Cloud infrastructure startups in Southeast Asia have become popular as the region continues digitalising and the demand to store data increases. Cloud technology enables companies to access computing resources and applications across the internet without investing in and operating substantial tech infrastructure. Moreover, new businesses do not have to deal with or pay for complex installation and setup processes to access the digital solutions they need.

Traditional business operations involved investing in physical tech infrastructure such as servers and server rooms with complex cable connections everywhere that required experts on standby in case anything went wrong. Plus, these spaces had to have adequate security to prevent unauthorised persons from accessing sensitive corporate data. With digital transformation occurring across industries, using the virtual solutions cloud infrastructure startups bring to the market is vital. 

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According to Statista Research, the Public Cloud market in the Association of Southeast Asian Nations (ASEAN) will reach USD 20.29 billion in 2025. There is a strong demand for cloud usage and integration into daily life because of its convenience, scalability, and cost-effectiveness. It enables the use of online collaboration tools, helping to power eCommerce platforms seamlessly, ensuring data privacy and security, and reducing maintenance costs.

Here are four cloud infrastructure startups to look out for in the region:

IDCloudHost

Indonesia-based IDCloudHost offers flexible, affordable cloud and web hosting services. It has over 600,000 clients and is listed as one of the registrars at the Pengelola Nama Domain Internet Indonesia (PANDI), which was designated as a Top Level Domain Name Registry (.ID) through the Decree of the country’s Minister of Communication and Informatics (Kominfo).

IDCloudHost has multiple server locations in Indonesia, Singapore, the United Kingdom (UK), Hong Kong, and Japan. The company offers features like Unlimited Bandwidth, Unlimited Email, and an integrated control panel (Cpanel). Moreover, customers receive a 99.5% Uptime guarantee to ensure their businesses do not experience downtime.

Lightstorm

Singapore-based Lightstorm seeks to specialise in B2B (Business-to-Business) digital infrastructure, accelerate enterprise digital transformation, and enable business ecosystems to experience seamless connectivity. It offers cutting-edge solutions, such as Polarin and SmartNet, which provide network reliability, scalability, and cost-efficiency.

Lightstorm solves the connectivity problems of a lack of fibre networks or frequent cuts for Indonesia and India. The company delivers ultra-reliable, ultra-scalable, low-latency pathways to the cloud. Moreover, the data centre interconnect network, SmartNet, is easing congestion in the country’s network infrastructure and seeking to deliver 100% uptime. Its most recent funding was in February, a conventional debt round. 

The company collaborated with Nokia to create a Cognitive Network Operations Centre (NOC) Digital Twin. It uses Nokia’s network automation solutions to help telcos and service providers manage and optimise their networks. They will be able to offer Network-as-a-Service (NaaS) solutions to their enterprise customers.

Umbrel

Self-hosting platform Umbrel enables everyone to run a home-based cloud server without having any technical knowledge. It can store files and documents, download and stream media, run a Bitcoin node, and give users control over their data. Additionally, customers operate it independently and do not need to rely on subscription-based services.

Umbrel’s other features include the ability to block ads and automate the home. Finally, there is an app store with self-hosted apps that can be installed in one click. Examples include Firefox, Nextcloud, Tailscale, Lightning Node, and PhotoPrism, among others.

Moskitos

Vietnam-based Moskitos provides its customers with a cloud-based application programming interface (API) platform. It modernises information systems and enables enterprise process management, a method of structuring organisational activities to align with their goals. The company was last funded in 2018 by Caphorn in a Series A round for USD 2.89 million.

Outlook for the cloud infrastructure ecosystem in Southeast Asia

The cloud infrastructure ecosystem holds a lot of promise for the future of ASEAN, enabling businesses to incorporate digital applications and operate faster and seamlessly. According to a premier global market intelligence expert, the International Data Corporation (IDC), the sector will grow by 14.2% CAGR (Compound Annual Growth Rate) as the region adopts generative artificial intelligence (GenAI) technology and companies modify their tech infrastructure further.

Due to the evolving demands of digitalisation, stakeholders must collaborate, innovate, and seek governmental support through regulations aligned with industry and public safety considerations. The cost savings and productivity brought by cloud infrastructure startups will enhance customer engagement, boost innovation, and reduce the time it takes to bring solutions to the market.

Cloud infrastructure startups in Southeast Asia must deal with local and global competition. Juggernauts like the United States and China bring political and economic implications as foreign cloud service providers, and they may prevent local businesses from seeking other vendors. Nevertheless, ASEAN looks set to benefit from investments from powerhouses like Microsoft, AWS, and Alibaba Cloud, which will enhance the economy.