GEORGE TOWN – 25 Startups joins Penang to further complement the state’s already robust manufacturing ecosystem as Malaysia’s first incubator which specialises in Blockchain and Internet-of-Things (IoT) technology.
The official opening of the firm was held on May 23 with the Deputy Communications and Multimedia Minister Datuk Zahidi Zainul Abidin attending as guest of honour.
During the event, Zahidi stated that 25 Startups would be an attraction for various local and foreign startup companies that are specialising in Blockchain and IoT, particularly for firms looking to test their market potential in Malaysia’s flourishing tech industry and those interested to develop products in Penang.
He explained that Penang’s robust manufacturing ecosystem has been built over the course of 50 years. However, he went on to say that manufacturing alone is insufficient to remain competitive and meet customer demands and expectations.
Due to that, he said that there is a need to complement the strength in hardware technology with dynamic and innovative digital software solutions.
According to the deputy minister, despite how recent years had a record of slowing growth for startups due to the pandemic, Penang has defied the trend with an uptick in recent activity which may even be greater with key players.
Penang is also known as the Silicon Valley of the East with its strong manufacturing industry built over the course of 50 years. The state hosts more than 350 multinational companies and more than 3,000 SMEs in the industry.
That is a reason why tech startups could use the supply chains of the currently available tech giants and industrial companies to solve issues in the real world.
Zahidi also added that with the co-working spaces that are available in George Town’s Creative Digital District, he hopes to see startups joining these hubs that are already powered by 5G infrastructure to support their digital needs.
Additionally, he also stated that the opening of 25 Startups will motivate more key players from the private sector to take part in the ecosystem including incubators, accelerators, angel investors and venture capitalists, which would raise standards to meet global interests.
Meanwhile, Datin Ros Suryati Alang, chairperson of the venture capital firm backing 25 Startups called Karuna Khoshee Venture Capital Sdn Bhd, had stated that in additional to fostering Blockchain and IoT startups, the firm would focus on transforming innovations from the startups into profitable business models that may be commercialised.
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