KOBOT, a marine pollution control robot developed by a South Korean startup, received an innovation award in Las Vegas at CES, the world’s largest IT exhibition, in January. This robot, powered by AI, scours the ocean to remove pollutants like oil and plastic. It coordinates with drones to identify pollution sites, autonomously navigates to these locations, and collects and contains the pollutants.
For 65-year-old Park Kyung-taek, CEO of Koai, the robot is the culmination of Park’s extensive experience in the toy industry. Embarking on a new venture, Park established a solo lab in 2017 at 58 and now collaborates with the UAE’s national oil company to showcase the technology for international export. Park shared, “The realization that many industrial robots today incorporate features from toys was a significant inspiration for me.”
The tech startup scene, traditionally viewed as a young person’s realm, is witnessing a surge of middle-aged entrants. Unlike before, when mid-career entrepreneurship typically leaned towards the retail and service sectors, such as eateries and cafes, individuals in their 50s and 60s, hailing from the industrialization epoch, are now venturing into new territories with innovative technologies and concepts.
Kim Jung-ho, Associate Research Fellow at the Korea Institute for Industrial Economics and Trade (KIET), said, “Baby boomers often come from backgrounds that require specialized skills, like manufacturing. They bring a wealth of experience and expertise to the table.”
Kim In-ho, 64, established Luxnine, a bed mattress firm, in 2011 when he was 51. He also clinched an innovation award at this year’s CES for Bodylog, a healthcare device. Bodylog, designed to prevent falls and detect sleep and heart issues in real time, analyzes body posture, movement, and electrocardiograms. Drawing from his tenure as the head of Sealy Beds’ Korean branch, Kim’s venture into Bodylog was inspired by his insights into the bedding industry. Kim said, “I pondered over the work I could excel in and find happiness, considering the prospect of living to 90.”
The rise of middle-aged entrepreneurs is also noticeable online. Crowdfunding, the practice of gathering funds from a broad online audience for new ventures, is a prime example. An analysis by crowdfunding platform Wadiz revealed a significant increase in projects initiated by individuals over 50, with their proportion soaring nearly tenfold from 2.5% in 2014 to 22.7% in January this year. Including entrepreneurs in their 40s, this demographic now constitutes 53.3% of project initiators, surpassing the under-30 group for the first time. “Their extensive expertise enhances their marketing appeal and attracts favorable funding responses,” a Wadiz representative said.
The shift towards crowdfunding by mid-career entrepreneurs can be attributed to the challenges they face in securing traditional funding. Current startup support mechanisms primarily target younger entrepreneurs, making venture capital elusive for older demographics. A 2022 KIET survey of 222 middle-aged tech startups highlighted “the struggle to secure startup capital (42.3%)” as their foremost hurdle.
The startup landscape is poised for a diversified technological, entrepreneurial demographic, with an increasing presence of founders in their 40s, enriching the mix of young and middle-aged entrepreneurs.
