Most Fortune 500 companies see AI as 'risk factor', study finds
Over 56% of Fortune 500 companies now view AI as a risk, up from 9% in 2022, citing competition, ethics, and operations as major concerns, despite some reporting benefits.
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A recent survey reveals that over half of Fortune 500 companies in the U.S. view artificial intelligence (AI) as a significant risk, marking a dramatic increase from just 9% in 2022. The research, conducted by Arize AI, indicates that 56% of these companies identified AI as a "risk factor" in their latest annual reports. In contrast, only 33 out of 108 companies that discussed generative AI perceived it as an opportunity. The concerns primarily revolve around competition, ethical implications, and operational challenges, with over 90% of major media and entertainment firms expressing apprehension about AI's impact. Companies like Netflix and Motorola highlighted risks related to competitive disadvantage and potential operational failures, respectively. Additionally, Salesforce noted emerging ethical issues regarding data privacy and the financial unpredictability associated with AI investments. While many companies are wary of AI, a few, such as Quest Diagnostics and Cigna, reported positive impacts on customer service and operational efficiency. The findings underscore the growing recognition of AI's transformative potential and the accompanying risks that businesses must navigate.
- Over 56% of Fortune 500 companies see AI as a risk, up from 9% in 2022.
- Major concerns include competition, ethical issues, and operational challenges.
- More than 90% of media and entertainment companies view AI as a business risk.
- Some companies, like Quest Diagnostics, report benefits from AI in customer service.
- The findings highlight the dual nature of AI as both a risk and an opportunity for businesses.
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