Indonesia’s digital economy continues to post impressive growth, but beneath the headline numbers lies a stark reminder: progress is not evenly shared.
The latest East Ventures–Digital Competitiveness Index 2025 reveals widening disparities in infrastructure, skills, and access to opportunities. While urban centres like Jakarta push ahead, rural and underdeveloped regions remain constrained by patchy connectivity, low digital literacy, and limited financing options for small businesses.
Beyond connectivity, the challenge is about usage and trust. Many Indonesians can use digital tools, but struggle to translate them into productive activities. MSMEs, the backbone of the economy, face hurdles in adopting advanced technologies like AI due to high costs and complexity, while regulatory frameworks often lag innovation, exposing data security.
Adding to these woes, the archipelago faces fierce competition from neighbours and other countries worldwide.
The East Ventures report underscores that digital transformation cannot be left to market forces alone. True inclusion requires collaborative intervention, from government-led infrastructure expansion to private sector investment, academic partnerships, and community-driven literacy programmes. Only then can Indonesia’s digital economy evolve from a growth story to a story of equitable, sustainable progress.
REGIONAL
Indonesia’s Danantara records US$11.6B in H1 investments
Danantara is expected to increase investment activity in H2 2025 after directions from President Prabowo Subianto | The fund is completing a consolidation process and intends to focus on priority projects with both domestic and international partners.
Mongolia’s AND Global secures US$21.4M Series B to drive fintech expansion in SEA
Investors include IFC, AEON Financial Service, Marubeni, SBI Holdings, and Premium Group | The capital will enable the expansion of AND’s AI-driven solutions throughout SEA and launch new tools specifically designed for financial institutions catering to MSMEs.
Maybank raises Sea’s revenue and adjusted EBITDA estimates
Sea’s strong tech-driven execution, underpenetrated markets and supportive competitive landscape position it for sustained high growth, while its disciplined, cost efficient approach allows both expansion and profitability gains.
Waterhub lands seed funding to scale clean drinking water Solutions across Indonesia
Investors include Archipelago VC and The Radical Fund | Waterhub deploys a network of water dispensers and large-volume water filtration systems | These units can transform various sources, including municipal water, rainwater, groundwater, and even seawater, into safe drinking water.
Digital remittance apps take the lead across Asia Pacific, says Visa
In Singapore, for instance, over half of users cited ease of use as the top reason for choosing digital over physical methods | Digital apps were also perceived as the fastest way to receive funds by 73 per cent of respondents in the Philippines and 67 per cent in Singapore.
Antler backs US$1.6M seed of Australian healthtech startup OneMRI
Other investors in the round include OIF Ventures, TEN13, and Salus Ventures | OneMRI offers whole-body MRI scans by partnering with underutilised radiology clinics, healthcare professionals, and wellness brands.
Thailand to trial crypto payments for tourists; spending cap US$17K
Tourists will use Thai-based crypto exchanges, moving funds into online wallets to pay local businesses | Thailand is rolling out the initiative as foreign tourist arrivals have dropped, with the state planning agency cutting its 2025 forecast by 10 per cent to 33M visitors.
Malaysian crypto data firm Coingecko names new CEO
CoinGecko is a leading independent cryptocurrency data aggregator serving users worldwide | New CEO Bobby Ong previously served as COO for 11 years, helping scale CoinGecko’s operations and global reach.
True Global Ventures gets MAS license to expand fund management
With this new license, True Global Ventures 4 Plus is now permitted to potentially broaden its fund management activities to include areas such as continuation funds, fund of funds, public company investments, and crypto funds.
REPORTS, FEATURES & INTERVIEWS
EV-DCI 2025: Indonesia’s digital economy gains momentum but faces fierce regional and global competition
Indonesia’s digital economy accelerates with rising GDP share and AI potential, yet trails regional leaders, demanding faster transformation and competitiveness gains.
EV-DCI 2025 flags critical weaknesses in Indonesia’s digital inclusivity
Significant disparities exist in internet access and quality, particularly in underdeveloped and rural areas, which continue to hinder technology adoption | This unequal distribution directly impacts access to online learning, digital public services, and participation in the digital economy.
ECHELON
How corporates and startups are collaborating for the next wave of innovation
The discussion underscored how corporates, when aligned with entrepreneurial needs, can become key partners in innovation and long-term growth.
INTERNATIONAL
Trump admin in talks to take 10% stake in Intel
A 10% stake would be worth about US$10.5B at Intel’s current market value, potentially making the US government Intel’s largest shareholder | Intel is set to receive up to US$10.9B in Chips Act grants for commercial and military chip production.
SoftBank to invest US$2B in Intel
Intel, a major US chipmaker, has struggled to leverage the AI boom and grow its chip manufacturing business | Its foundry unit has yet to secure a major customer, and the company said it will wait for new orders before further investment.
OpenAI launches ChatGPT Go in India at US$4.7
ChatGPT Go offers higher usage limits and additional features compared to the free version, including increased message caps, more image generations, larger file uploads, and extended memory | OpenAI chose India as the initial market to make ChatGPT subscriptions more accessible.
Duolingo CEO says no layoffs planned as AI use grows
The US-based language learning platform has faced criticism online since CEO Luis von Ahn shared in April that the company aimed to become “AI-first.”| He clarified in a recent interview that while AI will change some job functions, it will not lead to layoffs among full-time staff.
SEMICONDUCTOR
Nvidia’s H20 chips caught in US-China power struggle
On July 31, the Cyberspace Administration of China questioned the security of the H20 after US lawmakers demanded tracking features in exported chips | The US barred sales of H20 chips to China in April, citing national security concerns.
Senators urge Trump to block Nvidia, AMD China deal
Six Senate Democrats wants Trump to reconsider a deal allowing Nvidia and AMD to sell advanced AI chips to China in exchange for a 15% government revenue share | They warned the agreement could undermine US national security and strengthen China’s military technology.
China’s Nvidia rival Cambricon to raise US$560M for AI chips
The funds are earmarked for hardware and software projects, including chips for large AI models| The fundraising comes as China pushes data centres to use more locally made chips, with public computing hubs required to source over half their chips from domestic producers.
Taiwan lifts 2025 chip growth forecast on AI strong demand
The sector’s output is now expected to reach US$216.7B, up from the previous projection of 19.1% growth | IC manufacturing will drive the gains, with output set to hit US$145.2B in 2025, up 27.5% year-on-year.
AI
Sam Altman warns AI market may be a bubble
He said investors may be “overexcited” about the technology | Other leaders, including Alibaba co-founder Joe Tsai, Bridgewater’s Ray Dalio, and Apollo’s Torsten Slok, have also warned about possible overvaluation.
Ex-Twitter CEO launches AI startup, claims edge over GPT-5
Parag Agrawal’s Parallel Web Systems provides a cloud-based research API that lets AI applications perform real-time research on public web data with detailed citations | Parallel emerged from stealth on August 13, and reported millions of queries from early adopters.
AI and ethics in digital marketing: Building trust in the tech era
Transparency in the use of AI is crucial in building and maintaining trust | Transparency involves explaining what AI is being used for, how it works in simple terms, and what implications it might have for the individuals whose data is being processed.
Thai semiconductor sector urges national export plan
Industry leaders noted that Thailand lacks a comprehensive semiconductor plan, while countries like Malaysia already have one | They said uncertainty from shifting global production and US transshipment issues is affecting export prospects.
THOUGHT LEADERSHIP
Powell’s speech could trigger a market meltdown or a crypto boom
Global PMI data, inflation reports, Fed minutes, and Jackson Hole speeches this week will test markets under new US tariffs.
Healthtech in South and Southeast Asia – Seeing beyond the “obvious”
The strongest healthtech innovations in Asia often come from founders who have lived the problem, understand its nuances, and can navigate local systems to get solutions into the hands of those who need them most.
Designing for survival in impact first immersive tech for Southeast Asia
The true promise of immersive technology lies not in its novelty but in its ability to redistribute access | It can elevate the visionary majority, students who learn differently, think boldly, and have been overlooked for too long.
Who owns the Cat? How a Singapore-Sarawak AI vibe design hackathon is reimagining IP
Kuching, Sarawak, will host the inaugural AI Vibe Design Hackathon | This collaboration between Singapore and Sarawak that doesn’t just celebrate emerging technology, but redefines how we create, feel, and protect what we make in an AI-powered world.
Can Indonesia build its own tech ecosystem, or will it remain a playground for global giants?
Foreign platforms like Google, Meta, and Apple dominate the foundational layers of the local internet | Meanwhile, local startups often rely on international VCs, operate on foreign cloud infra, and are subject to platform tax models set by global app stores.
Homegrown solutions for a hungry future: Why Southeast Asia must localise agritech by 2050
Southeast Asia leads global rice production, followed by Africa, the Americas, Europe, and Australia | Countries like Vietnam, Thailand, and Cambodia are key exporters, making regional production stability critical for domestic and international supply chains.
Why financial inclusion requires more than access
True inclusion isn’t just about giving more people access to loans; it’s about ensuring those loans are safe, transparent, and free from predatory practices | Tech solutions in SEA, whether for agriculture, health, education, or finance, must be designed with the most vulnerable users in mind.
Bridging innovation and market success: The role of a commercial co-founder in biotech startups
Biotech is capital-intensive, complex and filled with technical unknowns |Many founders come from scientific backgrounds, driven by discovery and innovation | But the truth is that technology doesn’t build a successful company; people do.
Mentors without playbooks: Real-world guidance in an AI-first era
Startups are raising funds to automate mentorship | Governments are rolling out national training platforms | AI tools are now being trained to mimic career coaching and feedback loops | But here’s the uncomfortable truth: insight isn’t scalable.
The future of social and quick commerce for developing countries
Social commerce companies allow you to buy the fancy shirt that someone is wearing on Instagram immediately and have it delivered to your house | While the commercial viability of these companies is still up for debate, online purchasing is here to stay.
Malaysia’s digital dilemma: Stuck in the past or embracing the future?
Malaysian companies have always been considered the late majority in the technology adoption life cycle | This is evident when 79 per cent of companies in Malaysia are still lagging in digital agility.
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