[Insight & Opinion] Are You Ready for New Business Models Driven by AI?

Many scholars studying social change have argued that technological advancement is the most important core driver of societal transformation. Although there are criticisms from a technological determinism perspective, this trend has only strengthened entering the 21st century. Even without looking too far into the past, considering the periods before and after the advent of the internet and smartphones, one can truly realize how much technology has changed our thoughts, behaviors, and lives.

Now, it is difficult to imagine our world without artificial intelligence (AI). The main topic at CES held in Las Vegas, USA, is also AI. As reflected in this year’s CES slogan, ‘All Together All On,’ AI has already permeated every aspect of our lives, acting as a ‘universal’ yet ‘invisible’ technology.

Not everyone needs to study coding or become an AI developer. What matters is how we can create new business models and added value based on AI technology, which is transforming into a universal public good. Just as the internet and smartphones did, AI will serve as a foundational technology for new business opportunities and value creation. It is important to remember that while telecommunications companies built the networks in the past, platform companies monopolized the profits.

What is noteworthy at this CES is how AI is functioning as a foundational technology and how it can be applied to existing industries to create new business models and added value. AI is already being utilized in various fields such as new materials, pharmaceuticals, healthcare, mobility, home appliances, energy, and agriculture. In the future, AI will not only be applied to more existing industries but also open the way to creating new markets and industries.

If the internet and smartphones were important mediators that transformed society and industry in the past, AI can become a crucial mediator capable of changing human civilization. It is well known that the development of communication technology has transformed human civilization. With the advent of Gutenberg’s ‘movable type printing,’ Europe experienced revolutionary changes. Movable type printing brought about the standardization of language and script, and the boundaries of standardized languages and scripts soon became the boundaries of nation-states. The mass distribution of books led to the spread of knowledge and eventually the scientific revolution. The recently spotlighted ‘generative AI’ technology, when applied to communication and media fields, could bring about changes even greater than those brought by movable type printing.

Many people hold both hopes and fears regarding the rapid development of AI technology. While there is anticipation that AI can make human life more convenient and enriched, there is also concern about humans becoming dependent on AI. Wise government regulation is required. The government must promote AI-related industries while proactively considering regulations to address the various negative impacts AI may bring. In particular, management is needed to ensure that AI learns from unbiased and objective data.

Furthermore, as AI technology evolves further, issues such as standards, ethics, social consensus, and international agreements will emerge as global challenges. Securing a leading position on these global agendas is as important as fostering related industries.

Seoyongseok, Professor at KAIST Graduate School of Culture Technology and Future Strategy

This content was produced with the assistance of AI translation services.