Artificial Intelligence Applications and Impacts

This assignment delves into the current and future applications of Artificial Intelligence (AI), highlighting its influence across various sectors. It examines how AI enhances efficiency, productivity, and profitability in industries like retail and healthcare. The document also discusses the potential impact of AI on employment and explores ethical considerations surrounding its development and deployment. Furthermore, it presents predictions for the future of AI, including advancements in language translation, automation, and the potential for AI to surpass human capabilities.

Running head: ARTIFICIAL INTELLIGENCE
Artificial Intelligence
Name of the Student
Name of the University
Author Note

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Table of Contents
1.0 Introduction................................................................................................................................2
2.0 Discussion..................................................................................................................................2
2.1 Background Information........................................................................................................2
2.1.1 Specific type of artificial intelligence.............................................................................2
2.1.2 Important definitions......................................................................................................3
2.2 Creation of AI and development made..............................................................................4
2.3 Relevant facts about AI.........................................................................................................4
2.4 AI lifecycle............................................................................................................................5
2.5 Development cost..................................................................................................................6
2.6 Technology application.........................................................................................................7
2.6.1 Use of Artificial intelligence..........................................................................................7
2.6.2 Issues and corrective action was taken in Artificial intelligence....................................7
2.6.3 Industry impact...............................................................................................................8
2.7 Future consideration of Artificial intelligence.......................................................................8
3.0 Conclusion.................................................................................................................................9
4.0 Reference List..........................................................................................................................10

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1.0 Introduction
The AI began to develop from 1923 and in 1943 scientists developed neural networks
that are referred to as ‘thinking machine'. In 1980 to 2010, the concept of machine learning
began and in recent times, deep learning in machines is evolved (Glymour et al., 2014).
In this business report, the background of Artificial intelligence will be discussed that
highlight Specific type, Creation, Relevant facts and advantage and disadvantages related to
Artificial Intelligence. Moreover, technology application of Artificial Intelligence along with the
issues and corrective action will be represented. Lastly, the future consideration of Artificial
Intelligence along with some real-life example and future industry development will be
illustrated.
2.0 Discussion
2.1 Background Information
“The Logic Theorist” is the first AI program developed in the year 1955 and the father of
Artificial Intelligence is John McCarthy (World-Information.Org, 2018). The goals of AI are to
implement human intelligence in the machines and to formulate an expert system that can exhibit
intelligent behavior and advice its users.
2.1.1 Specific type of artificial intelligence
2.1.1.1 Reactive machines
Reactive AI’s reacts based on the current situation and they do not formulate memories or
have any reference to past memories for taking decisions in real-time (Bond & Gasser, 2014).

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Minton (2014) however argued that this type of AI cannot be easily changed if the situation
changes and thus their performance can be predicted easily as they behave same way with same
situation.
2.1.1.2 Limited memory
This type of AI possesses past memory but the disadvantage is that these machines
cannot learn from these experiences. Bond and Gasser (2014) stated that these kinds of machines
are used in autonomous cars.
2.1.1.3 Theory of mind
This AI machines are the future development, where a machine has their own unique
emotions and minds and learned experiences. Bond and Gasser (2014) stated that these robots
are planned to identifying faces and detect eye movements.
2.1.1.4 Self-awareness
This fourth form of AI planned to have consciousness and they cannot recognize
themselves as human. Minton (2014) highlight that these AI will be able to express their desire.
2.1.2 Important definitions
Michalski et al. (2013) stated that Artificial Intelligence (AI) is referred to as the
simulation of human intelligence processes mainly through a computer system. Nilsson (2014)
furthermore depicted that AI is the ability of the machines or a computer system to accomplish a
task that are equivalent to the ability of intelligent being. Wenger (2014) furthermore stated that
the capability of a machine or computer system to imitate intelligent human behavior is Artificial
Intelligence.

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2.2 Creation of AI and development made
The first noted AI was Elektro robot in the year 1939 that responds to voice commands
(World-Information.Org, 2018). In the year 1943, study of artificial neural networks was
developed to establish nervous activity in the machines (World-Information.Org, 2018). The
cybernetics is developed in the year 1948 and in 1949, Allan Turing developed artificial
intelligence during the World War II (World-Information.Org, 2018). In 1961, UNIMATE was
developed which is a mass-produced industrial robot and was used in general motor company
(World-Information.Org, 2018). The development made in AI room mass production to
information retrieval system can be seen through the LUNAR robot that evaluate chemical-
analysis data and compared to form information based on moon rock. Moreover, in 2002,
Defense Advanced Research Projects Agency (DARPA) formulated autonomous robots that do
not require any human supervision.
2.3 Relevant facts about AI
Millington and Funge (2016) stated that the artificial intelligence has three important
elements in their lifecycle- data, discovery and deployment.
Image 1: Elements of AI’s lifecycle

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(Source: Millington& Funge, 2016)
Data- Goertzel (2014) stated that traditional data from relational databases like XML and CSV
are obtained. Moreover, hadoop systems are used for storing huge amounts of data. These phase
also comprise of streaming of data that includes sensors IoT and social media.
Discovery- Exploring and modeling data is the main focus areas in this phase and this may
results in expansion of data. (Ensmenger, 2012) also stated that different types of analytics are
used in different places and it combines multiple sources.
Deployment- Obtaining value from analytics is important in the third phase. The program is
developed in such a way that it understands and develops algorithms.
2.4 AI lifecycle
Image: AI lifecycle
(Source: Nilsson, 2014)
 Prepare- In this phase, all the required details of the project needs to be gathered so that
the program for the AI can be generated.

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 Explore- The information can be explored through the company’s details so that the
formulated AI can accomplish the desired objectives for the company.
 Model- A prototype model is needed to be developed so that the client can check whether
or not the AI is suitable for performing the desired functionality.
 Implement- The generated code is implemented to finalize the AI model. All the gathered
data and information are also incorporated in the programs for AI (Bellegarda, 2014).
 Act- The development of AI is started in this phase after finalizing the report and
prototype for the AI.
 Evaluate- The performance of the developed AI has been evaluated for a specific time
interval.
 Ask- Feedback from Client is gathered in this phase.
2.5 Development cost
Project Phases Cost
Discovery & Analysis Phase $11,000
Prototype Implementation $25,000
Minimum Viable Product Costs vary between $35’000-$100’000
Product Release $10,000
Table 1: Development cost for AI project
(Source: Created by Author)

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2.6 Technology application
2.6.1 Use of Artificial intelligence
The application of AI is used in the field of gaming, vision system, language processing
and handwriting and speech recognition.
Gaming- Automated chess player that can evaluate every possible movement in chess after every
move by the opponent. In 1977, IBM developed Deep Blue Chess Program that was able to beat
Garry Kasparov, world chess champion (Millington & Funge, 2016).
Fraud Detection- Wrong input of signature or speech in banks or other high secured areas can be
easily detected by programmed AI.
Smart Cars- These AI can look ahead of the road and change decisions based on the situation.
Development of self-driving cars on pilot projects is examples of such AI.
Online customer support- The chat support system is often incorporated with AI that can
manage customer query and answer with accurate answers.
2.6.2 Issues and corrective action was taken in Artificial intelligence
The most impotent issue is a loss of job that is planned to resolve by allocating human in
other work like the development of AI programs for other innovative practices. The human
resource can also be utilized for management of business relation that AI cannot accomplish.
Another issue is a high cost in the formulation of AI. This can be overcome by
incorporating the production line to manufacture the parts of AI. This way, the import cost can
be reduced.

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2.6.3 Industry impact
Utilization of IT leads to greater productivity and high profitability. Bellegarda (2014)
stated that machines will complete a work with more efficiency in lesser time than humans and
with accuracy.
2.7 Future consideration of Artificial intelligence
The AI machines can translate languages more efficiently by 2024. The operation of the
retail sector will also be completely performed by AI by the year 2024 (Goertzel, 2014).
Image 2: AI milestones for the future
(Source: Goertzel, 2014)
It is also predicted that by the next 40-year time frame, AI will become better than
humans. AI is planned to replace the doctors in the near future. The current example is the
collaboration of Google Deep Mind with Moorfields Eye Hospital. They are programmed to
accomplish critical human issue like macular degeneration.

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3.0 Conclusion
Currently AI is used for assisting human in airports, delivering products to the destined
location. In future the AI application can be used in retail store so that more customers can be
addressed. AI can also be used in academic institutes that can provide them a versatile source of
information.