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Technologies 19/09/2024 The Future of Business: IBM on AI, Cybersecurity, and Uzbekistan’s Path to Digital Transformation

From left to right: Thomas Christensen, Vice President for IBM Ecosystem, and Iñigo Osoro Iturbe, IBM’s European Vice President for Ecosystem Marketing & Communications, and

Tashkent, Uzbekistan (UzDaily.com) — As the technological landscape continues to evolve, advancements in artificial intelligence (AI) and other cutting-edge innovations are reshaping the way businesses operate globally. In Uzbekistan, efforts to develop an AI strategy and accelerate digital transformation are gaining momentum.

In this interview, Iñigo Osoro Iturbe, IBM’s European Vice President for Ecosystem Marketing & Communications, and Thomas Christensen, Vice President for IBM Ecosystem, share their insights on these emerging technologies.

They discuss how IBM is positioning itself to meet the growing demands of the region, focusing on data security, AI governance, and the integration of AI into business processes. Additionally, they explore the opportunities and challenges facing Uzbekistan and Central Asia as they embark on their digital transformation journeys.

Can you provide an overview of IBM’s current initiatives and projects in Uzbekistan? How does IBM envision its role in the technological and economic development of the country?

Thomas Christensen: Obviously, IBM has been around for a long time, but you could almost say that we are reopening and reinvesting in this region, doing so through our partner ecosystem. Our go-to-market strategy primarily involves business partners.

We recently announced a second distributor in the market, which underscores our commitment to Uzbekistan and Central Asia, highlighting how we plan to develop IBM’s business through our partners. This is our main investment strategy. We aim to focus on two key areas: hybrid cloud and AI, which we believe are essential for digital transformation.

We hope and trust that we can be a key partner for Uzbekistan in this region, helping to accelerate the digital transformation that we believe is crucial for any country and company to capture the many benefits of digitization. Regarding AI, our approach is AI for business. It’s important for us to view AI and generative AI as business tools.


Thomas Christensen

While experimentation is fine, it becomes serious quickly. We have launched Watson X as our generative AI solution, based on three pillars: Watson X.AI, a platform for building AI models using IBM’s own models and other open models; Watson X.data, a data repository to ensure the right data is infused into models and managed properly; and governance to ensure AI functions as intended.

A unique aspect we’d like to highlight is our ability to operate in a hybrid mode, which means we can provide services both on-premises and in the cloud. If a company or country requires that data remain within its borders for sovereignty reasons, we can ensure that the data never leaves the premises or the country. We are unique in offering this capability.

Essentially, your data remains your data. Finally, we have proven solutions across many industries, which we use as a foundation when entering new markets. We replicate successful models from other regions, such as North Central Eastern Europe and Central Asia, and look forward to sharing these successes in this area.

What industries will benefit from your services the most?

Thomas Christensen: All industries will benefit. However, the primary beneficiaries will be the government public sector, financial sector, and telecommunications. These three sectors are central to digital transformation in any country, and subsequently, other industries will also see benefits.

What is the role of IBM Business Partners in Uzbekistan’s tech ecosystem? How does IBM support these partners, and what benefits does this collaboration bring to local businesses and institutions?

Iñigo Osoro Iturbe: Business partners play a crucial role in helping clients leverage the transformative potential of AI and hybrid cloud technologies. These are game-changer opportunities for them.

We have revamped our ecosystem to better support our business partners through the launch of Partner Plus and our partner programs.

From a benefits perspective, we aim to become essential to our partners in three key areas. First is the technology itself. We want to provide them with the best technology available in the market, helping them become key players in the AI, hybrid cloud, and automation sectors to better support their clients.

The second area is go-to-market support. We offer our business partners a clear and predictable joint go-to-market strategy where they add value to their clients, complemented by our technology and capabilities.


Iñigo Osoro Iturbe

Third, we assist in generating demand through our marketing programs and educational resources. This ensures that our partners have the capabilities they need to identify and pursue client opportunities through various marketing activities, including one-to-one, one-to-many, and broader campaigns. This helps them view AI, hybrid cloud, and automation in Uzbekistan as both a short-term and long-term opportunity.

Finally, IBM’s long-standing reputation as a trusted partner is critical. With over 110 years in business, having a reliable partner in the volatile IT industry is essential for discussions with government entities or major banks about AI, automation, or hybrid cloud solutions.

What are the latest AI trends that IBM is exploring, and how can these innovations be leveraged by businesses and institutions in Uzbekistan to drive growth and efficiency?

Iñigo Osoro Iturbe: The world of AI might seem to have started with ChatGPT, but its roots trace back to the 1950s with the Turing test. IBM has been a significant player throughout this history.

In the 1990s, we introduced Deep Blue, which competed in chess against Garry Kasparov. In the 2000s, we developed technologies like Jeopardy! champion Watson and Project Evader. Our involvement in AI has been long-standing.

Today, AI has become more democratized, with widespread access to free chatbots. The beauty of these free tools lies in their introduction to traditional AI, which focuses on predicting probabilities—such as the likelihood of a tumor being malignant or a customer defaulting on a loan.

Generative AI, however, represents a major shift. Unlike traditional AI, generative AI creates new content—code, images, chemical components, and more. This includes generating text, essays, and even poetry. Large language models are a prominent example of this new AI space, but there are also foundational models for various domains, such as chemistry, code development, and video.

The current and future AI landscape is radically different from earlier models. For example, AI can now automate HR processes, speed up hiring, and generate marketing content much faster. It can even automate digital marketing campaigns, transforming business functions across the board.

As AI continues to evolve, general AI—capable of all human cognitive functions and beyond—will bring new opportunities and challenges. IBM believes that AI must be transparent, safe, secure, and open. To this end, we have introduced our Granite model, a leading generative AI solution for businesses, and we are committed to sharing key developments and research with the community. This open approach is fundamental to our vision for the future of AI.

The Customs Committee of Uzbekistan has recently announced an AI project in collaboration with IBM. Can you provide details about this project and explain how it is expected to benefit Uzbekistan in terms of efficiency, accuracy, and overall improvement in customs operations?

Thomas Christensen: At this stage, it’s a bit early to provide specific details, but I can confirm that we are indeed collaborating with the Customs Committee on a project involving hybrid cloud and AI. For more specifics, we’ll need to wait for further developments.

However, I want to highlight our approach, which is exemplified by our concept of IBM Client Zero. When we work with organizations like the Customs Committee, we apply the same principles we use internally at IBM. We look at how we’ve implemented AI and automation across various business functions—HR, finance, legal, marketing, and others—to achieve significant operational efficiencies and savings, potentially in the billions of dollars. This approach helps in automating processes and enhancing service delivery.

We anticipate that a similar approach will be beneficial for the Customs Committee, improving efficiency, accuracy, and overall customs operations.

With increasing digitalization, security is becoming more crucial. How is IBM addressing security challenges for its clients, particularly in emerging markets like Uzbekistan? What are some of the key strategies and technologies IBM is employing to ensure robust security?

Iñigo Osoro Iturbe: Cybersecurity has evolved significantly. Companies and institutions now invest millions in advanced cybersecurity infrastructure, as cybercrime has also become highly professionalized, involving billions of dollars and thousands of skilled individuals.

IBM specializes in areas where we can provide significant value to our clients. One key area is data security, which is crucial since AI relies heavily on secure, well-managed data. We are committed to safeguarding data, which is a major focus for us.

Another important area is identity management, which is increasingly critical due to the rise in cybercrime. IBM is concentrating its efforts on developing robust solutions in this space.

Recently, we have entered into a partnership with Palo Alto Networks on threat management. They have acquired our QRadar technology in a SaaS mode, and we are collaborating to offer consulting services around their technology and our QRadar SaaS.

In addition to these, quantum security is becoming an area of growing relevance. Quantum computing presents both opportunities and challenges. Quantum encryption and decryption could elevate cybersecurity but also pose risks if used to break existing security measures. IBM’s QuantumSafe initiative aims to address these challenges by developing quantum-resistant security measures to keep pace with advancements in quantum computing.

Looking ahead, what emerging technologies or innovations does IBM see as pivotal for the future of business and technology in Uzbekistan? How is IBM preparing to meet these future demands and opportunities?

Thomas Christensen: We’ve touched on many of them, but let me start with where Iñigo left off regarding quantum computing. We are certainly the global leader in quantum research.

We believe that the era of quantum computing starts now. Although quantum computing is not yet widespread in conventional use, it’s essential to prepare for its future integration.

We consider ourselves the partner of choice with QuantumSafe. Our extensive history in encryption and our robust, high-performance infrastructure—such as mainframes, power systems, and storage—position us well for this future.

Preparing for the future means securing your data today with advanced encryption (Quantum Safe) on top of the methods used currently like VPNs and RSA encryption. We are ready to discuss how clients can secure their data for the future.

Infrastructure remains crucial. As we’ve mentioned, we advocate for a hybrid cloud approach. This means our technology, from mainframes to power systems and from SAP and Oracle workloads to our advanced storage solutions, they are all enabled for any cloud strategy you choose, while still delivering excellent performance.

You can also create your own private cloud, allowing you to leverage cloud capabilities within your data center and maintain data security, as discussed earlier. We believe this is a leading approach to infrastructure.

As for AI in business, we believe we have only scratched the surface. Research indicates that only 1% of enterprise data has been utilized in AI models. Currently, there is a lot of experimentation with AI, but to truly benefit from it—much like we do at IBM with our client solutions—you need to ensure the right data is used in models to achieve accurate and desired results.

When models are specifically designed for industries/purposes, real enterprise data are infused and governance is in place to ensure we can trust the AI guiding us and generating new content, we believe we have are starting to fully realize the potential of generative AI. This potential will accelerate in the coming years.

To conclude, I’d like to share a favorite quote of mine: “AI will not replace people, but people who leverage AI will replace those who don’t.” This isn’t an IBM quote, but my own personal belief. We need to embrace new technologies as we have for decades. AI won’t replace people but will enhance our work, allowing us to focus on creating value for businesses, our partners, and IBM.

Uzbekistan plans to develop a strategy for implementing artificial intelligence, including a two-year program of projects. What advice would you offer to the Uzbek Government to ensure the success of this initiative? Specifically, which areas should they prioritize, and what common challenges or pitfalls should they avoid based on global experiences with AI implementation?

Thomas Christensen: My first piece of advice would be to focus on AI for business. Rather than getting caught up in the hype of generative AI and the notion of merely doing something, it’s crucial to proceed with a well-structured approach. This means implementing AI in proper stages, ensuring robust security, and managing data effectively in a secure environment. Without these measures, unintended and negative outcomes may arise.

We recommend leveraging our extensive experience in government, public sector, defense, and other critical areas.

For instance, using the IBM Garage Method or Design Thinking with our Client Engineering Team and partners. Consulting with IBM Consulting, our business transformation arm, could also be beneficial.

Iñigo Osoro Iturbe: Governance is likely the most critical aspect. To complement what Thomas mentioned, the future of security involves integrating AI into security processes.

It’s crucial to automate cybersecurity processes with AI, as this is a key area of focus.

Additionally, AI is not a final destination. It is an ongoing journey. The current landscape features ad hoc models designed for specific tasks or data sets, but the need for AI is growing exponentially. Organizations that currently utilize a small number of models will soon require many more—potentially hundreds—as they scale.

Generative AI represents a significant shift, but it’s essential to understand the AI ladder concept. Effective AI implementation requires excellent data management—integrating, cleaning, orchestrating, and governing data. Once this foundation is in place, you can start analyzing and optimizing processes and infusing AI into them from the outset.

The biggest challenge is not just creating one or multiple models but ensuring that the data used in these models is well-managed and high-quality. This data-centric approach is crucial for the success of AI initiatives.

As we conclude, is there any critical issue or topic that we haven’t discussed today but you believe is important to address?

Thomas Christensen: I would like to emphasize the significant potential we see in Uzbekistan and Central Asia. Currently, we are hosting our Business Partners Summit with over 100 attendees discussing the topics we’ve covered today.

This summit underscores that digital transformation is a top priority here. Unlike other regions at different stages of their digital journey, Uzbekistan presents a unique opportunity for business partners to apply insights from more digitally advanced countries. The enthusiasm from clients, institutions, and the public sector in Uzbekistan indicates a readiness to accelerate their digital transformation efforts.

It’s been encouraging to hear this affirmation from our partners, and we are keen to support them in this journey. Thank you.

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