Applications of Artificial Intelligence for Saving the Economy
Artificial intelligence (AI) is evolving at a very high pace and the businesses that are flexible enough to change or evolve their business models with the infusion of AI will be the ones that will not only recover from the present outbreak but will also thrive.
The job of artificial intelligence is to interpret data received from outside, learn from that data, and use it to achieve the desired objectives. Some of the tools in artificial intelligence include neural networks, logic, statistical and probability-based methods, etc.
AI has been used majorly to automate the system and obtain solutions that cannot be achieved by human intervention. The present pandemic has forced the global economy to shift to digitization and this has broadened the way for artificial intelligence to accelerate.
Advancement of Artificial Intelligence in the following areas will have a major impact on the economy post-COVID 19:
Blockchain is just a chain of multiple blocks. Here the blocks are analogous to the digital information that is stored in public databases i.e. the chain. For a block to be added to the blockchain, the following 4 events must occur:
- A transaction must occur
- A transaction must be verified
- The transaction must be stored as digital information in a block
- The block is tagged with a unique code called as hash
The contents of the blockchain can be viewed by anyone once the blocks are added to the blockchain. Users can also connect their computers to the network of blockchain. Once connected, the computer receives a copy of the blockchain which is automatically updated whenever a new block is added to the blockchain. These connected computers are called nodes. Since the number of connected computers can reach thousands or millions with each computer having its copy of the entire blockchain, a very large number of identical copies of the blockchain are generated spread across a network of computers. That is why blockchain is called a distributed ledger.
Since the information in the blockchain is difficult to be manipulated due to millions of identical copies, it allows businesses to even deal with unknown parties.
Apart from finance, blockchains are also being developed in healthcare with a focus on the management of data from patients, insurance, etc.
Though secure, blockchain technology is energy-intensive. However, the consumption of energy can be optimized by using improved AI algorithms. Using Artificial Intelligence, the storage needs of blockchain can also be reduced through newly developed sharing methods.
The surge of a large amount of data and information has made it impossible for data scientists to analyze every outcome arising from that information. Hence there are very high chances of missing out the relevant information. Therefore most of all of the data analytics are achieved through automation of algorithms. As most of the analytical insights of the businesses are achieved with the help of machine learning and data science, advanced analytics goes a step further to find those patterns or possibilities that tend to hideaway.
Advanced or augmented analytics uses Artificial Intelligence for generating and explaining insights in data. The biggest problem that businesses are facing a time of crisis is a constant cash flow and difficulty in forecasting the amount of cash required to run a business for the next 1 year or so. Hence companies can use the power of data for simulating this cash flow, in planning business operations and make a clear forecast about their financial activities.
Smart spaces are the connected physical places equipped with sensors that enable humans and technological systems to interact. Smart space can be a building with networked motion and temperature sensors with real-time data on energy consumption patterns or a vehicle that provides real-time feedback about its performance and maintenance needs to the user. Smart spaces can also be cities where businesses, industrial and residential communities are connected to work in collaboration.
In the context of the present outbreak, the mindset of people has shifted from using shared office spaces to using safe and personal spaces with better digital connectivity. Hence this field will have a lasting impact on the way people will interact and work in the post-pandemic world.
It is a new paradigm in which data collection and storage is placed close to the sources that provide information. Edge computing operates on instant data which is generated in real-time through sensors. The increasing use of IoT devices is producing a large amount of data to be processed at data centers. Devices at the edge constantly consume data delivered from data centers. Thus there is a need to build delivery networks for the decentralization of data. Edge Computing moves the computation away from data centers towards the sources that generate information or data i.e. towards the edge of the network.
If we see in light of the COVID 19 crisis, the Internet of Things (IoT) healthcare market is expected to reach close to $500 billion by 2025. Also, people have been forced to work from home during the present outbreak. Edge computing makes working from home easier by providing improved network performance.
Market & Investment Trends in Artificial Intelligence
The global artificial intelligence market size is expected to reach USD 390.9 billion by 2025 according to Grand View Research. Venture capitalists are now increasingly investing in AI-driven companies or startups. Investors are looking for those companies that are using smart technologies to digitally transform the industry. Companies such as IBM, Google, etc. have been quite active in implementing AI as an important part of their technologies.
Different Market Applications of Artificial Intelligence
- AI has applications in the automobile sector where it’s helping technologists to develop self-driving vehicles.
- In healthcare, AI neural networks are used for medical diagnosis. Other tasks that can be performed through AI in healthcare are AI-enabled blood diagnostics, drug creation, medical consultation through virtual platforms, etc.
- In finance, AI is being used in the personal finance domain, market analysis, and also in harvesting dividends and returns by fund managers.
- In agriculture, AI is being used in crop and soil monitoring and also in predictive analytics.
- In e-commerce, AI is used for retargeting potential customers, for customer engagement and community management through chatbots, etc.
- Artificial Intelligence is one of the key elements of Industry 4.0
- In the space industry, AI is being used by many of the space-tech startups to analyze the data from the satellites for solving problems in agriculture, climate, defense, etc.
It is now evident that companies perform well when they strive to transform themselves digitally and incorporate a culture of innovation in all of their processes. Tech-Giants like Google, IBM, Amazon, Micosoft, etc. are already leveraging the power of AI in most of their respective business operations.
Leveraging AI for accelerating innovation can help companies to not only recover from the present pandemic but also to assure their growth in the post-pandemic world.
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