How Taejin Ha, CEO Of VIRNECT Raised USD 8M To Build Next-Gen Industrial Sites Leveraging Cutting-Edge AR/DT Technology?

Taejin Ha is the CEO of VIRNECT. The company virtually connects meaningful information using Augmented Reality (AR) technology to provide clients with the right information at the right time. It looks for solutions for different problems in industrial worksites through the application of AR technology. They analyze the problems from their clients’ perspectives and bring out the most advanced and necessary solution. They are client-centric, and make revolutionary AR innovations.

Taejin Ha was a research professor in the Culture Technology Research Institute (CTRI) and the Graduate School of Culture Technology (GSCT) at Korea Advanced Institute of Science and Technology (KAIST), Daejeon, Korea. He was a visiting researcher in the Computer Graphics and User Interface Lab (CGUI Lab.) at Columbia University, New York City and Human Interface Technology Lab (HIT Lab.), New Zealand.

Taejin conducted a revolutionary technology trend analysis on “industry-academia” related to his research interests. He also conducted a cutting-edge business model analysis based on a published research paper from a renowned conference. His research interests include Mixed/Augmented Reality, Human-Computer Interaction, 3D User Interface, Ubiquitous Computing, and Wearable Computing, etc.

In an exclusive interview with AsiaTechDaily, Taejin Ha says:

Having a good product/solution launch plan is very crucial for a company like us. Because by having good product launches, we could assure the clients about our product.

The most important thing is product training(User) manuals which could have easy understanding in our client. Also, we have to bring a good troubleshooting guide as well as a good maintenance plan so that clients could trust us. Lastly, we would like to have good software stability. 

To do that, we’ve got to have a very strict QA about our solution, and we strongly believe that we own all of those checklists.

I think the most important thing in terms of fast activation of your company at the beginning is the fast launching of your product to the market with MVP(Minimum Viable Product) rather than hesitating to go forward. In that way, you could have a Fast & better market response about your company, and consequently, you could build up your business portfolio.

Read on to know more about Taejin Ha and his journey.

Please tell me about your personal background; what are you working on currently?

Taejin Ha: I served as a research professor at Kaist University(Korea Advanced Institute of Science and Technology) Cultural Technology Research Center. The research I did passionately throughout the last 15 years was on “3D user interphase (3D UI) based on smart 3D glasses in wearable augmented reality environment” with the human-computer interaction (HCI) in a ubiquitous computing environment.

I also conducted a technology trend analysis on “industry-academia” related to my research. I also conducted a business model analysis based on a published research paper from a renowned conference.

Currently, as the CEO of VIRNECT, I take important business decisions, engage in project management, R&D Projects, etc. 

What motivated you to get started with your company?

Taejin Ha: I saw our potential of global competency in terms of technology in AR/VR. Still, it had low usability due to only being conducted in a laboratory rather than in real business.

Thus, it motivated me to go commercial and popularize our AR/VR technology, which would improve the safety and efficiency of customer’s work in an industrial site.

Please tell me more about your founding team? (How did the founding team meet each other?)

Taejin Ha: We are laboratory alumni at KAIST UVR (Ubiquitous Virtual Reality). So, it was relatively easy to meet each other whenever needed, and it helped our foundation of VIRNECT more smoothly.

What problem are you solving? How big is this problem (what is the market opportunity)? 

Taejin Ha: Our business focuses on problem-solving in industrial sites. 

In a big frame, industrial sites face 3 problems of safety issue / inefficient work operation/increase in the site’s inspection. Especially during periods like this COVID 19, the need for remote work exceptionally increases. 

AR solution leader in industrial sites VIRNECT has solutions as follows: 

1. VIRNECT Remote: Problem-solving based on remote collaboration
2. VIRNECT Make: Easily make AR Contents without having to input coding
3. VIRNECT View: Easy & Fast in the visualization of AR contents
4. VIRNECT Twin: 4D Monitoring of on-sites (Industrial Sites)

How have you attracted users and grown your company from the start?

Taejin Ha: In the beginning, just having AR solution technology itself drew attention from the market. Soon after, we started to be praised by many clients that we have a technology edge because we provide an AR solution for company needs in industrial sites.

 As we performed big project’s with major companies in Korea, we acquired various VOCs from clients. Thus we developed and improved our VIRNECT AR solution.

What’s your business model, and how have you grown your revenue? What strategy worked best?

Taejin Ha: Our basic business model is selling out our software license to the client, mostly B2B basis. So far, we have grown our revenue with continuous improvement in software function. Consequently, we have expanded our business playground.

We expanded our area of sales into big clients such as LG Chem / Hanhwa Total / KT / Hyundai Steel/others. Also, we have done lots of customized projects with government-owned companies KEPCO, KDN, etc.

With the continuous increase of success cases to well-known big companies, we are getting rave reviews from them. Those endorsements from big companies have really helped us expand our business portfolio.   

Starting from next year, we would like to go global with the successful legacies we achieved in Korea. 

We are confident that we would get lots of attention from potential global customers, as our recently made company promotional clip is getting a rave hit, 1.3 million views from people around the globe in less than a week.

How much money (funding) have you raised in total so far? When was the recent funding round? (Additionally, any plan for the future?)

Taejin Ha: Last year we raised $8M as a Series A in Sep. 2019. We are getting lots of inquiries from VC these days, but we expect to have the next round of funding in late 2021 or beg. Of 2022.

What are some marketing tips to help maximize the success of a product launch?

Taejin Ha: Companies like us (technologically advanced but relatively new in the brand) would like to make brand build-up first to integrate market as a B2B characteristic of our company biz portfolio, I would like to concentrate on BTL than ATL. One of the effective ways is getting positive reviews from client personnel, who is an industry leader. Then, we could spread out that positive WOM to the public using PR/SNS/other communities so that people get attention to our companies.

We could also utilize exhibitions/industry seminars, as many stakeholders get together at once to have an effective approach to them.

What’s the hardest thing about product launches?

Taejin Ha: Having a good product/solution launch plan is very crucial for a company like us. Because by having good product launches, we could assure the clients about our product.

The most important thing is product training(User) manuals which could have easy understanding in our client. Also, we have to bring a good troubleshooting guide as well as a good maintenance plan so that clients could trust us. Lastly, we would like to have good software stability. 

To do that, we’ve got to have a very strict QA about our solution, and we strongly believe that we own all of those checklists.

What are the most common mistakes founders make when they start a company? (or What should all first-time startup founders know before they start their business?)

Taejin Ha: I think the most important thing in terms of fast activation of your company at the beginning is the fast launching of your product to the market with MVP(Minimum Viable Product) rather than hesitating to go forward. In that way, you could have a Fast & better market response about your company, and consequently, you could build up your business portfolio.

What do most startups get wrong about marketing?

Taejin Ha: The most common wrongdoing about a startup is developing your solution/product without precise market & customer research.

What’s the best advice you’ve ever received? And What advice do you have for someone who is interested in doing similar things like yours or in a similar direction?

Taejin Ha: All important business decisions should be made around the customer’s voice.

What are the one or two things that you would do differently if you could go back to 10 years ago?

Taejin Ha: Experiencing business and sales practices would be a lot of help in running companies.

You can follow Taejin Ha here.

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