For years together, artificial intelligence has been associated with sci-fi movies, but things have gradually begun to change, as this new-age technology has taken over the world and how! Yes, from being elusive at one point to being an integral part of our homes today (hello, Alexa), AI has spread its wings everywhere, even business. 

From the mundane to the most complex task, AI is already disrupting every business process across industries. According to a survey by Raconteur, the sector is likely to take over every possible vertical in the next five years. It also aims to deconstruct data around the technologies that are being leveraged the most, and by whom, as well as the benefits of each function. 

Contrary to general perception, AI is not a replacement for human intelligence; instead, it is more of a supporting tool. Reams of data are being generated every single day, and that’s where AI comes into the picture to analyse it faster than a human brain. That means that the decision-making process for humans is much simpler using AI, and it is this very quality that makes artificial intelligence valuable across industries. 

Biggest sectors in AI software

As per the Raconteur survey, both machine learning and deep learning feature at the top when it comes to business applications. Machine learning is mainly used to process large amounts of data quickly. As the name suggests, this type of AI has algorithms that ‘learn’ over time and can get better at what they do. In a nutshell, when you feed a machine learning algorithm more data, its function improves. 

The other AI software that is being predominantly used by businesses is deep learning, which in itself is a more specific version of machine learning. It is dependent on neural networks and can perform several important tasks, including fraud detection. 

Strong AI, machine reasoning, computer vision and natural language processing follow suit and are gradually being adopted by enterprises for several tasks. 

According to research by Harvard Extension School, one company that has successfully leveraged AI into various aspects of its business is Unilever. Not only have they streamlined hiring and onboarding, but AI has also helped Unilever to get the most of its vast amounts of data. At the same time, most of the data that came in seemed to be unreliable, and with deep learning, that aspect was also tackled with. 

Biggest regions for AI software

When it comes to the adoption for AI software, North America takes the lead followed by Asia Pacific, Europe and Latin America, as per estimated revenue reported by Raconteur for 2018. The total estimated revenue for all the regions put together stood at USD 10.1 billion, while the projections for 2025 are at a staggering USD 126 billion.  

In North America, the estimated revenue was USD 4.5 billion in 2018, while in 2025, it is expected to reach USD 53.7 billion (Raconteur). According to the ‘Global AI agenda: North America’ by MIT, North America was among the earliest to launch AI, with 11% of the respondents deploying AI as early as 2015. Post that, the adoption slowed, with Asian and European businesses surging ahead in the subsequent years. 

Speaking of the Asia-Pacific region, AI adoption is likely to reach USD 35.3 billion in 2025, from USD 2.7 billion in 2018. Although the region has lagged behind earlier when it comes to tech adoption, things are likely to change in the years to come. According to Omdia, the APAC region holds 60% of the world’s population, which means any technological shifts brought on by AI are likely to shape things up even more. 

Although China takes the lead, countries like Japan, India, Singapore and Taiwan have built or are in the process of finalising full-fledged AI policies to transform several industries, including healthcare, agriculture, and education, among other sectors. 

Biggest industries for AI software

Some of the biggest industries that are being revolutionised by AI include consumer, healthcare, telecommunications, retail, and business services, among others, as reported by Raconteur. When it comes to the consumer, everything he/she does is being disrupted by AI to enhance the overall experience. The new-age technology is being utilised across the entire product and service cycle, right from product assembly to post-sale customer service interactions. The biggest goal has been to optimise operations, reduce cost and enhance the overall customer experience. 

According to projections by Gartner, 85% of customer interaction, especially in retail, will be managed by AI. 

Healthcare is another field that has witnessed the significance of AI, especially in the times of COVID. Several Indian health-tech startups too, some such as Qure.ai and Dozee have stepped up their game and are looking to serve customers through their solutions. These health tech companies are using AI for several healthcare needs, including data mining for identifying patterns and then carrying out more accurate diagnosis, as well as treatment of several medical conditions. All in all, they also aim to serve the problem of both accessibility and affordability in healthcare. 

The utilisation of AI has helped businesses across verticals in several ways. For instance, 63% of global executives whose companies have adopted AI say it has provided an uptick in revenue, while 44% sayAI has reduced their costs (Raconteur). Moreover, 39% of the respondents are ramping up exploratory phases with AI. 

The Future

The future certainly looks promising for the adoption of AI, especially in the next 12 months. As per Raconteur, 35% of respondents are likely to invest in proprietary AI solutions, while 34% will do it on-the-shelf applications. Interestingly, 33% will spend on off-the-shelf tools to build their own AI models, while 33% are looking at investing in upskilling their workforce, which is certainly the need of the hour. The remaining will focus on embedding AI into current processes, and others on research and development. 

Whatever be its application, AI is here to stay in the long run - or even transform the world, one step at a time!