Why AI Now: Unpacking the Driving Forces Behind the Artificial Intelligence Explosion

Sep 26, 2023 | Blog, Uncategorized | 0 comments

AI’s Meteoric Rise: The Perfect Storm of Computing Power and Data Abundance

The concept of artificial intelligence (AI) is not new; in fact, it dates back 67 years. Neural networks, which form the foundation of generative AI (think ChatGPT or MidJourney), were first introduced in 1965. However, the recent explosion of AI advancements and applications might leave you wondering, “Why now?” The answer to this intriguing question lies in the convergence of several driving forces that have enabled AI to evolve rapidly, unlocking its potential like never before, transforming the way we live, work, and communicate,

In this brief article, let’s explore the key factors that include computational doubling, global data doubling, decreasing costs to train AI systems, and increasing global AI investments that are behind AI’s accelerated growth and the transformative impact it has on our world today.

Computation Doubling: The Power of Moore’s Law

The first factor driving the AI explosion is the Law of Accelerating Returns, commonly known as Moore’s Law. This principle, named after Intel co-founder Gordon Moore, states that the number of transistors on a microchip double approximately every two years, leading to an exponential increase in computing power. Over the past 50 years, this trend has continued unabated, with computational power doubling year after year.

In the last five years alone, this increase in computational power has enabled the development and deployment of AI technologies that were once thought to be impossible. According to a study by OpenAI, the computational power used for AI training has doubled every 3.4 months since 2012, a staggering 35x increase compared to the traditional Moore’s Law trajectory.

The impact of this exponential growth is real as today, we have access to sophisticated generative AI systems that can process and analyze huge amounts of data, make complex decisions, and even mimic human-like behavior.

Global Data Doubling: A Treasure Trove for AI

The second factor contributing to the AI boom is the huge growth in global data. It’s now estimated that the amount of global data has been doubling every two years, with the total volume of data expected to reach 175 zettabytes (175 trillion gigabytes) by 2025, up from 22 zettabytes in 2018, according to IDC. This massive influx of data is not only large but also labeled, allowing AI models to learn, analyze and predict patterns more effectively.

The sheer volume of data available today is staggering, and AI systems are uniquely equipped to make sense of it all. This wealth of data is particularly beneficial for large language models or LLMs (such as ChatGPT), as it enables them to better understand context and predict subsequent actions or outcomes. These systems are using massive, labeled datasets to gain a deep understanding of language patterns. As a result, AI systems are becoming increasingly adept at tasks like natural language processing, image recognition, and prediction.

For instance, GPT-3, one of the most advanced language models, was trained on 45 terabytes of text data, allowing it to generate human-like text with incredible accuracy. The exact amount of data the new GPT-4 was trained on is not publicly available. However, it is likely that GPT-4 was trained on an exponentially larger dataset than GPT-3, which would contribute to its improved performance and understanding of context.

This data-driven approach has enabled AI to tackle complex problems and deliver unprecedented levels of accuracy and efficiency. By harnessing the power of data, AI is revolutionizing industries like healthcare, finance, and transportation, creating new opportunities for growth and innovation.

AI Training Costs Decreasing: Affordable Innovation

Another driving force behind the AI explosion is the decreasing cost of training AI systems. Over the past five years, the cost of training AI models has decreased by a staggering 99.5%, making it more accessible and affordable for businesses and researchers alike. This reduction in cost is primarily due to advancements in hardware, such as graphics processing units (GPUs) and tensor processing units (TPUs), which have made it possible to train AI models more efficiently and at a lower cost. This reduction in cost has made AI technology more accessible and affordable, allowing businesses of all sizes to leverage AI for a wide range of applications.

Lower training costs have also fueled innovation in AI research and development. As AI training becomes more affordable, researchers can experiment with larger models and more complex algorithms, pushing the boundaries of what AI can achieve. This, in turn, has led to significant advancements in areas like natural language understanding, computer vision, and reinforcement learning.

One example of this cost reduction can be seen in the development of OpenAI’s GPT-3. While training the model still required significant resources, the cost per text prediction decreased by a factor of 10 compared to its predecessor, GPT-2.

Global AI Investment Increasing: Fueling the AI Revolution

The final factor driving the AI explosion is the is the surge in global AI investments towards research and development. According to Statista, global spending on AI is projected to reach $110 billion by 2024, up from $37.5 billion in 2019. Corporations, governments, and venture capitalists are currently investing in AI, recognizing its potential to drive innovation and revolutionize industries. For instance, according to a PwC report, AI adoption in healthcare is expected to generate up to $6.6 trillion in value by 2030,

This substantial investment has accelerated the development and implementation of AI technologies across various sectors, from healthcare to finance and beyond. It not only funds cutting-edge research and development but also supports the growth of AI startups, accelerates the deployment of AI solutions, and fosters collaboration between industry leaders and academia.

Furthermore, the global race for AI dominance has spurred governments to allocate significant resources to support AI research, infrastructure, and workforce development. These investments aim to position their countries as leaders in the AI landscape, recognizing the technology’s potential to drive economic growth and create new opportunities for their citizens.

The AI Boom: Embracing Change and Seizing Opportunities for a Brighter Tomorrow

To sum up, the current AI surge can be traced back to four primary driving forces:

  • Exponential growth in computational power
  • Doubling of global data
  • Declining costs of AI training
  • Rising global investments in AI

These factors have converged to create an ideal environment for AI innovation, paving the way for cutting-edge technologies that promise to revolutionize various sectors and become indispensable in our day-to-day lives, altering how we work, live, and engage with our surroundings.

As AI progresses at a breakneck speed, it’s crucial for companies, governments, and individuals to grasp the consequences of these advancements and adapt accordingly. By keeping up with the latest AI trends and seizing the opportunities AI brings, we can tap into the immense potential of this game-changing technology to spur progress, unlock new possibilities, and shape a better future for everyone.

With the ongoing escalation in computational power and data accessibility, coupled with falling costs and swelling investments, AI’s capacity to tackle intricate challenges, enhance efficiency, and enrich our world will only expand. We are experiencing a thrilling era of rapid AI evolution, and one can easily anticipate more groundbreaking progress in the years ahead.

So, as we stand on the cusp of the AI revolution, let’s embrace the transformation and delve into the vast potential AI provides. The future is here, and the opportunities to seize upon are boundless. Through sustained investment, research, and collaboration, AI will undoubtedly continue to reshape our world and redefine the boundaries of what we once thought possible.