Creativity will bring about an increase in global GDP by 7% in a 10-year period Artificial Intelligence (generative AI), according to an estimate cited by the OECD in its latest report on the digital economy (Digital Economy Outlook).

Some research estimates that the global AI market – which includes hardware, software and services – will grow at an average annual rate of 18.6% between 2022 and 2026, with its size reaching $900 billion a year this year, while others estimate that it will exceed 1.5 trillion. dollars in 2030.

Global venture capital investment in AI start-ups more than tripled from 2015 to 2023, reaching nearly $98 billion from $31 billion. dollars, while they peaked in 2021, when they reached $213 billion with an increase of 2.3 times compared to 2020. Most of these funds went to AI companies in the US and China.

Following the trend of the overall venture capital (VC) market, total investment in AI companies fell by more than 50% between 2021 and 2023 (from $213 billion to $98 billion). This development was a consequence of the general reservations of investors, amid rising interest rates and inflationary pressures.

However, creative AI has been an exception to this trend, with VC investment in the industry jumping from $1.3 billion in 2022 to $17.8 billion last year, making its share of total VC investment in AI to increase from just 1% to 18.2%. Mainly it was Microsoft’s investment in OpenAI, amounting to 10 billion. dollars, which contributed to this jump.

Many focus to the dangers of artificial intelligence, but it is certain that this will also bring great benefits for economies and societies. Increasing productivity, promoting innovation and entrepreneurship and contributing to tackling global problems such as the climate crisis are some of the key future benefits, as agreed by the G7 countries through the ‘Hiroshima process’ for creative AI they set in motion last year. The G7 countries also agreed that artificial intelligence will be able to solve pressing societal problems, such as improving healthcare and achieving the UN’s Sustainable Development Goals.

On the other hand, one of the risks from the use of artificial intelligence concerns the prospect of significantly transforming the labor market.

According to an IMF report on the European economy, unlike previous waves of automation that mainly affected less-skilled workers, the impact of AI could extend to workers with higher skills. While AI is predicted to increase productivity and boost incomes for some workers, it may also carry the risk of obsolescence and reduced incomes for others.

Recent IMF research shows that around 60% of jobs in the EU are potentially exposed to AI. The good news, he notes, is that more than half of exposed workers are likely to increase their productivity and incomes because of AI.

However, for the other half, whose jobs would become more automated, the widespread adoption of AI technologies would risk job losses and reduce their income prospects, widening existing income and productivity inequalities within and between countries and delaying income convergence.

“The extent to which EU and non-EU countries could leverage AI for the benefit of all depends on how well they are prepared to facilitate the universal acceptance of AI-based technologies while mitigating the associated risks,” he notes. the IMF.