Is This The Worst Way to Integrate AI?

Making the most of AI requires the right approach and vision

Author

Peter Juel Jensen
September 26, 2023

Peter’s Pioneers: Checking the Nordic AI Pulse.
Welcome to the third edition of Peter’s AI Pioneers newsletter. Dive in for a roundup of this week's AI news, deals and insights covering the Nordic region.

📚 In This Issue:

  1. Is this the worst strategy to integrate AI?

  2. Medical AI Company Raises US$60 Million

  3. University Launches Its Own ChatGPT AI Solution

  4. News Roundup

  5. Cool Tools and Companies

  6. Podcast Insights: Sam Altman and the Norwegian Wealth Fund

  7. Upcoming: Nordic AI Events You Shouldn't Miss

Top Three News Stories

💼 Is this the worst strategy to integrate AI?

Earlier this year, the Swedish computer game company MindArk announced plans to replace 25 employees, equivalent to 40 per cent of the workforce, with artificial intelligence.

Primarily, graphic designers and "world builders" (track designers) were affected by MindArk’s changes. The company has said it will focus on "development of AI-generated virtual worlds," according to a press release. The company’s CEO recently addressed the decision in a note to the company’s shareholders, saying that:

“Using AI will help the teams tackle development in the most effective and time-efficient way possible. This resolute step forward has not been without its challenges, including the difficult but necessary decision to part ways with a part of our dedicated workforce. The restructuring has the added benefit of facilitating the MindArk Board's decision to resume payments of dividends to the shareholders in addition to steering MindArk towards sustained innovation and growth in the digital landscape.”

My take: On the surface, it might sound like MindArk has struck AI gold, using it to restructure its workforce and resume dividend payouts. However, I think there are several problems with the approach:

One is reputational. Replacing 40 per cent of the staff with AI has led to bad publicity - and MindArk has set themselves up for future challenges. Imagine trying to hire - or retain - employees aware of your recent track record.

Secondly, the staff you are counting on to drive innovation, efficiency, and growth are now wondering if they are next on the chopping block - especially if they innovate and find new ways of being more efficient.

Thirdly, using AI to cut staff levels is very short-sighted. It represents a fundamental misunderstanding of AI’s core potential - and challenges - across industries. AI is a way to augment, automate and innovate on tasks and responsibilities. Yes, it can make development processes more effective and faster, but it has limited innovative power on its own (at least for now). This requires skilled employees that have the AI capabilites that are already in short supply.

In other words, using AI to cut staff is often equivalent to getting rid of the people who can drive meduim and long-term innovation. As I wrote last week, a much better and more long-term viable strategy is to empower employees with AI, like Topsoe is doing.

🎓 Medical AI Company Raises US$60 Million

Danish medical AI company Corti has raised US$60 million in Series B funding. The company, which has developed software that will help reduce the number of misdiagnoses in the health sector, is valued at DKK 1.8 billion (about US$258 million), according to media reports.

The new capital is expected to go towards company growth, in relation to both team size and client base.

My take: The healthcare space is likely among the ones that will see the most significant benefits from AI. This applies to healthcare services, where AI can assist decision-making processes. However, some of the biggest potential may be found in relation to patient interactions and administration. According to one study, doctors can spend twice as much time on administrative duties as on patient interactions.

In this context, Corti's AI-driven Co-Pilot feature makes perfect sense. It has been educated on countless patient encounters and serves as an additional layer of observation and assistance. Beyond suggesting the right timing and type of care, Corti also offers documentation, coding, and quality assurance services. In short, I predict that they can find a lot of future success. And congratulations to founders Andreas Cleve and Lars Maaløe on the funding round!

🔍 University Launches Its Own ChatGPT AI Solution
Students and staff at the University of Oslo (UiO) can now use the GPT UiO service, the first GPT-based service in Norway that is legal to use in the education sector.

Interest is already high, and 2,000 users at the university have so far used the service.

GPT UiO has been developed by the University of Oslo. The service enables staff and students at the university to use Open AI's Chat GPT within the requirements set by UiO and the legislation for privacy and security. You are free to use the service for both studies and research. Users log in using Feide (a national solution for secure login and data sharing in education and research), which helps safeguard privacy.

“Many in the sector have said that they will develop such a service. Now we have done it and say that everyone can buy it from us. We have already received inquiries from universities, colleges and secondary schools,” Dagfinn Bergsager from UiO says.

My take: Being a first mover on AI, including with ChatGPT, can be a successful business model. If UiO can license the framework it has created for the use of ChatGPT, it stands to earn back its development costs - and much more.  

The Nordics are often characterised by high levels of rules and regulations that govern what you can and cannot do in specific industries. With many countries and regions looking at AI frameworks, there may be business ventures in developing frameworks for your own country or industry that can be adapted elsewhere. 

🎙Nordic News Roundup

  • The potental of AI in the shipping industry is huge - but core challenges remain. [DK] (Maritime Denmark)

  • Can AI help us solve climate change and the many issues it leads to? [SE] (Miljø Utveckling)

  • The food and beverage industry are reaping the benefits of artificial intelligence (AI). Its market value is expected to surpass $35 billion by 2028. [NO] (Finansavisen)

  • What will AI mean for the Nordic societies? [NO] (Dagsavisen)

🛠️ Cool Tools & Companies

  • Uisard Technologies from Denmark develops AI tools to transform user interface images into code for building apps and websites.

  • Tendium from Sweden Finds the best procurements for your business with AI-powered tender alerts.

  • Jobbutler from Denmark uses AI to help you write the perfect job application.

  • Aalborg University in Denmark has a guide for how to best use generative AI in academia.

Do you know cool tools or companies I should feature in the newsletter? Let me know!

🎧 Listen To

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Until next time,

Peter