Distinguished Guests,

Ladies and Gentlemen,

Introduction

1.   Good afternoon.  I am delighted to join you this afternoon at the award ceremony of the inaugural SLINGSHOT@SWITCH, powered by Startup SG.  The inaugural edition of the competition has been well-received, with interest from over 900 startups from 31 countries including China, US, India and France. 

2.   The competition has been intense, with startups from industry sectors such as cleantech, medtech, info-comms, fintech, and agritech vying for the top prizes.

3.   All of you have worked hard to develop and refine your business ideas for this chance to pitch to the judging panel.  I understand that some exciting ideas have been presented over the past three days, and I look forward to finding out who the winners are in a short while.

The role of startups in the innovation economy

4.   Startups are essential to any vibrant innovation and enterprise ecosystem.  Through innovations and novel solutions, startups catalyse the development and transformation of industries.  Startups also create economic value and interesting jobs.  For example, ride hailing platform Grab, has more than 2,000 employees across the region, including Singapore where it is headquartered.  Grab plans to add more than 800 new jobs in the next two years across its six R&D centres worldwide. 

5.  Over the past decade, Singapore’s startup ecosystem has made significant progress.  The total number of technology startups has increased from 2,800 in 2003 to 4,300 in 2016, with a current workforce of 24,000.  We have also seen a sizeable increase in the number and aggregate valuations of startup exits.  In 2015, 220 VC deals worth over US$1 billion were completed, compared to 26 deals worth US$80 million in 2010. 

Singapore – a leading startup hub and launchpad to the region

6.  This progress has been enabled by the Government’s concerted effort to create a conducive environment for innovation and entrepreneurship.  In the past year, we have done even more to affirm the importance and aspirations of our startup community.

7. In March this year, SPRING Singapore launched Startup SG - a brand identity to position Singapore as a leading hub and launchpad for startups to scale and grow, in the region and globally.  Given Singapore’s location in the heart of Southeast Asia, access to quality talent and a thriving startup scene, we are a choice location for startups seeking to expand into the region.

8.  Startup SG also unifies the Government’s startup schemes which offer assistance on various fronts, ranging from mentorship for first-time entrepreneurs, grant support to fast-track the commercialisation of technology solutions, Government co-investment to catalyse private equity, and resources for incubators and accelerators.    

9.There have been several new initiatives under Startup SG. 

a. In March 2017, we enhanced the quantum and proportion of the Government’s co-investment support under Startup SG for promising deep tech startups.  This will enable more private sector capital to flow to startups, which often require higher capital expenditure and have longer runways to commercialisation.

b.  In August 2017, the EntrePass scheme under Startup SG Talent was also enhanced.  The evaluation criteria for the scheme was broadened to give due consideration to the entrepreneurial and investment track records, business networks and achievements of the global founders who are keen to start up in Singapore.  With the changes, they will also have up to a year to explore opportunities here before setting up a company.  These enhancements to the scheme will allow us to attract a larger pool of global startup talent to augment the vibrancy of our ecosystem.   

Support for capability development and internationalisation 

10. Beyond funding and talent, overseas expansion is also a critical driver of growth, regardless of company size or stage of development.  Rising consumer purchasing power and the rapid urbanisation of Asia offer substantial economic opportunities for startups and enterprises that are eager to harness new ideas and markets.  Hence, it is important for our startups to consider internationalising from the get-go.

11. In this aspect, startups will benefit from the establishment of Enterprise Singapore, which I announced earlier this month.  Enterprise Singapore will advise startups on capability development and internationalisation, while rendering integrated support through the schemes that were previously under SPRING Singapore and IE Singapore.  For example, startups can tap on the Market Readiness Assistance (MRA) Grant that supports market entry, business matching, and market promotion activities.  Startups can also seek advice from the Singapore Government’s global network of overseas offices to navigate local regulations and ensure products are well-positioned to appeal to the preferences of local consumers.

12.  To strengthen our connections to global innovation hubs and key demand markets, the Committee on the Future Economy (CFE) recommended the establishment of a Global Innovation Alliance (GIA).  This Alliance will tap on EDB and IE Singapore’s extensive networks with overseas partners in major innovation hubs and key demand markets, with a focus on technology and innovation.   The GIA will allow more Singapore students to gain overseas experience, while our entrepreneurs and businesses collaborate with their overseas counterparts.  For example, in July this year, Minister Lim Hng Kiang launched BLOCK71 Jakarta, a co-working space which will help to forge mutually-beneficial partnerships among tech startups from Singapore and Indonesia.  Enterprise Singapore will closely cooperate with EDB on the GIA, to help startups access innovation and growth opportunities, particularly in this region.

13. I am glad to note that the private sector is also playing an active role in this effort.  The recently established Action Community for Entrepreneurship International Centre (ACEIC) serves as a landing pad and resource centre for the outbound and inbound flows of startups and multipliers, thereby helping Singapore-based startups to expand abroad with the appropriate resources and global connections. 

14.  Events like SLINGSHOT, with its broad international participation, will further enhance the vibrancy of our startup eco-system by building links to global innovation and technology networks, and facilitating exchanges between high potential startups, investors, SMEs, large local enterprises, and corporates from around the world.   

Opportunities for disruptive technology

15. To conclude, I would like to highlight the experience of one of our local startups, MiRXES, a spin off from A*STAR’s Bioprocessing Technology Institute. 

16. MiRXES’ co-founders, Too Heng-Phon, Zou Ruiyan, Sarah Ho and Zhou Lihan, had a shared dream to create an alternative solution to accurately diagnose cancer.  With funding support from SPRING’s Startup SG Tech grant, MiRXES’ team developed an affordable and non-invasive solution that detects cancer through blood tests, at an earlier stage and with a higher degree of accuracy.   

17.  MiRXEs has also worked with partners such as Johnson and Johnson to develop biomarkers for diabetes, and methodologies for determining insulin sensitivity.  Its disruptive technology has sparked interest from investors and raised S$4 million in Series A funding.

18. Understanding the need to bring their solution to global markets, MiRXES ventured abroad to establish a laboratory and manufacturing facility in the Singapore-Hangzhou Science and Technology Park in China.  That facility supports sales and marketing activities for research-use only products to Chinese hospitals, MNCs and research labs, and performs clinical validation activities.  To help MiRXES scale up its China presence, IE Singapore tapped on its extensive market knowledge and global network to link the company up with local partners and enhance its market presence.

19. MiRXES is a good example of a startup that recognised the potential of technology to revolutionise the medtech sector, and create value by translating research outcomes into new tools and solutions.  It is also an excellent example of how startups will benefit from Enterprise Singapore, with concurrent support for technology development and internationalisation.

20.  SPRING, and its successor Enterprise Singapore, is working with A*STAR and the various Innovation & Enterprise Offices in our Institutes of Higher Learning to spin-off more deep-tech startups from public-funded labs, and create value from R&D investments.  We hope to see more of such ventures emerge from initiatives like the SLINGSHOT competition.  Collectively, we aim to   build a vibrant community of startups, especially in sectors like advanced manufacturing, health and biomedical sciences, that can make an impact on Singapore’s future economy and society. 

Conclusion

21. I would like to congratulate all the winners and participants of this inaugural SLINGSHOT competition.  I warmly welcome you to join us in this exciting endeavour to build up the Singapore startup ecosystem, and to leverage Singapore as a choice location for entrepreneurs seeking a springboard into Asia.  Thank you.