Wednesday, May 29, 2024

AI: For Good or Evil?

AI has significant momentum now and contributes positively to businesses and everyday life. Today, industry and government leaders warn of the dangers of unbridled AI. So, let's peel back the onion on AI for Good and AI for Evil. Next, let's see what it takes to steer AI positively with as few side effects as possible. We all know all advancements come with good and bad effects. Look at the automobile, for instance. Autos take us to many places, but driving them unsafely without following the rules of the road leads to injury and even death.



AI Brings Good for Many Industries.

· Healthcare uses AI for preventive medicine, advanced diagnosis, personalized treatment plans, and drug discovery.

· Education uses AI for lifelong learning, adapting to changing career changes, shifting to new opportunities, and personal interests with virtual tutors and dynamic personalization.

· Transportation uses AI to optimize the planning and operation of smart cities, support various levels of autonomous vehicles, and optimize eco outcomes within the need for goal-directed efficiencies.

· Finance uses AI for investment management, wealth management, and fraud detection.

· Customer Service uses AI for hyper-personalization, sentiment analysis, and virtual assistants.

· Agriculture uses AI for sustainable farming by optimizing resource uses, automated or not, reducing waste, developing crops for climate change, and practicing sustainable soil management.

· Environmental Protection uses AI to design and implement effective climate change mitigation strategies, biodiversity monitoring, and resource management.

· Manufacturing uses AI in smart factories for optimization, efficient supply chains, and innovative material discovery.

· Entertainment uses AI for immersive experiences, innovative content creation, and audience engagement.

· Accessibility uses AI for inclusive design, enhanced communication across language barriers, and assistive technologies for the less capable.


AI Brings Good for Businesses

Businesses, in general, are using AI for enhanced decision-making in both a proactive and reactive manner. They are Improving the customer experience with AI while increasing their operational efficiency in a balanced fashion with AI. Marketing and sales are expanding their reach through better targeting and predictive forecasting. Businesses are creating new products and services with AI while better supporting their existing portfolio of products and services. AI helps with human resources with better engagement and automated recruitment. AI helps with fraud detection, compliance, and speedier governance. Businesses leverage AI for better expense management and investment strategies. Organizations can predict customer churn and measure customer sentiment in real time. Speaking of real-time, threat detection and vulnerability management can take advantage of AI. Businesses can increase their productivity, revenue, and costs while leading in sustainability through resource optimization and sustainability. Companies can take great advantage of various types of AI.

AI Brings Good for the Consumer

Consumers are experiencing many benefits of AI today, and AI is leading to even more benefits. Personalization provides tailored recommendations, customized voice/language engagement, and satisfaction with 24/7 availability and quick responses to overall needs, not just transactions. The shopping experience is improving with virtual try-ons and augmented/enhanced reality. Health assistants with links to telemedicine will help with preliminary notice of symptoms and diagnosis. Financial advice will be provided to optimize customer goals, both long and short-term. Recommendations for targets in the tsunami of content emerging to help the viewing/listening experiences. Home management and security will benefit from AI as well. Consumers will benefit from sustainability suggestions as well. Civic engagement, cultural preservation, and mental well-being are also benefits.

It's hard to argue that AI is not used for good and that the expectations for more AI benefits are sky-high. Yet, at the same time, some horror is dribbling from under AI. There are bad actors out there trying to do evil with AI. Without all the rules of the AI road laid out yet, there is an opportunity for these bad actors. Some individuals use AI to gain advantage, leverage, and illegal financial gain. Some use AI to subvert power, weaponizing AI for offensive purposes.

AI Enables Bad Actors

· An early evil use of AI is for cyberattacks that target critical infrastructure, financial systems, or government systems for monetary gain, espionage, or sabotage.

· AI can bring social engineering and manipulation by using social engineering techniques to manipulate individuals, influence public opinions, and spread misinformation for financial or ideological gains.

· AI can perform mass surveillance, tracking individual movements, communications, and activities without their knowledge. AI can infringe on privacy rights and civil liberties.

· AI can power autonomous weapons and other forms of lethal weapon systems without human intervention. Drones or robotic soldiers are examples of weapons that could act alone or swarm to escalate conflicts or undermine international stability and security.

· AI can be used by adversaries, including cybercriminals, state actors, and terrorist organizations, to create a movement against established society.

· AI can inadvertently exhibit unintended behaviors or consequences that manifest as errors, biases, or impacts on individuals, organizations, or society at large.

· AI can be harnessed to perform financial crimes and fraud toward individuals or organizations.

· AI can be used to create deepfakes and misinformation to gain financial advantage or take down the reputations of individuals or organizations.

· AI can affect biases and exacerbate inequalities by targeting individuals or groups to displace people from jobs or make it hard to thrive.

· In the worst-case scenario, AI could pose existential risks to humanity if misused or developed with inadequate safeguards.

AI Enables Power Plays

Geopolitical competition will drive rivalries among nations, pushing them to vie for dominance and try to leverage AI for innovation for economic gain and technological and military advantages. While not all this is bad, it can be taken to extremes, leading to new global pressure points and chess matches. Some of it could lead to arms proliferation and a new arms race. The amount of cyberwarfare and spying is bound to increase. The real risk is the need for clear regulations, guidelines, and treaties. There is likely to be a blurring of AI for military and civilian uses that will also muddy the mix. There is also a real danger of a supervillain or group leveraging AI to extort or unduly influence others.

Net; Net:

The fear of Evil AI will not drown out Good AI for now. The control of autonomous weapons, cyber warfare, aggressive intelligence, and psychological operations should be planned for the future. Establishing international regulations, norms, and treaties is the best way forward. Agreeing on what ethical AI development is and monitoring it with transparency. A move towards more “human-in-the-loop” for lethal actions is needed. Establishing robust oversight and governance and promoting peace and diplomacy with AI can work for us. The proactive measures of establishing robust international regulations, enforcing ethical guidelines, promoting transparency, and fostering a culture of peace and diplomacy can mitigate risks and bad behavior from bad actors. The alternative is mutually assured destruction, as we have with nuclear powers.

Additional Reading:

Definition of AI










Thursday, May 9, 2024

Stepping Up the Music Game

 Most of my friends and family know about our new album, "Ready or Not," but its reach has surprised all of us. The numbers are encouraging, and the comments about the quality really excited us. We reached a worldwide audience and 62K streams on Spotify alone. See the charts below for the last 28 days' worth of activity on Spotify. Just search for Jim Sinur on your favorite streaming service. If you don't stream much, click here for the new album. The most popular songs are Forgive, Mercy Me, and Kinder, according to the numbers (see below). My favorites are Cry for Creation and Restoration. 

The AI Gen videos are also drawing folks into the music. In fact, we have had some fortune with longer songs because of the compelling nature of the videos. Click here for all the videos completed to date. The two newest are Mercy Me and Restoration. My favorites are Cry for Creation and Forgive. The core team of Ethan Foxx, Jimmy Caterine, Pete Crane,  and I hope you enjoy the creativity, core stories, and professional engineering. Primarily, we hope to see you dancing to some of these tunes someday. 





Tuesday, May 7, 2024

When AI Goes Inside Out

AI is progressing well in many industries, assisting people or independently completing tasks. These uses of AI are often operational and can usually be embedded in business processes, software, or devices. We all, except for Luddites, expect the continued success of AI on focused tasks at the operational level. In fact, AI is progressing so well that it is catching up with humans for specific skills and combinations of skills (see Figure 1) from Stamford University below. It all sounds good, but the story could be different as AI ventures out to handle tactical management and executive strategy. AI will break out of processes and devices to combine various types of AI to assist and eventually automatically manage critical adjustments for businesses. It will happen as AI bootstraps success, leaving us with new challenges and driving us into AI fear zones. It is exciting and points to higher benefit levels for AI, but is this a Pandora’s Box?


Sample AI Operational Successes

· Automated Data Analysis: AI algorithms can analyze large volumes of data or content of various types to extract valuable insights and trends, enabling businesses to make data-driven decisions more efficiently.

· Process Automation: AI-powered robotic process automation (Smart RPA) can automate repetitive tasks such as data entry, invoice processing, and customer support inquiries, freeing up employees to focus on higher-value activities.

· Predictive Maintenance: AI can predict equipment failures by analyzing sensor data and historical maintenance records. It enables businesses to schedule maintenance proactively to minimize downtime.

· Dynamic Pricing: AI algorithms: AI algorithms can analyze market conditions, competitor pricing, and customer behavior to optimize pricing dynamically, maximizing revenue and profitability.

· Inventory Management: AI can optimize inventory levels by forecasting demand, identifying slow-moving items, automating replenishment processes, and reducing stockouts and excess inventory costs.

· Customer Service Enhancements: AI-powered chatbots and virtual assistants can handle customer inquiries, provide personalized recommendations, and assist with problem-solving, improving the overall customer experience.

· Fraud Detection: AI algorithms can detect fraudulent activities, such as payment fraud, identity theft, and account takeover, by analyzing patterns and anomalies in transaction data, reducing losses and risk.


We all know that AI is progressing steadily towards an even brighter future for business applicability. AI is picking up skills fast and will equal human capabilities in any individual skill. See Figure 1 for a sample set of skills that AI is progressing.



                                            Figure 1 AI Skill Levels Over Time

This progress is impressive, and when combined with algorithms, goals, and boundaries, AI will go broader, deeper, more complicated, more complex, and more independent. AI will go from task to function while taking on tactics and strategy. Instead of just inside known and established processes, AI will break and challenge coordination and management tasks at the tactical level, eventually working its way into shaping strategy. Thereby putting AI in a position to respond to situations as AI deals well with emergence (complexity); this is an inside-out moment for AI that will start in the coming months and years. I expect the "inside out" trend to begin with processes, as AI can quickly move from tasks to management. The inside-out processes will likely start with monitoring, leading to notification and then to suggestions for action. Eventually, AI will take action with or without permission. 

The transition of AI from inside operational processes to outside processes typically involves the evolution of AI applications from narrow, task-specific implementations to broader, tactical, or strategic capabilities that impact various aspects of the business that cross traditional organizational boundaries. It includes the following:


· Scaling AI Across the Organization

· Integrating with Enterprise Systems

· Cross-Functional Collaboration

· Strategic Alignment and Executive Sponsorship

· Data Governance and Quality Assurance

· Continuous Learning and Improvement

· Partnerships and Ecosystem Collaboration

AI at the Tactical Level

At the tactical level, AI can contribute to essential cross-functional efforts and processes that require constant monitoring and adjustments that are tied to goals (static or emergent). Examples include:

· Customer Relationship Management: Besides the usual inquiry aid, AI can segment customers and proactively predict customer churn.

· Sales and Marketing: AI can drive better lead identification and suggest products/services to those leads. By analyzing activity, AI can target offers individually or with campaigns.

· Supply Chain Management: AI can forecast demand and market trends and tune logistics optimization dynamically while optimizing transportation costs.

· Operations and Manufacturing: AI can optimize production schedules, suggest improvements, and manage energy efficiency.

· Human Resources: AI can streamline recruitment and analyze employee performance for career development.

AI at the Strategic Level

At the strategic level, AI can contribute to the organization's executive level as it monitors the attainment of conflicting goals while maintaining profitability and reputation as a good community member locally and a great place to work while appealing for future investment. It is where emerging conditions must be monitored and intercepted and, where appropriate, changes. AI can start with being a sentinel, but bigger toles may be possible regarding the freedom to act independently. Examples include:

· Market Analysis and Competitive Intelligence: AI algorithms can analyze vast amounts of data from diverse resources to provide insights into market dynamics while identifying opportunities and threats from the competition.

· Forecasting and Planning: AI-powered predictive analytics can forecast future trends, demand patterns, and potential business outcomes, which might mean adjusting capital and resource allocation, inventory management, and production/service planning to optimize efficiency and reduce risk.

· Risk Management and Mitigation: AI can analyze various event patterns and data to identify potential risks and vulnerabilities, such as fraud, cybersecurity threats, and market fluctuations. It allows for proactive risk mitigation and safeguarded assets.

· Strategic Decisions: While AI might not make the decisions initially, AI-powered decision support systems can simulate various scenarios and the likelihood of them happening and have a plan of action. Whether it is a new market or investment, AI can help.

· Product and Service Innovation: AI technologies can be baked into offerings to create new products and services. Examples include computer vision, machine learning, voice-driven sentiment analysis, and intelligent service bots.

Net; Net:

AI will be going inside out and will have more influence on business outcomes at our organizations' operational, tactical, and strategic levels. The question is, what level of freedom will AI be given to act independently, especially if we get into an AI arms race in individual industries or between countries with very different value systems? It is inevitable unless AI has some overall meltdown. I have yet to see AI taking over from humans at the highest level of risk. The question for me is, "Will AI only be used for GOOD once it is given freedom, or Will it also be used for EVIL?" That is a topic for another day. AI will be used successfully as it has proven helpful in many use cases, with more coming. Will the winds of change rip the inside-out umbrella of AI out of our hands?