Summary Bullets:

• A recent Google Cloud canvas of 2,508 executives show 84% have been able to implement an AI use case concept into production within six months of the initial ideation.

• Seventy-four percent (74%) of respondents report their companies are already achieving a return on their generative AI (genAI) investments.

GenAI dominates corporate discussions around top investment priorities for the present and the future. Organizations are shifting budget and other resources to address the need to convert ideas into production applications, and to do so quickly. Expectations are high for what these can return, not just in terms of production efficiencies, improved customer service, and cost savings, but also bottom-line benefits.

In a survey of 2,508 business leaders, the Google Cloud return on investment (ROI) of genAI study reports that 86% of businesses using genAI in production projects will see at least a 6% increase in annual revenues attributed to artificial intelligence (AI). Executive participation is key to this fast return. Ninety-one percent (91%) of those forecasting an increase in annual revenues say that success is tied directly to C-level sponsorship.

Organizations are seeing gains in productivity and other areas from their genAI investments. Nearly half – 45% – who have noted productivity improvements from genAI implementations say employee output has at least doubled. Sixty-three percent (63%) note genAI is driving business expansion. GenAI is helping drive improved leads, new customer acquisition, and new product and service creation, all ultimately increasing revenue.

Improving customer and end user experiences is one of the major drivers of early genAI deployments. The Google Cloud research uncovered big benefits in this vein. The 85% of respondents who have observed their genAI deployments producing a better user experience see a quantifiable increase in user engagement.

On the security front, 56% say AI is helping improve their security posture by elevating the accuracy and speed of threat identification. Seventy-one percent (71%) report they are witnessing lower resolution times. Sixty-five percent (65%) note they are seeing fewer security tickets.

While these glowing reports from the survey are encouraging, the conversations that GlobalData analysts, including myself, have had with professionals actively deploying genAI show as many challenges as opportunities. Many adopt a fail-faster strategy, understanding that many proof-of-concept trials will ultimately disappoint. There are also issues around which genAI can and should be prioritized. And as organizations shift more resources to genAI development and deployment, they need to make sure that other areas of IT like security aren’t exposed to more risk. At Google Cloud Security Summit in August 2024, an executive noted that one of the biggest stumbling blocks to real genAI success is that too many of the projects are small in scale.