Global technology and consulting firms are confident in Thailand's growth in the digital era, urging local organisations to accelerate their adoption of cloud and artificial intelligence (AI) technologies, as well as pursuing robust cybersecurity and data privacy measures.
"We recently announced the near completion of our data centre construction project, which is set to be launched in 2025. This will be the largest hyperscale data centre in Thailand, with a US$5 billion investment, and will position Thailand at the forefront of the digital economy," said Vatsun Thirapatarapong, country manager at Amazon Web Services (Thailand).
"It marks one of the most significant milestones in my career as a long-time digital professional. I consider it a once-in-a-lifetime investment opportunity."
A six-month battle with neighbouring countries preceded the investment as the neighbours were vying for the same opportunity, Mr Vatsun said at the Thailand Focus 2024 seminar, which was recently held by the Stock Exchange of Thailand.
Mr Vatsun said that last year the company injected around 13 billion baht in foreign direct investment into Thailand, reflecting a positive outlook for the country's future. The investment brings innovation to all sizes of business to help them access high-performance technologies.
He said the investment will enhance the ability of the company's partners and customers to leverage cloud technology and position Thailand for future growth in the digital era.
REGIONAL HUB
Patama Chantaruck, country managing director at professional services company Accenture Thailand, said in the same seminar that organisations are facing three major challenges: a digital infrastructure gap, the effective utilisation of technology, and a shortage of skilled talent.
"At Accenture, we've grown from nearly 1,000 employees in Thailand when I joined to 5,300 today, all within two years," she added.
The company has focused on cost savings, efficiency improvements, and management change. It also established the Accenture Intelligent Operations Center in Bangkok to tackle the talent shortage.
The centre now employs people from 17 different nationalities and serves global clients in procurement, finance, operations, marketing, and trust and safety.
In addition, the company acquired Rabbit's Tale, a Bangkok-based creative and digital experience agency, to enhance its digital marketing capabilities in Thailand.
"The fact that 70% of our team in Thailand are Thais, while 30% come from around the world, highlights the confidence companies like Accenture have in Thailand as a key regional hub for serving global customers," Ms Patama said.
"Our current workforce of 5,000 employees is just the beginning. We aim to expand to 10,000 within two years. We are confident that Bangkok can serve as a global hub, utilising both the local talent and the robust infrastructure and policies in place to attract investors."
AUTOMATED PROCESS
Pochara Arayakarnkul, chief executive of digital transformation consulting firm Bluebik Group, said digital innovations and cloud technology provide significant benefits by automating tasks, improving decision-making, enhancing agility, ensuring stability, and offering scalable solutions.
Physical tasks can also be automated using robots and digital applications, significantly reducing manual labour.
Ms Patama said generative AI (GenAI) created a lot of excitement when it first emerged, revolutionising how businesses approach various tasks. However, its adoption in organisations has been somewhat slow.
"This isn't due to a lack of interest, but rather concerns about data management and monetisation. Effective use of GenAI requires robust data models to ensure quick and accurate decision-making," she said.
Thailand's growing infrastructure is addressing these needs, offering secure and advanced data solutions. The focus on data security is crucial, as every investment in the country is evaluated based on its infrastructure and security capabilities, Ms Patama said.
Overall, Thailand's digital transformation, supported by government initiatives and partnerships between private and academic sectors, is paving the way for continued innovation, she said.
GLOBAL COMPETITION
Mr Pochara said there will be more Thai companies competing on the world stage, and obviously that would drive them to be more competitive and in need of technology.
Thailand has all the right ingredients for success with talent, even though its labour costs may be higher than in some other countries, he added.
"In the next five to 10 years, we're likely to see a significant shift towards digital orientation, with some companies even becoming digital-first," said Mr Pochara.
"Our economy will experience rapid growth in the digital era."
Mr Vatsun said Thailand will become a key hub for Cambodia, Laos and Myanmar, especially to serve their increasing cloud needs.
He added that Amazon is a leading spender on R&D, investing $50 billion annually. It is eager to share how its culture of innovation can benefit organisations in Thailand.
Mr Vatsun said the country also needs to address cybersecurity and data privacy.
He said GenAI adoption is still somewhat limited as many are concerned about potential inaccuracies or "hallucinations" produced by AI, and whether these could lead to legal issues if the AI outputs are used externally.
These concerns are a significant barrier for broader adoption of GenAI, said Mr Vatsun.
The AI hallucinations refer to incorrect results that AI models generate.
"We are still in the proof-of-concept phase, and the technology has yet to transition widely into real-world production," he said.
