How Agentic AI is Redefining the Supply Chain Landscape in South Asia
For years, supply chains were designed with one goal in mind: efficiency. Companies optimized costs, streamlined logistics, and...
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While it is true that many South Asian and South-East Asian countries are rapidly moving ahead in the global tech race, it is also fact that the Asian tech advancement has come on the back Chinese infrastructure.
From quickly developing 5G networks, constructing undersea cables, and building data centres across the continent; the Chinese tech industry has always focused on building robust digital infrastructure, and it’s finally paying off big time.
With the completion of one of its latest projects, the ‘Digital Silk Road’, China will become the undisputed giant when it comes to digital technology in the continent. From Philippines to Malaysia and even into the Pacific region, the Digital Silk Road aims to establish a chain of data centres that fuel the region’s tech growth.
China Truly Taking over the Tech World
Chinese tech brands that became global entities, such as Huawei or Alibaba, have always helped uplift the neighbouring economies. Be it the dissipation of 5G network or the building of a robust logistics segment for SMEs, the tech industry in countries such as Malaysia and Thailand has been largely built on the back of Chinese MNCs.
Now, with the establishment of the Digital Silk Road, the influence of Chinese tech infrastructure will spread further to some of the more remote regions. Island countries such as Fiji, Solomon Island, Papua New Guinea, etc. will be digitally connected via the Silk Road and also be able to access the Chinese underwater cables that run through the Pacific.
So, instead of following the usual route of industry advancement, these countries will be able to fast forward their digital existence. Not only will this move their entire IT ecosystem miles ahead, but it will also make them a part of the larger global digital narrative.
There are Critical Issues to be Addressed
While the Digital Silk Road will definitely achieve what it has set out to do, there is a question of digital autonomy that’s being raised by many of the Asian countries. Since most of the data being generated by these countries is flowing through Chinese infrastructure, there needs to be a critical balance between fuelling the digital economy and maintaining national autonomy.
Some tech leaders from Malaysia and Vietnam have even called the process ‘digital colonization’, while western powers such as the USA are considering the Digital Silk Road to be a hindrance towards their own interests in the Asian tech industry.
Most of SEA and the Pacific Countries are maintaining a neutral position with China as of now, since the Digital Silk Road will ultimately boost their economies. These IT industries have always suffered from lack of reliable infrastructure, but now with the help of Chinese tech they will be able to compete at global levels. However, the future of these digital economies will heavily depend upon their ability to strike the balance between digital sovereignty and foreign-fuelled growth.
CyberMedia Research (CMR)
SKU: CMR-ADAS-26730
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