EVERYONE TALKS ABOUT AI, BUT DO YOU KNOW WHAT IT IS?
Did you know that worldwide spending on Artificial Intelligence systems will be nearly $98 billion in 2023 according to a report that IDC did in September 2019. That’s more than two- and one-half times the $37,5 billion that will be spent in 2019! With massive data volumes that will continue to grow, and algorithms that is getting more advanced, business will continue to invest in projects that utilize the capabilities of AI (Artificial Intelligence) software and platforms.
But before you spend a lot of money on AI you need to understand what it is, and the value of using it. In this article we will give you a brief overview of what AI is, different perspectives on it and what kind of business value it can bring.
What is AI?
So, what is Artificial Intelligence or AI? One thing is clear, it’s a massive area with many depts and depending on who you ask you will probably get different answers. In this article we will try to keep it simple.
In its essence we can explain AI as the science and engineering of building intelligent machines that reasons and take actions. You can use AI in your organization for perception, understanding, language, optimization, automation and planning to mention a few. But let’s look into that further down and instead dig into different perspectives of AI.
Two different perspectives
When we talk about AI it’s easy to think that it’s something that is going to be totally automated and take our jobs. That’s not really the case and something we don’t have to worry about to a certain extent. AI will of course change the labor market at certain areas, but that doesn’t mean we have to be afraid of the new technology. For example, the computers changed the labor market for typewriter technicians, but this did not happen over a night. Yes, AI will change the way we work, but not in a way that will make us all unemployed. With new technology new jobs also occur.
As already mentioned, you will get different answers what AI is depending on who you ask, there are many different perspectives on AI and what you can do with the technology. Let’s look at two of these different perspectives and the contrast between these.
First of all, we have the traditional perspective of Artificial Intelligence that is designed to work without people. It’s built to mimic human intelligence with autonomous technology systems such as computers or robots. For example, self-driven cars. Even though self-driven cars are in a very early stage with a lot of work remaining it’s a good example of a more traditional view of AI.
The other perspective of AI is Intelligence Augmentation, IA, that is designed to work with people. For example, a GPS. It’s not the GPS that is going to drive your car, you are still responsible for the driving, but the GPS-tool will help you navigate and not get lost in traffic, and hence become a better driver.
So the IA perspective focus on how humans together with technology can be even better, while the more traditional perspective on AI focus on how the technology can work without human interaction.
Remember that these are just two perspective of what AI is, and it’s important to keep in mind that it’s not black or white. There are many different perspectives of AI and how to use the technology and companies can use AI for different reasons depending on what the business value and goals are.
But why now? AI, is something that’s been around for a while but it’s not until now that companies starts to understand the value of it and spend money on AI-systems. Let’s take a closer look.
Today there is a big convergence between cloud computing and massive amount of data being available. One of the reasons why we see a growing interest in AI and money spent on AI software and platforms is big data. Big data refers to large data, booth structured and unstructured, that is fast or complex which makes it difficult or even impossible to process it using traditional methods.
Historical there have been leaps in algorithms of how to handle this data. But today AI has moved beyond prototyping and into a phase of execution and implementation thanks to developed algorithms. With more advanced algorithms companies can use and analyze data to reduce costs, streamline and find new business opportunities. In order to be relevant and stay ahead of competitors companies need to analyze and use data to find new insights.
Before you spend a lot of money on AI you need to understand what it actually does and the business value using it. Today a lot of companies wants to work with AI, but you can’t just work with AI just because, you need to have a purpose. What a lot of companies do wrong today is that they try to find new problems and solve them with AI, instead of using new technology to solve problems that already exist.
Ask yourself what the business value of working with AI would be? Do you want to make your customer more engaged, or maybe understanding them better? Or optimize your business and find the best way to work with a certain task. Maybe you want to create a new product or change an existing one? Or empower employees with data to make sure that people working in your company have rich set of capabilities in their hands? You see, there is a lot of things you can do with AI and different “problems” that can be solved.
So, first of all you have to ask yourself what the purpose investing in AI is and what value this would bring to your organization. If you don’t have a clear purpose, then you might think twice before you invest in AI.
We can help you
The connected world with IoT and Social media creates more data than ever before, and it will continue to grow. With massive volumes of data and more advanced algorithms companies can benefit from this to find new business opportunities, reduce cost, get more engaged customers and so on. The list of what AI could do for your organization could go on forever. But don’t be stressed. At Sigma we can assist you to find the business value using AI in your business, analyze data and utilize it to make your business even better!
If you want to learn more about Sigma Group’s offer within the AI area, contact: