5 reasons why we’re re-launching our search engine, Verbase, and doing it in Thailand

Nearly 2 years ago my search engine startup, Verbase, was covered on this website. The response was mostly supportive, but most people thought we were crazy for trying to go up against Google. Why even bother going after the internet’s largest market with such limited resources? It takes a certain kind of madness to think one can take on Google and do search better than they can. However, we decided that we would take on the role of David and go after the Gooliath from what we thought was their weakest position, in China, where Google had been losing the battle in its fragmented search market. But trying to enter the market through the back door was a mistake, we found. Even DuckDuckGo, a search engine with over 10 million queries a day, has been blocked there. [Fun fact: type in duck.com in your browser to realize that Google is paying serious attention to small search engine upstarts.]

After a while we realized that what we needed was a different approach to the search problem, and a different user value proposition than just ’10 blue links’ like everyone else had been doing since before the turn of the century. We also came to the conclusion that China wasn’t Google’s Achilles’ heel. The US market was. Although Google is the go-to search engine for more than 88% of non-US search engine queries, it takes home only 64% of the US market, with Bing banging on their door more loudly every year. While Google has recently been seeing negative growth at home, Yahoo and Bing are actually picking up steam and together hold 33% of the US market. And with the release of Windows 10 where a new desktop search bar has Bing as the default, Microsoft expects even more gains in the coming years. In an industry where every 1% of the US market is worth a cool $1 billion, every small fraction counts.  

With these things in mind, we shuttered the site and regrouped and came up with an even bolder plan. It took us a while to figure out how Google, Bing, and Yahoo could be beaten, and how it would best be done from SE Asia. You see, search engines haven’t really changed much in nearly 20 years. Google, save for more spam, advertising, and promoting more of its own properties, which are all either eventual evils or challenges, still looks pretty much the same as it did in 1998. 17 years is a long time, especially in internet years. Needles to say, the market has been crying out for real innovation for a while.

In order to disrupt the search market, Verbase will re-launch as a search action engine in 2016, making it easier for people to take action on what they’re searching for. Every search is really an opportunity, not just a way for someone to find information. And, having developed a potentially industry-busting new advertising format (codenamed, ‘Brads’), we’ll also offer free PPC advertising to businesses for life, which is something that Google and others cannot begin to compete against. We are, indeed, out of our minds.

But why Thailand? Here are 5 good reasons why we decided Thailand was the best place to re-launch our startup:

1) Thailand is at the Forefront of the Mobile Revolution. Mobile is the future of the internet, and therefore the future of search. SE Asia is leading in mobile user experiences. Whether you like it or not, practically everyone in SE Asia seems to be glued to their mobiles. It’s a phenomenon you don’t see as much of in the US and Europe. With such a captivated user base, mobile startups are popping up everywhere. Game development is driving much of the growth of startups in the region and could serve as the main driver in ecosystem expansion to other market segments, much like graphics and user interfaces helped push the envelope in Silicon Valley in the 70s and 80s.

2) No Salary Bubble. A good reason for us to start up in Silicon Valley would have been that it’s already the largest tech ecosystem on the planet. However, with so much cash floating around the Valley it’s leading to a ‘salary bubble’, with salaries skyrocketing past the point that startups can really flourish. Even Yelp is hurting because of this. Startups are also pressured into pursuing revenue at a much earlier stage than they should, which can hurt user growth. Unfortunately, a lot of startups fail because they run out of money.

3) It’s a Top Choice for Expats. People around the world often choose Thailand over other countries for both work and leisure. It’s inexpensive, safe, has good infrastructure (with fast internet available), the food is great, and the people are friendly. It shouldn’t be difficult for a startup to convince a talented developer in the Valley or somewhere else to come out to Thailand for a year or two if one is unable to source local talent.

4) It’s Very Affordable. Where else can you get an office for 5 people in the business district of an international city, a 3-minute walk from 2 train systems, surrounded by a variety of cafés and restaurants, for less than $250/month? On the residential side, a 1-bedroom apartment can be had for as little as $200/month. Compare that with $2,000 a month for a place in San Francisco and other cities. A skilled web developer that may have a salary of $80,000/year in Silicon Valley could cost $12,000/year locally (or $36,000 a year for the same developer to work in Thailand). With easy access to airports, universities, bookstores, business services, after-work bars, and everything from 1 to 5-star hotels, incubators like TechGrind and funds like 500 Tuk Tuks, “Sukhumvit Alley” is a tech dream waiting to happen. For a startup trying to stretch their funds, being in a place like Thailand makes a lot of sense.