Artificial intelligence (AI): Switzerland behaves sluggishly in the global race

The results of the CEO Survey published this week paint a clear picture: 85 % of CEOs worldwide believe that artificial intelligence (AI) will dramatically change their business over the next five years (see 22nd CEO Survey by PwC). Almost two-thirds of global decision-makers consider AI to have a greater potential impact than the Internet. The level of development and promotion of AI varies from country to country.

Switzerland takes a passive stance

The global comparison shows that Swiss CEOs are exercising restraint. Around 40 % of the Swiss CEOs surveyed state that they are not currently planning any AI applications. Globally, the figure is just 23 %. Another 23 % of Swiss CEOs say they will develop a plan to apply AI in the next three years, while 30 % have taken a very limited approach so far. Less than ten percent say they have already implemented AI in their business.

A similar picture emerges when it comes to the question of the extent to which AI will change the way business is done: 26 % of Swiss CEOs do not expect any major changes as a result of AI - a view shared by only 13 % in a global comparison. Correspondingly, the number of CEOs predicting a significant change is 18 % higher globally than in Switzerland.

No time for AI?

The reasons for this are complex. In some cases, Swiss companies have had other priorities in recent years, such as the strength of the Swiss franc. In addition, some companies have reservations about the performance of the technology or are critical of automation. An important building block is the handling or availability of data. The more comprehensive and complete data is available, the better AI systems can learn from it. Government support measures also play a significant role. These relate to clear regulatory framework conditions and the promotion of education and research.

"Compared to other countries, Switzerland does not yet have an AI strategy at the federal level. This is despite good framework conditions, because Switzerland has an excellent education system, a great capacity for innovation and talented professionals," says Christian Westermann, data expert and AI leader at PwC Switzerland. "It is now up to the federal government to create the necessary framework conditions for AI in Switzerland and to support companies as well as research and educational institutions in initiating concrete measures. Only in this way will they not be left behind and gain a business advantage in the future."

AI at the core of global digital transformation

Numerous countries such as China, France, Singapore or Japan have declared AI as a key technology of the digital transformation and announced comprehensive plans to advance AI research and development. In addition, there are numerous international strategies (e.g., from the EU, the UN, the UAE, and India) governing AI partnerships. The investments are substantial, with amounts in the billions of dollars. The initiatives differ only in their strategic focus. Collectively, they cover scientific research, talent development, skills and education, public and private sector adoption, ethics and inclusion, standards and regulations, and data and digital infrastructure.

Federal working group launched

However, the national AI strategies have one thing in common. They are trying to create a comprehensive ecosystem. Says Westermann: "A strong AI ecosystem is characterized by a strong network between science, business with companies and startups, and society. For such an environment to emerge, pioneering policy measures and an overarching strategy are needed. In 2018, the federal government set up a working group on artificial intelligence, which is to present existing and new measures to the Federal Council by fall 2019. I hope that this will create a foundation that will continue to support Switzerland in taking a leading role in technology and innovation."

Source: PwC