Partnering with Johor Special Water (JSW), AirTrunk is building a recycled water supply system for its JHB1 and JHB2 data centre campuses in Johor. The project involves re-purposing unused wastewater and is the largest of its kind in Malaysia to date. It aims to reduce reliance on potable water by providing an alternative source for operational needs.

The initiative includes investments in treatment and supply infrastructure for locally-produced recycled water. Once operational, the system will support cooling and other non-potable uses at AirTrunk’s facilities, helping to contribute to more sustainable water management in the region. The company responds to calls by both the federal and state governments to look into alternative water sources in the face of growing demand.

The recycled water initiative complements broader environmental features at AirTrunk’s Johor facilities, including the liquid cooling system installed at JHB1 in 2024. The design supports energy-efficient operations and is in line with efforts to optimise the use of natural resources.

AirTrunk’s second Johor data centre, JHB2, is currently under development in Iskandar Puteri. The facility will be scalable to over 270MW, increasing the company’s total investment in Malaysia to RM9.7 billion (approximately US$2.2 billion). JHB2 is located in a major availability zone and will be built with a target power usage effectiveness (PUE) of 1.25. Customers will also have access to multiple renewable energy options.

The company’s existing JHB1 also includes onsite solar installations and a virtual power purchase agreement (vPPA) for 30MW of renewable energy under Malaysia’s Corporate Green Power Programme.

To support future energy needs at JHB2, AirTrunk is working with national utility Tenaga Nasional Berhad (TNB) through the Green Lane Pathway for Data Centres initiative. The collaboration is expected to fast-track high-voltage electricity supply and includes a plan for AirTrunk to allocate land for TNB to build a new substation.

Chief Minister of Johor YAB Dato’ Onn Hafiz Ghazi welcomed the partnership with JSW, noting both its environmental and economic contributions. “The initiative addresses environmental concerns and also brings significant economic benefits to the state. It is a testament to the positive impact that public-private partnerships can have on our community,” he said.

JSW is a wholly owned entity under Permodalan Darul Ta’zim (PDT). A spokesperson said, “Collaborating with AirTrunk on this recycled water initiative is a significant milestone for JSW. It reflects our shared vision for sustainable water solutions and demonstrates how innovative thinking can lead to tangible benefits for both industry and the community. At the same time, we highly appreciate IWK’s role in providing treated effluent sources, which has been instrumental in completing this collaboration.”

AirTrunk currently operates 12 data centres in the Asia Pacific region, in Australia, Singapore, Japan, Hong Kong, and Malaysia. Its hyperscale platform now offers nearly 1.8GW of total capacity. In 2023, Blackstone and the Canada Pension Plan Investment Board acquired the company in what became the largest-ever deal to date in the sector, valued at US$16.1 billion.

(Image source: “Data Center” by Bob Mical is licensed under CC BY-NC 2.0.)

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The artificial intelligence race between China and the United States has entered a new phase as Chinese companies narrow the technology gap despite Western sanctions.

According to Lee Kai-fu, CEO of Chinese startup 01.AI and former head of Google China, the gap in core technologies has shrunk from “six to nine months” to “probably three months,” with China actually pulling ahead in specific areas like infrastructure software engineering. The Chinese AI startup DeepSeek has become the epicentre of the intensifying technological rivalry.

On January 20, 2025, while the world’s attention was fixed on Donald Trump’s inauguration, DeepSeek quietly launched its R1 model – a low-cost, open-source, high-performance large language model with capabilities reportedly rivalling or surpassing OpenAI’s ChatGPT-4, but at a fraction of the cost.

“The fact that DeepSeek can figure out the chain of thought with a new way to do reinforcement learning is either catching up with the US, learning quickly, or maybe even more innovative now,” Lee told Reuters, referring to how DeepSeek models show users their reasoning process before delivering answers.

Innovative efficiency: China’s response to chip sanctions

DeepSeek’s achievement is particularly notable because it emerged despite US restrictions on advanced processor chip exports to China. Instead of being hampered by international limitations, Chinese companies have responded by optimising efficiency and compensating for lower-quality hardware with quantity.

The adaptive approach was demonstrated further on March 25, 2025, when DeepSeek upgraded its V3 large language model. The new version, DeepSeek-V3-0324, features enhanced reasoning capabilities, optimised front-end web development, and upgraded Chinese writing proficiency. DeepSeek-V3-0324 significantly improved in several benchmark tests, especially in mathematics and coding. Häme University lecturer Kuittinen Petri highlighted the significance of these advancements, stating on social media:

“DeepSeek is doing all this with just [roughly] 2% [of the] money resources of OpenAI.” He added that when he asked the new model to “create a great-looking responsive front page for an AI company,” it produced a mobile-friendly, properly functioning website after coding 958 lines.

Global market implications

The impact of China’s AI advances extends beyond technological achievement to financial markets. When DeepSeek launched its R1 model in January, America’s Nasdaq plunged 3.1%, while the S&P 500 fell 1.5%, demonstrating the wider economic significance of technological competition.

The AI race presents opportunities and challenges for Asia and other regions. China’s low-cost, open-source model could help emerging economies develop AI innovation and entrepreneurship. It also pressures closed-source firms like OpenAI to reconsider their stance.

Meanwhile, both superpowers are making massive investments in AI infrastructure. The Trump administration has unveiled the $500 billion Stargate Project, and China is projected to invest more than 10 trillion yuan (US$1.4 trillion) into technology by 2030.

A double-edged sword for global technology

The US-China tech rivalry risks deepening global divides, forcing nations to navigate growing complexities. Countries face difficult questions: How can they manage research partnerships with China without jeopardising collaboration with US institutions?

How can nations reliant on Chinese materials and exports avoid Chinese technologies? South Korea, the world’s second-largest producer of semiconductors, labours with this dilemma. In 2023, it became more dependent on China for five of the six important raw materials needed for chip-making. Major firms like Toyota, SK Hynix, Samsung, and LG Chem remain vulnerable due to Chinese supply chain dominance. And, the climate implications of this AI race are significant.

According to the Institute for Progress, maintaining AI leadership will require the United States to build five-gigawatt clusters in the next five years. By 2030, data centres could consume 10% of US electricity, more than double the 4% recorded in 2023.

The path forward

As the AI landscape evolves, DeepSeek’s arrival has challenged the assumption that US sanctions were constraining China’s AI sector. Washington’s semiconductor sanctions have proven to be what Lee Kai-fu calls a “double-edged sword” that created short-term challenges and forced Chinese firms to innovate under constraints.

The rapid development of Chinese AI has reignited debates over US chip export controls. Critics argue that the present restrictions have accelerated China’s domestic innovation, as evidenced by DeepSeek’s development and improving capabilities.

China is demonstrating remarkable resilience and innovation in the face of restrictions. As DeepSeek prepares to launch its R2 model potentially early, the technology gap continues to narrow.

The post AI race intensifies: China narrows the gap appeared first on TechWire Asia.

Tesla is designing a cheaper Model Y and enhancing its autonomous-driving capabilities in China as it scrambles to reverse a worldwide sales slide.

The Tesla sales decline has become a challenge for the electric vehicle maker. To combat plummeting market share, the new Model Y variant is planned to be 20% cheaper than existing models.

Once the undisputed leader in the global EV market, Tesla is grappling with consumer backlash against CEO Elon Musk’s political association with the Trump administration and increasingly fierce competition from local rivals in key markets. According to the South China Morning Post, the company’s market share in China has dropped dramatically from more than 16% in 2022 to just 4.3% in February 2025.

Stock market response

The impact has been felt on Wall Street, where Tesla’s stock dropped 15% on Monday, marking its steepest decline in five years. According to TIME, the drop came alongside a stock market plunge following President Donald Trump’s hint at a recession. The president acknowledged Tesla’s struggles in a post on Truth Social, where he blamed “radical left lunatics” for boycotting Musk’s EV company and pledged to “buy a brand new Tesla” himself.

European market struggles

The decline in Tesla sales is particularly pronounced in Europe. According to the European Automobile Manufacturers’ Association (ACEA), Tesla sold just under 7,517 vehicles in Europe in January, half of January 2024 sales. The decline comes despite the rise of overall battery and hybrid electric vehicle sales as the European Union (EU) continues to tighten regulations on emissions from new vehicles.

In February, electric vehicle sales in Germany, the largest market for EVs in the EU, rose 30% year over year, yet Tesla sales were down more than 70% compared to last year. TIME reports that less than 1,500 new Teslas were registered in Germany in February.

Other European countries have also witnessed Tesla’s market share erode. Between January and February of 2025, Tesla recorded a 50% drop in sales in Portugal and 45% in France, according to Reuters, while sales fell 42% in Sweden and by 48% in Norway.

Australian and Chinese markets

The Tesla sales decline includes Australia, where data from the Electric Vehicle Council shows that Tesla sales dropped over 70% compared to last year, with just 1,592 sales in February compared to 5,665 in February 2024, as reported by The Guardian.

In China, Tesla is facing particular challenges. Tesla sales in China dropped 49% in February, with the automaker shipping 30,688 vehicles – the lowest monthly figure since July 2022, according to Bloomberg. Tesla’s market share in the country has plummeted from more than 16% in 2022 to just 4.3% in February 2025, as reported by the South China Morning Post.

Chinese automaker BYD has emerged as a formidable competitor, selling more than 318,000 electric and hybrid cars last month – a 161% increase from last year. In December, sales of Tesla’s Model 3 fell behind those of the SU7, developed by smartphone vendor Xiaomi, by 25,815 to 21,046.

US market challenges & the bright spots amid global decline

Even in Tesla’s home market, the company is facing headwinds. In California – the biggest domestic market for EVs thanks to its state mandate that 35% of new 2026 car models sold must be zero-emissions – Tesla sales slumped for the fifth consecutive quarter, according to data from the California New Car Dealers Association (CNCDA).

However, not every market has seen a similar decline. Britain saw a record number of EV sales in 2024, and Tesla sales were up 20% in February, bucking the global trend.

Musk’s response to global challenges

When Fox Business’s Larry Kudlow asked Musk how he was managing his various businesses amid these challenges, Musk candidly admitted he was doing so “with great difficulty.” Tesla has not officially released a statement addressing its falling sales, but its actions in various markets speak of the company’s recognition of the severity of the situation.

Competition intensifies as price war unfolds

Mainland China is Tesla’s second-largest market worldwide, trailing only the US, and the Shanghai factory is the carmaker’s most extensive production base. However, the company faces increasingly sophisticated competition from local manufacturers offering comparable or superior technology at significantly lower prices. An entry-level edition of Xpeng’s Mona M03, an EV fitted with preliminary autonomous-driving technology, costs 119,800 yuan, just half the price of the Model 3.

The price disparity illustrates the fundamental challenge Tesla faces in markets like China, where domestic manufacturers have rapidly closed the technological gap while maintaining a substantial cost advantage. Chinese brands also employ aggressive pricing strategies that Tesla has struggled to match. According to China Passenger Car Association data, a record 227 models, including electric and petrol cars, had their prices cut in 2024, compared with 148 in 2023. The price war puts additional pressure on Tesla’s margins when the company is already contending with declining sales volumes.

The road ahead: Critical challenges mount

The decline in Tesla sales represents a pivotal moment for the company that once dominated the EV landscape. While Tesla is taking steps to address its challenges – particularly in China with its new lower-priced Model Y and enhanced autonomous capabilities – these moves may be too little, too late as competitors continue to gain momentum.

Tesla’s production problems compound its market challenges. Even as the company unveiled an upgraded Model Y in China in late February, buyers in Shanghai are still waiting for deliveries due to production shortages, according to the South China Morning Post. These operational issues further erode consumer confidence at an important juncture. The reality facing Tesla is stark: its first-mover advantage has largely evaporated, and the company now finds itself in unfamiliar territory – playing defence rather than setting the agenda for the industry.

With EV adoption accelerating globally and Tesla’s share of the growing market shrinking, the company faces existential questions about its positioning and strategy. For a company whose stratospheric valuation was predicated on market dominance and industry leadership, this period of retrenchment signals a fundamental recalibration of Tesla’s prospects.

Whether Musk’s company can regain its footing in an increasingly crowded landscape remains today’s a pressing question in the electric vehicle industry.

The post Tesla sales plummet worldwide as competition and political backlash intensify appeared first on TechWire Asia.

Malaysia’s 5G Advanced rollout has moved forward, as Digital Nasional Berhad (DNB) and Ericsson announce a new partnership.

The collaboration was announced during Mobile World Congress (MWC) 2025, and aims to implement 5G Advanced technologies across industrial zones and introduce what the companies describe as the “world’s first 5G-powered mobile workspace solution.” The partnership centres on two initiatives: a 5G Advanced deployment to enhance industrial connectivity across Malaysia, and a 5G-powered mobile workspace solution that is designed to replace traditional wi-fi in enterprise environments.

Positioning Malaysia as a 5G global frontrunner

Datuk Azman Ismail, CEO of DNB, highlighted the significance of this collaboration. “By combining DNB’s expertise in 5G deployment with Ericsson’s global leadership in connectivity, we are strengthening Malaysia’s position as a digital economy leader, powering innovation across key sectors like manufacturing, healthcare, and agriculture,” he said.

The partnership’s core focus areas include:

1. Accelerating enterprise digitalisation: Expanding 5G connectivity in strategic industrial zones and collaborating with mobile network operators to deliver connectivity services.
2. Driving IoT and wearables innovation: Using Reduced Capability (RedCap) technologies to enable connectivity for industrial automation and smart devices.
3. Co-creating future-ready solutions: Using DNB’s 5G Advanced network as an platform to develop applications with solution providers, developers, and academic institutions.
4. Advancing sustainability: Integrating AI-powered energy optimisation tools to maximise efficiency and reduce environmental impact, in support of Malaysia’s journey net-zero emission goals.
5. Strengthening network security: Implementing security measures to help safeguard Malaysia’s digital infrastructure against cyber threats.
6. Expanding global API ecosystem: Integrating with a worldwide Application Programming Interface network.

DNB implements a 5G-based office network solution

In a separate announcement during MWC 2025, DNB said it has begun deploying Ericsson’s Enterprise Virtual Cellular Network (EVCN) at its Kuala Lumpur headquarters. The companies claim this is the first instance of a complete “5G-first” office environment, replacing existing wi-fi with cellular technology. Instead of using standard wi-fi infrastructure, DNB’s headquarters now connects devices through 5G cellular networks. The system integrates with Microsoft Intune and Entra ID to manage the 5G-enabled client hardware throughout the organisation.

The change brings several advantages over traditional enterprise networking solutions:

• Security and control: 5G infrastructure eliminates extant and future wi-fi vulnerabilities, and gives administrators greater control over devices’ connections.
• Operational efficiency and cost savings: Simplified network management and large-scale device setup reduce the need for legacy infrastructure, cutting costs.
• Mobility and user experience: Employees get consistent experiences on their 5G-enabled devices, in the office or working remotely.

“By integrating Ericsson’s Enterprise Virtual Cellular Network with DNB’s nationwide 5G infrastructure, we are empowering organisations to move beyond traditional IT models and embrace a new era of cloud-native, secure, and scalable solutions,” David Hagerbro, Head of Ericsson Malaysia, Sri Lanka and Bangladesh said.

Implications of Malaysia’s 5G Advanced rollout

Malaysia’s implementation of 5G-A systems represents an early test case worth monitoring. While DNB and Ericsson have outlined ambitious plans, the accurate measure of success will be in practical adoption rates, measurable efficiency improvements, and the results of cost-benefit analysis by early adopters.

Key questions remain about how widely these solutions will be adopted beyond initial deployments:

• Will the promised security benefits outweigh the costs of transitioning from established WiFi infrastructure?
• Can the system scale effectively in different enterprises with varying technical requirements?
• Will the everyday experience of workers and businesses show meaningful improvements over current connectivity solutions?

The coming months will likely reveal whether Malaysia’s approach to 5G Advanced implementation offers a viable model for other countries or whether adjustments will be needed as real-world applications expose unforeseen challenges. Technology observers across Southeast Asia will be watching to see if the technology delivers on its potential.

The post Malaysia’s 5G Advanced rollout: From industry to office appeared first on TechWire Asia.

Remember when SEO simply meant getting your website to rank on Google? Those days are quickly fading into digital history. The evolution of SEO has been quietly transforming beneath our feet – from keywords and backlinks to a complex ecosystem that extends far beyond traditional search engines.

“Think of it as a natural progression,” says Judy Tay, Head of Content at First Page Digital, as we settle into our conversation at the bustling Digital Marketing World Forum (DMWF). Her eyes light up as she shares what she believes is the next frontier for digital marketers.

“SEO has evolved from search engine optimisation,” Tay explained. “Last year, it was search experience optimisation, but it is still focused on the website and the search engine. This year, it will be optimised for search everywhere. Keep your eyes out – websites will be so integrated into other engines outside of just Google.”

The three stages of SEO evolution

The evolution of SEO can be mapped across three distinct phases:

1. Search Engine Optimisation – The traditional approach focused primarily on ranking in Google search results
2. Search Experience Optimisation – A more holistic approach considering user experience on websites
3. Search Everywhere Optimisation – The current frontier where brands must optimise across multiple platforms and touchpoints

This progression represents a fundamental shift in how digital marketers approach their strategies. As search behaviours diversify across platforms like social media, voice assistants, and specialised apps, the conventional focus on Google rankings alone has become insufficient.

Metrics that matter in modern SEO

When evaluating SEO success, vanity metrics give way to more meaningful performance indicators. Tay emphasises that metrics should align with specific business goals rather than following a one-size-fits-all approach.

“Metrics is extensive,” noted Tay. “It really depends on context – SEO and marketing campaigns can no longer work by executing blindly. Understanding the business needs comes first. If the business wants to see revenue, I believe that should also be part of an SEO report or metrics.”

Tay focuses on engagement metrics for technical evaluation: “I look heavily into things like bounce rate, time on page and things like that. Those, to me, are not vanity metrics. Those are things that can inform the execution side of things.”

However, client-facing reports typically emphasise different aspects: “On the client side, it’s really about traffic, number one, of course. But then we must show what this traffic translates to – whether it’s engagement with specific landing pages, e-commerce conversions, or other valuable actions.”

Red flags in SEO agencies

Choosing the right partner becomes crucial as businesses navigate the evolution of SEO and seek expertise to guide their strategies. Yet many brands struggle to distinguish between agencies that deliver genuine value and those selling empty promises.

“This is something many people keep hush-hush,” Tay noted when asked about industry practices. Drawing from her extensive experience, she outlined three critical warning signs that suggest an SEO agency might be overpromising and underdelivering:

• Inflexible, cookie-cutter solutions

Tay warns against agencies that offer rigid, one-size-fits-all approaches: “A red flag is when an agency pushes only predetermined solutions with no room to pivot or be flexible. They’ll say, ‘You need this pay-per-click (PPC) campaign, you need this SEO package’ without considering your unique business context.”

• Lack of co-creation

“Another warning sign is when agencies discourage client involvement,” Tay explains. “They’ll say, ‘We’ll handle everything—just take a back seat and wait for results.’ This rarely works because collaboration is essential. We aren’t on the brand side day-to-day, so we need that partnership.”

• Limited experience with strategic thinking

Tay says tactical execution without strategic depth is problematic: “You can find someone to handle technical SEO tasks on Upwork or Fiverr, but that’s just execution. Many agencies focus on short-term tactical gains, especially in SEO; you need strategic experience to drive meaningful results over time.”

SEO practices to avoid

As SEO evolves, certain practices can potentially harm businesses in the long run. Tay highlighted a particularly concerning trend: the devaluation of technical SEO.

“The devaluation of technical SEO [is problematic],” Tay stated. “I’m the head of content, but nowadays, many agencies think that you can just optimise content and then just optimise very surface stuff like page load speeds and things like that. But I don’t think that’s the way.”

She emphasised the need for comprehensive strategies: “Given we need to take into account an overview of AI, what is the impact of my brand with the emergence of AI, for example?”

The evolving agency-client relationship

The relationship between SEO agencies and their clients has transformed significantly in recent years. Tay notes that agencies are increasingly functioning as extensions of their client’s teams rather than as external vendors.

“We are now seen as an extension of clients,” Tay explained. “We have some clients that get us to join their weekly stand-up–the entire marketing team, not just SEO specialists, but their sales, product developers, and things like that.”

This integrated approach allows for more comprehensive strategy development. However, Tay acknowledges it’s not suitable for every client: “That’s more towards customer servicing, as well as giving a more comprehensive strategy, which not every business needs or is paying for.”

Beyond integration, Tay emphasises the importance of consultative relationships: “Being able to be consultative – don’t just deliver. I try to have bi-weekly catch-ups with my clients to sit down and [ask] if we are meeting markers. Are we going in the right direction?”

The future belongs to the adaptable

A critical aspect of successful SEO is anticipating and adapting to search engine algorithm updates. While First Page Digital benefits from being a Google Premium Partner, Tay credits their success more to proactive testing and pattern recognition.

“Before Google even comes up with the updates, we have sort of put it to test already,” Tay revealed. “When you run big enough campaigns, you will see a pattern; when you see a pattern, you must form a hypothesis.”

This forward-thinking approach reveals why some agencies thrive while others struggle in the rapidly evolving digital landscape. As Tay emphasises, success in tomorrow’s SEO isn’t about mastering a single platform but understanding the entire digital ecosystem where your audience exists.

The evolution of SEO from search engine to search everywhere optimisation isn’t just another industry buzzword—it’s a fundamental reimagining of how brands connect with audiences. 

Those who recognise this shift early and adapt accordingly will survive the transition and discover unprecedented opportunities to dominate digital spaces their competitors have yet to explore.

As Tay puts it, we’re no longer optimising algorithms but for human connection across an expanding digital universe. And in that universe, the old rules of engagement no longer apply.

The post From Search Engine to Search Everywhere: The evolution of SEO in 2025 appeared first on TechWire Asia.

The AI investment surge among tech giants shows no signs of slowing. Amazon, Microsoft, Google, and Meta still appear to be planning investment of over $320 billion in AI infrastructure by 2025, even as Chinese startup DeepSeek demonstrates potentially more efficient AI model development methods.

The unprecedented level of capital expenditure, up from $246 billion in 2024, reflects Big Tech’s conviction that AI represents a transformative opportunity, one that justifies massive infrastructure investment. The spending plans persist despite investor concerns about DeepSeek’s recent claims that it can train and operate significantly more efficient AI models.

Amazon is leading the investment. The company plans to allocate over $100 billion in capital expenditures this year, marking a significant increase from $77 billion in 2024. The company’s CEO, Andy Jassy, defended the aggressive spending strategy during a recent earnings call, characterising AI as a “once-in-a-lifetime type of business opportunity” for Amazon Web Services (AWS).

Microsoft is also positioning itself as a major contender in the AI cloud race, and has earmarked $80 billion for AI-related infrastructure in 2025. CEO Satya Nadella points to compelling evidence supporting the investment strategy, noting that Microsoft’s AI business “has surpassed an annual revenue run rate of $13 billion, up 175% year-over-year.”

Nadella’s perspective on AI demand draws from the Jevons paradox – the economic observation that increased efficiency in resource use leads to higher, not lower, consumption. “As AI gets more efficient and accessible, we will see its use skyrocket, turning it into a commodity we just can’t get enough of,” Nadella stated in a recent social media post.

Google’s parent company, Alphabet, has also adopted on aggressive stance, planning approximately $75 billion in capital expenditures for 2025, significantly exceeding analysts’ expectations of $58 billion. Despite concerns about the company’s AI strategy and slowing cloud growth, CEO Sundar Pichai maintains that Google is “building, testing, and launching [AI] products faster than ever.”

Meta’s approach to the AI investment surge stands out. The company plans to spend $60-65 billion on capital in 2025, up from $39 billion in 2024. The company’s strategy of pursuing an “American standard” for open-source AI models has resonated with investors, particularly given Meta’s demonstrated ability to monetise AI through advanced ad targeting.

Industry analysts are divided over the impact of DeepSeek’s developments on Big Tech’s AI investments. Jesse Cohen, senior analyst at Investing.com, voiced investor concerns about the need for “clearer timelines on when AI spending translates to earnings and sales growth, not just promises.”

However, Dan Ives, managing director at Wedbush Securities, dismisses DeepSeek as a serious threat to Big Tech’s AI ambitions. “This is an AI arms race, and the Temu of AI DeepSeek is not changing that… [The] AI Revolution [is] just starting.”

The persistence and continued growth of AI investment suggests that significant technology companies view DeepSeek’s efficiency gains as a catalyst for broader AI adoption rather than a threat to their infrastructure investments.

The market response to the massive levels of investment has been mixed. While Meta’s proposed investments in AI have been well-received (shares rose following its earnings call), other technology firms have faced more sceptical investors. After announcing its spending plans, Amazon’s stock fell more than 5%, while Alphabet’s share value dropped more than 8% after its earnings report announcement.

Despite the market’s reactions, technology leaders remain convinced that AI investment represents a strategic necessity rather than an optional luxury. As the industry continues to evolve, the race to build AI infrastructure is intensifying rather than slowing, suggesting that DeepSeek’s developments may indeed be accelerating, not dampening the industry’s AI ambitions.

The post AI investments to reach new heights despite the DeepSeek challenge appeared first on TechWire Asia.

For the second time in two years, YMTC, China’s leading memory chip maker, has proven that US trade restrictions have done little to slow its technological advancement. Fresh on the heels of its 2022 breakthrough with 232-layer NAND technology, the company has pushed boundaries again in memory chip innovation. The breakthrough came to light through research firm TechInsights’ analysis. It demonstrates YMTC’s mastery of the Xtacking4.0 design in high-density 3D NAND chips, and marks another instance of Chinese semiconductor technology advancing despite Washington’s attempts to contain it.

According to TechInsights’ recent report, quoted by the South China Morning Post, YMTC’s achievement was discovered in the commercial ZhiTai TiPro9000 solid-state storage device. The device features an advanced dual-deck structure with 150 gates on the lower deck and 144 gates on the upper deck, totalling an impressive 294 gates.

The design employs sophisticated hybrid-bonding techniques to join two wafers, achieving an unprecedented storage density exceeding 20 gigabits per square millimetre.

YMTC’s journey from latecomer to industry pioneer

Since its inception in 2016, YMTC has transformed from newcomer to formidable competitor in the global flash memory industry. The company’s rapid technological advancement was first highlighted in 2022 when it produced a groundbreaking 232-layer NAND flash, surpassing the abilities of industry giants like Micron Technology, Samsung Electronics, and SK Hynix.

The achievement was particularly notable as it came just before the company was added to Washington’s export blacklist that was assembled over national security concerns. TechInsights senior analyst Jeongdong Choe emphasises the significance of this latest development, stating, “The important takeaway is that China’s YMTC has beaten the competition in the market. With the new Xtacking4.0 technology, YMTC appears to have found a way to overcome the current ban with this new chip.”

Challenging global leaders despite trade restrictions

After being blacklisted two years ago, YMTC lost access to important semiconductor equipment makers like Lam Research. However, the company adapted, strengthening its partnerships with domestic chip tool manufacturers like Naura Technology Group. YMTC’s achievements have caught the attention of global competitors, particularly in hybrid bonding technology. “YMTC is the leader in hybrid bonding technology, which is essential for higher-layered 3D NAND,” Choe explains. “That’s why Samsung and other NAND companies follow and prepare the hybrid bonding structure for the next generations.”

While YMTC maintains a modest public stance about its breakthrough, simply stating it is “committed to driving global innovation to propel the industry further forward and meet the evolving needs of our customers and partners,” the implications of its achievement are far-reaching. The company’s success demonstrates China’s growing capability to develop advanced semiconductor technology independently despite international trade restrictions.

The global memory chip landscape is competitive, with SK Hynix announcing plans to mass-produce 321-layer 4D NAND chips in the first half of this year. However, according to TrendForce, the market faces challenges from weak demand and oversupply, exacerbated by aggressive production expansion from Chinese suppliers driven by domestic substitution policies. The latest memory chip breakthrough by YMTC showcases China’s technological resilience and signals a shifting dynamic in the global semiconductor industry. As the company continues to push boundaries in memory chip innovation, it demonstrates how trade restrictions may be driving rather than hampering Chinese technological self-sufficiency.

The achievement also validates YMTC’s potential as a serious contender in the global market, supporting earlier speculation that the company was considered a potential supplier for major international technology companies, including Apple, before US trade restrictions were imposed. As global competition in NAND flash memory intensifies, YMTC’s success suggests that the landscape of semiconductor manufacturing may be evolving more rapidly than anticipated, with implications for both market dynamics and international trade policies.

The post YMTC memory chip innovation defies US sanctions with 294-gate breakthrough appeared first on TechWire Asia.

• In many sectors, an Indian IPO makes sense.
• More Indian companies return home for investment.
• Quick-commerce market heats up with Zepto.

Growing Indian companies have a tendency to move around from nation to nation, depending on their stage of growth. Home-grown businesses seeking external investors are often to be found in Singapore, where foreign venture capital is more readily accessible.

For the highly successful outfit, there’s also the possibility of a listing on the London or New York stock exchanges, something that’s not allowed under Indian financial regulation.

But several high-profile companies that spent time based abroad have returned to India in the last few years to float on the Indian stock exchange, including PhonePe and Groww. The latest to follow this path is Zepto, an online grocery and household items store, and a challenger to the incumbents of the quick-commerce space.

The company is currently valued at US$5 billion, having raised US$1.35 billion while domiciled in Singapore. After its relocation back onto home turf, it plans to raise a further US$1.1 billion for an initial public offering (IPO) later this year.

In the last four years, many companies have have floated on Indian stock exchange, with over 300 companies raising in excess of $20bn in 2024. The chairman of AIBI (Association of Investment Bankers of India), Mahavir Lunawat has stated that “India has successfully surpassed both the US and Europe with more than the number of IPOs [those exchanges have] listed.”

However, the country’s securities market regulator (SEBI – Securities and Exchange Board of India) is considering measures to prevent unofficial share trading before upcoming IPOs. This comes after a flurry of black-market trading that has tarnished India’s emerging reputation as a place where domestic investors are well-funded enough to float businesses large and small.

Indian IPO for micro and small business

Unlike the large stock exchanges of London, New York and Tokyo, the Indian exchange has seen a wide range of company sizes successfully floating, including many SMEs. So-called ‘low float’ or ‘small equity size’ companies can use a share issue to make the leap from small concern to dynamic expansion.

According to the Indian government, “the main feature of SME IPOs is that they provide an alternative method for SMEs to raise capital for their business. Unlike traditional loans, which require interest to be paid on repayment, equity funding through IPOs does not burden the small enterprise business with debt. This benefits SMEs looking to finance their expansion, development, and research.”

In the past, companies like Flipkart have successfully launched themselves on foreign exchanges, but this strategy is no longer the only possibility, thanks to the Indian government’s pro-domestic, growth-oriented financial policies.

Big companies like Zepto have their eyes on out-competing better known competitors, which in its case are Blinkit (previously Grofers), which tripled its revenue in the last financial quarter of 2024, and Swiggy, valued at US$13.3 billion.

A burgeoning demand for food and grocery deliveries in India and the country’s high population (currently 1.5 billion people) mean that home-grown business talent and technical skill in this market can create massive success domestically, without having to look abroad for investment monies.

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The landscape of artificial intelligence witnessed a seismic shift in January 2025 as Chinese startup DeepSeek sent Silicon Valley into a tailspin, wiping billions off tech stock valuations and challenging the very foundations of how AI companies operate. In just 18 months since its founding, this Beijing-based company has achieved what countless others couldn’t: creating AI models that rival or surpass those from OpenAI, Google, and Anthropic while spending just a fraction of their budgets.

The startup reached new heights when its free AI assistant dethroned ChatGPT from the top spot in Apple’s US App Store, marking the first time a Chinese AI product has dominated the American market.

What makes the achievement particularly remarkable isn’t just the technological leap but how it has been accomplished – without the massive GPU farms, billion-dollar investments, or years of accumulated expertise that Silicon Valley deemed essential for AI advancement.

The immediate market response was dramatic and far-reaching. According to the South China Morning Post’s reporting, major tech stocks experienced significant declines, with industry leaders like Nvidia, Microsoft, and Meta seeing their valuations drop.

The reaction stems not just from DeepSeek’s technological achievements but also from what it implies about the billions already invested in AI infrastructure by US companies. The market’s response reflects a broader reassessment of the conventional wisdom that dominant AI development requires massive capital expenditure. While some analysts view this as a temporary market correction, others see it as a fundamental challenge to the business models of established AI companies.

What’s particularly significant is that many US tech companies have justified their soaring valuations based on assumptions that a capital-intensive approach to AI development creates an insurmountable competitive moat. However, it’s important to maintain perspective. Market volatility in the tech sector isn’t uncommon, and established players have weathered similar challenges. What makes this situation unique is the clear technological demonstration backing the market’s concerns, coupled with DeepSeek’s radically different approach to AI development and monetisation.

The technology behind the DeepSeek AI disruption

DeepSeek’s success isn’t merely about market positioning – it’s rooted in significant technical innovations detailed in The Algorithmic Bridge‘s analysis. Its approach to AI development prioritises efficiency over raw computing power, implementing several groundbreaking technical advances:

• Architecture innovations:
• Multi-head Latent Attention (MLA) significantly reduces memory bottlenecks in the transformer architecture
• Group Relative Policy Optimisation (GRPO) simplifies reinforcement learning while maintaining performance
• Elimination of complex systems like MCTS and PRM without sacrificing capability
• Optimisation strategies:
• Implementation of 8-bit precision quantisation for improved efficiency
• Strategic use of sparsity in model architecture
• Sophisticated Mixture of Experts approach that keeps only necessary parameters active during inference
• Multi-token prediction capabilities that effectively double inference speeds

Yet, it’s essential to maintain perspective. While DeepSeek has achieved impressive results with fewer resources, companies like Google and OpenAI may have unreleased advances of their own – but if so, why not release them, or at least, ‘tease’ their existence?. The Algorithmic Bridge notes that it’s challenging to know what top US labs have already trained but chosen to keep private.

Resource efficiency vs. scale

DeepSeek’s approach to resource utilisation represents a fundamental challenge to established thinking about AI development. Operating with fewer than 100,000 H100 GPUs – compared to Meta’s projected fleet of 1.3 million GPUs by late 2025 – the company has demonstrated that efficient architecture and innovative algorithms can potentially offset raw computational power.

Efficiency isn’t just about hardware. DeepSeek’s approach suggests a 10x improvement in resource utilisation compared to US labs when considering factors like development time, infrastructure costs, and model performance. However, this doesn’t necessarily invalidate the benefits of scale; instead, it suggests a more nuanced relationship between resources and results.

Open source strategy and market impact

DeepSeek’s commitment to open-source development and transparent research publication starkly contrasts the secretive approaches of major US tech companies. While this transparency has allowed the garnering of praise from venture capitalist Marc Andreessen (who called it “one of the most amazing and impressive breakthroughs”), it also raises questions about long-term competitive advantage.

Growing pains and infrastructure challenges

Despite its successes, DeepSeek faces significant challenges in scaling its operations. SCMP reports that the company’s sudden popularity led to severe infrastructure stress, resulting in server crashes and cybersecurity concerns that forced temporary registration limits. The company’s status page indicated its most extended period of outages in 90 days, coinciding with its rapid rise to prominence and the US timezones. The issues highlight the real-world challenges of scaling AI services, regardless of architectural efficiency.

While DeepSeek’s technology may be more resource-efficient, supporting a global user base requires robust infrastructure and security measures. The company’s response to these challenges, including temporary registration limits and rapid service restoration, demonstrates the difficulties of sudden scaling.

Geopolitical implications

The political dimension of DeepSeek’s rise cannot be ignored. Former US President Donald Trump’s characterisation of it as a “wake-up call” for American industry, as reported by SCMP, reflects broader concerns about technological competition between the US and China. However, the situation is more complex than simple national rivalry – it represents a fundamental challenge to established thinking about AI development.

Looking ahead

While DeepSeek’s achievements are remarkable, several questions remain unanswered. Can its efficient approach scale to meet growing demand? Will established players adapt their strategies in response? And how will this affect the broader AI industry’s development trajectory?

What’s clear is that DeepSeek has demonstrated an alternative path to AI advancement, prioritising algorithmic efficiency and open collaboration over raw computational power and secrecy. Whether this approach becomes the new paradigm or simply one of many viable strategies remains to be seen, but its impact on the industry is undeniable. The disruption may ultimately benefit the entire field, forcing a reevaluation of established practices and potentially leading to more efficient, accessible AI development methods.

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A fundamental transformation in how we create software is underway. The arcane-to-many languages of Python, Java, and C++ – considered the gatekeepers of software development – are facing an unexpected challenge: plain English. What started as a provocative tweet from Tesla’s AI director, Andrej Karpathy, has evolved into a transformative movement reshaping how we think about programming.

The statistics are telling. According to Stability AI CEO Emad Mostaque, AI-generated code now accounts for 41% of GitHub’s content. The shift toward natural language programming is more than just speculation. It’s a measurable reality catching the attention of tech’s most prominent players.

NVIDIA’s CEO, Jensen Huang, has become one of the most vocal advocates for the transformation, a stance that will promote sales of AI-related hardware, in which he has something of a vested interest. At the World Government Summit, he articulated a vision where computing technology evolves to understand human language, eliminating the need for traditional programming. Huang’s vision isn’t just about making coding easier – it’s about fundamentally changing who can participate in software creation.

Microsoft’s strategic investment in this future, mainly through GitHub Copilot, adds substantial weight to the movement. Under Satya Nadella’s leadership, the company has aligned its tools with a broader mission of democratising software development, making it accessible to those without traditional coding backgrounds. As a secondary effect, new-generation developers will be reliant on Copilot – another vested interest to add to the mix.

But beneath the revolutionary rhetoric and rebuttals lies a more nuanced reality. While tools like GitHub Copilot and Cursor AI excel at translating English commands into at least partly-functional code, seasoned developers point to the AI generators’ limitations. Mission-critical systems and complex software architectures still benefit from the precision and control that traditional programming languages provide. It’s not about replacement, they argue, but augmentation.

The ripple effects of the beginnings of the transformation extend beyond traditional software development. Data analytics platforms that embrace natural language interfaces allow researchers and analysts to query complex datasets using conversational commands. Apache Spark’s English SDK exemplifies this trend, enabling data scientists to generate insights without writing conventional code.

However, the democratisation of programming through natural language brings its own set of challenges. As Jensen Huang points out, success in this new paradigm requires mastery of “prompt engineering” – crafting precise instructions that AI can accurately interpret.

This suggests that while the technical barriers may shift, the need for specialised skills remains. For organisations, the implications are significant. Natural language programming promises faster development cycles and reduced training costs, potentially transforming how businesses approach software development. Yet questions about scalability, maintenance, and quality in AI-generated code remain at the forefront of technical discussions.

Industry experts increasingly envision a future where natural language programming and traditional coding coexist in a complementary relationship. The hybrid approach could combine the accessibility of English commands with the precision of conventional programming languages, creating a more inclusive still-robust development ecosystem.

As we move towards the end of 2024, the transformation of programming currently under way is undeniable. The question is no longer whether natural language will play a role in coding but how to harness its potential and address its limitations. The future of programming will not be an either/or choice between English and traditional languages but a sophisticated blend that makes software development.

The real revolution isn’t just in the tools we use to code but in who gets to participate in building the digital future in software. As natural language programming evolves, it may finally deliver on the long-promised democratisation of software development – not by replacing traditional programming but by expanding the community of creators who turn ideas into reality.

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