JAKARTA – Microsoft championed Singapore as one of the global leaders in AI adoption, yet Southeast Asia remains deeply divided in who benefits from it. 

The 2025 AI Diffusion Report, released by Microsoft’s AI Economy Institute, found that Singapore ranks among the world’s top performers in AI adoption, with 58.6% of its working-age population using AI tools. 

That’s at least six in ten Singaporeans using AI tools in their daily work or learning, on par with global leaders like the United Arab Emirates (UAE) and Norway. 

The report says three main groups are driving global AI growth: the frontier builders who create new models, the infrastructure builders who provide the technology and networks to run them, and the users who apply AI in everyday work. 

Singapore’s strong government support through its national AI strategy and talent programs has helped it advance in all three areas and stay ahead of most countries in the region. 

Besides Microsoft, global tech giants like Google and Nvidia have also partnered with local Singaporean agencies and startups to build research centers and training programs over the years. 

But across much of the region, adoption remains modest, constrained by gaps in digital infrastructure, skills, and language resources. 

The Redmond tech giant said that countries such as Vietnam, Indonesia, and the Philippines are still in what Microsoft calls the “emerging stage” of AI diffusion, where fewer than a quarter of adults use AI in daily work or learning. 

Microsoft’s data show that AI adoption in the Global North is roughly twice that of the Global South, with usage rates dropping sharply in countries where GDP per capita is below US$20,000.

For Southeast Asia, this divide manifests not only in access to hardware or the internet but also in language barriers. 

Meanwhile, parts of the Adriatic region in Europe, including Bulgaria (25.4%) and Slovenia (24.6%), are at similar levels as many Southeast Asian countries. 

“AI is the fastest-spreading technology in human history, but not the most inclusive one,” the report notes. “Its benefits are concentrated where electricity, internet, and digital literacy are strongest.” 

Nearly half the world, or about four billion people, still lack these basic building blocks.