Gartner predicts most generative AI projects will fail due to costs and complexity
By
Simon Sharwood
A good honest bake. Not flashy, but you'll finish the whole bagel.
Summary
Gartner's Hype Cycle for Generative AI predicts that at least 30% of generative AI projects will be abandoned after proof-of-concept, and over half will exceed budget due to poor architectural choices and lack of operational know-how. Most organizations attempting to build custom AI models will abandon efforts due to costs, complexity, and technical debt. The report examined 30 AI technologies and found none have reached the "plateau of productivity." The article suggests that to succeed, organizations should look to China's approach of focusing on practical applications and cost-effective implementation rather than chasing cutting-edge models.
Key quotes
· 3 pulledAt least 30% of generative AI projects will be abandoned after proof-of-concept
Most organizations that try to build custom models will abandon their efforts due to costs, complexity and technical debt in their deployments
None have reached the plateau of productivity
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