Artificial Intelligence (AI) is quickly reshaping the world. AI started as simple rule-based programs to power chatbots and self-driving cars. The broad spectrum of AI, including Narrow, General, and Super AIs, is too vast. Although we have made considerable strides in AI development in the last few years, we are still a long way from General and Super AIs, which are still theoretical.
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Believe it or not, we are still perfecting Narrow AI, which is essentially an AI designed to perform a single function efficiently. However, there is a subset of Narrow AI that is progressing really fast and that all of us are very familiar with, even if some of us may not realize it. We are talking about Generative AI or Gen AI.
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Almost all the recent developments in the world of AI, whether ChatGPT, DeepSeek, or stable diffusion models, are part of Gen AI. As companies rush to adopt AI-driven product development and business operations, the relevancy of Gen AI is growing daily.Â
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Gen AI is helping businesses overcome age-old problems like slow and low-quality content creation and product development challenges. According to a McKinsey report, GenAI could increase AI’s total economic impact by 15–40%. This means that businesses that leverage GenAI early can tap into a massive growth opportunity.Â
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This article will help you better understand Gen AI and use AI-driven product development to boost your productivity and gain a competitive edge.Â
What is Gen AI, and why Does Your Business Need it?
Gen AI or Generative AI is often described as a subset of AI that enables you to ‘generate’ new output based on a prompt you provide. These outputs can include everything from text, images, videos, and even code. However, in its current capability this definition is an oversimplification of what Gen AI actually does for businesses.
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Today, we live in a world of AI-driven product development where Gen AI is fueling innovation by assisting, enhancing, or automating different stages of product development. Unlike traditional AI, which primarily analyzes data and predicts outcomes, Gen AI can learn from structured and unstructured data. As a result, Gen AI can now master complex subjects and drive intelligent decision-making.
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Hence, in today’s world, the definition of Gen AI should be more inclusive of its full capabilities. A more accurate definition of Gen AI is that it is a subset of AI that not only generates new content, designs, and solutions but also enhances automation, optimization, and problem-solving capabilities.
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Several businesses already employ Gen AI in various aspects of their business, including data analysis, pattern recognition, product design, and customer service. Take the use of AI in financial services, for instance. The McKinsey report states that Generative AI could add $200 billion to $340 billion annually in banking by improving efficiency and decision-making​.
The report also discusses Morgan Stanley’s use of an OpenAI-powered chatbot to help its 16,000 financial advisors provide highly relevant and accurate answers to its customers. Gen AI-driven product development is also becoming popular in various industries.
Why do Businesses Need Gen AI?
Gen AI now plays a critical role in business operations, from data analysis to AI-driven product development. In fact, the McKinsey report states that 75% of Gen AI’s business value lies in four key areas.
- Customer operations
- Marketing and sales
- Software engineering
- R&D (Research and Development)
We even saw how companies like Morgan Stanley use AI in financial services. However, the applications of Gen AI extend far beyond that. Businesses in retail & eCommerce, healthcare, and even manufacturing are using Gen AI. Here are some ways you can use Gen AI for your business.
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- Automating Customer Service (AI chatbots)
- Content & Marketing Automation (AI-generated blog posts, ad copies, and personalized emails)
- Sales & Lead Generation (AI-powered CRMs)
- Financial Risk Management (AI fraud detection and pattern analysis)
- Software Development (AI-assisted coding)
How to Use Gen AI to Drive Innovation and Growth for Your Business?
Gen AI is an excellent catalyst for business growth and innovation. However, the adaptability of Gen AI for your business operations depends solely on you and your business. Ideally, you should seek help from a reliable AI Development Company like NewAgeSysIT to identify unique opportunities for Gen AI adoption.
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Seeking help from an expert enables you to implement advanced strategies incorporating Gen AI, including AI-driven product development and AI in digital transformation. Below, you can find some innovative ways companies use Gen AI in their operations and drive business growth.Â
What is the Role of Gen AI in Product Development?
Gen AI-driven product development enables businesses to have faster prototyping and cost-efficient production. It paves the way for rapid concept development and testing. Another McKinsey report highlights how a major automotive company used GenAI to create 25 dashboard designs in two hours instead of a week.
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The report further says that Gen AI reduces product development cycles by 70%, freeing up significant time for consumer testing and optimizations. Here are other ways to use AI-driven product development to benefit your business.Â
What is the Role of Gen AI in Financial Services?
Financial services are one of the niches that are innovating fast in terms of Gen AI adoption. As mentioned, big corporations like Morgan Stanley use AI in financial services by implementing an advanced chatbot to help their financial advisors.Â
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As you can imagine, industries like finance thrive on accuracy, speed, and risk management – all of which Gen AI can help streamline. It is advisable to have the backing of expert FinTech Software Development Services providers like NewAgeSysIT for innovative use of AI in financial services. Here are some ways you can use Gen AI in finance.
- AI-powered customer engagement
- Customer profile analysis
- Personalized financial recommendations
- Fraud detection and risk analysis
- Market research and investment analysis
- Real-time suspicious transaction detection
- Faster legal and financial reporting
- Market research and investment strategyÂ
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What is the Role of Gen AI in Retail & eCommerce?
Much like AI in financial services and product development, Gen AI also significantly contributes to streamlining operations in retail and eCommerce. Mckinsey states that retail and eCommerce could generate $400B—$660B in additional value with the help of AI-driven automation. With the help of an expert eCommerce Development Services provider like NewAgeSysIT, you can implement the following AI-driven solutions for your business.
- AI-powered personalized shopping
- Customer behavior analysis
- AI in pricing and inventory management
- AI-driven dynamic pricing (demand/trend-based)
- AI-enhanced marketing (product descriptions to ad copies)
- AI in customer support (chatbots)
What is the Role of Gen AI in Healthcare & Pharmaceuticals?
According to the McKinsey report, healthcare and pharmaceutical brands could unlock $60B–$110B annually via AI-powered drug discovery, diagnostics, and personalized treatment​. Like other industries, AI-driven product development can also benefit the healthcare and pharmaceutical industries. With the help of healthcare software development services companies like NewAgeSysIT, you can use Gen AI to achieve the following results:
- Faster drug discovery via reduced R&D time
- AI-based medical images and patient data
- Automated anomaly detection
- AI-based patient admissions and staff allocation
- Reduced waiting times and enhanced resource efficiency
As you can evidently see, Gen AI is more than just ChatGPT or DeepSeek. It has the potential to change the world. However, innovatively using Gen AI and implementing such advanced capabilities is nearly impossible without the right expertise.Â
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At NewAgeSysIT, we help you overcome this challenge by offering our AI and software development expertise. Whether leveraging AI in digital transformation or implementing industry-specific AI solutions, we can help you achieve your goal and maximize your output.
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CTA: Integrate Gen AI into your business and streamline your operations with the help of a leading AI development company!
