This doesn't surprise me. Singapore provides tons of cash for new startups but the quality of the talent just... isn't that great. If your startup requires creative, detail oriented professional work (e.g. a developer), good talent isn't easy to come by.
This isn't really the fault of Singaporeans per se, it's just the nature of how the society has shaped them. Compulsory military service and test-driven schooling engenders this type of attitude at a subconscious level and on top of that, pay scales are way out of whack - you'll get paid more as an average manager as you will as a really good developer.
The successful businesses in Singapore that I've noticed tended to be rather blatant imitations of other businesses and a lot of the failures tended to be cargo cultish SV wannabes.
Added to which, the local market is tiny and the regional market is highly fragmented.