Major US Companies Warn Of Growing Risks Of Artificial Intelligence In Businesses
Date
8/20/2024 3:22:32 PM
(MENAFN- The Peninsula)
QNA
London: More than half of the US's biggest companies see artificial intelligence (AI) as a potential risk to their businesses, financial Times cited a new survey of corporate filings that highlights how the emerging technology could bring about sweeping industrial transformation.
The newspaper said that overall, 56 per cent of Fortune 500 companies cited AI as a“risk factor” in their most recent annual reports, according to research by Arize AI, a research platform that tracks public disclosures by large businesses.
The figure is a striking jump from just 9 per cent in 2022.
It pointed out that by contrast, only 33 companies of the 108 that specifically discussed generative AI technology capable of creating humanlike text and realistic imagery saw it as an opportunity.
Potential benefits include cost efficiencies, operational benefits and accelerating innovation, these groups said in their annual reports.
More than two-thirds of that group specified generative AI as a risk.
The newspaper reported that the disclosures demonstrate that the impact of generative AI is already being felt across an array of industries and at the majority of the largest listed companies in the US.
It added that the predictive machine learning technology has boomed over the past two years since OpenAIs release of its popular chatbot ChatGPT in November 2022.
Since then, Big Tech companies have invested tens of billions of dollars to develop powerful AI systems and hundreds of start-ups have launched to capitalise on the opportunity for disruption.
Among Fortune 500 companies, AI risks mentioned in annual financial reports this year include greater competition, as boardrooms fret they may fail to keep pace with rivals who are better exploiting the technology, the Financial Times said.
Other potential harms include reputational or operational issues, such as becoming ensnared in ethical concerns about AIs potential impact on human rights, employment and privacy, it added, noting that some industries are more worried about AI than others.
MENAFN20082024000063011010ID1108581877
Legal Disclaimer:
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.