AI Business Spending Is Surging, but Can It Last?
Investors will be scrutinizing the AI spending levels of tech titans like Microsoft when they report earnings this week.
What is the increase in AI business spending from 2023 to 2024?
Business spending on generative AI surged by 500% from 2023 to 2024, reaching $13.8 billion, according to a report from Menlo Ventures.
Which areas of generative AI investment are likely to endure?
Investments that focus on improving core processes, such as supply chain optimization, predictive analytics, and customer experience applications, are more likely to endure as they address ongoing challenges that impact profitability.
What is the outlook for foundation models in AI?
While spending on foundation models saw a remarkable increase of 550% in 2024, it is unlikely to continue at that pace. Businesses may find that while these models excel at various tasks, the improvements they offer may not always justify their costs.
AI Business Spending Is Surging, but Can It Last?
published by JuvinTech
We are eager to be your strategic technology partner, empowering you to achieve your business objectives with our Managed Services, Cybersecurity, and Cloud Computing solutions. To learn more about how we can tailor these solutions to your specific needs, we invite you to schedule a no-obligation consultation with our team of experts.
Sign in with LinkedIn