In the first part of this two-part article, we take a look at the current and future trends and implications of AI for outsourcing based on our expertise as specialist technology and outsourcing lawyers. We aim to examine how AI will impact traditional forms of IT outsourcing and business process outsourcing (BPO), excluding the outsourcing of AI development, implementation, and deployment – or “AI as a service.”
Some predictions in the outsourcing industry suggest radical changes due to AI, such as the end of traditional outsourcing methods, the replacement of call centers with AI-driven chatbots, and the elimination of human involvement in outsourced processes. However, the reality is uncertain, and the true impact of AI remains to be seen.
As AI continues to evolve, it is expected to play a significant role in transforming outsourcing services across various industries, including infrastructure management, cybersecurity, and process automation. Although AI may lead to changes in job roles within outsourcing services, human expertise will still be essential in developing, integrating, and auditing AI systems to ensure compliance with laws and regulations.
In the next part of this article, we will explore how the integration of AI in IT outsourcing and BPO will affect outsourcing relationships and contracts for customers and providers.