500 Startups’ 27th Demo Day: A TechCrunch Review

TechCrunch monitored the 27th demonstration day hosted by 500 Startups, with a focus on identifying the accelerator’s newest ventures.

These demo days are consistently held events, yet they invariably showcase startups with the potential to become significant technology leaders. Consequently, they remain a point of interest for our coverage.

The Shift to Virtual Demo Days

The rise of virtual demo days, particularly accelerated by the COVID-19 pandemic, has fundamentally altered accessibility. It is now simpler than ever for both investors and members of the press to participate.

TechCrunch has previously reported on virtual demo days from Y Combinator, alongside numerous cohorts from the various Techstars accelerators globally.

Spotlight on 500 Startups’ Newest Cohort

Our attention today, however, is directed toward standout companies from 500 Startups’ most recent group of participants.

Initial analysis will be provided by Jonathan Shieber, with subsequent insights offered by Alex Wilhelm.

The selection process focused on identifying companies poised for substantial growth and innovation within their respective markets.

500 Startups continues to be a key incubator for early-stage ventures, and this demo day offered a compelling glimpse into the future of technology.

Demo Day Highlights

Stack presents a novel approach to navigating the internet.

• What: A reimagined method for online browsing.
• Why it’s noteworthy: The fundamental browser and tab structure has remained largely unchanged since the Netscape era. Managing online information is becoming increasingly complex, often resulting in numerous open tabs. Stack proposes a more interactive, organized, and visually intuitive system for information management.

Adapty offers solutions for app monetization.

• What: A low-code platform for A/B testing monetization strategies and subscription services within applications.
• Why it’s noteworthy: Adapty empowers app developers with tools to analyze and address issues related to monetization, identifying where and why revenue streams falter. The app economy remains a substantial market, and retaining customers presents a significant challenge. Solutions that facilitate improved customer retention are highly valuable for company growth.

MightyFly is developing advanced drone technology.

• What: The creation of large-scale, fully autonomous drones.
• Why it’s noteworthy: Drone technology is captivating, and drone delivery services are particularly exciting. MightyFly’s drones are capable of flying over 300 miles while carrying payloads exceeding 50 pounds, at a significantly lower cost than traditional helicopters. These drones feature automated loading and unloading capabilities and require no specialized launch or recovery infrastructure. The team’s experience from the $1.2 billion drone company, Zipline, is a strong asset.

Omnitron Sensors is pioneering MEMS device design.

• What: A revolutionary approach to designing Micro-Electro-Mechanical Systems (MEMS) devices in three dimensions, potentially reshaping the $18 billion MEMS market.
• Why it’s noteworthy: The founding team originates from Lumedyne, acquired by Google, and includes a former hardware lead for quantum computing at Google, alongside a manager from Google X and Tesla. As software continues to drive innovation, advanced hardware and sensing technologies are crucial for understanding the world around us, and Omnitron is positioned to contribute significantly to this field.

AWSM is focused on teen financial literacy.

• What: A neobank designed for teenagers, aiming to educate them about personal finance.
• Why it’s noteworthy: A widespread lack of financial literacy exists. Providing younger individuals with the opportunity to learn about money management before facing significant financial challenges is a commendable goal. The analogy of a parent loan for an Xbox resembling a mortgage effectively illustrates the importance of understanding credit before entering adulthood.

Memechat integrates memes into a comprehensive platform.

• What: A platform combining memes, a community, and a keyboard for seamless sharing.
• Why it’s noteworthy: Memes have established themselves as a lasting form of online communication. Memechat consolidates various meme-related features into a single service, already generating six-figure revenue, offering a space for meme sharing, and providing a keyboard for incorporating customized memes into conversations. The company is strategically positioned to capitalize on the evolving meme landscape, anticipating potential acquisition opportunities, as evidenced by Giphy’s $400 million sale to Facebook.

Ryu Games facilitates competitive gaming experiences.

• What: A Software Development Kit (SDK) enabling game developers to integrate paid competitions into their games.
• Why it’s noteworthy: Esports is a rapidly growing and dynamic industry. Mobile esports represents a promising frontier within the genre. Ryu Games aims to simplify the process of incorporating “skills-based real cash games” into mobile titles, allowing players to compete for prizes. The startup’s technology supports tournament creation and cross-promotion of games, currently attracting approximately 1,500 installs per week.

Apothecary is transforming the beauty product landscape.

• What: A platform connecting users with beauty products, fostering community discussions, and facilitating purchases through influencers.
• Why it’s noteworthy: Apothecary seeks to enhance transparency within the skincare industry, a market experiencing significant growth fueled by platforms like YouTube and Instagram. The startup enables users to discover products, connect with others sharing similar concerns, and purchase items recommended by creators. Its rapid creator acquisition, strong margins, and asset-light model suggest substantial growth potential.

Notably, 500 Startups showcased a significant number of companies focused on supporting creators. Clout Jam’s software for deal management, Thematic’s music licensing system for independent artists, and Kyndoo’s efforts to combat fraud within the creator economy all represent promising ventures. This sector warrants close attention.