It is a known fact that Artificial Intelligence (AI) will have a big impact in many ways. It has been referred to as a game changer and a concept that will transform lives.
What is AI?
Artificial Intelligence is basically a computer system that performs tasks that humans need intelligence to do and it works in four ways:
1. Automated intelligence which is the automation of manual/cognitive and routine/nonroutine tasks.
2. Assisted intelligence refers to helping people to perform tasks faster and better.
3. Augmented intelligence assists people to make better decisions.
4. Autonomous intelligence describes decision-making process without human intervention.
What will be the economic impact of AI?
Price Waterhouse Coopers has now put a dollar amount on the potential economic impact of AI and it is huge. It is expected to grow the Global Economy by $16 trillion, which is more than the output of China and India combined. Of the total amount, 40% is expected to come from increased productivity and 60% from consumption side effects.
Which regions will benefit the most?
China and North America will likely to gain the most. North America is expected to be faster in leveraging AI benefits. China will likely have a slower uptake in AI technology but can see a big impact by 2030.
China is expected to re-invest profits into increasing AI capabilities and is already outpacing all other countries in patent filings.
Europe and the developed countries in Asia will see significant benefits while developing countries in Africa, Latin America, and Asia will see only moderate growth.
Which industries will have the biggest opportunities?
The manufacturing industry has the most potential for enormous growth, Other industries that will benefit significantly from AI are healthcare, retail, agriculture and financial services, with AI increasing productivity, product value, and consumption. There are also opportunities for the automotive, retail, communications, entertainment, energy, transport and logistics industries.
Should we fear AI?
Many businesses and people fear AI, as it may take over jobs currently done by humans. Experts, however, say that the machines will help us, not work against us. However, AI can take over jobs currently done by low skilled workers. Training of these workers to take on service jobs, the demand of which will increase with AI, can limit redundancies.
There is an AI divide between genders as most developers are male, whereas the majority of consumers are female. Part of the evolution of AI will be to bridge divides like this and educate consumers about the benefits in order remove the existing myths and fears.
