Decoding tomorrow's tech, today

Dear tech friends,

Welcome to the latest edition of?BCG X Files, our monthly tech-focused BCG X LinkedIn newsletter.?

Generative AI is no longer just a fantasy; it's becoming a reality and causing a profound disruption to industries and businesses across the world. The adoption of GenAI must be a top-down priority for leaders, as the companies not embracing its power can easily find themselves at an enormous cost and innovation disadvantage. Supported by ML algorithms, GenAI is transforming many functions in IT, engineering, sales, commerce, marketing etc.

No wonder GenAI has stolen the spotlight at this year's?Cannes Lions 2023?as it's unleashing a new wave of creativity and experimentation in marketing while changing the very nature of the role of CMO.

Our recent?survey?with over 200 CMOs from various sectors and countries revealed that they are optimistic and confident about the future potential of?this groundbreaking technology?in boosting productivity and creating a competitive advantage.

It's not surprising considering all the buzz and attention around GenAI models. For instance, ChatGPT reached 100 million users faster than any other technology, surpassing even Instagram's record. What is surprising is how deeply and extensively CMOs are exploring the transformative power, advantages, and possible risks of GenAI. Check out our survey's findings to see how CMOs are redefining marketing baselines for speed, efficiency, and quality.

Want to get the BCG X Files in your inbox every month? Just hit the subscribe button. Feel free to share your thoughts and ideas with us anytime in the comment section below.?

Enjoy!?

-Sylvain Duranton, Global Leader of BCG X

AI: The Return Of Marxist Class Struggle? |?Forbes - 3 min read

To truly understand the implications of AI, we can draw insights from "The Communist Manifesto" by Marx and Engels. Although the manifesto does not directly address AI, its sociological analysis of society is still relevant today.

What Smart Companies Know About Integrating AI |?Harvard Business Review - 18 min read

In this HBR piece, BCG's Silvio Palumbo and HBS's David Edelman explain the importance of personalization behind AI and what it takes to integrate AI tools and continually experiment in order to improve and refine customer journeys.

Chinese Start-Up’s Breakthrough Battery Technology Defies Cold Climate |? InsideEVs - 2 min read

Chinese start-up Greater Bay Technology, a subsidiary of Guangzhou Automobile Group, claims to have developed the Phoenix battery that addresses the problem of reduced range in cold weather for electric vehicles. The battery utilizes superconducting materials and thermal management, enabling it to heat from -4 degrees Fahrenheit to 77F in five minutes, charge in under six minutes, and offer a range of 621 miles (1000 kilometers).

The Chip Patterning Machines That Will Shape Computing’s Next Act |?MIT Technology Review - 11 min read

According to Technology Review, chip patterning machines are poised to revolutionize the semiconductor industry by enabling faster and smaller chips with improved performance. These machines use extreme ultraviolet light to create intricate patterns on silicon wafers, paving the way for advancements in areas such as AI, 5G, and quantum computing.

Responsible AI at a Crossroads | BCG - 3 min read

Recent advances in generative AI have created commercial pressure for companies to realize value from AI quickly, as well as public pressure to effectively manage its ethical, privacy, and safety risks. BCG and MIT Sloan Management Review conducted a global survey of executives to understand how companies manage this tension.

Managing the Risks of Generative AI | Harvard Business Review - 7 min read

This HBR article is authored by writers from the Ethical AI Practice at Salesforce argues organizations need to manage AI risks and use zero or first party data, keep data fresh and well labeled, ensure there’s a human in the loop, test and re-test, and get feedback.?

Tech Executives Call For Collaboration on Responsible AI framework | Axios - 2 min read

Axios reports on a new framework for responsible AI being developed by a coalition of major tech companies. The framework aims to address issues such as bias, transparency, and accountability in AI systems, highlighting the need for ethical standards and responsible practices as AI continues to advance.

Why AI Is the Next Big Bet for Climate Tech | Wall Street Journal - 2 min read

Optimized fish farms? Drones to track solar panels? Artificial intelligence is a focus in this $81 million venture-capital fund’s clean-energy investments. The Wall Street Journal’s Future of Everything interviews a VC focused on investing in climate tech.?

Fostering Innovation for Climate Neutrality | CEPR - 6 min read

Climate-related innovation has declined since 2012, while the deployment of existing technologies has grown, resulting from a policy emphasis on deployment rather than R&D. This column argues that science and technology policies targeted at early-stage technologies most needed for net-zero emissions are critical to accelerate innovation.

Cities Turn to ‘Extreme’ Water Recycling | Yale Environment 360 - 10 min read

San Francisco is at the forefront of a movement to recycle wastewater from commercial buildings, homes, and neighborhoods and use it for toilets and landscaping. This decentralized approach, proponents say, will drive down demand in an era of increasing water scarcity.

Robo Crops: Meet the Laser-Wielding, AI Machines Taking Over a Farm Near You | BBC - 7 min read

The article on Science Focus explores the potential of AI-powered robotic farming machines in agriculture. These machines can autonomously monitor crops, apply precision farming techniques, and make data-driven decisions to optimize crop growth and yield, potentially revolutionizing the future of agriculture.

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