Smaller Gen AI, Industry Focused Semiconductors, Low Orbit Satellites To Take Centre Stage In 2024
Gen AI took centre stage in the global public and business conversation and raised expectations that technology could catalyse progress in business and society. While it will continue to be a highly discussed topic next year, other key technologies are expected to also reach a stage of maturity or breakthrough in 2024, to contribute to solving today’s most pressing challenges for businesses, society and the environment.
Apart from the Gen Ai’s, Technologies like Quantum computing and EV mobility created buzz in the tech landscape. Drawing the lines from the developments in 2023. At Capgemini Vision 24 virtual conference speaker highlighted infliction points in five key areas including Gen AI models, Quantum computing, EV batteries, Semiconductor manufacturing and Space-tech.
Smaller, Efficient, Factual & Logical Gen AI’s
Generative AI in the 2023 largely embraced by all the industry without much focusing on the drawbacks. The Gen AI models are currently fed with large data and used for multiple purposes thus resulting slow down and sometimes inaccurate responses. For an instance Open AI’s chat GPT is used for the commercial and personal purposes, gradually the chat bot response has become slower and also the website faced several outages. The current AI models are performing week in logics, mathematics and factual data.
Stressing on drawbacks Robert Engels, Head of the Capgemini Generative AI Lab said “Gen AI models in the upcoming year would be more specific industry focused with smaller and efficient data bases,” Small AI models with limited data base would give quicker responses thus Industries and leverage the benefits efficiently. Thus, tech companies would race to develop industry specific Gen AI models. Further he added that AI would be connected with devices that will make the devices more smatter.
Sector Oriented Semiconductors
The booming semiconductor industry which experienced 40 per cent growth between the 2019 to 2022 has slowed down in 2023 which saw a growth by 11 per cent standing at 534 million dollars. The shrink in demand in the current year would pick its pace in the 2024 and reach 624 million dollars with 17 per cent growth, according to Brett Bonthron, Global Industry Leader for Tech and Digital at Capgemini
He further said currently the chip manufacturing is not sector specific, in simple terms single type of chip is used in different sectors for multiple purposes but in the coming year chips manufacturing would be more sector specific especially towards EV manufactures and hyperscalers like LLM trainers.
The growth drivers in the semiconductor industry would be raising demand for EV vehicles and the development of AI and LLM’s models in the IT industry, he added.
Regulation On Quantum technologies
The quantum computing advances come with huge transformative advantages to deal with large data sets. At the same time, they are vulnerable to cyber-attacks hence it needs stronger cyber defences. The rapid development of quantum computing, potentially making current encryption standards obsolete. In the US, the National Institute of Standards and Technology plans to issue standards for "post-quantum cryptography" in 2024. The Quantum Computing Cybersecurity Preparedness Act mandates readiness for the shift to these algorithms within a year of the standards' release, making it a crucial topic for boardroom discussions in 2024.
Raise Of LMP & LFP Batteries
Skyrocketing demand of EV’s, the value chain of the batteries has significantly gone up from past few years. The battery production units would be doubled in by 2030 to meet the requirements according to Pierre Bagnon,Global Head of Intelligent Industry at Capgemini.
He explained currently most of the EV vehicles are running on Lithium-ion batteries. Which constitutes 30-40 per cent of overall vehicle manufacturing cost. In the coming year breaking this dependence on lithium. Companies would shift to LMP(Lithium-Metal-Polymer batteries),LFP(Lithium-Iron-Phosphate batteries, Sodium and Cobalt batteries which cost less in comparisons. Further he said investments on research and development would have significant increase to improve the range and decrease the cost of batteries.
These developments can majorly take place in the EU and US, he added.
Low-Orbit Satellites
In the fast-evolving space-tech sector, the delivery of services through satellites is experiencing unprecedented growth. This renewed interest in space technologies aims to drive scientific discoveries and help solve the earth’s most critical challenges, including the monitoring of climate risks and disasters, better access to telecommunications, as well as defense and sovereignty. The New Space Age is driven not just by government agencies, but also by private actors, from startups to corporations, and is supported by various technologies such as 5G, advanced satellite systems, big data, quantum computing, etc. In 2024, this should accelerate innovation and support very promising technology projects in the field of sustainable spacecraft propulsion (either electric or nuclear) and new Low Earth Orbit constellations for seamless communications and quantum cryptography.
Patrice Duboe, Chief Innovation Officer for Aerospace & Defense at Capgemini Patric said that AI will be widely employed in optimizing the capabilities of satellites for earth observation purposes. The integration of Internet of Things (IoT) devices with space technology is poised to create a revolutionary synergy, paving the way for interconnected systems transcend the boundaries of our planet.
While, speaking about other sectors in tech landscape. Pascal Brier, Group Chief Innovation Head, Capgemini said Hydrogen fuel generation, Carbon capturing and Bio tech could experience developments in the next five years but can’t be considered as Infliction point in 2024.
