ST Engineering, an integrated defense and engineering group said it has set aside US$150 million for its corporate venture arm to invest in promising technology startups and early stage ventures.
President and CEO of ST Engineering Vincent Chong said, “With the increasingly dynamic and competitive technological and business landscape, we see a need to adopt an open innovation, moving beyond traditional R&D approaches to seek new technologies and ideas outside the Group that complement our internal capabilities.”
The group will not only offer to fund for startups but will also provide startups access to the group’s business network and distribution channel.
It will be setting up scouting offices in Singapore, Israel, and the United States, but will also scout for promising startups in sectors that fit the company’s profile including robotics, autonomous technology, data analytics and cyber security.
Besides, the firm has also launched an open innovation lab called Innosparks to provide startups access to the firm’s pool of skilled engineering team and advanced equipment. This will help support innovators in accelerating the development of their ideas to prototypes and products.
The lab was set up in mid-2017 at JTC LaunchPad @one-north and is the first engineering-based incubator in Singapore.
“We are not looking for one-hit wonders but breakthrough innovations that will either strengthen our current portfolio of business or generate new lines of business,” Chong added.
Established in 1997, ST Engineering is a leading global defense and engineering group involved in aerospace, electronics, land systems and marine. The company is one of the largest companies listed on the Singapore Exchange Board (SGX) and has generated US$6.68 billion in revenue last year.