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Anticipated Developments in AI for 2025
The year 2024 marked a significant period for artificial intelligence, setting the stage for an even more transformative 2025. Many experts predict that the coming year will witness a transition from initial adoption to bespoke applications customized to meet specific business needs.
As AI technology embeds itself deeper into various aspects of daily life, some experts anticipate it will become seamlessly integrated, much like the internet or electricity. Tom Biegala, cofounder of Bison Ventures, suggests that AI will evolve into a crucial behind-the-scenes player rather than a flashy selling point.
The responsible management of this technology will become increasingly essential. Navrina Singh, founder of Credo AI, posits that companies will soon recognize the importance of AI governance, equating it to the significance of adopting the technology itself.
In an effort to forecast the landscape of AI in 2025, Business Insider consulted with over a dozen industry leaders, including startup founders and investors, for their insights.
Investment Will Continue to Soar
Immad Akhund, CEO of Mercury, speculated that while the initial hype surrounding AI may stabilize, investments in the field are set to soar. He pointed out that companies are shifting from experimental applications to practical ones across diverse sectors like customer service and finance.
Akhund believes that AI will serve to enhance productivity, particularly in back-office operations. Merger and acquisition activity in the AI sector is also expected to increase significantly, with Tomasz Tunguz, founder of Theory Ventures, forecasting a 35% rise in such activity next year.
The Competition Will Get Fierce
Experts warn that the competition in the AI domain will intensify, potentially leading to the downfall of major companies that fail to adapt. Stefan Weitz, CEO and cofounder of HumanX, forecasts that at least one well-known company will see severe downsizing or collapse due to the rapid innovation of AI-native startups.
This fierce competition may also provoke geopolitical tensions, as nations vie to regulate AI technologies effectively. The U.S. and China are already engaged in discussions about the need for regulatory frameworks to govern AI’s applications in areas such as nuclear technology.
The Lines Between Humans and AI Will Not Be Obvious
The integration of AI into the workforce might blur the lines between human and machine labor. Synthetic virtual individuals that closely resemble real humans could raise questions regarding employment rights and the concept of ‘AI citizenship’, suggests Weitz.
Add to that, predictions about the convergence of human-generated and AI-generated content indicate that generative media might become a hot topic, alongside large language models. Steve Jang, of Kindred Ventures, envisions a significant uptick in the mainstream use of generative audio and visual content.
Specialization, Specialization, Specialization
Experts emphasize that 2025 will likely witness the rise of specialized AI technologies tailored for specific applications. Biegala foresees a shift toward domain-specific AI and robotics that will offer rapid, efficient solutions compared to traditional general-purpose technologies.
This trend may extend to the evolving nature of digital searches, where chatbots begin replacing traditional search engines. Dominik Mazur, CEO of IAsk, predicted that users will diversify their search methodologies to utilize various platforms—some for conversational interactions and others for technical inquiries.
Alongside this, there is growing advocacy for lightweight, customizable AI tools that can replace traditional software-as-a-service applications, enabling companies to tailor solutions to their unique needs.
Regulation Takes Priority
With the increased adoption of AI comes a growing imperative for regulation. Singh anticipates a wave of voluntary commitments to responsible AI practices, along with the first penalties for noncompliance with emerging laws specific to AI use.
The potential surge in AI-driven cybersecurity threats underscores the importance of regulation. Pat Kinsel, CEO of Proof, highlighted how technologies like deepfakes could challenge business integrity by making it alarmingly easy to create convincing fraudulent identities.
Search Advertising Will Get Conversational
Changes in online advertising are on the horizon, with generative AI set to disrupt traditional models. Sponsored content may become an integrated part of synthesized responses in chatbots, fostering a more seamless user experience while raising questions about transparency and user awareness regarding ad monetization.
AI Will Not Take Your Job — Yet
Finally, industry leaders largely agree that rather than replacing jobs, AI is expected to enhance occupations. Akhund emphasized that while repetitive tasks may be automated, human insight will remain crucial for complex decision-making and creative tasks. Thus, 2025 could herald a new era of augmented productivity through AI technology.
Source
www.businessinsider.com