Artificial Intelligence (AI) has reached an inflection point marked by the introduction of OpenAI’s Large Language Model, ChatGPT.
This development has initiated a paradigm shift in the understanding and application of AI that has implications across industries and raises new questions about societal and economic implications.
AI is already deeply integrated into digital products and services, from e-commerce, where “learn-to-rank” algorithms optimize product suggestions based on user data, to automated processes in document processing through optical character recognition (OCR). These specialized applications tend to be invisible components of a larger product or service and often remain hidden from the end user.
With OpenAI’s release of the large-language model (LLMs) ChatGPT 3.5 on November 30, 2022, that changed and a significant step was taken in the development and visibility of AI. ChatGPT became the fastest growing consumer software application in record time and already counted over 100 million users in January 2023.
The quality and flexibility of ChatGPT and other modern AI models enable content generation based on instructions (prompts) on a wide range of topics and issues. While the output format in the case of ChatGPT is text, other models, such as DALL-E, have the potential to generate highly realistic image data. And it’s only a matter of months, not years, before we see AI models that can create compelling video.
These developments are opening up immense opportunities across industries. In Germany alone, the potential is estimated at up to EUR 500 billion by 2028. This forecast is based on both new product innovations and efficiency gains and associated cost optimization.
Companies that both realize cost savings through AI and invest in tapping new revenue potential through AI can secure a competitive advantage early on. In doing so, it is critical to invest not only in technology, but also in employee training and ethically responsible implementation strategies. Only in this way can the full potential of AI be exploited and social acceptance ensured.
ChatGPT had more than 100 million users within two months
The potential of AI in Germany is estimated at up to EUR 500 billion by 2028
More than ⅔ of the AI potential in Germany is expected to come from cost savings
Prior to joining DevelopX in 2021, Chris had already gained entrepreneurial experience as founder of a start-up in the mobile fitness space and worked as Commercial Lead at an established software engineering boutique. There, he oversaw the implementation and evolution of complex digital products. Prior to that, Chris spent most of his career in management consulting, supporting clients in large-scale transformation and restructuring programs.
Chris studied technical physics at the Technical University of Munich. As a partner at DevelopX, he implements large-scale software development projects across industries and consults as an expert on the use of new technologies such as web3 or AI. Chris has a passion for decentralization and digital art.