Talking about the information technology business, Tom Siebel, C3.ai CEO, says that “when I got involved, about 1980, it was a $50 billion business worldwide.”
Some 40 years later, “it's a three and a half trillion dollar business with predictions that, in five years it will be a $9 trillion business,” he says. Even adjusting for inflation between 1980 and 2020, that represents an order of magnitude growth over 40 years. In real terms, the 1980 spending would represent about $157 billion in 2020.
Without question, firms and organizations now use much more computing and information technology than they used to, and so do consumers. Modern applications virtually could not operate without cloud computing, for example. Recommendation engines could not operate without artificial intelligence or machine learning or ability to mine insights from big data.
Also, most products these days make use of information technology as a value-added part of the user experience. In some cases, IT is an essential and core part of the user experience. That is part of the reason the phrase "digital transformation" is in vogue.
In a real sense, the term refers to the application of cloud computing, big data, the internet of things, and artificial intelligence to all business operations.
Beyond that, few of us could actually define what digital transformation means, beyond the purely functional definition of business processes enhanced by use of cloud computing, big data, IoT and AI in virtually every respect.
No comments:
Post a Comment