Singapore plans to invest over $1 billion in five years to boost its artificial intelligence (AI) activities. One of the business leaders, Ben King, who manages Google Singapore, thinks that being quick to adopt digital innovations is crucial for staying ahead in a digital economy.
“The Singapore Budget 2024 has unveiled support that will set this pace as Singapore continues to accelerate with the help of transformative technologies like AI,” he said.
In his Budget speech, Lawrence Wong, Deputy Prime Minister and Finance Minister, announced that the Government will invest more than $ 1 billion over the next five years in AI computing, talent, and industry development. Part of the investment will ensure Singapore can access advanced chips necessary for AI development. The Government will also collaborate with top companies to create unique places for AI research and development to spark new ideas and bring more economic value.
Singapore’s digital economy contributed 6 billion, or 17% of its GDP in 2022. Strategic private-public partnerships will help the Government’s initiatives to support upskilling workers and business digitalisation. For example, Google did this with its Skills Ignition SG program. This program has already helped Singaporeans learn digital skills for a new career and has allowed 84 organisations to create functional AI solutions in Singapore.
Singapore has embraced AI proactively since 2019, when it unveiled its AI plan. In December 2023, it launched an updated National AI Strategy 2.0 to empower workers and businesses through AI.
DPM Wong said AI is not just about large language models like ChatGPT. It’s a technology that can potentially transform various industries and enhance productivity.
China has made significant investments in AI, but its strict regulations have slowed its progress compared to countries like Singapore, according to a study by Capital Economics, which also ranked Singapore second after the United States in the potential to benefit from AI in 2023.
