Is Generative AI a "Game Changer?"

Generative artificial intelligence might sometimes be called a “game changer” for industries, which might refer to transformative impact and disruption.

That can happen in a number of ways, but measurably when a firm or industry is able to use an innovation to make significant shifts in market share, often by creating new markets or substantially altering existing ones. Think about search, social media or e-commerce in that vein. 

A game changer can produce exponential revenue growth by creating new markets. Think Uber, Lyft, Airbnb. In other cases, revenue growth can come from changing value chains, such as any “direct to consumer” shift, where distributors are taken out of the distribution chain. 

Game changers tend to have industry-wide impact, forcing all  competitors to adapt or risk becoming obsolete.

Game changers also tend to recreate value chains and sources of value, usually manifested in revenue, profit margin or market share statistics, often by enabling new business models. Ad-supported technology products are a prime example. 

Industry	Innovation/Technology	Impact
Media	Printing Press	Revolutionized information dissemination and literacy
Media	Radio	Enabled real-time mass communication
Media	Television	Combined audio and visual for widespread entertainment and news
Media	Internet	Democratized content creation and distribution
Media	Streaming Services	Transformed content consumption patterns
E-commerce	World Wide Web	Enabled online retail and digital transactions
E-commerce	Secure Online Payments	Facilitated trust in online purchases
E-commerce	Mobile Commerce	Allowed shopping from anywhere, anytime
E-commerce	AI-Powered Personalization	Enhanced customer experience and targeting
E-commerce	Cloud Computing	Enabled scalable and flexible online operations
Manufacturing	Assembly Line	Dramatically increased production efficiency
Manufacturing	Robotics	Automated repetitive tasks and increased precision
Manufacturing	Computer-Aided Design (CAD)	Improved product design and prototyping
Manufacturing	3D Printing	Enabled rapid prototyping and customized production
Manufacturing	Internet of Things (IoT)	Enhanced monitoring and optimization of production processes

Scalability--innovations that are broadly applicable--also is a hallmark of game-changing developments. The new technologies or practices should apply across many industries and functions. Innovations that affect a single industry are not generally “game changers.”

In that regard, machine learning or autonomous capabilities are more likely to be game changers than generative AI, even if GenAI has accelerated a shift in thinking about AI in general, in other forms.