Artificial Intelligence Will Create More Jobs

2024-05-15

Contrary to popular belief, Jonathan Ross, CEO of Groq, believes that artificial intelligence (AI) will create more job opportunities than we can handle. Ross stated that the rapid technological advancements in AI could be another example of the Jevons Paradox at work. "We have always believed that every technology is replacing jobs. One of the things that could happen is that we will create more job opportunities for people than currently exist," Ross said. He predicted that there might suddenly be a shortage of people to do the work. He cited the surge in the use of visual graphics in news articles, stating that it is now easier than ever to generate graphics because "most people spend more time creating graphics." This implies that AI is being used more, not less, and its applications are far exceeding initial expectations. Ross made these remarks in response to the Jevons Paradox, which was first reported by British economist William Jevons in his book "The Coal Question" in the 1860s. As steam engines became more efficient, the amount of coal used did not decrease; instead, more steam engines were used. The increase in coal utilization was due to the lower operating costs of more efficient steam engines, allowing engines to be widely and intensively used. "But is it the same with AI?" Ross questioned. He believes that a similar phenomenon is occurring. The progress of AI not only makes tasks easier to execute but also reduces costs, leading to more people using AI in various industries and creating more job opportunities in the process. Ross said, "What might happen is that as AI makes most things easy to generate, you actually see an increase in human activity in that area. There will always be someone entrepreneurial enough to find a way to monetize it and involve a large group of people." After all, the World Economic Forum predicts that by 2025, AI will not only replace 85 million jobs but also create 97 million new jobs. In another report, the World Economic Forum listed job types that will be eliminated, including bank tellers, data entry clerks, and secretaries, which are easily automated. Meanwhile, jobs for AI and machine learning experts are growing the fastest. "It depends on what you mean by automation," Ross said. Although the study suggests that jobs like clerks and secretaries are most likely to be eliminated, others hold a different opinion. In a recent episode of the Ben and Marc Show podcast, Marc Andreessen and Ben Horowitz discussed how AI is more likely to take over middle management in organizations. Due to the ease of training employees and the absence of interpersonal issues, they concluded that AI could take over managerial roles rather than employee jobs. Similarly, Sam Altman, CEO of OpenAI, acknowledged that the use of AI in the workplace is different from what was expected. He said, "In many cases, this will change how people work, just like phones, the internet, and computers." Furthermore, he stated that the jobs future generations will engage in will be different, but the current goal is to figure out how to adapt to the pace of progress. Altman claimed, "The world just needs a lot more code than we're writing right now." He said, "You hear a programmer say, 'I'm two or three times as productive in my job.'" Instead of the opposite. Similarly, as Ross mentioned, the creation of actual job positions will come from more people working in the field of AI and pioneering developments in that field. By doing so and creating their own companies, more people will be employed in the field, thus creating more job opportunities. According to Stanford University's "2024 AI Index Report," this is already evident, as the number of newly funded AI startups increased by 40.6% compared to 2022. The report states that as of 2023, up to 1,812 startups received new funding. With the increase in startups and developers striving to improve their skills, the end result is likely to be the emulation of low-level employees. As mentioned in Stanford University's report, this is also supported by more organizations using AI, regardless of whether the company itself is technology-oriented. While it may be unrealistic to expect most people to reskill based on the ever-changing job market, mastering AI may not be as difficult as anticipated. In fact, several universities have already begun refining their AI and data science courses. At the same time, universities and companies are starting to offer their own free courses online, with many of them focusing on the fundamentals of AI, machine learning, and data science. However, while this may help to some extent, it cannot fully address the potential unemployment issue or fully prepare us for the influx of job opportunities created by AI. As Ross stated, "Entering a different era in its entirety, and why you call it a different technological era, is because it breaks all our intuitions."