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AI is propping up Southeast Asia’s digital economy as prices rise and demand cools

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Google, Temasek and Bain project the region's digital GMV will reach $368 billion in 2026, with AI adoption moving faster than mobile internet did Southeast Asia’s digital economy is still growing, even though consumers are paying more and buying less. According to the 11th annual e-Conomy SEA report from Google , Temasek Holdings and Bain & Company, artificial intelligence is doing much of the work. The report projects the region’s digital gross merchandise value will reach $368 billion in 2026 , up 17% year over year. The report was released around October 20–21, 2026, and covers 10 Southeast Asian countries. Its central argument is that AI is helping businesses target customers more precisely and run operations more efficiently. E-commerce remains the anchor.

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