Why Enterprise AI Pilots Keep Failing
MIT researchers looked at corporate AI pilots and found that 95 percent fail to deliver measurable results — compared to a 25 percent failure rate for ordinary IT projects. [ 1 ] BCG found that 74 percent of companies see no value at all from their AI spending. [ 2 ] S&P Global watched the share of companies abandoning most of their AI initiatives jump from 17 percent to 42 percent in a single year. [ 3 ]
Those numbers describe a technology that works being deployed by organizations that don't. And nowhere is the gap wider than in businesses that don't build software for a living — the distributors, manufacturers, clinics, law firms, and logistics companies now buying AI tools at record speed.
The failures have a pattern, and the pattern has nothing to do with model quality. A restaurant chain's AI drive-through accepted an order for 18,000 waters...
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