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Physical AI: The moment of acceleration

Physical AI combines artificial intelligence with robotics and physical systems, allowing machines to sense, decide and act in the real world.


A global Deloitte report, Physical AI: The moment of acceleration, examines how physical AI is emerging across industries and moving from experimentation into real world operations.

New Zealand’s economy depends heavily on physical work, from processing plants and packhouses to ports and forests. These are the environments where physical AI is starting to be tested internationally.

The report provides a practical framework for understanding this shift. It maps a four stage maturity path, from basic automation through to autonomous physical systems, and sets out what organisations need in place at each stage, including digital infrastructure, standardised processes, and workforce capability. It also outlines where the technology is not yet proven and where significant bottlenecks remain.

Many of the drivers behind global interest in physical AI already exist in New Zealand, including labour constraints, dispersed operations, and reliance on physical output. While some organisations are exploring early stage automation and robotics, the operational foundations needed for advanced physical AI adoption are still being built.

For senior leaders, the report provides a way to access what technology is viable now, what requires further maturity, and what needs to be in place before more autonomous physical systems can deliver sustained value.

Physical AI: The moment of acceleration

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