The rapid advancement of generative artificial intelligence (AI) is driving an unprecedented expansion of business and market opportunities. Coupled with the cloud, this technology is poised to change the world as we know it.
Cloud computing will serve as the engine that powers the genAI revolution, and that revolution is growing. More and more companies are using genAI, and soon it will weave itself into the very fabric of our future. Organizations that can successfully harness the powerful combination of cloud and genAI can reshape that future to drive innovation and business growth.
Cloud and genAI are developing an almost symbiotic relationship. Cloud technology provides the powerful, highly scalable computing capabilities needed to run gen AI large language models (LLMs). Cloud data platforms store and manage the large datasets required to process data in real-time and train genAI models. GenAI applications can then coordinate model training across services on cloud, and cloud platform security architectures can protect the sensitive information used by genAI applications.
This interdependency is highlighted by a recent Deloitte survey that found that 37 percent of respondents indicated that they were implementing genAI to some degree. And 55 percent said they were evaluating and experimenting with genAI. Those implementations will need massive amounts of data and will almost certainly run on cloud to take advantage of its security, scalability and computing power.
Key areas and use cases for genAI solutions
Cloud-enabled genAI is poised to have a widespread positive impact on productivity and creativity across the Enterprise in key areas such as the following:
- Application development. Organizations will become genAI-assisted through the development of “smart apps” that enable enhanced productivity. They’ll also develop LLMs that help them in the app-development process by enabling the creation of higher-quality and more reliable applications. GenAI will also help with code generation, assistance and transformation, as well as testing and infrastructure automation.
- Content management. GenAI will enable automated content generation and classification, as well as automated extraction, transformation and summarization of content.
- Business intelligence. Organizations can leverage genAI to help develop business strategies based on deep analysis of market data and genAI-generated simulations. They’ll also be able to improve business processes by using genAI models to identify bottlenecks and inefficiencies.
- Media. With genAI, companies will be able to better translate audio/text interactions, enhance media production, and engineer and generate images and 3D objects for marketing and advertising.
Use cases for cloud-enabled genAI Application span all industries, including the following:
- GenAI can enable consumer products companies to design better products, create more precisely targeted ads and marketing campaigns, and make more personalized product recommendations.
- In the energy, resources, and industrial sector, genAI can help develop predictive maintenance processes, enhance quality control, and enable more efficient resource allocation.
- Financial services companies can leverage genAI to drive more effective forecasting, fraud detection, loan underwriting, and portfolio optimization.
- GenAI can help life sciences and health care organizations discover more effective drugs, provide personalized medicine and precision diagnostics, and enhance the medical imaging process to deliver more precise information that drives better outcomes.
- Technology, media, and entertainment companies can leverage genAI to provide more personalized experiences to consumers, develop more targeted advertising, optimize their networks and take advantage of the growing Metaverse.
- GenAI can help government and public sector entities better detect fraud and prevent systemic abuses, develop more effective regulatory and oversight processes, and leverage open-source intelligence to develop applications that are standardized, modernized, and that provide better services for their constituents.
Companies across industries will also collaborate using genAI to innovate and deliver new experiences for consumers. For example, tech and health care companies might work together to use genAI to design new, more personalized patient experiences and enhance patient care. Automotive and insurance companies might use genAI to collaborate in providing incentives for safe driving practices such as discounts on scheduled maintenance or safe-driver rewards programs. They might also use driving data from cars to improve risk assessment.
Modernization is essential
To effectively implement both cloud and genAI, it’s essential for companies to prepare, first by modernizing their IT applications and processes onto cloud-based, cloud-built infrastructures. Further, it’s important to build a cloud-enabled workforce that has the tech fluency to drive the transformation into a cloud-based, genAI-fluent IT organization.
The good news is that these efforts can be done in parallel. Organizations can decide to go completely green field and migrate to cloud before leveraging genAI, but they also don’t have to. Once the decision to migrate to cloud is made, they can deploy cloud-based genAI capabilities as the migration progresses, and as they acquire the highly skilled cloud talent that will help them get there.
What the future holds for cloud-enabled genAI
It’s not an exaggeration to say that the future of cloud-enabled genAI is boundless. Just as cloud has become almost ubiquitous for a large majority of organizations across all industries, GenAI will soon weave itself into the fabric of both our business and personal lives. It will become embedded in nearly everything we do, from how we interact with merchants and government agencies, to how we experience entertainment and communication, to how we are educated. Bottom line: there will be risks and rewards with GenAI. However, if we carefully shepherd the use of genAI by developing guardrails around its use, business—and humanity as a whole—can reap the benefits of its transformative possibilities.
Chris Thomas is a principal at Deloitte Consulting LLP and is Deloitte’s US Cloud Leader. He has over 20 years of strategy consulting and hands-on transformation experience in the cloud and core technology domains across industries and globally.