SEA’s biggest digital economy is dragging its heels in AI race

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Hi readers,

Some time ago, Tech in Asia used AI assistance in writing news articles.

Each article assisted by AI had to be rechecked by the editorial team to ensure all the information was correct. I was one of those responsible for this task, and I can say that AI was really very helpful.

Although there were usually some things that needed editing – such as structural issues or misinterpreted source materials – the use of AI helped our team publish news faster.

Imagine when AI’s capabilities in the future are more advanced than it is now. Could it be possible for an article to be fully written by AI?

AI is indeed becoming the most booming sector in the tech industry right now, including in Southeast Asia. Global tech giants like Microsoft, Google, and Amazon have recently announced investment commitments related to AI in the region.

However, Indonesia – which is the largest contributor to the digital economy in Southeast Asia – struggles to attract such investments, while its neighbors Singapore and Malaysia appear to be leading the region in this regard.

Indonesia lagging behind the two is a matter of concern. Even outside of AI-related matters, investments in other areas have recently stalled in the country. Take the electric vehicle sector, for instance, where Tesla is still delaying its investment.

Do investors see Indonesia as unprepared for AI development, or are they deterred by regulatory hurdles? Regardless, it looks like the country faces a steep climb if it aims to close the gap with its peers in the region.

— Jofie Yordan, journalist at Tech in Asia

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Image credit: Timmy Loen

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