Erudite Asia

During the seventh Hongqiao International Economic Forum, experts and industry leaders discussed the significant potential of artificial intelligence (AI) in boosting industrial efficiency and profitability. The forum, part of the China International Import Expo, explored the latest AI applications across various sectors and its future development. Wu Hua, chair of the Baidu Technical Committee, indicated that while AI is widely adopted in manufacturing, energy, transportation, and finance, the creation of multi-modal large models—capable of combining language, voice, and visual learning—remains in its infancy. Turing Award winner Joseph Sifakis, in a video address, emphasized that the advancement of autonomous systems marks the next stage of AI development. Meng Pu, chairman of Qualcomm China, projected that generative AI could generate annual profits of $2.6 trillion to $4.4 trillion globally. He highlighted the growing importance of hybrid AI, which combines edge and cloud processing, and underscored the essential role of 5G technology in expanding AI applications in productivity, content creation, and manufacturing. #AI #China https://lnkd.in/gxz-h5dK

[Yumi's Pick] "AI's Fate Hangs on the US Presidential Election"... Big Tech, Who Will Have the Advantage, Trump or Harris? As the US presidential election approaches, major tech firms are closely watching the contrasting approaches to AI regulation between former President Donald Trump and Vice President Kamala Harris. Trump's pro-deregulation stance aims to stimulate innovation, while Harris supports the regulatory framework established under the Biden administration, creating uncertainty in the competitive election landscape. Large tech companies like Tesla, Google, Amazon, and Meta are seeking to strengthen ties with Trump amid his potential victory. Google CEO Sundar Pichai and Amazon CEO Andy Jassy have recently engaged with Trump, while Meta's Mark Zuckerberg has reinstated Trump's social media accounts to improve relations. Elon Musk has been particularly active in promoting Trump's campaign through various initiatives. On the other hand, Harris is backed by influential tech leaders such as Bill Gates and Eric Schmidt. Her campaign focuses on upholding AI regulations that emphasize transparency, accountability, and civil rights, aiming to enhance AI safety standards while collaborating on international policies. Experts believe Harris could foster AI investment, but it may be less aggressive than under a Trump administration. The election outcome is poised to significantly impact US AI policy. A Trump victory could lead to an emphasis on self-regulation and investment, whereas a Harris win might maintain current regulations with an emphasis on ethical frameworks. Both candidates are committed to ensuring the US remains a leader in AI development and innovation. #AI #SouthKorea https://lnkd.in/gnUQaakf

The rising capital demand in the semiconductor industry has led to two major lending opportunities for the National Bank of China in September. The Financial Supervisory Commission reported significant lending growth for the National Bank of China in September, with loans increasing by 302.7 billion yuan, up from 276.4 billion yuan the previous month. This growth was primarily driven by a 152.3 billion yuan rise in real estate loans and a 147.7 billion yuan increase in working capital loans, reflecting the funding needs of the semiconductor and information industries. By the end of September, national bank profits reached a record 420.68 billion yuan, marking a 10% annual increase. Growth was fueled by increased handling fees from financial management and lending, as well as gains from overseas bank investments and favorable currency conditions. Additionally, reduced bad debt expenses from overseas branches contributed to enhanced profitability. Personal loans rose by 219.9 billion yuan in September, with real estate loans increasing by 152.3 billion yuan—though lower than the 172.2 billion yuan increase in August. Hou Liyang from the Banking Bureau attributed these trends to repayments in the real estate sector and central bank credit controls. Meanwhile, working capital saw substantial growth due to heightened demand in the semiconductor sector, with corporate investments increasing by 5.4 billion yuan. National bank deposits also grew, exceeding 58 trillion yuan, an increase of 117.2 billion yuan month-on-month. This increase was driven by factors such as corporate overseas income and international fund allocations. Hou Liyang noted these developments as positive indicators of the domestic economy, highlighting an upward trend amid rising capital demands in the semiconductor industry. #Semiconductors #Taiwan https://lnkd.in/g5kGWscs

ITcen Group, Conquering the Global Market with Eco-Friendly Data Centers The ITCEN Group plans to construct an energy-efficient AI data center in collaboration with Aquatron Data Center, following the signing of a memorandum of understanding on November 6. The facility is designed to be carbon-neutral by capturing 95% of CO2 emissions for green cement production, with a projected power usage effectiveness (PUE) of 1.051. Aquatron will supply key technologies, including DC conversion, advanced cooling systems, and carbon capture solutions, while ITCEN will provide essential IT infrastructure, security services, and comprehensive cloud-managed services incorporating application modernization and SaaS integration. The data center will employ natural gas, hydrogen, and ammonia for energy, utilizing direct current technology to minimize power conversion losses and improve efficiency. Aquatron's high-density design also meets military-grade compliance with U.S. Department of Defense regulations. This partnership focuses on implementing carbon-neutral data center projects globally, establishing sustainability best practices. CEOs Michael Kim and Jinmo Kang expressed optimism about adapting to the growing AI data center market while fulfilling carbon neutrality and environmental, social, and governance (ESG) objectives. #CloudComputing #SouthKorea https://lnkd.in/gky8qnRk

AI expert Andrew Ng focuses on agent-based AI and talks about 5 major trends affecting Taiwan’s industry The "Forward-looking AI Agents, Subverting Future Imagination" forum featured a keynote by AI expert Dr. Andrew Ng, who emphasized the significance of agent-based AI for the future. In a panel discussion, industry leaders examined the prospects of agent-based AI and the opportunities it presents for Taiwan. Ng identified five trends shaping Taiwan's industry through AI advancements. There will be increased demand for efficient token generation technology to support agent AI's text processing capabilities, particularly benefiting Taiwan's semiconductor sector. Generative AI is also enhancing prototype development and innovation processes, while rapid progress in image analysis technology is poised to create new visual AI applications that leverage Taiwan's strengths. High computational costs in AI are expected to change data flows, leading to more cross-border AI applications and reducing the need for centralized data. Ng stressed the need for effectively managing unstructured data like text and images for companies to maximize AI's potential. Weng Jiasheng from Taishan Investment noted that generative AI is driving significant global industrial changes, with Taiwan's semiconductor industry being a vital player in the competitive landscape. Weng highlighted that AI is recognized as one of the "five most trusted industries" by the Taiwanese government, resulting in substantial funding to enhance the AI ecosystem. This support aims to promote the development of generative AI technologies and applications. Weng expressed optimism about Taiwan's ability to integrate software and hardware, positioning the region to thrive in the evolving generative AI market. #AI #Taiwan https://lnkd.in/gSVnvGE8

Meta and Microsoft are open to big AI investments (WSJ Japan Edition) Microsoft and Meta Platforms are ramping up their investments in artificial intelligence (AI), following strong third-quarter earnings reports. Despite surpassing sales and profit expectations, both companies saw a dip of about 3% in stock prices during after-hours trading. They forecasted that sales for the upcoming quarter may meet or just miss analyst projections, while committing to ongoing substantial AI capital investments, with Meta likely to boost its spending next year. In 2024, Microsoft has allocated around $53 billion to AI, marking a capital expenditure ratio of 28%, well above the 12% average from 2014 to 2023. Meta's capital expenditures are projected to be between $38 billion and $40 billion this year, representing approximately 24% of its expected annual sales, compared to an average of 19% over the last decade. The high costs of delivering generative AI services arise from the need for considerable processing power and advanced data centers, which take significant time and investment, especially for cutting-edge technologies from companies like NVIDIA. #AI #Japan https://lnkd.in/gP7Ke_87

Strong demand for AI Palantir financial report and forecast exceed expectations Driven by robust demand for artificial intelligence (AI), Palantir reported a strong last quarter, with net profit doubling and revenue surpassing expectations. The company raised its revenue forecast, causing its stock price to jump 14% to $47.2 before the US market opened on the 5th. Year-to-date, Palantir's stock has risen 141%, outperforming the 21% increase in the Nasdaq Index. It was also added to the S&P 500 index in September. For the third quarter, Palantir's revenue grew 30% year-on-year to $726 million, exceeding analysts' expectations of $701 million. Net profit increased to $144 million from $71.5 million in the same quarter last year, with adjusted earnings per share hitting 10 cents, above the forecast of 9 cents. CEO Alex Karp attributed the success to consistent demand for AI technology from U.S. government and enterprise clients. Looking ahead, Palantir estimates fourth-quarter revenue between $767 million and $771 million, surpassing the analysts' prediction of $741 million. The full-year forecast was also raised to between $2.805 billion and $2.809 billion, marking a 26% annual growth and exceeding Wall Street's $2.76 billion prediction. U.S. commercial revenue is expected to exceed $687 million this year, reflecting a 24% increase. Additionally, the company projected adjusted operating income of $1.054 billion to $1.058 billion, above analyst estimates of $980 million. Karp noted the rapid adoption of Palantir's platform and AI technology by U.S. institutions as a key growth driver. However, CFO David Glazer mentioned a 7% decline in international business revenue last quarter, attributed to market challenges in Europe and the Middle East. #AI #Taiwan https://lnkd.in/gC4ewtCB

Nanyang Technological University (NTU) and venture capital firm Walden International have launched the S$50-million Nanyang Frontier Fund to support deeptech startups. The fund aims to help startups transition from lab research to market readiness, focusing on artificial intelligence, robotics, and high-end engineering. Singapore's Deputy Prime Minister Heng Swee Keat inaugurated the fund, which is the first venture capital fund in Singapore dedicated to a university. Tan Lip-Bu, Chairman of Walden, contributed S$5 million, matched by NTU. Meanwhile, HCL Technologies is setting up an artificial intelligence laboratory in Singapore, slated to open next year. This facility will showcase HCL's generative AI products and enhance AI initiatives for Southeast Asian clients. Additionally, HCLTech has signed memorandums of understanding with Nanyang Polytechnic and Singapore Polytechnic to provide AI training for young talent and mid-career professionals. Supported by Singapore's Economic Development Board, this will be HCLTech's fifth AI facility worldwide, following locations in the US, UK, India, and Germany. #AI #India https://lnkd.in/gbnyc4Qc

Acer Information's operating profit for the first three quarters "all hit record highs"! AI and cloud support stable growth Acer Information reported strong financial growth in Q3, with revenue of 2.18 billion yuan and an operating net profit of 178 million yuan, resulting in a net profit of 140 million yuan. This growth is attributed to rising customer demand for cloud services and information security products, achieving record highs compared to the previous year. Cumulative revenue for the first nine months reached 6.7 billion yuan, a 15% annual increase, with net profit after tax at 440 million yuan, reflecting an 11% year-on-year rise. The surge in cloud service demand is largely driven by enterprises' digital transformation efforts and increased reliance on data governance and AI consulting. Zhou Xingrong, general manager of Acer Information, highlighted that the effectiveness of AI is reliant on proper data management, which enhances data accuracy, integrity, and security, improving the reliability of AI applications across various sectors. Acer Information is dedicated to promoting "responsible AI" by prioritizing data management and security. The company aims to improve AI integration in enterprises and governments through a comprehensive service offering that includes consulting, development, and maintenance. Their "AI accelerator platform" and "MDR heterogeneous information security hosting platform" are designed to address complex data management challenges, positioning AI as a critical asset for operational growth and innovation. #AI #Taiwan https://lnkd.in/gAiNK-3G

Self-driving minibuses and logistics vehicles will soon be tested on Singapore's roads as part of the country's push for autonomous vehicle technologies. Transport Minister Chee Hong Tat highlighted that these vehicle types will initially focus on scalable deployment along fixed routes, leveraging successful international experiences. This strategy aims to mitigate deployment risks through lower speeds and controlled usage while addressing manpower shortages in logistics and public transport. The Land Transport Authority (LTA) has already sanctioned self-driving vehicles for specific applications, including electric robo-sweepers used by Chye Thiam Maintenance and vehicles for goods transfers by FairPrice Group, both of which have been successfully tested abroad. The LTA is eager to partner with more companies exploring AV opportunities and plans to deploy autonomous minibuses in collaboration with a public bus operator, starting on simpler routes and progressing to more complex ones as experience is obtained. Although robo-taxis are not the current focus due to their complexity, Singapore is open to future proposals. Mr. Chee acknowledged that Singapore's progress in driverless vehicle technology has not met earlier expectations since the rollout began in 2015 and committed to provide updates as these initiatives develop. #AI #Singapore https://lnkd.in/gYuckXsT