Southeast Asia is home to almost 700 million people, with a combined economy valued at US$3.94 billion. Rapid growth has seen gross domestic product (GDP) almost double over the last decade, rising from just over US$2 billion in 2010.
GDP per capita has also rocketed, quadrupling from US$1,250 per capita in 2000 to US$5,800 per capita in 2023. This is a region on the rise, with a young and aspirational population ready to grasp new opportunities… but where are we going when it comes to GenAI? Well don’t just take our word for it!
I’m as worried about GenAI stealing my job as the next person. The truth is though, once the fear had passed and I stopped considering my transition to the farming industry, I began to explore the transformative positive impact GenAI could have on our content creation. Every content creator and brand needs to start that journey, recognise the huge opportunities, reflect on the challenges, and consider where GenAI will transform their business.
Josh Turner,
Content Director, Content Nation
There are obviously regional differences in assessing this landscape—the per capita income and economic maturity of Singapore is vastly different to that of Vietnam, making for fascinating dynamics on how GenAI might impact the region. However, the fundamental fact is this is a rapidly developing region with increasing affluence, and one not afraid to grab technology by its tail.
Rising mobile penetration and increasing broadband usage reveal the region’s tech-focused picture, powering a digitally engaged economy ripe for both content creation, and its disruption by GenAI capabilities.
Internet penetration across the region reached 80% in 2022, meaning more than 460 million citizens are connected online. Mobile penetration stands at over 96% according to the ASEAN Secretariat, in an increasingly mobile-first landscape.
Smartphone penetration is also on the rise. According to mobile industry association GSMA, smartphone penetration in Southeast Asia was 53.9% in 2022, and is projected to rise to 63.4% by 2025.
Time spent online across Southeast Asia consistently outperforms global averages, with our digital-intensive region hoovering up content online. All those citizens glued to phones or scrolling Instagram, Facebook, and Tiktok are a sign of *potential*.
All of this would seem to offer fertile ground for GenAI content creation. We know from our work at Content Nation how powerful digital content can be. Our recent work as digital content partner for major energy conference Energy Asia generated over 108 billion total impressions globally, with almost 2.2 million video views and a total reach of over 48 million views across all content types in just three months. These figures show that the audience for digital content is booming.
One unique dynamic of Southeast Asia which cannot be overlooked in this disrupted GenAI landscape is English usage and proficiency. English is a primary business language across much of the region, and while commonly used in conversation, writing levels can vary significantly.
The respected English First (EF) English Proficiency Index offers a solid benchmark of English proficiency. The Index assigns scores from 1 to 800, based on test data from more than 2.1 million English tests across the world.
The average score across Asia, including Southeast Asia, is 500, with Singapore achieving a very high proficiency level with a score of 642 (second only to the Netherlands), and Laos scored at 364 (the lowest score globally). Philippines (22nd) and Malaysia (24th) all perform well on a global scale, achieving high proficiency scores. Vietnam (60th) and Indonesia (81st) are in the bottom half of the global rankings, with low proficiency, and Myanmar (93rd), Cambodia (94th), and Thailand (97th), are in the bottom quartile—very low proficiency.
These varied English proficiency levels offer a powerful market opportunity in a region leveraging English for business communications. This means GenAI can offer a particularly attractive solution—readily creating communications in the common business language, but at a level of accuracy above that of many users in the region. This provides a compelling opportunity for many, but one which must be framed against the complex considerations around GenAI usage.
There’s another fascinating dynamic which may emerge across Southeast Asia. Countries like Vietnam and the Philippines—with relatively high English proficiency but comparatively low income per capita—could potentially emerge as GenAI content farms of the future, echoing the evolution of the business process outsourcing (BPO) industry.
The revenue generated by BPO in Vietnam doubled between 2016 and 2022, and is projected to double again to reach US$840 million dollars by 2028. While that’s modest in comparison to some industries, it shows the fascinating potential for GenAI to follow a similar, but more accelerated path.
It seems that there are two ways that GenAI might emerge in the region—as a simple source of low-value, globally generated content, or as a genuine value amplifier that accelerates digital economies across the region. It’s far too early for a humble content agency like ourselves to predict that journey, but the considerations on usage outlined later in this report could well dictate the destination. When it comes to Content Nation, our own view is that GenAi is a value amplifier that enhances already high-quality content.
