Computerised compassion: What are the real-world applications of AI in aged care?

As Australia’s population ages, with projections estimating over 4.5 million people aged 65 to 74 by 2066, the aged care sector faces unprecedented challenges. Rising care demands, workforce shortages, and the desire for older Australians to age in place are pushing the boundaries of traditional care models.

Artificial Intelligence (AI) is emerging as a transformative force, offering innovative solutions to enhance the quality of life for older adults while supporting carers and providers.

By combining insights from existing research, real-world applications, and forward-thinking ideas, this article explores how AI is reshaping aged care in Australia, with a focus on practicality, ethics, and human connection.

The growing need for AI in aged care

Australia’s aged care system is under strain. The Royal Commission into Aged Care Quality and Safety (2021) highlighted systemic issues, including understaffing, inadequate training, and the need for more personalised care.

With many older Australians preferring to remain in their homes, 70% according to recent studies, innovative solutions are essential to meet this demand while maintaining safety and dignity.

AI offers a way to address these challenges by augmenting human care with smart technology. From monitoring health to reducing isolation, AI can bridge gaps in resources, improve efficiency, and empower older adults to live independently for longer.

What is AI and how does it apply to aged care?

AI refers to technologies that mimic human intelligence, including machine learning, natural language processing, and computer vision. In aged care, AI can analyse data, predict outcomes, and automate tasks, allowing carers to focus on meaningful human interactions.

Unlike traditional tools, AI adapts to individual needs, making it ideal for personalised care. Importantly, AI is not a replacement for human carers but a partner that enhances their ability to deliver compassionate, effective care.

Real-world applications of AI in aged care

AI is already making a tangible impact in aged care settings across Australia. Here are some key applications, informed by current practices and emerging possibilities:

• Remote Health Monitoring and Predictive Analytics
  AI-powered wearable devices and sensors, such as those used by Tunstall Healthcare, track vital signs like heart rate, sleep patterns, and mobility. Machine learning algorithms analyse this data to detect anomalies, such as irregular heartbeats or early signs of cognitive decline. For example, AI can identify patterns like frequent night-time bathroom visits, which may indicate a urinary tract infection, enabling early intervention. Predictive analytics can reduce hospitalisations by up to 30%, according to a 2023 study from the University of Sydney.
• Fall Detection and Prevention
  Falls are a major concern, causing 75% of injury-related hospitalisations for Australians over 65. AI-driven fall detection systems use computer vision and depth sensors to identify falls in real time, even if the person cannot call for help. Advanced systems, like those being trialled in Melbourne, analyse gait and balance to predict fall risk, allowing carers to adjust environments or care plans proactively.
• AI Chatbots and Virtual Companions
  Loneliness affects over 1 million older Australians, increasing risks of depression and dementia. AI chatbots, such as those studied by Biranchi Poudyal, provide companionship through conversational engagement. These tools can remind users of appointments, play music, or trigger memories by discussing past events, like a favourite song from the 1960s. A 2024 trial in Perth showed that seniors using AI companions reported a 25% reduction in loneliness scores after three months. These systems also support cognitive health by detecting speech changes that may indicate early dementia.
• Medication Management
  Medication errors contribute to 20% of hospital admissions among older adults. AI-powered dispensers, like those integrated with digital care platforms, ensure correct dosages and send alerts to carers if doses are missed. Future systems could use AI to predict adherence issues based on behavioural patterns, further reducing risks.
• Workforce Optimisation
  AI can streamline operations by optimising staff rosters and prioritising tasks based on resident needs. For example, a 2025 pilot in Queensland used AI to reduce staff overtime by 15% while improving care delivery efficiency. This not only saves costs but also reduces carer burnout, a critical issue given Australia’s aged care workforce shortage.

New ideas for AI in aged care

Beyond current applications, AI has untapped potential to revolutionise aged care:

• Culturally Tailored AI for Indigenous Communities: AI could be programmed to incorporate Indigenous languages and cultural practices, supporting elders in remote communities. For instance, virtual assistants could use storytelling in local dialects to engage Aboriginal and Torres Strait Islander elders, promoting mental wellbeing.
• AI-Enhanced Telehealth: Combining AI with telehealth could enable real-time diagnostics, such as analysing voice or facial cues during virtual consultations to detect mood disorders or pain levels, improving access for rural Australians.
• Smart Homes for Ageing in Place: AI could integrate with smart home systems to automate lighting, temperature, and security based on residents’ routines, reducing risks and enhancing comfort. For example, AI could dim lights to prevent glare-related falls or lock doors automatically for dementia patients.

Ethical considerations and privacy

AI’s potential comes with ethical challenges. Privacy is a top concern, as AI systems collect sensitive health data. Transparent data use, informed consent, and robust cybersecurity are non-negotiable. The Australian Government’s Aged Care Data and Digital Strategy (2023) emphasises ethical AI use, requiring providers to meet strict standards.

There’s also the risk of over-reliance on technology, which could erode human connection. As Biranchi Poudyal notes, AI should “extend” human care, not replace it. Ethical design must prioritise user autonomy, ensuring older adults and their families are involved in decisions about AI use. For example, AI companions should clearly identify as machines to avoid confusion, especially for those with cognitive impairments.

The Australian policy context

Australia’s aged care reforms, spurred by the 2021 Royal Commission, prioritise technology integration. The Aged Care Data and Digital Strategy supports AI adoption through funding and training initiatives. However, challenges remain, particularly in rural and remote areas where internet connectivity is unreliable. The government’s 2025 budget allocated $500 million to improve digital infrastructure in aged care, but equitable access for Indigenous and low-income communities is still a work in progress.

Challenges to overcome

While AI holds immense promise, several hurdles must be addressed:

• Digital Literacy: Many older adults lack confidence with technology. User-friendly interfaces and training programs are essential to ensure accessibility.
• Infrastructure: Reliable internet is critical for AI tools, yet 40% of rural Australia lacks adequate connectivity.
• Workforce Training: Carers need upskilling to use AI effectively, which requires investment in professional development.
• Cost: High setup costs can limit adoption, particularly for smaller providers. Government subsidies and scalable models could help.
• Human Connection: AI must complement, not replace, human care to avoid dehumanising the aged care experience.

The future: A human-AI partnership

The future of aged care lies in a balanced partnership between humans and AI. By automating routine tasks, predicting risks, and personalising care, AI frees up carers to focus on empathy and relationship-building.

For example, a carer using AI insights to adjust a resident’s care plan can spend more time listening to their stories, fostering dignity and connection.

Innovations like AI-driven memory therapy, which uses personalised prompts to stimulate cognitive function, could become standard in dementia care. Meanwhile, community-driven AI solutions, such as local councils deploying AI chatbots to check on isolated seniors, could strengthen social safety nets.