Some AI work is paying off - but many CIOs just aren't ready for the impact

2 hours ago 5

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Nearly all companies plan to increase AI investments next year
Hybrid AI is popular for tackling privacy and regulatory concerns
The biggest priorities for the year ahead include AI PCs and agentic AI

New Lenovo data has claimed we're actually at the stage of widespread AI adoption where nearly half (46%) of proof-of-concepts now already in production, and most (96%) companies planning to increase AI investments even further.

However, barely more than a quarter (27%) have a comprehensive governance framework in place suggesting investments aren't being looked at comprehensively, and this could spell disaster given the potential scale looking forward with some CIOs projecting ROIs of up to 179%.

And it's not just weak governance that could present roadblocks – poor data quality, legacy systems and skills shortages are all threatening to hold companies back from realizing the full benefits of AI.

CIOs predict huge AI ROI, but they're not ready. What's next?

Organizations have long been aware of the roadblocks with countless other studies highlighting the same factors, but it's only now that we're starting to see businesses set out the framework to tackle the challenges and hybrid AI is emerging as a favorite 62% of the time.

Data privacy and sovereignty concerns, security and regulatory compliance and the flexibility to optimize infrastructure across cloud, on-prem and edge are all tackled with this approach, Lenovo notes.

Looking ahead, CIOs see local inferencing as essential to improving productivity, reducing latency and enhancing security, with AI PC deployment emerging as the number one IT investment priority in 2026.

Advancing from generative to agentic AI is also another target for 2026, with only one in five (21%) CIOs using agentic AI at scale today.

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"As AI priorities shift toward Agentic AI, the next phase will not reward experimentation – it will reward those able to operationalize AI across hybrid environments with trust and scale built in," Lenovo Solutions & Services Group President Ken Wong summarized.

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With several years’ experience freelancing in tech and automotive circles, Craig’s specific interests lie in technology that is designed to better our lives, including AI and ML, productivity aids, and smart fitness. He is also passionate about cars and the decarbonisation of personal transportation. As an avid bargain-hunter, you can be sure that any deal Craig finds is top value!

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