Summary: According to a report from the UN trade and development agency, UNCTAD, AI will drive fundamental digital transformation around the globe in the coming years. However, AI could also affect nearly 40 percent of jobs worldwide. Furthermore, the report suggests that the AI market could reach $4.8 trillion by the year 2033.
Artificial intelligence is rapidly changing various aspects of our lives. It is powerful, transformative, and, to some, downright scary because it may upend many traditional business practices. The impact of artificial intelligence-powered tools on the job market is also a growing concern. The ongoing debate about whether AI serves as an ultimate force for good or bad will unfold over time. In the meantime, a new report from the UN indicates that AI will affect 40 percent of jobs worldwide in the coming years.
The AI market could reach $4.8 trillion by 2033
According to the UN trade and development agency UNCTAD, experts project that the global AI market will reach $4.8 trillion by 2033, roughly matching the size of Germany’s economy. In particular, the report cautioned that “AI could impact 40 percent of jobs worldwide, offering productivity gains but also raising concerns about automation and job displacement.”
While AI-powered tools are transforming economies and creating vast opportunities, they also risk deepening existing inequalities between nations. The report reveals that only 100 firms, mainly located in the US and China, account for 40 percent of global corporate research and development spending in artificial intelligence.
Furthermore, it noted that 118 countries – mostly in the global south – are absent from major AI governance discussions. This AI dominance at the national and corporate levels leaves many nations at risk of lagging in technological development, suggests the report.
UN recommends inclusive AI development
The UNCTAD report also mentioned that while AI poses risks, it has the potential to build new industries and empower workers – if the countries invest in reskilling and upskilling programs. The UN recommends inclusive governance and proposes measures like AI public disclosures, shared infrastructure, and open-source AI models.
Also, for developing nations not to fall behind, they must “have a seat at the table” when it comes to AI regulations and ethical frameworks. That said, the report concluded that AI can become a driver of innovation and prosperity, but only with international cooperation. Without it, AI may end up widening existing divides rather than closing them.
