- By 2035 AI technologies have the potential to increase productivity 40% or more.
- AI will increase economic growth an average of 1.7% across 16 industries by 2035.
- Information and Communication, Manufacturing and Financial Services will be the top three industries that gain economic growth in 2035 from AI’s benefits.
- AI will have the most positive effect on Education, Accommodation and Food Services and Construction industry profitability in 2035.
Accenture Research and Frontier Economics released How AI Boosts Industry Profits and Innovation. You can download the report here (28 pp., PDF, no opt-in). The research looks at the economic growth rates of 16 industries and estimates how Artificial Intelligence (AI) will affect global economic growth through 2035. By using Gross Value Added (GVA) as a close measure of Gross Domestic Product (GDP), the study shows that the more AI is integrated into the economy, the greater the potential for growth. A key finding is that AI could raise economic growth rates by a weighted average of 1.7% across all industries by 2035. The sectors expected to experience the highest annual GVA growth rates from AI in 2035 are Information and Communication (4.8%), Manufacturing (4.4%), and Financial Services (4.3%). Overall, AI could increase profitability by an average of 38% and lead to an economic boost of $14T across
Key takeaways from the study include the following:
- By 2035, AI is expected to boost economic growth by an average of 1.7% in 16 industries, with Information and Communication, manufacturing, and financial services at the forefront. Accenture Research shows that the Information and Communication sector has the highest potential for economic growth from AI. Implementing AI in existing information and communication systems can lead to significant savings in costs, time, and processes quickly. Accenture estimates that these savings could result in up to $4.7 trillion in GVA value by 2035. Key growth areas in this sector include cloud, network, and systems security, particularly in establishing comprehensive cloud security strategies for enterprises.
- AI will most increase profitability in Education, Accommodation and Food Services and Construction industries in 2035. Personalized learning programs and automating mundane, routine tasks to free up colleges, universities, and trade school instructors to teach new learning frameworks will accelerate profitability in the education through 2035. Accommodation & Food Services and Construction are industries with manually-intensive, often isolated processes that will benefit from the increased insights and contextual intelligence from AI throughout the forecast period.
- Manufacturing’s adoption of Industrial Internet of Things (IIoT), smart factories and comparable initiatives are powerful catalysts driving AI adoption. Based on the proliferation of Industrial Internet of Things (IIoT) devices and the networks and terabytes of data they generate, Accenture predicts AI will contribute an additional $3.76T GVA to manufacturing by 2035. Supply chain management, forecasting, inventory optimization and production scheduling are all areas AI can make immediate contributions to this industry’s profits and long-term economic
- Financial Services’ greatest gains from AI will come automating and reducing the errors in mundane, manually-intensive tasks including credit scoring and first-level customer inquiries. Accenture forecasts financial services will benefit $1.2T in additional GVA in 2035 from AI. Follow-on areas of automation in Financial Services include automating market research queries through intelligent bots, and scoring and reviewing mortgages.
- By 2035 AI technologies could increase labor productivity 40% or more, doubling economic growth in 12 developed nations. Accenture finds that AI’s immediate impact on profitability is improving individual efficiency and productivity. The economies of the U.S. and Finland are projected to see the greatest economic gains from AI through 2035, with each attaining 2% higher GVA growth.The following graphic compares the 12 nations included in the first phase of the research.
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