Researchers assert that the gender imbalance in technology investment, which predominantly favors males, requires immediate attention and rectification
A government-backed organization emphasizes the pressing concern of gender disparity in artificial intelligence (AI) investment. The Alan Turing Institute’s report reveals that female-founded AI startups accounted for only 2% of investment deals in the past decade. When these companies do secure funding, they typically raise an average of £1.3 million per deal, significantly less than the £8.6 million raised by all-male founder teams.
The past year has witnessed substantial growth in AI software investment. A Goldman Sachs report anticipates that global AI investment will approach $200 billion (£166 billion) by 2025. Additionally, a recent Bloomberg report suggests that generative AI could become a $1.3 trillion market by 2032.
Dr. Erin Young, a research fellow at the Alan Turing Institute, emphasized the pressing need for equal access to the technology and venture sectors for women and minorities, given the recent surge in interest and investment in AI, particularly generative AI. She pointed out that venture capital firms influence the business models of the startups they support, and their investments often align with their own networks and values, ultimately influencing the technologies that are developed. Promoting inclusivity in the venture capital space can play a crucial role in promoting responsible AI design, addressing AI biases, and fostering innovation.
The report proposes recommendations for enhancing gender balance, including enhancing recruitment practices, monitoring investment strategies, and diversifying the ecosystem.
The demand for generative AI products is on the rise, with major tech companies making substantial investments. Microsoft, for instance, has invested a reported $10 billion in OpenAI’s ChatGPT, following its initial investment in OpenAI in 2019.
Gender diversity gaps exist throughout the investment sector, and progress rates for ethnic and racial groups within firms vary significantly.
Recent instances of bias in AI products include passport checkers operating less effectively with darker skin tones and the development of tools that inadvertently reinforce gender stereotypes in society.
In 2019, a United Nations agency discovered that attributing female genders to digital assistants like Apple’s Siri and Amazon’s Alexa contributed to the reinforcement of detrimental gender biases. Consequently, both companies have introduced alternative options.
