AI: The New Face of Business?
The global debate over the future of artificial intelligence (AI) has sparked intense discussions, with some seeing it as a game-changer, others dismissing it as a distraction from more immediately impactful technologies like generative AI. In 2023, agentic AI—the agents performing decision-making tasks and automating tasks beyond traditional AI—has emerged as a topic of concern, particularly raising questions about whether it will supersede the role of human decision-makers. While generative AI excels at creating images or generating text, agentic AI takes action, enabling tasks like driving or helping with daily decisions. This distinction raises the question of whether AI will replace humans entirely, which could reshape our future.
The viability of agentic AI hinges on several factors. On one hand, the industry is quickly scaling, as GPUs, AI accelerators, and cloud platforms continue to improve. These advancements threaten to drive AI adoption because they reduce the energy demands and computational power needed for complex tasks. For instance, the same level of computing power now can perform tasks previously deemed impossible, such as predicting financial defaults. This trend suggests that AI agents may become as foundational to business operations asiad computing wasn’t in 1990.
However, agentic AI poses significant challenges. While generative AI can create content, agentic AI must adapt and learn from data, execute decisions, and thrive autonomously. This level of autonomy, along with the need for real-time decision-making, complicates the process. For example, predicting market trends or optimizing supply chains requires agentic AI to process vast amounts of data and respond efficiently. These demands highlight the importance of building robust, data-driven, and task-focused agentic AI.
Despite the challenges, the potential benefits of agentic AI are substantial. Its ability to automate repetitive tasks, enhance decision-making, and enable personalized experiences is significant. For instance, virtual assistants like Google Translate and Alisto are already proving highly effective by delegating tasks to agentic AI. As autonomous chatbots and personal assistants gain traction, their role could become more central to customer service and customer experience.
In some industries, traditional AI frameworks, including generative models and machine learning, are still in place, while agentic AI is emerging as an alternative. For example, VR chatbots and automated loan approvals used by banks rely on agentic AI or combinations of models that integrate computational thinking into real time. These combinations are proving more cost-effective and practical, suggesting that agentic AI might become a reliable, scaled-up alternative to traditional AI in certain sectors.
The rise of agentic AI is also tied to technological progress. The efficient use of energy has become a critical factor in AI adoption, as companies invest far more in hardware than in algorithms. Additionally, the generation of better-quality data and smarter algorithms is driving the development of more effective agentic AI. For instance, improved data quality and compliance with regulatory requirements are paving the way for controlled and unbiased AI execution, which is essential for transformative applications.
Despite its immense potential, agentic AI faces significant challenges. Data security, privacy, and the need for human oversight in critical areas require attention. As businesses increasingly rely on AI, ensuring that organizations can effectively integrate and manage AI agents without compromising human roles is becoming increasingly complex. Regulatory challenges, particularly in finance and healthcare, highlight the importance of striking a balance between technological innovation and human oversight. For instance, regulatory bodies must ensure that AI systems behaving in ambiguous or harmful ways are subject to human judgment, which is essential to prevent misuse.
The ongoing debate around agentic AI reveals a deeper question about the future of business itself. As we navigate a world increasingly reliant on automation and AI, it is crucial to assess whether AI agents—once seen as tools for business—are becoming makers of new kinds of expertise. While clues point towards this transformation, the path is clear. Companies that integrate agentic AI in ways that enhance decision-making, optimize efficiency, and enable personalized experiences are better positioned to disrupt traditional economics, create new value ecosystems, and shape the future of business.
In conclusion, agentic AI holds prime importance in the evolution of business operations, offering new possibilities for automating and enhancing decision-making. However, its realization is contingent on overcoming significant challenges, including increased energy consumption, data costs, and the complexity of integrating diverse technologies. The rise of agentic AI could challenge the status quo, reshaping industries and reshaping the way businesses operate. The role of humans in regulating and overseeingagsentic AI remains vital, ensuring that AI agents are guided by ethical standards and resonate with the values of their users—especially in high-stakes scenarios. Ultimately, the question is not whether agentic AI will replace humans, but whether we choose to embrace it as a foundational force in our evolving tomorrow.
