Welcome, Asia Startup enthusiasts
Is Waymo coming soon to Asia? Now, with a multi-year strategic partnership with Hyundai, it seems likely!
And did SoftBank's Vision Fund arrive at the generative Al party too late? It's tough to say!
In today’s edition:
Waymo & Hyundai's Partnership
Softbank Invests into OpenAl at $150 Billion
DeepBrain Al is creating B2B Deepfakes
More Asia Startup News
🔥 Waymo & Hyundai's Partnership
The scoop: The two companies are teaming up to bring robotaxis to the world, and it might just get futuristic on the streets of Seoul.
Fun facts:
Waymo's self-driving tech will be integrated into Hyundai's vehicles for robotaxi services in USA & eventually South Korea.
Waymo is already doing 100,000 paid robotaxi rides per week
It's a multi-year strategic partnership, with Hyundai's all-electric
IONIQ 5 SUV being the primary vehicle
This marks Waymo's first major partnership with a vehicle company outside the U.S.
Initial on-road testing with Waymo-enabled IONIQ 5s will begin by late 2025 and become available to Waymo One users (Alphabet's ride-sharing service) in the years to
Why it matters: This partnership is a big step forward for both companies, given that it positions them at the forefront of the global autonomous vehicle race. Even though the rollout starts just in the US, an expansion into South Korea & the rest of Asia is
💸 SoftBank Invests into OpenAl at $150 Billion
The scoop: SoftBank's Vision Fund is betting big on Al, with a new $500 million check into OpenAl, valuing the company at $150 billion.
Fun facts:
SoftBank is joining a $6.5 billion funding round for OpenAl, alongside major players like Thrive Capital and Tiger Global.
With this $500 million stake, it marks SoftBank's first investment in OpenAl, led by Sam Altman.
Other tech giants, including Microsoft and Nvidia, are also in talks to invest, though Apple has notably exited discussions.
This investment not only ties SoftBank's CEO Masayoshi Son closer to OpenAl's Sam Altman but also underscores Son's long-term belief in Al's transformative power.
SoftBank is building a formidable Al portfolio, adding OpenAl to other major holdings like ByteDance and ARM.
OpenAl is restructuring to attract more capital, potentially removing profit caps and shifting to a for-profit
Why it matters: This investment reinforces the rapid valuation growth of OpenAl and the broader Al industry. With this capital boost, OpenAl is positioned to scale even faster, while SoftBank is doubling down on Al as the next frontier, solidifying its role in shaping the future of tech.
🧠 DeepBrain Al is creating B2B Deepfakes
The scoop: Let's talk about DeepBrain Al: The Korean startup creating "B2B Deepfakes". Yes, you heard that right! They create realistic Al-powered virtual humans that can engage in real-time video conversations, express emotions, and move on-camera.
Fun Facts:
The demand for commercial video is skyrocketing, with digital video ad spend projected to hit $65 billion by the end of 2024, but traditional video production costs are exorbitant, ranging from $1,000 to $50,000 per video.
The Korean Development Bank, a state-owned entity, recently led their $44 million Series B round, underscoring the level of national support they're receiving. This backing not only reflects confidence in the startup's potential but also the South Korean government's commitment to homegrown Al innovation.
They're entering a competitive market, facing off against major players like HeyGen, Synthesia, D-ID, and Gan Al. Each competitor is carving out a niche: HeyGen dominates in the U.S., Synthesia in Europe, and Gan Al in Southeast Asia. Meanwhile, D-ID has taken an API-first approach, appealing to developers.
With a last valuation of $180 million, enterprises are signing up in droves. These include a wide range of flagship customers, including many of Korean giants LG, KT, SK, and Samsung.
Bull case: DeepBrain Al drastically reduces video production costs from thousands of dollars to as low as $14 for a 60-second commercial, addressing a massive demand-supply gap. Plus, their government backing provides both financial stability and strategic advantage, particularly as the Korean Development Bank invests with a long-term vision that typical VC firms (with a large number of LPs) struggle to match.
Bear case: The global race in synthetic video is heating up, and giants like OpenAl could enter the fray at any time. OpenAl has a history of entering profitable markets-whether it's TTS, image generation, or video tech—and they have the resources to challenge or even surpass specialized startups like DeepBrain Al. As competitors continue to grow and secure partnerships with household names, DeepBrain Al may struggle to differentiate itself.
🇮🇩 Indonesia NewsTemu got banned in Indonesia, as the country cracks down on foreign e-commerce it says hurts local shops.
🇸🇬 Singapore NewsMeta is setting up shop in Singapore with a new Al startup accelerator program in partnership with the government.
🇯🇵 Japan NewsSaudi Arabia's Public Investment Fund is leveling up its gaming stakes, now owning 9% of Japan’s Nintendo.
🇮🇳 India NewsPeak XV (VC Firm) is cutting it's fund size by $465 million, as India's Al investment scene in India becomes too
🇰🇷 Korea NewsKakao Mobility (Also the Creator of Korea’s #1 Messaging App) just got hit with a massive $548 million fine from South Korea's FTC for breaking ride-sharing antitrust rules, ouch!
🇻🇳 Vietnam NewsVietnam's government is considering a $1.5 Billion purchase order for SpaceX's Starlink internet system.
