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Indonesia's nascent generative AI sector faces challenges in scaling up
Industry experts suggest that the local AI sector will need government support, including funding as well as regulatory frameworks, for Indonesian developers to scale up and join the global technology race.
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A mobile phone displays the ChatGPT logo against a background screen with the OpenAI logo, in this picture taken on Jan. 23 in Toulouse, southwestern France. (AFP/ Lionel Bonaventure)
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ndonesia possesses the capacity to develop its own generative artificial intelligence (AI) models but it is currently limited to small-scale models, and unless the government is willing to step in, scaling up to more sophisticated models will be out of reach for many firms, never mind catching up with foreign AI developers.
The country’s generative AI sector was still in the early stages of development, said Lukas, chairman of the Indonesia Artificial Intelligence Society (IAIS).
Speaking to The Jakarta Post on Tuesday, Lukas said a considerable number of developers were young, fresh graduates and currently limited to the experimental stage, which was why some seemed reluctant to joined the IAIS.
He added that only businesses could afford generative AI solutions at the moment, which would explain the prevalence of business-to-business (B2B) models in the country’s generative AI sector.
“Not all [generative AI] seem to attract immediate user adoption,” Lukas said. “Even global generative AI platforms are racing against time, with free trials attempting to demonstrate time and cost efficiency to investors.”
For instance, the widely popular ChatGPT reportedly cost its developer OpenAI up to US$700,000 a day for its expensive technology infrastructure, according to The Information, a news website specializing in the tech business. The cost was likely even higher since the launch of GPT-4, its latest model.
While Lukas emphasized that only large firms could accommodate such exorbitant costs, he also expressed his concern that the current AI hype might overshadow the need for substantial work and improvement in the sector.
