AI
AI

AI’s $4.8 Trillion Potential: UN Sounds Alarm on Expanding Digital Divide Without Immediate Action

Photo credit: news.un.org

The recent release of the Technology and Innovation Report 2025 by the UN Conference on Trade and Development (UNCTAD) highlights critical concerns regarding increasing inequality within the artificial intelligence sector and outlines strategies for nations to effectively harness AI’s capabilities.

The findings indicate that a mere 100 companies, predominantly located in the United States and China, account for a staggering 40 percent of global private investment in research and development. This statistic underscores a worrying concentration of influence and resources in the AI field.

Additionally, it is alarming to note that 118 nations, mainly from the Global South, are excluded from discussions surrounding global AI governance.

Rebeca Grynspan, the Secretary-General of UNCTAD, emphasized the necessity for enhanced international cooperation, advocating for a shift in focus “from technology to people” and for nations to unite in the effort to “co-create a global artificial intelligence framework.”

The Shifting Job Landscape

The report projects that up to 40 percent of jobs worldwide could be impacted by the rise of AI. While the technology brings promising opportunities—particularly in increasing productivity and fostering new industries—it also raises considerable challenges, especially regarding automation and the potential loss of jobs. This concern is particularly relevant for economies that have relied heavily on low-cost labor as a competitive edge.

However, the narrative is not entirely bleak. Experts from UNCTAD argue that AI is not merely a force for job substitution; rather, it can foster new industries and empower existing workers. By prioritizing investments in reskilling, upskilling, and workforce adaptation, governments can transform AI from a threat to a tantalizing opportunity for enhancing job prospects.

Preparing for the Future

For developing nations to remain competitive and not fall behind, UNCTAD identifies three critical areas that require attention: infrastructure, data, and skills. This means substantial investments in reliable internet connectivity and the computational resources needed to manage and analyze large datasets.

Moreover, access to diverse and high-quality datasets is essential for training AI systems effectively and equitably. Lastly, there is a pressing need to develop educational systems that provide individuals with the digital and problem-solving skills essential for thriving in an AI-centric economy.

A Collaborative Global Approach

UNCTAD asserts that addressing these challenges requires more than national strategies; it necessitates robust international collaboration to navigate AI’s development collectively. The report advocates for the establishment of a shared global resource to ensure equitable access to computing power and AI technologies for all countries.

Moreover, it suggests the creation of a public disclosure framework for AI, akin to current environmental, social, and governance (ESG) standards, to enhance transparency and accountability within the sector.

“Historical evidence indicates that while technological advancements can spur economic growth, they do not inherently guarantee fair income distribution or foster inclusive human development,” Ms. Grynspan remarked, reinforcing the idea that people must be at the forefront of the AI revolution.

Source
news.un.org

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