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AI revenue in APAC to hit almost USD$30 billion by 2024 - report

15 Apr 2020

Governments across the APAC region are attempting to benefit from the wave of digital disruption by leveraging artificial intelligence (AI) capabilities, according to a report released today by GlobalData.

AI platform revenues are expected to hit USD$29.3 billion in 2024, as governments across the world continue to support AI development, GlobalData says.

The data and analytics company reveals that the revenue of AI platforms will grow at a compound annual growth rate (CAGR) of 26.8% between 2019 and 2024. 

China, Japan and India will account for two-thirds of the overall revenue by 2024, with China alone accounting for approximately 37%.

“Governments continue to embrace AI, with a view to empower themselves and their citizens by creating intelligent processes,” says GlobalData senior technology analyst Rohit Sharma.

“Some of the potential usage areas where implementation or increased use of AI will have a significant impact include healthcare, education and law enforcement.”

The significance of government investment in AI across the world cannot be understated, with several AI research centres being created in China recently, and the country’s New Generation AI Development Plan helping improve the quality of AI research.

In addition, the Chinese Ministry of Industry and Information Technology plans to allocate US$950m annually to fund strategic AI projects.

The Singaporean government has also been one of the early adopters of AI, which has been a key factor in driving AI development in the country, according to GlobalData.

Singapore has collaborated with Microsoft to develop intelligent chatbots that can deliver a set of virtual assistant-based customer services. 

In addition to this, Singapore’s Ministry for Communications and Information has also collaborated with Microsoft and Intel to launch AI4E, a workshop to make participants aware of AI.

In India, Intel signed a memorandum of understanding (MoU) with the Central Board of Secondary Education (CBSE) to empower nearly 100,000 students with AI integration in the country’s education system. 

Earlier in 2018, India announced the National Institution for Transforming India (NITI) Aayog to spearhead a national program on AI with a particular focus on research.

Similarly, in July 2019, the Malaysia Digital Economy Corp (MDEC) announced the establishment of an AI unit to support the setting up of the National AI Framework. 

In May 2019, all the students enrolled in universities and technical schools were mandated to take a beginner-level AI course. 

Australia has set aside AU$29.9m in 2019 to improve and develop the country’s AI sector and other emerging technologies.

“The development of AI and its application areas continue to evolve, providing significant benefits to the society,” says Sharma.

“Government support in terms of favourable policy frameworks and increased adoption of AI will not only enhance the service delivery and governance capabilities for citizens but also help drive the adoption of AI across other sectors in APAC.”