Sunday Newsletter

IN FOCUS

• Terence Lee on Singapore's supposed lack of startups
• A look at Southeast Asia's robotics startups, and LionsBot's growth trajectory
• Three early-stage companies you should check out

Hello reader,

It's National Day in Singapore, and the country is wondering where the next Sea Group or Grab will come from. I believe it's on the rise, and will look distinct from these two giants in a fundamental way.

While the country's VCs have been looking to the US for deal flow, Singapore doesn't lack backable startups.

Developer tooling company Supabase, backed by GIC and Peak XV Partners, is now valued at US$10.5 billion. Meanwhile, prominent US VC firm Andreessen Horowitz has invested in parent-tech firm k-ID, as well as Volta Infra Holdings, an AI infrastructure company that secures power, land, and connectivity for AI operators.

China-origin startups such as PixVerse, Singdata, and SapiensAI are also sinking roots in Singapore.

Compared to Sea Group and Grab, this new crop of companies is much more global. Singapore might be their starting point or headquarters, but their ambitions and operations extend well beyond Southeast Asia.

If you're an investor seeking deals in Singapore, robotics could be a place to look. This week, my colleague Glenn Kaonang examines the physical AI landscape and peeks under the hood of cleaning robots player LionsBot.

With humanoid robots hogging headlines, Singapore's robotics startups have one defining feature: They're targeting specific use cases that can be profitable from the get-go.

Terence Lee, editor-in-chief and head of Tech in Asia

EDITOR'S PICKS

1️⃣ The startups behind Southeast Asia's physical AI push

One company to watch is Neptune Robotics, which deploys robots to clean ship hulls. It promises to do so faster and more thoroughly than a team of divers.

2️⃣ LionsBot eyes EBITDA profit, potential listing by 2027

Founded in 2018, LionsBot was doing robotics before it was popular. Now it's riding the wave. The company is growing fast, eyeing to make a profit this year and aiming to list in 2027.

SHORT CUTS

1️⃣ Indonesian fleet startup McEasy raises $9m series B

This deal is the first publicly announced VC activity in Indonesia in two months, though I'm sure there's dealmaking we're not aware of.

This fleet management startup is now looking to spread its wings beyond its home country.

2️⃣ A16z co-leads $300m round for SG AI firm Volta Infra

Singapore-based Volta Infra is a tech-adjacent play that's tapping into AI's insatiable thirst for data centers.

The company takes care of land and power acquisition for these facilities as well as regulatory compliance. All data centers need to do is build on top of the infrastructure that Volta provides.

3️⃣ South Korean AI chip startup DeepX raises $30m

South Korea is continuing to build a strong niche of AI chip startups. DeepX builds specialized chips and systems for AI inference.

To track this ecosystem, you can check out our database, which follows Korean AI funding activity.

ONE DATA/VISUAL STORY YOU SHOULDN'T MISS

China's tech funding bounces back

China's tech funding was hit like every other Asian country, but it's seeing a resurgence this year. AI is leading the comeback, with firms like Moonshot AI and Zhipu spearheading the recovery.

STARTUP SPOTLIGHT

In this series, we showcase interesting startups on our radar. Here's a sampling.

1️⃣ This startup fixes AI model drift in high-stakes workflows

Nugen Intelligence has built software that checks AI output for drifts in behavior. In domains like legal and finance, erroneous AI output could cost millions of dollars.

2️⃣ Automating software security fixes at a fraction of the cost

With the growing risk of AI agents hacking into systems, AppSecAI can build a lucrative business defending these systems. That said, it's not clear how it'll build a moat around its business.

3️⃣ Digitizing the fragmented medical supply chain

Hospital Store hopes to bring transparency to medical procurement in India. It claims to make US$3.8 million a year and is looking to raise funds.

CELEBRATING SG61 WITH 61 SPECIAL CONFERENCE PASSES

A one-time National Day offer

Singapore at 61 represents a legacy of building. This September, we are bringing that same rigor to the enterprise AI era. While many organizations are still in the testing phase, leaders from Google DeepMind, Microsoft, Changi Airport Group, and more are already delivering results at scale, and they're sharing their insights at this year's Tech in Asia Conference.

To celebrate SG61, we are unlocking 61 General Passes for just S$61 each, a 25% discount. Gain tactical playbooks from practitioners while engaging with functional products. This exclusive National Day offer ends on August 11 or when discounted passes are sold out.

Secure your access here.

EVENTS HAPPENING

In conversation with Google DeepMind's JJ Geewax JJ Geewax, director of applied AI at Google DeepMind, understands that even the most advanced models are only as good as the infrastructure they run on. Having spent 15 years designing massive-scale systems at WhatsApp, Meta, and Google, JJ brings a deep practitioner's perspective to the brutal challenges of real-world deployment. Secure your access here.