AI is Here: Is Your Organization’s Data Center Ready for the Challenge?

 As Artificial Intelligence (AI) rapidly redefines the technological landscape in the Philippines, organizations are under pressure to modernize their data centers. AI's demands for increased power, cooling, and scalability are pushing businesses to reconsider their IT infrastructure to stay competitive and meet growing operational needs. 

According to a PricewaterhouseCoopers (PwC) Philippines study, 74% of CEOs in the country believe AI technologies such as Generative AI will enhance efficiency and benefit employees. They are optimistic that this will open doors on integrating other AI technologies in the future. 

However, recognizing the importance of AI is just the first step. According to a Cisco study, the Philippines faces significant challenges in AI readiness, with most organizations classified as "Followers" or "Laggards" across multiple pillars, such as infrastructure and strategy. The study revealed that only 14% of Philippine organizations are fully prepared with scalable IT infrastructure for AI, while 49% report limited scalability and require upgrades. On the strategic front, 77% of organizations are considered "Pacesetters" or "Chasers" in terms of AI adoption, yet only 26% prioritize it in their budgets. Moreover, 98% of businesses report increased urgency to adopt AI, but only 29% have a comprehensive change management plan. 

So this raises an important question: Are organizations in the country truly prepared for AI at scale, especially as they increasingly rely on it to redefine their operations? 

As AI becomes central to business operations, enterprises face an urgent need to modernize their data centers to handle the heightened demands of this technology. Vertiv Philippines Sales Director Pamela Albar emphasized the critical role data centers play in this shift. 

"Large companies rely on enterprise data centers to support their IT needs. These centers house high-density infrastructures, including servers, racks, and network systems that process crucial internal data. With the rise of AI, these data centers are now compelled to process AI workloads too. That’s why these facilities must have essential infrastructure like power, cooling, and environmental monitoring systems. Any downtime can severely impact business operations and the chance to stay competitive in today’s AI-driven world," said Albar. 

To keep pace with fast-evolving technology, Vertiv shares several strategies for optimizing data center capacity, ensuring that businesses stay ahead in the AI technology race. 

Winning the AI tech race means addressing infrastructure challenge 

AI presents a double-edged sword for large companies. While it improves processes and drives innovation, it also introduces new challenges—particularly the need for infrastructure that can handle higher-density operations. 

AI applications are power-intensive, demanding significant electricity, energy, and processing resources. To function effectively, these applications require advanced hardware such as Graphics Processing Units (GPUs), which accelerate graphics and rendering tasks. However, traditional enterprise data centers, which typically support around 10 kilowatts per rack, are ill-equipped to meet the substantial 50 to 100 kilowatts per rack required by AI applications. This creates intense pressure on organizations to cope with the surge in demand for business applications that require minimal latency. Consequently, data centers must adapt to the increased heat, energy usage, and workload generated by these activities. 

Vertiv recognizes the need to bridge the gap between IT and data centers. To this end, they offer comprehensive solutions tailored to the specific demands of AI workloads. 

Scaling up for AI: The need for a 360 data center solution 

The fast-paced growth of AI applications for businesses underscores the importance of scalability. Failing to prioritize scalability puts organizations at risk of falling behind in the AI race. Therefore, businesses need to build future-ready data center infrastructure that can scale to meet evolving demands. 

Three core areas should be prioritized when improving enterprise data centers for AI: power, cooling, and infrastructure 

Addressing power demand 

AI workloads, particularly those involving large-scale data processing and machine learning, require immense computational power. Traditional power systems are often insufficient, leading to inefficiencies and even downtime. 

To address this, modern data centers need solutions that can deliver high-density power while ensuring energy efficiency. For instance, adopting scalable power solutions like modular UPS systems can help businesses maintain continuous power flow even during grid failures. Additionally, smart power distribution allows real-time monitoring and control, ensuring that power is delivered precisely where and when it’s needed, reducing waste and operational costs. Implementing these solutions means businesses can meet AI’s growing power requirements while optimizing energy use and minimizing disruptions. 

Embracing advanced cooling solutions 

AI systems, particularly those using GPUs, generate substantial heat. Excessive heat can slow down processing speeds and damage hardware. To manage this, businesses should adopt innovative cooling solutions 

Liquid cooling technologies directly cool critical components inside servers, ensuring that no excess heat builds up. Combining liquid cooling with air systems can optimize energy consumption and extend equipment life, allowing businesses to operate AI applications at peak performance. Some examples are Direct-to-Chip Liquid Cooling, Modular Rack Cooling, Rear-Door Heat Exchangers, and more. 

Investing in scalable and flexible infrastructure 

Addressing infrastructure demands requires creating a flexible and scalable environment that grows alongside AI needs. Traditional data centers can be rigid, but AI requires modular infrastructure for seamless expansion. 

Prefabricated modular data centers, for instance, provide a plug-and-play solution that allows businesses to add capacity quickly without long lead times. These modular units come equipped with integrated power and cooling systems, making deployment faster and more efficient. Remote monitoring tools also provide full visibility into data center performance, helping businesses predict maintenance needs and avoid costly downtimes. 

Looking Ahead to the Future of AI and Businesses 

As technology continues to evolve, every business must prioritize future-proofing its operations. The future of industry demands 24/7 efficiency with no tolerance for downtime, and organizations that fail to meet these standards risk falling behind. Vertiv understands this challenge and is at the forefront of supporting the growing demand for AI technologies, bridging the gap between AI and data centers. 

Vertiv’s 360AI Reference Solution provides a comprehensive and transformative approach to managing high-density AI workloads. With scalable designs tailored to meet a wide range of needs—from single racks to expansive, modular data centers—this solution addresses the core challenges of AI infrastructure: power, cooling, and deployment efficiency. Vertiv’s 360AI not only ensures efficient power distribution and advanced cooling strategies but also simplifies deployment through its pre-engineered, modular systems, reducing setup time by up to 50%. Vertiv also offers reference designs, enabling businesses to draft comprehensive strategies that align with their specific AI needs and growth objectives. 

By delivering an all-in-one solution that integrates these essential components, Vertiv is empowering organizations to keep pace with the AI revolution. The key to staying ahead in the AI tech race lies in being agile, efficient, and future-ready. With Vertiv’s 360AI, businesses can confidently embrace the future of AI with the reliability and scalability they need to thrive. 

To learn more about how Vertiv supports the continuity of today’s vital business operations, visit Vertiv.com 

HUAWEI Grows Partner, Product Portfolio in PH, Aims to Accelerate Local Digitalization

 

HUAWEI has reaffirmed its commitment to enabling Filipinos to enjoy a seamless AI life supported by an intelligently connected ecosystem at the recently held Huawei Development Day Philippines 2021. The tech leader also shared its aggressive roadmap in forging strategic partnerships with key industry players, which led to the availability of 96 percent of top local apps in HUAWEI’s very own AppGallery. 

 

HUAWEI’s roster of partners covers essential industries from banking and e-commerce to lifestyle and entertainment. Some of the key partners represented at the HDD are mobile e-wallet GCash, telehealth platform KonsultaMD and online radio and entertainment channel WishFM. 

 

“We are grateful for the trust and confidence our partners vest upon us. As Huawei aggressively expands its mobile services and product portfolio, it is fitting that we partner with top brands and companies here in the Philippines. Through these strategic partnerships, we get to hyperlocalize our efforts in catering to the needs of our local customers. We are also glad that through our partnership, Filipino enterprises get to reach their intended audience and customers better in the highly digital new normal. We, together with our partners, are building and championing a more intelligent and interconnected world that makes seamless AI life possible,” shares George Li, country manager of Huawei Philippines - Consumer Business Group.

 

The Department of Information and Communications (DICT) also reaffirmed its strong relationship with HUAWEI at the event, noting the latter’s support in ensuring the continuous development of the Department’s programs and projects. Huawei and DICT have collaborated on several projects since 2018 which include the Philippine Startup Challenge (PSC) -- a national startup competition that challenges participants to come up with ICT solutions to real-life problems. 

 

HUAWEI also shared its funding programs for app development across the world. The tech giant has recently invested USD 1M in an honor awards program that recognizes app innovation in five regions: APAC, Europe, LA, Middle East, and China. Innovative apps present in AppGallery get to bag prizes in multiple categories such as gaming, fintech, and social impact. This venture is geared at propelling innovation in the app industry in service of the evolving needs of highly digital consumers. 

 

The Huawei Developer Day 2021 Philippines also featured key updates for HarmonyOS and Petal Nearby. 

 

HarmonyOS 2: Next-Gen Operating System

Huawei has unfolded a new chapter for its HarmonyOS 2 in the latter part of the first half of 2021. Launched with the tagline “One as All, All as One”, HarmonyOS is an integral component to the ecosystem roadmap of Huawei wherein more products running the operating system will be given the capability to seamlessly connect with each other.

 

At the HDD event, Huawei announced four main breakthroughs for HarmonyOS 2: DecoupledOS and hardware, sharing capabilities between devices, smooth and low latency operation, and the DevEco Studio. Through its decoupled and modularized technology in distributed OS architecture, HarmonyOS can be flexibly deployed to various devices with distinct form factors and storage capabilities. The same technology enables formerly isolated capabilities such as display, camera, speaker, microphone, communications, sensor and computing to be synergized seamlessly across multiple devices. 

 

HarmonyOS also addresses underperformance challenges with a Deterministic Latency Engine, which enables the system to have precise resource scheduling and real-time app prioritizing. This brings down response latency by 25.7 percent and latency fluctuation by 55.6 percent. 

 

Huawei also showcased its DevEco Studio which allows ICT professionals to develop tagged widgets and adaptive UI layouts. This rids the need for developers to redesign and rework structures as HarmonyOS makes their singular output compatible with different peripherals. 

 

Petal Nearby: Adventures Made Easier, Brought Closer

Petal Search has been a hallmark of the Huawei ecosystem since its launch at the Huawei Developer Conference 2020. It is now present in several types of devices, being used across 170 countries with 50-language iterations and 20 vertical categories. 

 

Huawei has observed a rapid change in user behavior in terms of search trends in recent years. From mere search queries, online users now clamor for more interactive options that satisfy the need for immediate information. To address this, Huawei has updated Petal Search to optimize it as a hub that connects all local services. This resulted in Petal Nearby.

 

Petal Nearby is a high-traffic portal that gives users access to all local services. Nearby portal brings together a wide selection of local businesses and services such as hotels, entertainment, attractions, education, food and drink, automotive and other local services, providing search efficiency and convenience. 

 

This update to Petal Search is also aimed at helping local businesses connect better with their immediate market in terms of proximity, which is crucial today as people lessen travel to areas outside of their cities. 

 

Filipino Huawei fans and tech enthusiasts may stream the Huawei Developer Day 2021 on the official Facebook page of AppGallery for more information on the HarmonyOS, Huawei Mobile Services and Ecosystem, Petal Nearby, and local and global business updates.

 

 

Philippines Needs Its 5G Capabilities for a Smarter and More Intelligent Society

 

Many say that the Cloud is the foundation of all as it supports practically everything while Artificial Intelligence (AI) will make all things intelligent. As the emerging communications connectivity platform, 5G technology will change the way people communicate while providing ultra-reliable, low latency, high-bandwidth connectivity. Finally, the internet of Things (IoT) will provide the virtual immersion and interaction.

 

Combining these technologies into one cohesive and synergistic environment will certainly enable countless possibilities in the very near future, and ICT companies will be at the forefront of providing connectivity to make cities, industries, and enterprises more intelligent in the not-so-distant future.

 

Considering our digitally savvy and smart society, digital transformation is now the operative word that is sweeping across industries in the Philippines. The best way to realize that transformation is to build a simple yet super-intelligent network, one that can be controlled dynamically and managed in a closed-loop manner. Key enablers include automatic deployment, pre-event simulation, post-event verification, prevention and prediction, and proactive optimization.

 

Just recently, the Bangkok Post Public Company Limited in Thailand organized an event that showcased how new technologies like Cloud, AI and connectivity are being applied to unlock new potential, markets and business models in the digital era. Partnering with Huawei, the event gathered more than 4,500 business leaders, industry experts, including diplomatic and government officials where everyone shared valuable insights on global industry trends, and discussed how technological innovations in ICT can unleash varying potentials for industries and society.

 

The Philippines should also consider the robustness of local talent in the field of ICT and telecommunications, the country’s potential for exponential growth, and business's chance to bounce back and recover during the post-pandemic era, using technologies such as 5G as springboard for growth and development.

 

5G technology may help to change the way the world connects people and industries. As the rollout of global 5G progresses quickly, its adoption in industries has moved from technical verification to commercial deployment. There is no such thing as a one-size-fits-all solution, because every industry has vastly different requirements.

 

For 5G, connecting people is its basic function. Mobile networks were first created to keep people connected anytime and anywhere. From now until 2030, 5G will increasingly help people interact with the virtual world in real time and deliver a truly immersive experience.

 

Speaking of the virtual world, another boom area for 5G is the use of Virtual Reality/Augmented Reality (VR/AR), where the interaction between the physical and virtual worlds, a scenario that was only a dream before, has become a reality. However, to deliver an XR Pro and holographic experience, cellular communication will need higher speeds. The average access speed should shoot up, from the 120 Mbit/s that supports today’s 4K video streaming to the 2 Gbit/s suitable for 16K video. In addition, lower interaction latency is also a must, where the current 20 ms should be brought down to 5 ms. To meet all these, 5G needs to keep evolving.

 

Looking ahead to 2030, 5G will be the most critical connectivity technology. Cellular networks will carry more than 100 billion connections, most of which will be carried by 5G, which is significantly higher than the 1.3 billion IoT connections present today.

 

Asia is the next frontier for AI development

Xuedong Huang, technical fellow in charge of Microsoft’s speech, natural language and machine translation efforts. (Photo by Scott Eklund/Red Box Pictures)

In a few short years, Artificial Intelligence (AI) has been thrust into the limelight – elevating itself from a far-fetched, science-fiction topic to one that is currently dominating many conversations between customers, partners and industry leaders across Asia. The convergence of big data, ubiquitous and powerful cloud computing, along with breakthroughs in software algorithms and machine learning, have made exciting new scenarios in AI deployment a possibility.

Today, AI is at the center of the digital transformation of organizations and even nations. By 2019, IDC predicts that 40% of digital transformation initiatives in the region will be supported by AI.

(Read here about how digital transformation will contribute more than US$1 trillion to Asia Pacific GDP by 2021, where AI is a primary catalyst for further growth)

With imagination and plenty of data, AI can create vast benefits at scale. In Japan for example, where Miko, an AI-power chatbot and the star of new mobile travel app Japan Trip Navigator, is helping tourists in Japan navigate its streets. Created by Microsoft in partnership with travel agency JTB Corp and navigation firm NAVITIME Co, Miko provides travelers in Japan with real-time information from official sources as well as insights from other users of the apps. Miko can also help with hotel and other bookings on the app.

What’s more, one of the more advanced and interesting capabilities of Miko is that it is imbued with image recognition functions using Microsoft’s Cognitive Services AI platform, enabling her to provide information to users through the photos that they have taken.

Asia will be key to AI development globally

There are three reasons why Asia is uniquely placed to play a leading role in the development of AI at scale.

1. AI needs data: AI is dependent on data to perform; the more data that is fed into an AI system, the better it gets. Not only does Asia have the world’s largest population, it continues to be a region that is more digitally-connected than other parts of the globe and hence can provide the massive amounts of data that AI systems need to grow.

2. AI needs talent: Whilst we anticipate the mass adoption of AI this year, there is still a long way to go for more powerful and sophisticated AI programs to be developed. To do that will require a large and strong pool of science, technology, engineering and mathematical (STEM) talents that technology companies and research bodies can tap into to advance AI capabilities. And this talent is increasingly likely to originate from Asia. According to UBS, by 2025 the combined AI talent pool of China and India alone will exceed that of the US.

3. AI needs adoption: As stated, the more data that is fed into an AI system, the better it gets. One of the unique aspects of Asia is its large youth population, that have been born into a digital world. The UN estimates that 60% of the world’s youth population is in Asia Pacific. These “digital natives” are more receptive to digital technologies enhancing their lives. Not only that, but many Asian countries are, historically, late adopters of legacy technology, enabling them to leapfrog other nations dependent on old infrastructure and embrace new ways of living and working.

Microsoft’s AI investment in Asia

With the immense growth potential of AI in Asia, Microsoft has identified four key building blocks to ensure people and organizations are able to harness AI optimally.

1. Developing AI capabilities: The AI revolution will not happen without world-class STEM talents driving R&D, and creation of programs and applications. Collaboration among governments, industry bodies and organizations to develop AI capabilities in this region will need to be a focus. A good example of this is Microsoft’s investment of US$33 million in partnership with the Taiwanese Government to create a AI R&D Hub in Taiwan to help transform the island’s technology and industrial sector.

2. Developing partner ecosystem: Microsoft is focused on transforming IT partner ecosystem across Asia to enable them to bring AI capabilities to the markets. In fact, they are committing $500m over the next two years to offer joint sales engagements with startups, along with access to our technology, and new community spaces that promote collaboration across local and global ecosystems.

3. Creating the AI platform: Microsoft continues to strengthen its hyper-scale cloud platform – Microsoft Azure – and its ability to deliver AI programs at scale securely across the world. Today, Azure is available to customers in 140 countries worldwide via 50 Azure regions across the world, more than any other cloud provider, which includes 15 here in Asia. This offers customers and partners the platform needed to deliver

4. Re-skilling Asia’s workforce: Microsoft is committed to working with public and private organizations to help re-skill existing workforce to thrive in a new AI-driven digital world. For example, the recently launched National Skills Program in South Australia provides digital skills to automotive supply chain workers whose roles were displaced by the closure of the Holden manufacturing plant in Elizabeth in late 2017.

Industry experts believe this to be Asia’s century. And AI offers the region an unprecedented opportunity for growth, productivity and innovation, as well as the potential to solve some of the region’s most important societal challenges.

It will certainly be an interesting ride; so strap in – the revolution is about to begin!

Brave New World – How AI Will Impact Work and Jobs

There’s no doubt that the advent of broadly-available Artificial Intelligence (AI) offers businesses the prospect of increased productivity and accelerated innovation, whilst also enabling society to help solve some of its toughest - and most persistent – challenges: disease, famine, climate control and natural disasters.

AI is already delivering tangible economic benefits for many organisations across Asia Pacific. For example, leading global container shipping company OOCL reports that applying AI to their business is already saving them $10m annually, whilst Apollo Hospitals in India are using AI to help predict heart disease amongst its patients.

While the benefits of Artificial Intelligence are undeniable, AI is a disrupter, especially when it comes to the displacement of jobs. The ramifications of AI on the workforce is a regular topic of discussion among CEOs and government leaders across Asia Pacific.

That said, it is also pertinent to examine the far-reaching implication that AI brings to the workforce. Will the social disruptions that AI can potentially create ultimately overshadow its benefits?

The Evolution of Jobs in the AI-Shaped Future

To put things in perspective: large-scale disruption is a challenge with every industrial revolution. Technology will always have profound implications on the creation, elimination, or evolution of jobs. For example, just a few years ago, it was common for offices to have a pool of typists. Clearly, this role is no longer relevant in today’s modern office, thanks to the proliferation of personal computing. The advent of AI will reshape jobs in a similar way.

Microsoft recently partnered with the leading technology advisory firm IDC to assess the digital transformation landscape across the region. Titled “Unlocking the Economic Impact of Digital Transformation in Asia Pacific”, the study surveyed 1,560 business and IT leaders from 15 Asia Pacific economies[i]. It showed that 85% of jobs in Asia Pacific will be transformed in the next three years. (See chart below)

Diving deeper into the results, the respondents said that over 50% of jobs will be redeployed to a new position and/or retrained and upskilled for digital transformation. What’s interesting is that the Study shows that 26% of jobs will be newly created roles from digital transformation, which will offset the 27% of jobs that will he outsourced or automated. In other words, the overall workforce effect will be broadly neutral.

These are clear indications that how businesses organize work, how people find employment and the skills people need to prepare for the workforce are changing dramatically. These changes are likely to accelerate in the decade ahead.

As AI continues to transform the nature of work, education, skills, and training will have to transform as well in order to ensure that people are prepared for the jobs of the future and businesses have access to the talent they need to succeed. And as traditional models of employment transform, there will be a need to modernize legal frameworks to recognize new ways of working, provide adequate worker protections, and maintain social safety nets.

Building a Better Future Together

The recently published, ‘The Future Computed, Artificial Intelligence and its Role in Society’, makes sense of this AI conundrum as it offers three conclusions on AI and the impact on work and jobs:.

(You can download the book here for free today).

• First, the organizations and countries that will fare best in the AI race will be early adopters. The reason is straightforward: AI will be useful wherever intelligence is needed and it helps us to be more productive in nearly every field of human endeavor, which can lead to economic growth. Put simply, new jobs and economic progress will favor those that embrace the technology, not those that resist it.

• Second, while AI will help improve daily life in many ways and help solve big societal problems, its important to remain critical when examining the issues that it can bring. Beyond AI deployment, what’s equally important is to prepare society and the workforce for the impending changes that AI will catalyze by addressing the need for strong ethical principles, the evolution of laws, the importance of training for new skills, and even labor market reforms. These aspects must all come together in order tomake the most of this new technology.

• Third, to fully realize the benefits of AI, and to minimize the negative outcomes, technology companies, private and public organizations need to come together with a sense of shared responsibility -- AI must be democratized.

The AI building blocks that Microsoft is developing today, such as computer vision, speech, and knowledge recognition, should be made available to all so that they can create their own AI-based solutions. AI should not be controlled by just a few organizations. The AI future should be built by everyone with a vision on how AI can benefit economies and societies as well as how we can tackle AI issues and their implications.

The future of AI can burn brightly or dimly. Disruption is a norm, and the ability to adapt to disruptions is what defines all of us. And to adapt to the fast-approaching, rapidly evolving AI future, all parties – from workers to enterprises to governments - will need to spend more time listening to each other, collaborate and constantly learn new knowledge and skills.