The German financial software and services company Altisource will open an incubator lab in Boston and hire 100 software engineers to staff it. The company says it intends for the lab to create a number of spin-off companies in which it would retain large investment stakes.
Altisource, which operates an incubator lab in Atlanta, has already had some success with this concept. Last year, it spun off two of its companies – Altisource Residential and Altisource Asset Management – yielding a combined market cap of nearly $700 million, according to the Boston Globe. The company is looking to hire software architects, product managers, Java engineers, consumer analytics experts and software implementation consultants. It promises to give professionals “the opportunity to work on some of the industry’s most interesting challenges in an environment that combines the excitement and equity participation of a traditional startup with the stability, track record and career mobility of a thriving, global public company,” said Mark Hynes, the company’s technology services president, in a statement. As you might expect, Altisource won’t have the only privately run incubator in Massachusetts. Others include Cogo Labs, operated through venture firm Link Ventures and Summer@Highland, operated by Highland Capital Partners. Historically, such operations have created some high-profile successes -- like Airbnb and Dropbox -- but also a number of flops. Boston is ripe with an ecosystem of talent given its proximity to Cambridge and powerhouse universities like Harvard and MIT. While Altisource will bring another 100 tech jobs to Boston this year, it’s debatable whether that will notably help turn around the 4 percent year-over-year decline the city has seen in its tech job market as of April.