Page 130 - Azerbaijan State University of Economics

Ilkin Seyidzade, Rudnak Ildiko: General Implementation Processes of Artificial
Intelligence and Its Economic Effects in Hungary

should decide what kind of AI it needs to implement. Then the AI processes should
be identified and organized. It is worth realizing that there is not any standard
business model for AI implementation, in fact, much depends on what activities and
when the company wants AI-based technology.

Furthermore, the paper reveals that the AI solutions can be used in 3 categories: 1.
startups for which AI is the core technology; 2. startups that provide AI to
companies; 3. startups that use AI as a part of the broader product.

Summarizing, the steps for developing an AI-based business model are to launch a
pilot project, collecting and merging a team, organizing an AI training to the
affected individuals, and development of an AI strategy.

The article also discusses the difficulties and criticism of AI. The main obstacles in
this term are considered to be lack of need in AI in the company culture, quality
issues, lack of data, limited number of skilled professionals, and difficulties in
identifying appropriate business use cases. Summarizing, these problems can be
grouped as data, people, or business issues.

Hungary after shifting to the service sector in the early 2010s enjoyed GDP growth
due to the increase of employees, and AI technologies also play a significant role in
this. According to the reports, Hungary should consider threats of the use of AI and
figure out whether the return on investment on AI technologies will multiply.
Moreover, social aspects should also be considered, as according to the survey 38%
of Hungarians are skeptical towards AI. However, in some sectors in the country, AI
has already been presented, especially in the financial sector.

To cope with the 2018 declaration signed between member states of the EU,
Hungary has created an AI coalition. The declaration intends to increase cooperation
in the field of AI Research and Development. For that the AI coalition has launched
an AI challenge, the aim of which is to conduct training to the Hungarian citizens.
The plan is expected to cover at least one hundred thousand of the population in the
initial stage.

According to the reports, in the coming years, Hungarian industries will be heavily
impacted by the latest technology solutions. It will impact jobs in different industries
as well by the 2030s. Now only financial, agriculture, social work, and foodservice
fields have been automatized, but by the 2030s, it is expected that mainly
manufacturing, warehouse, and construction industries will be heavily affected.

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