Major IT companies like Microsoft and Google are increasingly laying off employees to integrate generative AI, yet a new MIT study reveals that 95% of firms using AI in their operations see no returns. The report, “The GenAI Divide: State of AI in Business 2025,” indicates that U.S. firms investing between $35 billion to $40 billion in generative AI are struggling to see measurable change. Key factors for failure include brittle workflows, lack of contextual learning, and poor integration with daily operations. Although AI optimizes administrative tasks, spending on AI for sales and marketing—over half the budget—yields disappointing results, necessitating human involvement. Successful firms achieve a 67% success rate by purchasing AI tools from specialized vendors, compared to just 33% for in-house developments. Adopting adaptable AI systems and robust managerial support is essential for organizations aiming to maximize profits through AI technology.
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