Southeast Asian Countries Advances International AI Collaboration and Adoption

As of February 21, the AI Impact Summit Declaration has been signed by 91 countries and international organizations, including Cambodia, Indonesia, Myanmar, the Philippines, and Singapore. The Declaration highlighted a growing focus on inclusive AI adoption, calling for the democratization of AI resources, wide-scale adoption of trusted AI to advance socio-economic goals, and advancement of AI innovation and international cooperation. In addition to the core Declaration, the Summit also led to the adoption of voluntary global initiatives to support greater collaboration. Indonesia, the Philippines, and Singapore played active roles in co-chairing working groups for economic growth and social good, human capital, and science, underscoring ASEAN Member States’ growing engagement in international AI discussions. 

Meanwhile, the pace of AI adoption in Southeast Asia remains ahead of the global average, with nearly half of surveyed Southeast Asia companies beyond AI pilot stage, particularly for IT, software engineering, knowledge management, and HR functions. Underpinning this momentum are several structural advantages, including over US$50 billion in hyperscaler infrastructure investment, new subsea cable deployments, availability of regional AI solution providers, and a large, young consumer base. However, talent shortages, institutional readiness, uncertainty on the financial returns of AI integration, and complex implementation continue to constrain businesses' ability to fully capitalize on AI-driven growth. Scaling challenges are expected to continue with the growing adoption of agentic AI due to a lack of specialized expertise, highlighting the importance of continued public-private partnerships and capacity-building, particularly for SMEs. Most recently, Vietnam’s AI Law has taken effect, making it the first Southeast Asian country to implement regulatory measures to address AI-related concerns and opportunities.