IMF warns about AI

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  1. The International Monetary Fund (IMF) has warned about artificial intelligence's significant impact on the global job market. Their report suggests that nearly 40% of jobs worldwide might be affected, with high-income countries facing more significant risks than emerging markets and low-income nations. IMF Chief Kristalina Georgieva emphasized the need for policymakers to address the potential for AI to exacerbate social tensions and widen inequalities. While AI could enhance productivity and wages in high-income areas, affecting about 60% of jobs there, its impact in emerging and low-income countries might be less immediate due to infrastructure and skilled workforce limitations. This disparity could lead to increased global inequality. The topic is expected to be a key focus at the World Economic Forum in Davos.

  2. Microsoft is launching a subscription-based AI "Copilot" service, targeting consumers and small businesses. Priced at $20 per month, Copilot Pro offers enhanced AI features in popular applications like Word and Excel, including new tools and access to advanced AI models like GPT-4 Turbo. Additionally, Microsoft is making its enterprise version more accessible by removing the minimum user requirement, allowing smaller businesses to benefit from enhanced security controls and Microsoft Teams upgrades for $30 per user per month. This move positions Microsoft competitively in both the consumer and business AI markets.

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  4. Headlines

    1. European Central Bank members warn there may not be any interest rate cuts in 2024.

    2. The US Economy is getting an additional cash boost as Congress considers $70B in tax breaks.

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