While artificial intelligence represents one of the biggest technological shifts happening globally, it is crucial to focus on governance and financial sustainability and failing to do so could lead to AI systems breaking down, industry executives said at a panel discussion. There are two challenges as AI scales up, Krishna Rangasayee, founder and chief executive of SiMa.ai, a US-based semiconductor startup, said during the discussion moderated by ET's Swathi Moorthy.
"About 87% of all AI usage doesn't have a revenue incremental or a profit pool. We are investing in AI for the sake of AI. At some point, making money will be important," said Rangasayee, whose company has raised $355 million in funding and counts Fidelity Investments and Micron as investors. The second is, "We are rushing into certain areas without safety and regulation. It's scary that one company could snoop another company and break through without oversight and safety."
According to Dipanwita Das, cofounder and CEO of Sorcero, an AI and data intelligence platform for the life sciences sector, unit economics matters. "You can take a loss for a little bit, but you do need to design a system that is going to eventually get a profit at a respectable margin," she added.
