Technology and Innovation Report 2025
Frontier technologies, and AI in particular, are having a profound impact, reshaping not just production processes and labour markets but also the structure of societies. Their rapid diffusion has outpaced the ability of Governments to respond
Inclusive Artificial Intelligence for Development
Frontier technologies are advancing rapidly, with a market size projected to grow sixfold by 2033, to $16.4 trillion. Market power, research and development (R&D) investment, knowledge creation and the development and deployment of these technologies are dominated by technology giants from developed countries. Only 100 companies account for over 40 per cent of the world’s business investment in R&D.
China and the United States of America dominate knowledge generation in frontier technologies, with around one third of peer-reviewed articles and two thirds of patents. Similarly, there is a significant AI-related divide between developed and developing countries. This could widen existing inequalities and hinder efforts by developing countries to catch up.
As a general-purpose technology, AI can enhance other technologies and enable effective human-machine collaboration. The use of AI offers significant opportunities for businesses and countries to grow and to progress towards the achievement of the Sustainable Development Goals. However, it also presents various risks and ethical concerns. Decision makers need to know more about AI if they are to navigate its promises and perils, for sustainable and inclusive development.
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