Jay-Z’s startup fund eyes Southeast Asia; a founder got mad at us

Dear readers,

As journalists, we inevitably ruffle feathers in the course of doing our jobs, but a recent case was unusual. A founder got mad at us for asking questions about the company’s revenue and bottom line as well as for looking into how its valuation was derived. He was also upset that we reached out to his investors before speaking to him, and we acknowledged that could be better handled.

The founder’s train of thought went like this: His company has a right to privacy – the same way that individuals do. The comparison is, of course, misguided. We’d all be worse off if journalists didn’t ask sensitive questions about Uber, Airbnb, and many other companies that got big as they stayed private.

Fortunately, 99% of the founders we’ve encountered don’t think this way. While it’s understandable that most won’t reveal exact financial figures, they at least understand why we’re asking those questions. We’re not searching for fodder to create frivolous gossip; instead, we’re getting accurate data directly from the source – information that can educate other investors and founders. Expect us to continue probing, and you can support us through a subscription.

Moving on, our biggest story last week was Jack Ellis’ exclusive reveal of how Arrive, hip hop mogul Jay-Z’s startup fund, is quietly investing in Southeast Asia.

Photo credit: Rich Thane

The US tech scene certainly has a glam factor, given that the country is also an entertainment powerhouse. But as Asia’s tech prowess grows, we may see more funds tied to the American cultural elite start to look east.

We also checked out a growing trend in Singapore: “smart” vending machines. It’s an offshoot of the so-called “new retail” trend in which physical stores are increasingly being automated.

I do think retail will be overhauled – it pains me to see shopping malls that are almost devoid of people. So it’s good that fashion brands turning retail stores into collection points, event spaces, or even venues for style consultations. Meanwhile, Luckin Coffee in China is using small booths to fulfill online orders, and the concept is being replicated through Fore Coffee in Indonesia. Clearly, there won’t be a silver bullet that can put an end to all these issues. Instead, we’ll see a variety of concepts for different use cases.

Finally, do check out more recent content below:

Startup watch

• Commentary: Keep your head down and just get shit done
• ‘E-wallet factory’ MatchMove to raise US$150m in series C round, eyes profitability next year
• Rising startups: rare Taiwanese AI firm, co-working is still hot, and more

Stuff you may have missed

• Honestbee investigating transactions under ex-CEO Joel Sng
• How Ovo took off with a corporate innovation model that could challenge venture capital
• Beyond Lazada and Shopee: Southeast Asia’s major ecommerce players in each market

Cheers,

Terence
Chief editor