Deep Tech includes the integration of hardware and software into an integrated, high-performance product («software-infused machines»).

Deep Tech is the major engineering innovation that expects exponential growth. Performance and type of hardware capabilities increase by an order of magnitude.

Deep Tech is not just a software solution, not an e-commerce app. The hardware is an integral part of the solution, where machines become acting computers. Deep Tech is very research-intensive, the startups are mostly from the environment of the technical universities.

Deep Tech requires high-performance, resilient hardware as its basis

Great opportunity:
A mechanical engineer can expand his product to a «software infused machine», but a computer specialist can not build resilient hardware into his software.

ABS – Symbiosis of Hardware and Software

Today, brakes accomplish incredible feats thanks to intelligent software: ABS prevents brakes from locking via «directed cadence braking», and ESP has stopped cars from drifting or turning over. This historical example shows a principle performance increase in the hardware «brake» through intelligent software: just braking is no longer enough to actively stabilize the car – this once was science fiction. And it illustrates the special significance of the hardware for the entire system: The fast cadence braking of ABS and ESP burdens the brakes extremely. Competent engineers whose brakes withstand this load reliably and permanently provide the necessary base for ABS. The software would simply be useless without it.

Germany and Northern Europe have a strong lead in deep-tech, which means software that does not just work in itself or with other software, but also cooperates with hardware as a «turbo». Startups in the US often support pure IT business models, whereas in Europe they support existing business models with technical solutions. The basis for this is the high-performance mechanical engineering.

The hardware demands the much deeper know-how: It is always possible that a machine manufacturer upgrades his product to a «software infused machine». But it is hard to imagine that computer specialists build the hard-working hardware for their software - and that's a head start for companies from Germany that is hard to catch up and a basis for expanding their lead.

The Future: Software Infused Machines

Deep technology («deep tech») means using the Internet to replace non cross linked technology products with web-based devices that are getting better results through ongoing algorithm-driven data collection and analysis.

Ultimately, this means merging hardware and software into a single «software infused machine» – creating solutions that are orders of magnitude more powerful than either side could achieve, providing the basis for exponential growth.

According to experts, corporations and SMEs will have to reposition themselves and with the development of digital, networked products, even if they want to be world market leader tomorrow.

The German industry essentially produces hardware and shows room for improvement in terms of software. But that's also the chance:

The basis for deep tech is the high-performance mechanical engineering. The hardware requires the much deeper know-how:

It is always possible for a machine builder to upgrade his product to a «software infused machine». But that computer specialists to their software to build the hard-working hardware, which is difficult - and this is a head start of companies from Germany, which is hard to catch up and a basis to expand the lead