Hi Everyone,
I hope this post is not too late to reach all of you, but I wanted to share this article that I came across regarding AI CEOs now that the exam season has just ended. It was intriguing to read about how Swedish company Klarna released a video of their CEO Sebastian Siemiatkowski delivering an update on its financial results for the first three quarters of the year; however, it was later revealed that while the information conveyed in the video was accurate, the video was created solely through AI – not by Siemiatkowski himself.
Klarna is a young, tech-focused, online shopping company that recently filed for IPO in November 2024. Their youth allowed them to pull off this bold move successfully. Currently, AI is seen more as a toy in the business world. It may have novel functionality, but the practical usage of the technology is limited. By releasing an AI video of Siemiatkowski announcing financial information, Klarna pushes the envelope by utilizing AI in a very central capacity.
If they were a more institutional corporation such as the Bank of America, the use of AI in their business operations might be viewed negatively. People don’t currently place a lot of trust in AI. The article cites Edelman’s 2024 Trust Barometer, stating that 48% of Americans would feel more positively about AI if it evolved at a slower pace. Further, consumers may view the use of AI in corporate interactions to mean that the company “doesn’t care about them”. If more established companies were to start incorporating AI into their business operations, they may lose the trust of consumers.
However, companies like Klarna are uniquely positioned to promote and experiment with the usage of AI. Their younger consumer base are more flexible and open to experimentation. Online shoppers are also a subset of consumers that, by nature, are more amenable to interactions through a screen. This allows Klarna to continue to experiment with the role of AI in the operation of their corporation.
The article also discusses the possibility that AI might replace top leadership positions at companies. In a 2023 survey of 800 C-suite executives, 47% said most or all of the CEO’s role could be replaced by AI. While AI is likely far from setting the direction of a company, shaping the culture, and managing relationships, this video release by Klarna also hints at a future where the role of a CEO begins to diminish into a figurehead.
Klarna’s actions make AI more of a mainstay in the corporate world, and make incremental steps to build consumer trust in AI. Perhaps these decisions by Klarna (and other companies like Klarna) will establish a foundation for AI in the hearts of consumers to the extent that even the Bank of America may utilize the technology without harming their brand. At that point in the future, the role of a CEO may be unrecognizable.
Sources:
https://www.inc.com/emilymccraryruizesparza/klarna-ai-generated-video-ceo-financial-results/91034779
