Boston emerging as mobility innovation center
Silicon Valley and Detroit aren’t the only hotspots
IT GOES WITHOUT SAYING that mobility – the movement of people and goods – is an incredibly hot space. Start-ups are cropping up across the entire value chain as significant capital is deployed by incumbent strategic investors, mobility-specific funds like Fontinalis and BMW iVentures, as well as general tech funds looking to get in on the action. While headlines debate whether the nucleus of mobility innovation is Silicon Valley or Detroit, Boston’s entrepreneurial ecosystem has not only churned out an impressive array of start-ups but has also attracted established businesses seeking innovation and research talent. The graphic below primarily highlights the mobility-as-a-service (MaaS) players, representing a snapshot of the businesses that are solidifying Boston as a driving force in the mobility space generally.
The region’s strengths as a mobility player are arguably under the radar. Recently, Héctor Naves Sordo visited Boston to investigate the local scene on behalf of Swiss Re, a large re-insurance company that set up a local presence in 2016. Héctor shared his astonishment at the depth and breadth of the ecosystem.
“I came to Boston to explore the AVs (autonomous vehicles) and IoT (internet of things) technology landscape and was blown away,” he said. “We hear so much about Silicon Valley as a hub of innovation. It was energizing to discover an East Coast counterpart that is exploring the future of mobility, connected cars, and AVs, topics that Swiss Re is monitoring closely as they will impact motor insurance and society in general.”
Boston’s own insurance behemoth, Liberty Mutual, also has a group dedicated to future mobility and recently released an open API (application programming interface) portal that combines public transportation data with proprietary insurance knowledge to power new products.
Local investors are engaging as well – some have been doing so for several years. Chris Cheever, who leads the Boston office of Fontinalis Partners, a mobility-focused venture capital firm says, “The talent pool here – both academic and entrepreneurial – provides fertile ground for the kind of innovation that is going to take mobility into the next generation and beyond. We recognized this early on, which is why we established our firm with both Boston and Detroit offices in 2009. We’re seeing more investors scouring Boston for mobility opportunities. Of our current portfolio of companies, approximately 25 percent are headquartered or originated in the Boston area, and as much as 50 percent have significant operational presence here. It really is a tremendous environment for mobility startups.”
The Boston Mobility Roundtable, an informal coalition of regional private sector companies, came together in late 2016 to support regional visibility and growth opportunities with respect to mobility. Recently, public sector officials from the MBTA, city of Boston, Massachusetts Department of Transportation, and the Massachusetts Port Authority joined the Mobility Roundtable for an open discussion on the best ways to connect and collaborate. Kris Carter, cochair of the mayor’s Office of New Urban Mechanics, said, “We are fortunate to have such a thriving innovation ecosystem in Boston, and we see our role as a champion for the sector and key collaborator in helping unlock new opportunities for the people of Boston. Whether that is providing consultation, test beds, or pilot program opportunities, it’s critical to work cooperatively in providing new mobility choices in an equitable way across the city.”
While transportation programs, infrastructure, and norms are largely regional, transportation challenges are universal. Localizing innovative new mobility thinking or concepts for a city’s particular needs can create a ripple effect that expands our collective thinking. Already, mobility enthusiasts from Austin; Washington, DC; Silicon Valley; and Detroit have been hand raisers to collaborate with Boston-area efforts. Sharing solutions and learning from programs conducted here (or carried out by Boston-based companies elsewhere) is just one way that Boston can continue to solidify its reputation as a center for mobility innovation.
On June 20, 2017, 120 mobility leaders will convene in Cambridge, Massachusetts, to discuss the future of mobility in the Boston region at the Boston Mobility Summit. This summit aims to harness the ingenuity and innovation already underway in the Commonwealth as well as the expertise of invited global thought leaders with best practices directly applicable to Boston’s challenges.This day-long leadership summit will bring together C-suite executives from the private sector and public sector, nonprofit leaders, entrepreneurs, and academics to share local and global best practices applicable to the Boston region. The focus will be on transformative new technologies, policies, financing mechanisms, design, and collaboration models with a particular focus on low-carbon and equitable solutions.
If you are interested in attending this invite-only summit, please fill out this application: http://cityminded.org/boston-application.