Artificial Intelligence

AI Adoption within the Enterprise 2021 – O’Reilly

AI Adoption within the Enterprise 2021 – O’Reilly
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In the course of the first weeks of February, we requested recipients of our Knowledge and AI Newsletters to take part in a survey on AI adoption within the enterprise. We had been excited by answering two questions. First, we wished to know how using AI grew previously 12 months. We had been additionally within the apply of AI: how builders work, what methods and instruments they use, what their considerations are, and what growth practices are in place.

Probably the most hanging result’s the sheer variety of respondents. In our 2020 survey, which reached the identical viewers, we had 1,239 responses. This 12 months, we had a complete of 5,154. After eliminating 1,580 respondents who didn’t full the survey, we’re left with 3,574 responses—nearly thrice as many as final 12 months. It’s doable that pandemic-induced boredom led extra individuals to reply, however we doubt it. Whether or not they’re placing merchandise into manufacturing or simply kicking the tires, extra individuals are utilizing AI than ever earlier than.


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Government Abstract

  • We had nearly thrice as many responses as final 12 months, with comparable efforts at promotion. Extra individuals are working with AI.
  • Prior to now, firm tradition has been probably the most vital barrier to AI adoption. Whereas it’s nonetheless a difficulty, tradition has dropped to fourth place.
  • This 12 months, probably the most vital barrier to AI adoption is the shortage of expert individuals and the problem of hiring. That scarcity has been predicted for a number of years; we’re lastly seeing it.
  • The second-most vital barrier was the supply of high quality knowledge. That realization is an indication that the sphere is rising up.
  • The proportion of respondents reporting “mature” practices has been roughly the identical for the previous few years. That isn’t stunning, given the rise within the variety of respondents: we suspect many organizations are simply starting their AI tasks.
  • The retail trade sector has the best proportion of mature practices; schooling has the bottom. However schooling additionally had the best proportion of respondents who had been “contemplating” AI.
  • Comparatively few respondents are utilizing model management for knowledge and fashions. Instruments for versioning knowledge and fashions are nonetheless immature, however they’re important for making AI outcomes reproducible and dependable.

Respondents

Of the three,574 respondents who accomplished this 12 months’s survey, 3,099 had been working with AI in a roundabout way: contemplating it, evaluating it, or placing merchandise into manufacturing. Of those respondents, it’s not a shock that the biggest quantity are primarily based in the USA (39%) and that roughly half had been from North America (47%). India had the second-most respondents (7%), whereas Asia (together with India) had 16% of the entire. Australia and New Zealand accounted for 3% of the entire, giving the Asia-Pacific (APAC) area 19%. Slightly over 1 / 4 (26%) of respondents had been from Europe, led by Germany (4%). 7% of the respondents had been from South America, and a pair of% had been from Africa. Apart from Antarctica, there have been no continents with zero respondents, and a complete of 111 nations had been represented. These outcomes that curiosity and use of AI is worldwide and rising.

This 12 months’s outcomes match final 12 months’s knowledge properly. However it’s equally necessary to note what the info doesn’t say. Solely 0.2% of the respondents mentioned they had been from China. That clearly doesn’t mirror actuality; China is a pacesetter in AI and possibly has extra AI builders than another nation, together with the US. Likewise, 1% of the respondents had been from Russia. Purely as a guess, we suspect that the variety of AI builders in Russia is barely smaller than the quantity within the US. These anomalies say way more about who the survey reached (subscribers to O’Reilly’s newsletters) than they are saying in regards to the precise variety of AI builders in Russia and China.

Determine 1. Respondents working with AI by nation (prime 12)

The respondents represented a various vary of industries. Not surprisingly, computer systems, electronics, and know-how topped the charts, with 17% of the respondents. Monetary companies (15%), healthcare (9%), and schooling (8%) are the industries making the next-most vital use of AI. We see comparatively little use of AI within the pharmaceutical and chemical industries (2%), although we anticipate that to alter sharply given the position of AI in growing the COVID-19 vaccine. Likewise, we see few respondents from the automotive trade (2%), although we all know that AI is vital to new merchandise similar to autonomous automobiles.

3% of the respondents had been from the vitality trade, and one other 1% from public utilities (which incorporates a part of the vitality sector). That’s a good quantity by itself, however we’ve got to ask: Will AI play a job in rebuilding our frail and outdated vitality infrastructure, as occasions of the previous few years—not simply the Texas freeze or the California fires—have demonstrated? We anticipate that it’ll, although it’s truthful to ask whether or not AI techniques skilled on normative knowledge will probably be strong within the face of “black swan” occasions. What is going to an AI system do when confronted with a uncommon state of affairs, one which isn’t well-represented in its coaching knowledge? That, in spite of everything, is the issue dealing with the builders of autonomous automobiles. Driving a automobile safely is straightforward when the opposite site visitors and pedestrians all play by the principles. It’s solely tough when one thing surprising occurs. The identical is true of {the electrical} grid.

We additionally anticipate AI to reshape agriculture (1% of respondents). As with vitality, AI-driven adjustments gained’t come shortly. Nevertheless, we’ve seen a gentle stream of AI tasks in agriculture, with targets starting from detecting crop illness to killing moths with small drones.

Lastly, 8% of respondents mentioned that their trade was “Different,” and 14% had been grouped into “All Others.” “All Others” combines 12 industries that the survey listed as doable responses (together with automotive, pharmaceutical and chemical, and agriculture) however that didn’t have sufficient responses to point out within the chart. “Different” is the wild card, comprising industries we didn’t listing as choices. “Different” seems within the fourth place, simply behind healthcare. Sadly, we don’t know which industries are represented by that class—however it exhibits that the unfold of AI has certainly turn out to be broad!

Determine 2. Industries utilizing AI

Maturity

Roughly one quarter of the respondents described their use of AI as “mature” (26%), which means that that they had revenue-bearing AI merchandise in manufacturing. That is nearly precisely in step with the outcomes from 2020, the place 25% of the respondents reported that that they had merchandise in manufacturing (“Mature” wasn’t a doable response within the 2020 survey.)

This 12 months, 35% of our respondents had been “evaluating” AI (trials and proof-of-concept tasks), additionally roughly the identical as final 12 months (33%). 13% of the respondents weren’t making use of AI or contemplating utilizing it; that is down from final 12 months’s quantity (15%), however once more, it’s not considerably totally different.

What can we make of the respondents who’re “contemplating” AI however haven’t but began any tasks (26%)? That’s not an choice final 12 months’s respondents had. We suspect that final 12 months respondents who had been contemplating AI mentioned they had been both “evaluating” or “not utilizing” it.

Determine 3. AI apply maturity

Trying on the issues respondents confronted in AI adoption supplies one other strategy to gauge the general maturity of AI as a subject. Final 12 months, the foremost bottleneck holding again adoption was firm tradition (22%), adopted by the problem of figuring out acceptable use circumstances (20%). This 12 months, cultural issues are in fourth place (14%) and discovering acceptable use circumstances is in third (17%). That’s a really vital change, significantly for company tradition. Corporations have accepted AI to a a lot larger diploma, though discovering acceptable issues to resolve nonetheless stays a problem.

The largest issues on this 12 months’s survey are lack of expert individuals and issue in hiring (19%) and knowledge high quality (18%). It’s no shock that the demand for AI experience has exceeded the availability, however it’s necessary to comprehend that it’s now turn out to be the largest bar to wider adoption. The largest abilities gaps had been ML modelers and knowledge scientists (52%), understanding enterprise use circumstances (49%), and knowledge engineering (42%). The necessity for individuals managing and sustaining computing infrastructure was comparatively low (24%), hinting that corporations are fixing their infrastructure necessities within the cloud.

It’s gratifying to notice that organizations beginning to understand the significance of knowledge high quality (18%). We’ve identified about “rubbish in, rubbish out” for a very long time; that goes double for AI. Unhealthy knowledge yields unhealthy outcomes at scale.

Hyperparameter tuning (2%) wasn’t thought-about an issue. It’s on the backside of the listing—the place, we hope, it belongs. That will mirror the success of automated instruments for constructing fashions (AutoML, though as we’ll see later, most respondents aren’t utilizing them). It’s extra regarding that workflow reproducibility (3%) is in second-to-last place. This is sensible, on condition that we don’t see heavy utilization of instruments for mannequin and knowledge versioning. We’ll have a look at this later, however with the ability to reproduce experimental outcomes is important to any science, and it’s a well known downside in AI.

Determine 4. Bottlenecks to AI adoption

Maturity by Continent

When trying on the geographic distribution of respondents with mature practices, we discovered nearly no distinction between North America (27%), Asia (27%), and Europe (28%). In distinction, in our 2018 report, Asia was behind in mature practices, although it had a markedly increased variety of respondents within the “early adopter” or “exploring” phases. Asia has clearly caught up. There’s no vital distinction between these three continents in our 2021 knowledge.

We discovered a smaller proportion of respondents with mature practices and the next proportion of respondents who had been “contemplating” AI in South America (20%), Oceania (Australia and New Zealand, 18%), and Africa (17%). Don’t underestimate AI’s future influence on any of those continents.

Lastly, the share of respondents “evaluating” AI was nearly the identical on every continent, various solely from 31% (South America) to 36% (Oceania).

Determine 5. Maturity by continent

Maturity by Business

Whereas AI maturity doesn’t rely strongly on geography, we see a special image if we have a look at maturity by trade.

Trying on the prime eight industries, monetary companies (38%), telecommunications (37%), and retail (40%) had the best proportion of respondents reporting mature practices. And whereas it had by far the best variety of respondents, computer systems, electronics, and know-how was in fourth place, with 35% of respondents reporting mature practices. Schooling (10%) and authorities (16%) had been the laggards. Healthcare and life sciences, at 28%, had been within the center, as had been manufacturing (25%), protection (26%), and media (29%).

Alternatively, if we have a look at industries which can be contemplating AI, we discover that schooling is the chief (48%). Respondents working in authorities and manufacturing appear to be considerably additional alongside, with 49% and 47% evaluating AI, which means that they’ve pilot or proof-of-concept tasks in progress.

This will likely simply be a trick of the numbers: each group provides as much as 100%, so if there are fewer “mature” practices in a single group, the share of “evaluating” and “contemplating” practices needs to be increased. However there’s additionally an actual sign: respondents in these industries might not contemplate their practices “mature,” however every of those trade sectors had over 100 respondents, and schooling had nearly 250. Manufacturing must automate many processes (from meeting to inspection and extra); authorities has been as challenged as any trade by the worldwide pandemic, and has all the time wanted methods to “do extra with much less”; and schooling has been experimenting with know-how for plenty of years now. There’s a actual need to do extra with AI in these fields. It’s value declaring that academic and governmental functions of AI steadily elevate moral questions—and probably the most necessary points for the subsequent few years will probably be seeing how these organizations reply to moral issues.

Determine 6. Maturity by trade (%)

The Apply of AI

Now that we’ve mentioned the place mature practices are discovered, each geographically and by trade, let’s see what a mature apply seems to be like. What do these organizations have in widespread? How are they totally different from organizations which can be evaluating or contemplating AI?

Methods

First, 82% of the respondents are utilizing supervised studying, and 67% are utilizing deep studying. Deep studying is a set of algorithms which can be widespread to nearly all AI approaches, so this overlap isn’t stunning. (Members may present a number of solutions.) 58% claimed to be utilizing unsupervised studying.

After unsupervised studying, there was a big drop-off. Human-in-the-loop, information graphs, reinforcement studying, simulation, and planning and reasoning all noticed utilization beneath 40%. Surprisingly, pure language processing wasn’t within the image in any respect. (A really small variety of respondents wrote in “pure language processing” as a response, however they had been solely a small proportion of the entire.) That is vital and positively value watching over the subsequent few months. In the previous few years, there have been many breakthroughs in NLP and NLU (pure language understanding): everybody within the trade has examine GPT-3, and plenty of distributors are betting closely on utilizing AI to automate customer support name facilities and comparable functions. This survey means that these functions nonetheless haven’t moved into apply.

We requested an identical query to respondents who had been contemplating or evaluating using AI (60% of the entire). Whereas the odds had been decrease, the applied sciences appeared in the identical order, with only a few variations. This means that respondents who’re nonetheless evaluating AI are experimenting with fewer applied sciences than respondents with mature practices. That means (fairly sufficient) that respondents are selecting to “begin easy” and restrict the methods that they experiment with.

Determine 7. AI applied sciences utilized in mature practices

Knowledge

We additionally requested what sorts of knowledge our “mature” respondents are utilizing. Most (83%) are utilizing structured knowledge (logfiles, time sequence knowledge, geospatial knowledge). 71% are utilizing textual content knowledge—that isn’t in line with the variety of respondents who reported utilizing NLP, except “textual content” is getting used generically to incorporate any knowledge that may be represented as textual content (e.g., type knowledge). 52% of the respondents reported utilizing pictures and video. That appears low relative to the quantity of analysis we examine AI and pc imaginative and prescient. Maybe it’s not stunning although: there’s no purpose for enterprise use circumstances to be in sync with tutorial analysis. We’d anticipate most enterprise functions to contain structured knowledge, type knowledge, or textual content knowledge of some type. Comparatively few respondents (23%) are working with audio, which stays very difficult.

Once more, we requested an identical query to respondents who had been evaluating or contemplating AI, and once more, we obtained comparable outcomes, although the share of respondents for any given reply was considerably smaller (4–5%).

Determine 8. Knowledge varieties utilized in mature practices

Danger

Once we requested respondents with mature practices what dangers they checked for, 71% mentioned “surprising outcomes or predictions.” Interpretability, mannequin degradation over time, privateness, and equity additionally ranked excessive (over 50%), although it’s disappointing that solely 52% of the respondents chosen this feature. Safety can also be a priority, at 42%. AI raises necessary new safety points, together with the opportunity of poisoned knowledge sources and reverse engineering fashions to extract non-public data.

It’s arduous to interpret these outcomes with out figuring out precisely what functions are being developed. Privateness, safety, equity, and security are necessary considerations for each software of AI, however it’s additionally necessary to comprehend that not all functions are the identical. A farming software that detects crop illness doesn’t have the identical form of dangers as an software that’s approving or denying loans. Security is a a lot larger concern for autonomous automobiles than for customized procuring bots. Nevertheless, do we actually imagine that these dangers don’t have to be addressed for almost half of all tasks?

Determine 9. Dangers checked for throughout growth

Instruments

Respondents with mature practices clearly had their favourite instruments: scikit-learn, TensorFlow, PyTorch, and Keras every scored over 45%, with scikit-learn and TensorFlow the leaders (each with 65%). A second group of instruments, together with Amazon’s SageMaker (25%), Microsoft’s Azure ML Studio (21%), and Google’s Cloud ML Engine (18%), clustered round 20%, together with Spark NLP and spaCy.

When requested which instruments they deliberate to include over the approaching 12 months, roughly half of the respondents answered mannequin monitoring (57%) and mannequin visualization (49%). Fashions turn out to be stale for a lot of causes, not the least of which is adjustments in human conduct, adjustments for which the mannequin itself could also be accountable. The power to watch a mannequin’s efficiency and detect when it has turn out to be “stale” will probably be more and more necessary as companies develop extra reliant on AI and in flip demand that AI tasks display their worth.

Determine 10. Instruments utilized by mature practices

Responses from those that had been evaluating or contemplating AI had been comparable, however with some fascinating variations: scikit-learn moved from first place to 3rd (48%). The second group was led by merchandise from cloud distributors that incorporate AutoML: Microsoft Azure ML Studio (29%), Google Cloud ML Engine (25%), and Amazon SageMaker (23%). These merchandise had been considerably extra common than they had been amongst “mature” customers. The distinction isn’t enormous, however it’s hanging. Prone to over-overinterpreting, customers who’re newer to AI are extra inclined to make use of vendor-specific packages, extra inclined to make use of AutoML in one in every of its incarnations, and considerably extra inclined to go together with Microsoft or Google moderately than Amazon. It’s additionally doable that scikit-learn has much less model recognition amongst those that are comparatively new to AI in comparison with packages from organizations like Google or Fb.

When requested particularly about AutoML merchandise, 51% of “mature” respondents mentioned they weren’t utilizing AutoML in any respect. 22% use Amazon SageMaker; 16% use Microsoft Azure AutoML; 14% use Google Cloud AutoML; and different instruments had been all below 10%. Amongst customers who’re evaluating or contemplating AI, solely 40% mentioned they weren’t utilizing AutoML in any respect—and the Google, Microsoft, and Amazon packages had been all however tied (27–28%). AutoML isn’t but an enormous a part of the image, however it seems to be gaining traction amongst customers who’re nonetheless contemplating or experimenting with AI. And it’s doable that we’ll see elevated use of AutoML instruments amongst mature customers, of whom 45% indicated that they might be incorporating instruments for automated mannequin search and hyperparameter tuning (in a phrase, AutoML) within the coming but.

Deployment and Monitoring

An AI venture means nothing if it will probably’t be deployed; even tasks which can be solely meant for inside use want some form of deployment. Our survey confirmed that AI deployment continues to be largely unknown territory, dominated by homegrown advert hoc processes. The three most important instruments for deploying AI all had roughly 20% adoption: MLflow (22%), TensorFlow Prolonged, a.okay.a. TFX (20%), and Kubeflow (18%). Three merchandise from smaller startups—Domino, Seldon, and Cortex—had roughly 4% adoption. However probably the most frequent reply to this query was “not one of the above” (46%). Since this query was solely requested of respondents with “mature” AI practices (i.e., respondents who’ve AI merchandise in manufacturing), we will solely assume that they’ve constructed their very own instruments and pipelines for deployment and monitoring. Given the various kinds that an AI venture can take, and that AI deployment continues to be one thing of a darkish artwork, it isn’t stunning that AI builders and operations groups are solely beginning to undertake third-party instruments for deployment.

Determine 11. Automated instruments utilized in mature practices for deployment
and monitoring

Versioning

Supply management has lengthy been a regular apply in software program growth. There are various well-known instruments used to construct supply code repositories.

We’re assured that AI tasks use supply code repositories similar to Git or GitHub; that’s a regular apply for all software program builders. Nevertheless, AI brings with it a special set of issues. In AI techniques, the coaching knowledge is as necessary as, if no more necessary than, the supply code. So is the mannequin constructed from the coaching knowledge: the mannequin displays the coaching knowledge and hyperparameters, along with the supply code itself, and could also be the results of lots of of experiments.

Our survey exhibits that AI builders are solely beginning to use instruments for knowledge and mannequin versioning. For knowledge versioning, 35% of the respondents are utilizing homegrown instruments, whereas 46% responded “not one of the above,” which we take to imply they’re utilizing nothing greater than a database. 9% are utilizing DVC, 8% are utilizing instruments from Weights & Biases, and 5% are utilizing Pachyderm.

Determine 12. Automated instruments used for knowledge versioning

Instruments for mannequin and experiment monitoring had been used extra steadily, though the outcomes are essentially the identical. 29% are utilizing homegrown instruments, whereas 34% mentioned “not one of the above.” The main instruments had been MLflow (27%) and Kubeflow (18%), with Weights & Biases at 8%.

Determine 13. Automated instruments used for mannequin and experiment monitoring

Respondents who’re contemplating or evaluating AI are even much less seemingly to make use of knowledge versioning instruments: 59% mentioned “not one of the above,” whereas solely 26% are utilizing homegrown instruments. Weights & Biases was the most well-liked third-party answer (12%). When requested about mannequin and experiment monitoring, 44% mentioned “not one of the above,” whereas 21% are utilizing homegrown instruments. It’s fascinating, although, that on this group, MLflow (25%) and Kubeflow (21%) ranked above homegrown instruments.

Though the instruments obtainable for versioning fashions and knowledge are nonetheless rudimentary, it’s disturbing that so many practices, together with those who have AI merchandise in manufacturing, aren’t utilizing them. You possibly can’t reproduce outcomes in case you can’t reproduce the info and the fashions that generated the outcomes. We’ve mentioned {that a} quarter of respondents thought-about their AI apply mature—however it’s unclear what maturity means if it doesn’t embrace reproducibility.

The Backside Line

Prior to now two years, the viewers for AI has grown, however it hasn’t modified a lot: Roughly the identical proportion of respondents contemplate themselves to be a part of a “mature” apply; the identical industries are represented, and at roughly the identical ranges; and the geographical distribution of our respondents has modified little.

We don’t know whether or not to be gratified or discouraged that solely 50% of the respondents listed privateness or ethics as a threat they had been involved about. With out knowledge from prior years, it’s arduous to inform whether or not that is an enchancment or a step backward. However it’s tough to imagine that there are such a lot of AI functions for which privateness, ethics, and safety aren’t vital dangers.

Software utilization didn’t current any massive surprises: the sphere is dominated by scikit-learn, TensorFlow, PyTorch, and Keras, although there’s a wholesome ecosystem of open supply, commercially licensed, and cloud native instruments. AutoML has but to make massive inroads, however respondents representing much less mature practices appear to be leaning towards automated instruments and are much less seemingly to make use of scikit-learn.

The variety of respondents who aren’t addressing knowledge or mannequin versioning was an unwelcome shock. These practices ought to be foundational: central to growing AI merchandise which have verifiable, repeatable outcomes. Whereas we acknowledge that versioning instruments acceptable to AI functions are nonetheless of their early phases, the variety of contributors who checked “not one of the above” was revealing—significantly since “the above” included homegrown instruments. You possibly can’t have reproducible outcomes in case you don’t have reproducible knowledge and fashions. Interval.

Prior to now 12 months, AI within the enterprise has grown; the sheer variety of respondents will inform you that. However has it matured? Many new groups are getting into the sphere, whereas the share of respondents who’ve deployed functions has remained roughly fixed. In lots of respects, this means success: 25% of an even bigger quantity is greater than 25% of a smaller quantity. However is software deployment the suitable metric for maturity? Enterprise AI gained’t actually have matured till growth and operations teams can have interaction in practices like steady deployment, till outcomes are repeatable (no less than in a statistical sense), and till ethics, security, privateness, and safety are major moderately than secondary considerations. Mature AI? Sure, enterprise AI has been maturing. However it’s time to set the bar for maturity increased.



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