Lifeboat Foundation

It turns out robots have a ‘U-shaped’ effect on profits.

Researchers from the University of Cambridge have found that investment in robots can cause a firm’s profits to first decline before rising again, resulting in a so-called ‘U-shaped’ effect on profits.

This is according to a report by TechXplore published on Thursday.

The study was based on industry data from the UK and 24 other European countries between 1995 and 2017. The research found that low levels of adoptions coincided with negative profit margins however higher levels led to successful profits.