2023 has been a year of significant developments in the field of Artificial Intelligence, especially in Generative AI. Inspired by our own Webinar “2023 in Review: The Generative AI Journey – Predictions and Trends for 2024” which you can watch here, this article seeks to summarise these changes by providing a brief overview and analysis of the year’s progress as well as a look ahead to the potential and trends of 2024.

Understanding the direction of AI is critical for organisations and individuals alike as it continues to redefine boundaries and spread to multiple domains. This retrospective and prospective look gives insights into how AI is transforming our world, laying the groundwork for the year’s advancements and challenges.

2023 in Review

The year 2023 was a turning point in AI, with important technological advancements and strategic developments. The release of GPT-4 by OpenAI perfectly demonstrated this advancement, providing new capabilities in language processing, comprehension, and creation. Among others, we also saw the release of important models, such as Google’s Gemini, the French model Mistral AI and Meta’s Llama2.

Not only was the release of the models significant. During the same year, we could see an increase in capabilities, such as GPT4-V with features that allow image inputs to be analysed. More information about OpenAI services and their evolution can be found in this blog post: Unlocking New Possibilities with Azure OpenAI Services and Effixis. 

Additionally, the number of open-source models has increased. Even while such models are not as powerful as proprietary models like GPT, they encourage innovation, openness, and cooperation while providing cost-effective, customisable, and accessible solutions for a wide range of applications.

2023 also saw the integration of AI in a variety of sectors, ranging from improving customer experience in retail to driving research in health sciences, demonstrating AI’s rising relevance across industries.

Aside from technology advancements, the industry saw important regulatory reforms, especially in Europe (EU AI Act) and the United States (Executive Order), which established new frameworks for AI governance and ethical norms. Other countries, such as Canada, Switzerland, India,… are also debating how to regulate AI, and we should expect many more to follow suit by 2024.

Industry Impact

AI developments echoed throughout all industries in 2023. Among many others, here are a few that Effixis has worked on:

• AI-powered analytics have transformed risk assessment and customer service in the financial sector, allowing more precise and personalised banking experiences.

• AI’s rising skill in diagnosis and treatment planning has been noticed in the healthcare business, suggesting a future of more precise and individualised healthcare.

• Human resources departments used AI to improve talent management and employee engagement methods.

• AI has allowed predictive maintenance in industries such as heavy machinery, improving operating efficiency and safety.

These discoveries highlighted artificial intelligence’s transformational potential in optimising corporate operations and service delivery across several areas.

2024 Predictions

As we approach 2024, the AI ecosystem is set to evolve further, with numerous themes taking centre stage:

• The growth of multimodal AI models is expected to result in more complex and seamless interactions, better combining language, images, and sensory input.

• The rise of open-source models will democratise AI advancements by providing public access to cutting-edge technology and cultivating a worldwide community of contributors.

• Large Vision Models will become more common, improving machine perception and allowing for more complex interpretation of visual input in a variety of industries.

• Small Language Models will develop as efficient alternatives for specialised applications, providing advanced AI benefits without the resource intensity of bigger models.

• Transparency and privacy will be emphasised by business and regulatory organisations, as will ethical AI.

• We anticipate major improvements in AI technology, particularly in areas such as augmented reality and quantum computing, which have the potential to revolutionise AI’s capabilities and applications.

These patterns point to a year in which AI’s impact will grow, providing fresh solutions to new challenges.

Challenges and Opportunities

Despite the bright expectations, 2024 will also bring its share of AI challenges.

Among these is guaranteeing data quality and integrity, which is critical for AI systems to perform properly. Another issue is retaining openness and explainability in AI decision-making while addressing bias and accountability concerns. Not to mention the rising debate over how to train data models in a sustainable manner – a debate that should and must take centre stage in 2024 to ensure that we are all aware of the environmental effect of such technologies and what we can all do to mitigate it.

These limitations, however, provide considerable opportunity for innovation, notably in the development of more robust, ethical, and user-centric AI systems.

The drive to solve these concerns will most certainly stimulate breakthroughs in AI governance, algorithmic fairness, sustainable development, and privacy-preserving technologies, all of which will contribute to the overall development of AI technology.

Conclusion

The AI journey in 2023 created a solid basis for the developments anticipated in 2024. The coming year will see AI’s further integration into numerous industries, accelerating innovation and bringing up new opportunities.

As AI advances, it has the potential to transform how organisations run and how people engage with technology. The rapid breakthroughs in AI not only demonstrate its ability to address complicated issues, but also emphasise the importance of using this powerful technology responsibly and ethically.

Looking ahead, AI’s trajectory in 2024 appears to be directed towards more game-changing advancements and significant applications, paving the way for a future in which AI is an intrinsic part of our lives.

Sources

_{[1] Effixis: 2023 in Review: The Generative AI Journey – Predictions and Trends for 2024. December 5, 2023.
[2] OpenAI: New ways to manage your data in ChatGPT. April 25, 2023.
[3] OpenAI: GPT-4V(ision) system card. September 25, 2023.
[4] European Parliament: EU AI Act: first regulation on artificial intelligence. December 19, 2023
[5] White House: Executive Order on the Safe, Secure, and Trustworthy Development and Use of Artificial Intelligence. October 30, 2023.}