Retail/ Consumer Packaged Goods
Shopee, the leading ecommerce platform in Southeast Asia, Taiwan, and Brazil, serves hundreds of millions of monthly active users across eight markets. As the company embedded AI across its platform—from search and recommendations to fraud detection and customer service—it found that state-of-the-art, general-purpose large language models (LLMs) fell short on the specialized, multilingual tasks that define ecommerce in the region. Shopee needed to build its own.
Shopee (Sea Limited)
Generative AI / LLMs
Impact + Product
Impact + Product
Impact + Product
Shopee serves hundreds of millions of monthly active users across eight markets in Southeast Asia, Taiwan, and Brazil, facilitating over $136 billion in annual gross merchandise value. As the platform embedded AI into search, recommendations, fraud detection, and customer service, a structural gap emerged: General-purpose LLMs excelled at English-centric tasks but dropped sharply on the specialized, multilingual work that defines ecommerce in the region.
Shopee’s researchers call this the “jagged frontier”—the same model that scores well on English benchmarks struggles with Indonesian shopping queries, Thai product categorization, and Vietnamese customer intent. To quantify it, the team built EcomEval, the first benchmark dedicated to Southeast Asian ecommerce. Even leading models showed significant degradation on multilingual tasks, with some open source models dropping below 52% on key categories.
For a platform processing billions of queries per month across six languages, that gap translated directly into lost revenue, slower support resolution, and missed fraud—and the need for a specialized model grew.
Image Courtesy of Shopee
Compass v3.5 (red) scores highest across all five ecommerce task categories on Shopee's EcomEval benchmark, compared to GPT-4o, GPT-4.1, Qwen3-235B, and DeepSeek v3.1.
Shopee’s AI team pretrained Compass-v3, a vertical-domain mixture-of-experts model with 245B total parameters and 71B active per token, designed for Southeast Asian ecommerce. It was trained on 12T tokens of curated multilingual corpora, including Indonesian, Thai, Filipino, Malay, Tagalog, and Portuguese, as well as large-scale synthetic ecommerce instructions using a mixed-training strategy.
To enhance alignment, Shopee proposed Optimal-Transport Direct Preference Optimization, or OTPO, drawn from seven cleaned and deduplicated source types and tokenized with a custom 80K BPE vocabulary, using AdamW and BFloat16 with a two-axis curriculum learning schedule that gradually increases sequence length and the share of low-resource Southeast Asian languages.
The compute foundation spans thousands of NVIDIA GPUs—including NVIDIA A100, NVIDIA H100, and NVIDIA RTX PRO™ 6000 Blackwell GPUs—with the team investing in more GPUs annually to support growing training and AI inference demands. NVIDIA Megatron-Core handles distributed pretraining at scale, delivering throughput and stability for foundation models with hundreds of billions of parameters. For the post-training phase—where models learn to follow instructions and align with e-commerce-specific behavior—the team uses the NVIDIA NeMo framework for instruction tuning and preference alignment. At inference, NVIDIA TensorRT-LLM serves the Compass models in production.
On top of this AI infrastructure, Shopee developed a five-stage training pipeline progressing from pretraining through annealing, instruction following, preference alignment, and agentic reinforcement learning. The pipeline incorporates billion-scale proprietary data mined from product titles, reviews, and ratings, along with novel alignment methods—including OTPO, which dynamically weights tokens by semantic importance, and SPEC-RL, which accelerates on-policy reinforcement learning by 2–3x through speculative rollout reuse. A mixture-of-experts architecture with Multi-Token Prediction drives further throughput gains.
The result: an in-house specialized model that handles language-specific tasks with high accuracy. On Shopee’s EcomEval benchmark, Compass v3.5 exceeds GPT-4o, GPT-4.1, Qwen3-235B, and DeepSeek v3.1 across all five regional ecommerce task categories—scoring 94% on Ecom QA versus 85% for GPT-4o, 92% on Shopping Concept versus 82%, and 84% on User Understanding versus 76%. The reasoning-focused Compassmax v3.5 variant scores 93 on Arena Hard v2 and 83 on AIME25—matching or exceeding proprietary reasoning models like GPT-5-Thinking.
In production, Compass now handles the majority of Shopee’s AI traffic. Monthly API tokens grew from 3 billion to 340 billion in eight months—a 113x increase. The model powers search and recommendations (driving higher conversion and ad revenue), anti-fraud detection (50x efficiency over manual review, 90% lower processing costs), vision-based parcel recovery in the supply chain (saving millions annually), and LLM-driven customer service that replaced rigid scripted chatbots with context-aware, multilingual interactions.
Image Courtesy of Shopee
“Going from 3 billion to 340 billion tokens in just eight months wasn't merely a scaling story—it validated our ability to operationalize AI at platform scale. By leveraging a diverse portfolio of models running on NVIDIA GPU infrastructure, including our in-house Compass model, we've been able to rapidly expand AI adoption across the business while delivering the performance and reliability required to support our growing platform.”
Jason Dong Jian
Director, AI Platform Lead
Sea Limited established an AI Center of Excellence in Singapore in April 2026 to accelerate foundation model development—reinforcing its commitment to a proprietary AI stack. With Compass adoption still growing at 100% month over month, multimodal search, conversational shopping guides, and vision-language logistics models represent entirely new capabilities that are only beginning to scale.
As Compass expands to additional languages, markets, and use cases, the NVIDIA AI Factory stack—from GPU compute through Megatron-Core pretraining to NeMo-powered alignment—provides the infrastructure to keep pace.
Learn more about how NVIDIA AI Factory powers ecommerce at scale at Shopee.