MALAYSIAN TECHNOLOGY STRATEGIC OUTLOOK 2019/2020

economies have successfully addressed three key structural features to support their progression. Firstly, fast and affordable broadband. Secondly, talent tailored for digital progress. Thirdly, high digital adoption among consumers and businesses. For Malaysia, transitioning the economy to “front-runner” status can yield significant additional growth dividends of between USD100 billion - USD136 billion per year by 2025. these technological developments will yield more efficient and productive economic outcomes. Being a “front-runner” on the digital front enables Malaysia to fully unlock the economic benefits including E-commerce where it gives firms and consumers access to global markets. On the firm’s side, instead of having a potential market reached by billboard ads, local radio or TV broadcasting, and physical retail outlets, local companies can have their products and services displayed on the virtual shelves of online retailers like Lazada, Amazon, Alibaba and the like, hence expanding their potentialmarket. On the consumer’s side, the availability of such platforms may also result in structurally lower prices, due to enhanced price discovery and the reduced reliance on intermediaries (“middlemen”) to acquire goods and services. As generally accepted, The Gig economy facilitates more flexible work arrangements, while online job platforms reduce demand-supply mismatches in the labour force. Capacity in Big Data Analytics and AI tap into previously unutilised information to yield new insights for decision-making.

Taking for instance the music industry in the U.S., digital recording technology provided by Birdmonster has made studio time cheaper than ever – They can record the tracks in a few days in the studio and then mix and overdub them at home using personal computers. Even in 2006, the cost to record the entire album was less than USD15 thousand, it should be cheaper today. Another company called Cinderblock provided the distribution, which gave aspiring artists reach as broad as iTunes, Rhapsody, and other top services. And MP3 blogs and Myspace are free marketing. Of course, the information management system also provides flexibility for a work group to work on certain documents simultaneously like google share and Microsoft 365. There are few companies in Malaysia including Biz Objek Sdn Bhd that provide such systems that promote centralised, managed and effective solutions with solid information management framework. This solution is web-based, meaning the system can be accessed anytime and from anywhere; digital based solution means it promotes digital workplace environment; and Dashboard UX means it is easy to use and faster user adoption. These two are examples how flexible work arrangement is done in the digital age. Online job platforms provided by companies like LinkedIn Corp. and Indeed Inc. have eased the process of identifying vacancies for job-seekers and attracting applicants for employers. It is imperfect, but there are benefits to a dynamic labour market in which workers are matched with jobs based

TRANSITIONING THE ECONOMY TO “FRONT-RUNNER” STATUS CAN YIELD SIGNIFICANT ADDITIONAL GROWTH DIVIDENDS OF BETWEEN USD100 BILLION - USD136 BILLION PER YEAR BY 2025.

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Malaysian Technology Strategic Outlook 2019/2020 Intergration of High Technology

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