Companies struggle to harness the full potential of artificial intelligence.
Data is essential for executing a successful artificial intelligence plan.
A new report produced in collaboration between MIT Technology Review Insights and the data company Snowflake has revealed that many businesses are not fully capitalizing on the potential of artificial intelligence. According to the study, 78% of organizations cannot fully capitalize on their investments in AI, primarily due to inadequate data management.
Concerns about data governance, security, and privacy were identified as the main challenge, with 59% of respondents pointing to these issues. Additionally, the quality and timeliness of data (53%) and the costs associated with AI resources (48%) were also highlighted as obstacles, underscoring the need to establish a more straightforward and clear foundation for data handling.
Although there are difficulties between initial investment and tangible benefits, companies appear to maintain an optimistic outlook. Nearly three-quarters (72%) of participants agree that AI could enhance efficiency and productivity, and around 55% believe it will improve their competitiveness in the market. However, a staggering 95% indicated that they are facing obstacles in AI implementation.
Despite more than half (53%) of business leaders describing themselves as 'somewhat ready' to adopt artificial intelligence and all that it entails, only 22% feel 'very ready.' This suggests that those few organizations face fewer challenges related to access to scalable computing power, data silos, integration issues, and data governance.
Baris Gultekin, head of AI at Snowflake, commented on the "great ambitions" that companies have around generative artificial intelligence. He emphasized that "a solid data foundation is crucial for generative AI capabilities, and business leaders need to act quickly to address concerns such as data security and costs, establishing the infrastructure they need to deliver on the promises of AI."
The report suggests the need for modern cloud data platforms that enable businesses to manage and access large volumes of unstructured data.
