Victoria Merges Innovation Agencies: LaunchVic & Breakthrough

Victoria has unified its innovation support and investment arms, merging the decade-old LaunchVic initiative with the state's substantial venture capital fund, Breakthrough Victoria, to create a new entity named Innovation Victoria. This strategic consolidation aims to streamline resources and provide a more cohesive pathway for founders, researchers, and investors within the state's rapidly expanding technology sector.

The newly formed Innovation Victoria will be led by Rod Bristow, who previously helmed Breakthrough Victoria. This move signifies a shift in leadership, with former LaunchVic chief, Dr. Kate Cornick, now heading the industry advocacy group, The Tech Council of Australia. The governance structure also sees changes, with former LaunchVic chair Leigh Jasper departing, and Geoff Tarrant, co-founder of the acquired construction tech firm Payapps, stepping into the chairmanship of Innovation Victoria. Monique Conheady, with a background in founding Flexicar and holding leadership roles at Wavemaker Impact and Hysata, will serve as deputy chair.

This integration arrives as Victoria's innovation ecosystem demonstrates significant global traction. The state boasts over 4,400 startups valued at an impressive $139 billion, with Melbourne recognized as a leading global hub for startup creation, surpassing cities like Sydney and Berlin. LaunchVic played a pivotal role in this growth, reportedly increasing the number of Victorian startups nearly twentyfold during its tenure. Concurrently, Breakthrough Victoria has deployed over $500 million across more than 100 investments, successfully attracting an additional $1.5 billion from co-investors.

The merger is presented as a strategic response to optimize the state's innovation funding and support mechanisms. While Breakthrough Victoria has faced financial scrutiny, including a reported $5.7 million loss in FY2025 and a $360 million budget reduction over four years, it has also achieved notable successes, such as the significant valuation uplift for portfolio company Infleqtion upon its NYSE listing. The consolidation seeks to leverage the strengths of both entities to foster greater scalability and global competitiveness for Victorian enterprises.

Innovation Victoria's mandate is to provide founders with enhanced access to critical tools, programs, expert advice, robust networks, and essential capital. The organization intends to strengthen inter-ecosystem connections and attract further investment into Victoria. CEO Rod Bristow emphasized the goal of building upon existing successes to propel local innovations to a global stage, stating, “We’re aligning the right capability, capital and connections so more local ideas can scale faster, attract investment and compete globally.” This initiative is particularly relevant in a global venture capital market that, while dynamic, demands focused and efficient support structures for emerging technology companies.

The move by the Victorian government to consolidate these key innovation bodies underscores a commitment to refining its economic development strategy. By presenting a unified front, Innovation Victoria aims to simplify engagement for entrepreneurs and investors alike, fostering a more dynamic and attractive environment for technological advancement and commercialization within the state.