Advisory Interview~ vol.1 Nobuyuki Idei ~

『I got an interest in “The future of Telecommunication Infrastructure”, shifting from Submarine cable to LEO satellites network.』

Mr. Idei, who published the Quantum Leaps after resigned the CEO of Sony Corporation in 2006. He works on not just supporting the organizational change in the Big enterprise, but giving big assist to the venture companies like Warpspace.
The reason he joined us as an adviser lies in our project, “Telecommunication infrastructure service for LEO satellites”. In this interview, we heard his mindset to support the venture companies, his passion to Warpspace, and the potential of the New Space industry in the future.

Profile;
Nobuyuki Idei
Founder&CEO at Quantum Leaps corporation
He started his career in Sony Corporation after graduation from Univ. of Waseda in 1960. He was assigned in Switzerland, and produced Sony France. After back in Japan, he was assigned manager of audio, computer, VTR department. Then, he was elected as a Director in 1989. He’d operated the company as President&COO(Chief Operating Officer) since 1995 to 2000.
After that, he was inaugurated as Chairman & CEO and had managed the whole company sine 2000 to 2005.

After his resignation in June 2005, he published the Quantum Leaps Corporation in September 2006. He’s been working on supporting the organizational change in the large enterprises, and giving a big assist to the venture company as Founder&CEO.

The pain that venture companies have never changed last half century.

─I hear that Mr. Idei cultivates venture companies.

Idei： Last few years, I’ve held observation tours to visit the real field. I took some venture companies to Paris in October(2019). In that tour, variety of people participate, venture companies, large enterprises.(2018 : Shenzhen・China, 2017: Israel, 2016: Silicon Valley）

At this time in France, we had launch event of some projects, and I appeared as co-president from Japan side.
In the current company, we created the ecosystem, called “Adventure Village”. The purpose is to cultivate the venture companies and promote the transformation in the large enterprises, to make innovation in Japan. As a big picture, I attempt to get global companies involved to this movement. That’s the reason why I joined as co-president of the event in Paris.

─What do you think about Japanese venture companies？

Idei： It’s quite tough environment for venture companies in Japan. Because they have no choice to utilize the “Bank-Based System”, meaning they have to raise their fund from banks. In return, people need to put their assets as collateral. When we look at the VC, they are more like banking institutions.

─You mean, the main problem is financial perspective for ventures?

Idei： Just after published the company, cash keeps going out. Fund is one of the most important factors for your growth. Nowadays, we have platform to raise, like crowd funding, but the amount is limited. So venture companies have been struggling with exact same things when I entered Sony.

─Well, you totally understand how venture companies feel like.

Idei： Their pain has never changed last 50 years. So if there’s something I could do for them, I just do it.

They also have up and down. Facing hard things is inevitable.

─When you look back then, you often recall Sony as kind of venture company.

Idei： Yes, definitely it was. In those days, our sales had reached to $1 M.
So we’d just started growing at the time. When we changed our brand from Tokyo Communication Industrial to Sony in 1958, they couldn’t get through fund raising easily, and I was a student at that time.
The radio I had was huge one made from miniature vacuum tube. But Sony started producing the small transistor radio. “This is the venture”.
I thought, “What is this something great!?”. And it made me join the Sony, because I could see the future of semiconductor.

─I heard that you’d failed a lot.

Idei： Of course we had, series of failures. When I look at myself, sometimes feeling good, but also feeling bad. Sometimes I catch a cold. It never happens that everything goes well all along. It’s same as the venture companies. I regard the investors who orders “Always stay healthy” as something wrong, lol.

Tell the Dream, that’s everything for venture companies.

─What did you feel like when you’d got to know Warpspace?

Idei： Yuka Tanimoto, the Chief editor of Forbes JAPAN took Satoru Tsunemachi(CEO of Warpspace) to the lunch at Quantum Leaps, that was the first time. Since then I met him several times. At that time, I just got interest in space-related business and learning about it. We have study workshop in Quantum Leaps, one day we had a discussion with 3 companies from space industry.

─What got you interest in Warpspace?

Idei： They have some businesses (Telecommunication project / Develop the cube-sat module / Transfer the technology to the developing countries),
What struck me is their “Telecommunication system for LEO satellites project.” In short, it’s internet infrastructure built by satellites.
Though to make the goals that Satoru aims happen is a bit tricky, it’s just beginning. Telling dream is everything for venture companies.

─You got interest in their telecommunication service, but what does it enable us, when it happens?

Idei： We used to install the undersea cables up to this point. But if it’s replaced the one in outer space, we need to think in completely different way. It’s exciting to connect the world with LEO satellites.

─Do you think their vision come true?

Idei： Space business is not that easy to success. But in case they have business idea it’s detailed, they can conduct the experiment. And at the same time, Warpspace business meets the needs of the market in the world, though it’s not something that goes well as long as they make big effort. They definitely will face a tons of troubles. But, get them through is interesting.

─It means you don’t support them based on the reality of success?

Idei： The banks are more likely to invest in based on the detail number. But venture can’t show the specific number and plan. In the first place, it is impossible.

─Then, please tell us the what the criteria to invest is?
Idei： It is something that people require at the age, and to be original.
If what I find interesting meets the needs of market, it is really exciting.

─You’ll go easy on them?
Idei： We call them venture companies because they sometimes fail. Venture is originally named after “Adventure”. If the surroundings say, “Don’t fail”, the people try to challenge can’t move where they are, will remain in the same place instead.

─How will you take action in Warpspace as an adviser?

Idei： If there is just one theoretical possibility, they are willing to pursue and try to make it real. That’s what venture is. If my experiences are meaningful for them, it’s my pleasure. I believe there’re couples of way to support them using my network. Venture companies need to be supported by all surrounding people.

One of my motto is, “Successful venture companies are less likely to need attentions”. The teams that grow and success without big support are good ones.

Idei： Meanwhile, as companies grow, the issues get more complicated. So would like to give them advice based on my experience in such hard time.

What brought Mr. Idei to the space is one word UFO Researcher said.

─Have you been interested in space business all along?

Idei： Once, I had a discussion about “Big Bang in Human sphere” with Mr. Matsui, who published the 『In the Chaotic Century, ―the Centrifugal and Centripetal force of Network Society』. Though in all nations which are active in outer space are for Military purpose, Japan is different. That’s the point, I believe.

─What inspired you to the space industry?

Idei： There’s a UFO researcher in Japan, I met him in the Sony and was asked, 「Have you ever seen the UFO?」 I said, 「No」, then he asked me, 「Have you seen the sky?」, I answered, 「No, never」. Finally he teased me with saying, 「Then, you’ll never see the UFO」.

I was like, 「 That makes sense, I’ll go see the stars somewhere.」
Since then, I’ve started to pay attention to the stars.
“Unless you look up the sky, you’ll never see the stars”. It can apply to others, even in business context. We’d see what to see.

─Then , could you see the UFO

Idei： No, not yet. lol

Editor: Saya Ushioda
Interviewer: Hiroyuki Ohashi