2 Minute Weekly AI - Week 2

Author

Axel Flerén
January 13, 2025

Now back again with a ~2-minute read featuring News and Insights in AI for Week 2, 2025.

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Updates & News - Week 2

AI Layoffs in E-Commerce

The Swedish e-commerce giant Boozt has announced plans to lay off 10% of its full-time employees across the company.

The reason?

AI is taking over.

Boozt explained that the decision "reflects the growing impact of technology and the increased use of AI-powered tools across the value chain."

This change will affect around 100 full-time employees.

Some people see AI replacing jobs as a progression similar to when machines replaced farming jobs in the past, whilst others view it as being the end of the world.

Will be interesting and scary to see how much more AI will impact jobs in the coming years.

AI's Impact on Wall Street

AI is also risking to replace banking jobs over the coming years.

Key Findings

  • Up to 200,000 banking jobs are at risk over the next 3 to 5 years

  • An average 3% workforce reduction is expected

  • Banks could see a potential $180 billion profit increase

Most Vulnerable Roles

  • Back office positions

  • Middle office jobs

  • Customer service functions

  • Routine operational tasks

Potential Outcomes

  • 80% of executives predict a productivity boost of 5% or more

  • Jobs are likely to evolve and transform, rather than completely disappear

  • AI is expected to augment human workers, not fully replace them

Industry Perspective

JPMorgan CEO Jamie Dimon remains optimistic about AI’s impact, suggesting it could:

  • Enhance workers' quality of life

  • Enable shorter work weeks

  • Drive further technological advancements

Will be interesting to see how this all plays out.

The UK’s Alternative to ChatGPT

The U.K. is planning to develop a homegrown AI challenger to OpenAI and significantly expand its national computing infrastructure.

Keir Starmer's administration has pledged to increase the U.K.'s sovereign computing capacity by twentyfold by 2030, focusing on public sector infrastructure.

In addition, Britain aims to support the development of a domestic AI competitor to global leaders like OpenAI, positioning itself as a key player in the AI race.

Bugs in Apple Intelligence - Apple’s Response

Apple’s relatively new feature, “Apple Intelligence”, has sparked significant controversy due to its inaccurate news summaries. The key issues include:

  • False reporting of high-profile events

  • Misrepresentation of content from news organizations

  • Potential erosion of public trust in media

I covered this in a previous newsletter, and since then Apple has announced that an update will arrive in the coming weeks.

While some believe the feature was released too early, Apple emphasized that it is still in beta making the presence of bugs more understandable.

Apple will likely resolve the issues soon, and it’s anyone’s guess what capabilities Apple Intelligence could have 3 to 5 years from now.

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That was everything for Week 2, hoping that you found it valuable!

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Back soon,

Axel