Southeast Asia wants Big Tech regulated. Why?

More: Tencent’s move in Justco Singapore and revised laws for minors’ online activity in China [Read from your browser]( Daily Newsletter Buckle up, people: Our latest State of Asian Startups report is coming your way soon. If you want to receive a copy, simply [give us your inputs]( and we’ll send it to you when it’s ready. At the same time, you’ll also get a chance to win our premium subscription. ;) You can see [last year’s edition here](. Hello {NAME} A startup’s top fear? New laws. Just look at how regulations imposed by Singapore in 2018 almost wiped out all bike-sharing startups (e.g., Mobike and Ofo). Similarly, Big Tech startups have enjoyed some pretty good years in Southeast Asia. But alas, that might change soon as governments in the region are increasingly looking to introduce new rules. Today, we look at the following: - How [greater regulatory scrutiny]( is coming to Southeast Asia - A startup gets turbocharged to go vroom in Indonesia - Other newsy highlights such as Tencent moving into Justco Singapore and revised laws for minors’ online activity in China  ---------------------------------------------------------------  PREMIUM SUMMARY  Brace yourself, regulations are coming Big Tech loves mobile-first young consumers, and Southeast Asia is packed with a ton of them. That’s why plenty of companies are setting up base here such as TikTok parent firm ByteDance, which plans to expand its office in Singapore. But authorities are also starting to [tighten the regulatory screws]( which is bound to make things more challenging for tech players. - Why is this happening? Governments have begun to realize that Big Tech has too much power. These firms have the personal data of their population and the reach to disseminate information and news as well as reap huge growing profits. - Countries in the act: The Singapore government recently proposed changes to the country’s personal data laws. Meanwhile, Thailand took legal action against Facebook and Twitter just last month, and the ASEAN 6 countries have planned or already enforced value-added tax (VAT) on tech companies. - How effective are these laws? In the case of Uber and Grab, it’s super effective. The companies had merged in Singapore two years ago and were fined a total of S$13 million for reducing competition in the country’s ride-hailing scene. Read more: [How Southeast Asian states are tightening the screws on tech giants](  ---------------------------------------------------------------  STARTUP SPOTLIGHT Startup gets turbocharged to go vroom in Indonesia Rev up your engines! Singapore-based electric vehicle (EV) startup Ion Mobility has [raised US$3.3 million]( to bring its smart electric motorbikes across Southeast Asia. - Founded just last year, the startup aims to create more sustainable and affordable mobility alternatives for Southeast Asia’s large population of motorbike users. - With the new seed funding, Ion Mobility plans to launch its first EV motorbike in Indonesia by next year while expanding its workforce and operations in Singapore, Jakarta, and Shenzhen. - The market opportunity for the motorbike industry in Southeast Asia is huge - it’s expected to hit US$8.53 billion by 2023. Furthermore, it’s targeting Indonesia first: The archipelago has one of the biggest motorbike markets globally, with motorcycle sales pegged at 6.38 million units a year in 2019.  ---------------------------------------------------------------  QUICK BITES  1️⃣ Tencent moved into JustCo Singapore After [announcing]( last month that it plans to set up its regional hub in the city-state, the Chinese tech titan recently [purchased]( almost 200 seats in the co-working space JustCo to establish its first office.  2️⃣ China strengthens protection of minors online The Middle Kingdom has [updated itslaws]( to protect online users under 18 years old. One of the revised laws prohibits inducing addiction in minors, so providers of online services - including gaming, livestreaming, audio and video, and social media - will need to set up “corresponding functions” such as time and consumption limits.  3️⃣“Made in China” must be printed The Indian government has warned Amazon and Walmart’s Flipkart that sellers on their platforms must [specify]( the country of origin on their products. This comes amid tensions between India and China following the ban of 177 Chinese apps in June as India’s efforts to cut down on Chinese-made imports.  4️⃣ Foxconn wants a piece of that EV pie The Taiwanese iPhone assembler is [aiming]( to control up to 10% of the global market for EV platforms by 2025. Last Friday, Foxconn launched its first open platform for EV hardware and software. Called MIH, the platform is designed to cut the amount of time and resources needed to develop and produce electric cars.  5️⃣ Uber partners with SK Telecom The US ride-hailing giant has [entered into a joint venture]( with SK Telecom - a South Korean wireless telecom operator - to ramp up its growth in the country, where it faces tough competition from local players such as Kakao’s mobility unit. Through this deal, Uber will invest over US$100 million and around US$50 million in T Map Mobility, a new entity launched by SK Telecom.  6️⃣ Burglar alert: Indonesian digital wallet loses money A digital wallet operator recently lost a huge amount of [money to burglars]( reported Bank Indonesia (BI), the country’s central bank. The payment system service provider wasn’t named, but BI’s senior deputy governor pointed out that this problem isn’t new.  ---------------------------------------------------------------  FOR OUR COMMUNITY Digital investing in Southeast Asia heats up as Grab, Gojek enter the fray Humans are content to have robots clean their houses, run their trains, even serve them food. But would they let robots manage and invest their money as well? Grab and Gojek certainly think so. But what exactly is the potential of Southeast Asia’s digital investing sector? We unlocked [this premium article]( for you to read in full this week.  ---------------------------------------------------------------  EVENTS HAPPENING - Meet the Fintech Firms Shaping the Future of Finance on Wednesday, October 28 The future of finance seems to be in the hands of the fintech innovators, though this lead wasn’t exactly handed to them. Hear from the chief technology officers defining this future as we explore fintech trends over the next 12 to 18 months and the infrastructure required to make them a reality. [RSVP now.]( - CTO Forum - Smart Growth: Best Practices for Rapid-Scaling on Thursday, October 29 Engineering leaders, you’re in luck! We’ve brought in engineering leaders from Sequoia Capital India, TradeGecko, and Amazon Web Services to share their best practices in scaling their engineering teams. You can [sign up to attend here](  ---------------------------------------------------------------  WHO'S HIRING - [Senior Mobile Application Developer]( at Accellion Pte Ltd (Singapore, Singapore) - [Head of Product]( at Flip (Depok, Indonesia) - [Back-End Developer]( at Ellen May Institute (Solo City, Indonesia)  --------------------------------------------------------------- Don’t leave your co-workers behind! Share this with them so that they can keep up with what’s going on in the region’s tech scene. Feel free to [drop us feedback]( if our newsletter today got you feeling smarter (or if it didn’t). Tech in Asia’s newsletters are handcrafted daily with love - and sometimes powered by good kopi. Today’s edition was written by Betty Chum, with contributions from Simon Huang and Miguel Cordon. It’s edited by Eileen C. Ang. To ensure that you don't miss out on the biggest tech news and analysis, add newsletter@techinasia.com to your address book, contacts, or safe sender list. Or simply move us into your inbox. Don't want to receive these emails anymore? [Unsubscribe](. ---------------------------------------------------------------  Copyright © 2020 Tech in Asia, All rights reserved. 51 Bras Basah Rd, #05-5061, Singapore 189554