The cautious case against AI hype

In this newsletter, we finally see some signs of caution in a hyped-up AI world. Plus, the return of EV bikes and where IPOs are happening in 2026.

Read from your browser Sunday Newsletter Welcome to Tech in Asia's Sunday newsletter, your weekend brief on the biggest moves in Asia's tech and startup world. Subscribe to this newsletter or send story tips to editors@techinasia.com. Ensure our articles appear in your Google searches: IN FOCUS Scott Shuey on a cautious shift in the AI gold rush Why banks' AI push runs ahead of results - our guest writer explains Our latest IPO tracker shows the Chinese AI startups driving Asia's IPO pipeline Hello Betamax, Is it possible? Have the investors and clients of the world finally learned the lesson that rushing into new technology might have risks? HAHA. Of course not. As we saw with The New York Times' story on Medvi, hype can still trump reality. People want to believe that absurdly large amounts of money can be made by using software with US$20 subscriptions. But looking back through our stories this week, I am starting to see companies and investors actually showing they are capable of being cautious around new technology. In particular, two stories come to mind: "Banks pour billions into AI, but most see no ROI. Here's why" and "AI trading agents are only as trustworthy as their data." These stories address the same issue - lack of trust in AI - but from opposite sides of the trading desk. To be fair, trust isn't the only issue. In banking, there is a laundry list of challenges, while in trading, investors are waking up to the possibility of what used to be called a flash crash. The AI-driven variety is still known as an algorithmic flash crash, but it's scarier, faster, and easier to trigger. Now, if I've scared you out of the market, we also have a less daunting story that you might be interested in. Elyssa Lopez writes about why EV motorbikes are gaining ground on the streets of some Southeast Asian cities. One of the driving forces here - the ongoing war in the Persian Gulf - isn't anything to cheer about either. But these days, I'll take the silver lining. Scott Shuey, senior editor EDITOR'S PICKS 1️⃣ Banks pour billions into AI, but most see no ROI. Here's why AI is arriving in private banking with big promises, but a new industry report shows how the gap between pilot and payoff remains wide. Many banks are finding that even after a model goes live, relationship managers take at least nine months to actually trust it. The banks closing that gap fastest are the ones embedding AI into live client conversations and measuring AI performance against revenue rather than efficiency. 2️⃣ AI trading agents are only as trustworthy as their data AI trading agents are flooding crypto markets, but researchers warn that the infrastructure powering them is more fragile than ever. A coordinated disinformation campaign could trigger an automated sell-off - a flash crash. One fix is slower humans, which can apply judgment that pattern-matching engines simply don't have. 3️⃣ How SEA's surviving EV bike operators stay on the road Southeast Asia's EV startups are getting some unexpected help - from rising petroleum prices due to the US-Iran war. Vietnam is the clearest bright spot, lifted partly by government bans on combustion engines. Thailand and Indonesia remain tougher sells, where range limitations are still a factor. SHORT CUTS 1️⃣ WeChat Pay expands QR payments to 5 Asian countries WeChat Pay, Tencent's payment service, announced that users can now transact by scanning local QR codes in South Korea, Sri Lanka, Thailand, Malaysia, and Singapore. It's a sign that the Chinese fintech giant is racing to own the infrastructure layer beneath China's surging outbound travel market. 2️⃣ DeepSeek launches V4 AI model to rival OpenAI DeepSeek released its open-source V4 foundation model on April 24, saying it can compete with closed-source systems from OpenAI and Google DeepMind. The V4-pro model is DeepSeek's largest model yet by parameter count, with 1.6 trillion. 3️⃣ Robinhood wins Singapore approval for brokerage The approval, stacked on top of a crypto license in the city-state and two brokerage acquisitions in Indonesia, signals that the US platform is moving quickly to build a full-service financial foothold across Southeast Asia. THE VISUAL STORY YOU SHOULDN'T MISS Tracking IPOs: Chinese AI firms push on, India and SEA hit pause A wave of Asian startups is heading for the public markets over the next year, led by firms from mainland China and Hong Kong. The Hong Kong stock exchange is emerging as the listing venue of choice, with fintech, automotive, and ecommerce companies dominating the pipeline. WEEKEND DEEP DIVE Wired's guide to using Gemini to sell AI slop to American MAGA If you've ever been on social media and wondered, "who in the hell is buying this crap?" - well, this article is for you. Wired speaks to a content creator from India who specializes in creating deepfakes of young, female MAGA influencers for American audiences. The best line in this story: "Whether it's plausible that a sexy blonde nurse would love Christ, ICE, and flashing her boobs for strangers is secondary to the fact that many, many people want to believe it is." FROM FUNDING BOOM TO EXIT REALITY Exclusive at Asia Economic Summit 2026 Across Southeast Asia, the funding story has changed. Capital is still there, but exits are not. The challenge now is proving readiness for liquidity, accountability, and long-term value creation. At the Asia Economic Summit 2026 on June 17, Amvesindo chairman Eddi Danusaputro joins the main stage panel "Bridging private and public markets: The next phase of capital in tech" to examine how startups, investors, and capital markets must realign as the era of accessible funding gives way to a stronger focus on fundamentals. Drawing on experience investing in over 30 startups - including Bukalapak, GoTo, Amartha, and PrivyID - he brings a practitioner's perspective on IPO readiness, ecosystem alignment, and exit strategies. The Asia Economic Summit 2026 convenes over 250 policymakers and C-suite leaders to tackle structural shifts across capital, AI, and market dynamics that are shaping Southeast Asia's next phase of growth. Explore the full agenda to see the breadth of topics covered. Save US$354 with Early Bird access at US$234 (from US$588). Offer ends on April 26. EVENTS HAPPENING You can also check out our curated list of trending tech events and Tech in Asia's signature events. How is your leadership positioned for Singapore's AI shift? Singapore's AI economy is translating into real output, as global players like Microsoft expand their AI infrastructure and push enterprise adoption across the region. But leadership, governance, and execution are not keeping pace, with 71% of boards not regularly reviewing resilience. What's unfolding in Singapore is a preview of Southeast Asia's next phase. Partner with us to position your brand where these shifts are happening. ADVERTISE | SUBSCRIBE | HIRE | FIND JOBS P.S. Don't miss out on the biggest tech news and analysis. Add newsletter@techinasia.com to your address book, contacts, or safe sender list. Or simply move us into your inbox. Tech in Asia thanks our partners for supporting our newsletters. Sponsorship has no influence on editorial content. Too many emails? 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