MID-MARKET business establishments in Malaysia and the Asia Pacific are embracing artificial intelligence (AI) with confidence.
In fact, many are forecasting returns of up to four times their investment within the next year, according to Avanade’s latest report. However, progress is hindered by challenges in workforce readiness, data governance and modernising technology infrastructure.
“Based on input from 4,100 global business and IT decision-makers, the Avanade Trendlines: AI Value Report 2025 highlights strong interest in AI with 87% of respondents planning to increase their budgets for generative AI projects by up to 50%,” noted the global IT consultant and service provider who is focused on the Microsoft platform.
“Competitive pressures are pushing firms to fast-track implementation but 48% are still at the business case stage and 44% at proof-of-concept, underscoring the work still to be done.”
Top barriers include outdated systems with 95% of leaders prioritising legacy modernisation and poor data governance which was cited by 76% as a major hurdle.
Elsewhere, security is also a pressing concern with 94% identifying sensitive data protection as critical.
“Organisations are ramping up investments in data governance, new platforms and cyber resilience to lay the groundwork for scaling AI effectively,” added Avanade.
In Malaysia, Avanade has been instrumental in promoting AI adoption, marked by the launch of Southeast Asia’s first generative AI lab in Kuala Lumpur last year and the establishment of its Digital Innovation Studio at the Tun Razak Exchange.
To support these efforts, Avanade has launched seven tailored AI services for mid-market companies.
These services range from AI-powered cloud migration and ERP (enterprise resource planning) modernisation to unifying data platforms and enhancing threat protection, thus enabling firms to address technical challenges while unlocking new growth opportunities.
“Asia Pacific’s mid-market organisations, include those in Malaysia, are on the brink of transformative growth,” commented Avanade’s president (Asia Pacific) Bhavya Kapoor.
“With the right strategies and partnerships, they can fully harness AI to drive innovation and establish themselves as future market leaders.”
More information about Avanade’s new AI services in Asia Pacific are available here. The full Avanade Trendlines: AI Value Report 2025 is available for download here. – Dec 2, 2024
