**Artificial Intelligence (AI) in B2B Applications: A Shift in Business Operations**
**The Transformational Power of AI and AWS**
Artificial intelligence, specifically generative AI, has attracted significant attention for its innovative applications in various consumer-oriented fields. However, Victor Basta, the CEO and founder of DAI Magister, the capital advisory arm of international development company DAI, believes that AI’s most exciting applications lie in its potential for business-to-business (B2B) applications.
In an email to Fortune, Basta compared AI to Amazon Web Services (AWS), highlighting its conceptual similarity as a platform for human effort. He emphasized that AI, like AWS and cloud computing before it, has the potential to fundamentally reshape business operations in ways that may not be immediately apparent.
AWS revolutionized the IT landscape by reducing the need for physical servers and providing cost-effective cloud storage solutions. This democratization of computing power enabled companies, regardless of size, to concentrate on their core competencies, adapt swiftly to market changes, and create innovative business models. Basta sees AI playing a similar role by enabling startups and small businesses to access powerful computing resources at a fraction of the cost, driving their success.
**AI as a Catalyst for Startup Growth**
Before AWS, even the largest companies struggled to access the computing power that is readily available today. Basta highlights the democratizing effect of AWS, which allowed startups such as Stripe, Lyft, and Airbnb to become industry-leading companies by harnessing the computing power they might not have afforded otherwise. In fact, AWS has been hailed as the “ultimate case study in corporate innovation” by Fortune editor-at-large Geoff Colvin. Basta predicts that AI will bring about a similar transformation by automating tasks that currently require substantial manpower, enabling early-stage companies to scale without a hefty budget.
CEOs, leveraging AI, will be able to expand their businesses without raising as much capital as they currently do. Moreover, AI will revolutionize the way employees perform their tasks, making them more efficient and accurate. According to Basta, basic administrative functions such as monthly financial accounts, transaction analysis, contract summaries, and employee tracking can be effectively automated in the near future, with only a minimal number of personnel needed to review the outputs.
**Enhancing Employee Roles with AI**
Basta highlights the fact that while AI has the potential to supplement existing work, its primary goal is not to replace human workers but rather to enhance their capabilities. Drawing parallels with chess masters who use AI programs to practice against, he emphasizes the impact of AI on software developers. AI can now generate code and check it for bugs, allowing developers to focus on system design and high-level architecture.
In response to the question of whether AI will replace workers across the board, Basta firmly asserts that it will not. Instead, employees will need to improve their skills and adapt to the changing workplace, utilizing AI as a tool to enhance their roles.
**The Global Impact of AI**
Recent developments in AI technology, such as Alphabet’s Bard and OpenAI’s ChatGPT, have sparked discussions about the far-reaching effects of this revolutionary technology. Goldman Sachs estimates that AI could potentially increase global GDP by 7% over the next decade. Moreover, the World Economic Forum predicts that AI will create 69 million new jobs within the next five years while eliminating 83 million, resulting in a net decrease of 14 million jobs. These figures highlight the evolving nature of business and the substantial impact AI is expected to have across various industries.
Through the lens of software coders, Basta emphasizes that although the total number of developers may decrease, those who adapt and embrace AI will have more rewarding and fulfilling careers.
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