Electronics Development Software: Why Celus is Building a Marketplace Instead of a Classic Software Company in a Billion-Dollar Market

About this episode

Munich-based software startup Celus has already raised over €30 million from investors and now employs around 100 people. But what makes this company truly interesting isn't just the impressive funding round – it's their unconventional approach in a complex market.

Electronics Development Software with a Twist

Celus develops software for companies that manufacture electronics. Electronics engineers can use the platform to design and develop their products. So far, this sounds like a classic B2B software business. But here's where it gets interesting: Celus has deliberately chosen not to pursue a traditional Software-as-a-Service (SaaS) model.

As co-founder Tobias Pohl explains, the company doesn't monetize on the user side, but rather on the manufacturer side. Instead of selling their software tools directly to electronics engineers, they've developed a marketplace model. This strategic decision raises important questions about business models in complex B2B markets.

Why Marketplace Instead of SaaS?

The decision against direct user monetization wasn't clear from the beginning. Celus initially tried the classic SaaS model before switching to their current approach. This pivot decision shows how important it is for founders to remain flexible and adapt their business model based on market feedback.

By monetizing on the manufacturer side, Celus creates a value-added approach: the software remains accessible to electronics engineers while simultaneously building a sustainable business model through manufacturers. This is particularly relevant in a market where user acceptance and network effects are crucial.

Successfully Communicating Complex Business Models

One of the biggest challenges with complex B2B business models is communication – both internally and externally. Celus had to learn how to package complex relationships into understandable pitches while taking the entire team along on the journey.

These communication skills are especially important when it comes to convincing investors of unconventional business models. Not every investor immediately understands the logic behind a marketplace model in electronics development.

Learning Sales as a Technical Founder

Another important aspect is how technical founders can develop sales competencies. In complex B2B markets, it's not enough to just have a great product – you also need to learn how to sell it successfully and build trust in the enterprise segment.

Tobias Pohl's experiences show that this learning process takes time and should be approached systematically. Technical founders often have to leave their comfort zone and acquire skills that initially seem foreign.

Investment in Team and Recruiting

Celus recognized early that professional recruiting and HR management are crucial for growth. With 100 employees, the company is too large to make personnel decisions ad-hoc. The investment in professional HR processes pays off especially in a competitive market for developer talent.

Trends in the Semiconductor Industry

The market in which Celus operates is characterized by constant change. The semiconductor industry is currently undergoing significant transformations that create both opportunities and challenges for software companies in this space.

This market dynamic requires founders like Tobias Pohl to continuously evaluate opportunities and agilely adapt their company strategy.

Conclusion: Courage for Unconventional Paths

Celus demonstrates that successful business models don't always have to follow established patterns. Sometimes the path to success leads through unconventional approaches – provided you can communicate the complexity understandably and take your team along on the journey.

For founders of complex B2B business models, Celus' story offers valuable insights into strategy development, team building, and the art of communication in technical markets.