Two-Thirds Of Enterprises Have Cloud Strategies, But Only 8% Fully Integrate AI: Report

Most companies are still experimenting and preparing their infrastructure landscape when it comes to artificial intelligence from a cloud perspective, and many are planning additional investments to accelerate their infrastructure progress.

According to a report by Infosys in collaboration with MIT Technology Review Insights, 67% of respondents have a "developed" or "advanced" cloud infrastructure, and only 33% classified their cloud infrastructure as "growing" or "nascent." However, while nearly half (48%) of executives said their firms are experimenting with AI, only 8% have comprehensively integrated AI into their business.

The Reimagining Cloud Strategy for AI-first Enterprises report analysed 500 global industry leaders to understand their organisation’s cloud and data readiness as they prepare to launch AI initiatives at scale. As the cloud has evolved beyond its purpose as a storage tool and cost saver, realising AI's full potential and becoming a truly "AI-first enterprise" will require a significant, sustained investment in cloud infrastructure and strategy, the report noted.

Half of the executives reported they're using cloud services only to integrate data for AI purposes. Another 30% were using cloud infrastructure for computing capacity, and 13% reported having a "detailed roadmap" on how cloud investments will advance AI adoption beyond data and computer power/scale.

“Today, we are in the early stages of reimagining enterprise with AI and as we move towards a human plus AI collaborative state, cloud and data will be the catalyst in scaling AI,” said Mohammed Rafee Tarafdar, chief technology officer, Infosys. “By leveraging the cloud and adopting responsible AI practices, businesses can navigate this transformation and achieve sustainable growth.”

Almost all (98%) of executives expected to see a significant rise in spending on AI for cloud over the next two years. Of the executives surveyed, 71% expected spending on cloud infrastructure for AI to increase by at least 25%, and around 27% predicted it will increase by 50-100% in the next two years.

“Along with the ever increasing relevance of cloud, we are also seeing that the focus and resources of several companies are towards implementing fully integrated AI systems. They expect to see significant growth in spending on this over the next several years,” said Anant Adya, executive vice president and service offering head, Infosys.

“With 71% of executives expecting spending on cloud infrastructure for AI to increase by at least 25% in the next two years, it is clear that an integrated cloud and AI strategy will be the foundation for AI transformation for organisations moving forward,” Adya added.

When asked about the factors limiting their organisation's cloud readiness for AI, 45% of respondents cited "concerns about data security and ethical use of data, privacy, and overall safety."