The Impact of AI on Latin American Economies: A Warning Ignored by Many Leaders

Developed countries are set to reap the benefits of generative artificial intelligence (A.I.), leaving Latin American economies further behind, according to a report by the McKinsey consulting firm. While A.I. is set to add up to $4.4tn a year to the world economy, Mexico is only set to see increased economic efficiency of 2.9%, as lower wages mean less pressure on companies to adopt A.I. Furthermore, ChatGPT and other A.I.-powered tools are predicted to make up to 70% of tasks redundant, particularly in the region’s call centers, customer services and back-office operations, the study found. Latin American nations must embrace the next technological leap if they do not want to fall further behind, warned technology expert Fernando Vargas.