Lecture on Fourth Industrial Revolution

Introduction

• First introduced in Swiss mountains
• Phrase: “Fourth Industrial Revolution”
• Popular among academics, politicians, business leaders

Key Concepts

• Coined by Klaus Schwab, founder of the World Economic Forum
• Described in Schwab's book
• Technologies like AI, autonomous vehicles, IoT
• Examples: voice-activated assistants, face ID, healthcare sensors
• Introduced at World Economic Forum, Davos, 2016

Historical Context

First Industrial Revolution

• Started: Great Britain, ~1760
• Spread: Europe, North America
• Key invention: steam engine
• Results: new manufacturing processes, factories, booming textiles industry

Second Industrial Revolution

• Timeframe: late 1800s
• Marked by: mass production, new industries (steel, oil, electricity)
• Major inventions: light bulb, telephone, internal combustion engine

Third Industrial Revolution

• Also known as: Digital Revolution
• Timeframe: second half of the 20th century
• Major inventions: semiconductor, personal computer, internet

Fourth Industrial Revolution

• Main difference from Third: merging of technology with human lives
• Faster technological change
• Adoption speed comparisons:
  • Telephone (75 years for 100 million users)
  • Instagram (2 years for 100 million users)
  • Pokemon Go (1 month for 100 million users)
• Example: 3D printing
  • Growth: business idea to big business
  • 2015: ~200,000 shipments
  • 2020: ~2.4 million shipments
  • Applications: 3D-printed bone, bionic arm

Innovation and Challenges

• Increase in patents related to Fourth Industrial Revolution: AI, 3D printing
• Organizations embracing new technologies
• Struggles of companies and governments to keep up
• Inequality concerns:
  • Innovators, investors, shareholders benefit most
  • Billionaires driving majority of breakthrough innovations
  • Richest 1% owning nearly half of world's wealth
• Winner-takes-all economy
  • High-skilled workers vs. low-skilled workers
• Job displacement and demand for new skills

Privacy Concerns

• Digital transformation of industries: food, retail, banking
• Increased data collection from customers
• User concerns about privacy

Conclusion

• Many leaders not confident in organizational readiness
• Fast-changing tech landscape

Closing

• Presenter: Elizabeth from Davos, Switzerland
• Suggestion to view other CNBC Explains videos
• Invitation for comments and feedback