The Banking Executive Magazine - January 2023 Issue

Technology Outlook 2023 technology becomes even more ubiquitous, innovation will acceler- ate in 2023. Economically, in 2023 experts see that we are in a bit of trouble, but some amazing technolo- gies are coming to market. Starting with the prediction of loom- ing global economies and intensified crises, this article presents an outlook of technology in 2023. This outlook covers digital transformation, emerg- ing technologies (Artificial Intelli- gence AI and robotics, cloud computing, edge computing, meta- verse, big data), cybersecurity, tech- nical devices (Personal Computers PCs, vehicles, televisions, mobile phones), technology regulation, and supply chain transformation. This outlook is built based on the review of world top forecasts and predic- tions from Harvard Business Review, Euronews, CNN, e-news, Statista, IEEE, All Things Distributed, Tech- news-world and big technology firms such as CISCO, BMC Software and others. The article concludes with fu- ture trends and what will matter next in year 2023 for banks and financial institutions. LOOMING GLOBAL ECONOMIES, WARS, CRISES AND ENDEMIC Experts sees that the 2023 economy looks ugly. The last few years were not great for several reasons, but mostly because governments did not deal with the pandemic well. Shut- downs crippled the supply chain, and when people started coming back, they wanted to buy products, which created an imbalance be- tween supply and demand. In addi- tion to this, government agencies are doing terrible things to interest rates. In 2023 there will be high-interest rates on borrowing and high-interest rates on savings. More effort is needed to shift perceptions so that buying behavior changes rapidly enough to mitigate the problem. China will remain a problem largely because its Covid responses are fail- ing, and its government is unwilling to ask for help. China’s vaccines ap- pear ineffective, but instead of seek- ing foreign vaccines that work, they struggle with being overwhelmed by sick people. These circumstances may force an ill-advised war with Taiwan. This suggests that China’s military, like Russia’s, may not be able to perform as well as Chinese leadership expects. Manufacturing in Taiwan and exports from China will create a new and even bigger supply chain problem. Ukraine is not expected to be able to recover its manufacturing capacity until two to five years after the war ends. But with ongoing war, it is likely to continue to have shortages tied to Ukrainian manufacturing through 2023, especially in chips which are critical part of most elec- tronics, including cars. The International Monetary Fund IMF projected that global growth will fall to 2.7% in 2023. Three factors may cause economic recession in 2023: • Central Banks role: inflation is the most immediate threat to current ISSUE 169 JANUARY 2023 the BANKING EXECUTIVE 9