Artificial Intelligence (AI) is proving to be a far greater challenge to business agility than previously understood. Companies that adapt quickly and manage AI integration effectively can reap enormous rewards. Yet too many are stuck in fear and inertia, not fully grasping the cost of standing still. For those that take the leap the opportunities are worth the effort to engage with this complex, transformative technology.
It might seem counterintuitive to say that businesses are struggling with AI adoption. Many companies already use AI for chatbots, customer service, marketing and data analysis. In fact, there are very few companies that aren’t exploring ways to deploy AI to automate mundane tasks and boost productivity. However, most are still limited to basic use cases, when AI has evolved dramatically. The tools now available are capable of reshaping not just workflows but entire business models.
A group of researchers under the AI 2027 initiative created a scenario outlining AI’s progression over the next few years. According to their forecasts, by end-2026 AI agents will be 10 times cheaper and capable of replacing certain jobs. By early 2027 AI systems may match top human experts in research engineering. Within months thereafter AI could outperform the best human coders 30 times — and later, 50 times — essentially transforming the nature of work.
While these predictions may seem extreme, the underlying trend is already visible. AI is disrupting not just routine tasks but also advanced scientific research. Take Nvidia, for example, a company that is now central to the global AI revolution. Having started with GPUs, Nvidia has evolved into a key player in AI-powered industries.
In 2022 Nvidia launched BioNeMo, a platform that accelerates drug development using AI. By analysing enormous data sets about protein and molecule interactions, BioNeMo can make drug development faster and cheaper than before. Even more fascinating is the possibility that BioNeMo can design new molecules that produce the reaction required for the creation of specific drugs. This marks a significant leap in drug discovery — scientists could no longer be confined to naturally occurring compounds but rather create what they need from scratch.
This leap in biotechnology offers a glimpse into AI’s potential across other sectors. For example, AI could help invent new materials that enhance solar energy efficiency, improve waste decomposition or create more resilient crops. The implications are huge, especially for developing economies such as SA.
These new-use cases for AI can also find expression in the public sector. SA’s excitement over digital visa systems is akin to celebrating email in the era of quantum computing. We should be investing in AI-enabled smart grids that adjust energy distribution in real time, or educational tools that adapt to individual student needs.
Recent floods in the Eastern Cape, which claimed more than 100 lives, highlight how AI could improve disaster prediction. With advanced pattern analysis AI could give earlier warnings and enable authorities to act in time to save lives.
AI’s benefits in public and private sectors are potentially revolutionary. We could build affordable housing faster, treat diseases more efficiently, and transform education. With AI-optimised ports, SA businesses would be able to export better, cheaper products thanks to AI-driven research & development.
The shift would change our national story from one of stagnation to one of growth.
So why aren’t businesses moving faster? There are legitimate reasons. Concerns about job losses are not unfounded. Automation has displaced workers, especially those who are less skilled or older. Not everyone has managed to adapt. There is also the issue of high upfront costs with uncertainty about returns on this investment.
Another barrier is leadership. Many executives lack technological literacy, and, rather than admit this gap, they avoid engaging with new tools. Even when leaders are willing, internal resistance can be significant — employees fear redundancy and may push back against changes they don’t understand.
Yet these barriers pale in comparison to the risk of being left behind. If the pace of AI evolution is even half as rapid as forecast, companies cannot afford to be complacent.
• Novitzkas is chair of software and technological solutions development company Specno.
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