AI Project Failures Mount, New Reports Show High Failure Rates
An MIT report found 95% of GenAI projects see no measurable return, while another report detailed frequent deliverable failures.
The 'GenAI Divide'
Despite massive investment in artificial intelligence, the vast majority of corporate projects are failing to deliver measurable value. A blog post analyzing an MIT Project NANDA report found that 95% of organizations see no measurable return from their generative AI projects.
The MIT report states that only 5% of integrated AI pilots ever reach production and have an impact on a company's profit and loss. This gap is referred to as the "GenAI Divide."
This data is consistent with other industry research. A blog post cited 2024 data from Gartner revealing that as many as 85% …
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