The future of the big tech sector is dark as startup innovations steal the innovation limelight
Artificial intelligence is responsible for advancing the greatest innovations in the history of mankind. AI is responsible for introducing the 4th industrial revolution that is challenging traditional tech solutions, innovations, and operations. Global industries are all welcoming artificial intelligence solutions with open arms and pushing towards a new paradigm change in organizational advancement. However, the year 2022 has been quite difficult in terms of development and next-gen innovation. The looming recession headwinds have made it extremely difficult for big tech companies to operate efficiently and offer avant-garde services based on industry demands. The big tech sector has not been able to cope with the downgrading economic conditions. Based on reports, the FAANG stock market reports indicate that the world’s 10 largest tech companies have lost almost 40% of their value. Meta single-handedly lost almost 70% of its value. Experts say that the future of the big tech sector is bleak and unless there arrives a holy grace that saves these companies from more possible financial losses, the recession will continue to incapacitate the big tech sector.
To avoid economic and financial crunches, big tech giants started conducting mass layoffs and hiring freezes. The ongoing trimming of the workforce by big tech companies is currently highly condemned by critics and aspiring techies alike. Tech graduates looking for a job in the big leagues are heartbroken, whereas, the laid-off techies are financially impaired as to what their next step should be. But this ongoing turmoil in the talent pool has become a blessing for tech startups. Experts believe that even amid adverse economic drought, tech startups will thrive with AI. These startups are hiring laid-off techies and skilled tech graduates in search of jobs. Most Indian employees who lost their jobs in the US were on H1-B visas and are currently being hired by these tech startups. Let’s dive deep to understand how tech startups are beating big tech companies in advancing innovation.
How is AI helping tech startups beat big tech giants?
Currently, almost all companies are working on making humans and machines collaborate and integrate efficiency in business operations. Now is the time when customers are laying back and cutting down on unnecessary costs, so businesses have to make more productive choices and offer services that have more significance in daily lives. So, startups are using AI to introduce a more personalized approach to help them stand out from the crowd. Tech startups strive to create data-driven decisions to stand out from traditional service providers.
Besides, analysts believe startups learn how to grab opportunities faster than tech giants. Modern tech startups know how to adapt their products to serve cutting-edge industry demands. Modern AI tools help startups identify new market opportunities to scale their operations quickly. Furthermore, high-growth startups focus more on using AI to automate rigorous tasks and manually focus on devising more critical tasks that will enable companies to deliver crucial innovations.
Most tech startups that have established themselves in the tech domain are well-aware that making data-driven decisions is the way forward. As AI takes the center stage, big tech giants will have to constantly look for new ways to democratize disruptive technologies, or else startups will take away growth opportunities.