Sifting through the lustrous facade of first-half earnings season’s statements, we uncover a striking trend; a significant rise in companies tapping into the potential of artificial intelligence (AI). According to a recent research report by Morgan Stanley, nearly 15% of the surveyed corporations clarified a revenue or cost-benefit derived from implementing machine learning in a diverse range of applications. Out of 316 corporations mentioning AI, 106 specifically spotlighted the rudimentary business enhancement achieved by AI and machine learning.
The investigation reveals firms acknowledging the financial prospects and productivity boosts tied to AI. While 29 corporations identified the revenue potentials, 36 acknowledged cost or productivity gains. Additionally, aspects such as customer service, procurement, and creative advertising also surfaced as profitable areas. Enhancements in efficiency and in-house operations thanks to AI application echo across their statements, suggesting that firms do consider AI as a significant game-changer.
The research underlines the geographical hub of this transformation, with the majority of the activity mapped to the U.S region. The rising stars amidst non-tech company earnings coalesce around biopharma gains, large-cap banks, and legal inferences drawn from AI implementation. From strain selection to regulatory filings, AI applications are sky-rocketing in the biopharma sector. Similarly, autonomous and in-house customer services are reputed to provide massive cost savings for large-scale banks. Legal use cases, from summaries to drafting, are also observed across a variety of reporting institutions.
Covering an impressive portfolio of global companies with a market cap surpassing $10 billion that reported results post-July 1st, this analysis offers a compelling landscape of AI adoption. Goldman Sachs, a rival Wall Street giant, purports that the integration of AI holds the promise to profoundly impact the U.S. economy, pinning this epoch shift sometime between 2025 and 2030.
Yet, this seems to skim only the surface of the AI-driven narrative. Beneath the broader strokes of increased revenue and productivity, lies a more nuanced dialogue. With the tech world gripping tighter to AI’s potential, what does this indicate about the nature and future of business operations? How will heavy reliance on AI affect job markets and economic equilibrium? These lingering questions cascade across the larger discourse. As we draw towards a future entwined with AI, it’s equally crucial we probe these complex layers, understanding AI’s holistic implications on our evolving global economy.
Source: Coindesk
