Asia’s tech start-ups might get a value of $1 trillion by 2025

According to Jungle Ventures, technology start-ups in Southeast Asia showed a combined valuation of $345 billion last year. As Jungle Ventures say, that figure might increase more than three times by 2025.

Jungle awaits the region’s tech start-ups to get a value of $1 trillion in the next four years.

In its estimation, the Southeast Asian venture capital made provisions to account for matters like many venture capital transactions do.

Founding partner at Jungle Ventures, Amit Anand, said that he was a little bit surprised from the beginning. He told CNBC that the actual number might possibly be much more significant than $345 billion.

He also said they had done the envelope calculation, and still, there’s a lot more data to look at. According to him, there are more calculations not announced.

Anand added that if you pay attention to the growth rate of the last five years in Southeast Asia, you will end up calculating a trillion dollars before 2025.

Southeast Asia’s potential

Southeast Asia has more than 450 million internet users, while 10% went online for the first time last year.

According to Temasek Holdings, an industry report from Google, the internet economy in Malaysia, Singapore, Indonesia, Vietnam, the Philippines, and Thailand might cross $350 billion in 4 years.

Anand also explained that investors are waiting for accelerated financial growth.

According to his description, the region’s start-up environment has an advantage as companies benefit from learning from the successes and failures of their peers in India, China and the U.S.

Region’s various prominent start-ups prepare themselves to go public, while some announced their initial public offering plans. This year, Grab announced going public through a SPAC merger that has a value of $39.7 billion, which is in one of the largest blank-check deals. GoTo Group, the Indonesian tech giant, also plans to go public soon.