VinaCapital Ventures is leading an ongoing $1.5 million seed funding round in Vietnam-based video conferencing communication provider Quickom, which has proprietary, U.S.-patented technology.
The technology investment vehicle of VinaCapital Group said in a release that it was making the investment at a time the global video communication market is experiencing rapid growth, fuelled by increased adoption of virtual workplaces and workforces.
It cited a McKinsey study as saying that after the end of the Covid-19 pandemic, nine of 10 organizations have adopted a hybrid model combining remote and on-site working.
In meeting this surging demand, most video-conferencing providers rely heavily on centralized data centers, which present significant challenges, including inefficient resource utilization and costly scale-up.
These centers also require substantial reserves of uplink and downlink bandwidth as they serve as singular access points, making them prone to congestion during periods of heavy traffic, the release said.
“Quickom’s solution differs from other conferencing providers by utilizing a decentralized, peer-hosted network architecture that enables data transmission directly between users or nodes, bypassing the need for a centralized data center.
“The decentralized network employs an algorithm that extracts unused bandwidth and processing power to process and route video, audio and other data, significantly bringing down the overall costs associated with hosting virtual calls. Its solution also reduces network congestion, resulting in stable and high-quality calls as well as lower operating expenses, maintenance costs and energy waste.”
Amid growing concerns about online privacy in video conferencing and strict government regulations, Quickom has gained traction as a “private- and secure-first enterprise-grade video communication provider” with its technical capabilities and strong commitment to security and privacy.
It has successfully deployed solutions for prominent domestic and international enterprises as well as multiple Vietnamese government agencies. It also offers video conferencing as a subscription service.
Three-digit growth
In 2023, Quickom hosted over 500 live-streaming events on its platform. The company has cooperated with a number of large organizers including the Vietnam National Innovation Center (NIC), Techfest Vietnam, HOZO, and ETH Vietnam.
“With these and other top-tier clients, Quickom expects its top-line revenue to grow by more than 100% year-on-year over the next three years.
“Quickom is leveraging and innovating its current technology for the Web3 segment, which is expected to serve as a transformation growth driver into the next generation of the Internet.
“It has taken a first step in this initiative with Chat3, a new platform to redefine SocialFi, which combines social media with decentralized finance to allow users to monetize their online presence and interactions through blockchain technology.”
Since its launch four months ago, Chat3 has gained popularity with the global Web3 community and was recently funded by Arche Fund, a prominent Web3 venture capital fund in Southeast Asia.
Tech pioneer
Quickom was founded in 2021 by William H. Nguyen, a highly regarded Vietnamese technology pioneer and serial entrepreneur with a history of successful ventures in communication technology, education, computer network and data security, serving tens of millions of users worldwide.
Currently the CEO of Quickom, Nguyen holds three U.S. patents in the field of communication technology.
“We are delighted to welcome VinaCapital Ventures as one of our investors. Their investment will play a pivotal role in driving Quickom's global expansion in the conference business, while simultaneously enabling our decentralized technology to empower billions of underserved individuals worldwide in sectors such as education, business, entertainment, and healthcare, for fostering free knowledge exchange on a global scale," Nguyen said.
Hoang Duc Trung, a partner at VinaCapital Ventures, said Vietnam was quickly closing the gap in terms of technological advancement and the digital transformation of the economy was well underway.
“Quickom is a perfect example of one of the startups leading the way. Its solutions are innovative and advanced, addressing important current issues such as cyber security and data privacy as well as future cyberspace threats. We are thrilled to be one of Quickom’s early investors and are excited to see where they take the business.”
Launched in 2018, VinaCapital Ventures is a technology investment platform investing in the next generation of promising Vietnamese and Southeast Asian start-ups. Its mission is to help develop strong technology companies in Vietnam and assist them in building a regional presence. In supporting entrepreneurs, VinaCapital Ventures offers capital, networking, and mentorship.