Southeast Asia already has 243 million generative artificial intelligence users, equivalent to 58% of the economically active population considered by the e-Conomy SEA 2026 study. Released this Wednesday (21) by Google, Temasek and Bain & Company, the report also projects that the region's digital economy will generate US$ 368 billion in 2026, a 17% increase compared with the previous year.
E-commerce remains the main sector of this market, with US$ 226 billion in gross merchandise value (GMV) projected for the year, up 18%. The indicator represents the value of products and services traded by the platforms, not companies' net revenue or profit.
The expansion also reaches other segments. Online travel bookings are expected to generate US$ 59 billion, while transport and food delivery services could reach US$ 40 billion. The study also identifies growth in digital payments and in the use of AI to research products, compare prices, and plan purchases.
Despite rapid adoption, AI monetization remains limited. In the six main markets analyzed, only 1% to 2% of the population pays for generative AI accounts, while the majority remains on free plans.
Florian Hoppe, a partner at Bain & Company, highlighted that the market's next stage will depend less on the number of users and more on the depth of use of the technology. According to the executive, companies' ability to incorporate AI into the different stages of the consumer journey will be decisive in expanding its economic value.
Two data center deals account for 76% of disclosed funding
Funding for Southeast Asia's digital economy reached US$ 21 billion in the first half of 2026, compared with US$ 11 billion recorded throughout 2025, according to a Reuters report reproduced by The Business Times.
The comparison, however, hides a significant concentration of capital.
Two major data center-related deals account for approximately US$ 16 billion, or 76% of the disclosed value. The first involves the acquisition of ST Telemedia Global Data Centres, valued at US$ 11 billion. The second is related to DayOne, with an approximate value of US$ 5 billion.
These transactions help explain the increase in funding, but they do not demonstrate a uniform expansion of the resources available to startups and technology companies. The volume includes large infrastructure deals, whose values do not necessarily equate to new contributions intended for the companies' operations.
The survey itself presents a narrower breakdown: private funding for AI applications reached US$ 3.2 billion in the first half of 2026, compared with US$ 900 million in the same period of 2025. This category excludes data centers, semiconductors, and physical AI companies, highlighting the difference between the investment universes.
Infrastructure will also be decisive in sustaining projected growth. Google, Temasek and Bain estimate that regional data center capacity will need to approximately triple over the next five years to keep pace with the expected expansion of artificial intelligence consumption.
The report projects that Southeast Asia's digital economy could surpass US$ 1 trillion in GMV by 2035. This outlook, however, depends on conditions such as greater commercial use of AI, expansion of computing capacity, and economically sustainable business models.
