CapitaLand Limited To Join Forces With Startups

Young technology startups have had a big impact in today’s world. AirBnB, which owns virtually no accommodation assets of its own, is disrupting the hospitality industry worldwide. GrabCar, a ride-hailing app company, is providing an alternative for commuters not just in Singapore, but in the region.

Big companies understand that they have to innovate to avoid being disrupted. But, size is sometimes an impediment to fast innovation.

Instead of waiting of their world to be disrupted, some big companies are increasingly knocking on the doors of startups.

Singapore’s sovereign wealth fund Temasek had recently joined US software giant Microsoft’s Microsoft Accelerator programme, which is a mentor-driven programme that aims to provide support to startups in their quest to scale. Microsoft Accelerator is active in the US (Seattle), Germany (Berlin), Israel (Tel Aviv), and India (Bangalore).

Some Singapore-listed companies that are part of Temasek’s portfolio have also joined the programme, including CapitaLand Limited (SGX: C31).

CapitaLand, which is in the business of developing real estate, is looking to invest in startups that can enhance its business in areas stretching “from design and construction, operations and maintenance, sales and leasing, customer engagement, to workplace productivity and smart living solutions.”

CapitaLand also thinks that joining the Microsoft Accelerator programme could help the company with its efforts to “develop integrated and interconnected smart buildings as well as create seamless online and offline customer experiences.”

It would be interesting to look at how the collaborations between the established Temasek-linked companies and the small startups will turn out.

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The information provided is for general information purposes only and is not intended to be personalised investment or financial advice. Motley Fool Singapore contributor Ong Kai Kiat does not own shares in any companies mentioned.