Perhaps you have not lived through a disruption such as digital media, social media, the internet, targeted versus linear advertising or generative AI before. But we call it a “disruption” for a reason: revenue models; profit margins; growth trajectories and jobs all are affected.
And it is unreasonable to expect that GenAI--a tool for creating content--will not disrupt business models, revenue streams, profit margins and jobs, like it or not. The internet, for example, disrupted advertising-driven industries.
The shift to digital platforms dramatically reshaped the value of many advertising venues that had used a linear format. Compared to legacy media, online media was able to feature targeting based on actual end user behavior.
Based on that understanding, content could be personalized, raising the possibility of engagement and better matching expected purchase intentions.
Digital advertising allowed for more accurate measurement of campaign performance and return on investment.
The ability to reach potential audiences--especially for specialty products--increased as a result of global reach.
Real-time adjustments: Unlike traditional media, internet advertising allowed for real-time campaign adjustments based on performance data.
Generative AI, on the other hand, is more likely to disrupt the production of content rather than its monetization. Since 2000, we have seen mostly net negative changes in jobs in various industries, based on whether they are emerging (new fields such as AI or e-commerce, for example) or declining (replacement by internet mechanisms).
Most industries have seen net job losses in most years since 2000, it might be worth noting. It might not be unreasonable to suggest AI in general will have a similar impact, over time. Though other value might be obtained, productivity improvements are likely going to have negative pressure on jobs.
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