In 2024, Southeast Asia's digital economy achieved earnings of US$11 billion, representing 12% of the sector's total revenues of US$89 billion.

This growth highlights a consistent upward trend in profitability over the past three years, despite the industry's reputation for losses.

Online media, propelled by video and music streaming, online gaming, and exclusive content, led profit margins, while travel platforms benefited from increased commissions and services like guided tours.

E-commerce and transport apps reduced losses through enhanced marketing and product offerings.

According to an annual report by BAIN & COMPANY, TEMASEK, and GOOGLE, covering Indonesia, Malaysia, the Philippines, Singapore, Thailand, and Vietnam, the region's digital landscape is thriving.

The report forecasts a GMV of US$295 billion by 2025, with clicks towards a US$1 trillion digital economy by 2030, as projected by the World Economic Forum.

Mr. Florian Hoppe of Bain expects continued profitability growth, attributing the positive trajectory to robust macroeconomic fundamentals.

With a 4.5% projected GDP growth for the region, Southeast Asia matches China and surpasses developed economies like the US and EU.

A notable rise in foreign direct investment and consumer expenditure further underscores regional vigor.

Google emphasizes the impact of video commerce on e-commerce resurgence, while digital finance sees expansion through QR codes and app-based credits.

Despite global challenges, sector venture funding remains promising, with significant investments in AI infrastructure, including US$9 billion allocated to Singapore.

The digital economy's positive outlook is bolstered by optimizing scalability and cost management across the region, despite broader global economic pressures.

Notable digital players like GRAB, LAZADA, TOKOPEDIA, and GOJEK exemplify the region's maturing unicorn cohort, backed by solid funding environments.