Thailand’s Digital Industry Sentiment Index rose to 51.4 points in the third quarter, returning to the confidence zone for the first time in five quarters, driven by stronger demand for artificial intelligence (AI)-related products, accelerated exports and increased government budget disbursement.
The Digital Economy Promotion Agency (depa) said the index climbed from 48.4 in the second quarter, with improvements across most key indicators, ranging from business performance to investment.
The survey covers five major digital industry segments: hardware and smart devices, software, digital services, digital content and telecom.
Supakorn Siddhichai, chief executive of depa, said the improvement reflected stronger liquidity from government budget disbursement towards the end of the fiscal year, rising global demand for AI technologies and related devices, and efforts by exporters to bring forward shipments ahead of potential increases in US import tariffs.
The approaching year-end high season also contributed to the improvement, he said.
However, digital businesses continue to face structural pressures, particularly global shortages of raw materials that have pushed up costs.
Mr Supakorn said smaller companies are shifting from full-time employees to freelance workers to contain fixed costs.
Four of the five surveyed sectors recorded sentiment readings above the 50-point confidence threshold in the third quarter. Software recorded the highest reading at 56.5, followed by telecom at 53.3, digital services at 52.8 and hardware and smart devices at 50.2. Digital content remained below the confidence threshold at 44.4.
Digital entrepreneurs are calling for greater policy continuity, particularly regarding tax incentives aimed at supporting employment and talent development. These entrepreneurs also want more concrete government support for high-growth sectors such as gaming and digital content, as well as measures to increase the share of locally produced content.
The outlook for the next three months remains positive, with the digital industry sentiment index projected to rise to 52.4, according to depa.
Business performance, production and new orders are expected to improve gradually, supported by stronger demand from both the public and private sectors, year-end contract negotiations and increased consumer spending during the peak holiday season.
However, recent heavy rainfall and flooding in central and eastern Thailand could temporarily weigh on business activity and investment, depa noted.
MOST CONFIDENT
Most Thais are confident AI will have a positive impact on their life and work, according to Thailand Digital Outlook 2026 conducted by Office of the National Board of Digital Economy and Society (BDE).
According to the survey, 66.8% of respondents believe the technology will have a positive impact on their lives and work, more than two times higher than the Organisation for Economic Co-operation and Development’s (OECD) average of 28.6%.
The Digital Outlook project was launched in 2019, measuring Thailand’s digital development against the OECD Going Digital Toolkit framework. This year’s study covered 102 digital indicators across eight dimensions, based on a nationwide sample of 46,810 respondents.
Some 31.6% indicated they have already begun using AI in their daily lives or at work.
Among women aged 16-24, 23.9% report having coding skills, ranked the highest when compared with 36 OECD countries.
BDE secretary-general Wetang Phuangsub said the findings show that Thailand’s digital transition is moving beyond basic technology adoption, with growing public engagement with AI and stronger demand for digital skills.