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AI and robotics are transforming workplaces across the globe. In China, following DeepSeek AI’s announcement of the DeepSeek R1, which rattled tech sector worldwide, UBTech, a Chinese robotics manufacturer, aims to mass-produce AI-enabled industrial humanoid robots capable of assisting with domestic chores by the end of 2025. In the US, robotics startup Skild AI could achieve a valuation of US$4 billion if SoftBank leads its $500 million funding round. Skild AI is developing a scalable foundation model for robotics, allowing machines to interact with humans safely and dexterously.
These tech developments lead to increased concerns about job displacement. Some argue that while technology enhances roles for certain workers, it may displace others.
For example, a PwC study predicts that 21 percent of existing jobs in China’s service sector could be displaced by 2038.
In the hospitality sector, another study estimates that robots could replace up to 25 percent of the global workforce by 2030.
Despite these concerns, the hospitality industry appears to welcome new technologies. AI and robotics are seen as viable solutions for the sector’s prolonged manpower shortage, especially having demonstrated their effectiveness during the global pandemic.
A harmonious partnership between technology, integrated through a customer and human-centric approach, and employees will streamline operations without sacrificing the personal touch essential for exceptional hospitality services, believes Professor Sungwoo Choi, Assistant Professor at the School of Hotel and Tourism Management at the Chinese University of Hong Kong (CUHK) Business School.