AI Could Unlock $450 Billion for Latin America by 2028

Artificial intelligence and automation technologies could unlock up to $450 billion ^[1] in economic value across Latin America by 2028.

This potential growth represents a fundamental shift in regional productivity, though the transition depends on how organizations manage the displacement of human labor. The economic windfall is tied to the ability of AI to streamline industries that have historically relied on manual processes.

Data indicates that more than 50 percent ^[2] of today's work hours in Latin America could be automated. This capacity for automation suggests a significant increase in efficiency for the region's workforce, provided the technology is integrated effectively into existing business models.

Despite the theoretical value, the actual rollout of these technologies is moving slowly. Only two percent ^[1] of organizations have fully scaled their AI deployment. This gap between potential and practice is driven by several systemic barriers.

High costs associated with robotics remain a primary deterrent for many firms. Additionally, the prevalence of lower wages in the region reduces the immediate financial incentive to replace human workers with expensive automated systems. Organizational readiness also plays a role, as many companies lack the infrastructure to support large-scale AI integration.

Because of these factors, the adoption of automation will likely be gradual. The shift toward an AI-driven economy will require a balance between the high capital expenditure of new tech and the current cost of labor.