Analytical AI: Not Obsolete, Still Essential for Business Transformation

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Artificial Intelligence,Generative AI,Analytical AI

While the buzz around generative AI is growing, organizations should not overlook the value of analytical AI, which remains crucial for many companies. Understanding the differences between these two AI approaches and their respective benefits and risks is essential for businesses to make informed decisions about their AI strategy.

Organizations that have recently discovered generative AI are at risk of overlooking an older and better-established form of AI, which the authors call “analytical AI.” This form of AI is by no means obsolete and is still an important resource for the great majority of companies. While a few applications of AI employ both analytical and generative AI, the two AI approaches are largely separate.

Without an understanding of their differences, however, organizations risk under-utilizing one or both types to transform their businesses.in November of 2022, many business executives have focused their attention on generative AI. This relatively new technology set off a frenzy around AI and caused companies to pay attention to it for the first time. This is a positive development, since the technology is powerful and important, and enables many new business possibilities.

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