Businesses and governments across Southeast Asia are navigating the intricate landscape of artificial intelligence (AI) amid the intensifying rivalry between the United States and China. As these global powers vie for technological dominance, Southeast Asian countries are adopting a pragmatic approach, focusing on securing the most advantageous deals in AI solutions. While China presents itself as a ready-made alternative to US-based AI, the region remains cautious, considering factors like cost, performance, and regulatory concerns.
Chinese AI solutions are making significant inroads in Southeast Asia, yet their adoption is not as widespread as some might expect. The allure of Chinese offerings lies in their multilingual capabilities and open-source nature, exemplified by start-ups like DeepSeek. DeepSeek's ability to support languages such as Mandarin, Bahasa Indonesia, and Thai, combined with partnerships with local tech companies, positions it favorably within the region.
"Their multilingual capabilities, such as support for Mandarin, Bahasa Indonesia and Thai, coupled with partnerships with local tech companies, give them an edge in catering to diverse regional markets." – Ali Fazeli, chief technology officer at NexVision Lab
Despite these advantages, Southeast Asian countries are not rushing to embrace Chinese AI simply because it might be cheaper. The region's stakeholders are weighing the costs against performance and security concerns. ChatGPT and Google's Gemini remain popular choices, reflecting a cautious approach to integrating Chinese AI models.
"China is a ready-made alternative, and for countries in Southeast Asia, having alternatives is always a good thing. In the same way, I don’t think Southeast Asians will rush to buy everything Chinese because it is cheaper; they have also got their calculations," – Benjamin Ho, China programme assistant professor at the S. Rajaratnam School of International Studies (RSIS)
The underdevelopment of some Chinese AI services contributes to this cautious stance. Southeast Asian countries seek not just affordability but also robust performance and compliance with local regulations. As these nations deliberate over various AI solutions, security and legal concerns remain pivotal issues that need addressing for technologies like DeepSeek to achieve their full potential in the region.
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