Friday, January 13, 2017

China, India, Japan, U.S. to be Most Affected by Automation: What Does that Mean for Mobile?

Although automation is a global phenomenon, four economies—China, India, Japan, and the United States—account for just over half of the total wages and almost 66 percent of the number of employees whose jobs are potentially automatable. If globally, automation could affect  1.1 billion workers and $11.9 trillion in wages, then China, India, Japan and the United States could represent $6 trillion in wages and 726 million jobs.

While less than five percent of all occupations can be automated entirely using demonstrated technologies, about 60 percent of all occupations have at least 30 percent of constituent activities that could be automated, McKinsey analysts say.

It is difficult to predict with much certainty how much automation will affect wireless and mobile services, firms, processes and industries. But trends such as dynamic spectrum allocation provide some examples. Software-defined networks provide another example.

In that sense, automation would only intensify existing trends to optimize operating costs, on the part of most mobile operators globally.

More occupations will change than will be automated away, in other words. But the study also suggests that half of today’s work activities could be automated by 2055, with a 20-year plus or minus likelihood.

McKinsey Global Institute researchers estimate that automation (artificial intelligence) will affect as much as 60 percent of all occupations, defined as those in which at least 30 percent of present activities can be automated. To put some context on that prediction, McKinsey Global Institute says “almost half the activities people are paid almost $16 trillion in wages to do in the global economy have the potential to be automated by adapting currently demonstrated technology, according to our analysis of more than 2,000 work activities across 800 occupations.”

On a global scale, McKinsey calculates that the adaptation of currently demonstrated automation technologies could affect 49 percent of working hours in the global economy.
Source: McKinsey


Source: McKinsey

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