We are in the midst of a technological metamorphosis. The rapid evolution of Artificial Intelligence (AI), Cloud Computing, and Digital Transformation is reshaping industries and our perception of what’s possible. The convergences and new use cases arising from these advancements are the hotbeds of IT innovation, triggering a transformative ripple effect across the business landscape.
As I look at the state of affairs, I realize that we are all part of this technological revolution, not just as consumers of it but as those shaping the future.
My thinking is somewhat influenced by Foundry’s 2023 State of the CIO survey. Despite the economic uncertainty, the survey reveals a whopping 91% of CIOs plan to maintain or even increase their tech budget this year. We are no different as business owners like me realize that to compete, we need to be driven by technologies like data analytics, AI, and others that enhance our work and the customer experience and offer new revenue streams to modernize legacy environments.
Evaluating risk and making bets on what’s next have also emerged as top priorities for most CEOs, including myself. That’s why looking at the landscape from what is now being adopted by big businesses but allows smaller ones to be more nimble and agile as a boutique has me constantly looking at what will shape the directions taken when adopting and implementing new technology.
As we navigate this technological revolution, we’re seeing more developers skilling up in the cloud, blockchain, and machine learning. These three are among the most searched topics by developers keen on mastering in-demand technology. Blockchain queries alone have seen an 80% annual increase since 2010, with cloud and machine learning not far behind.
Though disruptive, these technologies are already reshaping the business world with disruption often resulting from merging existing technologies rather than introducing something entirely new. Mashups are nothing new. They have been around as long as we’ve had API’s.
But the convergence of rapidly advancing 5G wireless capabilities, cloud computing, edge computing, and AI advances are poised to trigger disruptions across industries and use cases. This was something deeply discussed at last month’s VON: Evolution, and those thoughts and conversations continue to echo in my mind.
So, what are the technologies that I believe will disrupt the status quo in the upcoming year? There are many, but here are a few that come to mind:
**AI and Data Privacy/Security**
AI’s widespread adoption is raising eyebrows and prompting the need for guidelines and protections around its use, especially in sensitive areas such as education where young minds are involved. We cannot ignore the explosive popularity and interest in AI as it continues into 2023, can we be so ignorant not to know we need some guardrails against misuse? AI is already driving sophisticated new security threats. We must be prepared for more advanced scams, identity theft incidents, and convincing deep fakes. While AI certainly poses challenges, it can also be a part of the solution. For instance, AI-enabled automation, like ‘ask-IT’ and ‘ask-security’ chatbots, can easily and accurately fulfill routine IT and security needs. Blend this with Blockchain-aided 2FA, and you will have something bold, new, and possibly unbreakable.
**Generative AI – A Data Goldmine**
Generative AI solutions, like ChatGPT and Google’s BARD, are set to revolutionize how enterprises extract the maximum value from their data. Until recently, assimilating vast amounts of data and summarizing that knowledge into something actionable was a herculean and expensive task. Large language models are now making this much more feasible.
**Chatbots – The New Power Players in CX/EX**
Chatbots, once a novelty, are becoming powerful tools for handling internal requests and assisting external customers. This year, I predict we will see vast improvements in this area, driven by large language models, revolutionizing how businesses utilize their data. As ChatBots collect and learn more, they will begin to be even more pinpoint accurate, speeding up the answer to more than the routine. They will begin to answer the complex questions more accurately.
Beyond just offering a channel for customer queries, I believe AI chatbots are ready to prove their true worth in enhancing both customer and employee experience. Until recently, chatbots have been a source of frustration for many, but this year, I see significant improvements on the horizon. In fact, I envision chatbots moving beyond just customer service and making their mark in content and marketing applications too.
Moreover, large language models are set to usher in a new era for chatbots, enabling them to efficiently handle data from various sources such as finance systems, CRMs, and support platforms.
This means chatbots will be able to answer questions without the need for hand-built semantic models or explicit instructions about where the data should be fetched from. This will significantly enhance their efficiency in delivering answers to both customers and employees.
**Blockchain – Building Business Cases**
Blockchain financial products are set to disrupt the market in the near future. They can offer decentralized financial services with almost instant KYC/AML procedures and lower fees, thereby addressing some of the biggest pain points in the traditional finance system. As the banks and financial regulators see how secure these new approaches can be, we’ll see less time and money needed to be spent on security and more time and investment spent on enhancing the customer experience, developing new services, and providing more benefits for less cost.
Blockchain has always held great promise, but I expect to see it truly disrupting traditional finance systems this year.
Having worked with multiple FinTech companies over the years, one public, two acquired, and another heading in that direction, I also believe that blockchain technology can resolve many challenges in the traditional finance system, such as centralization, lengthy KYC and anti-money laundering procedures, high fees, and other points of friction.
Decentralized financial services powered by blockchain can make KYC/AML almost instantaneous and more cost-effective. The comfort level of decentralized finance (DeFi) continues to grow as more executives see that offering more secure, open, and efficient alternatives to traditional financial systems is really in their best interest. As a result, we can expect to see more innovative solutions for lending, insurance, and exchanges, all leveraging the power of blockchain.
Hitting even closer to home, I see the Blockchain set to make waves in the telecom market, which is projected to reach $16.48 billion by 2030. The rise in security concerns, high demand for fraud management, 5G implementation, and the increasing number of blockchain consortia are all factors driving this growth.
**SEO – How We Discover**
SEO today is largely reliant on human keyword analysis aided by intelligence tools, followed by human-created content targeting these keywords. But the advancements in AI will soon automate this process.
I predict that by the end of 2023, new AI-language model applications will emerge beyond chat, drastically changing our approach to online content. These changes will envelop us in how we not only write or produce content, design web pages, or structure a video but what we include as much as what we exclude.
**To Your Health**
One sector that is especially ripe for digital transformation is healthcare. The COVID-19 pandemic has greatly accelerated this trend. Telemedicine and remote healthcare services have revolutionized patient care, making it more timely and efficient. Hospitals are now relying more on emerging technologies, from electronic medical record systems to handheld tablets for staff members. When I look back at my EOBs and credit card statements monthly, I’m personally amazed at how during COVID, I used virtual medical services more than going to the doctor.
For routine matters like getting prescriptions issued, especially when working internationally, or just to get advice on medical matters that popped up a WebRTC-based video call was far easier and faster than going to the medical office. Now only if we could do that for the dentist. Even for eyeglasses, once I had my prescription, I was able to select my frames online without having to leave the house, thanks to Warby Parker’s virtual try-on engine.
Investments in the healthcare industry nearly doubled to $57 billion in 2021, led by telehealth and mental health. Tech companies are increasing their focus on healthcare, while digital health startups are also growing rapidly. Better aggregation and data analysis enable more informed insights and potential prediction and disease modeling. AI is now being more widely used to support areas including diagnosis, clinical decisions, monitoring and treatment, and workflow.
**Sustainability – For a Better Planet**
As we become more aware of the impact of our actions on the planet, sustainability is becoming a major priority for IT leaders. Leading organizations are innovating new ways to balance economic growth with environmental responsibility. In fact, Gartner’s report on strategic technology trends for 2023 suggests that investments in sustainable technology can create greater operational resiliency and financial performance while providing new avenues for growth.
I believe that the biggest disruptor this year isn’t technology at all but the business case for sustainability. Just as digital transformation did a few years ago, the focus on sustainability is leading to a new architecture that democratizes data, enabling companies to optimize their business and sustainability performance.
**The Rise of The Machines: AI-IOT**
Lastly, I see great potential for the Internet of Things (IoT) as it matures and converges with other technologies. IoT has brought a wave of applications across industries. Retailers use IoT to make the shopping experience more efficient and automated, while supply chain managers leverage IoT to get a clear end-to-end picture of processes and timelines. IoT devices are used to identify customers more accurately and confidently in the banking and fintech sectors. ATMs, lottery ticket stations, and video gaming all need to be connected. As 5G and Fixed Wireless expand their reach into buildings, we’ll see greater use of IOT based 5G backup and failover, making sure that uptime is truly 24/7 and not just wishful thinking.
The fusion of IoT and AI is set to revolutionize various sectors. In agriculture, AI-powered IoT devices can monitor crop and soil health, predict weather patterns, and automate irrigation and fertilization, leading to increased yield and sustainability. In smart cities, IoT and AI can help optimize energy usage, improve traffic management, enhance public safety, and deliver more efficient public services.
Now, let’s delve deeper.
**The Need To Federate**
In the realm of AI and machine learning, we’ll see more advanced use of **federated learning**. This is a concept where machine learning models are trained across multiple devices or servers holding local data samples without exchanging the data. This approach preserves privacy and reduces communication costs. With growing concerns over data privacy and security, federated learning is set to gain prominence. It has vast potential in industries like healthcare and finance, where privacy is of paramount importance.
**Living on the Edge**
Furthermore, edge computing is going to be a game-changer. It brings computation and data storage closer to the devices where it’s being gathered instead of relying on a central location that could be miles away. This means faster response times and reduced bandwidth use. When combined with IoT, edge computing can process data from smart devices more efficiently. This could revolutionize industries that require real-time analytics, like manufacturing, transportation, and healthcare.
**The Year of Quantum Computing**
Talking about quantum computing, it has been on the horizon for a while, but 2023 could be the year we see substantial progress. At VON: Evolution, James Tagg, inventor of the touchscreen and former founder of Truphone, spoke about his garage-built quantum computer. Quantum computing offers unprecedented processing power, capable of solving complex computational problems much faster than conventional computers. Its potential applications range from cryptography and optimization to machine learning and materials science. We can expect to see more robust quantum algorithms and simulations, better quantum hardware, and improved quantum software platforms.
**Keeping Things Secure**
Cybersecurity will continue to be a significant focus, with AI and machine learning playing vital roles in threat detection and response. AI-driven security systems can analyze vast amounts of data for abnormal patterns and behaviors, enabling quicker identification and mitigation of potential threats. We’re likely to see advancements in AI-powered predictive analytics, which will help organizations anticipate and prepare for potential cyber-attacks.
Augmented Reality (AR) and Virtual Reality (VR) are other areas where we can expect significant advancements. These technologies have already started showing their potential in education, healthcare, and entertainment. In 2023, we might see more practical applications of AR and VR in industries like real estate, retail, and tourism. Furthermore, the convergence of AR/VR with AI could lead to more immersive and personalized experiences.
2023 is set to be an exciting year for technological innovation. As AI, blockchain, IoT, quantum computing, and other technologies continue to advance, become less costly, and also mature, we’ll see even more disruptive applications across industries, creating opportunities for business growth and societal impact.