AI Adoption in Singapore’s Enterprises: Practical Tools Drive Growth
Enterprise use of artificial intelligence (AI) in Singapore has increased notably, rising from 34% in 2022 to 46% in 2024. More companies now see AI as a practical tool for driving growth and innovation rather than just an experimental technology.
Senior Minister of State for Digital Development and Information Tan Kiat How shared these insights during the inaugural Design AI and Tech Awards ceremony on May 19. The event celebrated businesses that apply design, AI, and technology to solve real business challenges.
SMEs Leading AI Adoption with Government Support
Close to 3,000 small and medium-sized enterprises (SMEs) in Singapore adopted AI-enabled solutions from local vendors this year. These tools help them forecast demand, optimise venues, and reduce wastage—making AI an integral part of their operations.
Tan highlighted government initiatives like Chief Technology Officer-as-a-Service, which offers over 300 pre-approved digital solutions, nearly a third of which were AI-enabled last year. This service supported more than 330,000 users and helped about 3,000 SMEs improve efficiency and decision-making.
Another initiative, the SME Go Digital programme, has assisted nearly 100,000 SMEs since 2017 in adopting digital tools at their own pace. These platforms are valuable not only to end-users but also to innovators and start-ups to scale and implement their solutions locally and internationally.
Supporting Workforce and Education for AI Integration
Beyond businesses, there is a focus on helping workers outside traditional tech roles adapt to changing job demands. Providing clear, practical guidance on evolving roles is essential to keep pace with digital transformation.
Education plays a key role. Last year, about 8,000 students were enrolled in information and digital technology (IDT) courses across universities, polytechnics, and the Institute of Technical Education. University IDT places increased from 3,000 in 2020 to 4,000 in 2024, now accounting for over 25% of degree places.
Universities are also incorporating AI into fields beyond technology, such as architecture, sustainable design, and engineering product development. This approach ensures AI skills are accessible and relevant across industries.
User-Centric Design is Key to AI Adoption
Tan emphasized that successful AI adoption depends on well-designed tools that fit seamlessly into existing workflows. Designers must have skills in both technology and user experience, understanding the needs of those who use AI solutions daily.
Design AI and Tech Awards Recognise Innovation
The Design AI and Tech Awards, organised by The Business Times and the Singapore University of Technology and Design (SUTD), recognised three winners this year:
- LionsBot
- MetaOptics Technologies
- Sengkang General Hospital
The awards were open to all companies, including SMEs, start-ups, and large corporations, both local and international. Entries were judged on:
- Design thinking process and strategies
- Originality
- Utilisation of AI and advanced technologies
- Ethical considerations and sustainability
- Aesthetic and functional qualities
- Quantitative and qualitative impact of the design
For professionals involved in operations and product development, these trends highlight the importance of integrating AI tools that are not only technologically sound but also user-friendly and aligned with business needs. Practical AI adoption is becoming a key driver for operational efficiency and innovation.
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