In the News
A renewed focus on Southeast Asia
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IDA’s internationalisation efforts include profiling the capabilities of Singapore iLES and creating opportunities for them to meet with partners in the various markets. |
A renewed focus on Southeast Asia, the creation of an international resource network and the ramping up of in-market accelerator programmes – these are some of the internationalisation initiatives that the Infocomm Development Authority of Singapore (IDA) will be focusing on in the coming year as part of its industry development efforts.
Presenting an overview of the Singapore infocomm industry at the Global Industry Forum on 16 January, Mr Andrew Khaw, Senior Director of IDA’s Industry Development Group, said the sector comprises some 16,850 companies and contributes about 7 per cent to the country’s GDP. In 2011, total infocomm industry revenues stood at S$83 billion, of which 71 per cent or S$59 billion came from exports. Under IDA’s Intelligent Nation 2015 masterplan, the aim is to achieve S$60 billion in infocomm export revenues by 2015.
One of the areas that IDA is working on to achieve this target will be to help infocomm local enterprises (iLES) to grow their presence in Southeast Asia. To drive these efforts, a Southeast Asia Centre was set up last year, joining IDA’s existing network of overseas offices in San Francisco, Shanghai, Doha and Bangalore.
Ms Jacqueline Chan, Centre Director, Southeast Asia, noted that ICT spending in the region is expected to grow about 8 per cent year on year, driven mainly by countries such as Indonesia, Malaysia, Philippines, Thailand and Vietnam, in addition to Singapore.
To help pave the way for iLES to enter these markets, the centre is working to build up Singapore’s position as a thought leader in the eGovernment space. With its ability to transform itself from a third world economy to a first world economy within a relatively short period of time, Singapore has a compelling story to share with its foreign counterparts, said Ms Chan. It is seen as a trusted brand and reference model in ICT and eGovernment deployments. Furthermore, Singapore’s strong showing in various international studies such as the Waseda eGovernment Ranking has helped to differentiate it against the competition.
Building on this branding, IDA’s in-market activities in Southeast Asia include profiling the capabilities of Singapore iLES, creating opportunities for them to meet with partners in the various markets, and leading them on overseas trade and business missions.
Ms Chan also noted that many Southeast Asian countries such as the Philippines, Myanmar and Vietnam offer a pool of ICT talent that can help Singapore companies to develop solutions and scale their business.
This ties in with another major internationalisation initiative by IDA – to create an international resource network which Singapore iLES can tap on to meet their project requirements more quickly, flexibly and cost effectively. Highlighting these plans at the Global Industry Forum, Mr Khaw said IDA is currently working with the Singapore Infocomm Technology Federation to qualify companies in Southeast Asia, China and India to be part of the network.
A third area that IDA is focusing on in its internationalisation efforts is the fine-tuning of in-market accelerator programmes such as iSTART. Under these programmes, which have been carried out in the United States, Vietnam, Indonesia and China, in-market consultants and venture capitalists help Singapore startups to refine their business models for the target markets. They also introduce the startups to business partners and potential investors. Going forward, IDA is exploring to see if the same model can be used to support more established Singapore iLES in their internationalisation efforts, said Mr Khaw.
The Global Industry Forum, which was held at IDA’s offices in Mapletree Business Centre, also provided participants with insights into other markets such as India, the Middle East, United States and China. In his market outlook, Mr Sanjay RM, Centre Director, India, highlighted opportunities surrounding the Aadhaar project, which aims to provide a unique identity for each Indian citizen, as well as the opportunities in areas such as mobility, police, security and surveillance.
Mr Kevin Chan, Centre Director, Middle East, gave an overview of the opportunities available in Oman and also provided a “checklist” for companies venturing into the region, which included identifying addressable markets, thinking through partnership mechanisms and putting in place resources for overseas operations support.
Presenting on the United States, the country’s Centre Director Mr Victor Tan spoke about the top tech trends that were likely to shape the landscape in 2013. These included the growth in software-defined networking, refinements to the cloud computing model and the convergence of cloud and mobile, amongst others.
The China market was covered by Centre Director Mr Chng Ken-Wei, who discussed smart city developments in the country and how Singapore companies can position themselves to take advantage of these opportunities. With competition intensifying in this space, he suggested that Singapore iLES would be able to compete more effectively through deeper Government-to-Government relationships and greater branding exposure in Tier 2 and 3 cities. A Singapore smart city consortium could be set up as a vehicle for collaboration with the Chinese government and a smart city in-market partner ecosystem created to ease iLES’ market entry and enhance their competitiveness.
The Global Industry Forum also featured presentations by IDA international, the execution arm for public service infocomm collaborations between Singapore and countries around the world, which presented on synergies with global alliances, while Ascent Solutions and CrimsonLogic shared their internationalisation experiences.