When most people think about tech startups, they think about new technology or apps developed in places like Silicon Valley. Yet, every day someone is starting a new tech company, looking to find the next great startup. These days, even industries with an established history see themselves affected by new startup companies. Here are four industries that are being disrupted by tech startups.
Insurance and Investments
Insurance and investment companies have been around for decades, usually guided by accountants, adjustors and financial professionals. New FinTech companies are changing the game. For example, Acorns allows consumers to do automatic micro investments of spare change. Most insurers now see their industry as extremely vulnerable to disruption. Companies like Root Insurance use algorithms to do fast insurance need assessments, streamlining the buying process.
Blockchain and Crypto
The use of blockchain technology and cryptocurrencies were once only the realm of those who understood the technology. More recent startups have made cryptocurrency transactions available to a larger community. Now even large companies are catching on and developing tools and services for the blockchain community. They have also worked to improve the security of cryptocurrency storage. One example is BitMart, a startup that works to enable investment and trading with its own BitMart coins.
Education and Academics
The internet has made education and academics accessible to a broad audience. Not only are teaching tools such as Kahn Academy in regular use in schools, new startups are also changing how people approach academics. For example, Delphia uses AI technology matched with student survey data to help young people choose a college. Other companies, such as Juni Learning and Edwin use AI to develop tutoring services outside of the regular classroom.
Energy and Fuel
For decades, energy and fuel were the concern of a handful of large companies. In recent years, as more people are looking for alternative fuel sources and green options, tech startups have jumped into the energy game. Some of them are leveraging the complex calculations involved in energy efficiency. Arundo is a company that does this work with large industries, looking for ways to shave energy use for operational savings. Other companies are looking at specific problems, such as energy storage issues and electric vehicle charging. For example, WiTricity is a startup that is attempting to increase electric vehicle usage by eliminating the need for charging cords.
By working with artificial intelligence, tech startups are changing many heretofore-settled industries. Computers can work with a much larger dataset, making calculations on a whole host of factors that would overwhelm a traditional accountant. If your industry is not paying attention to this new generation of companies, you may soon be left behind.