Singapore's AI Adoption Lags Behind China and Hong Kong, Impacting Business Competitiveness
Singapore is experiencing a slower rate of artificial intelligence (AI) adoption among its firms compared to regional peers like China and Hong Kong. According to a report by the Ministry of Manpower, only 28.5% of Singaporean companies have adopted AI, significantly trailing behind China at 47.5% and Hong Kong at 41.0%. The report highlights that high implementation costs and a lack of in-house talent are major barriers, with 71.5% of firms yet to begin AI integration. Even among those that have adopted AI, only a small fraction have integrated it into core business processes. This situation is compounded by a gap between AI investment and the necessary organizational changes, as noted by Accenture, which found that many companies have not updated their operating models to support AI-driven work processes. 
