Who’s the top dog in the Southeast Asian cloud kitchen space?

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Hello readers,

I’ve mentioned this before, but prior to Covid-19 and work-from-home measures, I’d never used food delivery apps. Since then, however, I’ve become more familiar – more than my wallet would like – with the options for my location.

(Castel Italiano, I wish I knew how to quit you.)

Anyway, behind the scenes of the food delivery business lie cloud kitchens. Investors are pumping millions of dollars into the various players in the space, and there are a few different business models as well. Who will come out on top? In today’s premium piece, we take a look at the lay of the land for cloud kitchens.

Today, we look at:

• The key players in the Southeast Asian cloud kitchen scene
• Singtel’s gaming venture Storms its way to funding
• Other newsy highlights such as Alibaba hooking up with rival Tencent and Chinese firms poised to sue the US government

PREMIUM SUMMARY

Head (and stomach) in the clouds

One of the few beneficiaries of the pandemic has been the cloud kitchen industry, what with more people stuck at home and ordering food delivery more than ever. However, it remains to be seen as to who – and what business model – will emerge as the winner of this nascent sector.

• Myriad models: There are pure-play, delivery-app led, shared kitchen, and hybrid models. Confused? I know I am.
• Battleground: Indonesia: Indonesia, the world’s fourth-most populous country, seems set to become Southeast Asia’s primary cloud kitchen market, as both local players and multinationals line up major expansion plans in the country.
• Early days: While cloud kitchens saw a growth of over 1,000% in India between 2018 and 2019, Southeast Asia is only now entering a similar phase of growth. It’ll be a while before the dust settles.

Read more: Here are the top cloud kitchen operators in Southeast Asia

STARTUP SPOTLIGHT

The Storms that is approaching

Singapore gaming venture Storms said it has received an undisclosed amount of investment from EDB New Ventures, the corporate venture building arm of the Singapore Economic Development Board. Launched in 2019, it is also developing social instant gaming platforms monetized through advertising, licensing, and mini-esports tournaments in super apps.