Singapore: World’s Easiest Place to Do Business
> 7,000 multi-national companies
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Economy Singapore New Zealand United States Hong Kong Denmark Ireland Canada 2009 Rank 1 2 3 4 5 7 8 2008 Rank 1 2 3 4 5 8 7
60% regional headquarters 19 of top 20 Indian IT exporters have operations in Singapore Host to top IT players such as Huawei, TCL, Lenovo, ZTE
Singapore: 3rd most competitive economy globally according to WEF
WEF Global Competitiveness Index
Determinants of competitiveness:
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Source: The Global Competitiveness Report 2009-2010, World Economic Forum
Institutions Infrastructure Macroeconomic stability Health and primary education Higher education and training Goods market efficiency Labour market efficiency Financial market sophistication Technological readiness Market size Business sophistication Innovation
Capital Efficiency: Better ROI due to Competitive Corporate Tax Regime
> Corporate tax of 17% > No capital gains tax > Tax exemptions for Foreign
Sourced Income > R&D tax incentives
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150% tax deduction for R&D work done in Singapore R&D in new areas is tax deductible against existing income Conversion of 9% tax losses due to R&D to Cash Grant
Source: Budget Commentary, PWC Singapore, 22 Jan 2009
Talent at Good Rates : Diversified Talent Pool
> 140,800 IT professionals in 2009
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#1 in ease of hiring (2009 World Bank Doing Business Rankings)
> 27,000 full-time equivalent researchers > 86,000 international students from 120 countries studying in
Singapore leading universities / research labs in Singapore e.g.
• • • • •
Singapore-MIT Game Lab Singapore-MIT Alliance for Research and Technology (SMART) Centre UIUC Advanced Digital Sciences Centre University of Chicago Graduate School of Business INSEAD
Next Generation Nationwide Broadband Network
> A nationwide ultra-high speed, all-fibre broadband, access speed of
1Gbps and above
> Opens new doors to economic opportunities, business growth and
social vibrancy
> Covers all physical addresses including homes, schools, government
buildings, businesses, hospitals, outdoor locations…
> 60% of homes and offices to be connected by 2010, 95% by 2012
> Platform for R&D prior to commercial launch
Singapore’s Mobile Industry
• Mobile Industry Revenue in 2008: US$3,032M • Growth of 18.9% from 2007 (US$2,551M) • Telco mobile revenue, mobile internet data, etc (ST, SH, M1) • Mobile messaging • Mobile entertainment • Mobile enterprise applications (e.g., email) • Mobile video services • Mobile TV • Mobile VAS (e.g., SMS, MMS)
Singapore’s Mobile Statistics
• 3G mobile phone penetration: 51.1% • Web and media-enabled mobile phones: 33% compared with global average of 13% • Number of 3G subscriptions: 2,473,600 at end Q408 (6% growth over previous quarter) • Growth of HSPA subscribers grew by 20% in Q408 to 278,064
• Growth of average monthly mobile data transfer over 2G and 3.xG for 4Q08 was 103.8% (985,223,401 MB)
Examples of VC-backed Companies with Engineering Centres in Singapore
Product / Service Enterprise cloud computing Mobile social networking Mobile development platform Online market research solutions Mobile advertising solutions NFC payment solutions Investment wiki Investors 3i, Cargill, O'Reilly AlphaTech Ventures, SAP Ventures, Partech, Woodside Accel Partners, DCM, Redpoint Ventures, Technology Venture Partners Open Ocean Capital (MySQL founders), Sting Capital BV Capital, Leapfrog Ventures BRM Capital, Opus Capital DFJ, Nokia Growth Partners, Alloy Ventures DCM