Dear reader,
The 2024 Philippine Startup Founders’ Outlook reveals a challenging funding landscape in the Philippines, with a 40% decline in local startup investments in 2023 casting a shadow.
Startup optimism, averaging 2.65 out of 5, reflects a strategic pivot toward profitability, indicating a shift in priorities amid economic uncertainties. This shift is underscored by founders recalibrating focus on profitability (70% prioritising it overgrowth) and reevaluating company valuations (average score of 2.65 out of 5).
Amid the funding winter, founders have expressed concern about the economic climate (3.40 out of 5) and government policies (2.45 out of 5) and advocated for increased investment in digital infrastructure (70%). Despite challenges, 55% anticipate profitability within one to two years, showcasing resilience.
The survey also sheds light on founders’ aspirations, with 60% eyeing international expansion, particularly in Southeast Asia. While the immediate challenges are evident, the focus on profitability and expansion signifies a proactive stance.
As the Filipino startup ecosystem grapples with short-term pressures, it displays resilience and strategic foresight, balancing growth aspirations with the current economic climate’s harsh realities.
Sainul
Editor.
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General News
Founders are pessimistic about Philippines’ funding climate in 2024: study
The necessity to ensure financial sustainability has forced founders to recalibrate their focus, underscoring profitability as a key objective.
The Parentinc acquires luxury retailer Motherswork to expand offline presence in SEA
This acquisition will enable Motherswork to expand its footprint into other countries in Southeast Asia through The Parentinc; The deal comes even as The Parentinc is preparing to launch an initial public offering.
HashKey Group secures US$100M in Series A financing, turns unicorn
HashKey’s core businesses also include a global asset manager investing exclusively in blockchain technology and digital assets, tokenisation services, and Web3 PFP incubation.
Vizzio board backs CEO despite sham doctorate
Jon Lee has admitted to lying about his Ph.D. in computer science from the University of Cambridge; A statement from the company says that Lee had informed the board about his lack of a doctor’s degree.
Prota raises US$21M led by Singapore’s SPRIM for its peanut allergy therapy
The fresh funding will be used to advance the development of Prota’s peanut allergy remission oral therapy, PRT120, which is being prepared for the phase 3 clinical investigation.
Khazanah Nasional backs Indian cloud kitchen startup Wow Momo Foods
With over 630 outlets in more than 35 cities, Wow Momo Foods plans to expand by adding 200 new outlets in the coming fiscal year; It operates three quick-service restaurant brands: Wow Momo, Wow China, and Wow Chicken.
Temasek, SeaTown invest in ABC Impact’s Fund II
ABC Impact aims to generate positive and measurable social or environmental outcomes in Asia; It invests across various sectors, including financial and digital inclusion, better health and education, climate and water solutions, and sustainable food and agriculture.
Meiro secures US$3M to take its customer data platform to Middle East
The investors include Wavemaker Partners and angels from Angel Central; Meiro collects, cleans, and manages data from virtually any source online and offline and provides personalised marketing tools to enhance business ROI.
Singapore-based agritech startup DayaTani bags US$2.3M seed money
Investors include Ascent Venture, KBI Investment, MDI Ventures, and Northstar Ventures; DayaTani works to enhance yields for Indonesian farmers, operating R&D sites across the Java island that focus on horticulture and grain crops.
Meals in Minutes bags US$1.5M from 500 Global
Meals in Minutes serves vacuum-packed, ready-to-cook meals, allowing consumers to whip up a gourmet meal within 15 minutes; It will use the money to expand in Singapore and Malaysia and establish a presence in the UK.
SG-based Web3 ad platform Linkko secures funding led by Web3 Media Ventures
Linkko uses on-chain analytics to offer “ultra-precise” targeting to advertisers; The targeted users can claim rewards for every advertisement watched, ranging from a few cents to several US dollars per ad.
Goldman Sachs-backed ZestMoney, once valued at US$450M, sold to DMI in fire sale
News about the acquisition follows ZestMoney — a BNPL player whose ability to underwrite small ticket loans to first-time internet customers attracted many high-profile investors — announcing last month that it would be shutting down the startup.
East Ventures managing partner Koh Wai Kit steps down
Koh will transition to an advisory role at the firm starting this month; Koh joined East Ventures as venture partner in 2021 before becoming a managing partner the year after; Previously, he was part of the founding team at Pavilion Capital.
Singapore drafts genAI governance framework
According to the framework, decisions made by AI should be explainable, transparent, and fair; It also provides practical guidance for developers and policymakers on their initial steps.
Sundar Pichai warns Google staff more layoffs are coming
Pichai’s memo said the company will have to make “tough choices” to meet its ambitious goals; Last week, the tech giant laid off over 1,000 workers across multiple divisions and cut 100 jobs at YouTube.
Unredacted Meta documents reveal ‘historical reluctance’ to protect children
Documents reveal that Meta not only intentionally marketed its messaging platforms to children, but also knew about the massive volume of inappropriate and sexually explicit content being shared between adults and minors.
Baidu denies report of partnership with Chinese military organisations
A report in the South China Morning Post originally said that an academy paper written by scholars at a PLA-affiliated research institute had disclosed a link with the Chinese technology giant.
Contributor Spotlight
Sapna Chadha: Navigating Southeast Asia’s tech landscape and AI trends
Explore Chadha’s insights on Google’s startup support and her personal and professional journey in the ever-evolving tech landscape.
Articles from our contributors
How burnout changes founder’s ability for risk-taking
Burnout’s like running on empty for too long; It’s emotional, physical, and mental exhaustion from constant stress; It drains your energy and makes you feel less accomplished.
Why a well managed cap table is essential for startup success
Amid Carta’s PR crisis, we’ll delve into why startups must ensure strong cap table fundamentals to avoid issues like ‘broken’ cap tables.
3 data decisions to make in 2024 for businesses to become AI-native
A business can harness the potential of AI when it has a complete understanding and control of its enterprise data across all sources.
The sweet success of authenticity in brand communication
Similar to Willy Wonka’s chocolate’s timeless appeal, authenticity in brand communication is the secret ingredient that retains consumers.
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.
From the archives
Fixing food waste problem means less hungry people and a great economy
In 2019, Singapore generated 744M kg of food waste, which is equivalent to 2 bowls of rice per person/day, or around 51K double-decker buses!
Angel investor Mike Flache shares his tips to begin investing in startups
Mike Flache considers himself as an investor in people, instead of tech. This is how he approaches angel investing.
What do you need to know about the eco gender gap
Eco gender gap is when solutions to tackle climate change seem to be geared only toward women. How should businesses deal with this?
How businesses can foster Diversity & Inclusion for LGBTQ+ employees
Supporting your LGBTQ+ team members can start by listening to their concerns and providing the platform to speak up.
Book Excerpt: How I survived an elevator pitch session with Tim Draper
In this book, Zopim Founder Royston Tay shares his experience pitching his startup idea to legendary investor Tim Draper.
News features and interviews
‘AI is a race for innovation; regulation will only develop effectively once winners are announced’
Sanjay Sehgal, MSys Technologies CEO, discusses privacy, AI-generated content, and the impact of legal battles on AI startups.
FlyORO soars into green skies with its sustainable aviation fuel blending solutions
Insights into FlyORO’s technology roadmap reveal a focus on modular SAF blending services, aiming for greater efficiency and substantial carbon emission reductions.
Helport aims to help customer support teams cut down on error rate
This year, Helport has a major plan to expand in the US while maintaining its leading position in Southeast Asia.
‘SEA’s agritech sector holds enormous potential as funding winter drives resilience’
500 Global Partner Saemin Ahn says SEA has the great benefit of having industry-leading business models and management teams in the field of agritech.
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The post Ecosystem Roundup: Founders pessimistic about funding climate in PH; The Parentinc acquires Motherswork; SG drafts GenAI governance framework appeared first on e27.