DCO Report: GenAI Could Add $4.4 Trillion to Digital Economy by 2040

The report puts forward recommendations to help stakeholders unlock the potential of generative AI with a focus on cross-sector collaboration.

The Digital Cooperation Organization (DCO), a global multilateral organization committed to enabling digital prosperity for all, has released a white paper to assist stakeholders in the digital economy in the public and private sectors unlock the potential of Generative AI (GenAI), which is expected to deliver up to $4.4 trillion in economic benefits annually by 2040 through boosting productivity.

The paper points out that some of the industries poised to benefit most from the booming technology include healthcare, which could benefit by up to $110 billion annually from GenAI tools and retail, which could benefit by $310 billion from AI.

According to the paper, the applications for GenAI for efficient public service delivery include dissemination of effective, accurate, reliable, and complete information, in addition to its application in decision support systems to aid policymakers and civil society to gather, analyze, and take strategic actions to boost the growth of the digital economy.

The paper, however, identifies ethical considerations, data privacy and security concerns, limited data availability, consumer trust deficit, potential copyright infringements, and the lack of comprehensive regulatory frameworks as key challenges in GenAI development and adoption. Furthermore, recommendations are proposed in several areas, including formulating ethical guidelines and national AI strategies, early AI adoption by the business community, and creating awareness and digital literacy of GenAI tools to address misconceptions.

GenAI tools are on the lips of every entrepreneur, venture capitalist, CEO, policymaker, and individual across the globe, because of all the potential

benefits it can bring. However, to effectively reap these benefits, it is critical for these stakeholders to make collaborative efforts to balance innovation and regulatory measures, ensuring sector growth, while promoting a safe and sustainable GenAI adoption. The paper is the latest in a series of initiatives related to AI, which is at the heart of the DCO agenda. DCO Member States signed and adopted the Riyadh AI Call for Action Declaration (RAICA) in 2022, reaffirming their shared goal of introducing a brighter future for all by harnessing AI’s potential to improve the lives of people around the world. The DCO is furthermore developing an ‘AI Toolkit’ to assist Member States in assessing their AI readiness, and to integrate AI into their business ecosystems to improve productivity, quality of services, and efficiency across government departments.

Generative AI holds immense potential to shape the future of our digital world and drive inclusive digital prosperity. Gen AI is projected to expand its market to $207 Bn by 2030. However, responsible development, ethical considerations, and data privacy are paramount. The white paper provides guidance to navigate these challenges and unlock the full potential of GenAI to revolutionize the sustainable and human-centric digital economy.

The white paper can be accessed through the following link: https://dco.org/library/

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