Singapore, traditionally considered one of Asia's leading technology hubs, is facing a paradoxical problem: despite a high level of digitalization, local IT leaders are widely complaining about the inability to scale artificial intelligence. According to a recent market analysis, 78% of respondents from Singapore indicated that the lack of modern infrastructure for working with real-time data is the main obstacle to AI adoption.

The study, which covered 4,625 IT leaders from 14 countries, revealed an alarming trend: 72% of companies worldwide have encountered three or more serious barriers to scaling AI initiatives. In Singapore, this figure is even higher at 78%. These are not just numbers, but a signal of a systemic crisis.

Key Barriers to AI

Data analysis shows that the main challenges for Singaporean companies form a clear hierarchy:

  • Insufficient infrastructure for processing streaming data — 72% (up from 61% in 2025). This is the most critical point.
  • Chronic shortage of qualified AI personnel — 71%.
  • Uncertainty in data quality and timeliness — 66%.
  • Fragmented data ownership — 65%.
  • Limited integration of new sources — 64%.

The issue is particularly acute with agentic AI—systems that must make decisions "here and now." Without real-time infrastructure, such projects are doomed to fail. Unsurprisingly, over 73% of Singaporean IT leaders have already frozen their AI projects. For comparison, across the Asia-Pacific region as a whole, this figure is 74%, and 53% of projects have been completely shut down.

Notably, despite the challenges, 86% of Singaporean leaders cite data streaming as one of their top investment priorities, alongside AI and machine learning. This indicates an understanding of the problem, but not a readiness to solve it quickly.

Expert opinion: The Singapore case is a vivid example of how technological progress runs into the fundamental limitations of legacy infrastructure. Until companies rebuild their systems on a real-time architecture, all talk of "advanced AI" will remain mere marketing slogans. Investment in data streaming is not an option, but the only path to survival in the new paradigm.