JULY 22 — Artificial intelligence is often described as the next industrial revolution. However, one question receives far less attention: who will be left behind?

Today, another dimension is beginning to emerge. As artificial intelligence (AI) becomes increasingly integrated into workplaces, schools, and everyday life, a new question is gaining importance. Could access to AI become one of the defining factors shaping future inequality?

Consider two graduates entering the workforce at the same time. Both possess similar qualifications, comparable academic performance, and equivalent levels of motivation.

However, one has learned to use AI tools effectively to improve productivity, analyse information, automate routine tasks, and enhance decision-making. The other has not.

Several years later, the gap between them may be substantial. The difference may not be driven by intelligence, effort, or ambition. Instead, it may stem from unequal access to digital capabilities that are becoming increasingly valuable in the modern economy.

This possibility should concern us. Artificial intelligence is often discussed in terms of innovation, economic growth, and productivity. Headlines frequently focus on whether AI will replace jobs or create new industries. While these discussions are important, they can sometimes overlook a more fundamental issue. The benefits of technological advancement are rarely distributed equally.

The scale of this transformation is significant. According to the International Monetary Fund (IMF), AI is expected to affect nearly 40 per cent of jobs globally, with advanced economies experiencing even higher levels of exposure. The IMF further warns that without appropriate policies and investments, AI could worsen existing inequalities by disproportionately benefiting those who already possess higher levels of education, skills, and digital access.

Historically, every major technological transformation has created both winners and losers. The Industrial Revolution rewarded those who adapted to new production methods. The digital revolution created opportunities for individuals with access to computers, internet connectivity, and digital skills. Those without such access often struggled to keep pace.

The AI revolution may follow a similar pattern. The challenge is no longer simply about internet access. Malaysia has made considerable progress in expanding digital connectivity.

According to the Department of Statistics Malaysia (DOSM), internet usage among individuals aged 15 years and above exceeded 97 per cent in 2024, reflecting the country’s significant digital progress. Smartphones, mobile networks, and online platforms are now widely available across much of the country.

However, the new divide may not be about being connected. It may be about knowing how to benefit from that connection.

A person with access to AI tools can complete tasks more efficiently, learn new skills more quickly, and access information at unprecedented speed. Businesses that successfully integrate AI may become more competitive. Workers who understand how to collaborate with intelligent technologies may become more productive and valuable in the labour market.

In fact, evidence suggests this shift is already underway. A recent survey by Ernst & Young (EY) Malaysia found that 93 per cent of Malaysian employees are already using generative AI at work. In comparison, 81 per cent reported significant time savings and 76 per cent experienced productivity improvements. These findings suggest that AI is no longer a future technology. It is increasingly becoming part of everyday work.

Those who lack these capabilities risk being left behind. This concern is particularly relevant for young people entering the workforce. While AI creates new opportunities, it also changes the skills that employers value. Routine tasks are increasingly automated, while demand grows for workers who can interpret information, solve complex problems, communicate effectively, and work alongside intelligent technologies.

For some individuals, adapting to these changes will be relatively straightforward. For others, especially those from disadvantaged backgrounds, the transition may be considerably more difficult.

The challenge extends beyond employment. Students with access to AI-assisted learning tools may gain educational advantages over those without similar resources. Small businesses that adopt AI-driven solutions may outperform competitors that lack the knowledge or capacity to do so. Communities with stronger digital ecosystems may attract greater investment and economic opportunities.

Over time, these differences can accumulate. What begins as a gap in digital capability may eventually become a gap in income, productivity, and social mobility.

This concern is particularly relevant in Malaysia. Research by the Institute of Strategic and International Studies (ISIS) Malaysia estimates that approximately 4.2 million Malaysian workers, or 28 per cent of the labour force, are highly exposed to generative AI technologies.

When workers with medium-high exposure are included, nearly half of Malaysia’s workforce could see a significant share of their tasks transformed by AI.

From a development perspective, this raises important questions about how we define poverty and vulnerability in the future.

For many years, poverty policies have focused on improving income, education, and living standards. These remain essential priorities. However, future inequalities may increasingly be shaped by a person’s ability to access, understand, and utilise emerging technologies.

This idea aligns closely with the Capability Approach developed by Amartya Sen, which emphasises that development is not simply about possessing resources, but about having the capability to use those resources to improve one’s life.

In the age of artificial intelligence, access alone may not be enough. Individuals must also possess the knowledge, skills, and confidence to benefit from technological change.

The implications for Malaysia are significant. As the nation advances under the Thirteenth Malaysia Plan (RMK-13), digital inclusion should not be understood solely as providing internet access. It should also involve strengthening AI literacy, expanding digital skills training, supporting lifelong learning, and ensuring that technological opportunities are accessible to all segments of society.

Particular attention should be given to rural communities, students from lower-income households, informal workers, and small businesses that may face greater barriers to digital transformation. Without targeted support, existing inequalities could become reinforced by technological change.

This does not mean that AI should be feared. On the contrary, artificial intelligence offers enormous potential to improve productivity, expand access to knowledge, and support economic growth.

Malaysia itself is positioning AI as a strategic growth sector, with more than 280 AI-related companies operating in the country and national ambitions to expand the AI ecosystem further in the coming years.

The challenge is not the technology itself. The challenge is ensuring that its benefits are shared broadly rather than concentrated among those who are already advantaged.

Malaysia has made meaningful progress in reducing poverty. In 2024, the absolute poverty rate stood at 5.1 per cent, while hardcore poverty declined to 0.09 per cent. However, the relative poverty rate remained at 16.7 per cent, highlighting that many households continue to face challenges in achieving economic security and opportunities.

As technology transforms society, these vulnerabilities may increasingly take new forms.

The future of inequality may not be determined solely by how much income people earn. Instead, it may depend on who can effectively work alongside intelligent technologies and who cannot.

Because in the decades ahead, the most important divide may not simply be between rich and poor. It may be between those who can benefit from artificial intelligence and those who are left behind by it.

*The author is a Research Fellow Post Doctorate at the Ungku Aziz Centre for Development Studies (UAC), Universiti Malaya, and can be reached at nikzirwatul@um.edu.my.

** This is the personal opinion of the writer or publication and does not necessarily represent the views of Malay Mail.