AI Pioneers: China’s Rapid Growth in AI

A BCG report is referenced in articles by Fortune, Media Post, and the South China Morning Post about artificial intelligence (AI) in business, and how companies can use it to create business value. The report categorizes AI users into four market segments: Pioneers, Investigators, Experimenters, and Passives. It finds that AI Pioneers are more likely to use AI to create new revenue opportunities, rather than simply cut costs.  They also rapidly accelerate their applications of AI, moving forward from focused tests to enterprise-wide applications. BCG’s Martin Reeves, co-author of the report, says that there is a “feedback effect” in AI, where the more you know, the more you can do. Because of this, the gap between AI “haves” and “have-nots” is growing. According to the report, the key, is that Pioneers and Passives have a different view of the future. While 72% of Pioneers expect to use AI to increase revenue rather than reduce costs, only 48% of Passives feel the same way. China is an example of an AI Pioneer, aggressively investing in AI at a time when the race for AI superiority is in the spotlight around the world. China’s ambition is seen as a major driver of the new economy and a wake-up call for nations, industries, and corporate executives globally.