According to one recent study, worldwide spending on artificial intelligence systems (otherwise known as AI, for short) is predicted to hit $35.8 billion by the end of 2019. To put that number into perspective, that’s a 44% increase over the amount spent in 2018.
The level of disruption that AI and automation is projected to bring about will touch virtually all industries; from retail stores investing in automated customer service, to banking and financial services—and especially the ways by which HR professionals in these and numerous other industries source qualified talent. Certain global markets are preparing for (and ushering in) AI and automation by investing more and more in an increasingly tech-driven future that’s just over the horizon.
AI and Automation in Global Markets: The Not-too-Distant Future
One of AI and automation’s greatest impacts is on manufacturing, a sector that is the cornerstone of many nations’ economies. It should come as no surprise, then, that many of the global markets investing the most in AI and automation are actually doing so with this express purpose in mind.
According to a recent report published by Brookings, countries that are currently investing the most in AI and automation also happen to have the strongest manufacturing infrastructures in the world. In the report, countries were ranked based on 20 indicators within a 100-point scale. Countries topping the list include:
- The United Kingdom and Switzerland, both of which received a score of 79 out of 100 points
- The United States: 77 points
- Japan: 74 points
- Canada: 74 points
All of the countries at the top of the list performed well not only due to investments in artificial intelligence and automation (along with other elements of their infrastructure), but also due to their policies, certain cost considerations, and additional workforce investments. Indeed, one of the major recommendations from the report for improving a country’s manufacturing environment had to do with a country’s willingness to unlock 21st century tools like AI and automation (along with big data and others). These specific types of technology have the ability to revolutionize manufacturing from the top down when leveraged properly. This includes not only the initial design and production of goods, but also the successful delivery of these goods. Countries that understand and take action to capitalize on AI’s potential are projected to do very, very well over the next decade. Those that don’t will likely be playing catch up for years to come.
All told, the most important thing to understand about the rise of artificial intelligence and automation is that while the impact on both businesses and countries will be enormous, there’s still a lot of uncertainty surrounding the exact scale of AI and automation’s impact. AI and automation are nothing if not disruptive; job positions will surely change overnight (if they’re not eliminated) and entire companies are going to be forced to pivot in ways that they may be yet to realize.
AI and Automation Bring Uncertainty. Your Global Expansion Should Not.
It’s impossible to say just how widespread AI and automation’s impact will be—even within a single country. And that uncertainty is more than enough for businesses that are also considering taking their operations global. That’s why partnering with seasoned expansion professionals is essential.
Through our International PEO (Professional Employer Organization) solution, also known as Global Employer of Record, Velocity Global has helped hundreds of companies realize their global expansion goals. As an agile alternative to entity establishment, International PEO enables you to hire virtually anywhere—in any of the more than 185 countries in which we have capabilities—all without the costly and time-consuming overhead of an entity. International PEO offers the flexibility you need to quickly enter a market—and exit, if necessary.
If you’d like more information about the global markets investing the most in artificial intelligence and automation, or if you’d like to further discuss how International PEO can help your organization reach its global expansion goals, reach out to us today.