Companies Plan Major AI Budget Increases Despite Ongoing Pandemic
Two-thirds of senior executives view AI as vital to their future and plan to boost investments, with average annual spending expected to reach 8.3% over the next three years.
Two-thirds of senior executives across various industries consider artificial intelligence vitally important to their future and plan to increase investments after the pandemic. Companies increase their AI spending by an average of 4.6% over the last year, and they plan to invest 8.3% per year over the next three years to stay agile in a fast-evolving market.
Pressures from COVID-19 motivate many businesses to seek new efficiencies and revenue sources, prompting them to turn to AI as a primary solution. Over two-thirds of surveyed companies expect the pandemic to have no impact or even to accelerate their AI projects, pushing the overall market value from approximately $40 billion currently to a predicted $191 billion by 2025.
AI leadership requires significant financial commitment, with organizations investing an average of more than $38 million each in 2019. Top leaders invest over $99 million, while newcomers to the space dedicate about 44% of their AI budgets specifically to data management. The automotive, health care, manufacturing, and technology industries currently lead the way in total AI project investments.