Beyond the chipmakers – who will win big with AI?

In Asia Pacific, the stakes are getting higher – which makes it interesting to figure out who will win the AI bet in the region.

Asia Pacific governments and enterprises are betting big on AI. For instance, the Singapore government recently announced an S$1 billion investment into the country’s AI capabilities over the next five years.

Many companies are also following suit, with Amazon recently announcing an S12 billion investment into Singapore’s digital infrastructure, with a focus on cloud and AI. 

The same story goes for many other economies in Asia Pacific. But who will ultimately win the “AI lottery”? DigiconAsia posed this question and more to JY Pook, SVP & GM, Asia Pacific & Japan, Dataiku.

According to a new report from Deloitte, these individuals are not only driving AI adoption within their organizations but also fostering a culture of experimentation and rapid prototyping.

While enthusiasm is high, a clear assessment of the current state of AI adoption in APAC organizations is necessary. Although rates of AI adoption and maturity vary across industries and countries, the trend is undeniable – AI integration is on the rise. Organizations are reaping benefits like increased efficiency, improved customer experiences, and even new revenue streams. However, maximizing this return on investment (ROI) requires strategic alignment, high-quality data, and a strong AI foundation.

AI projects can face challenges such as unclear objectives, poor data quality, and talent gaps. Rather than rushing into adopting AI, APAC enterprises should ensure initiatives align with business goals and address specific challenges. Investing in talent, both through upskilling current employees and attracting new AI specialists, will also be crucial alongside high-quality data management and adopting scalable and flexible AI platforms.

Finally, fostering a culture of continuous learning and improvement will be key to unlocking the full potential of AI in APAC. The region continues to be a major growth market for Dataiku given government investments in AI and the presence of global companies and we will continue investing in the region to support this growth.

With substantial resources being invested in AI in the region, is it a gamble that many can’t win? Who would be the final winners?

JY Pook: Right now, there’s a lot of focus on the “building blocks” of AI, like powerful computers and LLMs. But the next big thing will be the applications layer, allowing businesses to leverage these tools.

We believe the key to success lies in pushing compute power to these strong foundational layers. As our clients find success with AI, they create value by leveraging this entire data stack.  We see ourselves as a bridge between application providers and these foundational layers, including compute and data platforms. This allows all components to work together seamlessly.

Many businesses embark on an enterprise AI journey, but some struggle to maintain momentum.  Our experience shows that successful companies – or the final winners – are the ones who move beyond one-off projects, focusing on scaling their AI capabilities for sustainable future growth.

AI adoption and innovation are reliant on data and the cloud. How should organizations looking to succeed in the ‘AI lottery’ prepare themselves to better their chances?

JY Pook: The potential rewards of AI adoption are undeniable. McKinsey’s “State of AI” study estimates a staggering $4.4 trillion in annual economic benefits across industries. But unlocking this value requires more than just simply investing in technology – but a strategic approach to data and the cloud.

At Dataiku, we believe in data and AI democratization. This means equipping your data-savvy domain experts with the tools they need to succeed. These individuals understand your business needs and have the frontline knowledge to truly unlock AI’s potential. One way to achieve this is by ensuring access to high-quality data. User-friendly interfaces can empower domain experts to cleanse and prepare data themselves, streamlining the AI development process.

Further, effective platforms allow domain experts to create, refine, and share their knowledge through data products. This expertise can be embedded in both traditional predictive models and cutting-edge Generative AI applications.  By transforming their insights into actionable products, domain experts can directly drive innovation across the organization.

Finally, breaking down barriers by making Generative AI applications accessible to a wider range of business users, not just data scientists, is crucial. This empowers domain experts to leverage the power of this innovative technology and unlock its potential across the entire organization.

What AI business models do you expect would be successful, and which segments of the AI value chain would yield the biggest rewards in the next 6-12 months?

JY Pook: The rise of Generative AI has businesses across industries buzzing with excitement. However, simply jumping on the bandwagon won’t guarantee success.  A thoughtful, strategic approach is crucial to maximize the potential of this technology. Without a clear AI strategy and goals, organizations often miss the most valuable places to start incorporating AI, which ultimately leads to diminished value and trust.

IDC found that organizations in APAC face specific challenges when it comes to industrializing AI.  Poor use case selection, a lack of scalable solutions, and security and compliance concerns can all hinder progress. Moreover, focusing on the wrong applications can lead to wasted resources. If the solutions you implement can’t grow with your organization, then potential is limited. And addressing security and compliance issues is crucial for successful AI adoption.

Deloitte  suggests a strong AI strategy emerges from the core business strategy, not a focus on AI itself. By gaining a holistic view of the potential benefits of AI, your organization can develop a comprehensive and robust AI vision that positions you for success in the age of AI.

Building the ability to integrate AI, especially Generative AI, takes time and effort.  It’s not a quick fix.  However, the benefits compound over time.  Organizations that invest now will see increased efficiency and improved decision-making as their AI capabilities mature.  Delaying this investment means falling behind competitors who are actively learning and adapting.

For the second half of 2024 and in 2025, what AI trends do you predict would hold sway in Asia Pacific?

JY Pook: With Generative AI dominating headlines and making waves across the world, businesses might be eager to jump into the technology head first in order to beat the competition. However, there is often value in the slow approach, and I would recommend business leaders take their time with the technology and consult teams across business units in order to determine the best approach. Only then will businesses be able to maximize the potential of Generative AI, and unlock the next era of automation.