The Role of Technology Standards in Strategic Hedging

ABSTRACT This article argues that technology standards provide Southeast Asian states with a distinct mechanism for hedging amid intensifying US–China technological rivalry. Traditional hedging strategies emphasizing economic engagement without political alignment are increasingly constrained by the weaponization of technological interdependence, politicizing previously neutral technology decisions. We develop a framework showing how active participation in global standards‐setting offers strategic ambiguity and preserves autonomy, identifying four standards‐based mechanisms. Descriptive analysis—including Singapore's leadership in AI governance, Malaysia's diversified digital investment policies, and Vietnam's procurement strategies—highlights how these mechanisms help maintain technological neutrality, reduce vendor lock‐in, and protect sovereignty. Theoretically, we advance the hedging literature by showing how economic policies increasingly risk confounding hedging strategies, but that standards embody a logic mitigating these risks. Empirically, we provide evidence of engagement with standards in practice, illustrating how standards can enable smaller states to manage geopolitical pressures while maximizing economic and strategic flexibility.