[Part 2] Why this Silicon Valley VC chooses Japan over international clients

In Part 1, we explored the business value created by Pegasus Tech Ventures' CVC 4.0 model. In Part 2, we examine Pegasus founder Uzzaman’s role as a social entrepreneur connecting founders across more than 100 countries and his commitment to Japan's startup ecosystem.

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JStories ー In his Silicon Valley office, Pegasus Tech Ventures CEO, Anis Uzzaman, faces paperwork today as he does most days. His year-round task? Sending invitation letters to American embassies around the world.

"Personally, I send 700 to 800 invitation letters to embassies every year," he explained.

Many of these destinations are entrepreneurs from countries where obtaining U.S. visas is challenging — Senegal, Ethiopia, Bangladesh, and others. The high success rate of "only two to three rejections so far" may demonstrate the influence of the Startup World Cup, one of the world's largest entrepreneurship competitions.

Creating a ‘World Cup’ for entrepreneurs

In 2017, Uzzaman launched an ambitious vision: Startup World Cup. The competition initially began as "the venture version of the soccer World Cup" with events in 15 countries. When Pegasus announced a $1 million prize (approximately 150 million yen) for the grand finals winner — the world's largest prize amount — inquiries flooded in from around the globe.

"Because it was the world's largest cash prize, inquiries started coming from various countries, and now we operate in 130 countries and regions worldwide," Uzzaman noted.

Anis Uzzaman, CEO of Pegasus Tech Ventures, speaks during an interview with JStories in Tokyo      Photo by Toshi Maeda / JStories (Same below) — Anis Uzzaman, CEO of Pegasus Tech Ventures, speaks during an interview with JStories in Tokyo Photo by Toshi Maeda / JStories (Same below)

Considering the Olympics involves approximately 200 countries, the Startup World Cup has grown into a platform covering two-thirds of the world's nations and territories.

At the Tokyo qualifying venue, the governor participates annually, with prizes totaling 150 million yen for Japan qualifiers alone. However, Uzzaman's true interest extends beyond entrepreneurs in privileged environments like Japan and America.

"In countries across Africa, South America, and Southeast Asia, entrepreneurs often cannot travel to America. U.S. visas are difficult to obtain," he explained.

Facing annual losses of hundreds of millions of yen

Operating the Startup World Cup represents a significant financial burden for Pegasus. "We've been doing this while incurring losses of several hundred million yen annually. But for us, this is a social activity," Uzzaman said.

Yet the losses generate immeasurable value. In the finals, competitors pitch before 3,000 investors for a chance to win funding , giving everyone, whether from Africa or Russia, a chance to receive funding — from Africa to Russia, everyone gets a shot.

"I receive an enormous number of thank-you letters from various countries in Africa and South America," Uzzaman shared.

For many of them, they would never have set foot in Silicon Valley without this event. The Startup World Cup functions not merely as a competition, but as a mechanism to bridge global opportunity gaps.

A network of 200 mentors supporting the system

Sending invitation letters isn't Uzzaman's only form of social contribution. "We recruited 200 mentors from around the world. These mentors are all free — all volunteers," he explained.

This mentor network addresses fundamental challenges faced by entrepreneurs in developing countries. These difficulties include not knowing how to give a strong presentation, and lacking a forward strategy, funding, or the ability to go to Silicon Valley. — Volunteers worldwide provide free support for these issues.

Special commitment to Japan: Repaying the scholarship

Why does Uzzaman devote such passion to social contribution? The answer lies in his own experience.

"I came to Japan and attended university here. When I was studying at a Japanese university, I received a scholarship from Japan's Ministry of Education," he recalled.

Anis Uzzaman recalls his student days in Japan, when he received a government scholarship from Japan’s education ministry

During his doctoral studies at Tokyo Metropolitan University, Uzzaman was awarded a Japanese government scholarship. The experience of mastering Japanese from scratch and immersing himself in research in an environment "where English couldn't be used at all" laid the foundation for his current values and understanding of Japanese culture.

This gratitude directly reflects his current business policies. "Currently, we receive many inquiries from companies in various countries, and all want to do CVC (Corporate Venture Capital) or VC (Venture Capital) as a Service,” he said. “Within that context, our team prioritizes responding to Japanese clients."

For example, Uzzaman said, after handling three Japanese companies, Pegasus accepts one overseas (non-Japanese) company. This clear priority stems from feelings beyond mere business judgment.

Frank recommendations for Japanese startups

Having observed Japan's startup scene for years, Uzzaman offers candid insights to its challenges.

"I want Japanese companies to become better at overseas PR activities," Uzzaman said. There is a concern. "Japanese companies have good technology, but somehow they can't dream big anymore."

Uzzaman’s point rings true. While Japan has numerous startups with world-class technical capabilities, many focus on domestic success and fail to take the leap into global expansion. Or when they do expand, many fail overseas because they cannot break away from Japan-focused ways.

Uzzaman offers a specific talent strategy to overcome this: "I think companies should be built for global scale from the beginning. So how do you go global from the start? For example, one approach is to include global team members in your team from the beginning.

"Not just Japanese people, but also some foreign nationals. In Japan now, we're actually seeing more startups like this emerging."

The same applies to investment strategy. "Investors shouldn't be limited to domestic Japanese investors from the start—reach out to companies like Pegasus, and in that way, infuse 'global blood' from the beginning."

The success model seen in Mujin

Uzzaman’s recommendations aren't mere theory. Mujin, a Japanese robotics company in which Pegasus has invested 3.5 billion yen, embodies this ideal.

"This company is now partnering with various global companies. One-third of the engineers working at this company in Odaiba are foreigners," he noted.

Uzzaman emphasizes the importance of building startups with a global mindset

Headquartered in Odaiba, Tokyo, Mujin built its organization with "that mindset from the start," premised on global expansion, and successfully raised 12.9 billion yen in major funding. Currently, the company's technology is being implemented in factories around the world.

"I think the fact that engineers from various countries are included was evaluated as a major plus in fundraising," Uzzaman reflected.

The effect of business domain expansion

One important effect of CVC 4.0, an outsourced corporate venture model advocated by Uzzaman that emphasizes building business partnerships over pursuing investment gains, is the expansion of partner companies' business domains. This effect was evident in the collaboration with Aisin.

"When Aisin started working with us and we first created the fund, we narrowed the focus to just three areas at Aisin's request: mobility, logistics, and robotics."

However, as the partnership with Pegasus deepened, Aisin’s perspective broadened in Silicon Valley. The fund's investment targets expanded into diverse fields — ranging from energy, travel, hospitality, and insurance to healthcare, agriculture, smart cities, fintech, and food tech, far exceeding the initial scope.

Another characteristic of Pegasus's CVC 4.0 approach is seeking business returns through partnerships rather than direct investment returns.

"Japanese companies tend to make decisions conservatively, focusing on their core business areas. I think one significant growth is that they've started to think more flexibly about this," Uzzaman observed.

Expectations for ‘Made in Japan’ changing the world

At the interview's conclusion, Uzzaman shared his expectations for Japan's entire startup ecosystem.

"I believe companies should be built for global scale from the start," he states with conviction. Japan's technical capabilities and commitment to quality are world-class. What's needed is the mindset and mechanisms to deliver that value to the world.

Uzzaman explains that his work bridges entrepreneurs across 130 countries and regions, fostering Japan’s global innovation ecosystem    Photo by Emi Takahata / JStories — Uzzaman explains that his work bridges entrepreneurs across 130 countries and regions, fostering Japan’s global innovation ecosystem Photo by Emi Takahata / JStories

Uzzaman's activities — supporting entrepreneurs across 130 countries through the Startup World Cup and helping Japanese companies expand globally through CVC 4.0 — is driven by a sense of mission beyond mere business.

If his vision comes to fruition, it could create a circular global ecosystem — one in which Japanese innovation helps address world challenges while simultaneously providing new opportunities for entrepreneurs in developing countries.