The rapid rise of artificial intelligence (AI) has been remarkable in terms of both its speed and impact. According to data from Goldman Sachs, investments in AI are projected to reach $100 billion in the U.S. and $200 billion globally by the upcoming year. In the previous year, investments in generative AI (GenAI) in private equity alone totaled $2.18 billion, doubling from the year before.
While the potential of AI is often highlighted for its vast promise, it is crucial to also consider the careers, lives, and communities that will be affected by its disruptions, particularly those who have been marginalized. For instance, a recent McKinsey study revealed that Black Americans are 10% more likely to hold jobs that are at risk of AI automation. The study also predicts that AI could disrupt 4.5 million jobs held by Black workers, potentially impacting billions of dollars in economic growth within the Black community. If current trends persist, the racial wealth gap could increase by $43 billion annually due to the new wealth generated by GenAI, as per McKinsey’s findings.
The history of technology adoption has shown how it can widen existing gaps and create new disparities. The introduction and widespread use of computers and the internet serve as prime examples. Economist Robert Solow’s statement in 1987 about the computer age not reflecting in productivity statistics is a reminder of how technology can evolve. While the digital age has significantly boosted productivity, it has also led to a digital divide that exacerbates economic disparities, particularly along racial lines. Failing to address this digital gap and provide equal access to resources and opportunities has limited engagement with these transformative tools.
As we embark on the next phase of the AI revolution and witness the initial waves of value creation, it is imperative to prevent further disparities. Empowering all individuals to participate and lead in this evolving field is essential for maximizing economic benefits. This empowerment begins with establishing infrastructure that supports AI accessibility for everyone, including education on AI tools, internet access, and computational power.
One exemplary initiative in this regard is the work undertaken by the Student Freedom Initiative (SFI). A critical first step involves bridging the existing digital broadband gap, particularly in Black communities and Historically Black Colleges and Universities (HBCUs), where 82% are located in areas lacking adequate broadband access. Closing this gap is vital to equip the next generation of diverse leaders with the necessary resources and technical skills to excel in the evolving tech landscape.
Furthermore, efforts must be doubled to provide education on AI tools, as a blend of critical thinking and technical expertise is increasingly essential for navigating GenAI effectively. Educational institutions, especially secondary and higher education establishments, play a pivotal role in imparting these crucial skills to students.
Collaborating with Stats Perform, SFI initiated an “AI in Basketball” course at Morehouse College, offering practical training in AI applications to prepare students for leadership roles in the field. This course also provided internship opportunities for students to apply their knowledge in real-world scenarios, enhancing their experience and competitiveness for AI careers. Plans are underway to expand these courses to other HBCUs, creating pathways for students to enter this burgeoning industry.
Another notable endeavor is internXL, which provides opportunities for free training and certifications in AI, data science, and machine learning, along with access to over 500 AI training courses. This initiative connects highly qualified HBCU students with AI professionals and employers for internships, enabling them to gain hands-on experience in the field. Internships are crucial, as studies indicate that internships within hiring organizations or related fields are significant factors in selecting candidates. These initiatives are instrumental in bridging access disparities and ensuring that underrepresented talent thrives in the rapidly growing AI sector.
Lastly, ensuring widespread access to computational power to run AI tools and applications is essential. Just as telecommunication advancements enabled the proliferation of smartphones, updating infrastructure to support computing technologies is crucial for harnessing the full potential of AI across all communities. This includes providing access to computing resources, energy sources, and advanced tools like large language models for machine learning and reasoning.
The economic impact of the racial wealth gap is projected to cost the U.S. economy between $1 trillion to $1.5 trillion from 2019 to 2028. By taking proactive measures to prevent AI from widening economic disparities and instead leveraging it as a source of generational wealth, we can envision a future where access to AI tools is universal, fostering prosperity globally. Safeguarding against racial biases in AI tools can unlock innovation and economic growth, potentially bridging existing gaps and creating opportunities for all.
With AI’s current trajectory, there are three distinct waves of opportunity for capturing value. The first wave benefits hardware vendors, while the second wave is expected to favor super scalers like Microsoft, Google, and Oracle, who can provide broad connectivity to computing resources. The third wave will benefit enterprise software vendors offering AI and GenAI solutions on top of existing products. Focusing on equity efforts in these verticals is crucial for the long-term growth of AI and GenAI.
Unlike past technological revolutions, we now have the foresight to shape the evolution of AI. As AI continues to evolve and companies scale products, develop features, and capture value, it is imperative to ensure that everyone has access to the benefits of AI. Failing to do so will hinder our ability to fully harness the potential of AI. At this pivotal juncture, we must think expansively and act decisively to build the necessary infrastructure for AI and GenAI enablement.
Robert F. Smith, the founder, chairman, and CEO of Vista Equity Partners, is actively involved in various initiatives aimed at promoting equity and access in technology. Serving as chairman of the Student Freedom Initiative (SFI) and Carnegie Hall, among other roles, Smith has been a prominent figure in advocating for educational and economic empowerment. His philanthropic efforts, including eliminating the student debt of Morehouse College graduates, have been recognized, with Smith being named one of TIME 100’s Most Influential People in 2020.
