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Canadian companies excited about AI but slow to adopt it: AI tech leaders

Nov 26, 2024 - financialpost.com
The co-founders of two of Canada's leading artificial intelligence (AI) firms, Cohere and AltaML, have expressed concern over the slow adoption of AI technology by Canadian companies. Despite a high level of interest, they note that the process from conceptualization to implementation is often lengthy, with an estimated timeline of 18 months for companies to commit to using AI and another 18 months to start utilizing it. This delay is attributed to various factors including funding issues and cultural aspects.

The slow adoption rate is seen as a potential threat to Canada's productivity, especially in comparison to the U.S. and other Nordic nations. The co-founders suggest that large language models, a key component of AI, could significantly improve Canada's productivity by augmenting about 20% of knowledge-based jobs. They urge business leaders to expedite the adoption of AI to prevent falling further behind in the global market.

Key takeaways:

  • Canadian companies are excited about AI but the process of turning that enthusiasm into products and tools is slow and lengthy, according to Nick Frosst, co-founder of Toronto-based enterprise AI business Cohere, and Nicole Janssen, the co-founder of Edmonton-based AI firm AltaML.
  • It often takes around 36 months from the time a company decides to use AI to the time they start implementing it, which can lead to frustration and abandonment of the technology.
  • Despite Canada's reputation as a hotbed of AI innovation, the country is lagging behind in adoption compared to other nations, which could be contributing to declines in real GDP per capita.
  • Large language models, the underpinning of AI, could potentially augment about 20% of knowledge-based jobs and significantly improve Canada's productivity, but the country needs to speed up its adoption of AI to take advantage of this opportunity.
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