"Based on promises of AI's potential to dramatically optimize operations through new developments in the space, including models that are smarter, cheaper, multimodal, better at reasoning, and even autonomous, business leaders have funneled money into related expenses. Global corporate AI investment reached $252.3 billion in 2024, and US private AI investment hit $109.1 billion, according to Stanford data -- it's safe to assume those numbers will only continue to grow."
"But a look back at 2025 reveals a common thread: AI's potential to dramatically optimize operations has not yet been realized across the board. Most memorably, a now-infamous MIT study found that 95% of businesses weren't seeing an ROI from their generative AI spend, with only 5% of integrated AI pilots extracting millions in value. While the criteria for returns are narrowly defined, which partially explains the high percentage, it is still indicative of a wider trend."
AI hype accelerated after ChatGPT's 2022 launch, prompting heavy corporate investment. Organizations have yet to realize widespread ROI; an MIT study found 95% of businesses saw no ROI from generative AI, with only 5% extracting millions. Global corporate AI investment reached $252.3 billion in 2024 and US private AI investment hit $109.1 billion. Developments such as smarter, cheaper, multimodal models with improved reasoning and autonomy, together with AI agents and commerce opportunities, are expected to enable businesses to convert AI into new revenue pools, new business models, and real valuation premiums, closing the current value gap.
Read at ZDNET
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