Although businesses have poured between $30 and $40 billion into generative AI, a recent MIT report shows that 95% of organizations are getting no return on their investment.
“Just 5% of integrated AI pilots are extracting millions in value,” while the majority are not contributing to profits, the report found.
Many companies are implementing tools like ChatGPT and Copilot, with over 80% having explored or piloted these technologies and nearly 40% having deployed them. However, these tools mostly boost individual productivity rather than contributing to overall company earnings.
According to the report, AI integration often fails to increase profits “due to brittle workflows, lack of contextual learning, and misalignment with day-to-day operations.”
The report suggests that generative AI implementation is unlikely to cause widespread job loss, at least for the next few years. “Until AI systems achieve contextual adaptation and autonomous operation, organizational impact will manifest through external cost optimization rather than internal restructuring,” the report concluded.
