Some AI work is paying off - but many CIOs just aren't ready for the impact (www.techradar.com)

A recent survey by Lenovo reveals that nearly half of AI proof-of-concepts (46%) are now in production, and 96% of companies plan to increase their AI investments next year. However, only 27% have established comprehensive governance frameworks, which raises concerns about the potential misuse of AI as organizations embark on significant investments. Additionally, obstacles including poor data quality, legacy systems, and lack of skilled personnel may hinder companies from fully leveraging AI's capabilities, despite CIOs suggesting impressive potential returns on investment of up to 179%. Hybrid AI is gaining traction as a solution to address privacy, security, and regulatory compliance issues, with organizations increasingly adopting this approach in 62% of cases. Looking ahead, CIOs foresee local inferencing combined with AI PC deployment as top priorities by 2026 to enhance productivity and minimize latency. Additionally, transitioning towards agentic AI is becoming crucial, although only 21% of organizations are currently utilizing it at scale. As this shift occurs, operationalizing AI effectively across hybrid environments while ensuring reliability will be key, according to Lenovo's Solutions & Services Group President Ken Wong.