Singapore – Microsoft has officially launched its first Southeast Asia research and development lab dedicated to artificial intelligence (AI), with a focus on building solutions for manufacturing, finance, and healthcare. The facility, known as Microsoft Research Asia Lab (MSRA), was inaugurated on July 24 at Shangri-La Singapore and is based at Frasers Tower in Cecil Street.
The Singapore lab marks the company’s 14th worldwide, reinforcing its long-term commitment to AI innovation. Peter Lee, President of Microsoft Research, highlighted the lab’s ambition to develop AI models capable of solving complex challenges such as supply chain disruptions caused by global trade tensions. With fluctuating component prices and availability, AI-driven optimisation could provide manufacturers with real-time insights to enhance decision-making.
Singapore was selected as the lab’s home due to its advanced manufacturing ecosystem and its role as a global logistics hub. “On a daily basis, both supply and pricing of components are fluctuating. The question is, how can you optimise, even on an hourly basis, where to source them? These are problems beyond human capacity, but AI presents a real opportunity,” said Mr Lee.
In the finance sector, MSRA aims to create models that analyse company reports and market news to predict movements with greater accuracy. Given Singapore’s strategic position bridging Asian and Western markets, the city-state provides both a unique testbed and valuable data sources for such models.
Healthcare is another focal area, with the lab collaborating with SingHealth on precision medicine. One project involves an AI diagnostic tool called Gigapath, which analyses pathology images to identify colorectal cancer risks earlier. According to SingHealth Group CEO Ng Wai Hoe, integrating machine-discovered tumour features with patient data can support more precise prognoses and personalised treatments.
Beyond research applications, the lab is also positioned as a talent development hub. Since April 2025, MSRA has been working with the National University of Singapore and Nanyang Technological University on an industrial postgraduate programme, where PhD candidates receive mentorship from Microsoft researchers. Additionally, the lab is partnering with A*Star and local institutions to advance fundamental AI research in problem-solving, pattern recognition, and decision-making.
At the launch event, Dr Tan See Leng, Singapore’s Minister-in-charge of Energy, and Science & Technology, praised MSRA’s commitment to local collaboration. He encouraged start-ups to leverage Microsoft’s GenAI platforms and ecosystem to accelerate AI experimentation. Singapore, he noted, has already established more than 40 AI Centres of Excellence to anchor such initiatives.
With its multidisciplinary scope, the MSRA Singapore lab is set to play a pivotal role in shaping AI solutions that not only address immediate industry challenges but also advance the region’s long-term competitiveness in the digital economy.
