• The Sunway iLabs and JETRO partnership marks five years of connecting Japanese startups and scale-ups with Sunway City Kuala Lumpur’s thriving ecosystem, propelling cross-border innovation.

In today’s interconnected world, global partnerships are key to driving innovation, business expansion and fostering cross-border growth. By connecting Japan’s startups with Malaysia’s growing entrepreneurial ecosystem, there is potential to unlock new markets, accelerate startup growth and address environmental challenges with greater efficiency and impact.

For five years, Sunway iLabs and the Japan External Trade Organization (JETRO) have worked hand in hand, leveraging Sunway City Kuala Lumpur (SCKL) as a thriving hub for Japanese startups to engage and tap into the Southeast Asian market.

This partnership aligns with Sunway iLabs’ mission to foster innovation and create opportunities for startups. Established in 2017, Sunway iLabs is a partnership between Sunway Group and Sunway University, cultivating an ecosystem that supports entrepreneurs at all levels. Sunway iLabs provides startups with access to talent, market reach and investment opportunities, leveraging its connections with the wider start-up ecosystem in Malaysia and abroad to enable entrepreneurs to scale their businesses faster through collaborations and strategic partnerships.

Meanwhile, JETRO serves as a bridge between Japan and the world, facilitating international trade and investment while helping Japanese small and medium-sized enterprises (SMEs) expand globally. By combining Sunway iLabs’ forward-thinking ecosystem with JETRO’s vast network and expertise, the two entities have provided a dynamic platform for Japanese innovators to thrive in Southeast Asia.

Five Years of Impactful Innovation

Just as Sunway City Kuala Lumpur went from a wasteland to a wonderland, Sunway iLabs was formed to cultivate an ecosystem for startups to do the same – building ideas into impact.

Over the past five years, the Sunway iLabs-JETRO partnership has accelerated 30 Japanese startups, launched 15 pilot projects and secured RM10 million in funding. These efforts are focused on driving both technological advancement and long-term commercial success in Malaysia.

“Innovation and sustainable development are in the DNA of Sunway – that was how Sunway transformed an abandoned tin mining land into Malaysia’s first fully integrated smart and sustainable city, SCKL, where meaningful collaborations have driven this partnership journey,” shared Matt van Leeuwen, chief innovation officer of Sunway Group and CEO of Sunway iLabs.

“Our partnership with Sunway iLabs has allowed Japanese startups to explore the Malaysian market while fostering cross-border knowledge exchange and long-term collaborations between Japan and Malaysia. Together, we are helping establish Malaysia as a global innovation hub,” said Koichi Takano, managing director of JETRO Kuala Lumpur.

From Digital Transformation to Green Innovation

One such success story is TOY EIGHT, an AI-driven edtech startup focused on inclusive education. Having established its business presence in Malaysia in 2020, TOY EIGHT has since expanded its footprint into neighbouring countries.

TOY EIGHT was also honoured with the Best Startup in Digital/AI award category at the One ASEAN Startup Award 2024 in Phnom Penh, Cambodia. The company’s journey is a testament to the impact of the Sunway iLabs-JETRO partnership in empowering startups to scale across borders.

Toy Eight’s app employs an AI system that recognises development strengths and suggests personalised learning content to facilitate emerging talents in preschool children.

In 2024, Sunway iLabs and JETRO  host the annual Green Transformation Accelerator (GXA) Programme that provides startups with an engaging platform to be immersed in the Malaysian business ecosystem. Previously known as the Digital Transformation Accelerator, the programme was renamed to reflect its shift in focus towards driving innovation in green technology and commitment to contribute to the nation’s net-zero target by 2025.

Five startups specialising in sustainability participated in the second round of the GXA Programme, which focused on green technologies. These startups, Ocean Eyes, Innoqua, Godot, PNH (AirX Coffee) and PtBio, are now developing their pilot projects in Malaysia, addressing crucial issues such as waste reduction, energy efficiency and sustainable resource management.

The GXA programme also saw Sunway Group’s business divisions and other corporate partners comprising private and government-linked companies eager to embark on the journey of green transformation.

Similarly, government agencies were also keen to support the programme. At the Selangor Smart City & Digital Economy Convention, held at the KLCC Convention Centre on 17 October 2024, the five Japanese startups pitched and networked with potential partners, including the Malaysian Research Accelerator for Technology & Innovation (MRANTI) and Selangor Information Technology & Digital Economy Corporation (SIDEC).

The Greater KL Live Lab initiative aims to attract foreign companies to collaborate with local players in Kuala Lumpur.

Meanwhile, InvestKL, under the Malaysia Investment Development Authority (MIDA), also supported the programme, sharing insights with the Japanese startups on company establishment through its Greater KL Live Lab initiative, which Sunway iLabs has been closely linked to since 2019.

Far from over

With five years of meaningful collaboration under our belt, Sunway iLabs and JETRO are set to continue driving innovation and sustainability in Southeast Asia.

As Malaysia and Japan strengthen their ties, Sunway remains committed to fostering an environment where startups can address some of the world’s most pressing challenges, from climate change to sustainable urban development.

“2024 marks a significant milestone with JETRO as we celebrate five years of partnership. Together, we have fuelled cross-border innovation, helped startups thrive and witnessed meaningful impact across multiple sectors,” shared Van Leeuwen.