AUSTRALIA’ S IMPACT STARTUPS- AN INVESTMENT IN OUR FUTURE
By Piers Grove
In Australia’ s startup landscape, we’ ve got two very different worlds. On one hand, there are the VC-backed companies— imagine them like racehorses at the track. They’ re bred for speed, with investors betting heavily on fast growth, flashy tech, and billion-dollar exits. On the other hand, there are impact startups: steady workhorses, with their eyes fixed not on the prize but on the road ahead, committed to building a sustainable future for our communities. While both types of startups are important, Australia has long favoured the racehorses, leaving impact startups in the dust. This needs to change.
THE RACEHORSES: IMPRESSIVE, BUT FOCUSED ON SCALE, NOT COMMUNITY Good examples of Australian racehorses are companies such as Atlassian, Canva, and AfterPay. All three have achieved multi-billion-dollar valuations and global recognition, and we should be rightly proud of their founding teams. They have reshaped their respective industries, demonstrating the strength of Australian innovation on the world stage. But when it comes to community value and regional employment, their direct contributions are marginal. The biggest beneficiaries of their success are their shareholders and founders.
This is not to diminish the value of these companies or their impact in other ways. Atlassian, for example, has extensive philanthropic programs through its foundation, and Canva supports a diverse range of community initiatives. However, their core products and services aren’ t focused on creating grassroots opportunities or tackling social and environmental issues in the same way that impact startups do.
A DIFFERENT KIND OF STARTUP: EMBEDDED IN COMMUNITIES While the racehorses chase scale and rapid returns, impact startups focus on creating tangible benefits for Australian communities. Take Infravision, for example. This company is working directly with energy utilities to modernise the electricity grid, using drones and automation to build poles and wires more efficiently. Their work is accelerating Australia’ s energy transition, making it faster, cheaper, and safer— a crucial need for regional and remote areas often overlooked by large-scale energy investments.
Similarly, ZeroCo is making sustainable living more accessible by offering affordable, low-waste cleaning and personal care products. By tackling plastic waste at the source, ZeroCo is shifting consumer habits in ways that traditional VC-backed companies rarely prioritise. Their business model isn’ t about hypergrowth; it’ s about long-term sustainability and behavioural change.
In the agricultural sector, FarmBot is transforming Australian farming by providing remote monitoring technology for water tanks, dams, and bores. This technology is critical for farmers managing scarce water resources, ensuring efficiency and productivity in a sector that is foundational to Australia’ s economy but often neglected by tech investors chasing the next unicorn.
VOL 18 NO 1 2025 12 www. edaustralia. com. au