Investors Pause on Automotive Startups
Feb. 12, 2020—Techstars Detroit is shutting down, reported TechCrunch.
The company has funded 54 startups but has not been able to secure enough funding for 2020.
Techstars Detroit began in 2015 as Techstars Mobility, a mentorship-driven accelerator program that was supported by numerous corporate and auto-focused backers, including Ford, Honda, Lear and Nationwide, as well as global partners such as Amazon’s AWS, Silicon Valley Bank and Microsoft for Startups. The intent was to bring attention and business into Detroit.
Success stories for Techstars Detroit included Cargo, a startup that helps ride-hail drivers make supplemental income by running rider-friendly “convenience stores” out of their cars; Splt, a ride-share company acquired by Bosch in 2018; and Acerta, which applies machine learning to automotive manufacturing, according to a report by Wired.