Connect with us


Companies That Replace People with AI Will Get Left Behind



After much discussion, the debate over job displacement from artificial intelligence is settling into a consensus. Historically, we’ve never experienced macro-level unemployment from new technologies, so AI is unlikely to make many people jobless in the long term — especially since most advanced countries are now seeing their working-age populations decline. However, because companies are adopting ChatGPT and other generative AI remarkably fast, we may see substantial job displacement in the short term.

Compare AI with the rise of electricity around the turn of the twentieth century. It took factories decades to switch from steam-powered central driveshafts to electric motors for each machine. They had to reorganize their layout in order to take advantage of the new electric technology. The process happened slowly enough that the economy had time to adjust, only new factories adopting the motors at first. As electricity created new jobs, laid-off workers in steam-powered factories could move over. Greater wealth created entirely new industries to engage workers, along with higher expectations.

Something similar happened with the spread of computing in the middle of the twentieth century. It went at a faster pace than electrification, but was still slow enough to prevent mass unemployment.

AI is different because companies are integrating it into their operations so quickly that job losses are likely to mount before the gains arrive. White-collar workers might be especially vulnerable in the short-term. Indeed, commentators are describing an “AI gold rush” rather than a bubble, powered by advanced chipmakers such as Nvidia. Goldman Sachs recently predicted that companies would use it to eliminate a quarter of all current work tasks in the United States and Europe. That probably means tens of millions of people out of work — especially people who thought their specialized knowledge gave them job security.

That leaves two possibilities to mitigate this risk. The first is that governments step in, either to slow down the commercial adoption of AI (highly unlikely), or to offer special welfare programs to support and retrain the newly unemployed.

But there’s another, often neglected possibility that comes without the unintended consequences of governmental intervention. Some companies are rapidly integrating generative AI into their systems, not just to automate tasks, but to empower employees to do more than they could before — i.e., making them more productive. A radical redesign of corporate processes could spark all sorts of new value creation. If many companies do this, then as a society we’ll generate enough new jobs to escape the short-term displacement trap.

But will they? Even the least aggressive company tends to be pretty good about cutting costs. Innovation, however, is another matter. We didn’t worry about this in the past, because we had enough time for a few aggressive companies to gradually change industries. They innovated over time to make up for the slow loss of displaced jobs. That innovation created new jobs and kept unemployment low. But macroeconomically speaking, we don’t have the luxury of time with the AI transition.

So the alternative to relying on the government is to have many companies innovating fast enough to create new jobs at the same pace that the economy as a whole eliminates existing ones. Generative AI is spreading fast in business and society, but that speed also means an opportunity for companies to step up their pace of innovation. If we get enough companies to go on offense in this way, then we won’t have to worry about AI unemployment.

Of course, companies won’t — and shouldn’t — lean into AI in order to solve macroeconomic problems. But fortunately they have good business reasons to do so. The companies that create opportunities from AI will also position themselves to thrive in the long run.

Going on the Offensive with AI

Already we can point to aggressive companies looking to innovate in AI. Having become a trailblazer in reusable rockets and electric cars, Elon Musk is now promising to make Twitter as much of a leader in AI as Microsoft and Google. Musk, however, is a famous outlier and the jury is still out on Twitter. So what does it mean for a company to go on offense with AI?

To answer this question, let’s look at what makes companies adept at navigating the kinds of changes we’re seeing now. One of us (Tabrizi) assembled a team of researchers to study 26 sizable companies with good data from 2006–2022. The team divided the companies into groups of high, medium, and low agility and innovation over time, with comparable data and case studies of each.

What set the agile, innovative companies apart from those who remained neutral or defensive? The team narrowed the differentiators down to eight drivers of agile innovation: existential purpose, obsession with what customers want, a Pygmalion-style influence over colleagues, a startup mindset even after scaling up, a bias for boldness, radical collaboration, the readiness to control tempo, and operating bimodally. Most leaders praise those attributes, but it turns out it’s remarkably hard for big organizations to sustain any of them over time.

Tabrizi has written elsewhere about how Microsoft went on offense to become a corporate leader by overhauling its hierarchy and pursuing partnerships such as with Open AI. But other companies have done something similar with AI as a result of those drivers. Let’s focus on two of the most important drivers here — the bias for boldness and the startup mentality. Getting those drivers in place can take a company far into agile innovation, because these force changes throughout the organization.

A Bias for Boldness

Any company that invests in AI in the near future is likely to make money from it. Yet mere investment is likely to offer only incremental gains. The numbers might look good, especially in cutting costs. But the company will miss the opportunity for big gains by creating substantial value — or a defensible future niche. Cautious investment won’t protect you in the long run from competition, and certainly won’t help us with the macroeconomic challenge we’re facing.

That’s the problem with any new technology: You can proceed cautiously and probably do just fine. Big companies hate risk, which is why they operate as well-oiled machines churning out reliable products at an affordable cost. That’s also why many of them outsource their innovation by acquiring startups — and even that approach often leads to timid improvements. All successful organizations, especially at size, prefer to minimize risk and daring. But as Brené Brown points out, “You can choose courage, or you can choose comfort, but you cannot choose both.”

Boldness has become a corporate cliché, with leaders protesting too much, but with AI we need companies to really mean it — to embrace rather than minimize risk. Take Adobe, whose Photoshop program has long held the largest share of the photographic design market. Adobe could have played it safe as generative AI emerged, adopting it in small areas while waiting to see how the technology worked out. That’s what Kodak did with digital photography, and what Motorola did with digital telephony. But instead, Adobe has pushed generative AI deeply into Photoshop, to the point that ordinary users can create all sorts of videos they couldn’t before. Adobe could have seen AI as a threat or distraction, and it has continued to improve Photoshop without AI. But its leaders had the courage to invest aggressively in AI to elevate what users can do.

Deeper in the technology, Nvidia, the chipmaker, has been getting headlines for offering the best semiconductor chips for AI. To outsiders, the company might just seem lucky, with the right technology at the right time. But Nvidia’s current success is no accident: In the past decade, it aggressively acquired and developed expertise in AI, including creating customized chips and software. We can expect that aggressiveness to continue, enabling not only higher-value offerings for Nvidia, but better uses for AI than simple cost-cutting.

Boldness won’t work every time. But a bias for boldness is essential to overcome the deep-seated risk aversion in corporate hierarchies.

A Startup Mentality

Similar to boldness, and equally important for successful AI, is adopting the mentality of a startup company, no matter your company’s age or size. Startups excel in looking widely at markets and pivoting quickly to what customers are wanting now. Big companies have the resources to apply to those opportunities, but they usually move so slowly, with so many barriers (and lack of boldness), that startups get to markets faster. Open AI, which beat out Google with ChatGPT, had the best of both worlds: a startup mentality free of the hesitations that hampered Google, but with ample resources supplied by Microsoft and other investors.

The startup mindset is not just about courage and flexibility; it also involves a ferocious commitment to big achievement, a kind of hero’s journey to address a great challenge. Instead of predictability churning out good products at scale — though that’s a perfectly worthwhile goal — startups want to create something extraordinary. So they put a premium on looking around, flexibly partnering with others. They dispense with existing structures and biases, no matter how old and respected, in order to get done what needs to be done.

Amazon, the e-commerce giant, demonstrated a startup mentality in its embrace of AI. As the technology developed over a decade ago, the company saw an opportunity in creating a “smart speaker” as a new interface to the web. Amazon had no expertise in AI, but it picked up what it needed through hiring, acquisition, and internal development. The result was the Echo speaker and Alexa digital assistant, which did far more than simply help people order more items for purchase. It opened a new channel for adding value (and jobs) in many areas. Amazon has gone on to invest aggressively in AI beyond Alexa, with CEO Andy Jassy saying the technology promises to “transform and improve virtually every customer experience.”

• • •

Companies can’t adopt these drivers overnight, but they can start moving toward a point of serious commitment to new possibilities. Most of those drivers also work at the level of individuals looking for purpose and achievement in their own careers. They can embrace boldness, adopt a startup mentality, and other imperatives. Like companies, employees can invest aggressively in AI by acquiring the requisite skills and experience — thereby not just protecting their careers, but adding value at a higher level.

Much of corporate life has quite properly been about churning out reliable products at low cost. What we need now, to prevent mass unemployment, is for many firms to break out of this discipline and speed up the AI future. The great danger is that most companies will play it safe, make the easy investments, and do fine in the short term.

Humanity never thrives when it fears innovation. Imagine if the first humans feared fire; yes, they got burned sometimes, but without harnessing the power of it, we might have gone extinct. We think the same applies to AI. Rather than fear it, we need to harness its power. We must put it in the hands of every human being, so we collectively can achieve and live at this higher level.


This post was originally published on this site

Continue Reading


Revolutionizing Marketing: The Power of AI in the Digital Age



Embracing AI-Powered Marketing: Transforming Brands in the Digital Marketplace

In the crowded digital marketplace, standing out is challenging. Enter AI-powered marketing, a revolutionary upgrade transforming brands into digital powerhouses.

Hyper-Personalized Campaigns: Beyond Basic Personalization

Gone are the days of generic marketing. Today’s gold standard is AI-driven hyper-personalization. This approach uses customer data analysis to create deeply resonant, individualized marketing campaigns. With AI’s ability to segment audiences based on intricate criteria, including purchasing history and browsing behavior, your messages can hit the mark every time.

Enhanced Customer Journey Mapping

AI’s capabilities extend to mapping the entire customer journey. By predicting needs and preferences at each stage, AI aids in crafting narratives that guide customers from discovery to purchase, integrating your brand into their personal stories.

SEO Wizardry: Mastering Search Engine Dynamics

With ever-changing algorithms, SEO is a complex puzzle. AI serves as a sophisticated navigator, deciphering these changes through machine learning. It aids in keyword optimization, understanding search intent, and aligning content with search trends.

Predictive SEO

AI tools offer predictive SEO, anticipating search engine and user behavior changes. This proactive stance ensures your brand’s prominent visibility in search results, capturing the right audience at the right time.

Social Media Mastery: Crafting a Digital Narrative

AI transforms social media strategies from uncertain to precise. By analyzing vast social data, AI provides insights into resonating content.

Content Optimization

AI analyzes performance data to recommend effective content types. This data-driven approach refines your social media content strategy.

Engagement Analysis

AI examines user interaction nuances, understanding engagement patterns. It helps tailor interactions for maximum impact, including adjusting posting schedules and messaging for increased relevance.

Conclusion: Navigating the AI-Driven Marketing Landscape

AI-powered marketing is essential for thriving in the digital age, offering precision and personalization beyond traditional methods. For small businesses, it’s a chance to leverage AI for impactful, data-driven strategies.

As we embrace the AI revolution, the future of marketing is not just bright but intelligently radiant. With AI as your digital ally, your brand is equipped for a successful journey, making every marketing effort and customer interaction count.

Continue Reading


AI: Your Small Business Ally in a Digital Age



In the ever-evolving landscape of modern commerce, small business owners find themselves at a crossroads of opportunity and obsolescence. Enter Artificial Intelligence (AI) – once the exclusive domain of tech behemoths, it now stands as the great equalizer, offering small businesses a competitive edge previously unthinkable. The emergence of AI as a wingman for small businesses is not just a fleeting trend but a fundamental shift in how entrepreneurs can leverage technology to revolutionize their operations.

The 24/7 Customer Service Hero: Chatbots

In the digital storefront, customer service is the heartbeat of business survival and success. Chatbots emerge as the indefatigable heroes of this domain. Envision a customer service agent that never clocks out an entity that requires no sleep or sustenance yet delivers consistently and instantaneously. These AI-driven chat interfaces embody the essence of your brand’s voice, capable of handling a barrage of customer queries with a speed that outpaces the swiftest of typists. They are the embodiment of efficiency – ensuring that customer satisfaction is not just met but exceeded around the clock.

Unearthing Market Treasures: Data Dive

AI’s prowess in pattern recognition has catapulted data analytics into a realm once considered the stuff of science fiction. Small business owners armed with AI tools can sift through vast swathes of data to extract actionable insights. These algorithms act as modern-day oracles, predicting market trends, discerning customer behaviors, and offering sales forecasts with remarkable accuracy. Equipped with: this knowledge, small businesses, can navigate the market with the foresight and precision of an experienced captain steering through foggy seas.

Personalization at Scale: Customize Like a Boss

The age-old business mantra of the customer is king is given new potency with AI’s personalization capabilities. Tailoring the customer experience is no longer a luxury but a necessity. AI enables small businesses to offer bespoke experiences to consumers, making them feel like the sole focus of their attention. It’s personalization executed with such finesse that customers are left marveling at the thoughtfulness and individual attention, fostering loyalty and establishing deep-rooted brand connections.

Offloading the Mundane: Task Slayers

Repetitive tasks are the bane of creativity and innovation. AI steps in as the ultimate task slayer, automating routine chores that once consumed disproportionate amounts of time. From scheduling appointments to managing inventory, AI liberates entrepreneurs from the drudgery of administrative duties, freeing them to refocus on the creative and strategic endeavors that propel business growth.

Mastering Social Media: Social Savants

Social media – the pulsing vein of modern marketing – demands astuteness and agility. AI emerges as the savant of social media, capable of demystifying platform algorithms to optimize content delivery. It knows the optimal times to post, the types of content that resonate with audiences, and the strategies that convert passive scrollers into engaged customers. By automating your social media presence, AI transforms your brand into an online sensation, cultivating a digital community of brand ambassadors.

The Verdict: Embracing AI

For a small business owner, AI is not about an overnight overhaul but strategic integration. The goal is to start small, allowing AI to shoulder incremental aspects of your business, learning and scaling as you witness tangible benefits. The transition to AI-enablement does not necessitate a background in technology; it requires a willingness to embrace change and a vision for the future.

In summary, as the digital revolution marches forward, AI stands ready to partner with small businesses, providing them with tools once deemed the province of giants. This partnership promises to elevate the small business landscape, ushering in an era of democratized technology where every entrepreneur can harness the power of AI to write their own David vs. Goliath success story. AI, the once-distant dream, is now the most loyal wingman a small business can enlist in its quest for growth and innovation.

Continue Reading


Apple’s October Scary Fast Event: Everything revealed about the new MacBook Pro, iMac and M3 chips



It’s time for another Apple event, with a spooky twist. The company announced a surprise “Scary Fast” event last week, prompting the rumor mill to speculate that Apple would be revealing new chips to power a new lineup of Macs.

As our resident Apple expert Brian Heater wrote, a new 24-inch iMac and a MacBook Pro refresh would be the most likely new announcements to expect from the October event, and as it turns out, he was spot-on. Apple’s new M3 chip lineup was the focal point of the event, powering each of the devices Apple showcased in their half-hour prerecorded event that had some fog, some bats and ominous choir music…but no big surprises for those following the rumor mill.

Since the event kicked off off at the uncharacteristically late time of 8pm ET / 5pm PT, so you might have missed out out on the reveals while putting the finishing touches on your Halloween decorating, or watching Monday Night Football. No judgement, we’re here to recap everything the October Apple event showcased in one spot.

New M3 chips

Credit: Apple

The “scary fast” part of the Apple event, as expected, are the new M3 chips. Apple has announce a M3, M3 Pro and M3 Max, which will be included in Apple’s new 24-inch iMac, MacBook Pros.

This time around, Apple has placed an emphasis on graphical horsepower, with hardware-accelerated ray tracing, mesh shading and Dynamic Caching, which Apple claims “dramatically increases the average utilization of the GPU” by allotting exact amount of local memory to given tasks. These new chips were frequently benchmarked against their M1 predecessor, with Apple claiming the M3 renders at 2.5x the speed of the M1 and its CPU is 30% faster than the M1.

Check out the full rundown of the three M3 chips right here.

New MacBook Pro models

Apple MacBook Pro 2023 Update in Space Black Color

Credit: Apple

Yes, the new 14-inch and 16-inch MacBook Pros come with upgraded internals, but the first thing you might notice is the new color: Space Black. Beneath that color, you’ll find that new line of M3 chips. The 14-inch MacBook Pro can contain any of the trio, while the 16-inch model will only come with the M3 Pro or M3 Max chips.

As we’ve noted, the M3 chips packed into both models are putting an emphasis on getting the most out of the new GPU, though Apple also boasts that both form factors’ battery can last 22 hours on a single charge.

Both are available for preorder tonight, with the 14-inch MacBook Pro starting at $1,599 and going to $1,999 with the M3 Pro. The baseline 16-inch MacBook Pro goes for $2,499 and the pricing for the M3 Max chip upgrade for both models has yet to be disclosed.

And that space black color is exciting news for any Mac fan still pining for the 2006 MacBook, whose dark tone hadn’t been replicated in the MacBook iterations that followed, even those Midnight MacBook Airs.

Check out the full rundown on the new MacBook Pros here.

New M3 iMac

2023 M3 iMac Spec Rundown

Credit: Apple

Apple’s iMac line is getting a colorful refresh, with an added M3 chip to add horsepower to the palette change. Apple is sticking with the 24-inch form factor, and upgrading the screen with a 4.5K retina display, 1080p FaceTime camera and a six-speaker system supporting Dolby Atmos and Spatial Audio. The new iMac will be available for preorder with green, yellow, orange, pink, purple, blue and silver options starting tonight.

The $1,299 baseline comes with a 8-core GPU and 8-core CPU, with a $1,499 version upgrading you to a 256 SSD.

For more info about what else is new in the M3 iMac, head here.

An sneaky iPhone showcase

You may not have noticed it, but at the very end of the event, Apple dropped a quick note on the stream: “This event was shot on iPhone and edited on Mac.” It’s a bit of a victory lap, but as our other Apple expert Darrell Etherington notes, it’s a pretty impressive flex for Apple to shoot its half-hour hardware showcase entirely on a phone.

Recap the full Scary Fast event

If you want to just dive right in and experience the October event all over again or for the first time, you can catch the entire archive via the YouTube embed below right on Apple’s website.

This post was originally published on this site

Continue Reading

Trending does not provide legal or accounting advice and is not associated with any government agency. Copyright © 2023 UA Services Corp - All Rights Reserved.