📺 Stream EntrepreneurTV for Free 📺

The Silent Revolution: Striking A Balance Between Innovation And Regulation Silently and gradually, artificial intelligence (AI) has become an integral part of our lives, seamlessly weaving its way into our daily routines, in ways we could never have imagined.

By Abdumalik Mirakhmedov

Opinions expressed by Entrepreneur contributors are their own.

You're reading Entrepreneur Middle East, an international franchise of Entrepreneur Media.


Silently and gradually, artificial intelligence (AI) has become an integral part of our lives, seamlessly weaving its way into our daily routines, in ways we could never have imagined.

From the technology that powers our smartphones, to the self-driving features in cars, the virtual agents capable of keeping up sophisticated conversations, and the tools that let customers virtually try on clothes before making a purchase, AI is everywhere.

While its progress may have gone largely unappreciated by many until now, generative AI applications like ChatGPT have changed all that, capturing the imagination of people worldwide with their versatility, accessibility, and ability to help create and communicate.

The bottom line, according to a study by McKinsey & Company, is that generative AI's impact on productivity could add trillions of dollars in value to the global economy.

The possibilities presented by AI are limitless, with it offering an extraordinary revolution where machines possess unimaginable thinking, learning, and creative abilities.

This revolution is reshaping the way we live, work, and interact, pushing the boundaries of innovation and imagination. However, as the AI industry becomes increasingly competitive, how many of today's brilliant ideas will survive to create long-term success for founders? What are the key factors that will drive startups forward?

Those addressing real-world problems, offering immediate potential for scalability, and delivering continuous innovation and adaptability, will have a major advantage. Other key factors include tangible value, data management, privacy measures, a strong business model, and differentiation from competitors. Trust and ethical practices are also vital for sustainable AI ventures.

For tech investors evaluating AI startups, meanwhile, cutting-edge technology, intellectual property, and a strong founding team, are critical aspects.

Entrepreneurs and startups face various challenges on their journey to scale a business. Limited capital access, market knowledge gaps, talent acquisition issues, inadequate resources, and regulatory obstacles can all impede progress.

Building scalable business models, forging strong partnerships, and efficiently managing resources are key factors in overcoming these challenges. Comprehensive support beyond cash investments, including mentorship, strategic partnerships, marketing, legal guidance, and access to specialized resources can accelerate growth.

When analyzing sectors with high growth potential, we can expect a rise in intelligent and user-friendly B2B tools. As the cost of training AI models decreases, companies are increasingly seeking efficient solutions to boost productivity, streamline operations, and enhance customer experiences.

Cloud computing, enterprise software, and cybersecurity represent areas experiencing exponential growth as businesses embrace digital transformation.

The surging popularity of gaming also shows no sign of slowing down, with the advent of virtual reality, augmented reality, and cloud gaming platforms continuing to expand the industry's horizons.

Industry forecasts point to gaming being on track to reach US$201 billion this year, a 9.2% growth from last year, with the market expected to continue growing at 8.9% annually, reaching $283 billion by 2027.

The future of gaming lies in Web3. Over the next 3-5 years, exponential growth will be driven by funding requirements to build active player communities.

Web3 functionality in games allows players to own in-game assets and participate in the game's advanced economy. Players have the right to make decisions on how the game is managed.

Increasing player engagement leads to more time spent on the game and more in-game transactions. By giving users ownership of in-game assets such as non-fungible tokens (NFTs), publishers and studios can fundamentally change their relationship with players, and create new opportunities for the exchange and transfer of in-game items between different games and players.

The future for high-performance computing (HPC) also looks increasingly bright. HPC is essential for industries requiring complex simulations, data analysis, and computational modeling.

The demand for HPC is growing in areas such as scientific research, drug discovery, weather forecasting, and finance. As data-intensive tasks become more prevalent, the need for HPC solutions is expected to increase.

Software-as-a-service (SaaS) is another rapidly growing sector. Providing businesses with cloud-based software solutions, SaaS offers cost-effective and scalable software access, eliminating the need for complex on-premises infrastructure. With the shift towards subscription-based models and remote work, the demand for SaaS solutions will continue to rise.

That said, while AI holds immense promise, it is essential to navigate ethical boundaries carefully. Privacy invasion, bias, and lack of transparency can challenge the ethical fabric of AI systems.

We must establish robust, principled frameworks, regulations, and responsible AI practices to ensure the protection of human rights, privacy, and societal values.

Collaboration between governments, industry stakeholders, and researchers is key to achieving this delicate balance, by establishing clear guidelines and standards for AI development, deployment, and usage, focusing on privacy, transparency, fairness, and accountability.

Striking a balance between innovation and regulation is vital. Prompt action can ensure a range of positive results beyond protecting privacy, also minimizing risks of discrimination, job displacement, and the malicious misuse of AI.

Related: Boomtown On The Blockchain: Where Old-School Finances Meet The Wild West Of Web3

Abdumalik Mirakhmedov

Co-founder and Director of Scalo Technologies

Abdumalik Mirakhmedov is an entrepreneur and investor committed to growing technologically advanced and industry-specific products across the areas of high-performance computing (HPC), software-as-a-service (SaaS), artificial intelligence (Al), and gaming.

Since 2020, he has served as the co-founder and Director of Scalo Technologies, now based in Dubai, which helps startup founders to build impactful technology companies, and generate sustainable growth across key sectors of the global digital economy.

Among Scalo Technologies’ investments are Megarender.com, a cloud rendering service for designers, architects and animation studios, Voctiv, a deep tech specialist that helps companies build AI-powered contact centres, Noah, an all-in-one money app to pay, save, earn, and Handl, which transforms documents into actionable data with the power of machine learning.

Abdumalik is also the founder and Executive President of Genesis Digital Assets, one of the world’s largest and most experienced Bitcoin mining companies.

Abdumalik previously served as a C-level executive at a number of international companies. These included leading mineral resources trader ATK Holdings, a joint venture between himself and Trafigura, and ENRC Marketing AG, a diversified natural resources producer of iron ore, coal, ferroalloys, and non-ferrous metals.

Born in Uzbekistan, he graduated from the University of Essex in the UK with a degree in economics, and he is fluent in English, Chinese, and Russian.

He is the Chairman of the Board of Trustees of Kzhol, a charity foundation engaged in rehabilitating children with neuroorthopedic diseases from low-income families and infant orphanages. Since 2011, 7,500 children with cerebral palsy have undergone comprehensive rehabilitation with the foundation’s help.

Abdumalik is also founder of the Mirakhmedov Foundation, which delivers clean drinking water into rural communities in many countries, while also providing medical treatment and social care to families in need.

Side Hustle

These Coworkers-Turned-Friends Started a Side Hustle on Amazon — Now It's a 'Full Hustle' Earning Over $20 Million a Year: 'Jump in With Both Feet'

Achal Patel and Russell Gong met at a large consulting firm and "bonded over a shared vision to create a mission-led company."

Business News

How Much Do Engineers, Software Developers, and Analysts Make at Apple? See Salary List

Using application data from highly-skilled foreign workers, Insider revealed a range of salaries at the tech giant.


9 Success Habits of Wealthy People That Cost Nothing

Money isn't everything but lack of money is a lame excuse for a lot things.


Want to Be More Productive? Here's How Google Executives Structure Their Schedules

These five tactics from inside Google will help you focus and protect your time.

Growth Strategies

Bolstering Bridges Between France And The GCC: A Look Back At The Inaugural Edition Of Vision Golfe

Held under the patronage of French President Emmanuel Macron, Vision Golfe was staged by Business France, a French government agency that supports the international development of the country's economy.