Three-quarters of the world’s €94 trillion in gross domestic product is made up of heavy industries, such as manufacturing, material production and extraction, and logistics. At the same time, generative AI is still a largely untapped opportunity for these traditional sectors.
An economic imperative
A recent McKinsey report highlights the substantial potential of generative AI in creating additional value for the global economy. With total economic benefits ranging from approximately €5.7 trillion to €7.4 trillion, generative AI could create value above what could be unlocked by other AI and analytics. For Europe, the integration of generative AI is not just an opportunity — it’s an economic imperative.
AI is reshaping the future of business
First and foremost, leveraging the power of generative AI is about staying competitive on the global stage. European industries have long been the backbone of the continent’s prosperity and the heated global competition brings the risk of losing any established competitive edge. Simultaneously, it also brings a distinct opportunity for leapfrogging in adopting AI technologies. In Europe, a diverse range of advanced industries, such as machinery, automotive, and agriculture, have the potential to reinvent themselves as generative AI is reshaping the future of business.
Europe stands at a crossroads where it must bolster its industrial operations with resiliency, flexibility, and agility to respond to ever-shifting market conditions. The COVID-19 pandemic revealed unforeseen vulnerabilities in global supply chains that depend on human contact.
Generative AI could enable labor productivity growth
The emerging AI technologies offer a chance to address these. Generative AI solutions can drastically accelerate productivity, generate supply chain efficiencies, reduce operating costs, enhance sustainability, as well as reduce exposure to tight labor markets in an economy where the labor pool is growing ever more slowly.
According to the McKinsey report, generative AI could enable labor productivity growth of 0.1 to 0.6 percent annually through 2040.
The power of generative AI lies in its scalability
Is Generative AI ready as technology for industrial scaling? It’s an unfolding reality but one thing is for certain, companies that get in early on this technology stand to gain the most. For industrial firms, keeping up isn’t just smart — it’s imperative.
We are in the midst of a technological revolution comparable to the internet in the late 1990s. Yet, the trajectory for generative AI is set to be steeper with adoption swifter than anything we’ve witnessed with the rise of companies like Amazon and Google during the dotcom boom.
This isn’t a speculative trend like the metaverse or cryptocurrency — it’s a definitive game-changer. We’re on the brink of seeing new billion-dollar ventures emerge, from startups to established firms, all leveraging the creative power of generative AI. It’s clear that companies need new ways to collaborate, as no single organization can independently build all the necessary capabilities and solutions.
Lead image: Photo by
The WEBFI algorithm actively curates and presents current news from the Internet, delivering it in both written and video formats on our platform. Unlike many other news sources, WEBFI Network - News Balance Security is committed to a user-friendly experience. We refrain from displaying advertising within our content, avoid any redirects to external sites, and meticulously filter out any graphic content deemed unsafe, sensitive, or private. Our primary goal is to provide visitors with a distraction-free and secure environment, ensuring they receive the news they seek.
Importantly, WEBFI Network does not collect any personal information from our visitors, and we do not engage in newsletter subscriptions. We take pride in remaining entirely advertiser-free, thanks to the support of our contributors and our dedicated hosting service partners. It's crucial to note that the opinions and content presented on our platform do not necessarily align with WEBFI NETWORK's opinion, philosophy, or vision. We strongly uphold the principle of freedom of speech, welcoming a diverse range of perspectives and ideas.
🌐 Discover News Balance 🇺🇲 - Your Round-the-Clock Source for Unbiased News!
Experience a continuous stream of comprehensive, unbiased news coverage 24/7/365 with News Balance 🇺🇲. Our carefully curated playlist ⏯ delivers a harmonious blend of national and global politics, cutting-edge tech updates, weather forecasts, noteworthy events, and captivating entertainment news.
The best part? No subscriptions, registrations, or downloads required. Enjoy an ad-free news experience with News Balance 🇺🇲.
"Introducing Unstoppable Private WebFi Websites – Your Forever Digital Haven.
Experience a lifetime of ownership with WebFi – where your digital presence is a lifelong investment. Embark on your journey to own a private website for life.
Our private servers set the gold standard in security and performance, ensuring your website stays in top form. With our lifetime license, the days of fretting about hosting renewals are behind you.
Unlock your very own WebFi space granting you a perpetual haven for your projects, free from the burden of recurring payments. Your sole financial commitment? Domain annuities to your domain provider – nothing more!
Choose WebFi and own your digital future, secure, simple, and everlasting."LEARN MORE