Startups and small businesses here could be winners in smart cities innovation, through the latest urban solutions tie-ups between a public research body and two major Singapore state-linked companies.

Small and medium-sized enterprises (SMEs) that work with Surbana Jurong and ST Engineering stand to benefit from twin research and development agreements with the Agency for Science, Technology and Research (A*STAR) announced on Monday.

A*STAR and infrastructure consultancy Surbana Jurong will tackle the digitalisation of urban planning, building design and simulation, and operations and maintenance services.

Separately, the agency and ST Engineering – a technology, defence and engineering provider – will focus on solutions for robotics, mobility, communications and health technology.

The latest tie-up plans are also meant to make the two firms more competitive as they grow abroad.

ST Engineering President and Chief Executive Vincent Chong said in a press statement that its latest partnership with A*STAR “builds on our commitment to build a strong ecosystem involving our local enterprises”.

I am confident that this collaboration will create new opportunities within the local ecosystem in Singapore, and exciting opportunities for ST Engineering’s SME partners in overseas markets.

Frederick Chew, a defence technology planner who also became CEO of A*STAR in April added.

Meanwhile, Surbana Jurong, which is wholly owned by state investor Temasek Holdings, will use technologies from A*STAR’s SME and startup licensees in its service offerings.

On top of that, its new, 68,915 square metre headquarters in Jurong – which will be ready by 2021 – will test out new technologies alongside A*STAR, as well as startups and SMEs.

We have focused strongly in recent years to adopt digital technologies and see good potential in further digitalising our solutions for the planning and design of smart cities.

Surbana Jurong CEO Wong Heang Fine said.

ST Engineering, which is 51 per cent-owned by Temasek, closed flat at S$4.29 on Monday, before the news.