Understanding The AI Market
Is the AI hype justified? It depends on who you ask. Artificial intelligence (AI) is populating different areas of the Gartner hype cycle. Chatbots? Disillusion. Machine learning? Great, but expectations have been lowered a bit. Responsible AI? Could be the next big thing! Understanding AI is hard because it is not one thing, and the technology has many use cases. In this article, I’ll provide a simpler way to understand AI (a bit): Understand the AI market.
The basics of AI have been promoted widely by consultancy firms like PwC and McKinsey & Company: AI has the potential to add trillions of dollars to the world economy in the next decade, although the impact depends on policymakers and the associated market dynamics. That impact will not impact regions easily, as China (potential 26% boost in GDP by 2030) and the U.S. (14.5% boost in GDP by 2030) will see more gains than other areas, like, for example, the EU (10% boost in GDP in the same time frame).
Specific use cases also see more benefits than others, with the big chunks going to customer-centric topline activities such as customer service, recommender systems, pricing, ads and lead generation. A second high-impact area is value chain optimization, with use cases in predictive maintenance, yield optimization, smarter logistics and inventory optimization.