Dear reader,
The AI funding frenzy of 2024 tells a tale of two tech worlds. While venture capital for general technology ventures declined by 12%, AI startups witnessed a staggering 62% surge in investments, amassing US$110 billion. This divergence isn’t merely about numbers—it’s reshaping the entire startup landscape.
These figures warrant careful attention for Southeast Asia’s burgeoning tech ecosystem. As the US continues to dominate with 42% of global AI investments and China emerges as a formidable player with US$7.6 billion in funding, the region faces both opportunity and challenge. The emergence of cost-effective alternatives like DeepSeek suggests a democratisation of AI development, potentially levelling the playing field for Southeast Asian startups.
Yet, the most intriguing aspect isn’t just the quantum of funding but its distribution. From Databricks’ record US$10 billion raise to the modest yet growing share of open-source AI projects, we’re witnessing a maturing market that values both infrastructure and innovation.
For Southeast Asian founders and investors, the message is clear: AI isn’t just another tech trend—it’s becoming the backbone of future innovation. The question isn’t whether to join the AI race, but how to carve out a distinctive position in this rapidly evolving landscape.
Sainul,
Editor.
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NEWS & VIEWS
AI investments surged 62% to US$110B in 2024 while overall funding dipped 12%
Last year, a full 42% (US$80.7B) of venture capital raised in the US went to AI startups, compared to just 25% (US$12.8B) in Europe and 18% across the rest of the world.
Klook secures US$100M in funding led by Vitruvian Partners
Through its expanded AI partnership with Google Cloud, the company plans to enhance customer experience, merchant operations, and internal productivity.
Atome taps BlackRock, InnoVen for expanded US$80M credit facility
Atome claims to have grown its revenue by 45% to US$280M and GMV by 35% to US$2.5B y-o-y and achieved full-year profitability | This will help to drive the growth of the company’s product suite, strategic partnerships and regional portfolio.
Finmo’s unified treasury platform attracts US$18.5M from global VCs
The investors include Quona Capital, PayPal Ventures, and Citi Ventures | Finmo empowers organisations to optimise their cash management, enhance liquidity, and mitigate financial risks—all within a single platform.
HD lands US$7.8M to grow HDmall, expand AI chatbot, enter Vietnam
The investors include MSD, SBI Ven Capital, M Venture Partners, FEBE Ventures, and Partech Partners | HD’s healthcare and surgery marketplace HDmall lists over 30,000 SKUs, has 400,000 paying customers and an annual gross transaction volume of US$100M.
Gobi invests in ArmourZero to bolster SME cybersecurity defences
The ArmourZero platform tackles issues such as high cyber threat incidence, inadequate threat containment, prohibitive costs, and limited access to integrated security systems.
OpenAI CEO Sam Altman calls Musk’s bid an attempt to ‘slow us down’
Altman said Musk’s xAI is trying to compete with OpenAI from a technological perspective | He quipped that Musk’s whole life is from a position of insecurity and he doesn’t think Musk is a happy person.
Elon Musk’s full offer letter to buy OpenAI reveals five key details
The unsolicited offer from Musk’s group comes with a specific expiration date: May 10, 2025 | Musk’s legal team says he will drop his bid to acquire OpenAI if the board commits to keeping it as a nonprofit.
Australia’s ADI invests US$8M in AC Ventures’s Climate and Sustainability Fund
The investments will be in sectors such as renewable energy, electric mobility, energy efficiency, waste management, the circular economy, and climate-smart agriculture.
Life Science Incubator expands in Singapore with new co-working lab
With the expansion, Life Science Incubator has tripled its laboratory space; it also plans to expand into the broader Asia Pacific region, with Australia as its next key market.
Agnition Ventures, Agrifood Futures launch Land x Launch to attract agritech startups to NZ
The Land x Launch programme allows startups to refine their business models for the New Zealand market and connect with farmers for real-world testing.
Coinbase eyes reentry to India
The US-based crypto exchange launched in April 2022 | Just three days later, the company had to suspend the service after India refused to acknowledge Coinbase’s operations.
FEATURES & INTERVIEWS
The DeepSeek debate: Opportunity or overhype for startups in ASEAN?
DeepSeek’s emergence marks a potential turning point for regional startups traditionally priced out of cutting-edge AI development.
‘The future of semiconductor manufacturing is regional’: Global TechSolutions CEO
Kenneth Lee discusses how Global TechSolutions leverages its regional network across Singapore, Malaysia, and Taiwan to overcome semiconductor industry challenges.
The 3 ways DeepSeek will impact industries and what business leaders can do about it
DeepSeek’s impact will unfold across three possible scenarios, depending on how AI infrastructure costs develop.
B Capital’s Yanda Erlich on the red flags he notices when investing in AI space
Erlich highlights B Capital’s strong foundation of entrepreneurs, operators, and investors as a key advantage.
Human-centric skills in the age of AI: How to never lose touch with humanity in the workplace
AI lacks the nuanced understanding and ethical reasoning that define human interactions. This is why human-centric skills remain relevant.
FROM THE ARCHIVES
Why robotics is just entering its prime phase
Looking at the positives, robotics shift human effort to focus on more creative and better remunerative jobs, pushing toward a knowledge economy.
How can AI help reduce downtime and improve lives of industrial workers
Sound-first predictive maintenance is helping reduce industrial workplace injuries across maritime, construction, manufacturing, oil, and gas industries.
Why industrial automation is the next big opportunity for startups
Industrial automation is predicted to become a US$250 billion market by 2035, thanks to the hunger for manufacturers to improve productivity.
How integrating blockchain technology can create resilient supply chains
Demand for faster delivery and high availability have resulted in a greater focus on consumer-facing experiences in supply chain management.
5 trends shaping the cross-border trade landscape
Here are the key trends and solutions that are expected to impact the future of cross-border trade and commerce.
Asia-led global supply chain needs to reinvent itself to address climate change
As omnichannel strategies become the default, supply chain officers need to work across the business to take a finance-led approach.
Enhancing cyber supply chain resilience: A vision for Singapore
As someone deeply entrenched in the cyber security domain, I believe that the human element is as critical as technological advancements.
Why it’s crucial to ease risk management in Singapore
By incorporating technology and advanced analytics, Singapore can improve its risk management practices and become more efficient and safe.
5 smart ways to decarbonise supply chains and logistics with AI
Embedding climate-conscious practices while building digital tools can reduce environmental impact and raise business efficiency.
Mastering LinkedIn: Strategies for building a compelling personal brand
Highlighting three key questions professionals face when building a personal brand on LinkedIn, focusing on unique stories, visibility, and perception.
How express delivery services can become a key differentiator for e-commerce businesses
MSMEs invest in infrastructure and services to support time-definite cross-border e-commerce delivery, amid rising e-commerce and supply chain capabilities.
THOUGHT LEADERSHIP
How eFishery lost control of its narrative
Discover the story of eFishery’s reputation crisis and the consequences of their lack of proactive engagement and transparency.
DeepSeek: The smart disruptor in the AI race
DeepSeek has sent a clear message: The AI race is far from over, and the winners will be those who innovate, not just those who spend.
APAC’s tech revolution: 8 trends shaping the future of global innovation
As global tech shifts east, APAC’s innovation hub is taking the lead in advancements across AI, robotics, and emerging technologies.
Market wrap: Inflation surprises, geopolitical shifts, and crypto’s resilience amid uncertainty
The US inflation data has dashed hopes for rate cuts in 2025, with traders now pricing in a more hawkish Fed stance.
APAC’s surge in green tech is driving a global movement
As APAC expands its green tech ecosystem, it is closing the gap with global clean energy leaders and strengthening its global position.
Why AI-driven influencer marketing is the future of B2C in 2025
AI and influencers work best together, with AI managing data and logistics while the brand’s team and influencers add creativity and a personal touch.
What is e-waste and why is it critical for Southeast Asia?
I felt the need to write this mini-series to explore e-waste management in SEA, with a strong focus on Singapore, Malaysia and Indonesia.
BR Tech: A next unicorn transforming the global industrial painting landscape
BR Tech is not merely selling cutting-edge simulators and robots; it is revolutionising the way SMEs approach painting and finishing.
Workplace safety getting a tech makeover with AI
AI-powered tools, like safety chatbots, integrate cutting-edge video analytics and IoT data, which comes with regulatory responsibilities.
The 10x ROI advantage: How AI can supercharge your business growth
The integration of AI technologies offers a practical pathway to achieving – and even surpassing – a 10x ROI.
The post Ecosystem Roundup: Global AI investments surged 62% to US$110B in 2024 | DeepSeek – ASEAN’s AI disruption or distraction? appeared first on e27.