ZT from http://www.forbes.com/sites/rebeccafannin/2011/11/15/kai-fu-lee-talks-steve-jobs-china-angels-next-gen-tech/ Kai-Fu Lee Talks Steve Jobs, China Angels, Next Gen Tech
Rebecca Fannin and Kai-Fu Lee at Silicon Dragon HK 2011
Kai-Fu Lee is raising a second fund of $300 million to branch out to Shanghai, having stormed Beijing with a first fund 0f $180 million. That’s fast progress since he left the helm of Google China in September 2009 to set up angel investment fund and incubator Innovation Works. Its seed investments from the incubator have seen a valuation increase of 10 times.
What has given IW those enviable gains? Lee claims well-timed investing in startups in Android, casual and social gaming, social networking and more recently, e-commerce.
IW has backed 43 projects in startups that take their clues from the U.S. and then tweak and micro-innovate them for the local Chinese markets. Ten of those 43 seedlings have been validated by outside venture capital support.
Will China see a Steve Jobs soon? Probably not for decades, says Lee, but he see characteristics of that “make different” spirit in China. The rise of serial entrepreneurs and angel investors as part of the tech culture in China are feeding the invention trend. Lee’s advice for upcoming and entrepreneurs? Go with the upward market trend, stay focused, do a lean startup, and finally, don’t go it alone.
A first-time venture capitalist, Lee says he gets a first read on what’s hot in tech by his contacts and supporters among Silicon Valley’s elite, including Jerry Yang, Sean Parker and Marc Benioff. The mobile Internet is where he sees China breaking through, but so far IW has not funded anything all that futuristic on the horizon.
Lee, who seemed energized by the venture path he is following after leaving Google and Microsoft, says his only regret is that he didn’t start IW earlier. Watch the video interiview with Kai-Fu Lee and Startup Asia author Rebecca Fannin, taped at the recent Silicon Dragon program held at the China Club in Hong Kong.