Survey finds organizations leveraging AI, IoT, other technologies to develop own solutions
Enterprises are increasingly leveraging modern technologies like artificial intelligence (AI), machine learning, and the Internet of Things (IoT) to create their own digital solutions to gain competitive advantages over business rivals, according to a recent study by Microsoft.
The Lowdown: While most organizations look to tech vendors like Microsoft for solutions that leverage the cloud and other technologies, many are now embracing what CEO Satya Nadella in 2018 called “tech intensity,” the idea of companies innovating themselves to create their own solutions.
The Details: Microsoft surveyed 700 U.S. executives and tech decision-makers to measure to what extent they’re embracing the tech intensity concept, which the software giant said gives enterprises an edge over competitors at a time of rapid adoption of the cloud, Software-as-a-Service (SaaS), and other trends fueling digital transformation.
Among the key findings in the report:
> Tech intensity: 73% of companies already are building their own IP using modern technologies.
> Top technologies: 39% said they’re using machine learning, while 37% said IoT. The other top technologies being leveraged are AI (32%), blockchain (29%), and mixed reality (21%).
> Advantages: 75% of respondents said that leveraging tech intensity is the best way to build a competitive advantage now and 75% said it will be key to doing so in the future.
> Global impact: 43% said tech intensity will lead to better and lower-cost public services, 40% said it will mean improved connectivity in rural areas, and 40% said it will reduce corporate waste. Respondents also pointed to health care (36%), consumer safety (36%), worker safety (33%), and access to financial services (33%).
> Economic impact: 47% said tech intensity will mean faster GDP growth for richer, more connected, and more digitally sophisticated countries, and 36% said it will help level the global economic playing field. However, 19% said it will hurt economic growth in less wealthy, connected, and sophisticated countries.
The Impact: In essence, organizations that are looking to become greater digital companies are not only seeing the advantages of adopting what Microsoft and other vendors can offer in terms of modern technologies but also taking those technologies themselves to create their own solutions and basically become tech companies in their own right.
The Buzz: “Up until now, organizations have looked to technology companies like Microsoft to provide digital tools for improving efficiency, increasing productivity, and driving innovation,” said Deb Cupp, corporate vice president of worldwide enterprise and commercial industries at Microsoft. “Now, the organizations achieving the greatest success are applying these tools and technologies to invent their own digital solutions to solve complex business and societal issues. In the process, they’re essentially becoming technology companies themselves as they drive progress and innovation in their industries. We refer to this approach as ‘tech intensity,’ and we strongly believe it’s what will determine an organization’s future success.”