Artificial intelligence is playing an increasingly significant role in everyday life. AI is being implemented everywhere and is already replacing some jobs.
Designed to simplify life and automate repetitive tasks, AI now offers a multitude of functionalities beyond its original scope. đ¤
However, AI is an extremely broad topic, making it challenging to stay informed due to its vastness. In this article, weâll present several statistics and key figures to help you understand the impact of AI in 2023.
Artificial Intelligence: Impact on Businesses
Businesses of all sizes are at the forefront of AI adoption. The primary goal is to save production costs and automate tedious and repetitive tasks. Here are some interesting statistics on AI and businesses. ⤾ď¸
- The global AI market is valued at $136 billion. (GrandViewResearch)
- đ A growth of 1400% is expected in the next seven years.
- đ By 2030, this market is expected to be valued at over $1.81 trillion.
- đ In 2018, the market generated only $10 billion annually.
- In 2025, 97 million people will work in the field of artificial intelligence.
- 83% of companies state that AI is their priority for the years to come. đ
AI can have a significant impact with just a simple application. For instance, Netflix generates over a billion dollars in revenue each year simply by using AI to recommend movies and series to its subscribers.
- 9 out of 10 companies claim that AI gives them a competitive advantage over their competitors. (MIT Sloan Management)
- 45% of companies believe that AI will improve remote work productivity. đť
- 44% of companies that have implemented AI report a reduction in production costs.
- đ 9 out of 10 companies believe that AI will increase their revenue in the coming years.
- đ 54% of business executives believe that AI will enhance their productivity.
- 23% of companies use AI for their customer service. (SalesForces)
- đ Using a chatbot can reduce customer service costs by 30%.
Adoption of AI by Businesses
When we talk about artificial intelligence, we also talk about adoption. As powerful as a machine may be, if no one uses it, it serves no purpose. This is why observers closely monitor the adoption of AI by businesses and individuals. đ
Depending on the continent, some companies adopt artificial intelligence more quickly than others.
It can be seen that North America and Europe are the two continents that are using or planning to use artificial intelligence the most in the coming years.
But despite the advances in artificial intelligence, there is low adoption in some sectors.
Here is the percentage of companies by sector using at least one AI-powered feature (machine learning, content generation, etc.) (oreilly.com):
- Technology đ¨âđť: 17%
- Finance đ¸: 15%
- Health đŠş: 9%
- Education đŠâđ: 7%
- Public Service đ¤: 6%
- Telecomđą: 5%
- E-commerce đŚ: 4%
- Media đ°: 3%
There is also a significant disparity in the budget allocated to artificial intelligence by sector:
As you can see, technology and finance companies have the largest budgets allocated to artificial intelligence, especially to machine learning software.
Why Businesses Donât Adopt AI? đ¤
Thanks to a survey conducted by oreilly.com, we can determine the reasons why companies do not adopt AI and machine learning. Among the primary reasons, here are the most prominent ones:
- Lack of knowledge on the subject and/or difficulty in recruiting experienced personnel
- Lack of data or poor-quality data
- Difficulty in determining how to use AI in a given context
- Lack of IT infrastructure
- The company culture does not recognize the need for artificial intelligence
- The use of AI poses legal risks
This survey asked companies about the main risks associated with the use of artificial intelligence and machine learning:
- Lack of ethics and fairness
- Economic model degradation
- Lack of transparency
- Privacy-related issues
- Information security vulnerabilities
- Unforeseen expenses
Artificial Intelligence and Employees
60% of employees affirm that their company uses at least one AI-related feature. 52% believe their company will use AI in the future.
Why do companies use AI?
- Preventing the risk of cyberattacks
- Assisting employees in strategic decision-making
- Creating various scenarios through simulations
- Automating repetitive tasks
Two-thirds of employees believe that their companiesâ investment in AI will increase in the coming years. đŚ
- đ 52% of companies increased their AI budget following the COVID-19 crisis.
Among the companies that have heavily adopted AI, here are the main benefits:
- Creating a better shopping experience (especially through recommendations)
- Improving decision-making
- Innovating existing products/services and creating new ones
- Saving production costs
- Increasing productivity
Another reason that drives companies to adopt AI is machine learning.
According to Verta Insight, 63% of companies plan to increase their machine learning budget in the coming years. đ
Spending on machine learning has increased by 230% between 2019 and 2023 (juniperresearch.com).
- đ The goal of companies using machine learning software is to improve business decisions, reduce costs, etc.
Artificial Intelligence and Employment
One of the biggest fears regarding artificial intelligence is that this technology will replace humans. Many people are afraid of losing their jobs to artificial intelligence. đź
- đ AI is expected to replace 85 million jobs by 2025.
- đ AI is expected to create 12 million more jobs than it replaces.
- By 2030, nearly 10% of job offerings will concern new technologies.
- Nearly half of HR managers believe that AI will impact the nature of future jobs in their companies.
- 60% of jobs involve at least 30% of tasks that can be automated by AI.
- đ Globally, 30% of work hours could be automated by 2030.
Artificial Intelligence and Consumers
7 out of 10 people understand what artificial intelligence is.
- đ 40% of consumers are aware that Amazon and other major websites use AI.
- When thinking of artificial intelligence, people generally associate it with automation through software or robots. đ¤
- đ 53% of consumers think of robots when they hear about artificial intelligence.
- đ 40% think of self-driving cars.
- 58% of consumers learn about artificial intelligence through social media and television.
- 25% of consumers believe they interact with AI at least once a day.
- đ 33% in e-commerce. đŚ
- đ 26% in entertainment. đş
- 43% of consumers believe that artificial intelligence can decrease customer satisfaction.
- đ 35% of consumers are comfortable with companies using artificial intelligence, especially in e-commerce.
- đ 80% of consumers prefer to interact with a human online rather than an AI.
To provide recommendations to consumers, artificial intelligence needs to collect data. With this data, AI can identify products that match a consumerâs profile based on their consumption habits. Typically, these AIs are highly accurate and always suggest the right product for you
Conclusion
You now have a better grasp of artificial intelligence, its advancements, and its influence on businesses. If youâre interested in using AI to generate illustrations, we recommend reading our comparison of the 10 best AI video generators. đźď¸
For those who want to convert text to speech, we invite you to check out our comparison of the top 5 best AI speech generators using artificial intelligence.