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Understanding AI: Marketing Hype vs. Reality

Defining Artificial Intelligence in Today’s Landscape

In his college courses at Stanford University, Jehangir Amjad poses a curious question to his students: Was the 1969 moon landing a product of artificial intelligence? It may sound like a work of science fiction, but understanding the history of AI provides clarity. Amjad argues that many of the algorithms that contributed to the moon landing are precursors to today’s AI technologies. He suggests that defining ‘artificial intelligence’ is particularly challenging in the current landscape of rapid technological advancement.

Amjad asserts, ‘The beauty and the dilemma is, ‘what is AI?’ is actually very hard to define.’

The Surge of AI Companies

Swapnil Shinde, the CEO of AI bookkeeping software Zeni, has noticed a significant rise in companies describing themselves as ‘AI-powered’ or ‘AI-driven.’ He notes that while some companies genuinely utilize advanced AI, others merely claim to be AI-oriented without substantial technological integration. ‘It’s very easy to figure out after a few conversations if the startup is just building a wrap around ChatGPT and calling that a product,’ he states.

The Corporate Race for AI Implementation

Since early 2023, there has been a noticeable rush among corporations to implement AI technologies to maintain competitiveness. Theresa Fesinstine, founder of AI education company peoplepower.ai, emphasizes the importance of educating employees about AI’s capabilities to navigate this chaotic landscape. She cautions that companies may exaggerate the functionality of basic automation as advanced AI tools, particularly regarding the trending buzzword ‘generative AI.’

‘It’s predatory… people have a fear of being left behind,’ Fesinstine remarks.

The Concept of ‘AI Washing’

Ed Watal, founder of Intellibus, highlights a trend he calls ‘AI washing,’ where products are marketed as AI solutions despite lacking true AI functionalities. He explains that while predictive analytics might use AI technologies, they do not fit the purist definition of true AI, which includes learning algorithms capable of making informed decisions based on analysis.

Overpromising Capabilities

Amjad warns against companies that over-promise AI capabilities. ‘We should doubt wherever we start seeing claims of originality coming from AI because originality is a very human trait,’ he advises. While AI excels at recognizing patterns and generating ideas based on existing content, genuine creativity stems from human intelligence.

A Cautionary Note on Technological Hype

Experts agree that while AI holds promise, the public narrative surrounding its capabilities often overshadows reality. Amjad remarks that the current hype surrounding AI isn’t novel, referencing past technological trends like ‘Web3’ and cloud computing that saw similar marketing frenzies. ‘The hype cycle has actually existed in AI… for the last, maybe, 50 years itself,’ he concludes.