Startup fever in Southeast Asia and its implication for India to improve indispensable public services(1)

Recent startup boom across Southeast Asia

Startup boom deserves to be named as one of the hot issues in Southeast Asia these days. Startup markets across Southeast Asia have been rapidly gaining momentums. As a matter of fact, locally born leaders of the digital economy such as Grab in Malaysia which acquired the Southeast Asian business unit of Uber in early 2018 have been acclaimed for changing the conventional industrial map in the region. 

According to Tech in Asia, a Singapore-based online technology media, startups in Southeast Asia enjoyed as much as $7.9 billion in investment in 2017.

 

Expansion of Mobility Services and Its Impact on the Development of a Cashless Society in Indonesia(7)

Global eyes on startup fever in Indonesia

It seems that Indonesia has caught eyes of the global investment industry more actively than Singapore in the regional competition of startup waves. A growing number of venture capitals and startup incubators sense exceptional business opportunities of Indonesia especially in terms of the market size. 

In fact, as the world's biggest archipelago with 17,000 or so islands, Indonesia has little choices but to rely upon online or mobile platforms to have more people advantaged from the convenience and efficiency of the digital economy.

 

Global eyes on startup fever in Indonesia(1)

Global eyes on startup fever in Indonesia

Among 11 countries in Southeast Asia, Singapore and Indonesia has been viewed as spearheading the advent of the digital economy across the region. It is little doubt that Singapore is the financial and technological hub of Southeast Asia with its delicately developed free-market economy. 

Blessed with the world's 4th largest population of around 260 million people, Indonesia takes approximately 40% of the total GDP of the Southeast Asian economy. 

High Time for Korean Startups to Ride on Digital Fever in Southeast Asia(7)

High Time for Korean Startups to Ride on Digital Fever in Southeast Asia

There are yet pending issues to tackle in startup fever in Southeast Asia. Poor IT infrastructures in non-urban areas, shortage of high-skilled work forces and widespread financial illiteracy have chronically taken roots in most parts of Southeast Asia. 

With the exception of Singapore, capital markets and legal and institutional systems for startups in the region aren't well devised and developed as well. However, venture capitals, symbols of adventurous money would remain indifferent unless they feel confident of more gains than losses by stepping into the digital frenzy in Southeast Asia.

Expansion of Mobility Services and Its Impact on the Development of a Cashless Society in Indonesia(6)

Global eyes on startup fever in Indonesia

These advantages of the two countries, namely Singapore in quality way and Indonesia in quantity way, have been exercising salient powers in generating most notable startups in the region. 

The fact that 8 out of 10 unicorns in Southeast Asia are headquartered either in Singapore or in Indonesia proves the significance of the two countries in the developments of the digital economy.

Expansion of Mobility Services and Its Impact on the Development of a Cashless Society in Indonesia(5)

Global eyes on startup fever in Indonesia

Among 11 countries in Southeast Asia, Singapore and Indonesia has been viewed as spearheading the advent of the digital economy across the region. It is little doubt that Singapore is the financial and technological hub of Southeast Asia with its delicately developed free-market economy. 

Blessed with the world's 4th largest population of around 260 million people, Indonesia takes approximately 40% of the total GDP of the Southeast Asian economy.

Startup fever in Southeast Asia and its implication for India(10)

Implication of Southeast Asia's startup fever for India to improve public services

Presence of as many as 22,000 startups in operation across the country has been partly attributed the government program backed by the latest strong economic growth. 

In fact, Bengaluru in the Southern part of India, often termed as the Indian Silicon Valley, has even claimed the second place in the list of best locations for launching tech startups globally. Now the thing is not in quantity but in quality in India. 

Startup fever in Southeast Asia and its implication for India(9)

Implication of Southeast Asia’s startup fever for India to improve public services

Additionally, as widely known, some CEOs of top-tier multinational technology companies like Google, Microsoft and Nokia have been supplied from the vast pool of Indian IT talents. 

Under this circumstance, the Indian government has also come up with a new initiative, 'Startup India', to foster startup ecosystems in the country since 2015. The purpose of Startup India is to generate startup-friendly environments for young entrepreneurs to unfold their unfettered business spirit in the ever-changing digital period.

Startup fever in Southeast Asia and its implication for India(8)

Implication of Southeast Asia’s startup fever for India to improve public services

What has been undergoing in Southeast Asia can be observed in India as well. It is mainly because India is fairly conditioned with established resources needed for nurturing entrepreneurship in the wake of the digital era. 

It is little doubt that India has been highly appreciated for its top-notch technology and IT manpower in an international stage. The fact that India has made it to develop and discharge its own nuclear weapons and artificial satellites shows the state-of-the-art level of scientific achievements of the country. 

Startup fever in Southeast Asia and its implication for India(6)

Recent startup boom across Southeast Asia

This could explain why global investment experts have been paying closer attention to this area where youngsters covering around half of the overall population are climbing on the brand new era of the digital economy.

There are yet pending issues to solve in startup fever in Southeast Asia. Poor IT infrastructures in non-urban areas, deficiency of high-skilled work forces and widespread financial illiteracy have chronically taken roots in most parts of Southeast Asia. 

Startup fever in Southeast Asia and its implication for India(3)

Recent startup boom across Southeast Asia

Lazada, an e-commerce platform in Singapore and Gojek, an Indonesian app-based ride-hailing service provider are well-known cases. It is mainly young Southeast Asians equipped with experiences of studying in Western countries who initiated startup craze in the region. 

As more and more young generations across the region rush to kick off their own companies, business models of startups are getting shaped up in a various way. For example, attempts to introduce mobile technology to region-specific circumstances have been drawing enormous attention. 

Global eyes on startup fever in Indonesia(2)

Global eyes on startup fever in Indonesia

As the world’s biggest archipelago with 17,000 or so islands, Indonesia has little choices but to rely upon online or mobile platforms to have more people advantaged from the convenience and efficiency of the digital economy. 

Beginning from the e-commerce field followed by sectors like the mobility and the fintech  services, young startups have been playing crucial roles in taking initiatives to bring digital technology nationwide.

Global eyes on startup fever in Indonesia(1)

Global eyes on startup fever in Indonesia

Singapore and Indonesia has been viewed as spearheading the advent of the digital economy across the region. Singapore is the financial and technological hub of Southeast Asia whereas Indonesia takes around 40% of the total GDP of the Southeast Asian economy. 

The fact that 8 out of 10 unicorns in Southeast Asia are headquartered either in Singapore or in Indonesia proves the significance of the two countries.

Global eyes on startup fever in Indonesia(4)

Global eyes on startup fever in Indonesia

In this regard, it is no wonder that Indonesia has been through hottest startup craze in Southeast Asia over the last decade. Starting from the e-commerce field followed by sectors like the co-working space, the mobility  and the fintech  services, young and ambitious startups have been playing crucial roles in taking initiatives to bring digital technology into designing customized solutions in a local context. 

As Bari Arijono  stressed throughout his book, 'Indonesia Digital Nation', digital transformation has been widely undergoing all over major industries in Indonesia.

Global eyes on startup fever in Indonesia(3)

Global eyes on startup fever in Indonesia

It seems that Indonesia has caught eyes of the global investment industry more actively than Singapore in the regional competition of startup waves. A growing number of venture capitals and startup incubators sense exceptional business opportunities of Indonesia especially in terms of the market size. 

In fact, as the world's biggest archipelago with 17,000 or so islands, Indonesia has little choices but to rely upon online or mobile platforms to have more people advantaged from the convenience and efficiency of the digital economy.

Global eyes on startup fever in Indonesia(2)

Global eyes on startup fever in Indonesia

These advantages of the two countries, namely Singapore in quality way and Indonesia in quantity way, have been exercising salient powers in generating most notable startups in the region. 

The fact that 8 out of 10 unicorns in Southeast Asia are headquartered either in Singapore or in Indonesia proves the significance of the two countries in the developments of the digital economy.

Global eyes on startup fever in Indonesia(1)

Global eyes on startup fever in Indonesia

Among 11 countries in Southeast Asia, Singapore and Indonesia has been viewed as spearheading the advent of the digital economy across the region. It is little doubt that Singapore is the financial and technological hub of Southeast Asia with its delicately developed free-market economy. 

Blessed with the world’s 4th largest population of around 260 million people, Indonesia takes approximately 40% of the total GDP of the Southeast Asian economy.

Global eyes on startup fever in Indonesia(2)

Global eyes on startup fever in Indonesia

As the world’s biggest archipelago with 17,000 or so islands, Indonesia has little choices but to rely upon online or mobile platforms to have more people advantaged from the convenience and efficiency of the digital economy. 

Beginning from the e-commerce field followed by sectors like the mobility and the fintech  services, young startups have been playing crucial roles in taking initiatives to bring digital technology nationwide.

Global eyes on startup fever in Indonesia(1)

Global eyes on startup fever in Indonesia

Singapore and Indonesia has been viewed as spearheading the advent of the digital economy across the region. Singapore is the financial and technological hub of Southeast Asia whereas Indonesia takes around 40% of the total GDP of the Southeast Asian economy. 

The fact that 8 out of 10 unicorns in Southeast Asia are headquartered either in Singapore or in Indonesia proves the significance of the two countries.

Global eyes on startup fever in Indonesia(4)

Global eyes on startup fever in Indonesia

In this regard, it is no wonder that Indonesia has been through hottest startup craze in Southeast Asia over the last decade. Starting from the e-commerce field followed by sectors like the co-working space, the mobility and the fintech services, young and ambitious startups have been playing crucial roles in taking initiatives to bring digital technology into designing customized solutions in a local context. 

As Bari Arijono  stressed throughout his book, 'Indonesia Digital Nation', digital transformation has been widely undergoing all over major industries in Indonesia.