Singapore has cemented its status as a frontrunner in artificial intelligence innovation, emerging as the top-ranked country in Asia for AI startups.

According to the latest AIPRM report, the city-state scored 84.36 on the index for AI startup growth, backed by 193 newly funded AI ventures between 2013 and 2023.

Over this period, Singapore attracted a total of SG$8.1 billion in AI private investment, making it the highest recipient of such funding among the nations studied.

Why Singapore is a top hub for AI startups

“Access to capital is a critical factor for startup success,” said Emmanuel Haque, a growth marketing expert based in the city state.

“Singapore boasts a well-developed financial ecosystem, with numerous venture capital firms and angel investors willing to fund innovative ideas.”

But competition for market share and investors’ attention is fierce in the Lion City.

“In a crowded market, effective marketing and branding set successful startups apart,” Haque said. “Developing a compelling brand story and utilising digital marketing channels can help startups reach their target audience.”

The nation’s broader commitment to AI is evident in its total AI investment of $432.4 billion. This proves its ambition to remain at the forefront of technological advancement.

And while the US and China are battling it out for AI supremacy on the global stage, the Singaporean government is steadily pouring resources to ensure it maintains its edge.

Also Read: Business leaders in Singapore call for greater support towards AI adoption

As seen in programmes outlined in Singapore’s Budget 2025, the country is “investing heavily in research and development, outspending the US by 18 times relative to GDP,” while it is “actively pursuing real-world uses of AI in public services and infrastructure,” said Katherine Boiciuc, chief technology officer of EY in Oceania.

Singapore has earmarked $70 million to build its own large language model tailored to the country’s needs and is also training citizens through free AI courses to equip them with future-fit competencies.

All this provides a blueprint for other countries, like Australia, regarding how to roll out similarly far-reaching and inclusive initiatives to support their own AI startups, scaleups, and unicorns.

“We need a robust national strategy, invest heavily in research and skills development, incentivise business adoption, and build sovereign AI capabilities tailored to our needs and values,” Boiciuc said of how Australia could learn from Singapore.

Government-backed AI adoption

Singapore’s proactive stance on AI development extends beyond investment figures. The newly announced Enterprise Compute Initiative, introduced as part of the Budget 2025 measures on 18 February, seeks to ease the financial and technical barriers to AI adoption.

Industry leaders believe this initiative will strengthen the local pipeline of AI-driven enterprises. However, the extent of AI adoption will depend largely on business leaders’ willingness to embrace digital transformation.

Lyon Poh, head of corporate transformation at KPMG, noted that the initiative’s $150 million funding allocation signals the government’s commitment to fostering an AI-ready business landscape.

AI and business investment priorities in 2025

AI is also set to dominate business investment strategies in Singapore, with 67% of businesses identifying it as their top technology investment area for 2025, according to Capgemini Research Institute in this Technode report.

As such, 75% of organisations in Singapore will either launch proof-of-concept initiatives or fully adopt AI-powered agents, while over 60% will integrate AI-driven cybersecurity solutions.

Nearly a quarter of businesses also plan to deploy AI-powered robotics on a partial scale within the year.

Also Read: DeepSeek: A risky investment for businesses in Singapore?

Singapore's hottest HR tech-focused AI startups

Is your organisation keen to invest in AI-powered solutions for your HR function?

People Matters Global has compiled a list of the hottest AI startups emerging from Singapore with a sharp focus on AI. For this list, we are zooming in on homegrown AI startups to demonstrate Singapore’s thriving industry:

Belong – Pioneering predictive outbound hiring, Belong helps companies identify and connect with top talent even before they enter the job market. By leveraging data-driven insights, the platform pinpoints candidates most likely to make a move and engages them with personalised outreach.

Botbot.AI – A productivity powerhouse, Botbot.AI transforms workplace efficiency by automating routine tasks through conversational AI. By shifting employees away from low-value, repetitive work, it enables teams to focus on strategic, high-impact initiatives.

Connexions Asia (CXA) – A trailblazer in AI-powered employee benefits, CXA offers an integrated marketplace for health insurance and wellness programmes. The platform simplifies HR administration with AI-driven recommendations, automated claims processing, and data analytics, ensuring businesses optimise employee benefits while managing costs.

DocDoc – A digital health concierge, DocDoc connects patients with the right medical professionals through HOPE, its AI-powered doctor discovery engine. The platform enables users to compare healthcare providers based on specialisations, procedures, and patient needs, ensuring informed decisions and seamless bookings.

HReasily – Offering an all-in-one digital HR suite, HReasily simplifies payroll, leave management, claims processing, time tracking, and employee onboarding with a cloud-based, localised approach tailored for businesses in Asia.

impress.ai – Revolutionising recruitment, impress.ai provides AI-powered chatbots that conduct candidate interviews, screen applicants, and integrate with existing HR systems. By automating initial interactions, it ensures recruiters focus on assessing top talent rather than sifting through applications.

Also Read: Balancing technology and human connection

JobCopilot – Job searching, supercharged. JobCopilot automates the tedious aspects of job applications by scanning thousands of listings, matching candidates with suitable roles, and submitting applications in bulk. Features include resume optimisation, smart filtering, and interview preparation, streamlining the journey from search to hire.

KAMI Workforce – KAMI Workforce delivers cutting-edge HR software that helps businesses unlock their workforce’s full potential. With automation at its core, it reduces administrative burdens, enhances efficiency, and drives productivity through an advanced HRIS.

OSOME – More than just an accounting tool, OSOME’s AI-driven platform automates payroll, tax compliance, and corporate administration for SMEs, freeing up business owners to focus on growth rather than paperwork.

Snaphunt – A smart hiring engine, Snaphunt leverages AI to match jobseekers with roles based on skills, experience, culture fit, and salary expectations. It streamlines talent acquisition with tools for sourcing, interviewing, and referral checks, while eliminating bias through data-driven shortlisting.

Swingvy – An all-in-one cloud-based HR and payroll platform for SMEs, Swingvy simplifies onboarding, payroll processing, and employee management. Designed for a mobile-first workforce, it gives teams seamless access to HR functions anytime, anywhere.

X0PA – A SaaS-based recruitment platform, X0PA employs AI to optimise hiring by matching candidates with roles based on skills, experience, and salary expectations. With features like video interviews, diversity analytics, and workflow automation, it enhances efficiency while reducing bias in hiring decisions.

Eager to learn more about Singapore and its growing ecosystem of HR tech companies? Join us at TechHR Singapore 2025 on 6 and 7 March.