"It's another finding that illustrates both the pitfalls of rapid AI adoption, as well as the outrageous outpouring of hype that drowns out criticisms of the tech in business circles. Many companies have gambled on replacing their employees with AI agents, only to eat crow when the tech falls flat and they're forced to rehire humans. One MIT study found that an embarrassing 95 percent of companies that incorporated AI saw no meaningful growth in revenue."
"And now heightening that tension is a damning new analysis by the Financial Times, which found that barely any of the big businesses that have embraced using the tech can say how it's actually helping them. After examining hundreds of corporate filings and executive transcripts from the largest companies listed on the S&P 500 index, the paper found that the prevailing justification for incorporating AI was that everyone else was using it - famously the hallmark of any trend that ends up aging well."
Hundreds of S&P 500 corporate filings and earnings transcripts show widespread AI adoption driven more by competitive pressure than clear strategic objectives. Many companies justify AI investments because peers are adopting it, reflecting fear of missing out rather than problem-focused planning. Executives overwhelmingly describe AI positively in earnings calls, yet concrete examples of revenue or productivity gains are scarce. Numerous firms tried replacing employees with AI agents and later rehired humans when systems underperformed. One MIT study found 95 percent of adopters saw no meaningful revenue growth, leaving AI's practical business value unclear.
Read at Futurism
Unable to calculate read time
Collection
[
|
...
]