In 2022 AI stormed into the business world, and from eCommerce to marketing the benefits were clear.
But when it comes to very physical, high-value products like diamonds, it’s harder to see how AI cuts its way into the picture.
Its ability to quickly digest, compile, analyze, and generate data makes it highly applicable to many areas of the diamond industry—some of which may surprise you.
With roughly ten million people employed in the diamond industry worldwide and a global market size of $96.4 billion in 2022, AI in the industry is still in its infancy, with multiple ways it can increase value and boost productivity across the board.
What Is AI, and How Does it Fit Into The Diamond Industry?
While most easily recognized as generative tools like ChatGPT, Claude, Gemini and many others, AI’s capabilities stretch beyond answering questions.
The most famous form, generative AI refers specifically to AI programs that can generate new content based on input data. This includes anything from making notes on article to creating a new image based on prompts.
Meanwhile, analytical AI - programs capable of compiling and analyzing vast data sets - are the new drivers of growth in the diamond industry. Specifically designed to identify patterns, this form of AI can be applied across the diamond industry pipeline, right from helping to find new diamond deposits to optimizing diamond prices and everything in between.
Finding New Deposits: Harnessing AI Analytics
Before a diamond begins its journey into the world, it must be found and mined.
And AI can help locate it.
Mining companies have long conducted lengthy surveys of potential areas, analyzed drilling samples, assessed airborne geographical data, and completed ground geographical surveys to find new diamond deposits and other minerals.
Over the years, these companies have accumulated hundreds of gigabytes of geographical data. If there’s one thing AI is good at, it’s analyzing data.
BOD research work at Thorny River, South Africa. Courtesy: Botswana Diamonds.
Botswana Diamonds intends to use Planetary AI Ltd’s Xplore mineral prospectivity technology to take advantage of its vast amount of geographical data.
“Our mineral database in Botswana is simply vast. Too big for timely analysis by humans. Think of it, over 375,000 kms of geophysical data, and 32,000 drill holes logs”
— John Teeling, Chairman of Botswana Diamonds.
Can AI Help Diamond Grading Evolve Beyond the 4Cs?
Diamond grading is already highly sophisticated.
Almost unanimously graded based on the four Cs - carat weight, cut, color, and clarity, accurately assessing and grading diamonds can take years of training and expertise.
To create their AI-powered Cut Grading System, GIA conducted over 70,000 observations over 15 years to develop the database that powers their system, allowing them to efficiently grade standard round brilliant diamonds in the D-to-Z color range.
AI is not here to replace diamond graders. Instead, it’s here to help, grading the basics while they focus their expertise where it is most needed.
Making Diamond Cutting and Polishing Easier With AI
Before a diamond can be graded, it needs to be cut and polished - both processes that can massively impact the quality of the final diamond.
In 2020, Synova had already launched its DaVinci system - capable of completing almost the entire rough-to-polished process, creating brilliant cut diamonds with up to 57 facets in a single automated process.
The Synova cutting machine. Synova.
Analyzing and Optimizing Diamond Pricing
The value of every single diamond is unique, determined by its grading, yet like any physical product, the overall pricing of diamonds across the industry can change.
Once again, AI’s ability to analyze vast amounts of data makes it the perfect tool for this challenge.
Companies such as BidGemmer have created advanced AI tools that allow you to enhance and optimize your diamond pricing in real time by providing you with more precise and current market prices.
AI at Its Best: Protecting Against Fraud in the Diamond Industry
Through analyzing bids, AI can detect suspicious patterns, helping professionals avoid bid fraud and flag those who engage in price manipulation.
AI tools can also help protect against payment scams by flagging the use of stolen credit cards or accounts and cards linked to money laundering.
BidGemmer’s Role in Bringing AI Advances to the Diamond Industry
AI has been revolutionizing core parts of the industry for several years from behind the scenes, helping locate new diamond deposits, cut and polish rough diamonds, grade them, price them, and keep them safe from fraud.
Designed to help diamond sellers manage their auctions via intuitive AI technologies, BidGemmer incorporates different AI tools to help you manage your inventories, prices, and customer relationships all within one platform.
Request a Demo today to see how BidGemmer can help you manage your diamond auctions and inventory.
See it against your own stock.
BidGemmer keeps inventory, clients, finance and every auction or tender on the same stone records. Thirty minutes is enough to tell whether it fits how you trade.
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