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Global shift towards major investment in generative AI

Tue, 19th Nov 2024

A new report from NTT DATA highlights that organisations globally are shifting their focus from experimenting with Generative AI (GenAI) to making substantial investments that aim to enhance business performance.

NTT DATA's "Global GenAI Report: How organisations are mastering their GenAI destiny in 2025" draws insights from over 2,300 IT and business leaders across 34 countries, spanning 12 industries. Despite the high global interest, the report found that 83% of organisations have not yet aligned their GenAI strategies with broader business plans, which limits return on investment.

The majority of organisations (97%) anticipate a material impact from GenAI, with 70% of CEOs expecting significant transformation by 2025. Yutaka Sasaki, President and Chief Executive Officer of NTT DATA Group, emphasises the importance of this shift: "The future is clear. Generative AI is more than just another tool — it's a transformative force. As we move beyond experimentation, a tension emerges: move too fast, and we risk unintended circumstances; move too slow and we fall behind. Getting GenAI right isn't optional. That's why we're providing a blueprint to help our clients harness its potential for lasting success."

The research shows that GenAI is expected to transform various aspects of business, including productivity and efficiency, sustainability, security, and employee experience. However, legacy infrastructure remains a significant barrier, with 90% of leaders recognising it as a hindrance to the effective use of GenAI. As a result, 96% of CIOs and CTOs consider cloud-based solutions the most practical means to support GenAI applications.

Workforce transformation is also at the centre of GenAI adoption, with 96% of respondents contemplating how GenAI can optimise employee workflows. Although 67% acknowledge a skills gap within their organisations, nearly half are planning educational initiatives to facilitate greater GenAI integration.

Abhijit Dubey, Chief Executive Officer of NTT DATA, Inc, articulates the responsibility tied to navigating this era of technological advancement: "This is a powerful point in world history as GenAI is shaping up to be a huge force in our tech-enabled economy. In supporting and driving this next era, NTT DATA feels an acute responsibility to our clients, our people and society to ensure that everything we design, implement, deploy and manage is highly resilient, capable and responsible."

The report also addresses the ethical, safety, and sustainability considerations integral to GenAI's integration into business environments. A majority of leaders (81%) identify balancing innovation with responsibility as a critical goal, yet 72% of organisations lack clear usage policies for employees around GenAI, including intellectual property protection.

The survey also reveals apprehensions regarding government regulations on AI, with 82% citing unclear regulations as an obstacle to developing GenAI strategies. Chief Information Security Officers (CISOs) express particular concern, with 45% feeling "pressured, threatened or overwhelmed." Despite these challenges, there remains a positive outlook for GenAI, as 68% of participants report feeling "excited" and "amazed" by its potential.

These findings reflect a pivotal moment in the evolution of GenAI as it transitions from conceptual experimentation to an influential component of business strategy, highlighting the need for coherent planning and infrastructure adaptation to fully leverage its capabilities.

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