Southeast Asia holds immense potential to become a thriving hub for AI development, with each country actively charting its own path toward technological advancement. As home to over 325 million young, digital-native individuals, the region offers a vibrant pool of talent and innovation. AI presents a transformative opportunity by reshaping how people work, interact, and access services. Its benefits, from increased efficiency to accelerated communication, are only a glimpse of what it can deliver, especially for a fast-evolving workforce. With AI capabilities advancing rapidly, approaching and in some cases matching human performance, its influence is expected to grow exponentially over the next decade.

In response to this momentum, governments in the region have begun putting AI at the center of national agendas, shaping new regulatory frameworks and setting long-term priorities. A study by the Tech for Good Institute on the Evolution of Tech Governance in SEA-6 highlights how countries are balancing the need to manage risks while avoiding missed opportunities. Emerging regulatory approaches increasingly focus on mitigating ethical risks, addressing generative AI challenges, and promoting responsible use. These efforts reflect a growing regional consensus on the importance of building safe, transparent, and adaptive AI ecosystems.

However, despite this progress, gaps in AI awareness, skills development and resource accessibility remain widespread across Southeast Asia. Many individuals are still unaware of AI training opportunities and even fewer have participated in them. Businesses—especially MSMEs—face barriers such as limited digital infrastructure and high training costs, further slowing down adoption. Data shows that only around 30% of companies are beginning to form AI strategies, while about half are still in pilot phases. These disparities signal that much of the region is still in the early stages of adoption, highlighting the need for more inclusive and targeted approaches.

To ensure AI transformation is both inclusive and equitable, cross-sector collaboration is key. Experts emphasise the importance of harnessing AI’s potential through targeted skilling programs, creative AI-enabled product development and support for MSMEs that power the region’s economy. By aligning government, private sector and community-based efforts, Southeast Asia can unlock AI’s full promise, not just for innovation’s sake, but to empower people, strengthen economies, and bridge digital divides in a just and sustainable way.

Moderator and Panellists

• Ming Tan, Founding Executive Director, Tech For Good Institute
• Andrew Ure, Managing Director, Government Affairs and Public Policy, Southeast Asia, Google
• Naina Subberwal Batra, CEO, AVPN
• William Chandra Tjhi, Head, Applied Research, AI Singapore

Key Takeaways:

1. Leveraging AI as an enabler of social impact in the region

AI is not just about improving efficiency and productivity, it is also a powerful enabler of social impact, particularly when tailored to serve local needs. Its influence spans multiple sectors, including the social, economic, environmental, cultural and health domains. A key example comes from Google’s recent expansion of language support, adding over 110 new languages through the help of AI. This advancement demonstrates how AI can enhance inclusivity and representation, especially for underrepresented communities. Access to such tools also opens new opportunities for grassroots and community-level organizations that previously lacked the resources to implement advanced technologies to create social impact. AI can help close existing gaps by complementing local efforts and addressing structural disadvantages. For instance, SEA-Lion, an AI for underrepresented Southeast Asian languages, built their datasets by engaging native speakers and incorporating diverse cultural expressions which has not only improved the accuracy of AI tools but also strengthened cultural representation within digital spaces. This reinforces the potential of AI not just to disrupt, but to uplift communities, especially in underserved regions.

2. Barriers and obstacles for AI adoption require more focus

Despite AI’s vast potential for social impact, adoption across the region faces significant challenges that could hinder its progress. One major barrier is the lack of awareness and access to AI skills. According to an AVPN report, 57% of people surveyed had not heard of AI training opportunities, and among those who had, only 15% had actually participated in a program. Disparities across demographics further compound the issue. While some progress is seen among younger populations, one in five have engaged with AI training, women remain disproportionately affected. They are one and a half times more likely to face AI-driven job displacement, yet only 2.5% of current AI training reaches them. On the business front, micro, small, and medium enterprises (MSMEs) encounter structural obstacles such as limited digital infrastructure and high training costs, making it difficult for them to adopt and integrate AI technologies effectively.

3. Addressing challenges and navigating the opportunity

AI opportunities in the Asia-Pacific can be realised by empowering micro, small, and medium enterprises (MSMEs), encouraging creative AI development, and implementing targeted skilling programs to ensure equitable growth. With MSMEs making up 96% of all businesses in the region and employing 50 – 80% of the workforce, they serve as a vital gateway to extend AI’s benefits to wider populations. Integrating AI into these enterprises is not only essential for scaling impact but also for enhancing their efficiency and competitiveness. Importantly, value creation from AI does not rely solely on direct user interaction; it also emerges from AI embedded in everyday tools and services. This highlights the need for developers to build locally relevant, AI-powered solutions. To support this transformation, inclusive and targeted skilling must be prioritised to ensure that all communities, especially underrepresented groups, have the tools to participate in and benefit from AI’s advancement.

4. The call for multi-stakeholder collaboration in AI advancement in the region

Bridging the AI divide requires clearly defined roles and responsibilities across sectors, as no single actor can address the challenge alone. Transformational technology and the resources to deploy it must be made widely accessible which is an area where the private sector can contribute significantly. Equally important is the ability to implement these resources effectively, which depends on both technical expertise and strategic deployment where both government and private actors play a critical role in this regard. Just as vital is the knowledge rooted in communities, the ideas, lived experiences, and local connections that civil society and grassroots organizations bring. Meaningful progress in inclusive AI development depends on aligning these strengths through cross-sector collaboration to ensure a just and equitable digital transition.