Generative AI investments

Organizations in Asia/Pacific lead in prioritizing GenAI investments due to its proactive stance on new technologies and government support. IDC Survey data shows that two-thirds of Asia-Pacific organizations are exploring potential use cases or are already investing in GenAI technologies in 2023. The adoption of GenAI in Asia/Pacific is still in its early stages, but it is expected to grow rapidly in the coming years.

Prioritizing GenAI investments can indeed offer various benefits, including staying at the forefront of technological advancements and gaining a competitive edge. The fact that two-thirds of organizations in the region are either exploring potential use cases or already investing in GenAI technologies is a strong indicator of the growing interest and recognition of the potential value that AI can bring to their operations.

The region also actively explores novel technologies while dealing with fewer regulatory obstacles and receives strong government support for fostering innovation. Consequently, Asia-Pacific is already leading other regions in prioritizing GenAI investments. Emphasizing the crucial role of governments, it calls for robust regulatory frameworks based on validated AI principles. The report concludes by providing essential guidelines to effectively embrace GenAI, fostering responsible use and maximizing its transformative potential in the region's digital economy.

Organizations are prioritizing GenAI investments due to the following reasons:

· Proactive stance on new technologies: Organizations in Asia/Pacific are generally more open to adopting new technologies than organizations in other regions. This is due to a number of factors, such as the region's strong economic growth, the growing middle class, and the increasing availability of high-speed internet.

· Government support: Governments in Asia/Pacific are also providing strong support for the development and adoption of AI technologies. This support is taking a number of forms, such as funding research and development, providing tax breaks, and creating regulatory frameworks that are supportive of innovation.

· Large and growing market: The Asia/Pacific region is home to a large and growing market for AI technologies. This is due to the region's large population, the increasing urbanization, and the growing demand for automation and efficiency.

Governments in several countries in Asia-Pacific have already initiated guidelines that will likely shape the direction of future policy and regulatory frameworks. These guidelines include the adoption of key principles such as transparency, data protection, safety, IP protection, open data access, and ethical standards to address the immediate challenges.

However, it is imperative for Asia-Pacific governments to prioritize and craft robust regulatory frameworks to address various obstacles, that could inhibit the economic possibilities they envision. GenAI has the potential to transform many industries in the region, and organizations that are early adopters will be well-positioned to capitalize on these opportunities.

Dr. Deepak Kumar Sahu, President & CEO, VARINDIA