COTD: SMEs lead tech investments in Singapore

SMEs allocate 3% more of their budgets to tech investments compared to large companies.

SMEs are investing more in digital initiatives, allocating 11% of their budgets, compared to large companies, which allocate only 8%, the Singapore Business Federation (SBF) reported.

According to SBF, businesses have prioritised cloud services, with 69% already having invested, followed by e-payments at 62% and cybersecurity at 60%.

In addition, Artificial Intelligence (46%), Data Analytics (38%), and Internet of Things (31%) are other technologies that they plan to adopt in the next 12 months.

Meanwhile, when adopting new technologies, businesses are most challenged by high costs (73%) followed by expensive intellectual property (IP) licensing fees (47%), upskilling staff (47%), and a lack of awareness of suitable technologies (45%).