Artificial Intelligence (AI), Internet of Thing (IoT), blockchain and 5G will drive an estimated S$49.79 billion in to the Singaporean economy by 2029, according to new research from Digital Realty.
The Digital Capital Index report also suggests that these technologies will $721 billion in revenue per year to 60 of the largest cities around the world by 2029.
Among these cities, Singapore ranked fifth — after New York, Los Angeles, Tokyo, San Francisco — being predicted to be the world’s leading digital capitals before the end of this decade. The rest of the top 10 include London, Chicago, Toronto, Paris and Hong Kong.
Currently ranked sixth in the Digital Capitals Index itself, Singapore is predicted to improve its global ranking by one notch — moving up to fifth overall — by 2024.
The contribution of the four emerging digital technologies to the Singapore economy in 2019 is estimated to be worth S$12.47 billion, with IoT contributing 51% or S$6.38 billion. By 2024, the contribution of the technologies to the annual value of Singapore’s economy is expected to grow to S$29.39 billion, and by 2029, it is predicted to reach $49.79 billion.
“Technologies such as AI, IoT and blockchain are already being used across various industries, and 5G usage is expected to grow with the roll-out of commercial networks in the coming year,” said Mark Smith, managing director for Asia Pacific at Digital Realty.
“With a highly skilled workforce, excellent communications infrastructure and progressive government policies, Singapore is well-poised to be a leading digital capital and leading driver of technology growth,” said Smith.
Globally, among the four leading technologies, AI is expected to account for 46% of value growth across cities. A further 22% of the overall increase is expected from 5G and nearly 21% from IoT, while blockchain is expected to account for the final 11%. Although the biggest economic contributor is AI, 5G is expected to grow at the fastest rate over the 2019-2029 period.