What Ecosystems Will Capitalize?
Tech companies in the US have done a good job of serving our domestic market and have made it very hard for international competitors to gain traction. It’s very hard to find examples of foreign startups being extremely successful here (Spotify, Waze, any others I’m missing?). Indian and Chinese tech startups have both seen crazy growth by focusing domestically as well. On the flip side, it will be interesting to see where startups will come from that capitalize on China putting money into building out internet infrastructure in emerging economies. Places like Singapore have done a good job of positioning itself as a place to go international across SE Asia and India. Will a new tech ecosystem emerge from somewhere such as Dubai or Pakistan that will capture all of this growth long-term for their region? Will traditional powers like the US, China, or India start pushing more mobile apps, SaaS products, and e-commerce plays into those countries? Will local winners take everything in their respective market? Or will RocketInternet rule everything?
It’s all up in the air. I do know that with these announcements it’s showing that a lot of people will be brought into the global market and will have infrastructure to get online. How startups react to all of this economic growth led by China will be interesting to follow over the next few years as the New Silk Road comes together. If history can tell us anything, it's that new economies along the New Silk Road will see their barriers to the global market fall. It is anyone's guess as to what might happen with a single country attempting to drive it as a policy.
I’d love to hear what you think. Do you know of some startups that are good examples of focusing on those areas? See the situation panning out differently than how I paint it?