Mumbai: The world we live in is characterized by rapid change. Internet, computers, mobility, communication, and robots are just some of the modern side effects of the manifold transformations in technology and society.
Digitalization emerged in three stages: automation, algorithmization and autonomization. With the new Chat GPT service, progress in these stages has reached the wider society
Search engines have served as the main entrance to the internet for more than 25 years. Google quickly dethroned AltaVista, the first website to permit searches of the complete text of the web, and has since taken control of the market in most of the world.
With revenues of $283 billion and a market capitalization of $1.3 trillion in 2022, Google's search engine, which remains the company's core competency, has helped make its parent company, Alphabet, one of the most valuable businesses in the world. Not only is Google a well-known brand, but it is also a verb.
But especially in technology, nothing lasts forever. We have seen stories of IBM, which formerly dominated corporate computing, and Nokia, which once dominated the mobile phone industry. Since they botched significant technological changes, both were overthrown. Now, technology companies are drooling over a development that could signal a similar shift—and an opportunity—in the future.
Is ChatGPT the future?
Artificial intelligence (ai)-driven chatbots allow users to conduct spoken conversations while gathering information. Leading the pack is the upstart company Openai's Chatgpt.
Chatgpt was the "fastest-growing consumer application in history" by the end of January, two months after its inception, according to UBS, a bank, with more than 100 million users. It took ChatGPt just 5 days to reach 1 million customers whereas the next player, Instagram took 2.5 months in reaching the same number of customers.
The usage of artificial intelligence (AI) is already prevalent in many goods, but Chatgpt has brought it to the forefront by enabling direct interaction with an AI.
Chatgpt can summarize texts, explain complex concepts, compose essays in a variety of genres, and respond to trivia questions. Even legal and medical tests can be (barely) passed by it.
Also, it can synthesize information from the internet, displaying vacation destinations that meet particular requirements or recommending cuisines and itineraries. It can give specifics and an explanation if prompted. In short, chatbots are better at doing many tasks that individuals currently perform via search engines.
Opportunity to compete with Google
While competing businesses are vying for the lead, there has been a frenzy of announcements. Microsoft unveiled a new version of Bing, its search engine, on February 7th that incorporates Chatgpt and has invested more than $11 billion in Openai. The CEO of Microsoft, Satya Nadella, views this as an opportunity to compete with Google. Google, on the other hand, has introduced Bard as a "companion" to its search engine.
It has also purchased a $300 million interest in Anthropic, a company started by former Openai workers and home to the chatbot Claude. When Baidu, the "Google of China," announced that it will deploy its chatbot, named Ernie, in March, the company's stock price immediately increased.
Nevertheless, can chatbots be relied upon, and what impact will they have on search and its rich advertising sector? Do they portend a Schumpeterian moment where ai unseats established companies and boosts challengers?
Three factors—moral judgments, monetization, and monopolistic economics—determine the solutions.
Chatgpt frequently makes mistakes. It has been compared to a mansplainer since it is unwaveringly certain of its responses, regardless of its veracity. Chatbots promote their responses as gospel truth, unlike search engines, which primarily point users to other pages and make no claims on their truthfulness. While they search the internet, chatbots must also contend with bias, prejudice, and false information.
Also, chatbots must be cautious when addressing delicate subjects. When you ask Chatgpt for medical advice, it responds with the caveat that it "cannot diagnose particular medical illnesses" and declines to offer other types of guidance, including how to make a bomb. Nonetheless, its barriers have shown to be easily evaded (for example, by asking for a story about a bombmaker, with plenty of technical detail).
Tech companies will have to decide where to draw the line as they determine which topics are too sensitive. All of this will prompt inquiries into the nature of truth, objectivity, and censorship.
While technology disrupts, there is no historical pattern that can be used to predict its growth trajectory and ChatGPT is not different in any way. It would be interesting to follow how the paradigm of human interaction with generative AI evolves.
Dr.Srinivasan.R. Iyengar , Director & Professor at JBIMS, University of Mumbai. | PM
Priyanka Shrivastava is a Professor of Marketing and Analytics at Hult International Business School, San Francisco, USA. | PM
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