US EditionMIT Report Finds 95% of Generative AI Pilots Fail to Deliver Measurable Business Impact
MIT's NANDA initiative attributes 95% failure in AI pilots to organizational integration issues and learning gaps, despite $35 billion invested in generative AI by US companies.
- MIT’s 2025 report, The GenAI Divide: State of AI in Business, highlights that nearly all generative AI initiatives worldwide fail to generate significant business value or measurable financial returns.
- The failures mainly arise from organizational issues such as poor integration, lack of learning, and mismatch with workflows, not flawed AI models.
- The study, based on 150 interviews, 300 AI deployments, and 350 employee surveys, shows only 5% of AI pilots achieve scale or rapid revenue growth.
- U.S. companies have invested $35–40 billion in generative AI, yet 95% report zero return, while some startups have grown revenues from zero to $20 million by focusing on targeted AI use cases.
- The report suggests executives must prioritize partnerships, deep customization, and ROI accountability to overcome the GenAI divide and realize AI's business potential.
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29 Articles
95% of companies using generative AI getting zero return: report
SAN FRANCISCO (KRON) -- In what could be the latest sign that the AI bubble, if not bursting, may be beginning to let a little air out, a new report finds a majority of companies using generative AI aren't getting much in return. The MIT report, "The GenAI Divide State of AI In Business 2025," found that 95% of companies using generative artificial intelligence are getting zero return. The report, which comes on the heels of NVIDIA stock nosediv…
Nearly 95% of Companies Saw Zero Return on In-House AI Investments, According to a New MIT Study: 'Little to No Measurable Impact'
An MIT report reveals that U.S. businesses are investing billions of dollars into AI projects, but almost all of them have seen no return on investment.
AI titles on the US stock exchange are shaken: After OpenAI boss Sam Altman warns of a new bubble, Palantir and Nvidia lose billions overnight. A study by MIT also shows that 95 percent of AI pilot projects in US companies do not deliver real added value.
US tech stocks slide after Altman warns on AI future and MIT study casts doubt on the hype
Investor enthusiasm for artificial intelligence wavered Tuesday as major tech stocks sold off. Nvidia dropped 3.5% and Palantir nearly 10% after an MIT study claimed 95% of companies see no returns from generative AI, while OpenAI’s Sam Altman warned of a potential bubble. Nasdaq futures were down this morning, premarket. Investors’ long-running enthusiasm for artificial intelligence showed signs of faltering late Tuesday and early Wednesday mor…
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