Install Update: Smart Nation 2.0

Updated: 10 minutes ago

Image Credits: Unsplash (Conny Schneider https://unsplash.com/photos/a-glowing-light-bulb-in-a-dark-room-2-kXLvGOU5A)

In this Policy Explainer, find out…

What is Smart Nation 2.0 and why was it introduced?
How does the Government plan to implement this?
How will different Singaporeans be affected by this policy?

Introduction

Computer Audio hardware. Thumbdrives. NETS. Many would be surprised to learn that these were all pioneered by Singaporean companies. It shows Singapore’s continuous efforts to churn out revolutionary technology, and its strong emphasis on becoming a more digital nation. From the public sector front, the government continuously launches bold and revolutionary digital initiatives such as Singpass Mobile and HealthHub, both of which have managed to add much convenience into the lives of Singaporeans. Refusing to rest on its laurels, the Government has decided to launch Smart Nation 2.0 in 2024, building upon its Smart Nation 1.0 development plan launched 11 years ago.

Smart Nation 2.0 is an ambitious blueprint that seeks to further integrate the latest technologies into the economic, social and technological spheres of society. This Policy Explainer begins by discussing Smart Nation 1.0 and its limitations before delving into why Smart Nation 2.0 was introduced and the policy’s goals. Finally, it covers some of the challenges of implementing Smart Nation 2.0 successfully.

Smart Nation 1.0 and the Shift to 2.0

The Prequel : Smart Nation 1.0

Before Smart Nation 2.0, the Government launched Smart Nation 1.0 in 2014. Smart Nation 1.0 was developed to help Singapore tap on digital technologies to enhance various sectors like health, transport, education, finance and infrastructure. It had four main aims. Firstly, it sought to create a digital economy by accelerating digital transformation of existing sectors, building new tech-enabled ecosystems, and developing next-gen industries like cybersecurity as growth engines. Next, Singapore aimed to create a digital government. That meant ensuring that public agencies were focused on integrating technology into its daily operations. Thirdly, it aimed to cultivate a digital society, where Singaporeans are more tech-savvy and aware of how to navigate through the digital age. Lastly, it aimed to enhance Singapore’s digital security to ensure that Singapore’s cybersecurity efforts remained robust and that our online transactions remained resilient and secure.

In that sense, Singapore has been largely successful in achieving many of its original ambitions.

Through the Government’s efforts to enhance Singapore’s digital economy, it managed to foster digital transformation of businesses, with 95 per cent of small and medium enterprises (SMEs) adopting digital technology. There was also much improvement in human capital, with over 200,000 tech professionals in 2024 up from 160,000 in 2018. Furthermore, the Government has shown its commitment to going digital by launching a suite of digital government products and services, including Singpass and HealthHub. The Singapore Government has also managed to create a digital society where patrons of all ages were exposed to technology, with over 340,000 seniors being trained by the SG Digital Office on the newest technologies, and ensured that 99 per cent of resident households were connected to the internet as of 2022, up from 88 per cent in 2014. Lastly, the Government managed to launch various laws, such as the Cybersecurity Act in 2018, in order to continue strengthening our cyberspace.

Limitations of Smart Nation 1.0 and the Need for a New Framework

However, in the current digital landscape, there are some concerns about the continued relevance of the Smart Nation 1.0 framework.

Firstly, the birth of new technologies, such as generative artificial intelligence (AI), has created more obstacles and opportunities. For instance, AI can be used to boost economic growth greatly, with a study predicting that AI can contribute up to US$15.7 trillion to the world’s economy by 2030. This presents a massive opportunity for Singapore to tap on in order to boost our digital economy further. However, AI can also pose concerns, such as cybersecurity risks and job disruptions. Thus, it requires a different framework that can robustly tackle the problems and opportunities presented by new technologies.

Secondly, the digital landscape has evolved greatly, with a greater dependence on technology from the public. There has been a greater ubiquity of smartphones, and a growing influence of digital platforms on every aspect of life, both of which present new opportunities and challenges alike.

Both factors require a difference in approach from Smart Nation 1.0, which was more focused on harnessing the technological capabilities of Singapore and encouraging the adoption of technology. Prime Minister Lawrence Wong mentioned how these issues required a shift of focus towards using these new technologies more effectively to transform Singapore’s future. These factors were the impetus for introducing Smart Nation 2.0.

Introducing Smart Nation 2.0

Smart Nation 2.0

Launched in Oct 2024, Smart Nation 2.0 hopes to go beyond the digitalisation of the economy, and holistically examine the impact of technology on society and humanity. It focuses on building online safety and trust, levelling up workers’ digital skills and boosting digital inclusion. The strategy targets all groups in Singapore’s society, and seeks to achieve three key goals: Trust, Growth, and Community.

Trust

Under Trust, the strategy aims to enhance the security and resilience of our digital infrastructure, strengthen our fight against harmful online activities and to expand our trusted digital spaces. This includes enhanced cybersecurity laws and anti-scam measures, where operations such as the Anti-Scam Command and new tools such as the enhanced ScamShield app help check for suspicious messages. A new agency for online safety will be created to protect victims of cyberbullying and other digital harms, ensuring young people can navigate online spaces confidently.

Growth

Growth focuses on preparing Singaporeans for the future job market, including powering our digital economy, empowering our enterprises and workers, and preparing our next generation. With over 200,000 tech professionals already working across industries, initiatives like TechSkills Accelerator help workers gain AI and digital skills. Smart Nation 2.0 also focuses on supporting the future workforce, creating programmes like "AI for Fun" modules in schools, where students learn coding and experiment with emerging technologies through hands-on activities like programming robots.

Community

Lastly, Community ensures digital inclusion for all via three methods. Strengthening inclusion, leaving no one behind, strengthening the unity of our community and strengthening partnerships with citizens, providing improved access to digital devices and upskilling. Over 62,000 low-income households have received subsidised devices and broadband since 2020, and the Digital for Life movement has helped 400,000 Singaporeans, including seniors learning to use smartphones and hawkers adopting e-payments, ensuring everyone can participate in Singapore's digital transformation journey together.

Figure 1: 3 Systems and 10 Enablers supporting Singapore’s AI advancement and Smart Nation 2.0

Potential Drawbacks

Pace of Change VS Capacity of Citizens

With Smart Nation 2.0, there are concerns that the pace of change will be beyond the capacity of citizens. Not all citizens are equally tech-literate and immense challenges lay ahead for groups like the elderly. Nearly one-fifth (19.9 per cent) of citizens are aged 65 and above. According to a CNA study, “many elderly individuals also find the rapid pace of technology’s integration into daily life too intimidating.” Besides being unfamiliar with technology, 1 in 10 older Singaporeans also have health-related difficulty with internet use such as joint disease, impairments to vision, hearing, or cognitive function.

Another group that might face difficulty keeping up with the pace of change is those who are from lower-income and lower-educational backgrounds. With the technological developments behind the introduction of Smart Nation 2.0, there is the risk of skills mismatch and workers that require retraining. Yet, these workers might be preoccupied with making ends meet and be less aware of technological disruptions as well as adverse to undergoing upskilling.

To address these concerns, Smart Nation 2.0 promises to focus on strengthening inclusion in communities and leaving no one behind. The SG Digital Office (SDO) that was set up in 2020 is a safeguard to equip individuals and small businesses, including seniors and hawkers, with skills to participate in an increasingly digitalised economy.

Privacy, Surveillance and Trust Issues

As digital tools and data collection expand, worries about surveillance, misuse of data, and privacy breaches might increase. This means that the Government must be accountable to citizens as to what their data is used for, alongside increased safeguards to protect such sensitive information.

In 2021, the Government faced backlash over the fact that TraceTogether data was used for a criminal investigation, which was beyond the stipulated use of contact tracing for COVID-19. These revelations triggered public anger and criticism since people felt like there was a lack of transparency from the Government. Moving forward, Smart Nation 2.0 must be careful to address such privacy issues thoroughly.

Smart Nation 2.0 also promises to enhance the security and resilience of digital infrastructure. In 2023, the National Quantum Safe Network Plus (NQSN+) was introduced to support network operators in deploying nationwide networks that are secure against attacks from quantum computers. This ensures businesses and organisations can safeguard critical data. Taking it a step further, the Digital Infrastructure Act of 2025 also looks to improve the resilience and security of key digital infrastructure and services, that can cause significant impact to the economy and society if disrupted.

Conclusion

Smart Nation 2.0 is a thoughtful evolution as it does not simply address the issue of digitalisation, but also the “side-effects” and human dimensions through its three goals of Trust, Growth, and Community. The success of this initiative will depend heavily on its implementation: whether laws are not just passed but enforced, whether inclusion is real and widespread, and whether the public feels heard and safe. As we move into an era of greater public consciousness, the Government needs to ensure that citizens are wholeheartedly on-board with this initiative and understand its implications to ensure that Singapore remains at the forefront of digitalisation.

This Policy Explainer was written by members of MAJU. MAJU is a ground-up, fully youth-led organisation dedicated to empowering Singaporean youths in policy discourse and co-creation.

By promoting constructive dialogue and serving as a bridge between youths and the Government, we hope to drive the keMAJUan (progress!) of Singapore.

The citations to our Policy Explainers can be found in the PDF appended to this webpage.