A recent MIT report titled "State of AI in Business 2025" reveals that 95% of generative AI implementations in enterprises fail to deliver measurable returns on investment, despite $30 billion to $40 billion in spending. The study analyzed 300 AI projects and included interviews with 150 executives, identifying poor workflow design, flawed integration, and misuse of AI technology as key reasons for underperformance. This phenomenon has been termed the "GenAI Divide," with only 5% of companies generating millions in revenue from AI. However, the report also highlights that the "AI native" startup ecosystem is an exception, generating over $18.5 billion in annualized revenue. Major corporations such as Intuit, Walmart, and T-Mobile continue to invest heavily in AI models, with Intuit allocating $30 million this year and Walmart spending at least $24 million last year. The findings suggest that while AI technology itself is powerful, many enterprises struggle with effective deployment and governance, including AI safety monitoring and failure mode protocols.
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Some major companies are making significant investments in AI models, suggesting they see clear value. • Intuit is spending $30 million on OpenAI models this year. • Walmart was on pace to spend at least $24 million on AI models last year. • T-Mobile was on pace to spend at