Published on 24.10.2022
-I’m telling you, AI is just a fad. It’s all the hype now, but it’ll be cast into oblivion once we’re done playing with it.
-No way. It’s gonna take over the world and replace humans as the dominant form of intelligence on the planet.
If you’ve ever had a real conversation about AI, it has probably included a similar dialogue. Well, it might not have been dramatic enough to use the phrase “cast into oblivion,” but the differences in how people feel and think about AI are dramatic indeed.
And while there is no single answer powerful enough to put the debate to bed, enough research has been conducted to answer some of the most pressing questions about AI.
So, this article is not here to argue one side or the other - there is no shortage of literature doing just that. Rather, it’s here to give you answers in the form of research-backed numbers, figures, and statistics you can use to make your point next time you’re in a heated discussion.
Let’s start with whether AI is just a fad (spoiler alert - we’re going to end with whether AI is gonna take over the world).
Is AI just a fad, or is it here to stay?
- The worldwide AI market value is projected to reach $267 billion by 2027.
- The AI contribution to the global economy is projected to comprise $15.7 trillion.
- The AI industry value is expected to increase by over 13 times over the next 8 years.
- Global GDP is estimated to grow by $15.7 trillion by 2030 due to AI.
- 74% of businesses report plans to increase investment in AI in the next three years.
- Over 90% of Fortune 1000 companies are continually increasing their AI investments.
So, if AI does ever prove to be another passing craze, it’s not going to happen anytime soon. There is every reason to believe AI will remain a big part of life and business for the foreseeable future. At the very least, leading business executives seem to think so.
How about the present? How prevalent is AI right now?
- 56% of businesses already employ AI in at least one function.
- 25% of sales departments currently use AI in their everyday work.
- 77% of the devices in use today feature some form of AI.
- 40% of people use voice search a minimum of once a day.
- More than 3 billion AI assistants are already in use.
- 82% of consumers have already been served by some form of AI customer service.
The short answer - it’s prevalent enough to be considered an integral part of life (instead of, you know, one of those things only tech enthusiasts should care about). No wonder so many businesses are getting into AI.
Why though? Why are businesses so keen on AI?
- 87% of companies that use AI believe it will give them a competitive edge.
- 75% of leaders believe their companies will go out of business unless they adopt AI.
- For 40% of businesses, the key drive for AI adoption is improved customer experience.
- 44% of businesses highlight cost reductions as the chief reason for AI utilization.
- 64% of companies use AI in order to address data threats and improve cybersecurity.
- 54% of executives are adopting AI to reach higher levels of employee productivity.
- 36% of businesses report incorporating AI to optimize business operations.
- 87% of adopters plan using AI for sales projections.
No short answer here. Reasons for AI adoption are as numerous as the business benefits to be derived.
So, let’s talk about benefits. Is there any proof AI is good for business?
- AI marketing solutions have proven to result in up to a 451% increase in qualified leads.
- Use of AI algorithms in sales can ensure cost reductions of up to 60%.
- 79% of executives say AI has already boosted work efficiency in their companies.
- Manufacturing businesses that employ AI have been estimated to perform 12% better than competitors that only use traditional methods.
- Estimates show that AI can boost overall business productivity by up to 40%.
- On average, AI initiatives ensure returns about 2-5 times the investment costs.
So, in the relatively short time it has been in the game, AI has already proven to bring real, tangible benefits to businesses.
But if AI is so great, why aren’t more businesses using it?
Here are the top 10 obstacles preventing businesses from adopting AI, as reported by executives.
- Insufficient understanding of AI.
- Absence of necessary data.
- Deficiency of relevant skills among employees.
- Difficulty of identifying appropriate vendors to cooperate with.
- Inability to identify appropriate use cases.
- Failure of the AI team to explain how the technology works.
- Lack of synergy between teams.
- General fear and uncertainty.
- Difficulty of integrating AI with existing processes.
- Regulation issues.
So, most of the reasons why more businesses aren’t already employing AI seem to come down to a lack of skills and information - companies are hesitant to adopt AI not because they don’t believe in its benefits, but because they’re not sure how and where to use it.
Say I want to employ AI in my business, but I’m not sure how. What’s a good starting point?
85% of customer interactions in 2021 were handled by AI chatbots.
AI customer support assistants and chatbots have been one of the most adopted AI-powered technologies in the world - 58% of B2B companies and 42% of B2C companies.
Enhanced customer experience is one of the leading use cases (57%) of AI incorporation.
Within the next 3 years, 70% of consumer experience will include some form of AI.
57% of high-performing companies use AI to enhance customer support.
- More than 50% of consumers turn to AI chatbots for answers to simple questions.
- 87% of businesses that don’t currently use AI customer support plan to do so in the near future, with 50% looking to use AI assistants in the next year or sooner.
- Business leaders say AI chatbots have increased sales on average by 67%.
- Projections show that chatbots can save up to $8 billion globally a year.
- 80% of brands have already included chatbots into their customer experience strategy.
- 48% of executives highlight AI as creating the most substantial difference in how customers interact with them.
- AI customer support assistants can reduce customer service costs by up to 30%.
- By 2025, 19 in every 20 customer interactions will be handled by AI.
So, without more information about your business (industry, size, skillset, tech capabilities, etc.), the best answer we can give is customer support. We can even recommend an AI customer support solution you can start testing today.
Now the scary question - will AI take jobs away from people?
- Globally, AI eliminated 1.8 million jobs but created 2.3 million new positions in 2020.
- AI is estimated to eliminate 85 million jobs and create 97 million new ones by 2025.
- Only 10% of jobs are considered to be at risk of elimination due to automation.
- The top 5 jobs most likely to be taken over by AI in the near future are 1) proofreading, 2) courier services, 3) computer support services, 4) telemarketing, and 5) bookkeeping and data entry.
- Due to the effects of AI, 375 million workers will need to change jobs by 2030.
- More than 120 million workers will need some up-skilling in the next 3 years due to AI.
- By 2025, the AI sector will be responsible for 9% of all new jobs in the United States.
- Top 3 jobs created by AI will include data science engineers, content curators, and AI automation specialists.
So, yes. We do have to face the reality that some jobs can and will be eliminated. But the great news is, even more jobs will be created and even more jobs will be made easier.
And the final question - will AI take over the world?
Just one piece of data here - 100% of people have no idea what the future holds. Yes, even those who claim to know it all.
But just to be on the safe side, we prefer being friends with AI.