Deliveroo’s exit from Singapore is less a corporate retreat than a referendum on the arithmetic of food delivery. In this candid conversation, WhyQ co-founders Varun Saraf and Rishabh Singhvi strip the model down to its uncomfortable basics: on a typical SGD20 order, platforms collect roughly 25-30% in commission — about SGD7 to SGD9 — which is often entirely consumed by last-mile delivery costs alone. Before marketing, technology, customer support, or overhead are factored in, the margin is effectively gone.
The deeper issue, they argue, is behavioural. In Southeast Asia, delivery is treated as a utility, not a luxury. Consumers resist absorbing the true cost of logistics, while merchants cannot sustain higher commissions. That leaves platforms trapped in a zero-sum game, subsidising demand in pursuit of scale.
WhyQ’s response was not incremental optimisation but structural change. After experimenting with hawker-focused B2C delivery, the company pivoted in 2023 toward corporate B2B — scheduled, high-volume drops where batching improves economics and food safety becomes institutional infrastructure rather than an afterthought.
If 2026 is indeed the EBITDA reckoning for the sector, WhyQ’s thesis is clear: survival will depend less on branding and more on disciplined unit economics, operational control, and predictable demand.
REGIONAL
Deliveroo’s exit is a profitability warning shot: Deliveroo will exit Singapore by March 2026 as DoorDash retrenches across four markets, signalling Southeast Asia’s shift from growth-first expansion to profitability discipline amid punishing delivery economics and fragile margins.
Malaysia’s Zetrix AI raises US$40M from IFC, to list AI unit on Nasdaq: The funding aims to support the expansion of digital infra in Malaysia, Southeast Asia, and other emerging markets. The company’s projects include supporting Malaysia’s national digital identity system and blockchain service network.
Grab expects AI, new services to triple profit by 2028: The ride-hailing and delivery firm aims to triple its EBITDA to US$1.5B by 2028 from last year’s level. It plans to grow revenue by over 20% annually for the next three years. It has taken toeholds outside Southeast Asia, including an investment in US wealth platform Stash.
SG fintech startup Lyte raises US$4.2M: US$3.9M was contributed by Soilbuild Group’s Lim Chap Huat. The remaining amount came from Ho Hin Wah, CIO of Genedant Capital, and Great Noble International II Limited. Lyte offers financial tools aimed at freelancers, solopreneurs, and sales workers.
Singapore Quantum Hub launches with SoftBank and HorizonX backing, led by QAI Ventures: Quantum Hub will accelerate QuantumAI commercialisation, linking capital, talent and industry clusters across communications, finance, manufacturing and life sciences.
Veremark acquires RMI to double down on Southeast Asia’s trust economy: The UK firm aims to deepen APAC background screening, strengthening institutional ties and compliance capabilities as cross-border hiring rises and workplace trust becomes a competitive differentiator.
Singapore’s UltraGreen.ai posts 24% revenue rise in FY2025: The surgical imaging firm’s revenue rose to US$142.4M, driven by a 13% increase in vial volumes and higher prices, especially in the US and Europe. The gross margin stayed at 85%, with operating profit rising to US$84.2M.
Ant, CIMB partner on cross-border payments in Malaysia: It involves collaboration across Ant’s key businesses, including Alipay+, Antom, and Bettr Treasury, spanning cash management, treasury and markets solutions, credit and financing facilities, capital markets activities, and sustainability-related initiatives.
RedDoorz adds 100 ‘company-operated’ hotels in Indonesia: The hospitality platform plans for another 100 to 150 by 2027. It currently manages about 100 such properties and operates 4,300 partner properties across Indonesia and the Philippines.
FEATURES & INTERVIEWS
Premium isn’t a moat: What Deliveroo’s exit says about Southeast Asia’s delivery ceiling: WhyQ’s founders dissect Deliveroo’s Singapore exit, exposing broken B2C delivery economics and arguing sustainable growth lies in batching, higher order values, and disciplined corporate B2B infrastructure.
Space Faculty CEO Lynette Tan: Talent, not rockets, will define Singapore’s space play: Human capital is the island’s most enduring asset in space development. While technologies evolve, talent is key to navigating space challenges. Successful missions should be measured by their impact on uplifting and empowering people and talent in both the short and long term.
INTERNATIONAL
Thrive Capital reportedly invests US$1B in OpenAI: This deal was separate from a larger funding round that could total over US$100B and boost OpenAI’s valuation to US$800B. Thrive has been a long-term investor in OpenAI and is likely to join the ongoing funding round, which is closing in phases.
Jack Dorsey’s Block to cut nearly half staff citing AI impact: Dorsey wrote that AI tools are enabling a new way of working with smaller teams. The company, which owns Square, Cash App, and Tidal, has had multiple layoffs since 2024, but this is the first time it cited AI as a reason.
Coupang swings to loss as data breach weighs on Q4 results: Revenue for Q4 was US$8.8B, below the US$8.9B forecast from LSEG, and the company swung to a US$26M loss from a profit a year earlier. Active customers in Coupang’s product commerce segment rose 8% YoY to 24.6M in Q4 but fell from 24.7M the prior quarter.
Netflix pulls out of Warner Bros acquisition bid: Netflix has decided not to increase its US$82.7B all-cash bid for Warner Bros, ending its pursuit of the company. Warner Bros said Paramount made a US$31% offer, which it called a “superior proposal.”
Hong Kong to issue first stablecoin licenses in March: The government has established a licensing regime for stablecoin issuers, with regulators expected to approve initial licenses for fiat-backed stablecoins next month. It also intends to introduce legislation this year to regulate digital asset dealers and custodians.
200,000 Taiwanese accounts affected in Coupang data breach: The company commissioned external cybersecurity firms to investigate the incident, which occurred in November 2025. Coupang attributed the breach to a former employee, stating that the individual accessed the accounts without authorisation.
CYBERSECURITY
Cybersecurity is becoming the trust layer that underpins SEA’s digital economy in 2026: As Southeast Asia’s digital payments surge toward US$789 billion, cybersecurity and governance are emerging as core infrastructure, embedding trust into scalable, enterprise-ready digital ecosystems.
The trust layer: How cybersecurity became hospitality’s most valuable asset: RedDoorz argues cybersecurity is hospitality’s new trust layer, using AI responsibly, strict data controls, and security-by-design to protect guests, combat AI-driven threats, and turn safety into a competitive growth advantage.
AI as a question of national security and independence: AI security is shifting from sci-fi fears to sovereignty concerns, as Southeast Asia weighs dependence on dominant platforms against resilience, independence, and control over critical digital infrastructure and assets.
SEMICONDUCTOR
Singtel launches CoE for Applied AI with NVIDIA to accelerate enterprise adoption: Singtel and NVIDIA launch an Applied AI Centre of Excellence to accelerate enterprise deployment, combining sovereign cloud, advanced GPUs, ecosystem partners and talent development to move organisations from pilots to production securely.
Meta reportedly to lease Google AI chips in multibillion-dollar deal: The chips would be used to develop new AI models amid increased industry investment in AI infra. In December, Google reportedly pushed its Tensor Processing Units as an alternative to Nvidia’s GPUs, with TPU sales becoming a key driver of its cloud revenue.
Nvidia shares rise after Q4 revenue beats estimates: Its stock rose about 1.3% in pre-market trading on February 26 after reporting fiscal Q4 revenue of US$68.1B, surpassing analyst estimates of US$66.2B from LSEG, with a 73% YoY increase. Its data centre unit, which accounted for 91% of sales, generated US$62.3B.
AI
Responsible AI won’t scale on good intentions alone: Southeast Asia aims to scale AI responsibly through ASEAN’s voluntary governance model, but fragmented regulations, cross-border data barriers, and inclusion gaps will determine whether regional coordination delivers true, interoperable scale.
AI is now a budget line. It’s still not a profit line: Southeast Asian firms are heavily investing in AI, yet most see minimal EBIT impact, as talent gaps, integration hurdles and weak data foundations stall value capture despite rising budgets.
Everyone wants AI agents, but few have the plumbing: Nearly nine in ten Southeast Asian firms plan AI agents in 2026, but scaling remains technical, governance gaps persist, and weak operational foundations risk turning productivity ambitions into costly chaos.
Why trust is the only currency that matters in the AI era: As AI accelerates innovation, trust becomes the real growth metric. Cybersecurity, embedded by design, now determines enterprise adoption, resilience and competitive advantage in a high-speed digital economy.
Key to AI financial assistance: Removing friction: AI Financial Assistance removes friction in money decisions by delivering trusted insights, clear education, and seamless in-app guidance, empowering Southeast Asia’s mobile-first investors to act confidently and build long-term financial literacy.
The unspoken contract: Why AI can’t win our hearts until it earns our trust: Southeast Asia’s AI race is shifting from speed and convenience to trust, as startups prioritise transparency, localisation and human oversight to build culturally grounded, trustworthy systems beyond mere technical reliability.
THOUGHT LEADERSHIP
Bitcoin short squeeze wipes out US$400M in 24 hours: What comes next: Bitcoin’s rebound sparked a US$400M short squeeze, driven by crowded bearish positioning and thin liquidity, resetting leverage as traders eye resistance near US$70K and upcoming options expiry.
Architecting cyber defence: Transforming the global talent deficit into a strategic business advantage: Cybersecurity talent shortages threaten business resilience and shareholder value, demanding strategic investment, modern training, regional collaboration, and adaptive workforce development to secure long-term digital competitiveness.
Why most tokenised real estate startups in SEA fail: Tokenised real estate in Southeast Asia is faltering due to opaque listings, overpriced assets, weak governance, illiquidity, and regulatory uncertainty, undermining investor trust and long-term viability.
Fortitude for hire: Botticelli, history’s first Fractional Executive: Using Renaissance Florence as allegory, the article argues corporations hire fractional executives as high-impact specialists during crises, blending reliable core teams with visionary talent to deliver strategic resilience.
Small habits, big wins: Why reduction beats intensity in the AI era: Founders mistake inconsistency for weak discipline, but the real constraint is structural friction. AI compresses cognitive workflows, reducing switching costs and turning small idea-capture habits into compounding visibility and authority.
Why community building has replaced lean startup approach to lurk investors?: Community building has shifted from marketing afterthought to strategic core, driving product development, investor confidence, and smarter go-to-market execution through engaged users, real-time feedback, and authentic influencer participation.
Streaming the dream: How live streaming tech can increase access to brands: With billions of smartphone users globally and SEA’s surging internet penetration, live streaming commerce is transforming e-commerce through immediacy, interactivity, personalisation, and retention-driven digital engagement.
Elevating your e-commerce strategies with livestreaming and hero products: Mobile-first consumers are reshaping Asia Pacific e-commerce, favouring convenience, authenticity and value-driven content. Brands can win by building Hero SKUs, leveraging livestream commerce, and tailoring strategies to distinct shopper personas.
The post Ecosystem Roundup: From delivery’s ceiling to AI’s profit gap – Deliveroo exits, premium falters, Zetrix secures US$40M appeared first on e27.
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