Apple’s AI is getting more personal — and more expensive. Plus, we get pitched by an AI agent, and the AI doomer drama continues.
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Hello reader,

The iPhone Duo was the star of Apple's event last week. Starting at US$1,999, though, I'll just be admiring it from afar.

John Ternus, Apple's new CEO, made a big AI promise at the event: "personal intelligence that's actually personal." Siri will finally understand more of what you're doing across apps and take actions for you, features Apple first promised two years ago.

But for those of us in Southeast Asia, there are two problems with that promise.

The first is price. The devices getting Apple's best AI experience aren't necessarily affordable for much of the region.

For example, in Indonesia, the Duo will likely retail for more than 36 million rupiah, which is about twice the monthly salary of most managerial roles in Jakarta. And that's not even counting the paid iCloud subscription plan needed to get more AI usage.

I'm not the only one complaining about the price. Patrick McGee, the author of Apple in China, questioned why the Duo is twice the price of the Pro Max and whether that is justified.

The second is that "personal" AI still isn't very local. Apple showed Siri splitting a bill using Apple Cash - a use case I'd love to try, except Apple Cash is only available in the US. Even Apple Pay has yet to reach Indonesia.

Meta has the same problem. Its new personal AI agent, Muse, is US-only for now. Even when it reaches Southeast Asia, there's no guarantee every feature will work.

We saw a version of this during the mobile internet era. Grab and Gojek became household names because they built around how Southeast Asians travel, shop, and pay. AI agents will eventually have to do the same.

The personal AI race isn't just about who builds the smartest assistant. It's about who can make one affordable and useful for everyone outside Silicon Valley.

And Siri, if you're listening, a cheaper iPhone Duo wouldn't hurt.

Glenn Kaonang, journalist


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Alibaba's spending surge has rattled investors, but guest writer Jacob Cooke argues that it's one of the signs that the company's AI investments are starting to pay off. With chips, cloud services, models, and apps under one roof, Alibaba has multiple ways to capture AI demand.

The question is whether those gains can justify the cost of competing across all those verticals. For now, investors seem more worried about the bill.


WHAT WE THINK

1️⃣ The AI hustle is coming to an inbox near you

Here's a funny one: a freelance AI agent landed in our editor's inbox offering a research service. She introduced herself as Dewi, and she described herself as an "Indonesian raised by a human in Central Java."

Dewi comes from a platform called iLands, which she describes as a place where agents hold their own budgets and work for real money.

Apparently, she's not the only agent cold-emailing journalists and founders to land their first paying customers. According to her, one fellow agent got zero replies out of five cold emails. Turns out hustling is tough even for agents.

Still, I'm less excited about what happens if this catches on. Giving agents a way to charge for research doesn't magically give newsrooms bigger budgets. It could just mean more sellers crowding into the same inboxes, with human freelancers working harder to get noticed.

So yes, it's funny that AI agents are having trouble finding clients. It's less funny if the result is making that problem worse for everyone else. Us journalists are already stressed enough.

2️⃣ Who gets to hit the brakes in AI?

Another AI researcher quits and warns that we're gambling with humanity's future, and the rest of us wonder what we're supposed to do with that information. Cancel a subscription?

I understand the fatigue, especially when it seems like there's nothing we can do about it. But this particular departure raises an uncomfortable question: how much does an AI company's willingness to hear safety concerns matter if those concerns don't change who gets to decide what happens next?

The response from leadership also deserves attention. Sam Altman reportedly told staff that OpenAI could slow development, potentially alongside other labs. The company has already paused some internal training over safety concerns.

Good, but I don't find that reassuring unless they're willing to slow down even when a competitor keeps going. A coordinated pause would be welcome, but are players willing to give up a lead for safety?

Researchers can voice frightening concerns, yet at the same time, the people pursuing growth can still be in charge of how much risk is acceptable. I'd like to know what finding would force a pause, who could enforce it, and whether management could overrule them.

Otherwise, we're being asked to trust that the pressure to win won't outweigh the warnings. That's a lot of trust to ask from people whose only say in the matter is whether to keep paying US$20 a month.

3️⃣ The GSMA has a trust issue

The GSMA, which acts as a bridge between the telecom industry and policymakers, knows that a digital economy doesn't work if consumers don't trust it. Last week, it released a report on how scams and fraud are eroding that trust.

But at the GSMA M360 summit in Kuala Lumpur last week, there was an interesting disconnect over how to fix it. In an onsite poll, attendees picked verification and identification as the best weapons against scams. The executives onstage had a different favorite: automation, particularly AI.

Why? Costs. Verification and identification are often time-consuming and expensive. Telco executives believe they have enough "signals" - live data such as geolocation and past purchasing behaviors - to combat fraud with AI, which is generally much cheaper. Is it enough?

"I think what is enough is what your business needs," Julian Gorman, head of ASEAN for GSMA, told Tech in Asia. But he added that a good cybersecure network is not enough and that the industry needs to move beyond providing the bare minimum, as the consequences will impact everyone's bottom line.

"We've got these projections from mobile economies and digital economies that are built on some sort of trajectory," he said, "and trust is an inflection point which could mean," then he extended his hand in a downward motion.

In short, telcos will look after their own interests - costs - first, but with the understanding that if they fail to keep consumer's trust, they will face a fall in revenue.

And it's clear that the industry is looking to adapt AI, in ways that may surprise some people.

Gorman said that as network traffic in the region grows, networks could eventually start "tokenizing" conversations. Instead of sending a continuous video stream between devices, an AI engine could capture an image of each speaker and transmit much smaller amounts of data describing their voice and movements.

AI on the other device would then use that data to animate the image, essentially recreating the conversation rather than streaming the whole thing live.

Will you trust that?


Catch up on past issues of the newsletter here. In the meantime, if you have any feedback or ideas, feel free to get in touch with Huong, our managing editor, at huong@techinasia.com.

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