Introduction
Artificial intelligence (AI) refers to the ability of computer systems to perform tasks generally considered to require human intelligence, such as problem-solving, decision-making, language translations, and visual perception. Originally coined in 1956, AI has come a long way since the 50s, with significant advancements occurring in the last few decades.
Artificial intelligence can be classified into different but overlapping levels, such as machine learning (ML), deep learning (DL), neural networks, and generative AI (gen AI). These AI tools are increasingly being used in various aspects of everyday life, including but not limited to intelligent virtual assistants and smart devices, healthcare, retail and e-commerce, finance and banking, entertainment and media, and work and productivity. Its integration in numerous industries is driven by the demand for enhanced operational efficiency, improved customer service, greater workforce collaboration, and data-driven decision-making.
However, it is also essential to understand the ethical concerns and shortcomings of AI. With growing awareness and proliferation of AI, people are demanding greater transparency and raising privacy concerns regarding artificial intelligence. Going forward, businesses need to bridge these issues with growing innovation and development.
AI in Intelligent Virtual Assistants and Smart Devices
One of the most popular applications of AI in everyday life is intelligent virtual assistants and smart devices like Alexa Custom Assistant, Siri, Microsoft Copilot, and Fargo by Wells Fargo. They are conversational software that employs data analytics and machine learning to perform tasks to aid users. They essentially leverage speech recognition using AI to understand and complete voice commands.
Machine learning enables the improvement of Alexa and Siri. Examples of this include every time the application makes a mistake while responding to our requests, it analyzes the data obtained for future reference and upgrades. ML allows Alexa to handle follow-up questions in a conversation and even estimate the query requested when the exact keyword is not used. Furthermore, Siri is capable of blocking out background noise to “wake” due to machine learning.
Google Assistant, Amazon Alexa, Apple Siri, and Microsoft Cortana utilize speech recognition to perform tasks ranging from domestic to enterprise-related. While their features may differ, they are undergoing significant updates to understand different accents and dialects alongside providing accurate results.
Consegic Business Intelligence analyzes that the intelligent virtual assistant market size is estimated to reach over USD 98,436.99 million by 2031 from a value of USD 14,141.18 million in 2023 and is projected to grow by USD 17,770.65 million in 2024, growing at a CAGR of 27.4% from 2023 to 2031
The advantages of using these devices are greater efficiency, cost savings, increased accessibility with improved user experience, and data insights. This results in the increased adoption of intelligent virtual assistants and smart devices in everyday life.
AI in Healthcare
The data-processing and predictive capabilities of AI enable the healthcare industry to potentially address some of the supply-and-demand challenges by better management of its resources and take a more proactive approach to various aspects of healthcare.
AI-driven diagnostics and medical imaging improve the overall diagnostics process in a healthcare facility. These providers are generally overwhelmed and short-staffed, resulting in an inaccurate and incomplete compilation of patients’ medical records. This can result in disastrous situations that are avoidable using AI that is capable of predicting and diagnosing diseases at a faster rate.
AI also finds application in personalized treatment plans and drug discovery. It provides supportive digital communication, giving appointment reminders, specialized health tips, and tailored next steps to patients. Furthermore, incorporating it into the personalized treatment plan is proven to have better recovery rates among patients.
Increasingly, AI chatbots have been utilized for mental health support that is immediate, cost-effective, and non-judgmental. They provide anonymity, which encourages patients facing stigmatization regarding mental health. Users can discuss personal and private concerns that might receive judgment in a face-to-face meeting. This results in greater engagement and better long-term health.
AI in Retail and E-Commerce
The application of AI in retail and e-commerce is rising. Consumers are drawn to real-time, interactive shopping experiences where they can view product demonstrations, ask questions, and receive instant recommendations. The demand for a more immersive and personalized shopping journey is driving brands to utilize AI-powered chatbots and augmented reality (AR) product trials to enhance conversions.
AI chatbots are a great aid for customer service as they guide and support customers through their shopping journey. They help customers find specific products and notify them if it’s unavailable and when it will be restocked. Furthermore, they also inform consumers of the closest alternative and the nearest possible physical avenue to purchase the item.
An AI automated checkout and inventory management system provides retailers with real-time stock updates, minimizes human error, reduces costs, and results in efficient reordering of items. This, in turn, enables faster fulfillment of orders with greater accuracy and enhanced space utilization.
AI in Finance and Banking
AI helps the finance and banking industry modernize by automating traditional manual processes, streamlining customer service, and improving efficiency. It accelerates time-consuming tasks like market research as it can analyze large amounts of data quickly to identify and forecast future trends. This assists investors in mapping growth and evaluating potential risks.
AI is also helpful in detecting fraud, as monitoring current purchasing trends and comparing them with historical data allows AI to identify anomalous activities and alert companies and individuals in real time to verify it or take necessary precautionary measures. Furthermore, the finance and banking sector is incorporating AI-driven credit scoring, instant loan approvals, and alternative lending models.
However, the sector also faces many security and regulatory compliance issues due to the sensitivity and vast nature of the data they handle every day. This limits the integration of AI in every aspect of the finance organization, hindering its market growth. For successful incorporation, the AI must abide by industry and region-specific regulations.
AI in Entertainment and Media
The most common application of AI in our daily lives is media and entertainment. The ease and accessibility of gen AI platforms such as ChatGPT have resulted in a plethora of AI-generated content like music, videos, writing, and art. The rise of adoption of this technology is because it allows automatic content generation, reducing the time taken by businesses and professionals to create articles, blog posts, and social media posts. AI tends to provide higher quality and variety of content, which elevates company performance and customer engagement. Additionally, it allows businesses to personalize content based on their client, increasing conversion and retention rates. Substantial developments in AI, along with unfettered access to cloud computing and AI algorithms, have made the creation and distribution of such content extremely easy.
Entertainment giants like Netflix and Spotify are utilizing AI to provide users with personalized streaming recommendations based on their previous behaviors. This allows users to explore new artists and engage with their interests more deeply, improving their experience. Netflix employs AI algorithms to predict user churn by identifying customers likely to cancel their subscriptions based on usage patterns. These customers are offered personal recommendations and even discounts to enhance retention rates.
AI in Work and Productivity
Traditional analytics platforms require technical expertise to understand complex datasets, but AI-driven conversational interfaces allow users to query data, generate reports, and receive actionable insights using natural language. This advancement is driving demand for self-service analytics solutions, allowing professionals across industries to access real-time insights without relying on data scientists.
The development and inclusion of AI-based interactive kiosks present businesses with an opportunity to streamline their workforce, enhance customer experience, and boost sales. By integrating this technology, existing employees can focus on more complex and value-adding tasks. For example, Samsung has launched a kiosk featuring an AI-powered ordering and payment system that allows for voice-enabled ordering and checkout through a microphone, utilizing SoundHound’s AI platform. This innovation improves customer convenience and accessibility.
Ethical and Social Implications of AI
With the proliferation of AI across various industries and everyday items, significant concerns regarding privacy and data security have been raised. These AI-integrated devices collect and analyze large amounts of data about consumers, ranging from behaviors to inclinations. Lack of transparency from the companies makes users uncomfortable regarding the use of their data. This has resulted in consumers demanding information on the magnitude of end-use of the data collected. Ultimately, stricter regulations and policies are required to ensure the privacy and safety of users.
An extreme example of privacy violation is Apple’s Siri lawsuit, which alleged that Apple didn’t inform people they were regularly being recorded without consent. This resulted in users receiving advertisements for products they had only mentioned in passing near their Apple products. The conversations were captured by Siri when it was accidentally activated and shared with advertisers.
Any device or tool is an inherent product of its time and is bound to have some amount of bias, and AI is no different.
AI taking over human jobs is also a major concern, with certain professions being more vulnerable than others. These include customer service representatives, software developers, research analysts, paralegals, financial and travel advisors, graphic designers, and content writers. But it is important to note that at the same time, AI will also generate jobs requiring new skills and abilities.
Conclusion
Artificial intelligence has significant potential to improve every day, ranging from intelligent virtual assistants and smart devices, healthcare, retail and e-commerce, finance and banking, media and entertainment, to work and productivity. It has been shown to improve customer satisfaction, overall efficiency, and industry workflow. It can provide better healthcare services to patients in saturated facilities, greater accessibility to those using intelligent virtual assistants, a more personalized experience to users in retail and entertainment, fraud detection in the finance sector, and enhanced operations in workflow and productivity. At the same time, ethical and safety concerns regarding AI remain, which must be handled appropriately through regulation and policies going forward.
Source – Intelligent Virtual Assistant Market
