AI is the ability of machines to show human-like intelligence through the collection and analysis of enormous digital information that enables these machines to perceive, self-learn, reason, and make decisions like humans.
While the fantasy for AI has been there for over five decades, it has attracted considerable eyeballs in recent times thanks to the necessity for advancement in the areas of machine translation, object perception, and object recognition. The increasing prominence and adoption of AI have been further supported by the availability of big data, high-powered computing tools, cloud compounding, and advances in algorithms. These self-learning technologies are transforming almost every business vertical from healthcare to retail to financial services, bringing along new business models.
AI is steadily beginning to showcase real-life business benefits, but adoption is still in its infancy. This delay makes it challenging to evaluate the real potential impact and economic benefit, translating into a vast variance in gauging the actual market size. The estimation of the AI industry size by 2025 would mostly range between USD36 billion and USD200 billion.
Artificial Intelligence encompasses all the capabilities to reshape the future fundamentally; there remains significant uncertainty over the intensity and timing. Nevertheless, AI has slowly started to move out of research labs and into the real world.
While It would be very early to predict the true potential of AI, it will have a positive impact on global problem areas such as mobility, healthcare, education, agriculture, security, poverty, and resource management.
Big data integration, high-performance computing tools, increased productivity, diversified application areas, and increased customer satisfaction will mainly drive the artificial intelligence market. However, lack of a skilled workforce, a potential challenge to human dignity, and other security threats might act as a hindrance to restrain the market growth.
Nonetheless, I anticipate that the impact of these factors is limited, considering the enormous value proposition AI could bring in the human’s life. According to Accenture estimates, companies with AI capabilities have the potential to increase their realizable productivity by a minimum of 40%.
Many research agencies and experts have tried to categorize the AI market based on its technology and application. Right now, there is no consensus on distinct segments due to the lack of boundaries and working areas to outline a particular application.
Some of the standard technology systems that come under the AI universe are; machine learning, deep learning, natural language processing, robotics, and autonomous vehicles, computer vision, virtual agents, text analytics, and speech recognition. Within these, machine learning and its subset, deep learning, are the frontrunners and have attracted tremendous interests and investments from across the investor and business fraternity.
Though investment in AI is still in the nascent stage, they are growing fast, as investors are becoming more familiar with the industry and have started getting a better understanding of the technology and its future potential. Big tech giants have also been actively investing in their R&D development and acquiring AI start-ups, acquiring the latter’s disruptive technology, clients, and the most important of all, their talents.
The capability demonstration of AI across the full range of business applications has been encouraging and shows a glimpse of futuristic business dimensions. Early adopters of AI in many sectors are starting to reap benefits across several fronts, from customer servicing and marketing to manufacturing and regulatory compliance, AI can touch every possible aspect which could add value to the system.
AI has been used as an enabler for organizations that are leveraging artificial intelligence to extract valuable insights from a large set of data for providing innovative products and improving customer experience. From driving sales and customer engagement to enhancing product features to generating new ideas and enabling new business models, artificial intelligence is redefining the way the business is run and gradually becoming an integral part of any business.
With riding on billions of dollars of investment and skilled workforce around the world, the AI industry will continue to fulfill its transformative potential. It will shape the broader industry landscape in the coming decades. The AI revolution is now knocking on the doors, and the companies who will soon embrace it will position themselves to flourish in an environment, redefined by artificial intelligence.
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