Can Singapore’s businesses afford to delay digitalization and AI adoption in 2025?

That’s the provocative question raised by the latest UOB Business Outlook Study 2025, which surveyed 900 business leaders across SMEs and large enterprises in Singapore. 

Despite global headwinds—including US tariffs and rising costs—Singaporean businesses remain optimistic, with 1 in 2 still reporting a positive outlook for 2025. 

But beneath the surface, two strategic imperatives are crystal clear: 

1️⃣ AI adoption is no longer optional 

• 53% of businesses are already using AI, and 46% are tapping into generative AI like ChatGPT. 

• Over 6 in 10 say their digitalization efforts have yielded tangible success—and they’re doubling down, with 74% planning to increase digital spending in 2025. 

2️⃣ Digitalization is not just about tech—it’s about resilience 

• Businesses are digitalizing supply chains, customer service, and even expense management. 

• Those who’ve succeeded cite faster procurement, better productivity, and reduced manual work as key outcomes. 

But here’s the catch: cybersecurity risks, high implementation costs, and a lack of internal digital skillsets remain top barriers. Overcoming these will require strategic investment, ecosystem partnerships, and ongoing upskilling. 

In a world reshaped by AI and automation, agility isn’t a buzzword—it’s a business necessity. 

Which begs the question: Is your organization ready to lead or lag in the digital economy? 

#DigitalTransformation #AIAdoption #Automation #SMEs #Singapore #AgenticWorkflow #AIAgents #BusinessOutlook #FutureOfWork