The Autonomous Cluster Fund "Park of Innovative Technologies"

Mission:

To create an ecosystem to support industries in their digital transformation and stimulate an active digital adoption.

Goal:

Achievement of a critical mass of "beacons" — market drivers (~20% of the pool of MMC, NGS, machine-building, etc.), actively introducing new technologies to acquire financial and operational benefits.

The Autonomous Cluster Fund "Park of Innovative Technologies", operating under the brand name  of Tech Garden, was established by the Government of the Republic of Kazakhstan Resolution No. 1087 dated by October 10, 2014.

The Fund operates under the Law "On Innovation Cluster "Park of Innovative Technologies" dated  by June 10, 2014 № 207-V LRK (hereinafter — the Law).

According to the Law, the ACF Steering Committee is headed by the Prime Minister of the Republic of Kazakhstan.

ACF, according to the order of the First President, forms a high-tech innovation cluster (in the framework of 63 steps of the "Plan of the Nation") — uniting the subjects of educational, research and industrial-innovative activities.

As of May 2020 Innovation Cluster combines  291 subjects of industrial-innovative, research and educational activities.

The main directions of Innovation Cluster development are as follows:

1

Attraction of international anchor companies (TNK) to establish Technology Development Centers, high-tech production facilities and laboratory facilities in the form of a joint venture (50% co-financing).

Four centers were established:

Digital Industry Center Intellisense-LAB (Industry 4.0)

Technological platform for industrial automation and digitalization to optimize the production processes of subsoil users (MMC, NSG, energy, transport) allows you to create solutions using Artificial Intelligence to reduce costs and increase productivity.

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Building Digitalization Center "BIM+ Laboratory"

It is aimed at solving tasks on implementation of BIM (Building Information Modeling) technology at the stage of design and operation of construction objects and application of related technologies "Internet of Things" and "Big Data" in the sectors of civil and industrial construction, for automation of maintenance and operation of objects.

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New Materials and Additive Technologies Center

Carries out the transfer of advanced technology for the production of metal powders, including for the processing of tailings and dumps of MMC Kazakhstan. The target of the Center is engineering and integration of additive technologies in the production of Kazakhstan. Technology of 3D printing from metal powders will change the mass production.

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Intelligent Systems Center

The Center, based on business process re-engineering, solves the issues of integration, prototyping and understanding of new IT technologies based on Blockchain, Big Data and Artificial Intelligence technologies by subsoil users and service companies, industrial enterprises of all industries, logistics and railway operators.

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2

Creating a critical mass of technological companies under the international acceleration program "Startup Kazakhstan".

The International Acceleration Program of Startup Kazakhstan was implemented by ACF Tech Garden under the auspices of the Ministry of Industry and Infrastructure Development of the Republic of Kazakhstan and is aimed at creating a critical mass of high-tech companies in the market of small and medium-sized businesses. Search, acceleration and financing of startups were conducted in priority areas of Tech Garden: Industry 4.0, New Materials and Energy, Smart City, Financial Technologies. The international venture fund Tech Garden Ventures was established to finance and attract investments into startups.

3 waves of acceleration were conducted, about 3 thousand applications were considered, 96 start-up companies were financed to the amount of about 990 million tenge.

All startups have signed an investment agreement and opened an LLP in Kazakhstan. The money is transferred to the accounts of these LLPs, and under the terms of the agreement, the investments received by the startup company are spent only on the development of its product in Kazakhstan. The amount of funding for each startup was up to 31 thousand US dollars. This is the initial investment, which creates the startup venture history.

Each team went through a three-month acceleration program. Acceleration included diagnostics of each startup, after which an individual plan of its development in the Kazakhstan market and a targeted educational program were drawn up.

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3

Development and implementation of the corporate acceleration program

Outdoor innovative tours within corporate acceleration:

Tech Garden conducts tours abroad for company executives as well as managers who make decisions on technical modernization of production and business processes. In 2017, Tech Garden will organize tours abroad. 10 companies of FEZ "PIT" and in 2018. 10 corporations of Kazakhstan have undergone corporate acceleration in Silicon Valley, USA. In November 2019, representatives of 10 companies - oil and gas, mining and metallurgical and energy industries of the country, MIIR and Samruk-Kazyna - passed the corporate acceleration at the advanced enterprises of South Korea.

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Introduction of innovations within the framework of corporate acceleration:

Tech Garden offers the fastest and most flexible mechanism to implement the technologies selected or developed specifically for your needs: the corporate acceleration program. Diagnostics of your enterprise and formation of tasks, selection of technological solutions, development and operative piloting of automation and digitalization projects in practice are carried out in a short time. The enterprise gets an opportunity to get a technological solution that exactly fits the specific business tasks. Implementation of acceleration developments brings revenue growth or cost reduction through the launch of new products and services.

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4

Implementation of innovative projects at the expense of subsoil users' obligations

ACF Tech Garden is an R&D implementation operator for subsoil users as part of their commitment to deduct 1% of SGD/ZND. Tech Garden forms a trust fund out of subsoil users' obligations to finance innovative cluster projects in the amount of at least 1% of SGD (since 2018 — production costs). In the period from 2015 to March 2020, Kazakhstan's subsoil users, as part of their obligations to transfer 1% of SGD, signed a total of 119 agreements with the ACF, for a total amount of 11.18 billion tenge. From these funds 120 projects of participants of the innovation cluster "PIT" were financed for the total amount of 8.0 billion tenge. For the remaining amount there is a constant search for executors of technological tasks of subsoil users.

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5

Create a Smart Industry Management Platform (SIMP)

Smart Industry Management Platform (SIMP) — a supermarket platform of domestic IT solutions for their scaling at industrial enterprises of Kazakhstan.

The purpose of the platforms is to promote the digitalization of industry in the Republic of Kazakhstan and the development of domestic IT-companies.

The platform gathers a pool of quality IT solutions, and industrial enterprises place their real tasks.

Thus, based on the principle of "open innovation", industrial enterprises quickly find the most effective solutions for their tasks by domestic IT companies, including the Technology Development Centers established by Tech Garden.

The industry gets to know the best international practices for building an effective digitalization strategy and has access to a multitude of proven solutions from which to choose the best.

IT-companies are the first to receive information about the tasks and needs of industrial enterprises, providing them with their solutions.

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