Meta Study Shows Open-Source AI Models Like Llama Catalyst For Economic Growth

Many businesses utilise open-source artificial intelligence models because they are more affordable.

According to a recent report commissioned by Meta and published by Linux Foundation Research, nearly half of organisations cite cost savings as a rationale for selecting open source AI, and two-thirds of organisations think it is less expensive to install than proprietary models.

The immediate economic benefits of open-source AI — used in some form by almost nine out of 10 (89%) organisations that leverage AI — are key to its appeal.

"Open-source AI is a catalyst for economic growth and opportunity. As adoption scales across sectors, we’re seeing measurable cost savings, increased productivity and rising demand for AI-related skills that can boost wages and career prospects," said Hilary Carter, senior vice president of research at The Linux Foundation.

Open AI models like Llama are accessible to anyone at a low cost, or even for free, making it easier for developers to leverage them, drive growth and change the way they do business. According to the research study, open-source AI: 

Helps Smaller Businesses: Agile, open-source AI is used more frequently by smaller companies than by larger ones. This demonstrates the importance of open-source AI in boosting the innovation economy and assisting innovative businesses in becoming more competitive, as small and medium-sized businesses are frequently the catalysts for new ideas and products.

Reduces Costs: According to research, if open-source software didn’t exist, businesses would have to pay 3.5 times as much. As AI adoption rises, open-source models would result in even greater cost reductions than conventional open-source software. 

Creates Potential Revenue Gains: AI’s over 50% reduction in business unit costs—for instance by simplifying complex processes—indicates that open-source AI has potential in increasing revenue and optimising resources. 

The report also notes that holding AI-related skills could increase a worker’s wages up to 20%, emphasising the importance of workforce development in the AI age.

Open source AI has the potential to transform sectors such as manufacturing, where its open-source code makes it simple to customise models and integrate them into operational procedures. According to a McKinsey & Company analysis, AI will boost the advanced manufacturing sector by $170–$290 billion by automating factory tasks and order management.

In healthcare, open-source AI can aid in patient diagnostics and early disease detection. McKinsey projects that the global healthcare sector stands to gain $150-260 billion in value from AI. 

These data points show how open AI models, like Meta’s Llama, are driving innovation, growth and competition by providing powerful and accessible AI solutions.