ASIATODAY.ID, NEW YORK – The Asia-Pacific region is emerging as the epicenter of a new technological fault line as artificial intelligence (AI) accelerates at unprecedented speed.
A new report from the United Nations Development Programme (UNDP) warns that, without responsible governance, AI could dramatically widen inequalities between countries—undermining decades of development progress.
The report, “The Next Great Divergence: Why AI May Widen Inequality Between Countries,” reveals that nations are entering the AI era with vastly different levels of readiness. Without timely and inclusive policies, these disparities could intensify, threatening global development stability.
Asia-Pacific Becomes Ground Zero of the Global AI Gap
Home to 55% of the world’s population and more than half of global AI users, the Asia-Pacific region stands at a critical crossroads. The report highlights a booming innovation landscape: China accounts for 70% of global AI patents, while six countries in the region have produced over 3,100 new AI companies in recent years.
AI is projected to boost the region’s annual GDP growth by 2 percentage points and contribute nearly USD 1 trillion to ASEAN economies over the next decade.
Yet this rapid expansion risks deepening a digital divide with far-reaching consequences.
“AI is developing at extraordinary speed, and many countries are still at the starting line,” said Kanni Wignaraja, UN Assistant Secretary-General and UNDP Regional Director for Asia and the Pacific on December 2, 2025.
“Asia and the Pacific show how quickly gaps can form between countries that shape AI and those shaped by AI.”
The Era of Global Convergence Is in Jeopardy
For nearly five decades, lower-income countries have steadily closed the development gap with high-income nations through technology, trade, and human development. However, UNDP warns that AI could reverse this convergence if left unmanaged.
Digital readiness in the region varies sharply:
Singapore, South Korea, and China are frontrunners with major investments in AI infrastructure and talent.
Other countries continue struggling with basic connectivity and digital literacy.
This disparity is intensified by structural barriers such as limited computing capacity, insufficient regulation, and growing environmental pressures, including the massive water and energy needs of AI systems.
AI and Resource Stress: Water and Energy Become the New Battleground
UNDP emphasizes that AI development must be aligned with sustainable natural resource management.
“AI progress must not come at the expense of the planet,” said Sara Ferrer Olivella, UNDP Indonesia Resident Representative.
“As AI systems drive up water and energy demand, integrated water–energy–food planning becomes critical—especially for countries like Indonesia striving for sustainable growth.”
Women, Youth, and Indigenous Communities Face Heightened Risks
The report flags significant social vulnerabilities:
Jobs held by women are nearly twice as likely to be automated.
Employment opportunities for youth aged 22–25 are shrinking in AI-disrupted sectors.
In South Asia, women are up to 40% less likely to own a mobile phone than men.
Rural and Indigenous communities are often excluded from AI datasets, increasing algorithmic bias and limiting access to essential services.
AI Also Offers Major Governance Opportunities
Despite the risks, Asia-Pacific is home to pioneering examples of AI-driven public service improvements:
Bangkok’s Traffy Fondue platform has processed almost 600,000 citizen reports.
Singapore’s Moments of Life platform drastically reduces administrative processing time.
Beijing’s digital twin technology is helping improve urban planning and flood mitigation.
Yet UNDP warns that AI regulation is severely lagging. By 2027, more than 40% of AI-related data breaches are projected to come from generative AI misuse.
“In the AI era, capability is destiny,” said Philip Schellekens, UNDP Chief Economist for Asia and the Pacific.
“Countries that invest in skills, computing capacity, and governance systems will thrive; those that do not will fall behind.”
(AT Network)
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