the most promising startups for 2019 is its steady growth since its establishment in 2016 and the investments worth $57 million it has gathered till date. Key industry players like PayPal and Goodwater Capital have recognized the startup’s potential and have contributed significantly in its Series A round of funding. Dosh App raised $44 million in this round from the brands as mentioned above and other undisclosed investors.
Clinton Phillips spearheaded the establishment of Medici, a healthcare communications app,that is redefining the channels and ways of how patients and doctors connect.? One of the top Austin startups to watch for in 2019, Medici is a young startup that is two years old and has raised close to $47 million in this short span. The health tech startup provides a much needed secure platform for doctors and patients to interact even when the healthcare providers are not in their clinics. The company raised more than $22 million in its Series A round of funding. The private investors who contributed in this round are associated with names like Dell, Starwood Capital, and Citadel.
Mythic is an AI service provider that was created in 2011 by founders Michael B. Henry and Dave Pick in a bid to create smarter electronic devices. The startup?s recent round of funding was Series B in March 2018 which brought in fresh funds of $40 million paving its way for a fruitful year in 2019. SoftBank Ventures led the round and its other participant investors include AME Cloud Ventures, DFJ, Lux Capital, and Data Collective. Mythic developed AI solutions that can be integrated into various applications for making life hassle-free and technologically advanced.
Entrepreneurs Tyler Haney and Matt McIntyre have come up with the perfect accessory to make physical recreational activities more fun with their active wear startup, Outdoor Voices. This trailblazing company has raised $64.1 million in funding and refers to its activewear range ?technical apparel for recreation’. Outdoor Voices’ Series C funding round in the beginning of 2018 was led by GV ( Alphabet’s venture capital subsidiary) and saw an influx of investments worth $34 million.? Their concept of stylish clothing for physical activities has helped in transforming several wardrobes around the US and making the brand one of the top Austin startups to watch out for in 2019.
RigUp is a tech-based oil and gas startup that is an emerging forum for contractors and service providers in the energy industry. It has raised $63.8 million so far and is helping oil and gas based professionals connect with through efficient digital platforms. It is one of the top Austin-based startups to look out for in 2019 raising $45.8 million in all in the first quarter of 2018. $15.8 billion of this was raised from its Series B round of funding and the rest was secured through debt financing from Silicon Valley Bank to replenish its monetary strength. The company was founded by Michael Witte, Sandeep Jain, and Xuan Jong in? 2014.
Shuttack Labs is a trailblazing Austin-based startup that is creating breakthrough results with their immunotherapy platform that is aimed at helping achieve better outcomes for treatment for cancer and other inflammatory diseases. This top startup in Austin has secured $57 million till date; $46.6 million of this amount was raised in a venture round in mid 2018, one of the largest funding amount the company has raised till now.? The company is one of the top Austin-based startups to watch out for in 2019 today owing to the recent round of funding and the increasing relevance of their services. The company has attained a strong place for itself in the ecosystem within just three years of establishment.
Ojo Labs has managed to stayed in the spotlight this year with their impressive financial activities. One of the top Austin-based startups to watch out for in 2019, OJO Labs? first made headlines this year for raising $20.5 million in its Series B round of funding from lead investor LiveOak Venture Partners and participant investors Silverton Partners,? ServiceMaster,? Royal Bank of Canada, and Northwestern Mutual Future Ventures.? Founded in 2015 by David Rubin and John Berkowitz, OJO Labs is a new age AI personal assistant created for real estate players. The Austin-based startup acquired WolfNet Technologies in October this year stealing the limelight yet again.
Apart from these ten startups that are leading the pack in terms of funding in the system, Austin?s startup ecosystem as? a whole is also on its way to become a prominent startup hub at par with its other American counterparts.
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