ASLI INSIGHTS: Asia Unpacked | 13 December 2024

🌏 Stay ahead with Asia Unpacked! A turning point in Damascus as Assad falls to rebel opposition, China probes Nvidia amid rising US tech tensions, and South Korea deals with political fallout. Plus, Malaysia takes bold steps in digital transformation with the launch of a national AI office!

Stay informed. Stay ahead. Here’s what’s making headlines this week:

1) Turning Point in Damascus: Assad Falls to Rebel Opposition

The Assad regime in Syria fell after a rapid offensive by rebel forces, ending more than five decades of rule by the Assad Family. Opposition fighters seized Damascus following weeks of victories across the country, including the capture of Aleppo and Deir al-Zour. President Bashar al-Assad fled to Russia, where he was granted asylum, while rebel leaders declared Syria liberated. Crowds celebrated in the streets as prisons were opened and a transitional governing committee was announce. This overthrow marks a seismic shift in Syria’ political landscape after 13 years of civil war, which killed hundreds of thousands and displaced millions. The collapse of Assad’s government is also a blow to his allies, Russia, Iran and Hezbollah while Western leaders have called for an inclusive political transition. However, concerns persist about the influence of extremist groups within the opposition and the challenges of rebuilding the war-torn nation.

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2) China Probes Nvidia Antitrust Move Amid US Tech Tension

China's State Administration for Market Regulation has initiated an antitrust investigation into U.S. chipmaker Nvidia, focusing on potential violations of China's anti-monopoly laws and commitments made during Nvidia's $6.9 billion acquisition of Mellanox Technologies in 2020. This move is widely viewed as a response to recent U.S. export controls aimed at restricting China's access to advanced semiconductor technologies. The U.S. measures, intended to limit China's development in artificial intelligence and other high-tech sectors, have led to increased tensions between the two nations. In retaliation, China has tightened controls on critical raw materials essential for chip manufacturing. Nvidia, a leading provider of AI and gaming chips, has previously faced antitrust scrutiny in other regions, including the U.S. and France. The company has expressed its commitment to cooperating with regulators and emphasized its dedication to fair business practices. Following the announcement of the investigation, Nvidia's stock experienced a decline, reflecting investor concerns over the escalating tech tensions between the U.S. and China.

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3) Detained South Korean Minister Under Safety Watch After Martial Law Fiasco

South Korea is experiencing significant political turmoil following President Yoon Suk Yeol's brief imposition of martial law on December 3, 2024. This unprecedented move led to the arrest of former Defense Minister Kim Yong-hyun, who allegedly recommended the martial law declaration. Kim attempted self-harm while in detention but survived and remains under medical care. In the wake of these events, South Korean police attempted to raid President Yoon's office as part of an expanding investigation into the martial law decree. However, they faced access restrictions imposed by presidential security, preventing entry into the main building. The political crisis has intensified calls for President Yoon's impeachment. The opposition Democratic Party has labeled the martial law declaration as unconstitutional and is preparing a new impeachment motion after a previous attempt failed due to a boycott by ruling party members. Public sentiment is increasingly critical, with large protests demanding Yoon's resignation and the dissolution of his ruling party. The situation has raised concerns about South Korea's democratic stability and its international standing. As investigations continue, the nation's political future remains uncertain, with potential implications for its governance and international relations.

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4) Amnesty International Accuses Israel of Genocide Against Palestinians in Gaza

Amnesty International has accused Israel of committing genocide against Palestinians in Gaza, asserting that Israel's actions meet the legal criteria for genocide under the 1948 Genocide Convention. The report, based on months of research and interviews, identifies three key acts: killings, inflicting serious harm, and deliberately creating conditions to destroy Palestinians physically. Amnesty's Secretary-General, Agnès Callamard, stated that Israel has treated Palestinians as a "subhuman group," suggesting intent to destroy them. Israel dismissed the report as "entirely false," with its foreign ministry labeling Amnesty as a "deplorable and fanatical organisation." The report also criticises the international community for failing to press Israel to end its actions, pointing out that continued arms supplies and delayed ceasefire-calls have worsened the situation. Amnesty International urges immediate action to stop the ongoing genocide and ensure accountability for the violations committed, emphasising the need for the international community to intervene and hold Israel responsible.

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5) National AI Office Launched to Guide Malaysia’s Digital Transformation

Malaysia has launched a National AI Office to oversee the development of artificial intelligence (AI) policies and regulations, aiming to make the country a regional AI leader. The new office will focus on strategic planning, research and development, and addressing regulatory challenges. Prime Minister Anwar Ibrahim highlighted that this step is a significant milestone in Malaysia’s digital transformation, positioning AI as a key driver for the economy. The office is tasked with formulating a code of ethics, developing a regulatory framework, and creating a five-year AI action plan through 2030. The move follows major investments from global tech companies like Amazon, Google, and Microsoft, which are expanding their presence in Malaysia. The digital sector has been a vital contributor to Malaysia's economy, with investments reaching 71.1 billion ringgit ($16.06 billion) in 2024. The launch of the AI office reinforces Malaysia's commitment to becoming a digital economy powerhouse.

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