Heaptalk, Jakarta — Major technology companies, including Meta, Google, Nvidia, and Microsoft, have reminded an inferior impact of Artificial Intelligence (AI) on business development; the negative impacts cover:
- Data breach potential: One of the most significant impacts is that AI systems require substantial data to function effectively. The data frequently include sensitive personal information. If such data falls into the wrong hands, it could lead to identity theft, financial losses, and other harmful consequences.
- Embedded Bias: Another concern is the bias embedded in the artificial intelligence algorithm. These algorithms are frequently trained on historical data that reflect societal biases and prejudices, leading to discriminatory output. For instance, AI systems used for hiring may discriminate against specific demographic categories, such as women or people of color, based on past hiring patterns.
- Job Displacement: AI also possesses job elimination potential, specifically in industries heavily reliant on manual labor. By 2034, it is predicted that up to 800 million jobs could be replaced by AI. This staggering statistic is just one way this technology disrupts our workforce. With the rise of automation and AI-driven machines, many jobs are at risk of being replaced by technology, causing widespread unemployment and difficulty finding new career opportunities.
- Ethical Concerns in Decision-Making: Beyond job concerns, the use of AI in decision-making processes has raised ethical concerns, particularly in sensitive fields like healthcare and law enforcement. AI algorithms will only be as fair as the data used to train them, which can lead to discriminatory outcomes and a lack of accountability.
- Impact on Pricing Structures: artificial intelligence can drastically change pricing structures, affecting business models and product/service pricing.
- Redefining Business Value Propositions: The development of this technology may force companies to redefine their business value propositions. This involves re-evaluating the reasons for a business’s existence, target customers, products, positioning, pricing, and customer support activities.
For this reason, Meta, Google, Nvidia, and Microsoft urge companies to consider using this technology to prevent these negative impacts.
