One-Third of Global CIOs Warn of Unrealistic Board AI Hopes, Expereo Says

According to a report commissioned by Expereo, one-third of Chief Information Officers (CIOs) globally warn that boards have unrealistic expectations or demands regarding the impact of new technologies like artificial intelligence (AI) on business performance. The study, conducted by IDC, gathered insights from 650 technology leaders across Europe, the United States, and the Asia-Pacific region, highlighting significant hurdles in the global implementation of AI, despite its recognized importance for achieving strategic goals. In an economically volatile environment, many organizations hope AI will drive growth. The survey found that 87% of business leaders believe AI will be a crucial tool in the next 12 months. However, only 12% of companies currently report that AI has failed to meet expectations, while others see positive impacts on customer interactions and cost control. The disconnect arises from the fact that internal expectations of what AI can achieve often outpace the actual capabilities and readiness of companies to implement it. About 28% of global tech executives note that expectations for AI have surpassed their current abilities. One of the primary challenges is inadequate existing network and connectivity infrastructure. A majority (52%) of enterprises face this issue, which significantly hinders new technology projects. Network performance limitations (45%) also restrict the scale of big data and AI initiatives. These problems are more pronounced compared to 2024, indicating a growing concern. Ethical and governance issues related to AI (42%), employee resistance due to job security fears (35%), and the rapid pace of technological change (34%) further complicate AI adoption. Additionally, 29% of companies point out that their technology partners lack the necessary skills, another critical barrier. Despite these obstacles, 79% of tech leaders report that the focus on AI has elevated their status within the board, up from 60% in 2024. This upward trend suggests growing recognition of AI's potential but underscores the need to address practical challenges to ensure successful deployment. The report highlights several specific issues. For instance, 34% of respondents are reassessing their technology infrastructure due to increased geopolitical risks, and 37% say these risks affect their expansion strategies. This indicates a more cautious approach to investment in unstable times. Over a third of businesses (35%) struggle to attract and retain key talent in AI, data, and automation, exacerbating the problem. The survey also reveals that 64% of tech leaders find implementing AI to be both challenging and exciting, reflecting the pressure to deploy AI quickly and effectively. To overcome these challenges, many companies are investing in training and infrastructure upgrades. Collaboration with cloud service providers is seen as a way to enhance flexibility and efficiency. Addressing employee resistance involves providing better education and support to help workers understand and adapt to new technologies. Clearer strategic planning and practical guidance on AI applications are essential to avoid the pitfalls of over-ambition. Ben Elms, CEO of Expereo, emphasizes the importance of setting realistic goals and managing expectations. He notes that while AI has immense potential, its successful integration requires meticulous planning, particularly in building robust network and connection infrastructure to support large-scale AI applications and ensure stable network performance. Overall, the report paints a positive picture of AI's future, but it is contingent on companies overcoming existing hurdles. Strategic investments in IT and network infrastructure are crucial for meeting current needs and preparing for future challenges. Training and retaining skilled personnel, along with fostering a culture of acceptance and innovation, are equally vital. Industry insiders view this report as a wake-up call to management teams that may be overestimating AI's immediate benefits. Expereo, a leading provider of managed network services, has extensive experience helping enterprises improve their network and cloud services. The company offers solutions such as global internet, SD-WAN/SASE, and enhanced internet services, covering over 190 countries and serving 60% of Fortune 500 companies. Expereo's recent acquisition by Vitruvian Partners in February 2021 further solidified its market position. As part of its ongoing commitment to innovation, Expnero recently became an authorized reseller of Starlink, SpaceX's low Earth orbit (LEO) satellite internet service. This move aims to provide unparalleled global connectivity, addressing some of the infrastructure issues that hinder AI and other advanced technology implementations. Becoming a Starlink reseller showcases Expereo's capability to support digital transformation in remote or infrastructurally weak regions, enhancing its reputation as a reliable partner in the global communication services market. Expereo's leadership in network solutions and its proactive steps towards overcoming AI implementation barriers make it a valuable resource for businesses navigating the complexities of this technological shift. The company's global presence and partnerships with major players ensure it remains at the forefront of providing innovative and effective connectivity solutions.