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AI-powered insurtech startup Sunday acquires KSK Insurance Indonesia

Sunday CEO and co-founder Cindy Kua

Sunday, a full-stack insurtech group in Southeast Asia, has completed the acquisition of a 99 per cent stake in KSK Insurance Indonesia for an undisclosed amount.

This collaboration allows differentiated services powered by AI/machine learning to be offered throughout the motor and health insurance through existing and new distribution channels in parallel with advanced automation of sales, customer services, underwriting and claims processes.

Also Read: Sunday raises US$9M to grow its AI-powered insurance business in Thailand, Indonesia

Sunday also looks to grow personal lines through its omni channels comprising strategic partnerships with multi finance, state-owned enterprises, telecommunications, its direct channels, and intermediary partners.

“Our immediate focus will be to extend our product solutions to all our corporate clients, partners, agents and brokers in our ecosystem to serve the growing middle income classes with better claim, lifestyle and risk prevention services,” said Sunday CEO and co-founder Cindy Kua.

Founded in 2017, Sunday is a fully integrated sales and services insurtech firm that uses AI and digital platforms to offer personalised insurance products and services that suit all individual and business risks. As of 2023, Sunday claims to have grown organically to over US$70 million premium sold across the region.

The firm has obtained approval from OJK, the financial services authority of Indonesia. Sunday first launched in Indonesia as a registered insurtech and licensed broker in 2022.

Sunday is backed by global investors including Vertex Ventures Southeast Asia and India, Quona Capital, Tencent, SCB 10X, Z Venture Capital, Vertex Growth, Aflac Ventures, OSK-SBI and KSK Ventures.

Also Read: AI’s transformative role: Making insurance accessible and affordable globally

KSK Insurance is a general insurance company offering car, property and cargo insurance through agents and brokers across Jabodetabek, Bandung, Surabaya, Medan, and Bali. As of 2023, it claims to have a gross written premium of approximately US$40 million.

X marks Echelon. Join us at Singapore EXPO on May 15-16 for the 10th edition of Asia’s leading tech and startup conference. Enjoy 2 days of building connections with potential investors, partners, and customers, exploring innovation, and sharing insights with 8,000+ key decision-makers of Asia’s tech ecosystem. Get your tickets here.

Want more from your Echelon experience? Be an Echelon X sponsor or exhibitor. Send enquiry here.

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Angel investors vs Venture Capitalists for startup funding: Which is right for you?

Raising capital is a pivotal challenge for startup founders. Two primary avenues for funding are angel investors and venture capitalists (VCs). These financial backers offer distinct advantages and drawbacks, and selecting the best fit for your startup necessitates careful consideration.

In this article, we’ll explore the contrasting dynamics of angel investors and VCs, incorporating real-world examples to illuminate the decision-making process.

Angel investors

Angel investors are affluent individuals who invest their personal funds in startups. They often bring industry expertise and mentorship alongside financial support.

Advantages of angel investors

Flexibility in deal structures

Angel investors tend to be more adaptable to deal terms. This flexibility permits startups to customise agreements to suit their specific requirements. For instance, consider Jane, an angel investor with a background in tech, investing in a software startup. She may offer convertible debt with favourable terms, allowing the founders to maintain control over the company while raising essential funds.

Personalised relationships

With a smaller group of investors, founders can cultivate more personalised connections with angel investors. These relationships frequently lead to invaluable mentorship and a heightened level of commitment.

Imagine Sarah, an entrepreneur in the health and wellness space, who secured investment from a network of angel investors. One of these investors, Michael, who has a passion for fitness and nutrition, becomes an active mentor, guiding Sarah through critical strategic decisions.

Diverse expertise

Angel investors bring diverse backgrounds and industry experiences to the table. This can be advantageous for startups seeking broad expertise and insights. A great example is Alex, a startup founder in the renewable energy sector. By securing funding from a group of angel investors with backgrounds in energy, finance, and environmental policy, Alex gains access to a wealth of knowledge and contacts.

Also Read: 6 key things to consider while hiring an individual to handle tax for your startup

Disadvantages of Angel Investors

Limited capital

Angel investors may have individual investment limits, potentially limiting the size of funding rounds for startups. For example, if a startup needs US$5 million to scale rapidly, relying solely on angel investors with lower investment thresholds could prove insufficient.

Resource constraints

Angel investors typically have fewer resources than VCs. This can pose challenges when startups require substantial capital for aggressive growth or when facing unexpected financial hurdles.

Venture Capitalists (VCs)

VCs are professional investment firms that pool capital from various sources to invest in startups. They offer substantial resources and extensive networks.

Advantages of Venture Capitalists

Larger capital infusion

VCs can inject significant amounts of capital into startups, facilitating rapid expansion and ambitious goals. Take, for instance, a biotech startup developing a groundbreaking medical device. A VC firm might provide the substantial funding necessary to accelerate clinical trials and bring the product to market quickly.

Extensive networks

VCs boast vast networks of contacts, industry experts, and potential partners. This access can pave the way for strategic partnerships and valuable business opportunities. Consider a fintech startup that secures VC funding. The VC firm’s connections within the financial industry can help the startup establish crucial partnerships with banks and payment processors.

Strategic guidance

VCs offer strategic guidance and mentorship akin to angel investors but with the added benefit of a dedicated professional team. For instance, a VC firm investing in a tech startup might assign a partner with deep experience in scaling tech companies to provide hands-on guidance.

Also Read: Navigating the AI frontier: Strategies for scaling for SEA startups

Disadvantages of Venture Capitalists

Loss of control

VCs often require a significant equity stake in return for their investment. This equity dilution can result in a loss of control and decision-making power for the founder. It’s akin to selling a portion of your startup to an external entity.

High expectations

VCs typically have lofty growth and exit expectations. This pressure can lead to an emphasis on short-term results that may not align with the founder’s long-term vision. Startups may face relentless demands for rapid growth, potentially sacrificing sustainable, long-term success for short-term gains.

Rigorous due diligence

VCs conduct meticulous due diligence, a time-consuming and exhaustive process. While this thorough assessment can be beneficial in some cases, it may not suit startups looking to move swiftly. It requires divulging intricate details about the business, its financials, and its operations.

Making the Decision

Selecting between angel investors and VCs hinges on the unique needs and goals of your startup:

Stage of your startup

Early-stage startups may find angel investors’ mentorship and flexibility invaluable, while later-stage companies aiming for rapid growth might favour VCs’ substantial resources.

Funding requirements

Assess the amount of capital your startup requires. If you need a substantial investment, VCs are better equipped to provide it.

Long-term vision

Consider your startup’s long-term vision. Are you seeking a quick exit, or do you aspire to build a sustainable business over time? VCs often prioritise rapid exits, whereas angel investors may exhibit more patience.

Network and expertise

Evaluate whether your potential investors can provide industry-specific knowledge and connections aligned with your startup’s needs.

Alignment of values

Partner with investors who share your vision and values to avoid potential conflicts down the road.

Whether you opt for angel investors, VCs, or a blend of both, the right investors can supply not just financial backing but also invaluable guidance and resources for your startup’s success. The key lies in matching your funding strategy with your startup’s unique characteristics, aspirations, and developmental stage. By making an informed choice, you can propel your venture forward and navigate the path to success effectively.

Editor’s note: e27 aims to foster thought leadership by publishing views from the community. Share your opinion by submitting an article, video, podcast, or infographic

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6 cybersecurity criteria for corporate compliance

In today’s digital age, information security is a critical issue that enterprises can no longer ignore. With the increasing number of ransomware attacks, the challenges of managing cross-border data flows, and geopolitical factors, businesses face more challenges regarding data management and protection. These phenomena have also accelerated the creation of corresponding laws and regulations by governments and relevant organisations worldwide.

For instance, companies around the globe are establishing information security management systems and adopting appropriate technologies and measures. Many companies also need to obtain the ISO 27001 certification, which added more control measures just last year. Moreover, if businesses fail to meet regulatory requirements, they may face restrictions, penalties, or even exclusion from the supply chain in various industries. This makes compliance no longer an option but a necessity.

Since this is closely tied to a company’s reputation and relationships, we expect that information security compliance will become an increasingly important factor in corporate operations.

Regulations leave businesses in the dark due to lack of clear implementation

When helping our clients plan their compliance strategy, we’ve found that the initial compliance implementation assessment is a common struggle. While the goal of protecting data is clear, most regulations only offer basic directions and require companies to demonstrate compliance without providing specific recommendations.

Here are some common examples of how compliance clauses are usually stated:

  • Sarbanes-Oxley Act (SOX): This regulation mainly regulates U.S. listed companies, requiring the protection of financial data and reports and developing disaster recovery plans for sensitive information.
  • Health Insurance Portability and Accountability Act (HIPAA): A US regulation for the healthcare industry ensures patient medical data confidentiality, specifies how long patient data can be retained and requires backup and disaster recovery plans for data protection.
  • General Data Protection Regulation (GDPR): An EU regulation that requires companies to protect personal data, allows individuals to request data deletion, and requires backup plans to comply with individual rights.

When faced with numerous complex laws and regulations without clear guidance on implementing them, it can be difficult for company compliance units to know where to start.

Also Read: Securing the future: Navigating the digital transformation in BFSI amid cybersecurity challenges

Start with ISO 27001 to meet many security standards at once

To address these challenges, we recommend starting with the implementation of the ISO 27001 system. ISO 27001 is an international standard that helps organisations establish Information Security Management Systems (ISMS). Since its security requirements overlap significantly with other standards, such as HIPAA and GDPR, it is a good way to address several compliance regulations at once.

This means that by meeting ISO 27001, most of the other information security requirements of other regulations can be met at the same time. Only specific industry requirements need to be fine-tuned or customised to ensure your organisation’s compliance with relative standards.

Six audit checkpoints to meet data protection measures

Through our company, Synology aims to make data protection compliance easy for organisations of all sizes. To achieve this, we have outlined the following six audit checkpoints. If an organisation can answer “yes” to the following questions, it meets the basic data protection requirements for most regulations:

  • Complete backups: Can data be efficiently and regularly backed up, ensuring restoration to specific versions?
  • Backup verification: Are backup data truly secure, and are they proven to be recoverable?
  • Data immutability: Do you have a copy of the data that cannot be tampered with or deleted at will?
  • Restoration drills: Do you regularly simulate response strategies and procedures for unexpected events?
  • Offsite secondary backups: Are backup data stored in different locations and media?
  • Instant restorations: Can data be restored and services restarted within an acceptable time frame?

If it is not currently possible to achieve all these points, do not worry. By using a modern solution, these audit checkpoints can automatically be met. This backup suite helps IT personnel easily create a complete data protection strategy by deploying multi-version and multi-destination data backups. Not only does this help you meet the six major audit checkpoints, but there are no license fees, making it a cost-effective option to achieve compliance with information security regulations.

Also Read: The business edge: Why prioritising employee cybersecurity is a smart investment

Deploy active backup suite today to comply with data protection standards

Compliance with data protection laws is crucial for business operations, and failure to comply can have direct negative consequences. Take HIPAA for example: If healthcare institutions or related organisations fail to comply with HIPAA requirements, such as failing to protect patient medical information or failing to take the appropriate security measures, fines for each violation can reach up to US$1.5 million. Not only that, but it can also severely damage a company’s reputation.

According to a recent survey by Synology, over 80 per cent of companies are aware of data protection compliance laws but lack a comprehensive and adaptable data security solution because it helps IT personnel turn ideas into actionable plans to ensure the security and recoverability of company data while fulfilling data protection compliance requirements.

Editor’s note: e27 aims to foster thought leadership by publishing views from the community. Share your opinion by submitting an article, video, podcast, or infographic

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Singaporean wearables startup SynPhNe bags US$5M for US expansion

SynPhNe (Synergistic Physio-Neuro Platform), a wearable solution designed to treat stroke and other neurology-related disorders, has received US$5 million in a Series A funding round.

Event Horizon Technologies, an affiliate of the Nadathur Group, is one of the key investors in this round. The Group is the family office of Nadathur Raghavan, co-founder of Indian software giant Infosys.

Also Read: Revolutionising Singapore’s healthcare amidst demographic shifts and economic demands

This fresh capital will be used by Singapore-based SynPhNe to expand its rehabilitation services, particularly in the US market.

Founded in 2013, SynPhNe has developed a wearable solution that trains brains and muscles in one system. Real-time synchronised EEG (Electroencephalogram) and EEG (Electromyography EMG) signals are captured during tasks and activities to create a self-correcting learning loop. This makes it possible to self-administer physical therapy, occupational therapy, and Neurotherapy protocols at home, after initial training with a therapist.

SynPhNe claims to have helped individuals with physical disabilities (resulting from neurological pathologies such as stroke, traumatic brain injury and cerebral palsy), learning disorders, ageing challenges (such as memory and functional decline), chronic stress and pain.

Also Read: How immersive tech can boost your health and happiness

Its technology is available on two platforms – the SynPhNe Xpert (for franchisees, hospitals and clinics) and the SynPhNe eNabl (for home users).

The medtech startup has established a foothold in many countries through its training centres in Singapore and Mumbai, institutional partnerships with well-known hospitals and private medical/physiotherapy centres, and pilot projects with patients and renowned institutions in the US.

X marks Echelon. Join us at Singapore EXPO on May 15-16 for the 10th edition of Asia’s leading tech and startup conference. Enjoy 2 days of building connections with potential investors, partners, and customers, exploring innovation, and sharing insights with 8,000+ key decision-makers of Asia’s tech ecosystem. Get your tickets here.

Want more from your Echelon experience? Be an Echelon X sponsor or exhibitor. Send enquiry here.

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Zero-Error Systems: Safeguarding space travel from satellite collisions and debris

(L-R) Zero Error Systems’s co-founders Dr Wei Shu, Prof Joseph Chang, and Dr Kwen Siong Chong

According to the European Space Agency’s space debris office, hundreds of millions of objects of different sizes, ranging from 1 mm to 10 cm, formed due to satellite collisions, exist in Earth’s orbit. Each one of these objects creates more debris by clashing further and poses a serious threat to space missions.

When Wei Shu, a research scientist at the Nanyang Technological University (NTU), conducted extensive research into this phenomenon, it became clear to him that extending the lifetime of satellites is the only way to avoid future collisions and debris.

So, in 2019, he joined hands with his NTU professor Joseph Chang and Dr Kwen Siong Chong, to embark on a journey to achieve this mission.

This motivated the trio to launch Zero-Error Systems (ZES).

Also Read: Semiconductor manufacturing nations set for growth as AI takes center stage: Alpha Intelligence Capital CEO

“Extending the lifetime of satellites can be achieved by ensuring the power reliability and data integrity of satellites in all operating environments,” ZES co-founder and CTO Shu told e27. “This is what Zero-Error Systems does.”

Based in Singapore, Zero-Error Systems provides semiconductor integrated circuits and solutions to enable and enhance radiation hardening and ultra-low soft error capabilities of electronic circuits. Its patented, radiation-hardened solution safeguards commercial off-the-shelf (COTS) semiconductor devices, which are not designed to withstand the harsh conditions in outer space.

The startup’s mission is to extend the lifespan of satellite subsystems, rovers and other devices.

“There are two primary methodologies for achieving radiation hardening: radiation hardening by process (RHBP) and radiation hardening by design (RHBD). RHBP was the dominant approach in the past as it is fundamentally effective in mitigating radiation. However, it is incompatible with commercial processes, and it is expensive and old-fashioned,” Shu explains.

RHBD, a low-cost and high-performance solution 

RHBD is now the prevalent tech which relies entirely on low-cost, high-performance commercial processes. “We achieve RHBD first by designing radiation-hardened integrated circuits (ICs) using solely circuit and physical designs and then employing these ICs to protect other COTS components from radiation. The RHBD approach enables nearly all advanced COTS into space, significantly advancing the space industry,” he adds.

According to Shu, ZES’s RHBD approach is probably the most optimised approach as it achieves comprehensively effective radiation hardening with minimum overheads and effort by directly hardening COTS components against radiation.

“Our solution offers substantially lower cost and higher performance when compared to the adoption of radiation-hardened yet expensive and low-performance ICs. The high performance is achieved by allowing the adoption of advanced COTS ICs. The total solution cost is at least one order of magnitude lower than the traditional radiation-hardened IC solution,” he claims.

ZES has collaborated with various partners globally, including in Europe where its solution has been implemented into OneWeb satellite and it now functions in space.

In addition to the space industry, RHBD has potential in the automotive industry, particularly in level-4 and level-5 autonomous vehicles. “High-level autonomous vehicles, which rely on edge computing, require a very high level of data integrity. Zero-Error Systems’s RHBD technology can tackle this issue,” Shu claims.

The startup generates money from semiconductor component sales, non-recurring engineering fees for customised solutions, and intellectual property (IP) license and royalty fees.

In 2019, ZES raised US$2.4 million in seed round funding. In June 2023, it went on to secure another US$7.5 million in Series A round from Airbus Ventures and Dart Family Office.

With over 20 staff members, Zero-Error Systems has built a market presence across three continents – Asia, Europe, and North America.

Singapore is still a small market

Shu opined that while Singapore’s space ecosystem has grown in recent years, it is still small compared to matured economies like the US, Europe, Japan and China. Hence, ZES needs to explore overseas markets to gain flight legacies, brand traction, and business.

“Being a Singapore startup, it is difficult to make ourselves known in a foreign land, especially when ZES is competing with big semiconductor players that have been in the space industry for decades. So, we need to present its scientific findings, exhibit our solutions at top international conferences, and engage strategic foreign partners to promote, sell and participate in mega space projects funded by foreign space agencies,” Shu remarks. “The other challenge is hiring engineering talents for deep-tech startups in Singapore. We are always competing with MNCs in the same talent pool.”

Also Read: Silicon Box’s Business Head on how chiplet architecture transforms semiconductor scalability

Shu further adds that Space, the final frontier for humanity, is poised for accelerated growth in the years ahead, and ZES aspires to be a pivotal player in this cosmic journey. “Our current solutions deliver substantial advantages across diverse space applications, and we aim to establish them as global industry standards. Simultaneously, we are actively bolstering our product portfolio with groundbreaking innovations to meet the evolving demands of the space industry.”

In an era where space debris poses a growing threat to satellite operations, Zero-Error Systems emerges as a beacon of innovation, striving to extend the lifespan of vital space infrastructure. As humanity ventures further into the cosmos, ZES stands ready to safeguard the final frontier for generations to come.

X marks Echelon. Join us at Singapore EXPO on May 15-16 for the 10th edition of Asia’s leading tech and startup conference. Enjoy 2 days of building connections with potential investors, partners, and customers, exploring innovation, and sharing insights with 8,000+ key decision-makers of Asia’s tech ecosystem. Get your tickets here.

Want more from your Echelon experience? Be an Echelon X sponsor or exhibitor. Send enquiry here.

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