EdTech is in the blooming stage across all the Asian countries and the constant growth in EdTech across Asia is intriguing.
However, the race among the countries does make them fall on positions considering the different aspects to the edtech scenario. This post will reflect insights comparing two great edtech markets from Asia i.e. Singapore and Malaysia. Since Singapore left the Malaysian Federation and declared independence in 1965 there has been an intense rivalry between the two countries. That competitiveness extends into almost every aspect of life, with people from either side of the causeway engaging in a subconscious battle to gain the upper hand in almost everything.
The parameters for comparing these 2 countries are number of startups, investment attraction, growth and everything that makes one better than the other!
1. No. Of Startups:
As per TechinAsia the edtech startups in 2017 from Singapore are AlphaCamp, Gnowbe and SuperCraft 3D whereas Malaysia came out with one startup. Also, looking back to 2015-2016 Singapore has been leading the way since. There has been more number of edtech startups in Singapore compared to Malaysia. Our post from the past on “EdTech Startups Which are Starting to Impact the Malaysian Education Market” showcases some of the startups from the Malaysian edtech market and TechInAsia showcases some of the startups from Singapore that have been able to score some huge part of the market in a short period of time like SchoolOfTutors.
As far as investments are concerned, again Singapore has an upper hand. The investments are in some way depends on the size of the market. So, if the edtech market is larger in the Singapore it happens to attract more funds compared to the counterpart. Check out the recent funds attracted from our report on the EdTech Investments in Asia - First Two Quarters 2017. Also the number of investors influences the attraction of funds. As per AsiaFinance startups in Singapore have more access to more investors than their Malaysian counterparts. It also states that Singapore has more billion-dollar success stories to inspire budding entrepreneurs.
Both the countries have been working in the direction of growth and it is visible in the way these two have been coming out with various initiatives.
Singapore and Malaysia have launched initiatives to transform their individual tech landscapes. Malaysia launched their ‘Smart Digital Nation’ initiative in conjunction with Chinese networking and telecommunications company, Huawei, while Singapore kicked off its own ‘Smart Nation Singapore’ initiative in 2014.
With respect to the growth other aspects like no. of investors and taxation policies also play a crucial role. A post from AsiaFinance states that startups from Singapore gets 100% tax redemption for first S$100k and 50% redemption for next S$100k. These tax reliefs are one major reason people would be interested in kick starting their entrepreneurship journeys in the country.
Speaking of edtech, if Singapore is having Cialfo Malaysia’s EasyUni is a name that can’t be skipped
When talking about the market growth. On one end, Cialfo is expanding in china and India and EasyUni from Malaysia has expanded into Vietnam. Another edtech startup based in Singapore is SchoolofTutors. The startup brands itself as “first online marketplace for tutoring” in the country thereby giving an edge to the platform.
Because edtech industry solely depends on the education sector of a nation, the article would not be completed without reflecting on the education systems of both the countries we have been talking of throughout. A must mention is that Singapore stands on 3rd rankwhen we speak of best education systems across globe. The policies and changes in the education scene of both the countries highly influence interest of investors or entrepreneurs to be attracted to a country.
The ease of doing business is another factor that plays a key role for to be entrepreneurs to make the pick. In a post comparing both the countries it is mentioned that, “Though Singapore is rated as one of the easiest places to set up a business in the world, the start-up costs is still considerably much higher than Malaysia…Furthermore, Malaysia, being a developing country, still has many lucrative business opportunities that can be exploited. On the other hand, Singapore, being a developed country where most industries have already been fully developed, will not have as many”.
While both the countries have spent a lot of efforts in encouraging innovations and entrepreneurship Singapore has managed to create a stronger startup ecosystem. Also, the market is much influenced by the country’s education system hence better and in favor of them. Though the Malaysian edtech market is blooming every day, the victory is in the court of Singapore.
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