Use of AI and Its Impact on Business: Updated Evidence from a Firm Survey

         
Author Name MORIKAWA Masayuki (Vice President, RIETI)
Creation Date/NO. August 2019 19-J-045
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Abstract

This study, based on an original survey of Japanese firms, presents evidence on the use of AI, big data, and robots as well as firms' perception about the impacts of these new technologies on business and employment. The major findings can be summarized as follows. First, the number of firms already using AI and big data is small, but the number of firms interested in using these technologies for their business is large and increasing. Second, the use of AI and big data is positively associated with the share of highly educated employees, but this relationship is weak for the use of robots in the manufacturing industry. Third, the use of the new technologies has a strong positive association with the innovation probability of the firms. Fourth, the majority, and an increasing number of firms view the impact of these new technologies on their future business positively. Fifth, relatively large numbers of firms expects that the use of these new technologies is likely to reduce their employees.