Enterprise machine learning within business organizations is all set to double by this year while smartphone usage is set to grow with sales reaching 1.85 billion per year by 2023, a new study has found.
According to Deloitte Global’s Technology, Media and Telecommunications Predictions, business organizations will likely double their use of machine learning technology by the end of 2018 as they seek to ramp up productivity.
The report noted that the growth in new semiconductor chips will increase the use of machine learning, enabling applications to use less power, and at the same time become more responsive, flexible and capable.
“We see governments in the GCC playing an active role in promoting the adoption of AI and Machine Learning,” said Emmanuel Durou, Partner and Technology, Media and Telecommunications Leader, Deloitte, Middle East. “A case in point being the appointment of the Artificial Intelligence Minister in the U.A.E. combined with ambitious targets around GDP growth and cost reductions linked to Machine Learning.”
Deloitte Global also predicted that live broadcast and events will generate over $545 billion in direct revenues in 2018. Despite consumers’ capability to consume content on demand or attend events remotely, live consumption is thriving. In many cases, live performances have been made more productive and profitable by digital channels.
Indicating an increasing willingness from consumers to pay for digital content, Deloitte Global forecasted that 50% of adults in developed countries will have at least two online-only media subscriptions by the end of 2018 while by the end of 2020 the average would have doubled to four.
While as digital channels or platforms thrive, traditional TV viewing by users within the age group of 18- 24 is set to decline by 5-15% per year in the U.S., Canada and the U.K. in 2018 and 2019. However, this rate of decline is similar to the dip witnessed seven years earlier and it is not getting worse. Many factors that distracted young people away from traditional TV, such as smartphones, social media, and video piracy are reaching saturation.
“2018 is a catalyst year for live content in the region. The launch of cinemas in KSA combined with an overall push on live entertainment will boost significantly the contribution of this part of the media segment in the Kingdom with ripple effects across the region. In a similar vein the acquisition of the Saudi League rights by STC is a game changer for digital live content monetization” said Durou.
Another area of growth is the growing adoption of smartphones. By the end of 2023, more than 90% of adults in developed countries are expected to have a smartphone, with ownership among those aged between 55 and 75 reaching 85%. Deloitte Global predicts that owners will interact with their phones on average 65 times per day in 2023, a 20% increase in 2018.
At the same time, Deloitte Global predicts 45% of global adult smartphone users- including 65% of those between 18-24 years- will concerned that they are using their phones excessively for certain activities and may in turn try to limit their usage in 2018.
“Historically, Middle East consumers have always shown advanced utilization patterns of mobile. Currently, in Saudi Arabia, 68% of people use their phone within the first five minutes after waking up, almost double the proportion of users that do so globally. However, aside from social etiquette, we see regional governments involved in curbing the negative impact of smartphone addiction,” said Durou.
Over a billion smartphone users will likely create augmented reality (AR) content at least once in 2018, with at least 300 million doing so monthly, and tens of millions weekly, according to Deloitte Global.
In 2018, Deloitte Global forecasts that one fifth of North American homes will get all of their internet data access via cellular mobile networks. There will be significant variations by country though. In Brazil, for example, nearly a third of all homes will be mobile only, but only 10% in some European countries. The differences between geographies are due to a range of technological, economic and demographic factors.