Welcome to our 2023 tech forecasts. We’ve compiled a list of what we expect to see in the tech industry. These topics will shape future technology, from AI-powered cyberattacks to social media developments. This report helps you stay informed about how these changes affect your business and the IT industry.
ChatGPT and GPT3: AI Set to Dominate and Cause Cyberattacks?
Artificial intelligence (AI) has the power to transform the way we live and work but carries the risk of malicious uses. ChatGPT and GPT3 are two advanced language models developed by OpenAI. Both can generate malicious code and conduct high-fidelity phishing campaigns.
According to a report by Business Insider, Google has issued a “code red” alert about the potential dangers of ChatGPT. This warning stresses caution when using and creating AI and enforcing strong cybersecurity measures.
While the potential of AI to be disruptive as search engines are exciting, consider the risks and take safeguards to ensure the ethical use of this technology.
Nation-State Cyberattacks: A Continuing Threat
In 2023, nation-state cyberattacks will likely continue. These are cyberattacks sponsored by a country’s government against other countries or organizations. These attacks range from espionage to disruptive actions and have severe outcomes for the targeted.
There have been many reports of nation-state cyberattacks in recent years. In 2020, China-based hackers targeted organizations involved in the COVID-19 response. And in 2019, Russia targeted the Ukrainian power grid.
Organizations need strong cybersecurity measures in place. This standard includes updating software and systems, training employees, and cyberattack response.
Cryptocurrency Field Set to Shrink: Only a Few Profitable Players Remain
We expect the cryptocurrency field to shrink in 2023, with only a few profitable players. We’re basing this on the current market, where most cryptocurrencies have little value. Many of these cryptos are scams or need more adoption to be viable long-term investments.
The regulatory landscape for crypto is becoming hostile. Nations are cracking down on activities like money laundering and fraud. This hard measure will deter investment, leading to many smaller cryptocurrencies’ failure.
Only a few companies with solid fundamentals and a clear value proposition will thrive in this atmosphere. These include Bitcoin, Ethereum, and a few cryptocurrencies that have proven their worth.
Cryptocurrency
Economic Tension Leads to Innovation and Startup Growth
Economic uncertainty, like recessions, can lead to growth in the startup industry. The downsizing of corporate businesses gives software engineers time to start their ventures. And the labor market favors nimble startups during economic stress. Some examples of this trend include:
- The 2008 financial crisis caused many businesses to downsize, leading to a surge in entrepreneurship and the birth of Uber and Airbnb.
- Businesses founded during a recession are more likely to succeed than those during a stable or growing economy.
False Claims Act and Whistleblowers: A Year of High-Profile Cases
According to Forester, in 2023, whistleblowers may make headlines outside the tech industry. The False Claims Act allows people to report fraud in government contracts and receive a part of recovered funds.
The Cybersecurity Maturity Model Certification (CMMC) program helps protect the defense industry from cyber threats and ensures compliance with regulations. It also has provisions for whistleblowers to receive payment for their claims.
Increased Outsourcing of IT Talent: Companies Turn to 3rd Parties for Skilled Staffing
Downsizing may be necessary for companies looking to stay agile during economic turbulence. But finding skilled staffing at an affordable price may be a challenge due to the current low unemployment rate. As a result, we predict an increase in the outsourcing of IT talent to third-party providers in 2023.
There are several reasons why outsourcing IT talent may become more prevalent:
- Downsizing businesses may give software engineers time to start their ventures or work for nimble startups.
- The labor market may favor startups, making it more difficult for larger companies to compete for top talent.
- Companies may turn to outsourcing as a cost-effective solution to meet their demand for skilled IT professionals.
The benefits of outsourcing are evident: access to a broader pool of skilled professionals and the ability to scale as needed.
While outsourcing talent can bring many benefits, it’s essential to consider the drawbacks. These may include a lack of control over processes and potential communication issues.
Onshoring of US Semiconductor Production: A Response to COVID-19 and National Security Concerns
The United States plans to bring semiconductor production back home in 2023. This idea is due to disruptions to global supply chains caused by the COVID-19 pandemic and national security concerns.
The CHIPS Act encourages domestic production and supports R&D in this field.
Onshoring semiconductor production will reduce support on foreign supply chains. It allows for an increased ability to respond to disruptions. Additionally, domestic production can create jobs and stimulate economic growth.
To support the onshoring of semiconductor production, the CHIPS Act includes some provisions, such as:
- Tax credits for companies that produce semiconductors or related technologies in the US.
- Grants for research and development of advanced semiconductor manufacturing technologies.
- Funding for the construction or expansion of domestic semiconductor manufacturing facilities.
The onshoring of semiconductor production will positively impact the US economy and national security in 2023 and beyond.
Radical Changes to Social Media in 2023: Decentralization and Moderation Legislation
Social media platforms in 2023 will look very different from what we have today. Here are some specific changes we predict:
- Decentralized social media, such as Mastodon, will become more popular. Decentralized platforms are not owned or controlled by a single company. This allocation of ownership makes them more resistant to censorship and manipulation.
- Some legacy social media platforms, like Facebook and Twitter, may allow users to opt-in to unmoderated versions. This opt-in is a response to moderation legislation passed in states like Florida and Texas. These laws require social media companies to allow users to view censored content.
- Twitter may undergo significant changes in the coming year. The platform may either be a shell of its former self or no longer owned by Elon Musk.
- Government probes into social media, particularly TikTok and Twitter, are expected to continue in 2023.
Virtual Reality Remains a Vision for the Future: AI Goes Mainstream
While VR has been around for a while, it has not yet become mainstream. In 2023, we expect this to continue as VR faces several challenges:
- Current VR systems need to be more light and comfortable to wear, which can discourage adoption.
- VR systems can be pricey, with the cost of hardware and content often restrictive for many buyers.
- VR has yet to find a mass market application, limiting its growth.
- Other technologies, such as augmented reality (AR), allow users to experience computer-generated images overlaid in the real world, which may also impact VR acceptance. AR does not need specialized hardware.
While we expect progress in the VR industry in 2023, it is unlikely to go mainstream due to these challenges.
Q-Day: The Possible Arrival of a Game-Changing Technology
“Q-Day” may arrive in 2023, marking the creation of a quantum computer powerful enough to break modern encryption. Quantum computers use qubits instead of traditional bits to perform tasks faster than classical computers.
Q-Day, the theoretical day when this occurs, will likely remain a state secret due to its implications for cyber and national security.
Q-Day: Potential Consequences and Implications
- Obsoletion of current encryption methods, exposing sensitive data to unauthorized access
- Ability to simulate complex systems and perform tasks currently impossible with classical computers
- Potential impact on businesses, governments, and individuals
Despite the possible effects of Q-Day, there are also limitations to quantum computers. They are costly, hard to build and maintain, and prone to errors due to reliance on fragile quantum states.
It’s still TBD whether companies will overcome the constraints of quantum computers or if it remains a theoretical technology.
Recap
Some key tech trends to watch out for in 2023:
- Cybercriminals will be more sophisticated with AI-powered attacks.
- Governments and nation-states continue to ramp up their cyber espionage efforts.
- The crypto market will go through a shakeup, with only a select few players surviving.
- Economic uncertainty will drive a surge in innovation and startup activity.
- The False Claims Act and whistleblowers play a prominent role in exposing wrongdoing.
- Growing demand for skilled IT professionals leading to an increase in outsourcing
- The US will bring more semiconductor production back home to bolster national security.
- Social media platforms will change, including decentralized options and raised government scrutiny.
- Virtual reality remains a futuristic dream, with AI emerging as the dominant technology.
- The possibility of a quantum computer is strong enough to break all modern encryption. However, it may remain a guarded secret.
Contact us to find the right solutions for your business. Our team is ready to help you navigate modern IT and drive your company forward. Don’t let outdated technology hold you back – let us help you embrace agility.
