The human brain is among the most complicated organs and one of nature’s most amazing creations. The brain’s capacity is considered limitless; there isn’t a thing it can’t remember. Although many often don’t think about it, the processes that happen in the mind are fascinating.


As technology evolved over the years, scientists figured out a way to make machines think like humans, and this process is called machine learning. Like cars need fuel to operate, machines need data and algorithms. With the application of adequate techniques, machines can learn from this data and even improve their accuracy as time passes.


Two basic machine learning approaches are supervised and unsupervised learning. You can already assume the biggest difference between them based on their names. With supervised learning, you have a “teacher” who shows the machine how to analyze specific data. Unsupervised learning is completely independent, meaning there are no teachers or guides.


This article will talk more about supervised and unsupervised learning, outline their differences, and introduce examples.


Supervised Learning


Imagine a teacher trying to teach their young students to write the letter “A.” The teacher will first set an example by writing the letter on the board, and the students will follow. After some time, the students will be able to write the letter without assistance.


Supervised machine learning is very similar to this situation. In this case, you (the teacher) train the machine using labeled data. Such data already contains the right answer to a particular situation. The machine then uses this training data to learn a pattern and applies it to all new datasets.


Note that the role of a teacher is essential. The provided labeled datasets are the foundation of the machine’s learning process. If you withhold these datasets or don’t label them correctly, you won’t get any (relevant) results.


Supervised learning is complex, but we can understand it through a simple real-life example.


Suppose you have a basket filled with red apples, strawberries, and pears and want to train a machine to identify these fruits. You’ll teach the machine the basic characteristics of each fruit found in the basket, focusing on the color, size, shape, and other relevant features. If you introduce a “new” strawberry to the basket, the machine will analyze its appearance and label it as “strawberry” based on the knowledge it acquired during training.


Types of Supervised Learning


You can divide supervised learning into two types:


  • Classification – You can train machines to classify data into categories based on different characteristics. The fruit basket example is the perfect representation of this scenario.
  • Regression – You can train machines to use specific data to make future predictions and identify trends.

Supervised Learning Algorithms


Supervised learning uses different algorithms to function:


  • Linear regression – It identifies a linear relationship between an independent and a dependent variable.
  • Logistic regression – It typically predicts binary outcomes (yes/no, true/false) and is important for classification purposes.
  • Support vector machines – They use high-dimensional features to map data that can’t be separated by a linear line.
  • Decision trees – They predict outcomes and classify data using tree-like structures.
  • Random forests – They analyze several decision trees to come up with a unique prediction/result.
  • Neural networks – They process data in a unique way, very similar to the human brain.

Supervised Learning: Examples and Applications


There’s no better way to understand supervised learning than through examples. Let’s dive into the real estate world.


Suppose you’re a real estate agent and need to predict the prices of different properties in your city. The first thing you’ll need to do is feed your machine existing data about available houses in the area. Factors like square footage, amenities, a backyard/garden, the number of rooms, and available furniture, are all relevant factors. Then, you need to “teach” the machine the prices of different properties. The more, the better.


A large dataset will help your machine pick up on seemingly minor but significant trends affecting the price. Once your machine processes this data and you introduce a new property to it, it will be able to cross-reference its features with the existing database and come up with an accurate price prediction.


The applications of supervised learning are vast. Here are the most popular ones:


  • Sales – Predicting customers’ purchasing behavior and trends
  • Finance – Predicting stock market fluctuations, price changes, expenses, etc.
  • Healthcare – Predicting risk of diseases and infections, surgery outcomes, necessary medications, etc.
  • Weather forecasts – Predicting temperature, humidity, atmospheric pressure, wind speed, etc.
  • Face recognition – Identifying people in photos

Unsupervised Learning


Imagine a family with a baby and a dog. The dog lives inside the house, so the baby is used to it and expresses positive emotions toward it. A month later, a friend comes to visit, and they bring their dog. The baby hasn’t seen the dog before, but she starts smiling as soon as she sees it.


Why?


Because the baby was able to draw her own conclusions based on the new dog’s appearance: two ears, tail, nose, tongue sticking out, and maybe even a specific noise (barking). Since the baby has positive emotions toward the house dog, she also reacts positively to a new, unknown dog.


This is a real-life example of unsupervised learning. Nobody taught the baby about dogs, but she still managed to make accurate conclusions.


With supervised machine learning, you have a teacher who trains the machine. This isn’t the case with unsupervised learning. Here, it’s necessary to give the machine freedom to explore and discover information. Therefore, this machine learning approach deals with unlabeled data.


Types of Unsupervised Learning


There are two types of unsupervised learning:


  • Clustering – Grouping uncategorized data based on their common features.
  • Dimensionality reduction – Reducing the number of variables, features, or columns to capture the essence of the available information.

Unsupervised Learning Algorithms


Unsupervised learning relies on these algorithms:


  • K-means clustering – It identifies similar features and groups them into clusters.
  • Hierarchical clustering – It identifies similarities and differences between data and groups them hierarchically.
  • Principal component analysis (PCA) – It reduces data dimensionality while boosting interpretability.
  • Independent component analysis (ICA) – It separates independent sources from mixed signals.
  • T-distributed stochastic neighbor embedding (t-SNE) – It explores and visualizes high-dimensional data.

Unsupervised Learning: Examples and Applications


Let’s see how unsupervised learning is used in customer segmentation.


Suppose you work for a company that wants to learn more about its customers to build more effective marketing campaigns and sell more products. You can use unsupervised machine learning to analyze characteristics like gender, age, education, location, and income. This approach is able to discover who purchases your products more often. After getting the results, you can come up with strategies to push the product more.


Unsupervised learning is often used in the same industries as supervised learning but with different purposes. For example, both approaches are used in sales. Supervised learning can accurately predict prices relying on past data. On the other hand, unsupervised learning analyzes the customers’ behaviors. The combination of the two approaches results in a quality marketing strategy that can attract more buyers and boost sales.


Another example is traffic. Supervised learning can provide an ETA to a destination, while unsupervised learning digs a bit deeper and often looks at the bigger picture. It can analyze a specific area to pinpoint accident-prone locations.



Differences Between Supervised and Unsupervised Learning


These are the crucial differences between the two machine learning approaches:


  • Data labeling – Supervised learning uses labeled datasets, while unsupervised learning uses unlabeled, “raw” data. In other words, the former requires training, while the latter works independently to discover information.
  • Algorithm complexity – Unsupervised learning requires more complex algorithms and powerful tools that can handle vast amounts of data. This is both a drawback and an advantage. Since it operates on complex algorithms, it’s capable of handling larger, more complicated datasets, which isn’t a characteristic of supervised learning.
  • Use cases and applications – The two approaches can be used in the same industries but with different purposes. For example, supervised learning is used in predicting prices, while unsupervised learning is used in detecting customers’ behavior or anomalies.
  • Evaluation metrics – Supervised learning tends to be more accurate (at least for now). Machines still require a bit of our input to display accurate results.

Choose Wisely


Do you need to teach your machine different data, or can you trust it to handle the analysis on its own? Think about what you want to analyze. Unsupervised and supervised learning may sound similar, but they have different uses. Choosing an inadequate approach leads to unreliable, irrelevant results.


Supervised learning is still more popular than unsupervised learning because it offers more accurate results. However, this approach can’t handle larger, complex datasets and requires human intervention, which isn’t the case with unsupervised learning. Therefore, we may see a rise in the popularity of the unsupervised approach, especially as the technology evolves and enables more accuracy.

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Il Sole 24 Ore: Integrating Artificial Intelligence into the Enterprise – Challenges and Opportunities for CEOs and Management
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Expert Pierluigi Casale analyzes the adoption of AI by companies, the ethical and regulatory challenges and the differentiated approach between large companies and SMEs

By Gianni Rusconi

Easier said than done: to paraphrase the well-known proverb, and to place it in the increasingly large collection of critical issues and opportunities related to artificial intelligence, the task that CEOs and management have to adequately integrate this technology into the company is indeed difficult. Pierluigi Casale, professor at OPIT (Open Institute of Technology, an academic institution founded two years ago and specialized in the field of Computer Science) and technical consultant to the European Parliament for the implementation and regulation of AI, is among those who contributed to the definition of the AI ​​Act, providing advice on aspects of safety and civil liability. His task, in short, is to ensure that the adoption of artificial intelligence (primarily within the parliamentary committees operating in Brussels) is not only efficient, but also ethical and compliant with regulations. And, obviously, his is not an easy task.

The experience gained over the last 15 years in the field of machine learning and the role played in organizations such as Europol and in leading technology companies are the requirements that Casale brings to the table to balance the needs of EU bodies with the pressure exerted by American Big Tech and to preserve an independent approach to the regulation of artificial intelligence. A technology, it is worth remembering, that implies broad and diversified knowledge, ranging from the regulatory/application spectrum to geopolitical issues, from computational limitations (common to European companies and public institutions) to the challenges related to training large-format language models.

CEOs and AI

When we specifically asked how CEOs and C-suites are “digesting” AI in terms of ethics, safety and responsibility, Casale did not shy away, framing the topic based on his own professional career. “I have noticed two trends in particular: the first concerns companies that started using artificial intelligence before the AI ​​Act and that today have the need, as well as the obligation, to adapt to the new ethical framework to be compliant and avoid sanctions; the second concerns companies, like the Italian ones, that are only now approaching this topic, often in terms of experimental and incomplete projects (the expression used literally is “proof of concept”, ed.) and without these having produced value. In this case, the ethical and regulatory component is integrated into the adoption process.”

In general, according to Casale, there is still a lot to do even from a purely regulatory perspective, due to the fact that there is not a total coherence of vision among the different countries and there is not the same speed in implementing the indications. Spain, in this regard, is setting an example, having established (with a royal decree of 8 November 2023) a dedicated “sandbox”, i.e. a regulatory experimentation space for artificial intelligence through the creation of a controlled test environment in the development and pre-marketing phase of some artificial intelligence systems, in order to verify compliance with the requirements and obligations set out in the AI ​​Act and to guide companies towards a path of regulated adoption of the technology.

Read the full article below (in Italian):

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The Lucky Future: How AI Aims to Change Everything
OPIT - Open Institute of Technology
OPIT - Open Institute of Technology
Apr 10, 2025 7 min read

There is no question that the spread of artificial intelligence (AI) is having a profound impact on nearly every aspect of our lives.

But is an AI-powered future one to be feared, or does AI offer the promise of a “lucky future.”

That “lucky future” prediction comes from Zorina Alliata, principal AI Strategist at Amazon and AI faculty member at Georgetown University and the Open Institute of Technology (OPIT), in her recent webinar “The Lucky Future: How AI Aims to Change Everything” (February 18, 2025).

However, according to Alliata, such a future depends on how the technology develops and whether strategies can be implemented to mitigate the risks.

How AI Aims to Change Everything

For many people, AI is already changing the way they work. However, more broadly, AI has profoundly impacted how we consume information.

From the curation of a social media feed and the summary answer to a search query from Gemini at the top of your Google results page to the AI-powered chatbot that resolves your customer service issues, AI has quickly and quietly infiltrated nearly every aspect of our lives in the past few years.

While there have been significant concerns recently about the possibly negative impact of AI, Alliata’s “lucky future” prediction takes these fears into account. As she detailed in her webinar, a future with AI will have to take into consideration:

  • Where we are currently with AI and future trajectories
  • The impact AI is having on the job landscape
  • Sustainability concerns and ethical dilemmas
  • The fundamental risks associated with current AI technology

According to Alliata, by addressing these risks, we can craft a future in which AI helps individuals better align their needs with potential opportunities and limitations of the new technology.

Industry Applications of AI

While AI has been in development for decades, Alliata describes a period known as the “AI winter” during which educators like herself studied AI technology, but hadn’t arrived at a point of practical applications. Contributing to this period of uncertainty were concerns over how to make AI profitable as well.

That all changed about 10-15 years ago when machine learning (ML) improved significantly. This development led to a surge in the creation of business applications for AI. Beginning with automation and robotics for repetitive tasks, the technology progressed to data analysis – taking a deep dive into data and finding not only new information but new opportunities as well.

This further developed into generative AI capable of completing creative tasks. Generative AI now produces around one billion words per day, compared to the one trillion produced by humans.

We are now at the stage where AI can complete complex tasks involving multiple steps. In her webinar, Alliata gave the example of a team creating storyboards and user pathways for a new app they wanted to develop. Using photos and rough images, they were able to use AI to generate the code for the app, saving hundreds of hours of manpower.

The next step in AI evolution is Artificial General Intelligence (AGI), an extremely autonomous level of AI that can replicate or in some cases exceed human intelligence. While the benefits of such technology may readily be obvious to some, the industry itself is divided as to not only whether this form of AI is close at hand or simply unachievable with current tools and technology, but also whether it should be developed at all.

This unpredictability, according to Alliata, represents both the excitement and the concerns about AI.

The AI Revolution and the Job Market

According to Alliata, the job market is the next area where the AI revolution can profoundly impact our lives.

To date, the AI revolution has not resulted in widespread layoffs as initially feared. Instead of making employees redundant, many jobs have evolved to allow them to work alongside AI. In fact, AI has also created new jobs such as AI prompt writer.

However, the prediction is that as AI becomes more sophisticated, it will need less human support, resulting in a greater job churn. Alliata shared statistics from various studies predicting as many as 27% of all jobs being at high risk of becoming redundant from AI and 40% of working hours being impacted by language learning models (LLMs) like Chat GPT.

Furthermore, AI may impact some roles and industries more than others. For example, one study suggests that in high-income countries, 8.5% of jobs held by women were likely to be impacted by potential automation, compared to just 3.9% of jobs held by men.

Is AI Sustainable?

While Alliata shared the many ways in which AI can potentially save businesses time and money, she also highlighted that it is an expensive technology in terms of sustainability.

Conducting AI training and processing puts a heavy strain on central processing units (CPUs), requiring a great deal of energy. According to estimates, Chat GPT 3 alone uses as much electricity per day as 121 U.S. households in an entire year. Gartner predicts that by 2030, AI could consume 3.5% of the world’s electricity.

To reduce the energy requirements, Alliata highlighted potential paths forward in terms of hardware optimization, such as more energy-efficient chips, greater use of renewable energy sources, and algorithm optimization. For example, models that can be applied to a variety of uses based on prompt engineering and parameter-efficient tuning are more energy-efficient than training models from scratch.

Risks of Using Generative AI

While Alliata is clearly an advocate for the benefits of AI, she also highlighted the risks associated with using generative AI, particularly LLMs.

  • Uncertainty – While we rely on AI for answers, we aren’t always sure that the answers provided are accurate.
  • Hallucinations – Technology designed to answer questions can make up facts when it does not know the answer.
  • Copyright – The training of LLMs often uses copyrighted data for training without permission from the creator.
  • Bias – Biased data often trains LLMs, and that bias becomes part of the LLM’s programming and production.
  • Vulnerability – Users can bypass the original functionality of an LLM and use it for a different purpose.
  • Ethical Risks – AI applications pose significant ethical risks, including the creation of deepfakes, the erosion of human creativity, and the aforementioned risks of unemployment.

Mitigating these risks relies on pillars of responsibility for using AI, including value alignment of the application, accountability, transparency, and explainability.

The last one, according to Alliata, is vital on a human level. Imagine you work for a bank using AI to assess loan applications. If a loan is denied, the explanation you give to the customer can’t simply be “Because the AI said so.” There needs to be firm and explainable data behind the reasoning.

OPIT’s Masters in Responsible Artificial Intelligence explores the risks and responsibilities inherent in AI, as well as others.

A Lucky Future

Despite the potential risks, Alliata concludes that AI presents even more opportunities and solutions in the future.

Information overload and decision fatigue are major challenges today. Imagine you want to buy a new car. You have a dozen features you desire, alongside hundreds of options, as well as thousands of websites containing the relevant information. AI can help you cut through the noise and narrow the information down to what you need based on your specific requirements.

Alliata also shared how AI is changing healthcare, allowing patients to understand their health data, make informed choices, and find healthcare professionals who meet their needs.

It is this functionality that can lead to the “lucky future.” Personalized guidance based on an analysis of vast amounts of data means that each person is more likely to make the right decision with the right information at the right time.

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