Earlier this week, Italian startups lost their right to register and incorporate online after the country’s lobby of notaries won its claim to have it removed . The news has understandably left the Italian startup ecosystem in a bit of a shock.

This decision is literally a step backward, as startups have been able to register online since 2016, so I’m afraid this will be a detriment to the economic development of the country and the development of its startup ecosystem. If Italy wants to step up its innovation game, it has to facilitate entrepreneurs… well… getting started!

As an Italian startup advocate, the news left me deeply worried. Even though I’ve been living abroad for many years, I still keep a close eye on the development of the startup ecosystem back home. And from what I can gather, we really can’t afford to create any more hindrances for founders.

Don’t get me wrong, there’s a lot of good news coming from innovative startups and cities in Italy that are developing an infrastructure to support innovation. But the fact remains that Italy has yet to produce a diverse startup ecosystem and the amount of investments collected so far by its biggest startups is very far from what we see in other European countries.

The worst thing about this latest development is that it not only doesn’t help Italy’s startup ecosystem to grow — it does the exact opposite and slows down the establishment of a flourishing startup scene.

But don’t just take my word for it, I’ve asked around in my network to see how people feel about it, and to identify what could be the next steps for Italy to turn this around.

The problem in a nutshell

Nicola Mei, CEO and co-founder of ticketing startup Tocket , finds himself in this limbo, having submitted his registration on March 22, an application that has not yet been approved — and has gotten no clear answers about the future of his application.

“Evidently the legislation was poor and not well-conceived since its beginning,” says Mei. “But with this latest ruling, many startup founders, including myself, are now paying for other people’s errors. Starting a company in Italy is already a difficult venture, and after the problems the pandemic has brought, this is something I would have preferred to avoid.”

Because of the new ruling, startups will need to get the assistance of a notary when they want to officially register their business. That means unnecessary extra costs and a longer process — depending on how savvy the notary is when it comes to startups — and these are all things that pre-revenue bootstrapping companies don’t have the time or the resources to deal with.

Federico Mattia Dolci, CEO of BOOM — a Tech5 company and one of Italy’s most promising startups — says this decision was a lost opportunity.

“It could have been a step forward for an ecosystem that has been waiting for its country’s support for too long. A ‘NO,’ accompanied by many rigidities contrary to the innovative DNA that our country needs. However, this doesn’t mean that we’re losing confidence in the future and in Italian companies.”

So it’s clear that most people are as disappointed as I am, but also share my hope for the future. But there’s still a big question that remains…

How do we fix it?

Ok, the news was disappointing to hear, but I decided not to be too angry about the situation. So after the first wave of disappointment had settled, I rolled up my sleeves and decided it was time to reflect and look at ways to move forward from this.

Let’s first look at where Italy is now. According to data from the Ministry for Economic Development (MISE), there are 12,000 startups in Italy at the moment. They employ more than 70,000 people and generate €1.4 billion in revenue. It’s behind other ecosystems in Europe, but still, it’s an impressive number that’s always growing.

So, how do we go forward from there?

As a start — in my humble opinion — the risk-averse position Italy has taken towards startups needs to change, so what’s needed is a truly disruptive mindset change.

Even though SMEs and entrepreneurial family businesses are the backbone of the country’s GDP, students and young people are not encouraged to try, learn, and fail — essential steps in the development of tomorrow’s entrepreneurs. This can be done in numerous ways, whether financial incentives to get started, access to a proper network of mentors and experts, or university level programs.

Create safe spaces for failure

During my time at Erasmus University Rotterdam, I saw this first hand when I managed the Get Started Startup Program. It’s a 10-week pressure cooker where professors and serial entrepreneurs try to prepare students for the brave career choice of entrepreneurship, as opposed to the more ‘comfortable’ corporate lifestyle.

Of course, many students who entered the program dropped their idea halfway through — while others pushed it to the very end, only to see their idea fail. But there were also some who made businesses out of it, and a few even successful ones. The failures were also not for nothing.

Many students who failed the first time, tried again, and this time managed to set up growing businesses — using the assets and knowledge they had acquired during their first try.

There’s of course no magic formula, but I believe in the basic principle of growing the pool of possible talent and founders eventually lead to foreign investment — making the ecosystem as a whole more attractive. And to grow the pool, you need to give people the chance to experiment as soon as possible, allowing them to fail and gain experience, and provide founders with connections to experts in the community.

More people create more opportunities, which can eventually lead to a self-sustained framework for growing the ecosystem. But this only addresses the very first step, if Italy wants to catch up with the rest of Europe, it needs to have a holistic legislative approach that thinks about all the stages of a startup’s journey.

Legislation that works for everyone

Gianmarco Carnovale, tech founder and chairman of Roma Startup , tells me it’s important to find the right balance between lowering the barriers for starting entrepreneurs and creating a control system to avoid abuses of such dispositions.

“We need to develop a legislative ladder in which starting entrepreneurs can avoid bureaucracy and agency costs up until they have validated their product/market fit, reached a defined amount of revenue, or collected a minimum level of investment,” Carnovale explains.

“This approach would solve the problem at all stages: allowing startups to grow with flexibility, and allocating the right amount of bureaucracy when the company can afford them, and contribute to the country’s growth.”

I couldn’t agree more, but what have the Italian authorities actually said about the new notary ruling? Nothing. Zilch. Niente.

However, I think we can expect something in the coming days, given that the startup founders in the registration limbo are banding together to force a reaction from the Ministry of Economic Development.

I strongly believe that Italy is a country that can give much more to its ambitious entrepreneurs, from creative ghost kitchen startups , automotive-of-the-future enthusiasts, and AI wizards, and that perhaps, in the haste of the moment, tried to provide a platform that had more flaws than perks.

Even more, I believe that unity and open feedback is Italy’s strength — so I’d like the government to offer the tech ecosystem a seat at the table. The best way forward is for the government, along with the community, to draw up the next steps for startups in Italy.

That way it’ll be able to create a system that can compete with other countries within Europe — like France, Germany, and the Netherlands — where the legislators have endorsed the growth of startups, and that now see the first unicorns taking off and conquering the world of tech.

So yeah, the notary ruling is a setback, but I’m confident we’ll be able to turn things around.

In-game advertising is on the up — here’s how it can support your brand

Video games have become an important stage for players to keep in touch, interact, and celebrate creativity. While games have always had a social element, today’s leading AAA titles are emerging as the “third place,” the social environment that people turn to outside of home and work. Since the start of the pandemic, I’ve barely set foot outside my apartment, giving this third place a whole new meaning for me. Meetings in Animal Crossing became an essential element to my suddenly socially-distanced reality.

But games crept into “third place” territory even before COVID-19 left people tethered to digital devices for connection. Last year, Fast Company declared Fortnite the internet’s “ best new social network ,” showing how the free-to-play, multiplatform game has become entrenched in the social fabric of a generation.

Fortnite today is Facebook ten years ago. So, it stands to reason that brands must recognize the importance of meaningful in-game interactions. For brands to succeed in a new era of gaming, they’ll have to shift gears and put purpose before products, focusing on opportunities to enhance the human connection and fuel creativity through indelible experiences.

A new media channel enters the arena

The benefits of in-game advertising are analogous to those of experiential engagement and in-person experiences. If you can get your brand in the game in a way that feels intuitive, then you can create memories in ways that can have an incredible impact on players’ lives.

Even today, I still have a soft spot for spending hours playing Chex Quest, a child-friendly overhaul of Doom where you play as the “Chex Warrior” fighting mucous instead of demons from Hell.

I’m not the only one who remembers the branded game fondly; it inspired multiple sequels including an HD remake of the original game. Chex Quest’s success shows how different this approach to advertising is compared to other media — if you consider it “advertising” at all.

Where experiential lacks in scale, gaming, and virtual events excel — and right now, meeting up in-game is the only way to hang out with friends in embodied, shared experiences. This poses an incredible opportunity for brands to build meaningful relationships with players — if they do it right.

In the new era of in-game advertising, level-up the player experience

Success in a new era of in-game brand placement requires companies to take a more strategic approach. First, don’t think of it as advertising — think of it as an opportunity to collaborate with game developers to activate experiences they could only dream of, placing the interests of players front and center.

Rocket League (an interesting cross between racing and soccer), has pulled this off well. The larger-than-life nature of the game — and its brand partners — gives players the opportunity to take fantastical vehicles for a spin, like customized iterations of the Batmobile or a Hotwheels car. Of course, players can also own and upkeep their real-world dream car in the game, too.

These brand tie-ins give consumers the opportunity to get in the cockpit and live their fantasies in a way that’s unique to gaming. They can even get a little nerdy by customizing their car, personalizing the experience even more.

But finding these opportunities to artfully connect the brand to the game can be tricky, requiring your team (or its partners) to have a fundamental understanding of what makes a given game so special to its audience.

In a competitive space, authenticity is key

Games like Fortnite are on their way to becoming the marquee event spaces of the future. Fortnite’s events have massive attendance the likes of which have never been seen before. This means that everyone is eager to get their brand through the door and in front of highly engaged, passionate players will want a slice of the pie.

Game developers and publishers have elbow room to be choosy and set their expectations high. There’s no cheat code here: before a brand brings an idea to the table, they must do their homework and ensure their proposition is thoughtful, authentic, and focused on improving the player experience in a given game.

It’s unlikely that the popularity of in-game venues, or recognition of games as social platforms, will wane once communities around the world have returned closer to normal. Fortnite has long been considered a “place” visited by teens today , much like how the shopping mall served as the stomping ground for previous generations.

This was well before the pandemic, and the game will likely kickstart a broader trend in the medium for years to come. As games continue to evolve, forcing players to adopt new strategies to win big, brands will have to adapt for victory, too.

From the Titanic to Tom Jones’ chest hair: how Lloyd’s insures the unusual

What do having a singing career, shipping cargo overseas, starting a business, and jumping out of a helicopter over the Grand Canyon have in common? Believe it or not, they can all be insured.

Insurance policies help us tackle risk and make sure that we are covered if things don’t turn out the way we expect. And in this regard, Lloyd’s has a long history of providing some of the boldest and most eccentric insurance covers. Here are some of the things you might not have known could be covered.

Titanic

Everyone knows the tragic story of the Titanic, the luxurious British ocean liner that sank in the North Atlantic Ocean after colliding with an iceberg on the morning of April 15, 1912. What very few know, however, is that RMS Titanic and her sister ship, the Olympic, had been insured at Lloyd’s of London through the broker Willis Faber & Co.

It was considered a prestigious risk, with cover for the hull alone standing at £1m–more than £95m in today’s money. Numerous Lloyd’s syndicates put their names on the slip, covering amounts ranging from £10,000 to £75,000. Willis was able to negotiate a favorable premium for this proudly “unsinkable” vessel of just £7,500.

Despite the enormous amount of damage caused by the incident, the insurers paid claims within 30 days, including £1 million to White Star, the ship’s manufacturer.

Will Smith’s bungee jump

On September 25, 2018, actor Will Smith decided to celebrate his 50 th birthday in an unusual way: bungee jump from a helicopter hovering over the Grand Canyon. Naturally, you can’t engage in such a risky venture without covering risks.

The Hollywood star insured his bungee jump for $200 million in the London insurance market. Lloyd’s syndicates underwrote most of the cover, with policies covering loss of earnings arising from Smith’s death or injury.

Smith reportedly paid $500,000 in premiums. The YouTube video of his bungee jump received more than 20 million views.

Formula E

All motorsports are associated with risk. But in 2014, Formula E stood out among others for several reasons. Aside from being in its first season, Formula E differed from other motorsports mainly because the cars use high voltage electricity storage, the risks of which were not fully understood at the time. In addition, races were to take place in the center of major cities that are mostly new to motorsport, which brought its own risks and challenges.

With many elements of the sport being “firsts,” there was little past experience to use when assessing the risks, and few insurers were in a position to take them on. Lloyd’s broker Ellis Clowes drew on the market’s full risk-sharing expertise and collective intelligence to create a new type of cover and insured the Formula E Championship organizers in their first season for general liability, on-track physical damage, personal accident, and event cancelation.

Celebrity body parts

For singers, damage to vocal cords can be the equivalent of a career-ending injury in sports. That was one risk that Rock and Roll Hall of Famer Bruce Springsteen wasn’t taking. He insured his famous voice with Lloyd’s for $6 million , so that he can keep the lights on in case he’s unable to sing “Dancing in the Dark” again.

In fact, Lloyd’s has a colorful history of insuring vital body parts of celebrities , including the “taste buds” of famous food critic Egon Ronay ($400,000), the “smile” of actress America Ferrera ($10 million), the “chest hair” of British singer Tom Jones ($3.5 million), and the “signature hair” of former American football player Troy Polamalu ($1 million).

The marine industry

Mariners were among the first practitioners of insurance policies. Today, the maritime sector is still one of the main fields that spur new advances in the insurance industry. Parsyl , an insurtech startup that came out of the Lloyd’s Lab incubation program, uses smart sensors and large-scale data mining to understand and predict cargo risks and allow insurers to better anticipate risk and serve the marine industry.

The combination of IoT and machine learning algorithms Parsyl uses gives customers new insights on risks and performance in areas such as the best and worst times of year to transport goods, which vendors and shipping lanes have higher risks, or the impact of different packaging on product quality.

Parsyl is not the only Lloyd’s partner working to enhance maritime insurance. Orca AI, a member of the fourth Lloyd’s Lab cohort, combines data and deep learning to provide a powerful awareness system and smart alarms to enhance the safety and efficiency of ship operations.

Santa’s beard

To many, Santa Claus might be a legend, but to actor Brady White, it is a part-time profession. White has become known as “Santa to the Stars” and has paid visits to celebrities and become the face of Father Christmas for Macy’s department store in New York.

Knowing that holding on to his beard would be vital to keep his job and reputation as one of America’s most sought after Santas, White had his facial hair insured by Lloyd’s in 2006.

“All sorts of things can happen to Santa’s beard and I wanted to know that it was protected. Children can be a little rough so it gets tugged and pulled a lot, and then there is the soot and the danger of being singed when I head down the chimneys,” White said.

Earthquake damage

Earthquakes insurance can be a frustrating experience. The claims handling process and indemnification of damages can take a long time, and in areas that are regularly hit by earthquakes, by the time customers receive their payment, they might already be dealing with the damages of the next earthquake.

Jumpstart , a Lloyd’s coverholder, replaces the traditional claims handling process of earthquake insurance with an innovative parametric insurance coverage policy. Jumpstart monitors earthquake data released by USGS and automatically sends a text message to each customer in the impacted region when an earthquake of a pre-specified intensity hits. Customers respond to the text to confirm loss or damage, and a predefined payment amount will be automatically authorized for direct deposit into customer bank accounts. Depending on the payment method, customers can receive payment as early as the next day.

Jumpstart provides earthquake risk coverage for individuals, property owners, and tenants in California.

Insurance for the digitized world

Part of Lloyd’s work is to embrace and nurture technological innovation to find new ways to assess and cover risks in emerging sectors. Lloyd’s Lab is busy working with insurtech startups to spur the next wave of innovation in the insurance industry. Some of the interesting work being done at the Lab concerns covering the risk of digital infrastructure, which is becoming increasingly important as our lives and business become more and more digitized.

Parametrix , one of the teams at Lloyd’s Lab’s fourth cohort, creates index-based insurance for external service downtime such as cloud outages, network crashes, and platform failures. Its products help to close the protection gap in business interruption.

Kovrr , another company that is taking part in the fourth cohort, is a platform that enables insurers to financially quantify cyber risk. Kovrr’s platform delivers transparent, data-driven insights that enable companies to quantify and manage their affirmative and silent cyber risk exposures across all lines of insurance.