Government, business must seize innovation edge

Singapore—Few regions are as positive about innovation as the Asia-Pacific (APAC). And for good reason: Trade and technology have been central to the region’s growth and development, while innovation has made the region richer, healthier, and better educated.

Edelman’s 2024 APAC Trust Barometer study found that people in this region are more likely than others elsewhere to believe in the promise of technology. The majority trust green energy (75 percent), artificial intelligence or AI (62 percent), and even gene-based medicine (56 percent).

In the case of AI, APAC has a 12-point lead over the global average (50 percent), suggesting greater optimism toward AI’s future-defining potential. This is reflective of a broader attitude toward innovation in APAC, an advantage that the region’s business and government leaders must seize as people feel secure enough to embrace it. However, this is a window that could quickly close if they don’t act soon. Edelman’s survey revealed that there is a backlash against technology globally, and it would be wishful thinking to suggest that APAC is immune to such emerging doubts.

Why are so many people globally, and potentially in APAC, wary of innovation? Edelman’s trust study this year found that by a margin of two to one, people around the world feel that the process of technological change is not being well-managed. Worries abound that emerging technologies are not being vetted by scientists and ethicists, and are more focused on narrow benefits for business and other elites.

Many want a better explanation, in layman’s terms, of the benefits of scientific advances and more engagement on how they might improve their lives. Many believe that today’s ultimate managers of technological innovation care more about profit than social progress. Among those who think innovation is poorly managed, 70 percent believe that society is changing too quickly and in ways that will not benefit “people like me.”

Perhaps even more worrying, there’s a concern that governments are not equipped to address the implications of technology, given the relentless pace of change. A majority thinks regulators lack adequate understanding of emerging technologies to regulate them effectively (61 percent). Many are concerned that regulators and politicians will place their political interests ahead of doing what’s right. More than half (53 percent) of people in APAC are concerned that science has become politicized, while 60 percent think governments and organizations that fund research have too much influence on how science is done.

These findings could have electoral implications, with eight elections scheduled to take place in Asia over the rest of this year. Those who think innovation is poorly managed are 39 percent less likely to trust that the system is fair to all segments of society than those who think it is well-managed. Troublingly, there was even a 26-point gap between those two groups when asked if the capitalist system as it is today does more harm than good in the world. Another concern: the risk of AI being tapped for misinformation campaigns. Fear of an information war (62 percent) jumped by seven points from last year, while many believed that journalists (64 percent), government leaders (59 percent), and business leaders (59 percent) are purposely trying to mislead people by saying things they know are false.

In APAC, business (65 percent) is closely followed by government (62 percent) as the most trusted to integrate innovation into society ahead of nongovernment organizations and media. These trust levels are higher than global levels (59 percent for business and 50 percent for government). As the most trusted institution, business must lead the way. Nearly two thirds (62 percent) expect CEOs to manage changes occurring in society and not just in their business. Around eight in 10 employees say it’s important for their CEO to speak publicly about job skills of the future (83 percent), the ethical use of technology (82 percent), and automation’s impact on jobs (81 percent).

And it’s vital for business and government to work together to nurture trust. Trust in technology is a human problem that can’t be solved with more technology. It is less about the innovation itself, and more about how business and government must lead an honest conversation about its impact while establishing guardrails to maximize the benefits and minimize possible negative consequences.

The benefits of a trusting environment are clear, but our leaders need to act now. Time could well be running out. Asia News Network

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Danny Quah is the dean and a Li Ka Shing professor in economics at the Lee Kuan Yew School of Public Policy, and Warren Fernandez is CEO for Asia Pacific of Edelman. The article was contributed by the writers to the Asia News Network.

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The Philippine Daily Inquirer is a member of the Asia News Network, an alliance of 22 media titles in the region.