Unicorn Foreign Investments, Gov't: No Need for Paranoia

TEMPO.CO, Jakarta - Unicorn startups continue to be Indonesia’s talk of the town, especially the major investments obtained by these tech-companies valued at a minimum of US$1 billion.

To answer worries about the startup’s ownership, Communication and Informatics Minister Rudiantara assures that ownership of such startups will remain to be Indonesia’s. He also called for the public to not overreact.

“It’s true that there are worries about this issue and we surely must be on alert. However, don’t lead ourselves to become paranoid,” said Rudiantara at the Kominfo headquarters in Jakarta today, Feb. 26.

Read: Prabowo Wary of Indonesia`s Unicorn and Money Running Overseas

Rudiantara continued by explaining the differences of startup businesses compared to conventional ones that generally are controlled and managed by stockholders, where tech-startups gives its founders the utmost control.

“This means that they differ between founders that has certain rights which investors do not have, don’t relate [startups] to traditional [businesses],” he said among many other reasons why the issue of ownership should not worry people.

This issue was previously expressed by presidential candidate Prabowo Subianto in the presidential debate on February 17, 2019, who argued that unicorn startups would give leeway for money to escape overseas.

CAESAR AKBAR