The TechStars Music accelerator just announced its 7th cohort. As the program’s Managing Director Bob Moczydlowsky told me on this episode, they don’t invest in music companies. They invest in companies solving problems for the global music business.

There are 10 companies that involve music in some way, including education, web3, and even wedding celebrations.

Each startup gets a $120,000 check from TechStars and hands-on development for 90 days. Past portfolio companies include Community, Endel, and Splash among many others. According to Bob, the program has returned a 3X multiple on invested capital since starting in 2017. Companies that went through the accelerator have gone on to raise an additional $250 million in capital after the accelerator.

Here’s what we hit on:

1:03 How the accelerator has evolved
4:15 Investment areas that have underperformed
7:21 Is there a ceiling on music innovation?
8:27 Minor-league scouting, major-league swinging
13:50 Repeating motif of investments
16:34 2023 accelerator cohort is “weirdest class ever”
27:04 The case for remote teams
30:30 The surge in capital from outside music industry
35:44 Music is less sensitive to macroeconomic conditions
39:12 Return on music accelerator vs. other TechStars programs
42:05 Techstars LP’s becoming more experimental
45:57 Hip-hop business mentors wanted

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