The Singtel Group and Razer have signed a Memorandum of Understanding to strategically collaborate on e-payments, eSports, gaming-related digital media and telecoms services across Southeast Asia.
According to Euromonitor, mobile payments in Southeast Asia is expected to be worth around $32 billion by 2021, a tenfold increase from 2013, as smartphone penetration increases. Meanwhile, PC and mobile gaming is also gaining traction on the back of Southeast Asia’s large, young and tech-savvy population, with the number of PC online and mobile gamers projected to rise from 300 million in 2017 to more than 400 million by 2021, according to Niko Partners.
With that in mind, the collaboration between Singtel Group and Razer covers three areas:
Creating the largest e-payments network in Southeast Asia: The e-payments scene in the region is currently fragmented across multiple platforms. Subject to regulatory approvals, Singtel Group and Razer plan to enable the interoperability of their respective e-payments systems to create a seamlessly integrated regional network.
Both companies have already taken separate steps in this direction. In March, Singtel Group announced plans to connect the mobile wallets of Singtel and its associates through an interoperable platform, which will link over 50 million registered wallet users with more than 1 million merchant points across Asia. This interoperable platform can also connect with other third-party payment apps offered by telco and non-telco companies, providing ready access to the Group’s customer and merchant bases.
Last month, Razer announced its intention to acquire MOL Global, which operates one of the largest e-payment networks in Southeast Asia. The latter’s online payment gateway is used by major companies such as Lazada, Grab and Uniqlo, and offers more than one million offline payment points across the region. MOL Global handled over $1.1 billion of digital payments in 2017.
The interoperability of both networks will create one of the largest connected e-payment networks in Southeast Asia, Singtel says. Mobile wallet users of Singtel and its regional associates will be able to seamlessly access Razer’s e-payment merchant network of over a million payment points, the zGold virtual credit system, and Razer’s full suite of gamer-related digital services, which has more than 40 million registered users.
At the same time, Razer will deepen its penetration in Southeast Asian countries by adding Singtel Group’s more than a million merchant points across Asia to its network, as well as gain access to the Group’s more than 680 million mobile customers across the region.
Growing Southeast Asia’s eSports ecosystem and community: Singtel Group and Razer will take steps to foster a vibrant eSports ecosystem in Southeast Asia. Both companies plan to jointly organize activities such as regional invitational events and cultivate Southeast Asian eSports talents.
Developing gaming-related digital media and telecoms services: Both companies will explore the development of gaming-related telecommunications and digital media products and services such as broadband plans, mobile services and eSports content for customers.
The Singtel Group includes wholly-owned subsidiary Optus and regional associates Airtel, AIS, Globe and Telkomsel.