Type to search

Featured Stories 2 Startup News Startups

Indonesia Enters the Top 5 with the Most Startups in the World


Indonesia is in fifth place in terms of the largest number of startups in the world, which is 2,305 based on Startup Ranking data. Unicorns in the Motherland also increased by four to eight.

Based on Startup Ranking data, the country with the most startups in the world is the United States (US), with 69,565 companies. Followed by India (11,819), United Kingdom (6,025) and Canada 3,145.

Another country in Southeast Asia that is in the top 12 is Singapore. “There are 989 startups,” as quoted from the Startup Ranking, Sunday (31/10).

Indonesia also got four new unicorns, namely J&T Express, OnlinePajak, Ajaib, and Xendit. The name OnlinePajak was on CB Insights’ list titled ‘The Complete List of Unicorn Companies’, but later disappeared.

Indonesia Has 8 Unicorns and 1 Decacorn

Thus, Indonesia has eight unicorns, plus Tokopedia, Bukalapak, Traveloka, and OVO. Unicorn is a term for startups with a valuation above US $ 1 billion. Indonesia also has one decacorn or valuation above US$ 10 billion, namely Gojek.

This Decacorn merged with Tokopedia and formed a new entity called GoTo in May. In addition, there are three startups that claim and are rumored to have unicorn status, namely Kredivo, Blibli, and Tiket.com.

Edward Ismawan Chamdani from Amvesindo said the startup cycle is now faster. According to him, this acceleration is not due to the corona pandemic.

“The timing is related to the maturity of the sector and the journey of the startup concerned in terms of traction and the milestones phase,” said Edward, two weeks ago (15/10). He also estimates that there are more unicorns born in Indonesia.

In addition, market maturity in each sector will encourage startups to list initial shares or IPOs. “Maturity and the cycle have entered the IPO-ready stage,” said the Co-Founder and Managing Partner at Ideosource and Gayo Capital.

“In the next ten years, the digital sector will continue to grow.” In Southeast Asia, there are now a total of 27 unicorns.

Momentum Asia reports that there may be 20 to 30 new unicorns yet to be announced. Meanwhile, the Asia Nikkei Review reports, the number of unicorns born means investors are buying new shares at higher prices.

Funding to Southeast Asian Startups Reaches US$17.2 Billion

DealStreetAsia reports that funding to Southeast Asian startups has reached US$17.2 billion in the last nine months. The value is more than double the total for 2020 which is only US $ 8.5 billion.

Previously, Bloomberg reported that conglomerates in Southeast Asia are aggressively partnering with venture capital or direct injection of startups. In Indonesia, State-Owned Enterprises (BUMN) are also increasingly investing in start-up companies.

Family investment firms, holding companies, and other conglomerates ranging from Thailand’s Dhanin Chearavanont to Lance Gokongwei in the Philippines are investing millions of dollars in startups. Some directly inject capital and some partner with venture capital, including in Silicon Valley.

500 Southeast Asian Startups are early investors in Grab and Carousell. Cento Ventures announced that venture capitalists held 393 deals or funding to Southeast Asian startupsworth US$ 4.4 billion in the first half of this year. The number touched a record.

In Indonesia, Intudo Ventures raised US$115 million to close a third fund. The company raises funds from more than 30 family businesses and conglomerates. 

Plug and Play Tech Center, an early-stage investor based in Sunnyvale, California, also signed more than a dozen partners in from SEA. In Indonesia, BUMN is also aggressively investing in startups. 

There are four venture capital under BUMN in the archipelago, namely MDI Ventures from Telkom, Telkomsel Mitra Innovation (TMI), Mandiri Cpital Indonesia, and BRI Ventures. BNI also plans to establish a similar company.