Tag: Google

Singapore – Despite years of movement toward phasing out third-party cookies, Google Chrome has decided to maintain the current system—at least for now, according to the latest blog post from Google. This update marks a significant shift in the narrative around the Privacy Sandbox initiative, which originally aimed to reimagine digital advertising and tracking with a stronger emphasis on user privacy.

The update, written by Anthony Chavez, vice president at Privacy Sandbox, noted how The Privacy Sandbox was introduced with the dual goal of improving online privacy and supporting a healthy, ad-supported web. 

Since its launch, there’s been growing interest and adoption of its privacy-preserving technologies, including APIs designed to provide alternatives to cookie-based tracking. But after continued discussions with publishers, advertisers, developers, and regulators, they noted that it’s clear that there’s no consensus on how—or when—to make such a major change to the current model.

It also added that much has changed since the Sandbox was announced in 2019 and Google formally engaged with UK regulators in 2022. The landscape now includes rapid advancements in privacy technology, increased use of AI to protect users, and evolving global regulations. In light of all this, Google has decided not to introduce a new standalone prompt for third-party cookie usage. Instead, Chrome users will continue to manage their preferences through the browser’s existing Privacy and Security settings.

According to Chavez, while this decision delays the original ambition of phasing out third-party cookies, Chrome will still strengthen protections in other areas. For example, Chrome’s Incognito mode will continue to block third-party cookies by default, and new features like IP Protection—slated for rollout in Q3 2025—will further enhance private browsing.

Moreover, this update also shifts the role of the Privacy Sandbox. With cookies sticking around for now, Google is reevaluating how its Sandbox APIs can best support the ecosystem. The company plans to gather industry feedback and provide a refreshed roadmap in the months ahead.

As the web continues to evolve, Google says it remains committed to privacy-first innovation while supporting the diverse needs of the digital advertising ecosystem. For now, though, third-party cookies in Chrome are here to stay.

Philippines – Filipinos trust Google and YouTube over leading social media platforms for their purchases, according to Ipsos’ study.

Ipsos’ findings reflect the reliability of Google and YouTube, helping consumers make informed decisions through content.

According to the study, Google and YouTube are both present in 75% of consumer journeys where Filipinos discover new brands and products.

Google Search and YouTube allow brands and businesses to achieve growth, turning discovery into actual purchases. Leading businesses in the Philippines have leveraged the platforms to identify high-intent search queries and tailor advertisements according to customer behaviour and preferences.

YouTube also allows brands to create video campaigns that resonate with audiences.

Ipsos, a leading market research company, launched its online platform Ipsos.Digital in the Asia-Pacific region in 2022 to boost its capabilities and insights.

Recent reports in the Philippines have also found that Filipinos find free shipping an important consideration when online shopping. Meanwhile, Filipinos are increasingly shifting to online communities from traditional ones.

Indonesia –Indonesia’s Ministry of Trade, in collaboration with Google Indonesia, has introduced the ‘Gemini Academy,’ an initiative to help small and medium-sized enterprises (SMEs) integrate artificial intelligence (AI) into their operations and improve competitiveness.

The Gemini Academy will support both export and non-export local SMEs, with the goal of fostering innovation and helping businesses expand into international markets, Business Times reported.

The program will offer training in three categories—Potential Exporter SME, Basic Export SME, and Advanced Export SME—aimed at improving business processes and market expansion.

Minister Budi Santoso stated that the academy is expected to help SMEs streamline operations, lower costs, and enhance their competitiveness.

“By integrating AI into their business strategies, they will gain valuable insights into market trends and consumer preferences, which will enable them to refine their product offerings and improve marketing efforts,” the minister said in a statement, as quoted by Business Times.

Alongside SME-focused training, Google Indonesia will also provide 500 scholarships for Google Career Certificates, giving civil servants at the ministry access to AI-related courses.

Putri Alam, director of government affairs and public policy at Google Indonesia, said, “Indonesia is the first country globally to offer the Gemini Academy training program for SMEs, and the Ministry of Trade is our first government partner in Indonesia.”

She further noted that Gemini, an AI chatbot aimed at supporting creativity and productivity, can be accessed through the Google Play Store, App Store, or its official website.

Singapore – Google has announced the general availability of Meridian, its open-source Marketing Mix Model (MMM). Previously under limited access, Meridian is now freely available to all marketers, offering a more modern and flexible approach to measuring marketing effectiveness and optimising budget allocation.

Traditional MMMs often struggle to keep pace with today’s complex and rapidly evolving consumer journeys. Meridian addresses this challenge by providing a highly customisable framework that allows marketers to tailor the model to their specific needs and data landscape. 

This empowers them to make more accurate, data-driven decisions when measuring performance across diverse marketing channels, both online and offline.

Meridian’s open-source nature promotes community collaboration and continuous improvement. Marketers can leverage the collective expertise of the community to refine the model, contribute enhancements, and share best practices. This collaborative approach ensures Meridian remains at the forefront of marketing measurement.

Meridian offers several key benefits for marketers. For instance, its enhanced customisation capabilities allow businesses to tailor the model to their specific needs, integrating various data sources and marketing channels for more accurate and relevant insights. By leveraging advanced statistical techniques, Meridian improves accuracy, providing a precise understanding of marketing performance and return on investment (ROI). 

Moreover, the platform supports data-driven decision-making, enabling organisations to make informed budget allocation choices through robust data analysis and predictive modeling. 

Additionally, its open-source nature fosters flexibility, allowing users to benefit from continuous improvements and collaborative development within the Meridian community. Finally, Meridian serves as a cost-effective solution, offering an MMM framework without the licensing fees typically associated with proprietary alternatives.

Indonesia – Indonesia’s antitrust agency has reportedly fined Google approximately 202 billion rupiah ($12.4 million) for engaging in unfair business practices concerning its payment system for the Google Play Store.

According to a Reuters report, the agency began investigating Alphabet Inc.’s Google in 2022 over allegations of abusing its dominant position by mandating Indonesian app developers to use Google Play Billing at higher rates than other payment systems, under the threat of removal from the Google Play Store.

The panel disclosed that the agency concluded Google had levied fees of up to 30% through its Google Play Billing system. 

The panel further stated that Google’s practices reduced developers’ earnings by driving away users and concluded that the company violated Indonesia’s anti-monopoly laws. The agency also highlighted that Google holds a commanding 93% market share in the country of 280 million people. 

A Google spokesperson stated that the company intends to appeal the ruling, emphasising its commitment to complying with Indonesian law.

“Our current practices foster a healthy, competitive Indonesian app ecosystem,” the spokesperson said, as quoted by Reuters.

Google previously stated that it had introduced a system allowing developers to offer users an alternative billing option. The company has also faced fines from the European Union for anti-competitive practices involving its price comparison service, Android mobile operating system, and advertising platform.

It is worth noting that Google encountered issues in Indonesia months earlier when sales of its Google Pixel phones were blocked. The company reportedly failed to comply with regulations requiring at least 40% of components in smartphones sold domestically to be locally manufactured.

Kuala Lumpur, Malaysia – Malaysia’s digital economy is poised to reach $31 billion in Gross Merchandise Value (GMV) in 2024, an increase of 16% from 2023 according to the latest e-Conomy SEA 2024 report by Google, Temasek, and Bain & Company. In it, it stated that travel rebound and E-commerce underpin growth, with Malaysia recording significant investment in AI infrastructure and amongst top ten globally driving AI search interest.

According to the report, Malaysia’s digital economy has progressed towards profitability while maintaining double-digit growth for GMV. Deeper digital participation among users, effective monetisation strategies, and the recovery of pandemic-impacted sectors are expected to drive continued growth.

E-commerce remains the largest contributor to the digital economy. The sector grew by 17% to $16 billion GMV in 2024, as major ecommerce platforms reinvest in GMV growth, paired with the rise of video commerce. 

Meanwhile, online travel posted the fastest GMV growth compared to other sectors at 19% year-on-year (yoy) to reach $8 billion GMV in 2024 as Malaysia’s international tourism is experiencing a robust recovery and expected to exceed pre-pandemic levels in 2024. Spending on overseas travel has jumped 330% since 2020 as Malaysians take advantage of opportunities to travel abroad, though primarily in the Asia Pacific region, which accounted for 38% of outbound expenditures.

Speaking of travel, SEA visitors account for almost half (49%) of Malaysia’s inbound traveller spend, driven by several factors including improved air connectivity, strategic airline partnerships and a favourable exchange rate.

On another sector, food delivery and transport has grown 10% from $3 billion GMV in 2023 and to reach $4 billion in 2024. This steady growth momentum is driven by the recovery of commuter demand and international travel. 

Food delivery platforms are increasingly focused on boosting profitability through new revenue streams like tiered delivery options and subscription plans, while competitive intensity remains high in ride hailing due to new player entry and expansion of existing players.

Furthermore, online media in Malaysia has shown consistent growth with its GMV expected to grow 10% from $3 billion in 2023 to $4 billion in 2024, driven by the increasing popularity of digital content, games and streaming services. 

Lastly, digital financial services continues on an upward trajectory as various Malaysia’s digital banks offer compelling features and ease of access, contributing to the rapid growth of the DFS landscape. Digital payment is expected to reach $172 billion in 2024, a 5% increase from 2023, while digital wealth is expected to significantly expand and  reach an assets under management (AUM) of approximately $80 billion by 2030.

It is worth noting that artificial intelligence (AI) is transforming Malaysia’s digital landscape as the government continues to place emphasis on responsible AI development and deployment through its Malaysia AI Roadmap 2021-2025 and upcoming National AI Office (NAIO) launch. 

Malaysia is also among the Top 10 countries globally driving AI search interest, especially in the education, marketing and gaming sectors, with Kuala Lumpur, Putrajaya, and Selangor leading the nation in AI interest.

As more companies deploy AI to innovate, improve efficiencies and customer experiences as well as bring new ideas to life, the demand for AI infrastructure will continue to grow. To meet this demand, Malaysia has recorded a large AI infrastructure investment among SEA countries at $15 billion in H1’24. The report estimates Malaysia’s current data center capacity at 120MW and expects that to expand 5X over the coming years. 

Malaysia has seized the AI opportunity through strategic initiatives like KL20, which will bolster the startup ecosystem through incentives for high-tech industries, tax exemptions on foreign investments and a billion dollars in government funding for startups in Malaysia and the region.

YB Tuan Gobind Singh Deo, Minister of Digital, stated, “As Malaysia assumes the ASEAN Chairmanship next year, we aim to be a regional champion for digital policies that are forward-looking and transformative, to promote a regulatory environment that encourages technological advancement and to nurture cross-border collaboration. The e-Conomy report serves as a powerful validation of our efforts and is not merely a report; it is a testament to the immense potential that lies ahead for Malaysia’s digital future. It is a call to action for all of us – the government, the private sector, and the people of Malaysia – to collaborate and realize our nation’s full digital potential. Let us seize this opportunity and together, build a digitally empowered Malaysia that is prosperous, inclusive, and sustainable.”

Meanwhile, Farhan Qureshi, country director for Google Malaysia, said, “We have been seeing a consistent strong growth of Malaysia’s digital economy and this year is another strong testament of the potential of Malaysia’s digital economy. With the region’s focus on AI, it’s encouraging to see the country’s leaders are putting AI and semiconductors in the country’s priority list. At Google, we are committed to further support the growth of Malaysia’s digital economy by accelerating the local workforce with AI-ready skills and tools. From equipping youths with future-ready skills in AI through Google Career Certificate scholarships to deploying Google Workspace for public officers, we are dedicated to ensuring Malaysia remains at the forefront of the digital age.”

Amanda Chin, partner at Bain & Company, commented, “Southeast Asia’s digital economy continues to do well, with continued double-digit GMV and revenue growth and a surge in profitability across sectors led by key players. Likewise in Malaysia, we see a healthy digital economy driven by e-commerce, online travel and digital financial services. As Malaysia’s DFS sector embraces digital disruption, new technologies such as AI are poised to accelerate growth. To fully harness the transformative potential of Generative AI, businesses must advance beyond experimentation and invest in foundational elements—aligning AI initiatives with core business objectives to address real-world problems and create tangible value, strengthen AI talent, and build scalable, adaptable infrastructure for sustained growth.”

Lastly, Geia Lopez, head of data, insights, and international growth at Google Southeast Asia, stated, “Investments in AI infrastructure and growing interest of Malaysians in AI technology signal a promising future for the country’s digital economy. As the digital landscape evolves, driven by strategic government initiatives, it is essential to prioritize digital security to safeguard data, maintain trust, and ensure the sustained progress of the digital sector.”

Singapore – Nativex, a digital marketing platform, has forged a partnership with Google to further help brands expand to international markets, boosting their presence.

The partnership enables Nativex to leverage Google’s ecosystem of ad platforms, solutions, and global reach. Through this, Nativex can offer end-to-end services such as account management, optimisation, policy support, and data analytics.

Using Google’s different ad formats, Nativex creates campaigns depending on client needs. By leveraging search, display, video, and app ad formats, brands can widen their audience reach. They can also access Google’s data insights and targeted ad strategies.

Additionally, Nativex is set to maintain its aim of empowering brands through its ‘global localisation’ strategy, which helps brands grow in international markets.

Within a month of leveraging Google’s ad ecosystem, Nativex has already recorded an increase in visibility and sales.

Cheryl Huang, business partner at Nativex, commented, “For global brands, Google’s multi-platform ecosystem covers every stage of the consumer journey, from awareness to conversion. Coupled with Nativex’s expertise in ad placement and optimization, we help brands gain deep customer insights and develop high-impact strategies for global market expansion.”

Singapore—The latest ‘e-Conomy SEA report’ from Google, Temasek, and Bain & Company has been recently released and highlights that in 2024, the digital economy will reach $263b in Gross Merchandise Value (GMV), a 15% increase over last year. Revenues have also grown 14% and are projected to reach $89b in 2024. The report suggests that the digital economy can achieve both profitability and growth in tandem, marking a significant step towards achieving sustainable economic value.

Why SEA is primed for AI-powered acceleration

Southeast Asia is quickly becoming a global center for AI innovation and adoption. With substantial investments in AI infrastructure and a dynamic ecosystem of startups and developers, the region is on track to harness AI’s transformative potential across a wide range of industries. 

In the first half of 2024 alone, SEA attracted over $30b in AI infrastructure investments. Additionally, consumer interest in AI solutions is surging, with AI-related searches increasing 11-fold in the past four years. The region’s young, growing population, high levels of digital literacy, and widespread smartphone usage make it an ideal market for AI-powered products and services. 

From AI-driven travel planners to generative AI-based fraud detection, AI is delivering value across SEA’s digital economy, with applications spanning various industries. Pro-innovation policies that encourage AI growth and responsible governance will further expand opportunities within the region’s digital economy.

From transport, e-commerce, and online travel–these are the sector redefining SEA’s digital economy

After years of investment and development, leading players in the region’s digital economy are now progressing toward profitability while maintaining strong double-digit growth in both gross merchandise value (GMV) and revenue. Continued growth is expected to be driven by deeper digital engagement among users, effective monetisation strategies, and the recovery of sectors affected by the pandemic. E-commerce has also regained momentum, fueled by the rise of video commerce.

E-commerce, projected to reach $159b in GMV by 2024, is now primarily driven by existing customers, who contribute up to 70% of its growth. This marks a shift from previous years when first-time shoppers were the main drivers. Established players are reinvesting to boost GMV and defend their market share, as international competitors disrupt the market. Revenue is expected to increase 13% year-on-year (YoY) to $35b in 2024.

Meanwhile, video commerce has rapidly grown to account for 20% of e-commerce GMV, a significant jump from less than 5% in 2022. This trend is reshaping the e-commerce landscape in Southeast Asia, transforming the consumer shopping experience. From live shopping events to content created by influencers, video has become an essential component of online shopping.

Food delivery is also gaining traction as dining-out habits stabilize and new monetization avenues, such as in-app advertisements and subscriptions, emerge. Revenue in this sector is forecasted to rise by 54% YoY to $1.7b in 2024, while GMV is set to grow by 7% to $19b. Platforms are experimenting with strategies for future profitability, such as improving restaurant visibility and using AI to optimize operations.

In another industry seeing growth, the transport sector has surpassed pre-COVID levels, with revenue expected to grow by 36% YoY to $1.5b, driven by increased demand and strategic pricing. GMV is projected to rise by 18% to $9b. Despite inflationary pressures, consumer demand remains strong due to the expansion of established players into second-tier cities and rural areas, along with aggressive promotions by new entrants seeking user growth.

Online travel is outpacing the broader digital economy in terms of Gross Travel Bookings (GTB) growth, fueled by intra-regional travel within Asia-Pacific. Higher airfares and a growing preference for luxury travel options are expected to push GTB to $46b in 2024, a 21% YoY increase, while revenue is set to grow 18% to $20b. While direct booking channels remain dominant, online travel agencies continue to successfully monetise their core services as well as adjacent offerings, such as financing and insurance.

Meanwhile, online media is on track for significant growth, with GMV projected to rise to $30b, an 11% YoY increase. Video-on-demand and gaming are key drivers, with SEA developers gaining recognition in casual gaming and hyperlocal content. Advertising remains a reliable revenue stream, while hybrid models incorporating in-app purchases, subscriptions, and ads are becoming increasingly popular to cater to diverse player segments. The rise of gaming influencers has fueled a thriving creator ecosystem, with livestreaming becoming a key tool for facilitating real-time interaction between sellers and consumers.

Lastly, Digital Financial Services (DFS) are expanding rapidly, with revenue expected to grow by 22%, from $22b in 2022 to $33b in 2024. Digital payments and lending, which make up more than 90% of DFS revenue, are the primary growth drivers. E-wallets have become widespread, partnering with major payment card networks, while QR code usage continues to rise. 

It’s worth noting that a generational shift in investor behaviour is reshaping the wealth management landscape, a trend that is likely to persist as more merchants accept digital payments, risk assessment improves, and consumers increasingly seek online solutions for insurance and wealth management.

Increase in investor confidence in SEA’s long-term potential

Despite the ongoing challenges in the funding landscape, investors have demonstrated cautious optimism, channelling nearly 50% of their investments into emerging sectors. Although the exit environment remains difficult, early-stage companies in Southeast Asia have made substantial strides toward profitability. There is also a growing emphasis on fostering cross-border collaborations and improving IPO regulations to enhance capital market conditions.

Last year, the report highlighted four key factors to revitalise the funding landscape: realistic entry valuations, proven monetisation models, a clear path to profitability, and reliable exit strategies. While the first three have been successfully achieved, creating dependable exit pathways is still a work in progress due to the continued challenges in capital markets.

Singapore continues leading SEA’s increased appetite in AI products, services

Singapore’s digital economy has shown impressive resilience and is expected to reach $29b in GMV by 2024, marking a 13% increase from 2023. E-commerce has bounced back, growing from $8b in GMV in 2023 to $9b in 2024, while sectors like online media and travel have experienced double-digit growth, driven by strong infrastructure and pro-business policies.

Singapore ranks among the top 10 countries globally in terms of interest in AI-related topics, with sectors such as education, marketing, and travel leading AI search trends. There is a high demand for mobile apps featuring AI capabilities, including content creation tools, photo editing apps, and AI-powered virtual assistants. 

AI has also played a pivotal role in boosting Singapore’s tourism industry, enabling chatbots to provide personalised recommendations, analyse visitor data to optimise marketing strategies, and enhance visitor experiences through interactive exhibits and customised guides.

To meet the growing demand for AI infrastructure, investments in AI-ready data centers reached $9b in Singapore during the first half of 2024, second only to Malaysia, which attracted $15b in similar investments.

Digital Financial Services (DFS) have also become a key driver of growth, with digital payments and wealth management leading the way. Singapore’s status as a regional financial hub has drawn substantial venture capital and private equity investment. To stay competitive, the Singapore Exchange (SGX) has introduced initiatives to improve exit options and attract investor capital and IPOs. Singapore’s favourable business environment, political stability, and tax incentives have further strengthened its position as a leading economic hub.

***

For Sapna Chadha, vice president for Southeast Asia and South Asia Frontier at Google, Southeast Asia’s digital economy is rapidly evolving as businesses adopt innovative strategies to achieve profitability, fostering a more sustainable and resilient ecosystem. 

“The rise of video commerce is supercharging e-commerce growth, with live shopping and creator-led content reshaping how people discover and buy products. Southeast Asia is emerging as a global hub for AI innovation and adoption. With significant investments in AI infrastructure and a thriving ecosystem of startups and developers, the region is poised to unlock the transformative power of AI across various sectors,” she said.

Meanwhile, Fock Wai Hoong, head of Southeast Asia at Temasek remarked how it is encouraging that SEA’s digital businesses are now focusing on achieving the appropriate balance between growth and profitability.

“Investors have also started looking for the next wave of growth by investing in nascent sectors such as software and services as well as AI, demonstrating confidence in the long-term potential of SEA’s digital economy. Temasek remains committed to deploying catalytic capital to the region’s digital economy to achieve sustainable and inclusive growth so that every generation prospers,” he said.

Lastly, Florian Hoppe, partner at Bain & Company stated that Southeast Asia’s digital economy continues to do well, with continued double-digit GMV and revenue growth and a surge in profitability across sectors led by key players. He also remarked how the region is also attracting significant AI investment, with over $30b committed to AI infrastructure in the first half of 2024.

“To fully harness the transformative potential of Generative AI, businesses must advance beyond experimentation and invest in foundational elements—aligning AI initiatives with core business objectives to address real-world problems and create tangible value, strengthen AI talent, and building scalable, adaptable infrastructure for sustained growth,” he said.

Indonesia – Just days after Indonesia barred sales of Apple’s iPhone 16, Google’s smartphones have also reportedly been banned from sale in the country due to local content regulations.

According to a Reuters report, Indonesia blocked sales of Google Pixel phones, citing the company’s failure to meet regulations requiring that at least 40% of components in smartphones sold domestically be locally manufactured.

“The local content rule and related policies are made for fairness for all investors that invest in Indonesia and for creating added value and deepening the industry structure here,” Industry Ministry spokesperson Febri Hendri Antoni Arief told local reporters, according to TechCrunch. 

“We are pushing these rules so that there’s fairness for all investors in Indonesia. Google’s products have not adhered to the scheme we set, so they can’t be sold here,” Hendri stated. 

Google stated that its Pixel phones are not officially distributed in Indonesia, according to Reuters’ report.

This news comes shortly after Indonesia also banned commercial sales of Apple’s iPhone 16 in the country for the same reason.

As with the iPhone 16, consumers in Indonesia can still purchase Google’s Pixel phones from overseas, though the ministry warns they must pay applicable taxes. Additionally, any illicitly sold devices will be deactivated.

Singapore – Tech giant Google has introduced confidential matching, a new way to allow advertisers to securely connect their first-party data for measurement and audience solutions. For Google, this marks the first use of confidential computing in its Ads products, and that they plan to bring this privacy enhancing technology to more products over time.

According to Google, the use of confidential computing means added protections for their customers’ information that are secure by default. Other technical assurances include transparency into a product’s code and the ability to receive proof, known as “attestation,” that data is processed as intended.

Moreover, they have also highlighted how technologies like confidential computing, which use special software and hardware known as Trusted Execution Environments (TEEs), unlock new ways for businesses to use their first-party data to reach customers and measure the impact of their digital ad campaigns.

“We’re using this same confidential space technology, which has already received rigorous security reviews from third-party auditors, as the technical foundation in Ads for confidential matching,” Kamal Janardhan, senior director of product management and measurement at Google, said in a recent blog.

Janardhan added, “In line with our privacy principles, we’re committed to making confidential computing and other complementary technologies accessible to everyone. That is why confidential matching will be available at no additional cost to customers.”

Google also stated that they will also share their TEE architecture along with a few open source examples to help others build confidential solutions. Moreover, they will also continue to work alongside others in the ads industry to further adoption of and build standards for this privacy enhancing technology.

With this solution rollout, the confidential matching is now the default for any data connections made for Customer Match including Google Ads Data Manager. For advertisers with very strict data policies, it also means the ability to encrypt the data themselves before it ever leaves its servers.

“In the coming months, we’ll continue to roll out encryption support in confidential matching globally. We also plan to expand our use of confidential matching across more of our advertising solutions. For example, in the next few months enhanced conversions implemented with the Google tag will start rolling out first-party data processed with confidential matching. Processing will happen behind the scenes, without changing how you measure conversions or manage your Google tag,” Janardhan explained.

The confidential matching follows Google’s abandoning plans to sunset third-party cookies, with a large chunk of APAC industry leaders already stating that they are doing their own part to move towards privacy-centric advertising measures. Moreover, this also comes in line with Google’s ongoing antitrust trial by the United States’ Department of Justice over Google’s control on web adtech market.