A recent study by Dell Technologies, surveying 6,600 IT and business leaders across 40 countries, revealed a wave of optimism surrounding Artificial Intelligence (AI) and Generative AI (GenAI). Leaders believe these technologies can significantly improve business operations and boost productivity.
However, the path from ideation to implementation is fraught with hurdles. Despite 87 per cent of respondents claiming a strong AI deployment strategy, over a third (36 per cent) remain unsure of their industry’s landscape in the next few years, and nearly half (43 per cent) struggle to keep pace with evolving technology.
The study also identified key challenges to AI adoption: data privacy and cybersecurity concerns (43%), lack of skilled personnel (38%), and outdated technology infrastructure (28%).
With countries at varying stages of economic development, AI adoption progresses at different speeds. While 2023 saw a focus on GenAI experimentation and pilots, 2024 marks a shift towards implementation, with 47 per cent of respondents reporting they have begun this process.
As adoption rises, concerns regarding risk allocation and accountability come to the forefront. The study revealed a strong consensus (81 per cent) that the organization, not the machine, user, or public, bears responsibility for AI malfunctions or undesired behavior.
Singapore: A Global Leader in AI Adoption
Singapore stands out as a global leader in AI adoption and development, largely due to strong government support and investment, fostering a fertile ground for innovation. Last year, the government unveiled a S$1 billion plan focused on compute, talent, and industry development over the next five years.
However, the rise of AI and GenAI has a profound impact on data processing and storage capabilities which can impact Singapore’s bid to be an innovation hub, said Gordon Bennett, APRG Research Director.
He pointed out that the increasing energy demands associated with AI computing poses a key challenge for data centres.
Bennett commended the government’s foresight in imposing a moratorium on new data centers in 2019, acknowledging the need to address energy concerns, especially with the power-hungry nature of AI GPUs.
The focus on renewable energy sources like natural gas is crucial. However, Singapore’s lack of nuclear, wind, and geothermal power sources necessitates innovative solutions for energy storage and on-demand availability.
Singapore is looking into all possible energy sources including a hotspring in the island’s northern area. It is investigating if this hot spring can generate geothermal power. While this energy generation offers some promise, experts emphasize the need for a multi-pronged approach. This includes utilizing clean energy sources, investing in energy-efficient technologies like liquid cooling, and implementing energy-efficient core IT equipment.
Moving forward, data centers in Singapore, and globally, must prioritize their environmental, social, and governance commitments. Equinix’s recent Power Purchase Agreement in the city state for renewable energy serves as a powerful example of this commitment, setting a precedent for sustainable practices in Singapore’s data center industry.
Overcoming the energy challenge is paramount for Singapore’s data centers. This will be critical in solidifying the city-state’s position as a global AI leader and driving continued innovation.
