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Why businesses aren't adopting AI (yet)

ALSO: AI is now writing laws, and a $2 Billion victory in court

Read time: 2.5 minutes

Welcome back, Superhuman

Businesses are talking the talk when it comes to AI but are they walking the walk? Nearly 50% of businesses on the S&P 500 mentioned AI on earnings calls this year — but less than 5% of US businesses actually use AI according to a recent Census Bureau survey.

And a new AI tool from Chinese tech giant Alibaba is bad news for fashion models and social media influencers everywhere.

TODAY’S MENU

  • Why the AI hype isn’t translating into business results (yet)

  • Alibaba’s new AI tool turns images into realistic videos

  • Funding: The biggest deals in AI this week

  • Tutorial: Learn new skills with ChatGPT

  • AI Generated Images: Superhero Fantasy Cover Art

NEWS

Today in AI & Tech

Image Source: Rockstar Games

  • Huge: Intel wins verdict to overturn $2.18 billion patent-infringement award, overturning one of the largest verdicts in the history of U.S. patent law.

  • Gametime: GTA 6 trailer drops to huge fanfare and 2025 release date. GTA 5 is the second highest-grossing video game of all time with over $8 billion in sales.

  • Whoops: Brazilian city enacts law secretly written by ChatGPT.

  • Hard Times: Spotify lays off 17% of its workforce.

  • The Resistance: Over 50 companies including Meta and IBM create alliance to challenge dominant AI players.

AI AT WORK

Why the AI hype isn’t translating into business results (yet)

America’s top businesses can’t stop talking about AI. A recent analysis from NBC News found that AI was mentioned as often as interest rates on recent earning calls from S&P 500 companies.

But something isn’t adding up. According to a recent survey from the Census Bureau, just 4.4% of businesses in the US reported using AI to produce goods or services in the past 2 weeks. More importantly, only 6.9% of surveyed businesses think they’ll use AI in the next 6 months.

Why is there such a wide gap between expectations and reality when it comes to businesses adopting AI? One reason is a lack of qualified talent. A recent Amazon study found that 75% of surveyed businesses looking to hire AI-skilled talent were having trouble finding the right people

Another major barrier to adoption is safety. Security breaches have been a hot topic in recent months, with many companies like Apple and Samsung banning employees from using some generative AI tools at work. And the controversies aren’t dying down. Just this week, ChatGPT and Amazon’s new Q chatbot have been at the center of stories alleging security flaws.

While businesses remain upbeat about AI, the reality is that significant barriers have to be overcome before businesses adopt the tech widely. In a recent interview, OpenAI’s COO Brad Lightcap argued that AI is still in its experimental stage, and that expectations of the technology delivering substantive business change in one fell swoop are premature.

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NEXT IN AI

Alibaba’s new AI tool turns images into realistic videos

AI-generated video is on the brink of experiencing its ChatGPT moment. After Pika announced its lifelike text-to-video generator last week, Chinese tech giant Alibaba delivered another surprise by announcing Animate Anyone, a new AI tool that turns still images into videos.

The technology is likely great news for businesses that will be able to use the new tool to create realistic videos cheaper and faster for commercial purposes. But fashion models and social media influencers may not share the same level of enthusiasm, as many may find themselves competing with tools like Animate Anyone for work.

BUZZWORD BUSTER

Federated Learning

A technique for training an AI model via multiple independent sessions, each using its own dataset. This method enables multiple actors to build a common and secure AI model without sharing data. Federated learning is used in industries such as pharmaceuticals, defense and telecommunications.

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See Elle in action on Product Hunt here

FUNDING & ACQUISITIONS

The biggest deals in AI this week

  • Tola Capital, investing in AI-enabled enterprise software, closes largest fund at $230M. Read more

  • AstraZeneca signs deal worth up to $247 million with U.S. AI biologics firm Absci. Read more

  • Together lands $102.5M investment to grow its cloud for training generative AI. Read more

  • Mytos raises $19 million to bring an industrial revolution to biology. Read more

  • Stability AI explores sale as investor urges CEO to resign. Read more

5 AI Tools to Supercharge Your Productivity

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iMean: Automates deal search, price comparison, and data collection for efficient online shopping with AI.

Watto AI: Write high-quality documents effortlessly. Seamlessly integrate your data from multiple platforms and generate documents in a single click.

TUTORIAL

How to learn any new skill with ChatGPT

Want to pick up a new hobby or skill in the new year but not sure where to start? Try the prompt below to get a training plan that takes you from beginner to pro:

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AI-GENERATED IMAGES

Superhero Fantasy Cover Art

Source: u/Theblasian35 on Reddit

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ADVERTISE WITH US

Acquire new customers and drive revenue by partnering with Superhuman

Superhuman is the world’s biggest AI newsletter for businesses and professionals with 500,000+ readers working at the world’s leading startups and enterprises. Companies like Amazon, Calendly, and 1Password feature their products in Superhuman. Main ads are typically sold out 4 weeks in advance. You can book future ad spots here.  

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