Data Shows That AI Use Is Now Declining at Large Companies

"The survey, which compiles data from over 1.2 million firms throughout the US, shows usage of AI tools among companies with over 250 employees dropping from nearly 14 percent in mid-June to under 12 percent in August. While usage appeared to rise slightly in very small businesses with less than four workers, AI adoption also fell or remained flat in mid-sized companies with less than 250 workers but more than 19."

"But if a corporate AI revolution is underway, it's not showing up in the data. Up to this point, enterprise AI has been incredibly unprofitable, with a whopping 95 percent of US companies that took up AI reporting that the software has failed to generate any sort of new revenue. Though tech stocks continue to break new records on AI hype, some financial onlookers are warning that the tech industry might never recoup its spending on AI,"

The US Census Bureau's biweekly survey of over 1.2 million firms shows a significant slowdown in corporate AI adoption since November 2023. Usage among companies with more than 250 employees fell from nearly 14 percent in mid-June to under 12 percent in August. Very small businesses with fewer than four workers saw a slight rise, while mid-sized firms mostly experienced flat or declining adoption. Enterprise AI has been largely unprofitable so far, with 95 percent of adopting US companies reporting no new revenue from the software. Tech stocks remain high on AI hype, but some analysts warn the industry may not recoup its AI investments.

Read at Futurism