AI Capital Spending Lacks Measurable ROI For Most Firms

The Common Question

How do I know if my company's AI spending is actually worth it?

The Lesson in This Case

The AI infrastructure buildout now underway represents one of the largest coordinated capital expenditure cycles in technology history, yet most organizations cannot point to a corresponding return on that spending. The boom is driven by competitive fear as much as proven demand – companies are buying capacity to avoid being left behind, not because the business case is settled. Before committing another dollar to AI infrastructure, senior leaders should demand a clear line between spending and measurable output, because the companies that survive a bubble correction are the ones that knew exactly what they were buying and why.

Originally reported by Harvard Business Review. Read the full story here.