AGP Executive Report

Public-Sector AI: Malaysia’s Commerce Dot Com said a three-month AI pilot in its government procurement system cut call-centre workload by 15–18%; the company shared lessons at an ADB-backed conference in Bhutan. ASEAN Agtech: Indonesia proposed regional plans to expand digital and AI use in agricultural cooperatives, alongside climate resilience measures. Pacific Security Tech: Australia will provide Fiji with renewable-powered Bluebottle maritime drones for surveillance and drug-crime enforcement; they can stay at sea for more than 180 days, with delivery expected in early 2027. Digital Infrastructure: Kazakhstan and Azerbaijan launched a Trans-Caspian fiber-optic link designed to strengthen connectivity between Central Asia, China and Europe and support cloud and AI services. Clean Energy: A 54-panel solar system donated to a Yangon school is expected to provide more reliable power for more than 1,800 students.

Chip Sell-Off: South Korea’s Kospi plunged more than 7% as Samsung Electronics and SK Hynix led a regional tech rout, fueled by hotter US inflation and worries over AI investment returns. AI Safety: Anthropic opened a Singapore office and partnered with the government on AI testing, safety research and responsible adoption. Digital Infrastructure: Vietnam’s CMC and South Korea’s LOTTE Innovate will explore data centres, cloud services, cybersecurity and EV charging. Green Industry: A new initiative aims to steer investment in Vietnam toward lower-carbon manufacturing and infrastructure. Climate Science: Scientists say El Niño has helped drive a record for powerful, long-lasting Pacific storms. Research & Agriculture: Vietnamese biomedical scientist Ha Thi Thanh Huong won the ASEAN–US Science Prize for Women, while a Cambodian chicken-breeding program recognised for its results is expanding into Laos and Vietnam.

AI Safety: Google is rolling out age inference in Malaysia, using account signals to identify users under 18 and switch on protections as the country requires age checks for social media. Anthropic has opened a Singapore office and signed an AI-safety agreement with the government, with plans to develop frontier models locally. Energy Innovation: Imperial College London and Tata Power will explore energy storage, AI, industrial decarbonisation and grid upgrades, connecting research with energy projects in India and the UK. Chip Race: Asian tech shares slid as China’s AI-chip progress and concerns about AI spending unsettled investors. ASML raised its sales outlook on strong demand but said it cannot keep pace with orders.

AI Infrastructure: Malaysia’s planned RM15 billion grid investment and extended green-tech incentives underline the need to match data-centre growth with reliable, sustainable power, Equinix says. Smarter Farming: A Chinese AI tool used by more than one million farmers in China and ASEAN assesses crop suitability and potential returns from a GPS-marked field. AI Skills: Grab and OpenAI will train 3,000 gig workers in Thailand, as part of a plan to reach more than 30,000 workers and entrepreneurs across the region over two years. Quantum Computing: IBM says it plans to install India’s largest quantum computer in Amaravati in early 2027, with a focus on practical applications and post-quantum security readiness. Climate-Resilient Crops: ICRISAT has secured long-term CRISPR-Cas9 access to develop crops better able to withstand drought, heat, pests and disease for farmers in Asia and Africa. Disaster Response: Samoa’s new mobile workshop brings 3D printers, tools and independent power to help communities make replacement parts and repair essential services after disasters.

Agritech: ADB Ventures has made its first investment in Georgia, backing TelAgri’s use of satellite data and AI to assess farm risks and help lenders finance smallholders. AI in Farming: A smartphone-sized system developed by researchers can identify rice diseases and measure their severity offline in under 15 milliseconds, giving farmers more actionable guidance. Deep-Tech Startups: IBM and India’s MeitY Startup Hub will offer startups access to AI, cloud and quantum tools, plus technical support and industry connections. Energy Research: Tata Power and Imperial College London will explore work on grid flexibility, energy storage and AI applications for energy systems. AI and Health: Japanese researchers found that a high-risk stomach microbiome combined with genetic risk variants was linked to a much higher likelihood of gastric cancer. Chip Economy: The IMF raised Taiwan’s 2026 growth forecast to 10.7%, citing the AI boom, even as Asian chip stocks tumbled on concerns about Chinese competition and AI spending.

Chip Shakeout: Asian technology shares plunged as Chinese chipmaker CXMT’s reported memory advances sharpened concerns about competition and AI spending returns; South Korea’s Kospi fell about 6%. Urban Transport: The ADB approved a $302.38 million loan to modernise Baku Metro with digital operations and advanced train signalling, supporting a major network expansion. Quantum Security: Toshiba Asia Pacific, SpeQtral and HPE validated a quantum-safe system designed to protect critical infrastructure communications from future decryption threats. Sinking Cities: Satellite data in a Nature Cities study found Asian cities had the highest median subsidence rate, at 33 millimetres a year, with groundwater extraction and urban development among the causes. Climate Science: The IPCC faces pressure to delay its major climate report from 2028 to 2029, while Papua New Guinea is urging COP31 to deliver accessible climate finance and practical action for Pacific communities.

Semiconductor Cooperation: Malaysia and Jordan are exploring collaboration in semiconductors and advanced technical training, including efforts to develop more engineers and skilled workers. AI Infrastructure: Taiwan’s Wistron and Wiwynn showcased next-generation AI computing and storage systems, while PCB maker TTM Technologies plans $400 million in capacity investments across China and Malaysia. Drone Technology: India’s Garuda Aerospace closed a pre-IPO funding round to support AI-led development, manufacturing and expansion across sectors including agriculture, logistics and defence. AI’s Uneven Gains: The IMF says AI could lift growth in advanced Asian economies by up to one percentage point, but gaps in skills, capital and digital infrastructure risk leaving developing economies behind. Clean Energy: Manila Water’s solar project and its Cebu unit’s energy-management work won ASEAN Energy Awards, highlighting clean-energy advances in Philippine utilities.

AI and Chips: TSMC is expected to post a sixth straight quarter of record profit, as demand for AI chips and advanced packaging stays strong. DBS chief Tan Su Shan says lenders are scrutinising AI projects more closely, demanding stronger returns and deal structures. AI Sovereignty: An Australian analysis warns that adapting foreign AI models locally may not remove political assumptions embedded in their original training. AI and Science: TikTok CEO Shou Zi Chew predicts AI could drive breakthroughs in physics, biotechnology, chemistry and materials science within two to three years. Battery Innovation: Taiwan’s ProLogium is looking beyond electric vehicles to supply solid-state batteries for AI data centres and aerospace, as EV demand growth slows. Health Research: A Duke-NUS preclinical study suggests excess salt may trigger fatty liver disease in people who are not overweight, through a pathway distinct from obesity-related disease.

Malaysia–China Tech Links: Malaysia’s deputy prime minister begins a five-day China visit focused on trade, technology and skills training, with talks expected to cover AI, telecoms and the digital economy. Central Asia Renewables: Oman and Kazakhstan launched a $150 million investment fund and agreed to pursue 2 GW of solar and wind projects, including battery storage. Indonesia’s AI Push: Indonesia is promoting Bali’s Kura-Kura special economic zone as a hub for AI research and semiconductor development, with Tsinghua University’s Southeast Asia Center already running research programs and a semiconductor forum. Immersive Experiences: South Korea’s Sharebox is expanding in India with AI-, XR- and interactive LED-based projects for retail, entertainment and commercial spaces. Children’s Eye Health: A one-year study in China found that fully correcting myopia with glasses improved children’s and parents’ reported quality of life. Climate Research: A four-year experiment on the Qinghai-Tibet Plateau found late-season drought altered alpine meadow plants’ growth more sharply than early drought, with implications for climate modelling.

AI Infrastructure: Google’s planned $15 billion data centre in Visakhapatnam is facing local resistance over land, water, power and jobs. The company says it will use air cooling and will not build where its operations would divert power from residents; the facility is expected to open in 2028. Regional Energy: India and Singapore are exploring a 3,000-kilometre, 2,000-megawatt power link through Myanmar, Thailand and Malaysia. The proposed corridor could support cross-border electricity trade and clean energy, but feasibility and financing are still to be assessed. Southeast Asia Tech: Canva has appointed former Bukalapak CEO Willix Halim to lead its regional operations, betting on mobile-first growth. Twilio is also targeting Asia-Pacific as AI adoption in customer service expands. India-UK Innovation: More than 100 British businesses will meet Indian partners at a Mumbai marketplace on October 13, with clean technology, advanced manufacturing, healthcare and fintech among the sectors in focus.

Crypto Security: A suspected hardware implant in Ledger wallets sold through a Southeast Asian reseller may have helped steal more than $86 million, according to reports. Ledger says there is no sign its own systems or wallets bought directly from the company were affected. AI and Journalism: ASEAN media stakeholders have called for stronger copyright protections for journalism as digital platforms and AI reshape the industry, while balancing creators’ rights with public access to information. Climate Science: A five-year expedition counted 24,202 glaciers in China’s Xinjiang region and found glacier area shrank by 2,167 square kilometres from 1990 to 2020, with melting accelerating. Central Asia’s Tech Future: A regional research network, shared labs and joint innovation funding could help Central Asian countries turn their young population into technological expertise. Apple Supply Chain: Apple reportedly cut October component orders for the iPhone 18 Pro models by 15% to 20% as rising memory costs and higher prices weighed on demand.

Cybersecurity: US and allied agencies say China’s Integrity Technology Group helped enable cyberattacks on critical infrastructure worldwide, including in Southeast Asia, and urge organizations to patch exploited flaws. AI Trade Controls: A former Super Micro contractor pleaded guilty to helping divert Nvidia AI servers to China through a Southeast Asian intermediary; prosecutors say at least $510 million in servers were secretly shipped in 2025. Regional AI: Central Asian leaders are discussing a shared AI partnership and responsible-use rules, with Tajikistan proposing a regional AI centre. Vietnam Investment: Hanoi is targeting high-tech and research investment, alongside plans for 138 domestic projects worth up to US$138 billion and US$3.2 billion in foreign investment. Climate Science: New research projects intensifying East Asian summer extreme rainfall even under a scenario of net-zero human-caused carbon emissions.

AI Infrastructure: Oracle has reportedly agreed to a five-year, US$7 billion deal to supply Tencent with access to about 100,000 AI accelerators in Southeast Asia. Neither company has confirmed the deal. Semiconductors: Malaysia’s 2027 budget plans a RM100 million fund for semiconductor and advanced-manufacturing firms in Penang, while backing Kulim Hi-Tech Park as a magnet for investment. EV Charging: BYD is discussing ultra-fast charging in Pakistan, with rollout dependent on infrastructure and local planning. Telecoms: India’s full 6G rollout could slip beyond 2030, as operators question whether future networks will have applications that generate enough revenue. Health Research: A 34-country analysis finds Asia’s ADHD disability burden peaks in early adolescence, with boys aged 10 to 14 most affected. Pacific Energy: Australian-backed solar projects in Papua New Guinea, Bougainville and Fiji aim to bring more reliable power to remote communities.

Regional AI: Kazakhstan’s president proposed a Central Asian AI partnership to help research centres, universities and technology firms share expertise, alongside a regional declaration on responsible AI use. Semiconductors: A FedEx survey found more than a third of semiconductor companies plan to expand into additional Asia-Pacific markets within three years, with Taiwan, Southeast Asia, Greater China and Japan tipped for rising demand. Biotech Investment: US firm TCGX secured $600 million for its first Asia life-sciences fund and plans to open offices in Shanghai and Hong Kong. Digital Health: Balochistan’s health minister showcased the province’s digital health work at a Colombo conference, where representatives from 26 countries discussed health data and technology. Pacific Climate: Leaders adopted the Taku Pakasoa Declaration, urging faster emissions cuts, better access to climate finance and stronger protection for island communities ahead of COP31.

AI in Education: Malaysia’s Awantec won a regional award for an AI literacy programme rolled out across 20 public universities, giving students and educators access to AI tools and practical training. Advanced Manufacturing: A Japanese-Malaysian joint venture has broken ground on Malaysia’s first high-purity precious-metal refinery. The Batu Kawan facility aims to produce 99.99% pure metals and begin operations in 2029. Regional Energy: India and Singapore are exploring a 2,000-megawatt power link through Myanmar, Thailand and Malaysia, advancing ASEAN’s plan for cross-border electricity trade and cleaner energy integration. Student Robotics: Sri Lankan teams brought home projects from the Asia Pacific Robot Olympiad, including a robotic guide dog designed to help blind and older people navigate safely. Pacific Science: Sea temperatures in the central equatorial Pacific topped 30°C for the first time on record, a potential sign of an exceptionally strong El Niño as researchers monitor the warming.

AI Competition: China’s leading models are closing the gap with US systems, but Chinese AI startups drew barely a tenth of the US’s $380 billion in venture funding from 2023 to 2026, raising concerns about their ability to scale. Biosecurity Research: Australia’s CSIRO and Moderna have launched a five-year partnership focused on infectious disease research and mRNA technology to speed responses to emerging threats. Jobs and AI: A World Bank report warns that AI could reduce demand for South Asian outsourcing by bringing some work back in-house, while creating new opportunities for workers and service exporters. Clean Energy: An experimental Indian cookstove uses hydrogen made from water, offering a possible alternative to imported LPG. Separately, a new study finds electricity is on track to supply less than 30% of global energy demand by 2035, short of a 35% target.