We’ve witnessed firsthand how a new generation of entrepreneurs in Southeast Asia (SEA) is redefining success. Growth is no longer measured solely by speed or scale, but by the depth of impact. The shift from asking ‘How fast can it scale?’ to ‘How meaningful is its contribution?’ is a growing debate in Southeast Asia, one that is increasingly shaping how entrepreneurs, investors, and policymakers define success.

Across the region, impact-oriented investors are increasingly adopting a ‘Theory of Change’ approach that channels capital toward technology solutions addressing Southeast Asia’s most pressing challenges. At TNB Aura, this lens guides much of our investment activity. Based on our 2024 Impact Report, our largest investment sectors are 37 per cent consumer and retail/e-commerce, 23 per cent agritech, 13 per cent edutech, and 12 per cent healthtech, reflecting the areas where technology is delivering the most meaningful and measurable impact.

Consumer and retail: Breaking access barriers

Across SEA, millions living outside Tier 1 cities face limited access to basic goods and services. Infrastructure gaps mean essentials cost more and are harder to find, leaving underserved communities at a disadvantage.

Without innovation, this inequality would persist. Super is changing that through its social commerce group-buy model, which aggregates community demand to lower prices and improve distribution. In 2024, Super engaged more than 40,000 active agents coordinating group buying and end consumers who purchased directly from the platform. By reimagining last-mile access, Super has enabled goods that were once out of reach to become part of everyday life for households in remote areas.

Agritech: Building resilient food systems

Millions of small-scale farmers form the backbone of SEA’s food supply, yet most remain trapped by systemic inefficiencies. Left unaddressed, these challenges would continue to depress productivity and incomes.

In agritech, new digital platforms are flipping this reality, creating market access and supply chain efficiencies. TNB Aura’s portfolio companies, such as Eratani and Techcoop, are among those helping farmers secure fairer prices and more sustainable practices. In 2024, Techcoop improved the livelihoods of 233,250 farmers through expanded market access and input financing. Collectively, our portfolio has supported 209,000 small-scale enterprises, many of them farmers now participating in more equitable and efficient food systems.

Also Read: Built for all or built to fail? Why tech for social impact must start with inclusion

Edutech: Expanding quality learning

For students across SEA, geography and cost have long dictated educational opportunity. The challenge is not just about access, but about the quality of education available to students from diverse socioeconomic backgrounds. Without intervention, this gap would only widen with each generation.

Edutech innovators across the region are tackling this challenge head-on. One example is VUIHOC, which delivers affordable online learning to underserved students in Vietnam. Its dual-teacher live-streamed classes reach nearly 2,000 students at once, while its AI-powered platform personalises learning and provides an extensive library of resources to over a million more each year, demonstrating how tech can fundamentally transform a country’s educational landscape.

Healthtech: Closing the care gap

Healthcare inequality is one of SEA’s starkest divides. Rural and remote communities often lack access to even the most basic consultations, forcing patients to travel long distances or go untreated.

Technology has emerged as one of the most powerful tools for democratising healthcare in Southeast Asia. Our portfolio includes companies like Ora, which leverage digital platforms to expand access, offering affordable, timely medical consultations and delivering essential supplies that would otherwise remain out of reach. Ora delivered 63,750 online consultations in 2024.

Also Read: Why investors are betting big on Asia’s social impact startups

A deliberate and data-driven approach to impact

These individual successes point to a broader, deliberate trend: investments in the region are increasingly aligned with both financial value creation and measurable impact. Looking ahead, investors are doubling down on development-eligible countries and climate resilience, with many, including TNB Aura, allocating significant capital to these priorities.

We challenge the traditional view that impact investing is a concession. Instead, we see it as the most strategic and sustainable way to build category-defining businesses in the region. By focusing on the sectors that truly matter and by backing the founders who are solving real problems, we are not just investing in companies; we are investing in a better future for Southeast Asia.

This article was co-authored by Amanda Nway Htwe, Corporate Development and Sustainability Manager at TNB Aura, and Jessie Cruz, Value Creation Analyst at TNB Aura.

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Southeast Asia’s cybersecurity ecosystem is rapidly gaining momentum, driven by rising digital adoption, expanding attack surfaces, and growing demand for stronger cyber resilience across industries.

From incident response and threat intelligence to fraud prevention, identity security, and zero-trust infrastructure, a new wave of startups is stepping up to address the region’s evolving security challenges.

Also Read: How cybersecurity crises are redefining corporate accountability

The following companies represent some of the region’s promising and fast-growing players, building cutting-edge solutions to protect enterprises, governments, and consumers in an increasingly high-stakes digital landscape.

1. Blackpanda

 

2. CYFIRMA

 

3. Secuna

 

4. Peris.ai

 

5. Scantist

 

6. Riskimmune

 

7. Horangi Cyber Security

 

8. InsiderSecurity

 

9. Swarmnetics

 

10. Heron Cybersecurity

 

11. i-Sprint Innovations

 

12. Forter

 

13. SecurityBox

 

14. Flexxon

 

15. TurisVPN

 

16. SecureMetric

 

17. ArmourZero

 

18. watchTowr

 

19. SafeSync

 

20. Fazpass

 

21. Shield

 

22. Finema

 

23. SILENT EIGHT

 

24. Tookitaki

 

25. Microsec

 

The image was generated using AI

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Singapore businesses are moving quickly in AI adoption, but growing data complexity and cybersecurity concerns could limit long-term returns, according to new research from Hitachi Vantara.

The data storage, infrastructure and hybrid cloud management subsidiary of Hitachi Ltd. released its findings in the Hitachi Vantara State of Data Infrastructure 2025 Report, a global study examining how organisations are preparing their data environments to support AI at scale.

The report is based on a survey of more than 1,200 C-level executives and senior IT leaders across 15 markets worldwide. The Asia and Oceania sample included 425 respondents, with 51 senior leaders surveyed in Singapore.

The findings suggest that while Singapore enterprises are among the most active adopters of AI in the region, many remain uncertain about their ability to sustain business value as deployments expand.

High AI usage, but uneven confidence in long-term ROI

Nearly all Singapore respondents (96 per cent) reported some level of AI use, highlighting strong momentum in AI adoption across industries.

Also Read: Travel is back, and it’s more cutthroat than ever

Two-thirds (66 per cent) said their organisations have already seen success using AI, reflecting early gains from automation, analytics and emerging AI-driven decision-making tools.

However, confidence declines when it comes to sustained returns. Only 23 per cent of Singapore leaders rated their organisation as having strong, industry-leading readiness to achieve long-term ROI from AI.

This gap points to a growing disconnect between deploying AI systems and building the operational foundations needed to support them at scale.

Hitachi Vantara’s research found that as AI workloads increase, data infrastructure challenges are shifting from technical concerns to strategic risks. Many organisations are struggling with fragmented data environments, which can weaken governance, visibility and resilience.

Among Singapore respondents, 52 per cent said data complexity makes it more difficult to detect a security breach, reinforcing the link between infrastructure sprawl and cyber risk.

In addition, 64 per cent agreed that if leadership fully understood how fragile their data infrastructure is, it would “keep them up at night,” highlighting a potential gap between technical experts and executive decision-makers.

The findings suggest that AI adoption alone does not resolve underlying data management weaknesses and may expose them further as systems become more interconnected and mission-critical.

Singapore enterprises taking a more risk-aware approach

Despite these challenges, Hitachi Vantara noted that Singapore firms are demonstrating a more disciplined approach to AI adoption compared with earlier phases of experimentation.

Also Read: Low liquidity, high stakes: Why this crypto pullback feels different

As AI becomes embedded in business operations, enterprises are placing greater emphasis on governance, security and reliability, particularly as AI tools begin to influence high-stakes decisions.

“AI success is no longer about experimentation alone. It depends on whether data environments are resilient, governed and trusted,” said Joe Ong, vice president and general manager for ASEAN at Hitachi Vantara.

“Singapore businesses are clearly ahead in adoption, but the next phase will be defined by how well they manage complexity, security and performance as AI scales,” he added.

The report concludes that while AI adoption in Singapore is widespread and early success is common, rising data complexity and security risks could undermine confidence and returns if left unaddressed.

As AI investment accelerates, organisations will need to simplify data environments, strengthen governance frameworks and improve infrastructure visibility to move from early wins to sustained value creation.

The ability to build trusted and resilient data foundations may ultimately determine which enterprises can fully capitalise on AI adoption in the years ahead.

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The lead image in this article was generated by AI.

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Singapore’s rapid AI adoption is no longer a question of ambition. It is now a reality shaping enterprise strategy across industries. Nearly every business leader surveyed in Hitachi Vantara’s latest State of Data Infrastructure 2025 Report reported some level of AI use, signalling that AI has moved firmly beyond experimentation.

But the report also delivers a clear warning: while adoption is widespread, long-term value is far less certain. As Singapore enterprises accelerate AI deployment, growing data complexity and cybersecurity risks are emerging as the next defining challenges.

Over the past two years, many organisations have embraced AI through pilots and early-stage deployments. Quick wins have come from automating routine processes, improving analytics, and supporting decision-making with machine learning tools. Hitachi Vantara’s research shows that 66 per cent of Singapore respondents say their organisation has already been successful using AI. However, confidence drops sharply when it comes to sustained returns. Only 23 per cent believe their organisation has industry-leading readiness to achieve long-term ROI from AI.

This gap highlights a critical turning point: AI adoption is no longer about whether companies can deploy AI tools, but whether they can support them at scale over time. The next phase of adoption will be defined not by innovation alone, but by operational resilience.

Data complexity becomes a strategic constraint

AI systems are only as effective as the data they rely on. As enterprises expand AI workloads, many are discovering that their data environments are fragmented across cloud services, legacy systems, and siloed business units.

Also Read: Singapore’s AI adoption surges, but data complexity raises security risks: Report

What once appeared as a technical issue is now becoming a strategic risk.

More than half of Singapore respondents (52 per cent) said data complexity makes it more difficult to detect a security breach. This finding underscores how sprawling infrastructure reduces visibility and increases vulnerability.

Instead of accelerating progress, unmanaged complexity can slow AI adoption by forcing organisations to spend more time cleaning data, integrating systems, and strengthening governance frameworks before AI can deliver meaningful outcomes.

In practice, the ability to simplify and modernise data infrastructure may become the true differentiator between enterprises that scale AI successfully and those that stall after early pilots.

AI adoption is also expanding the enterprise attack surface. As AI tools connect to sensitive datasets, internal applications, and privileged workflows, weak infrastructure can introduce new pathways for cyber threats.

The report found that 64 per cent of Singapore leaders agree that if executives fully understood how fragile their data infrastructure is, it would “keep them up at night.” This reflects a growing awareness that AI is not only an innovation driver but also a source of operational risk.

Moving forward, enterprises are likely to adopt a more security-first approach. AI investment decisions will increasingly depend on questions of trust, compliance, governance, and resilience — not just capability.

Organisations may demand stronger controls around credentials, access management, model usage, and vendor accountability. AI adoption will continue, but with higher expectations for security maturity.

Also Read: Low liquidity, high stakes: Why this crypto pullback feels different

ROI expectations will reset

The next chapter of AI adoption will also require a shift in mindset. Early success often comes from quick automation wins, but sustained ROI depends on discipline: monitoring, performance optimisation, governance, and cost control.

As AI becomes embedded in mission-critical operations, enterprises will become more selective, prioritising use cases with measurable business impact rather than broad experimentation.

The organisations that succeed will be those that treat AI as a long-term capability supported by strong infrastructure, not a standalone technology layer.

Singapore’s enterprises are already demonstrating a more risk-aware approach compared with earlier phases of AI expansion. Governance, reliability, and trust are becoming central themes, particularly as AI systems influence high-stakes business decisions.

This positions Singapore to set the tone for mature AI adoption across APAC, one that balances speed with security and innovation with resilience.

Ultimately, AI adoption will not slow down. But it is entering a more demanding phase, where success depends less on deploying models and more on building trusted, scalable foundations.

The companies that close the gap between adoption and readiness will define the next wave of AI-driven growth in the region.

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Kopi Kenangan, the Indonesia-founded coffee chain, reported its first full year of profitability for fiscal 2025 while continuing rapid international expansion and tightening governance in preparation for an eventual public listing.

CEO Edward Tirtanata claimed in a LinkedIn post that net revenue for FY2025 reached US$184 million, a 45 per cent increase year-on-year. Net profit was US$17 million, and EBITDA climbed to US$37 million.

Sequoia Capital-backed Kopi Kenangan ended the year with 1,324 stores across six countries and added 347 net-new outlets during the year. The chain’s digital ecosystem brought in 4.47 million new customers in 2025, and the firm reported a same-store sales growth (SSSG) of 15 per cent for the year.

Also Read: From a single brew to unicorn: Kopi Kenangan’s journey of coffee and creativity

The firm employs more than 8,000 people and plans roughly 550 new store openings in 2026.

A shift from growth-at-all-costs

The CEO framed the results as a shift from early-stage expansion toward disciplined, sustainable scaling. He described the company’s focus moving to fundamentals (revenue, profitability and capital allocation) and said the business is building processes and controls typical of companies preparing for an IPO.

Kopi Kenangan highlighted that it has maintained unqualified audit opinions from Big Four auditors over eight financial years and is accelerating its financial close and reporting cadence. The company is also investing in internal controls, tax and legal compliance, and data analytics to strengthen governance and due diligence readiness.

Performance across markets

In its largest market, Indonesia, Kopi Kenangan reported 40 per cent year-on-year revenue growth driven by solid same-store sales. In Malaysia, the company said revenue nearly doubled and that the business delivered positive EBITDA as unit economics improved with scale.

Kopi Kenangan also reported expansion into markets beyond Southeast Asia, naming India and Australia among its newer markets.

Technology and unit economics

The management attributed the fiscal-year performance to “technology-led customer acquisition,” pointing to the 4.47 million new customers acquired through its digital channels. It emphasised that increased scale improved unit economics — a point it presented as evidence that its model can be profitable rather than reliant on market-funded subsidies.

The firm’s stated goal is to “compound responsibly through cycles” rather than pursue top-line growth without regard for margins.

Context in Southeast Asia’s startup cycle

Tirtanata placed Kopi Kenangan’s results in the broader context of a regional reset. After a funding cycle driven by low interest rates, investor sentiment shifted, and many startups reoriented toward profitability.

He argued that the reset, while painful, was healthy for the region and that Southeast Asia still offers structural opportunities — demographic growth and economic expansion — for companies that prioritise unit economics and execution.

Outlook

Kopi Kenangan plans an aggressive rollout in 2026 (about 550 store openings globally) alongside continued efforts to tighten governance, speed up financial reporting and prepare documentation for potential public markets. The company presents its recent profitability and improved EBITDA as markers that it is transitioning from a rapid-growth startup to a more mature, investment-grade consumer business.

Also Read: Brewing success: A comparative analysis of Kopi Kenangan and Kopi Janji Jiwa coffee chains in Indonesia

By focusing on unit economics and “compounding responsibly,” Kopi Kenangan is positioning itself to be a resilient, long-term player in the global coffee market rather than a subsidised startup.

In 2026, one can expect the company to prioritise operational maturity alongside its aggressive physical expansion.

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Off the coast of Ireland, beneath the Atlantic Ocean, lies a vast nervous system of cables. These strands of fibre-optic wiring form the invisible infrastructure of our globalised world. These aren’t just conduits for internet traffic; they’re arteries of modern civilisation, carrying everything from financial transactions to state secrets.

And now, they’re under siege. This seabed has been making headlines as it is not just an ocean that connects us but underwater cables that ar the lifeline of our virtual connections. In todays world we are seeing daily threats to the very infrastructure that allows us the freedom to connect, explore and trade with the rest of the world.

The hyper-sensitivity to globalisation has inserted fear where there was opportunity. Instead of viewing these connections as extremely valuable points of cultural intersections we are seeing them as threats to the viability of local industries. 

It is not just the fibre-optic wiring stretching thousands of miles across the seabed that is threatened, but rather the ability to operate, trade and communicate globally. Stability in geopolitics is crucial for doing business in all shapes and forms today. 

As recent global tensions rise, cybersecurity threats multiply, and there is an increasing risk of disruption. 

The new frontline is digital

The world is teetering on the edge of a new era, one where firewalls matter more than fences, and zero-day exploits can be as devastating as missile strikes. “I look at the current political landscape and see a world under strain,” says Rhythm Jain, a Marketing Development Manager at Resonance Security.

This battleground is vast and largely invisible, stretching from the inboxes of public officials to the seabeds off Ireland’s coast. In 2024, NATO released a bold new strategy to secure undersea infrastructure, citing increased Russian submarine activity near British waters. The message is clear: cables are now targets, and data is a strategic asset.

The cables are just one piece. From the 2020 SolarWinds breach to daily ransomware attacks on hospitals and water systems, it’s clear that the digital realm is now where the most consequential battles are fought.

“If you’re building anything that holds value, you’re a target,” says Jain. In a world where physical borders blur and kinetic warfare feels like an artifact of the 20th century, the real battles are happening in code. The firewalls of corporations and nations alike are now the new frontlines, and the stakes have never been higher.

“Geopolitical rivalries, economic uncertainty, and fractured alliances are fuelling a surge in cyber threats. Tensions between major powers like the US, China, and Russia, alongside regional flashpoints like Iran or North Korea, have turned cyberspace into a battleground.”

The past decade has seen an explosion in digital espionage, ransomware, and infrastructure sabotage. From hospitals being locked down by ransomware during a pandemic to energy pipelines halted by keystrokes, it’s clear, cybersecurity is now a necessity.

Also Read: AI power shift: How geopolitics and innovation are rewriting global rules

Vital infrastructure is exposed and vulnerable

Modern critical infrastructure including power grids, healthcare networks, financial systems were never designed with state-sponsored hackers in mind. “I believe ransomware attacks on critical infrastructure are a growing threat, often fueled by geopolitical tensions,” says Jain. “They exploit weak identity and access controls, letting hackers lock up vital systems.”

The situation demands a radical rethink. Blockchain-based decentralised identity (DID) systems are being explored as a solution, offering cryptographic verification instead of passwords and making impersonation significantly harder.

“Blockchain’s strength is its decentralised, tamper-proof ledger,” says Jain. “Imagine a power plant where every technician’s access is verified on a blockchain; hackers couldn’t easily impersonate someone to gain entry.”

Early implementations are promising, with companies experimenting with blockchain to verify machine identities and reduce unauthorised access to vital infrastructure. But this tech isn’t 100 per cent secure.

“Blockchain doesn’t stop phishing or social engineering. It’s also resource-heavy. And if private keys are mismanaged, then the whole system becomes vulnerable.”

In other words, there is no silver bullet but there is a smarter way forward. And it starts with layered, adaptive defenses built on a deep understanding of threat evolution.

Regulation is a hot topic

As cyber threats escalate, so too does the conversation around regulation. But not all regulation is created equal.

“Regulations create a baseline,” says Jain. “They force companies and institutions to adopt minimum standards: multi-factor authentication, encryption, incident response plans. Without that push, many organisations wouldn’t prioritise security until it’s too late.”

However, regulation can backfire when reduced to checklists and certifications. “Compliance is not security,” he warns. “I’ve seen companies with all the right certifications still fall victim to ransomware because no one was monitoring their logs.”

The solution? Thoughtful oversight that prioritises real-world resilience over audit-readiness. “The goal of regulation should be to raise the floor, not define the ceiling. It should encourage companies to build a real security culture and not just tick boxes once a year.”

Also Read: Asia’s trade turning point: How tariffs and geopolitics are redrawing supply chains

Security experts are a voice of reason in the storm

This fragmentation of global digital infrastructure has global implications. If countries begin developing separate, competing networks, the internet as we know it could become increasingly divided, where national security priorities override the free flow of information. 

For businesses, this could mean increased costs and inefficiencies as they navigate multiple regulatory and security frameworks. For individuals, it could mean a future where access to information is dictated by geopolitics rather than technological progress. 

Addressing these risks requires a multi-pronged approach. First, international cooperation must be strengthened to safeguard all infrastructure. The US and its allies are also working on developing quantum encryption technologies to prevent cyber intrusions on data transmitted through undersea cables. Secondly, offering public and private partnerships where security experts can provide case studies, evidence, and education with regards to vulnerable areas of work.

Welcome to the era of cyber geopolitics where the interconnected world is adding layers of new security challenges. By safeguarding the infrastructures that unite us and thoughtfully navigating the currents of globalisation, we can transform challenges into avenues for cooperation and mutual growth. How nations respond in the coming years will determine whether the internet remains a tool for progress or a source of conflict.

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These are challenging times for startups and small businesses, especially those committed to long-term sustainability goals. Geopolitical uncertainties — including fluctuating tariffs, ongoing conflicts, and disrupted global supply chains — continue to cast a shadow over already volatile markets.

While it’s encouraging that Singapore is emerging as a global leader in sustainability, building a green business remains a complex endeavour. Government initiatives like the Enterprise Sustainability Programme, which provides training and consultancy support, and the recently launched Carbon Development Grant offer crucial help.

However, these efforts often fall short of fully bridging the financial and operational gaps that sustainability-driven startups face.

Balancing profit and purpose

Sustainability is undeniably vital for the environment and future generations. But at the end of the day, businesses are primarily driven by the need to achieve profitability. The adoption of sustainable practices often involves significant upfront investment, and without clear, near-term returns, many companies view them as cost centres rather than value drivers.

That said, the landscape is shifting. More financial incentives are becoming available, such as green loans offering preferential interest rates, provided companies meet ESG reporting requirements. This creates a tangible business case for embedding ESG not just as a compliance checkbox, but as a tool for unlocking new capital and strategic growth opportunities.

In Singapore, all listed companies will be required to provide climate-related disclosures aligned with international standards starting from FY2025. However, most of these firms prefer to work with established providers — such as the Big Four accounting firms — for sustainability and reporting services. This makes it harder for newer, smaller sustainability consultancies to gain market share.

Meanwhile, SMEs are unlikely to face the same reporting requirements in the near future, due to concerns about added financial strain. Consequently, the market for sustainability services remains concentrated among larger enterprises. Startups that want to break in must offer specialised, enterprise-grade solutions — and that requires both capital and talent.

Also Read: Investing in a better future: Why sustainable investment matters

Funding challenges and emerging alternatives

Perhaps the biggest roadblock is funding. Traditional venture capital models emphasise high and fast returns, which often don’t align with the long timelines and capital-intensive nature of carbon and sustainability projects.

A promising but still-evolving alternative is tokenisation — a blockchain-based model that allows startups to raise capital from a broad investor base, somewhat akin to crowdfunding. Supported in part by Singapore’s Monetary Authority (MAS), this method offers greater access to funds but still inherits the same investor expectation for rapid ROI.

Reality, however, rarely matches these timelines. Take a reforestation project in Mongolia, for instance. Due to the harsh climate, tree saplings are first cultivated in greenhouses — a process that can take two to three years before planting even begins. Such projects require patient capital and mission-aligned investors.

Surviving and thriving through collaboration

In this environment, startups must be prudent and resourceful. One of the most effective ways to extend runway and accelerate progress is through strategic partnerships. By teaming up with like-minded businesses and leveraging shared services, startups can reduce costs while gaining access to complementary networks, technologies, and markets.

Collaboration can be a force multiplier. Whether through formal consortiums, incubators, or informal partnerships, collective action allows sustainability-minded businesses to scale impact faster and more efficiently.

But perhaps most importantly, green startups must cultivate endurance. Building a truly impactful, sustainable business isn’t a sprint — it’s a marathon. It demands flexibility, commitment, and a long-term mindset.

A long-term commitment to impact

Despite the many obstacles, the mission remains deeply worthwhile. Building a sustainable business is not just about regulatory compliance or generating carbon credits — it’s about creating lasting impact in the fight against climate change and improving the lives of communities around the world.

The journey is tough, especially in today’s financial climate. But by staying committed to our purpose, embracing innovation, and building strategic partnerships, we can not only survive the current challenges — we can emerge as resilient, future-ready leaders in the green economy.

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As someone who works closely with entrepreneurs and business leaders across Singapore and the ASEAN region, I’ve been watching with growing interest the convergence of two powerful forces: artificial intelligence and sustainability.

At first glance, these might seem like distinct domains—one rooted in algorithms and automation, the other in environmental and social responsibility. But at their intersection lies a wealth of opportunity, especially for small businesses willing to look beyond the obvious.

We’re living in a time when governments, corporations, and consumers are all rethinking what growth looks like. Singapore’s Green Plan 2030, ASEAN’s push toward decarbonisation, and rising investor focus on ESG metrics are reshaping how business is done. At the same time, AI tools are no longer locked behind corporate firewalls—open-source models, cloud-based platforms, and no-code tools have dramatically lowered the barriers to entry.

I see this convergence as the centre from which great untapped or little-tapped opportunities emerge. Let me share four such directions where I see strong potential for SMEs in our region to lead the way.

AI for sustainable agriculture

It’s easy to think of farming as old-world, but in Southeast Asia, agriculture remains vital—and ripe for transformation. In Singapore, I’ve seen how vertical farms are using AI and IoT to manage light, nutrients, and watering schedules, boosting yields while saving space and resources. These systems, while sophisticated, are increasingly affordable—basic setups are now built with open-source software and off-the-shelf sensors.

What’s exciting is how this same approach is reaching rural farms. In Vietnam, a company called MimosaTEK offers smart irrigation solutions that use AI to help farmers reduce water usage by up to 30 per cent. Imagine that impact at scale.

Entrepreneurs who understand data analytics and have even a modest grasp of agronomy can create platforms or consulting services to help traditional farmers modernise. Precision farming doesn’t require high-end robotics—it often begins with dashboards, SMS alerts, and remote monitoring linked to simple AI models.

Also Read: Unlocking agritech’s potential: Can Southeast Asia rise to the challenge?

Localised smart city solutions

The term “smart city” can sound like it belongs to governments and multinational tech firms, but there are practical ways SMEs are already playing a role. I’ve been following Vebits AI, a Singapore-based startup that built smart parking systems for private property owners—not the city government. That’s a great example of how small businesses can contribute to AI-driven urban improvements without trying to overhaul entire cities.

Opportunities lie in micro-mobility management, building-level sustainability dashboards, or last-mile delivery optimisation tools. Imagine working with university campuses, business parks, or condo developers to manage scooter-sharing, track utility use, or reduce delivery congestion.

In Manila, a local company partnered with a residential developer to use AI for predictive waste collection—cutting unnecessary trips and improving recycling rates. Projects like these don’t need deep capital reserves; they need a bit of data savvy, IoT integration skills, and strong B2B relationships with property owners or facility managers.

AI for renewable energy optimisation

Energy is a massive space—but there are smaller niches opening up where entrepreneurs can make a real difference. Sembcorp, for instance, uses AI to manage its renewable energy assets across Singapore. But what about all the smaller solar farms, community grids, or off-grid setups across ASEAN?

The International Renewable Energy Agency projects that Southeast Asia will double its solar capacity by 2030, yet much of it will be in smaller-scale installations. That’s where startups can step in—offering AI-powered forecasting, grid balancing, or battery usage optimisation.

A small team with knowledge of energy systems and predictive modelling could build cloud-based tools to help industrial parks in Johor or off-grid resorts in Bali manage fluctuating supply and demand. These tools don’t need to be complex—they need to be reliable, cost-effective, and region-aware. 

Also Read: How the upcycling movement can help build a true circular food economy

AI-enabled circular economy models

One of the most overlooked intersections between AI and sustainability is in the circular economy—rethinking how products are used, reused, and tracked across their lifecycle. Startups here in Singapore are already using AI to monitor waste streams and help manufacturers close the loop.

For instance, a local startup developed an AI-powered dashboard that alerts packaging producers when certain materials are underutilised or overstocked, helping them reduce waste by 15 per cent. That’s real impact—and real savings.

This space is wide open for SMEs with supply chain knowledge and a working grasp of operations or sustainability frameworks. You could build tools that track material flow, optimise end-of-life processes, or even help retailers match surplus with demand in real time. With regulatory pressure growing across ASEAN for extended producer responsibility, tools that support circular thinking will only become more relevant.

ASEAN market opportunities at the intersection of AI and sustainability

Entrepreneurs exploring the convergence of artificial intelligence and sustainability in ASEAN can tap into high-growth sectors backed by both policy momentum and investor interest. Here’s a quick snapshot of where the biggest opportunities lie:

Final reflections

What strikes me across all these areas is that you don’t need to invent new technologies—you need to apply what’s already out there in thoughtful, grounded ways. The convergence of AI and sustainability isn’t only about clean energy or climate models. It’s about building smarter farms, more liveable communities, resilient energy systems, and resource-efficient businesses—all of which are deeply relevant to ASEAN’s future.

So if you’re an entrepreneur wondering where the next wave of growth will come from, consider pointing your compass toward the spaces where technology meets stewardship. These aren’t just opportunities for profit—they’re opportunities for purpose. And in today’s world, that might just be the most enduring edge you can have.

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As Southeast Asia (SEA) rapidly rises as the world’s fourth-largest economy, the region faces a defining question: can its climate tech ecosystem mature quickly enough to meet net-zero goals by 2030? Optimism abounds with climate investment in the area, growing 15 per cent year-on-year from 2015 to 2023. Yet a staggering US$2.5 trillion investment gap remains.

At Echelon Singapore 2025, a panel of leading voices in climate innovation unpacked the opportunities and gaps that must be addressed to unlock a thriving climate tech ecosystem in SEA. It is widely known that the climate crisis is worsening, and SEA is highly vulnerable.

Rebecca Sharpe, Director of Better Earth Ventures, noted, “SDG 13, climate action, is actively regressing,” citing UN ESCAP’s 2023 findings. Yet she remains confident: “Innovation can and should play a critical role. We just need urgency and alignment.”

That urgency stems not just from deteriorating environmental metrics but also from Southeast Asia’s unique potential. With 34 per cent of the region’s population aged between 15 and 24, it is primed to lead in digital innovation, including climate tech. But potential alone is not enough.

Policy, regulation, and mindset in climate tech

A recurring theme among the panellists was the regulatory vacuum in the region. Sharpe pointed to Europe’s robust climate legislation, noting that such frameworks compel action.

“Without regulations, climate solutions are seen as ‘nice to have’, not must-haves,” she said. Singapore, often viewed as a regional leader, has a carbon tax but lacks enforceable climate mandates.

Also Read: Amasia introduces impact assessment framework for climate tech companies

Equally important is cultural context. Arka Irfani, CEO of Bell Living Lab, highlighted the irony of Asia’s historic sustainability practices giving way to growth-at-all-costs models. “The traditional mindset of being inclusive and mindful of future generations has been lost. We need to bring it back.”

Nicole Ngeow, Executive Director of the Prudence Foundation, offered a perspective from the philanthropic front lines. Her foundation supports community resilience in climate and health. But she stressed that innovation must be viable. “Philanthropy can fund early-stage pilots to derisk models, but there must be a pathway to sustainable business,” she explained.

This view aligns with emerging blended finance models, where philanthropic capital helps prove concepts, and commercial investors scale them. “It’s not an excuse to ignore market signals,” she added. “Startups must still demonstrate viable unit economics.”

Several speakers agreed that alignment across sectors—government, corporates, researchers, and startups—is key to scale. Irfani shared a powerful example: a three-month government-backed programme in Indonesia helped Bell Living Lab partner with over 100 farmers to convert coffee waste into sustainable materials.

“Alignment allowed us to scale from idea to impact,” he said. “But for long-term success, proximity to market demand is essential.”

Hyperlocalisation also emerged as a critical success factor. Sharpe noted that effective climate solutions often address specific local challenges—from mangrove restoration in Indonesia to nutrient-rich farming in India.

“Localisation doesn’t mean small scale. Often, these solutions are replicable across borders,” she said.

Developing transformative climate tech is one thing; communicating its value is another. Jatin Kumar, CTO of Xinterra, offered a masterclass in bridging the technical-to-practical divide. His AI-powered material innovation allows textiles to capture carbon dioxide, an idea that could sound esoteric.

Also Read: Why these startups focus on informal plastic waste workers in the fight against climate crisis

“Communication is everything,” Kumar said. “You must explain your technology in a way your audience understands—whether it’s a five-year-old or a textile manufacturer.” By translating emissions metrics into relatable impacts (“20 of these t-shirts equals the emissions offset of a tree”), Xinterra helps partners grasp both the science and the benefit.

Regarding funding, climate tech faces a structural challenge: its returns take time. “Investors don’t always get it,” Kumar said candidly. “Climate solutions aren’t instant wins. We need a shift from fast to slow money, like in biotech.”

Sharpe echoed this, noting that many generalist VCs exited the climate space post-pandemic due to longer timeframes and higher perceived risk. “We need new financial models that match the climate reality,” she said. Tools like the Asia Climate Lab, which maps active climate investors, are helping founders navigate this new terrain.

The panel concluded with a consensus: climate tech must move from fringe to front stage. “This isn’t just about branding,” Irfani noted. “For us, converting waste is the business model. For climate tech to thrive, authenticity matters.”

The post Building SEA climate tech ecosystem: Why urgency, policy, and alignment matter appeared first on e27.

A new whitepaper from Singapore-based Device-as-a-Service (DaaS) startup Cinch aimed to bring attention to a largely invisible but mounting problem: 2.9 million unused smartphones are sitting idle in Singaporean households, exacerbating the country’s e-waste challenges.

Titled Rethinking E-Waste: How Singapore’s Consumer Tech Ecosystem is Building a Blueprint for a Circular Economy in Southeast Asia, the report draws from a national survey and offers fresh data on consumer habits while proposing practical solutions rooted in collective action.

It reveals that Singaporeans replace their smartphones every 2.7 years, considerably faster than the global average of 3.5 years. However, rather than being recycled or resold, many older devices end up forgotten in drawers. Concerns around data privacy and a lack of convenient recycling or trade-in options were cited as key barriers to responsible disposal.

Despite these challenges, the appetite for sustainable solutions remains high: 90 per cent of surveyed consumers indicated they would be open to reusing, recycling, or returning devices if safer and easier processes were available.

Cinch’s whitepaper emphasises that the most effective long-term solution lies in adopting circular technology models, which extend the lifespan of devices through reuse, refurbishment, redeployment, and recycling.

This approach not only reduces e-waste but also lessens the environmental footprint associated with raw material extraction and carbon emissions.

Also Read: AI shopping adoption surges 39 per cent in APAC, fueling retail tech investments

The startup’s DaaS model exemplifies how circularity can be embedded into business operations. Through partnerships with organisations such as ALBA and CompAsia, Cinch aims to develop scalable systems that align with Singapore’s Green Plan 2030 and the National Environment Agency’s Producer Responsibility Scheme.

“No single company can solve e-waste alone. What’s needed is a national framework that rewards sustainable behaviour and embeds circularity into the tech ecosystem,” said Mahir Hamid, CEO of Cinch.

Emissions and cost benefits at scale

The environmental stakes are significant. According to the report, adopting circular models at scale could cut Singapore’s e-waste volume by 50 per cent and reduce tech-sector CO₂ emissions by 40 per cent. Each refurbished smartphone saves approximately 25 kilograms of CO₂ emissions, prevents 77 kilograms of raw material extraction, and avoids generating 56 grams of electronic waste.

Beyond environmental gains, consumers also benefit financially. Subscription-based DaaS models can lower upfront costs for devices by up to 96 per cent compared to outright purchases.

While Singapore’s government has implemented regulations and established collection infrastructure to address e-waste, Cinch’s report underscores the importance of multi-stakeholder collaboration. Businesses, policymakers, and consumers all play critical roles in driving circular economy adoption.

“Circularity isn’t an add-on to business. It is becoming the core of how tech consumption needs to evolve,” Hamid concluded.

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The post Singapore’s e-waste crisis: 2.9M idle phones highlight urgent need for circular tech solutions appeared first on e27.