We’ve explored the steady growth of regional startup hubs in emerging markets, and there’s no denying that, for years now, the ambition of many Southeast Asian startups has always been to conquer their home region before planning or even thinking of global expansion. The standard playbook was to launch a startup in Singapore and then expand to Malaysia for scale and eventually open in other parts of the region, such as Vietnam, the Philippines or Thailand.
But that is changing in 2025, with Southeast Asian startups slowly bypassing regional expansion in favour of targeting the United States directly. Southeast Asia has a lot to offer and is rich in talent and creativity; however, its markets still remain fragmented, each with distinct regulations, languages and consumer behaviours.
Southeast Asia’s new tech export goes global with B2B startups targeting the US market
For startup founders wanting to scale and aiming for global relevance, the U.S. offers one single, consolidated market with higher-value clients, much more sophisticated consumer demand and a long track record of rewarding bold technology plays. So, with a new wave of startups from Singapore to Thailand testing whether the most ambitious growth path lies not within ASEAN, but across the Pacific, the U.S. is emerging as the next big market. Let’s dig deep and explore why.
The pull of U.S. markets
The U.S. has always been a North Star for tech companies in general. However, Southeast Asian startups are just now approaching it with urgency. A major factor for this is credibility. Success in the U.S. means that a company will gain global recognition, which then amplifies fundraising back home and across Europe and Asia.
For example, in Singapore, Carro is targeting a US IPO with an over $3 billion valuation. If this is successful, Carro’s listing will become the largest Southeast Asian IPO in the U.S. since SEA’s (SE.N).
Another aspect is healthtech, which we see an increased traction since U.S. healthcare providers explore telemedicine, AI-driven diagnostics, and wellness platforms from other parts of the country.
That is why Southeast Asian founders who succeed in breaking through often find that their path to profitability accelerates once they establish a foothold in the U.S.
Bridging the gaps: hurdles and enablers
Despite the allure, entering the U.S. is way harder than it may seem. One aspect is the cultural differences, which can affect sales cycles. Legal compliance in the U.S. is a whole other challenge, and hiring American talent comes at a steep cost, too.
One thing is for sure: governments and ecosystem builders are taking note of this trend. For example, Singapore’s Global Innovation Alliance has expanded its support for founders setting up shop in the U.S., while Vietnam’s growing stable of startup programmes now emphasises overseas expansion as part of their growth modules. These programmes provide soft landing support and connect founders to the U.S.-based mentors as well as potential partners, making the expansion less daunting.
A rising number of venture funds in Southeast Asia are structuring themselves to bridge directly into the U.S., with partners based in both regions. For founders, on the other hand, this creates a virtuous cycle where local ecosystems provide early-stage support, while at the same time the U.S. expansion opens the door to later-stage growth capital.
A new mindset for Southeast Asia’s ecosystem
Before even planning to scale in the U.S., the most important aspect is the region’s innovation mindset. It’s one thing to aim for U.S. markets, and another thing for Southeast Asian startups to build higher-quality products to cater to their market. This raises the question: can Southeast Asia shed its reputation as a market primarily focused on localised, low-margin play?
Yes, there are also risks of brain drain, with top talent and IP increasingly oriented towards Western markets. There is also the question of whether founders who are only focusing abroad too early could be distracted from solving Southeast Asia’s own pressing challenges. So, balancing these competing imperatives will definitely shape the identity of the region’s ecosystem over the coming decade.
As the main players, such as Singapore and Vietnam, position themselves as springboards for international growth, and as U.S.-based VCs deepen their engagement with Southeast Asia, the idea of “born-global” startups is rapidly becoming the norm nowadays. We will see within the next five years that it is likely that many of the region’s most successful companies will be those that use Southeast Asia as a cost-efficient base while targeting Western markets first.
For Southeast Asian founders, the decision to go to the West is not as simple as chasing bigger markets. Generally, it is about signalling their ambition and demonstrating capability as well as proving that the region’s startups can actually compete on the world’s most competitive stage. So, if the trend continues, Southeast Asia’s innovation story may no longer be just about catching up to Silicon Valley, but at the same time be about shaping the future of global tech from both sides of the Pacific.