Asia is strongly embracing artificial intelligence (AI) and moving beyond initial pilots but still struggling with fundamental data challenges, according to research by data storage company Hitachi Vantara.
The study of 1,200 global respondents, including 325 from India, China, Singapore, Indonesia and Malaysia, found that 42 per cent of organisations in Asia consider AI critical to their business, compared to 37 per cent of organisations globally.
China and Singapore top the list globally with 53 per cent and 57 per cent, respectively. This shows that AI is now critical to their organisation’s operations, signalling how the region is moving from experimentation to full-scale AI adoption.
However, challenges remain with poor quality data and availability. On average, Asian enterprises estimate that their AI models produce accurate outputs just 32 per cent of the time, and data is available where and when it is needed only 34 per cent of the time.
A greater concern is the data quality, with just 30 per cent considered structured, meaning that most information feeding into AI systems is messy and unrefined.
Compounding these issues is the anticipated surge in data volumes. Respondents in Asia expect data storage demands to increase by 123 per cent over the next two years, making difficult to ensure clean, timely inputs for AI models.
Data security is another pressing concern. Forty-four per cent of Asian respondents consider it their biggest worry, surpassing the global average of 38 per cent. In India and Indonesia, data security concerns are even more pronounced, with 54 per cent and 50 per cent of respondents, respectively, highlighting it as a major challenge.
To address these challenges, Asian enterprises are actively investing in AI capabilities.
The survey found that 71 per cent of Asian companies are hiring staff with AI-relevant skills, compared to 64 per cent globally, while 68 per cent are consulting external experts, versus 61 per cent globally. Singapore, Indonesia, India, and China are leading this trend, with higher-than-average rates of engaging AI experts.
However, Malaysia stands out for its reliance on self-taught AI skills, with 50 per cent of respondents opting for this approach.
Key drivers of AI success
The Hitachi Vantara report identifies three critical factors for AI success in Asia: high-quality data, strategic vendor partnerships, and robust project management.
Among the region’s top AI adopters, 40 per cent credit high-quality data for their achievements, above the global average of 38 per cent. Additionally, 39 per cent of Asia’s AI leaders emphasise partnerships with AI vendors and specialists as key to their success, outpacing the global norm of 37 per cent.
Strong project management and governance frameworks are also crucial, with 45 per cent of top performers in Asia attributing their success to disciplined governance, well above the global average of 37 per cent.
“The region’s markets show that when organisations pair advanced adoption with data best practices, AI can transcend pilot projects to become truly transformative,” said Adrian Johnson, senior vice president and general manager for the Americas and Asia-Pacific at Hitachi Vantara.
The survey also highlights the growing need for third-party support in advancing AI initiatives. Key areas where IT leaders in Asia seek assistance include:
- Hardware: 36 per cent need help building AI models and large language models (LLMs).
- Data storage and processing: 30 per cent require support in reducing redundant, obsolete, or trivial (ROT) data, 29 per cent need help with data preparation, and 34 per cent seek assistance with data processing.
- Software: 39 per cent of IT leaders require third-party expertise to develop effective AI models.
- Skilled staff: The skills gap remains a hurdle, with 42 per cent of leaders building AI skills through experimentation and 30 per cent relying on self-teaching.
