Zurich, October 3, 2024 – A new study by the Innovate Switzerland Community, conducted by the Think Tank W.I.R.E. with the support of the ETH Zurich AI Center and Microsoft Switzerland, highlights the substantial potential of artificial intelligence (AI) for economic growth in Switzerland.
AI-related productivity gains and increased innovative capacity
Most respondents expect productivity in companies to increase over the next five years as a result of the use of AI:
- 68 percent anticipate an increase.
- 27 percent expect a significant increase.
- A minority of five percent believes there will be no change, and nobody expects productivity to decline.
Regarding when productivity gains from the use of AI will become evident, respondents expect:
- 47 percent believe this will occur within the next two years.
- An additional 41 percent expect productivity increases to be noticeable within the next five years.
- 13 percent think it could take up to ten years, while no one anticipates it will happen after ten years.
In addition to productivity gains, it is often emphasized that AI can increase companies’ ability to innovate. This is confirmed by the survey results: 86 percent of respondents believe that organizations can significantly boost their innovative strength using AI. Profitability is closely linked to productivity gains and the ability to innovate. Here, too, the majority of respondents (73 percent) expect an increase, although only 9 percent expect a significant increase.
Versatile application possibilities of AI
The study shows that artificial intelligence opens up numerous application areas to address future challenges in Switzerland:
- First and foremost, the expansion of research excellence stands out with 87 votes. This indicates that Switzerland could further strengthen and expand its already internationally renowned reputation in research thanks to AI.
- Second place is the shortage of skilled workers with 72 votes. This finding is in line with the results of the expert interviews, in which it was emphasized that although AI cannot completely eliminate the shortage of skilled workers, its complementary technology could significantly reduce the negative effects.
- Third place was taken by the increasing pressure to grow and innovate, which was mentioned by 58 respondents. Like the expansion of research excellence, AI could also play a key role here by helping companies to become more innovative and competitive.
Other options such as maintaining and promoting the quality of Swiss education, dealing with climate change and increasing the country’s attractiveness as a business location also received significant attention.
AI as an opportunity for Swiss SMEs
AI offers enormous opportunities for small and medium-sized enterprises (SMEs) in particular. By using specialized and smaller AI models, companies that do not have huge data sets can also benefit from the advantages of the technology. These models are more energy efficient and better tailored to specific needs. This enables SMEs to increase their efficiency and develop innovative solutions. On the other hand, the study revealed a great need for AI knowledge transfer among SMEs, which the authors of the study want to focus on more in the future.
“With AI and Gen AI, we have powerful technologies that can solve some of the most pressing challenges of our time. It is our responsibility to use these technologies in a way that best benefits us. The expansion of AI and Gen AI capabilities is essential to accelerate the digital transformation in Switzerland and ensure the country’s competitiveness and innovative strength,” says Catrin Hinkel, CEO of Microsoft Switzerland. “Thanks to the close collaboration between science and industry, Switzerland has an excellent basis for successfully transferring its successful model into the 21st century.”
“It’s not just about increasing efficiency, but also about making artificial intelligence trustworthy in everyday life. New AI technologies should be developed in line with European values, with data security, transparency and fairness being of central importance,” says Dr. Alexander Ilic, co-founder and Executive Director of the ETH AI Center.
“The predicted economic potential of AI will only contribute to long-term value creation in Switzerland if social and environmental requirements are systematically taken into account.However, the benefits of AI for Switzerland will not only be realized by corporations and start-ups, but also by empowering SMEs. Switzerland has the opportunity to position itself internationally as a leading AI location, but only if it finds the courage to position itself in the existing competition through its traditional and future strengths,” says Dr. Stephan Sigrist, author of the study and founder of the think tank W.I.R.E.
Study design
The study is based on a survey of Swiss companies and experts, supplemented by interviews and case studies. Quantitative data was supplemented by qualitative analyses to paint a complete picture of the current and future impact of AI. Different industries and company sizes were considered to ensure the broad applicability of the results. A total of 111 representatives from Swiss companies took part in the quantitative survey. In addition, 20 qualitative interviews were conducted with experts from various sectors and fields of knowledge in the direct and indirect environment of AI.
The entire study is available for download here: LINK