Gartner Report: Half of Generative AI Projects May Exceed Budgets by 2028
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By Sean Parker06/22/26
Summary
Gartner's report warns that organizations moving generative AI projects from pilot to production are facing significant cost overruns. The research predicts that by 2028, half of Gen AI projects could exceed their budgets due to underestimated expenses. The report offers 10 best practices for optimizing generative and agentic AI costs, highlighting the gap between experimental and production-phase spending.
Source
bskyGartner Report: Half of Generative AI Projects May Exceed Budgets by 2028campustechnology.comKey quotes
· 3 pulledOrganizations transitioning from GenAI pilots to production experience a rude awakening when it comes to costs.
Creating a production-ready GenAI system can be orders of magnitude more expensive than running a pilot.
Half of Gen AI projects could exceed their budgets by 2028.
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