Salesforce plans to invest US$1 billion in Singapore over the next five years as part of the tech company’s long-term commitment to the region and its role as a hub for AI innovation.

The investment aims to accelerate digital transformation, support the adoption of its flagship AI platform Agentforce, and bolster Singapore’s National AI Strategy 2.0.

Like many tech companies, the cloud software giant is betting on generative AI to drive growth.

Salesforce recently launched the latest iteration of Agentforce, which is designed to handle complex queries within Slack and leverage comprehensive data to enhance decision-making.

The company describes it as the first enterprise-grade AI platform tailored to businesses.

Speaking at Converge Live in Singapore, Salesforce CEO Marc Benioff turned the spotlight on the company’s enduring presence in the region.

“We have had a fantastic experience here. We’ve been here for about 25 years at Salesforce and we’re investing another $1 billion in our operations here,” Benioff told CNBC.

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The CEO also highlighted Singapore’s pivotal role in AI development. “We don’t just do sales and marketing here. We also do extremely advanced artificial intelligence development. We have dozens of some of the very best AI engineers in the world here in our Singapore research centre,” he said.

Singapore is facing demographic challenges, including an ageing population and slowing labour force growth. Salesforce believes Agentforce can be a game-changer by expanding the workforce in key service and public sector roles through AI-powered digital labour.

Jermaine Loy, managing director of the Singapore Economic Development Board, welcomed the investment as a way to boost ongoing efforts to “build a vibrant hub for AI innovation and adoption across our economy,” he stated.

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Singapore as a global AI innovation hub

Salesforce has been deeply embedded in Singapore’s tech ecosystem for nearly two decades, collaborating with major enterprises such as Singapore Airlines, Grab, M1, FairPrice Group, and Ocean Network Express. The country has been central to the company’s AI research expansion, hosting its first international AI Research hub since 2019.

Singapore has therefore played a crucial role in the development of AI models, including multimodal language-vision foundation models (BLIP) and time-series foundation models (Moirai). It has also contributed to product innovations such as AIOps Agents, which enhance site availability, and in-house code LLMs that optimise software performance.

These efforts have resulted in over 100 research papers and patents, reinforcing Singapore’s status as a leader in AI advancement.

Growing partnerships in Singapore

One of Salesforce’s partners in the region, Singapore Airlines, has already announced plans to incorporate Agentforce, Einstein in Service Cloud, and Data Cloud into its customer case management system. The integration is expected to enhance the airline’s ability to deliver more personalised and seamless customer experiences.

Salesforce and Singapore Airlines also plan to co-develop AI solutions tailored for the aviation industry to capitalise on new efficiencies and benefits.

Strengthening data residency and compliance

Salesforce is poised to support Singapore’s businesses with the expansion of its Hyperforce platform in the region. By next month, it will offer data residency for Data Cloud, Agentforce, and Unified Marketing Applications to ensure compliance with local data protection regulations. The move is particularly crucial for industries with stringent data security requirements, such as government, financial services, and telecommunications.

Hyperforce, which was first introduced in Singapore in 2021, provides organisations with a secure and scalable infrastructure that aligns with regulatory frameworks.

Salesforce said it is reinforcing its commitment to providing trusted AI solutions while enhancing customer confidence.

AI-driven business growth in Singapore

Salesforce’s $1 billion investment signals a strong belief in Singapore’s potential as a global AI powerhouse. With businesses integrating AI into their operations more extensively, platforms like Agentforce are expected to enhance productivity and workforce efficiency.

Benioff summed it up best: “We are in an incredible new era of digital labour where every business will be transformed by autonomous agents that augment the work of humans, revolutionising productivity and enabling every company to scale without limits.”

In leveraging Singapore’s AI ecosystem, Salesforce is not just expanding its footprint but shaping the future of AI-driven business innovation. As AI adoption accelerates, the investment is set to deliver lasting impact across industries, startups, and the public sector and set the stage for a digitally empowered workforce.