Published on October 16, 2023, 3:24 pm

The IDC Survey Spotlight report has found that a significant number of Asia/Pacific organizations are showing interest in investing in Generative AI technologies. According to the report, 32% of the surveyed enterprises in the region have expressed their commitment to investing in Generative AI, while 38% are exploring use cases for its implementation.

These digital-first organizations are looking to leverage Generative AI to enhance enterprise intelligence and drive efficiencies across various functions such as marketing, sales, customer care, research & development, design, manufacturing, supply chain, and finance.

One of the key use cases for Generative AI in Asia/Pacific is knowledge management. This involves leveraging the technology to access and search large repositories of different types of information within an enterprise, including images, documents, voice recordings, and other formats.

Another important use case is code generation. Application programmers adopt Generative AI to create, optimize, complete, test, and debug code. This leads to improved productivity and better quality in code development.

In addition to these use cases, Generative AI is also being applied in marketing automation and customer-facing roles. Marketers can not only generate highly customized marketing content but also create search engine-optimized content using this technology.

Deepika Giri from IDC Asia/Pacific including Japan (APJ) Research emphasizes the potential of Generative AI to reimagine the organizational landscape but highlights the need for careful assessment due to inherent complexities and risks associated with its implementation. Giri also points out that vendors are still unable to fully address concerns surrounding privacy, security, accuracy, copyright issues, bias, and misuse related to this groundbreaking technology.

Given the growing interest in Generative AI within the region’s business landscape, various vendors are eager to capitalize on this opportunity. Hyperscalers and cloud service providers offer Model As A Service (MaaS) offerings while AI engineering companies provide point solutions. Specialist storage companies aim to sell infrastructure capable of hosting Generative AI solutions. Investment firms are also seeking significant returns by investing in this technology.

However, the adoption and fine-tuning of large language models (LLMs) for specific use cases can be resource-intensive in terms of computing power and energy costs. To address this, a technique called prompt tuning has emerged, enabling simplified training of the model without extensive retraining or parameter tweaking. This approach strikes a balance between two extremes.

Regardless of the adoption approach, leveraging Generative AI comes with an inherent cost associated with underlying infrastructure. The compute-intensive nature of the model requires either an upfront investment in setting up data centers or the inclusion of computing costs within MaaS offerings.

While interest in Generative AI is soaring, concerns about its application remain largely ungoverned globally. Regulatory bodies are under pressure to address issues related to data privacy and security, IP rights, and the potential misuse of AI-generated content. However, governments are still grappling with evolving their outlook on AI regulation and there is currently no uniform approach across Asia/Pacific.

For instance, while the Indian government views AI as an enabler of the digital economy and is hesitant to enforce stringent laws that may stifle innovation and research, Japan has established a council focused on promoting AI technology. Similarly, China’s Cyberspace Administration has introduced security assessments for generative AI services before their public launch.

To date, there is no specific legislation for generative AI in most countries within the region because it could be seen as an impediment to innovation in a progressive digital economy. Governments are primarily relying on existing policies around areas such as data privacy and security rather than formulating new regulations.

Overall, Asia/Pacific businesses are increasingly recognizing the potential value that Generative AI offers across various functions. While there are challenges to overcome regarding implementation complexity and regulatory concerns, organizations are eager to explore and invest in this transformative technology that can revolutionize how they operate.

Reference: IDC Survey Spotlight: What Is the Attitude of Asia/Pacific Enterprises Toward Generative AI Adoption and Application?


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