28 May 2024The Institute of Directors (IoD) has warned that generative AI could 'widen corporate inequalities'. In a paper published in collaboration with London Business School and Evolution Ltd, the IoD found that sectors prone to market consolidation will see the most significant shifts as a result of the use of generative AI. The IoD has called on the government to redesign the educational system for a post generative AI world; develop targeted support and regulatory adjustments for identified vulnerable sectors; and enhance legal frameworks for intellectual property and data privacy. It also made a series of recommendations for businesses, including 'managing the hype of AI when adopting new technologies and practices'. Commenting on the paper, Faisal Khan, Chair of the IoD's Science, Innovation and Technology Expert Advisory Group, said: 'Depending on the sector a business operates within, it is vital that company directors assess not only the opportunities and risks presented by generative AI, but also take stock today of the factors upon which the sector itself will transform.'