Advice, tactics from Dell’s VC group; includes strategy slides
“No matter how big your company is,” says Jim Lussier, “there’s more innovation going on outside your company than inside.”
That was the central rationale at Dell for relaunching its corporate venture capital team, which had effectively been disbanded in 2004. While the original venture capital effort was more oriented to financial gain, Lussier says, Dell Ventures 2.0 is “much more focused on harnessing innovation and entrepreneurship outside the company, and helping us transition from being a hardware company to an end-to-end solutions company.”
There’s a recognition at Dell that while acquisitions are one way to expand the company’s range of products and services, venture capital investing can help “build ecosystems around our products,” Lussier says. Dell went private last year, after 25 years as a public company, in a very contentious leveraged buyout. The Round Rock, Texas company has more than 110,000 employees and $57 billion in 2013 revenue.... continued ...