“After last year’s hype, executives are impatient to see returns on genAI investments, yet organizations are struggling to prove and realize value,” said Rita Sallam, a Gartner distinguished vice president analyst. “As the scope of initiatives widen, the financial burden of developing and deploying genAI models is increasingly felt.”
AI deployments can be expensive, with costs ranging from $5 million to $20 million. By 2028, more than half the enterprises that have built LLMs from scratch will abandon them due to costs, complexity, and technical debt in their deployments, according to Gartner.
Gartner
Even so, genAI tools are proving in some cases to be advantageous for earlier adopters. Across industries and business processes, companies are reporting a range of improvements that vary by use case, job type and skill level of the worker. Business leaders surveyed by Gartner reported a 15.8% revenue increase, 15.2% in cost savings and a 22.6% productivity improvement, on average.
