Key findings from this year's AI report:
1. AI is moving from the pilot and experimentation phase to enterprise scaling as worker access to AI expands.
- Workforce access to AI has expanded by 50% in just one year—growing from fewer than 40% to around 60% of workers now equipped with sanctioned AI tools.
- 11% of leading companies currently provide workers with near-universal (>80%) access to sanctioned AI tools; among those workers with access, fewer than 60% use it in their daily workflow, a pattern that remains largely unchanged from last year.
- 25% of respondents said their organization has moved 40% or more of their AI experiments into production to date; 54% expect to reach that level in the next three to six months.
2. AI transformation reveals productivity for most, business reimagination for a few.
- AI’s real-world business impact is rising fast, with 25% of leaders now reporting that AI is having a transformative effect on their companies—more than double from 12% a year ago.
- Trust and investment are also surging, with 84% of organizations increasing their AI investments and 78% of leaders reporting greater confidence in the technology. Yet, most companies are only at the edge of large-scale AI-driven transformation.
- 74% of organizations are hoping to grow revenue through their AI initiatives in the future compared to just 20% that are already doing so.
- One-third of companies (or 34%) are already starting to use AI to deeply transform their businesses— creating new products and services, reinventing core processes, or even fundamentally changing their business models.
- Another third of companies (or 30%) are redesigning key processes around AI but keeping their business models intact.
- And the remaining third of companies (or 37%) are using AI at a more surface level, with little or no change to existing processes.
3. Companies are focused on building AI fluency instead of redesigning work around AI.
- Within a year, 36% of survey companies expect at least 10% of their jobs to be fully automated. The majority of surveyed companies (or 82%) expect at least 10% of their jobs to be fully automated when looking out three years.
- Despite high expectations for automation, 84% of companies have not redesigned jobs around AI capabilities.
- Entry-level and task-aligned roles could be most affected, as automation may replace common, time-consuming tasks; 53% of organizations have considered pod-based or non-hierarchical models since fewer roles require supervision of large teams, with only 16% having moved to such models to a great or maximum extent.
- While 13% of non-technical workers are highly enthusiastic about AI and are proactively seeking to use it—and 55% are at least open to exploring it— skepticism remains; 21% prefer not to use AI but will do so if required, and 4% actively distrust and avoid it.
- Fewer than half of companies are making significant adjustments to their talent strategies, with most (53%) simply focusing on educating employees to raise AI fluency.
4. Sovereign AI is now a strategic imperative, and solution origin now plays a crucial role in vendor and infrastructure decisions.
- More than 8 in 10 companies (83%) view sovereign AI as at least moderately important to their strategic planning, and nearly half (43%) rate it as very important or extremely important.
- 66% of companies express at least moderate concern about reliance on foreign-owned AI technologies and infrastructure, with 22% very concerned or extremely concerned.
- More than 3 in 4 companies (77%) now factor an AI solution’s country of origin into their vendor selection decisions, and nearly 3 in 5 (58%) now build their AI stacks primarily with local vendors—which signals sovereignty is now as important as innovation.
- Only 11% of companies in the Americas rely on foreign[1]sourced solutions for the majority of their AI stack, compared to 32% of Europe/Middle East/Africa (EMEA) companies.
5. Agentic AI adoption is outpacing the development of governance and oversight.
- 23% of companies are using agentic AI at least moderately. However, within the next two years, agentic AI is expected to become nearly ubiquitous, with nearly 3 in 4 companies (74%) using it at least moderately, 23% using it extensively, and 5% fully integrating it as a core component of their operations.
- Commercial software vendors offer a wide range of AI agents for various use cases; however, 85% of companies expect to customize agents to fit the unique needs of their business.
- One in 5 (21%) companies surveyed report currently having a mature model for governance of autonomous agents.
- The AI risks companies are most worried about all relate to governance—data privacy and security tops the list at 73%, followed by legal, intellectual property, and regulatory compliance (50%), governance capabilities and oversight (46%), and model quality, consistency, and explainability (46%).
6. Physical AI, such as robotics and autonomous devices, is now integral to many operations, with adoption expected to surge dramatically in just two years.
- Physical AI integration is already expanding, with 58% of companies reporting at least limited use of physical AI, and among these, 18% are leveraging it to a moderate or greater extent.
- The percentage of companies using physical AI in any capacity is expected to reach 80% within two years— with 15% using physical AI extensively and 3% fully integrating it as a core element of their operations.
- As physical AI gains broader adoption, certain types are expected to have a bigger long-term impact than others: intelligent security systems and/or smart monitoring (21%); collaborative robotics (20%); and digital twins (19%).
7. Leaders feel more strategically ready for AI than operationally ready in infrastructure and talent.
- Despite the rapid evolution of AI beyond GenAI to agentic and physical AI, 42% of companies believe their strategy is highly prepared for AI adoption and 30% say the same about risk and governance, both rising since last year’s report (+3 and +6 percentage points, respectively).
- Meanwhile, perceptions of high preparedness have shifted down compared with last year for technical infrastructure (43%), data management (40%), and talent (20%), revealing the persistent challenge of modernizing systems and skills at the speed of innovation.
- Most respondents believe that resolving the key challenges for their organization’s priority AI initiatives will take more than a year—far too long in today’s fast[1]moving, hypercompetitive marketplace.