2023 will be remembered as the year when the shockwave of generative AI (GenAI) transformed the business and technology landscape around the world. The wave that started with the introduction of ChatGPT has led to major tech companies including Google, Meta, and Microsoft racing to bring new AI applications to market. AI has gone beyond a mere technological trend and has transformed into something that will shake the very foundations of business operations, market strategies, and consumer experience. In this article, we explore the prospects for AI in 2024. The impact of GenAI on business, the importance of governance around AI ethics and safety, AI innovation in B2C business, and how the coexistence of AI and humans is evolving. Explore how the rapid development of AI will impact individuals, businesses, and society through these topics.

① The ripple effect of generative AI and its impact on business

First and foremost, 2024 will be the decisive year in which generative AI changes the business landscape. AI technology, which is evolving at an unprecedented rate, is fundamentally transforming a variety of industries and fundamentally changing the way companies operate. Generative AI is predicted to add up to $4.4 trillion annually to the global economy by 2030, according to a McKinsey report. This will not only impact sectors as diverse as finance, manufacturing, healthcare and retail, but will also create entirely new business models and market opportunities.

The rise of generative AI also has the potential to create disparities between companies. Rather than the digital divide, it can also be called the ``generative AI divide.'' This creates a huge gap between companies that quickly adapt to AI technology and those that don't. AI-Ready companies will have a competitive advantage in the market and lead in terms of efficiency, customer experience, and innovation. On the other hand, companies that are slow to adopt AI technology may weaken their market position and ultimately threaten their survival.

In order to become AI-Ready, each company needs to simultaneously adopt both a Top Down (approach from the management level) and a Bottom Up (approach from the field level). Management will be responsible for incorporating AI into the company's vision and strategy and promoting company-wide AI-Ready. At the same time, at the field level, it is important for employees to utilize AI tools in their daily work to innovate quickly, even on a small scale. In this way, companies can accelerate AI adoption and achieve sustainable growth.

In this way, the evolution of generative AI will have a major impact not only on how companies operate, but also on their relationships with customers and market trends. This could lead to a completely new customer experience and even a completely new business model. In addition to providing new customer experiences, AI is rapidly approaching the personalization of products and services. Improving the accuracy of data analysis and forecasting will make it possible to anticipate market demand and more efficiently allocate resources and balance supply and demand. In this way, generative AI will drive innovative changes in every area of business and create business standards for a new era.

② AI Ethics and Safety: The Importance of Governance

The rapid development of AI technology has made ensuring ethical use and safety a more important issue. This was discussed at many conferences, including ITC Vegas 2023. Advanced technologies such as generative AI (GenAI) have created new ethical and safety challenges due to their potential impact and wide applicability. When using AI, companies must consider aspects such as personal privacy, data security, and ensuring fair algorithms without bias or discrimination. The development of strong governance and ethical guidelines will be essential to address these issues.

2024 will be a time when AI governance will need to be rapidly developed. This includes developing clear guidelines for the ethical use of AI, increasing transparency in AI decision-making processes, and assessing and managing potential risks from the use of AI. By following these governance principles when using AI, companies can minimize risk and gain trust from customers and stakeholders. This process will require the participation of a variety of stakeholders, including AI technology experts, ethicists, lawyers, and consumer representatives.

Developing AI ethics in this way presents both technical challenges and great opportunities. Ethical AI can have a more positive impact on society, leading to improved brand value and customer trust for companies. Ethical AI issues are constantly evolving, creating new challenges that require companies and governments to respond quickly and continually update their governance frameworks. This will ensure that AI technology is used in a way that is beneficial to society and will maximize the true potential of AI.

③ Full-fledged new “expression” using AI

In 2024, AI will drive customer experience innovation. Advances in AI technology, particularly generative AI, are enabling companies to adopt new ways to fundamentally change the way they interact with consumers. For example, tools like ChatGPT, which works with DALL-E, allows companies to provide customized content and solutions based on customer requests in real time. This will allow companies to respond more quickly and individually to customer needs, and is expected to improve customer satisfaction.

In B2C business, the fusion of AI and creativity has become a new trend. AI technology is playing a role in supporting and augmenting traditional creative processes. You will be able to easily create many types of content, such as composing music and creating videos. Furthermore, AI is even beginning to create new forms of communication. Advanced AI tools like ElevenLabs and character.ai are increasing personal expression, giving consumers a richer way to communicate their identities and values. The content created with these is already being shared and gaining popularity on many platforms including social media such as Instagram, TikTok, and YouTube.

Furthermore, by leveraging AI, companies will be able to develop personalized marketing strategies. It can analyze consumer behavior patterns and preferences and provide customized advertisements and products based on that. This is far more effective than traditional blanket marketing approaches and will directly lead to increased customer engagement. Data-driven insights provided by AI will improve the accuracy of marketing strategies and enable more effective customer communications.

④ Coexistence of AI and humans: The importance of “intention” and the right to self-determination

As AI continues to evolve, the debate over ``Is AI safe or will we be dominated by it'' will become even more active in 2024? In reality, the relationship between AI and humans will enter a new phase from the perspective of "intention" and the right to self-determination. As the capabilities of AI technology, especially generative AI, expand, these systems will be tasked with understanding and assisting human intent. In this process, it is critical that humans clarify their intentions and decide on the purpose and scope of AI use. When humans take the initiative in using AI, AI can go beyond being a mere tool and serve a higher purpose of expanding human capabilities and extending the limits of cognition.

Maintaining a self-determined stance by users is an important element in balancing AI autonomy. As AI technology becomes more sophisticated and capable of making autonomous decisions, we need to ensure that these decisions are consistent with human intent. This means setting clear guidelines and limits for AI and ensuring that humans are the final decision makers. Maintaining self-determination is the foundation for AI to play a constructive role in human society. In other words, people need to become even more clearly aware of what they want to do and what their intentions are.

⑤ Redefining work and creating new occupations

The evolution of AI in 2024 will fundamentally redefine the nature of work. In particular, advanced technologies such as generative AI are changing traditional job descriptions and facilitating the creation of new job types. These technologies will largely automate tasks such as routine work and data processing, freeing up human workers to focus on more creative and strategic roles. This change requires new approaches to traditional jobs and requires upskilling and new learning for workers.

Furthermore, with the development of AI technology, completely new types of jobs are emerging. These include AI trainers, AI ethics consultants, data privacy managers, and AI system auditors. These positions will be responsible for the appropriate use and management of AI technology, and will play a role in monitoring the social and ethical impacts of AI. These positions will be a key element in supporting the responsible use and evolution of AI technology.

There is also a major shift in the skill sets needed in the labor market. For example, the automation of routine tasks will make analytical thinking, problem solving, creativity, and interpersonal skills more important. Companies need to invest in continuing education and training programs to adapt their employees' skill sets to the AI era. This includes adapting to new technologies, improving digital literacy and strengthening soft skills.

Advances in AI offer new perspectives on human labor. AI does not simply take away jobs, but functions as a tool that complements and expands human capabilities. Through coexistence with AI, humans can focus on more complex and creative tasks and explore new work possibilities. This coexistence creates new understandings of human work and new roles and opportunities in the labor market. Advances in AI will play a key role in redefining work and creating new job categories, shaping the future of the labor market.

summary

As I have written so far, the AI outlook for 2024 will have a major impact not only on technological advances, but also on the way we work, live, and the future of society as a whole. Advances in generative AI are fundamentally changing business processes, creating new jobs, and redefining skills in the labor market. At the same time, ensuring the ethical use and safety of AI has become an unavoidable challenge for companies. Applications of AI in B2C businesses are redefining communication with consumers and opening up new market opportunities. Regarding the coexistence of AI and humans, AI is establishing itself as a means to complement and expand human creativity. Such multifaceted developments will form a new horizon in the AI era and become an important element in shaping our future.

As a final note, this year as well,For everyonemoreoverI hope you have a good year, EveryoneI wish you good health and happiness.

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