"Asia-Pacific Region Set to Experience $1.6 Trillion Economic Boost from AI by 2027"

Singapore - The International Data Corporation (IDC) has outlined its latest technology predictions for the Asia-Pacific region, revealing a significant shift towards adopting artificial intelligence (AI) as a critical driver of economic growth and innovation.

According to IDC's Chief Economist, Sandra Ng, "2025 will be the year of the AI Pivot," marking a transition from experimental GenAI projects to comprehensive AI integration within enterprises. By 2027, businesses in the Asia-Pacific Japan region are expected to achieve an impressive 80% success rate on GenAI initiatives, which will significantly boost efficiency and revenue growth.

The AI Pivot aims to move beyond pilot projects and embed AI into core operations, leading businesses to prioritize measurable success and strategic outcomes. As a result, AI-related spending is projected to grow at a staggering 1.7 times faster than overall digital technology investments over the next three years, generating an estimated $1.6 trillion economic impact by the end of 2027.

To guide Asia-Pacific enterprises through this transformation, IDC has identified seven key pillars for achieving AI success:

1. Strategy: Collaboration between IT and business teams is crucial to effecting a successful AI pivot.
2. Governance: Organizations must formalize policies and oversight to address AI risks, such as data protection and brand management.
3. People: Executives and employees will need training to overcome early deployment hurdles, with over 50% of A2000 enterprises by 2027 expected to leverage GenAI enabled platforms for IT training.
4. Applications: Businesses must develop AI-infused apps that transform decision-making processes, driving immediate value creation by late 2026.
5. AI Platforms: Unified platforms will be essential to streamline AI efforts at scale, with hybrid infrastructure setups to be adopted by 75% of enterprises in 2028.
6. Data: High-quality data is vital for Ai success, and the adoption of multicloud data logistics platforms is expected to rise to 45% of A2000 companies by 2025 and break down data silos in 50% of large APJ enterprises by 2027.
7. Infrastructure: Organizations will need to deploy AI workloads on hybrid fit-for-purpose infrastructure, with 75% of enterprise AI workloads expected to be done so by 2028.

IDC's predictions underscore the transformative impact of AI on Asia-Pacific businesses. As companies address these seven blockers, they can create new revenue streams, improve customer experiences, and build long-term competitive advantages.

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For media inquiries, please contact Michael de la Cruz at mdelacruz@idc.com or Miguel Carreon at mcarreon@idc.com.