Thematic investing
Next Digital Billion
The next generation of business unicorns will increasingly arise in emerging markets. The Next Digital Billion strategy seeks to seize the dynamic growth of these locally grown champions who are leveraging mobility and connectivity to serve billions of new consumers in emerging markets.
billion, the number of internet users worldwide
% emerging markets share of global GDP growth in 2025 (1.8 vs. 4.2)
%, smartphone penetration in emerging markets by 2025
Why invest in technology in emerging markets?
They’re more connected, better educated with more money and ambition than at any point in history; and they’re joining the internet by the billion. Global growth in the 21st century
will be driven by consumers in emerging markets who account for two-thirds of the world’s population and slightly less than half of global GDP (in terms of purchasing power parity).
The rise in internet connectivity and smartphones is creating exponential leaps in technology adoption and innovative service models in service-hungry emerging markets. Armed with an essential mix of cultural savvy, business flair and technological know-how, local brands are poised to win the lion’s share of future growth. Several of these have already surpassed USD 100 billion in market capitalization.
The strategy
The Next Digital Billion strategy invests in emerging champions creating products and services uniquely tailored for local markets across multiple sectors including healthcare, consumer goods, travel, finance, media, telecom and IT, and delivery logistics among others.