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AI Literacy: The new essential skill for the 21st century

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By Siddharth Shahani, Co-founder and Executive President, ATLAS SkillTech University

If the 20th century was the age of the Second Industrial Revolution, also known as the Technological Revolution, the 21st century is the Digital Age with a rapid adoption of new technologies and a shift from traditional industries to an information economy. Driving this transformation is Artificial Intelligence (AI), which has shown tremendous growth in the last two decades. The impact of AI has been such that Andrew Ng, a British-American computer scientist and technology entrepreneur, has referred to it as the New Electricity, because just as electricity changed how the world operated and led to a massive increase in industrialisation, AI will impact every industry in the years ahead.

Today, AI is now deeply embedded in our daily lives, influencing everything from the recommendations we receive on shopping apps or OTT platforms to the way we interact with our smartphones. As AI continues to evolve at an unprecedented pace, understanding its capabilities, limitations, and societal impact is a necessity. This is where AI literacy comes in as the new essential skill that allows us to understand and engage effectively with AI.

Why AI literacy matters

AI is changing the very nature of work, rendering some jobs obsolete while creating new ones that require different skills. If you lack AI literacy, you are at greater risk of losing jobs and not fitting into the new system. But if you can use, explain, or develop AI, then you have a competitive edge in the job market.

AI literacy is also crucial beyond the workplace. AI is increasingly used in decision-making processes that impact our lives, from healthcare to financial services and more. Our eligibility for a loan could be evaluated by an AI algorithm. Without understanding how these systems work and the potential biases they may contain, we are at risk of being manipulated or subject to unfair decisions. As Melanie Mitchell, Professor at Santa Fe University, USA says in her book, Artificial Intelligence: A Guide for Thinking Humans, “We should be afraid. Not of intelligent machines. But of machines making decisions that they do not have the intelligence to make.” AI literacy empowers us to critically evaluate AI-driven systems and advocate for their responsible use.

Components of AI literacy

AI literacy is not only about technical proficiency, such as coding or data science. While these skills are valuable for those who will build and manage AI systems, we all need a broader understanding of AI. This includes knowing what AI is, how it works, and the different subsets of AI, such as machine learning and deep learning. It also involves understanding the history and evolution of AI, and what the future may hold.

We should be able to recognize AI in action and identify AI-driven applications in everyday life. This requires an understanding of how AI is used in various fields such as healthcare and finance. At the same time, we must develop the ability to critically evaluate AI and distinguish between hype and reality. This requires us to learn about the limitations of AI, including potential biases and ethical considerations.

As we are surrounded by AI, we must also be skilled in interacting with AI systems to use them optimally, such as voice assistants, chatbot interfaces, and other AI-powered tools. With GenAI LLMs (large language models) such as ChatGPT, Gemini and Claude, this also involves learning how to prompt AI systems effectively to achieve desired outcomes.

AI can also be wrong! Hence, we must consider the ethical implications of AI, including issues related to bias, fairness, transparency, and accountability that can affect the output or results. We must understand the potential societal impact of AI, both positive and negative, and the need for responsible AI development and deployment.

Promoting AI literacy in education

AI literacy must be integrated into the existing curricula across all levels of education. This could include introducing AI concepts and applications in various subject areas, as well as using AI tools to enhance learning experiences. Of course, educators must also be given skilling opportunities to build their own AI literacy and learn how to integrate AI tools and concepts into their teaching.

AI must be used to personalize learning experiences, providing tailored content, feedback, and support based on individual student needs. Intelligent tutoring systems, adaptive learning platforms, and AI-powered educational games can make learning interactive and interesting.

Learning activities should be designed to challenge students to think deeply about AI and its impact on society. Educators should encourage critical thinking with consideration of the ethical implications of AI.

The path forward

AI literacy is a concept that must evolve to keep pace with the rapid advances in technology. This requires collaboration among educators, researchers, policymakers, and technology developers. As we embrace the challenge and invest in fostering AI literacy for all, we will certainly unlock the transformative potential of AI and create a future where everyone can benefit from its possibilities. AI literacy is not just about preparing you for the jobs of tomorrow; it’s about preparing you to be informed, engaged, and empowered to succeed in a rapidly changing world. It’s about ensuring that AI serves you, not the other way around!

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