What is the future for AI in the industry? Ey-Parthenon survey raises need for trusted AI

Industry is one of the sectors where digital transformation is accelerating exponentially, industry confirms the need for certified or validated trusted AI solutions.

To enable institutions to define the lines of a future regulatory framework for a trusted AI, EY-Parthenon conducted a business case study on the subject in 7 industrial sectors in Europe, North America and Asia Pacific, which assessed and qualified key markets and usage cases that did not require maximum confidence before being deployed to industrial environments.?

This survey highlights an AI ecosystem in full structuring, supported nationally by France IA since 2017 and the Programme d'investissements d'avenir (PIA) through a major challenge "securing, reliability and certification of AI based systems" whose main objective is the "industrialisation of artificial intelligence" for critical systems.? On 8 November, an investment of 2.2 billion euros was devoted to AI for training and innovation in France.

The European Commission also published on 21 April, its "AI Act" project, aimed at making Europe the world pole of a trustworthy AI. The main common mission of this project is to promote the development of AI throughout the European Union, while addressing potential risks to the security and fundamental rights of citizens in some of its applications.

Julien Chiaroni, Director of the great challenge "securing, reliable and Certifying AI Systems" "at the General Secretariat for Investment (SIPI) said:

Key points of the study:

Heterogeneous and still prudent deployment of AI in the industry

While, on average, industrialists (all sectors combined) invest between 0.4% and 1% of their turnover (with technology, the Bank, health / life sciences and the automotive industry in mind) in projects involving artificial intelligence, industry remains cautious (or has little) to integrate AI components into industrial processes, products or services on a wider scale.

There are several reasons for this caution:

Sectors that invest in AI: automotive, Pharmaceutical, and Energy and networks

The study also examined the weight of investments in cases of AI use deemed critical, requiring a high level of confidence prior to deployment.

Nine priority industrial sectors were studied: aeronautics, insurance, automobile, banking, electricity and networks, rail, minerals and metals, oil and gas, and pharmaceuticals.

The AI budgets, including personnel costs, are heterogeneous according to the industrial sector. In the automotive and pharmaceutical sectors, the main players in the sector spend or invest between 0.8% and 0.9% of their turnover on AI projects, whereas the coefficient is lower in insurance or rail where the percentage is between 0.5% and 0.7% of revenues. On the other hand, the banking sector, which is a pioneer in this field, stands out with almost 1% of the turnover of the players dedicated to AI.

The AI budget of companies is growing sharply, estimated at more than €230 billion in 2020 worldwide (excluding internal staff costs) and growing by + 18% per year to reach more than €450 billion in 2024, thanks to the gradual adoption of AI in industry.

Guéric Jaquet, partner EY-Parthenon; declares:

Issam Taleb, associate director EY-Parthenon, adds:

The analysis and qualification of the main cases of AI use have thus made it possible to deflect a budget AI of confidence by industry confirming the presence of a large market in value, estimated at almost 52 billion euros in France out of the 7 sectors studied, particularly in mobility with the financial and energy sectors.