{"id":250519,"date":"2026-01-21T20:52:17","date_gmt":"2026-01-21T20:52:17","guid":{"rendered":"https:\/\/www.newsbeep.com\/il\/250519\/"},"modified":"2026-01-21T20:52:17","modified_gmt":"2026-01-21T20:52:17","slug":"majority-of-ceos-alarmed-as-ai-delivers-no-financial-returns","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/il\/250519\/","title":{"rendered":"Majority of CEOs Alarmed as AI Delivers No Financial Returns"},"content":{"rendered":"

Investors continue to fret over an AI bubble \u201creckoning<\/a>,\u201d as gains in productivity from the tech remain elusive<\/a>.<\/p>\n

According to a recent survey by professional services network PwC<\/a>, more than half of the 4,454 CEO respondents said \u201ctheir companies aren\u2019t yet seeing a financial return from investments in AI.\u201d<\/p>\n

Only 30 percent reported increased revenue from AI in the last 12 months. However, a far more significant 56 percent said AI has failed to either boost revenue or lower costs. A mere 12 percent of CEOs reported that it\u2019d accomplished both goals.<\/p>\n

The findings once again underline lingering questions about the effectiveness of the tech. That\u2019s despite AI companies pouring tens of billions into data center buildouts and related infrastructure.<\/p>\n

Instead of looking for other avenues for growth, though, PwC found that executives are worried about falling behind by not leaning into AI enough.<\/p>\n

\u201cA small group of companies are already turning AI into measurable financial returns, whilst many others are still struggling to move beyond pilots,\u201d said PwC global chairman Mohamed Kande in a statement<\/a>. \u201cThat gap is starting to show up in confidence and competitiveness, and it will widen quickly for those that don\u2019t act.\u201d<\/p>\n

PwC also pointed out that most companies were lacking the \u201cAI foundations, such as clearly defined road maps and sufficient levels of investment\u201d to realize a return.<\/p>\n

But whether pouring even more money into AI will suddenly turn the tech into a money maker \u2014 and not a major expense on the balance sheet \u2014 remains the subject of a heated debate. <\/p>\n

For now, the prognosis is still looking somewhat grim. Last year, a frequently-cited MIT report<\/a> found that a staggering 95 percent<\/a> of attempts to incorporate generative AI into business\u00a0so far are failing to lead to \u201crapid revenue acceleration.\u201d<\/p>\n

The effectiveness of the tech itself has also repeatedly been called into question, from frequent hallucinations<\/a> and an inability to complete real-world office tasks<\/a> to ongoing concerns over data security<\/a>.<\/p>\n

The topic of tangible returns on investment from AI is bound to be a major focus this year<\/a> as executives wonder how to translate all that hype into real-world implementations \u2014\u00a0and whether it\u2019ll actually help their bottom lines in the long run.<\/p>\n

More on the AI hype: Terrified Investors Are Bracing for an AI Bubble \u201cReckoning\u201d<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"Investors continue to fret over an AI bubble \u201creckoning,\u201d as gains in productivity from the tech remain elusive.…\n","protected":false},"author":2,"featured_media":250520,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[20],"tags":[345,343,344,85,46,125],"class_list":["post-250519","post","type-post","status-publish","format-standard","has-post-thumbnail","category-artificial-intelligence","tag-ai","tag-artificial-intelligence","tag-artificialintelligence","tag-il","tag-israel","tag-technology"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts\/250519","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/comments?post=250519"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts\/250519\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/media\/250520"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/media?parent=250519"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/categories?post=250519"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/tags?post=250519"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}