BUSINESSES in the Asia Pacific (APAC) fiercely compete with their counterparts in the west, especially in the US and the UK.
In the digital age, much of that competition is based on the ability of companies to adopt new-age technologies to reduce costs, improve quality and efficiencies, and provide the best customer experience.
So far, it seemed as though the US and the UK were leading the race to digital adoption — but according to a new study by Telstra and the Economist Intelligence Unit (EIU), Singapore just beat the US and Australia and Japan trumped the UK with their digital transformation efforts.
EIU Asia Editorial Director Charles Ross, in an exclusive interview with Tech Wire Asia, pointed out that “developed Asia has actually come a long way in terms of digital adoption as compared to a few years ago”.
Obviously, governments in the APAC region have always been invested in digital transformation and in creating an environment conducive to experimenting with and implementing technology at scale — which is what propelled Singapore, Australia, and Japan ahead of the competition.
However, it’s important to note that it’s not all of Asia or APAC that have managed to catapult itself ahead of the western giants.
Indonesia, Philippines, and even Malaysia have a long way to go when it comes to digital maturity — it’s something they need to start focusing on if they want to avoid being left behind.
The EIU study “The Asian Digital Transformation Index 2018: Building environments for technology-led change”
During the call, Ross also said China’s digital transformation efforts were commendable, although the tech superpower does fall behind on the index overall.
“China is doing quite well in terms of digital transformation. Take artificial intelligence (AI), for example. The country is neck and neck with the US when it comes to advancements in AI — but it doesn’t measure up on the overall ranking,” said Ross.
“It’s because the scores provided to the countries in the study are based on the overall technology infrastructure. In China’s case, building up that infrastructure across the length and breadth of the country isn’t the easiest — although the country is making great progress.”
Ross also listed human capital as an area of concern for China (and several other Asian countries). Many don’t have the human capital necessary to help businesses get creative with new technologies and surge ahead of the competition.
The study was first conducted in 2016, and this second edition shows quite a deviation in the rankings.
When the study is conducted again in 2020, Ross is confident that developed Asia — especially Singapore and Hong Kong — will rank far better than any of its competitors globally.
This article first appeared on our sister website Tech Wire Asia.