Nothing says that Web3 is all about cooperation more than seeing two of the oldest tech companies going from business rivals to partners to develop a pan-Asian public blockchain.
Samsung Next, the investment branch of South Korea's most valuable company, announced on Tuesday it is investing in Singapore-based Startale Labs and extending its support to the blockchain network the Web3 infrastructure provider has been developing with Japanese giant Sony.
The upcoming Ethereum L2 solution Soneium ends what the Financial Times has called a "great historical rivalry," during which the two enterprises spent decades fighting for each other's market share and user base.
Samsung's investment decision is rooted in the growing demand for decentralized solutions in the region. This demand is fueled by the limitations of centralized systems, which crush users' creativity and community empowerment.
From Rivals To Friends
As two of the world's leading and oldest technology companies in the same region, Sony (founded in 1946 as Tokyo Tsushin Kogyo) and Samsung (founded in 1938 as a trading company) were direct competitors for decades.
With the changes in the tech industry at the turn of the century, each began to specialize in what they did best, with Samsung focusing on hardware and Sony on entertainment. When Sony became the smaller company in 2005, the "rivalry" began to lose its meaning.
Today, South Korea's company is four to five times larger than its Japanese counterpart, but while the idea of the two of them competing seems ancient history, the idea of them cooperating is quite a novelty.
Soneium Blockchain
"Backed by Sony and Samsung feels like backed by Asia," said Sota Watanabe, founder and CEO of Startale Labs
Samsung Next's investment in Startale and its proclaimed support of Soneium align with the L2 solution's vision of creating an "open internet that transcends cultural differences and brings together people with diverse values."
Sony quietly purchased the crypto exchange WhaleFin last summer, and soon after announced its blockchain project with Startale.
The partnership led to the creation of Sony Network Communications Labs, a new entity that combines each company's expertise - telecommunications and blockchain technology.
Last month, the joint effort was finally unveiled: Soneium.
The L2 solution is intended to be mainstream. It is designed with all the features that blockchain developers expect of a "developer-centric platform," including a testnet, scalable infrastructure, and advanced smart contract capabilities.
Startale Labs - A New Generation
Since being founded in January 2023, Startale Labs has made quite the progress.
The Web3 infrastructure company is headed by Sota Watanabe, who, like the title of the 80s Alphaville song says, is "big in Japan."
The 24-year-old prodigy founded Astar Network, the first Nippon public blockchain being developed by Startale. He started his studies in economics at Keio University when he was just 14 and was named one of Forbes' "30 Under 30 Asia" in 2022. In 2023, Newsweek selected him as one of the "100 Most Respected Japanese in the World."
In its investment announcement, Samsung Next showed big trust in Watanabe, arguing that his and his ventures' stellar reputation in Japan, an innovation-focused country with a business environment that favors insiders, will bring good fortune to Soneium.