Previously, in Part I and Part II of this AI and the Automobile series, I’ve looked at the amazing opportunities of AI, including the history and potential impacts on automotive sales. Now, let’s focus a bit on the potential negatives of this new technology, starting with the inevitable, and sometimes valid, fears associated with it.
The concerns vary from “Will AI take my job?”, all the way up to “Will AI kill humanity?”
Right off the top, let me assure you that the risk of AI destroying humanity is still very far away.
Things are moving fast, and at the moment, it is hard to see beyond 4-5 years ahead of us. But at least 2 or 3 other massive breakthroughs are still required before full Artificial General Intelligence (aka AGI) could emerge. AGI is that stage where the machines may develop their own goals and get smarter and more powerful than humans on all topics. Hopefully, at that time, we’ll still have an ON/OFF button.
But in the short term, the risk of seeing the power of AI in the wrong hands is real, and all of the big AI engines are developing tools to prevent misuse of them. However, already we have seen some problems with AI. One example is deep fakes.
AI can put real people in situations where they did not do or say the things that look completely realistic, and many people are fooled by the deep fake. Here is an example of Pope Francis wearing a very expensive designer ski jacket. Obviously, this is totally fake, but it looks scarily real:
Fake!
Deep fakes are a real concern with the upcoming American elections in 2024, as it’s likely that candidates at all levels will use AI to falsely portray their opponents in a negative fashion.
Deep fakes can be fun, though! On the 4th of May (May The Force!), we played around with the technology at Autozen. Here is Darth Vader depressed from the difficulties of selling his car on his own:
And here he is after successfully selling it for a good price and with no effort, (thanks to Autozen, of course!)
One area in which AI could potentially be very risky is in expressing empathy, as AI could be used to exploit emotional vulnerabilities to manipulate individuals. This would require a longer discussion, but fake empathy could be a powerful and damaging tool in the wrong hands. By understanding human emotions and tailoring responses accordingly, AI could sway opinions, influence decisions, or even deceive people for malicious purposes.
More generally, determining the ethical boundaries of AI's empathetic expressions is challenging. AI systems must make decisions about whose emotions to prioritize, navigate conflicting emotional states, and adhere to societal norms. Decisions made by AI that affect the emotions and well-being of individuals may raise ethical dilemmas and controversies.
By addressing these risks and implementing appropriate safeguards, we can harness the benefits of AI empathy while minimizing its potential negative consequences. But of course, regulation only applies to consenting states and organizations.
How many jobs will be killed by AI?
As AI technologies continue to advance, there is a growing fear that they could replace or outperform humans in various tasks and industries.
The potential for job loss arises from the ability of AI systems to perform routine and repetitive tasks, as well as more complex functions with a high degree of accuracy and efficiency. AI algorithms can analyze vast amounts of data, recognize patterns, and make decisions or take actions based on that analysis. This capability has already led to automation in industries such as manufacturing, logistics, and customer service, reducing the need for human labor in certain areas.
We will see this in the automobile industry for sure. Positions in finance, operations, sales, and marketing are all being impacted by AI, and it will be very tempting for management to optimize cost, quality, and speed by using more and more AI in addition to, or in some cases, as a replacement for human workers.
While AI can eliminate certain roles or tasks, it can also create new opportunities and job categories. Historically, technological advancements have often disrupted certain jobs while creating new ones that were previously unimaginable.
Proactive measures like education and retraining are important to manage the transition effectively, but the impact on the job market is complex. It is not clear yet what these new roles could be and whether the net balance of new jobs minus transitioned jobs will be positive or not.
Opportunities for AI in the Automotive Sales Sector
In the automotive sales sector, AI is opening up all sorts of opportunities for those willing to embrace this new, powerful technology. Here are some examples - feel free to reach out if you’d like to discuss some of them more in detail!
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Vehicle valuation: improve used car valuation with AI
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Offer a more fluid and efficient pricing model based on current supply and demand
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Predict the demand for a given make/model/year based on many parameters
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Smart inventory management
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Recommend the best car based on a customized consumer profile
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Use customer data and preferences and AI help deliver a more efficient personal marketing message to consumers
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Image recognition for vehicle identification: look at the car and guess the year/make/model and maybe even trim
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Virtual car customization
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Fraud detection
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Virtual showrooms available 24/7
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AI vehicle comparison
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Predictive maintenance
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Automated skyway drive scheduling
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AI vehicle search filters
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Dynamic financing options
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VR/AR tutorials
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VR and AR test drives
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Virtual assistant for sales people
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Predictive sales analytics
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AI image editing
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Autonomous car simulator
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Marketing videos
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Optimized insurance quotes
Conclusion
The power of AI is revolutionizing the world of automobiles. AI technologies have the potential to enhance safety, efficiency, and convenience in the automotive industry. From autonomous vehicles to advanced driver assistance systems, AI is enabling remarkable advancements (by the way, see where Full Self Driving is with Tesla right now).
AI can analyze vast amounts of data in real time, improving vehicle performance, predicting maintenance needs, and optimizing energy consumption. Additionally, AI-powered algorithms can enhance traffic management systems, thus reducing congestion and improving overall transportation efficiency.
As AI continues to evolve, its integration with automobiles holds the promise of safer roads, increased sustainability, and enhanced mobility for individuals and communities alike.
From a retail standpoint, the power of AI is transformational as well. AI technologies are revolutionizing the way dealerships operate, from inventory management to customer engagement. AI-powered chatbots and virtual assistants can provide personalized assistance to customers, improving their buying experience and increasing sales. AI algorithms can analyze vast amounts of data, enabling dealerships to optimize pricing strategies, predict customer preferences, and target marketing efforts more effectively. Additionally, AI can streamline administrative tasks, freeing up dealership staff to focus on customer interactions. Embracing AI in the automotive retail industry can lead to increased efficiency, improved customer satisfaction, and ultimately, greater profitability for car dealerships.
In conclusion, I think we are about to witness in our lives a Cambrian-like explosion of new entities we have not imagined yet, all with the goal of delivering better services. These human-like “aliens” are going to help in domains we have not imagined yet. I can’t wait to see what happens!
