SEA’s internet economy to touch $200b in a decade, finds Google-Temasek study

Satellite view of South East Asia as seen on Google Maps

Southeast Asia’s Internet economy, spanning online shopping to games and advertising, will surge sixfold to about $200 billion in the next decade, according to joint research by Google Inc. and Temasek Holdings Pte.

As more consumers get online and shop from smartphones, e-commerce in the region could jump to $88 billion by 2025, a 16-fold increase, according to a report the two companies released in conjunction with a conference in Singapore. That growth will be driven by an increase in the number of Internet users from 260 million to 480 million by 2020, according to the report. Indonesia, the biggest economy in Southeast Asia, is projected to add Net users faster than any other country in the world, according to the report.

Despite such prospects, the region that also includes Malaysia, Singapore, the Philippines, Thailand and Vietnam attracted less than a fifth of the venture capital funding India received in 2014. In 2014, VC investment in Southeast Asia accounted for 0.04 percent of its gross domestic product. That compares with 0.15 percent in China, 0.25 percent in India and 0.3 percent in the U.S., according to the report.

“There’s a $200 billion opportunity in Southeast Asia,” Rajan Anandan, managing director of Southeast Asia and India at Google, told the conference. “Affordable smartphones and affordable data are really driving this revolution.”

Google and Temasek, Singapore’s state-owned investment company which invests in VC firms and startups through its unit Vertex Venture Holdings Ltd., worked together on the report, using Google’s proprietary data, Temasek’s research, as well as interviews with 59 experts.

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Bloomberg

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.