Change is inevitable over time, and in the span of 12 years, a lot can happen. Back in 2012, when I first joined TechCrunch, I was the sole writer in Asia. It often felt like my task was to correct misconceptions that I frequently came across in comments on my articles or on Twitter.
Despite rapid innovation from companies like Baidu, Alibaba, and Tencent, they were often viewed as mere imitations of their Western counterparts. India, with its vast population, was seen as a monolithic entity, and the spotlight rarely shone on Southeast Asia beyond Singapore.
Admittedly, I had my own misconceptions about markets outside Taiwan, where I reside. It was a relief when other journalists joined TechCrunch’s Asia team to provide valuable insights. In this article, I turned to my colleagues on TechCrunch’s Asia team—Rita Liao (China), Manish Singh and Jagmeet Singh (India), and Kate Park (South Korea)—to share their perspectives on the evolving tech landscape and how outside perceptions of technology in their respective countries have transformed over time.
As I bid farewell to TechCrunch today, after a decade-long journey, my hope is that I have succeeded in emphasizing the significance of Asia’s tech ecosystems. These ecosystems not only impact their local populations but also have a global influence through innovations like short-form videos, live-streaming, super apps, fintech, and crypto. They have acquired Western companies, reshaped social media usage, launched high-profile IPOs, and emerged as essential manufacturing centers for leading smartphone brands. Neglecting these regions leads to a narrow view of technology.
Southeast Asia
Jakarta, one of the busiest startup hubs in Southeast Asia
Journeying into Southeast Asia, a region close to my heart, startups have undergone remarkable growth over the past decade. However, despite this progress, the tech scene in Southeast Asia is often underestimated by observers outside the region. Let me share an example to illustrate why this underestimation is misguided.
Back in 2013, at the Global Entrepreneur Summit in Kuala Lumpur, Malaysia, I met Anthony Tan, the founder of Grab. At the time, Grab’s primary focus was to revolutionize taxi-hailing services in Malaysia, with aspirations of transforming into a super app and financial services provider across eight Southeast Asian nations. Meanwhile, Uber made its debut in Singapore the same year, sparking a fierce competition that ultimately led to Uber selling its Southeast Asia operations to Grab in 2018. This event grabbed the attention of many outsiders who were taken by surprise that a local startup had outpaced Uber. As former TechCrunch writer Jon Russell pointed out, the battle between Uber and Grab marked a significant shift in the region’s startup landscape.
While Southeast Asia has experienced a funding downturn recently, contrasting the funding boom of 2021 and 2022, it remains imperative to recognize the potential of startups in the region. The sheer scale of Southeast Asia, particularly with Indonesia being the world’s fourth most populous nation, coupled with its diverse demographics, underscores the importance of these startups in developing innovative products with global impact.
One of the standout narratives in my TechCrunch journey was covering shariah-compliant fintech solutions designed for Muslim users in Southeast Asia. These offerings, such as interest-free financing for small businesses, Shariah-compliant online payment gateways, and savings accounts for religious pilgrimages, hold promise for expansion into other markets. According to a report by DinarStandard and fintech Ellipses, Islamic fintech is poised for substantial growth in OIC countries, outpacing traditional fintech.
Another area where Southeast Asian startups excel is in providing fintech services tailored for the unbanked or underbanked population. Startups like Kredivo, offering instant credit financing and personal loans, cater to individuals with limited access to traditional financial services. The presence of a sizable unbanked population in Southeast Asia has also fueled a burgeoning crypto and web3 scene, with DeFi gaining traction for its promise of offering financial opportunities without conventional intermediaries.
China
Shenzhen’s skyline by Rita Liao
For insights into China’s dynamic tech landscape, I turned to Rita, a seasoned tech journalist covering China. Over the past decade, the perception of China’s tech ecosystem has shifted significantly. Initially viewed as a copycat haven, particularly with references to companies like Baidu as “China’s Google,” China has emerged as a hotbed of innovation, challenging and influencing global tech trends.
While fewer U.S. venture capital firms are investing in China now due to various factors, their influence on the industry has been substantial and enduring. Notable Chinese tech giants like TikTok, developed by ByteDance, have made a significant impact on the global social media landscape, popularizing short-form video and live-streaming formats that have been emulated by platforms like Facebook, Instagram, and YouTube.
Despite facing challenges, TikTok’s growth has been exponential, with a large user base in the United States. Its success, albeit marred by political controversies, highlights the platform’s cultural and commercial significance. Another influential app, WeChat, developed by Tencent, has pioneered the “super app” model, blending social networking, shopping, gaming, and ride-hailing services under one roof. This concept has inspired emulation globally, but has seen the most success in markets where data is expensive, making all-in-one apps more cost-effective than multiple standalone services.
Notable Chinese companies like Grab and PDD have leveraged the super app concept to expand beyond their original offerings, delving into financial services and social commerce, respectively. PDD, in particular, has disrupted the e-commerce landscape by introducing group purchasing for everyday goods, challenging traditional retail models.
Overall, China’s tech giants are not just innovators but also investors in domestic startups, emphasizing the country’s role as a major player in the global tech ecosystem and demonstrating the potential for nurturing homegrown innovation.
India
Skyline view of Bengaluru
With Manish and Jagmeet providing insights into India’s tech evolution, we uncover the diverse and rapidly evolving tech landscape in the region. Dispelling myths and misconceptions, they shed light on India’s tech-savvy consumers embracing premium products and services, challenging the notion of price-consciousness prevailing in the market.
Furthermore, the complexity of India’s demographics, spanning various age, income, and language groups, underscores the need for personalized approaches in the tech sector. Failed attempts by major tech players like Facebook and Google in India highlight the importance of understanding and catering to the diverse needs of the Indian consumer base.
Notable examples like Toss, Coupang, and Zigbang signify the emergence of successful startups in India, offering innovative solutions and disrupting traditional industries. The Indian tech ecosystem is also gaining traction as a hub for hardware manufacturing, facilitated by government incentives and economic growth.
While challenges persist, such as funding constraints at later stages of growth, the Indian tech scene presents opportunities for startups to flourish and contribute to the country’s economic landscape.
South Korea
A view of Seoul by Kate Park
In South Korea, the startup scene has flourished in recent years, supported by substantial government backing and corporate involvement from industry giants like Samsung, LG, Hyundai, and SK. The advent of unicorns like Toss, Coupang, and Danggeun testifies to the success of South Korean startups, with some going public and making waves in global markets.
Coupang’s remarkable rise as a market leader in South Korea, redefining e-commerce with its swift delivery services, showcases the power of strategic investments in logistics infrastructure. Expanding internationally, Coupang’s acquisition of Farfetch underpins its ambitions to reach new markets and broaden its presence.
Investments from corporate giants, coupled with government support, have propelled South Korea’s startup ecosystem to new heights, fostering innovation and attracting global attention. Unicorns like Coupang, along with other successful startups in South Korea, have demonstrated the country’s potential as a hotbed for tech innovation and entrepreneurship.
Taiwan
